[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[S. 2302 Placed on Calendar Senate (PCS)]






                                                       Calendar No. 470
110th CONGRESS
  1st Session
                                S. 2302

                          [Report No. 110-220]

To provide for the continuation of agricultural programs through fiscal 
                   year 2012, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                            November 2, 2007

Mr. Harkin, from the Committee on Agriculture, Nutrition, and Forestry, 
 reported the following original bill; which was read twice and placed 
                            on the calendar

_______________________________________________________________________

                                 A BILL


 
To provide for the continuation of agricultural programs through fiscal 
                   year 2012, 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 ``Food and Energy 
Security Act of 2007''.
    (b) Table of Contents.--The table of contents of this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Definition of Secretary.
              TITLE I--PRODUCER INCOME PROTECTION PROGRAMS

Sec. 1001. Definitions.
               Subtitle A--Traditional Payments and Loans

         Part I--Direct Payments and Counter-Cyclical Payments

Sec. 1101. Base acres and payment acres for a farm.
Sec. 1102. Payment yields.
Sec. 1103. Availability of direct payments.
Sec. 1104. Availability of counter-cyclical payments.
Sec. 1105. Producer agreement required as condition of provision of 
                            direct payments and counter-cyclical 
                            payments.
Sec. 1106. Planting flexibility.
Sec. 1107. Special rule for long grain and medium grain rice.
Sec. 1108. Period of effectiveness.
    Part II--Marketing Assistance Loans and Loan Deficiency Payments

Sec. 1201. Availability of nonrecourse marketing assistance loans for 
                            loan commodities.
Sec. 1202. Loan rates for nonrecourse marketing assistance loans.
Sec. 1203. Term of loans.
Sec. 1204. Repayment of loans.
Sec. 1205. Loan deficiency payments.
Sec. 1206. Payments in lieu of loan deficiency payments for grazed 
                            acreage.
Sec. 1207. Special marketing loan provisions for upland cotton.
Sec. 1208. Special competitive provisions for extra long staple cotton.
Sec. 1209. Availability of recourse loans for high moisture feed grains 
                            and seed cotton.
Sec. 1210. Adjustments of loans.
                           Part III--Peanuts

Sec. 1301. Definitions.
Sec. 1302. Base acres for peanuts for a farm.
Sec. 1303. Availability of direct payments for peanuts.
Sec. 1304. Availability of counter-cyclical payments for peanuts.
Sec. 1305. Producer agreement required as condition on provision of 
                            direct payments and counter-cyclical 
                            payments.
Sec. 1306. Planting flexibility.
Sec. 1307. Marketing assistance loans and loan deficiency payments for 
                            peanuts.
Sec. 1308. Adjustments of loans.
                Subtitle B--Average Crop Revenue Program

Sec. 1401. Availability of average crop revenue payments.
Sec. 1402. Producer agreement as condition of average crop revenue 
                            payments.
Sec. 1403. Planting flexibility.
                           Subtitle C--Sugar

Sec. 1501. Sugar program.
Sec. 1502. Storage facility loans.
Sec. 1503. Commodity Credit Corporation storage payments.
Sec. 1504. Flexible marketing allotments for sugar.
Sec. 1505. Sense of the Senate regarding NAFTA sugar coordination.
                           Subtitle D--Dairy

Sec. 1601. Dairy product price support program.
Sec. 1602. National dairy market loss payments.
Sec. 1603. Dairy export incentive and dairy indemnity programs.
Sec. 1604. Funding of dairy promotion and research program.
Sec. 1605. Revision of Federal marketing order amendment procedures.
Sec. 1606. Dairy forward pricing program.
Sec. 1607. Report on Department of Agriculture reporting procedures for 
                            nonfat dry milk.
Sec. 1608. Federal Milk Marketing Order Review Commission.
Sec. 1609. Mandatory reporting of dairy commodities.
                       Subtitle E--Administration

Sec. 1701. Administration generally.
Sec. 1702. Suspension of permanent price support authority.
Sec. 1703. Payment limitations.
Sec. 1704. Adjusted gross income limitation.
Sec. 1705. Availability of quality incentive payments for certain 
                            producers.
Sec. 1706. Hard white wheat development program.
Sec. 1707. Durum wheat quality program.
Sec. 1708. Storage facility loans.
Sec. 1709. Personal liability of producers for deficiencies.
Sec. 1710. Extension of existing administrative authority regarding 
                            loans.
Sec. 1711. Assignment of payments.
Sec. 1712. Cotton classification services.
Sec. 1713. Designation of States for cotton research and promotion.
Sec. 1714. Government publication of cotton price forecasts.
Sec. 1715. State, county, and area committees.
Sec. 1716. Prohibition on charging certain fees.
Sec. 1717. Signature authority.
Sec. 1718. Modernization of Farm Service Agency.
Sec. 1719. Geospatial systems.
Sec. 1720. Leasing office space.
Sec. 1721. Repeals.
                  Subtitle F--Specialty Crop Programs

Sec. 1801. Definitions.
             Part I--Marketing, Information, and Education

Sec. 1811. Fruit and vegetable market news allocation.
Sec. 1812. Farmers' market promotion program.
Sec. 1813. Food safety initiatives.
Sec. 1814. Census of specialty crops.
                      Part II--Organic Production

Sec. 1821. Organic data collection and price reporting.
Sec. 1822. Exemption of certified organic products from assessments.
Sec. 1823. National Organic Certification Cost Share Program.
Sec. 1824. National organic program.
                     Part III--International Trade

Sec. 1831. Foreign market access study and strategy plan.
Sec. 1832. Market access program.
Sec. 1833. Technical assistance for specialty crops.
Sec. 1834. Consultations on sanitary and phytosanitary restrictions for 
                            fruits and vegetables.
                Part IV--Specialty Crops Competitiveness

Sec. 1841. Specialty crop block grants.
Sec. 1842. Grant program to improve movement of specialty crops.
Sec. 1843. Healthy Food Enterprise Development Center.
                         Part V--Miscellaneous

Sec. 1851. Clean plant network.
Sec. 1852. Market loss assistance for asparagus producers.
Sec. 1853. Mushroom promotion, research, and consumer information.
Sec. 1854. National Honey Board.
Sec. 1855. Identification of honey.
Sec. 1856. Expedited marketing order for Hass avocados for grades and 
                            standards and other purposes.
                      Subtitle G--Risk Management

Sec. 1901. Definition of organic crop.
Sec. 1902. General powers.
Sec. 1903. Reduction in loss ratio.
Sec. 1904. Controlled business insurance.
Sec. 1905. Administrative fee.
Sec. 1906. Time for payment.
Sec. 1907. Surcharge prohibition.
Sec. 1908. Premium reduction plan.
Sec. 1909. Denial of claims.
Sec. 1910. Measurement of farm-stored commodities.
Sec. 1911. Reimbursement rate.
Sec. 1912. Renegotiation of standard reinsurance agreement.
Sec. 1913. Change in due date for Corporation payments for underwriting 
                            gains.
Sec. 1914. Access to data mining information.
Sec. 1915. Producer eligibility.
Sec. 1916. Contracts for additional crop policies.
Sec. 1917. Research and development.
Sec. 1918. Funding from insurance fund.
Sec. 1919. Camelina pilot program.
Sec. 1920. Risk management education for beginning farmers or ranchers.
Sec. 1921. Agricultural management assistance.
Sec. 1922. Crop insurance mediation.
Sec. 1923. Drought coverage for aquaculture under noninsured crop 
                            assistance program.
Sec. 1924. Increase in service fees for noninsured crop assistance 
                            program.
Sec. 1925. Determination of certain sweet potato production.
Sec. 1926. Perennial crop report.
                         TITLE II--CONSERVATION

                        Subtitle A--Definitions

Sec. 2001. Definitions.
             Subtitle B--Highly Erodible Land Conservation

Sec. 2101. Review of good faith determinations; exemptions.
                    Subtitle C--Wetland Conservation

Sec. 2201. Review of good faith determinations.
        Subtitle D--Agricultural Resources Conservation Program

           Chapter 1--Comprehensive Conservation Enhancement

      subchapter a--comprehensive conservation enhancement program

Sec. 2301. Reauthorization and expansion of programs covered.
                   subchapter b--conservation reserve

Sec. 2311. Conservation reserve program.
Sec. 2312. Flooded farmland program.
Sec. 2313. Wildlife habitat program.
                 subchapter c--wetlands reserve program

Sec. 2321. Wetlands reserve program.
Sec. 2322. Easements and agreements.
Sec. 2323. Payments.
             subchapter d--healthy forests reserve program

Sec. 2331. Healthy forests reserve program.
            ``subchapter d--healthy forests reserve program

        ``Sec. 1237M. Establishment of healthy forests reserve program.
        ``Sec. 1237N. Eligibility and enrollment of lands in program.
        ``Sec. 1237O. Restoration plans.
        ``Sec. 1237P. Financial assistance.
        ``Sec. 1237Q. Technical assistance.
        ``Sec. 1237R. Protections and measures.
        ``Sec. 1237S. Involvement by other agencies and organizations.
        ``Sec. 1237T. Authorization of appropriations.
        Chapter 2--Comprehensive Stewardship Incentives Program

                    subchapter a--general provisions

Sec. 2341. Comprehensive stewardship incentives program.
       ``Chapter 6--Comprehensive Stewardship Incentives Program

      ``subchapter a--comprehensive stewardship incentives program

        ``Sec. 1240T. Comprehensive stewardship incentives program.
            ``subchapter b--conservation stewardship program

        ``Sec. 1240U. Purposes.
        ``Sec. 1240V. Definitions.
        ``Sec. 1240W. Establishment of program.
        ``Sec. 1240X. Eligibility.
        ``Sec. 1240Y. Regulations.
         subchapter b--environmental quality incentives program

Sec. 2351. Purposes.
Sec. 2352. Definitions.
Sec. 2353. Establishment and administration of environmental quality 
                            incentives program.
Sec. 2354. Evaluation of offers and payments.
Sec. 2355. Duties of producers.
Sec. 2356. Environmental quality incentives program plan.
Sec. 2357. Limitation on payments.
Sec. 2358. Conservation innovation grants.
Sec. 2359. Ground and surface water conservation.
Sec. 2360. Organic conversion.
Sec. 2361. Chesapeake Bay watershed conservation program.
                     Chapter 3--Farmland Protection

               subchapter a--farmland protection program

Sec. 2371. Farmland protection program.
                subchapter b--grassland reserve program

Sec. 2381. Grassland reserve program.
               ``subchapter c--grassland reserve program

        ``Sec. 1238N. Definitions.
        ``Sec. 1238O. Grassland reserve program.
        ``Sec. 1238P. Duties.
        ``Sec. 1238Q. Terms and conditions.
                 Chapter 4--Other Conservation Programs

Sec. 2391. Conservation security program.
Sec. 2392. Conservation of private grazing land.
Sec. 2393. Reauthorization of wildlife habitat incentive program.
Sec. 2394. Grassroots source water protection program.
Sec. 2395. Great Lakes basin program for soil erosion and sediment 
                            control.
Sec. 2396. Farm viability program.
Sec. 2397. Discovery watershed demonstration program.
Sec. 2398. Emergency landscape restoration program.
Sec. 2399. Voluntary public access and habitat incentive program.
                 Subtitle E--Funding and Administration

Sec. 2401. Funding and administration.
Sec. 2402. Regional equity.
Sec. 2403. Conservation access.
Sec. 2404. Delivery of technical assistance.
Sec. 2405. Administrative requirements for conservation programs.
Sec. 2406. Conservation programs in environmental services markets.
                 Subtitle F--State Technical Committees

Sec. 2501. State technical committees.
                     Subtitle G--Other Authorities

Sec. 2601. Agricultural management assistance.
Sec. 2602. Agriculture conservation experienced services program.
Sec. 2603. Technical assistance.
Sec. 2604. Small watershed rehabilitation program.
Sec. 2605. Resource conservation and development program.
Sec. 2606. National Natural Resources Conservation Foundation.
Sec. 2607. Desert Terminal Lakes.
Sec. 2608. Crop insurance ineligibility relating to crop production on 
                            native sod.
Sec. 2609. High Plains water study.
Sec. 2610. Payment of expenses.
Sec. 2611. Use of funds in Basin funds for salinity control activities 
                            upstream of Imperial Dam.
Sec. 2612. Great Lakes Commission.
Sec. 2613. Technical corrections to the Federal Insecticide, Fungicide, 
                            and Rodenticide Act.
                            TITLE III--TRADE

                     Subtitle A--Food for Peace Act

Sec. 3001. Short title.
Sec. 3002. United States policy.
Sec. 3003. Food aid to developing countries.
Sec. 3004. Trade and development assistance.
Sec. 3005. Agreements regarding eligible countries and private 
                            entities.
Sec. 3006. Use of local currency payments.
Sec. 3007. General authority.
Sec. 3008. Provision of agricultural commodities.
Sec. 3009. Microenterprise activities.
Sec. 3010. Levels of assistance.
Sec. 3011. Food Aid Consultative Group.
Sec. 3012. Administration.
Sec. 3013. Assistance for stockpiling and rapid transportation, 
                            delivery, and distribution of shelf-stable 
                            prepackaged foods.
Sec. 3014. Pilot program for local purchase.
Sec. 3015. General authorities and requirements.
Sec. 3016. Use of Commodity Credit Corporation.
Sec. 3017. Administrative provisions.
Sec. 3018. Expiration date.
Sec. 3019. Authorization of appropriations.
Sec. 3020. Micronutrient fortification programs.
Sec. 3021. Germplasm conservation.
Sec. 3022. John Ogonowski and Doug Bereuter Farmer-to-Farmer Program.
    Subtitle B--Agricultural Trade Act of 1978 and Related Statutes

Sec. 3101. Nongovernmental organization participation in the resolution 
                            of trade disputes.
Sec. 3102. Export credit guarantee program.
Sec. 3103. Market access program.
Sec. 3104. Export enhancement program.
Sec. 3105. Voluntary certification of child labor status of 
                            agricultural imports.
Sec. 3106. Foreign market development cooperator program.
Sec. 3107. Food for Progress Act of 1985.
Sec. 3108. McGovern-Dole International Food for Education and Child 
                            Nutrition Program.
                       Subtitle C--Miscellaneous

Sec. 3201. Bill Emerson Humanitarian Trust.
Sec. 3202. Emerging markets and facility guarantee loan program.
Sec. 3203. Biotechnology and agricultural trade program.
Sec. 3204. Technical assistance for the resolution of trade disputes.
                      TITLE IV--NUTRITION PROGRAMS

                 Subtitle A--Food and Nutrition Program

                 Part I--Renaming of Food Stamp Program

Sec. 4001. Renaming of food stamp program.
                  Part II--Improving Program Benefits

Sec. 4101. Exclusion of certain military payments from income.
Sec. 4102. Strengthening the food purchasing power of low-income 
                            Americans.
Sec. 4103. Supporting working families with child care expenses.
Sec. 4104. Encouraging retirement and education savings among food 
                            stamp recipients.
Sec. 4105. Facilitating simplified reporting.
Sec. 4106. Accrual of benefits.
Sec. 4107. Eligibility for unemployed adults.
Sec. 4108. Transitional benefits option.
Sec. 4109. Minimum benefit.
Sec. 4110. Availability of commodities for the emergency food 
                            assistance program.
                 Part III--Improving Program Operations

Sec. 4201. Technical clarification regarding eligibility.
Sec. 4202. Issuance and use of program benefits.
Sec. 4203. Clarification of split issuance.
Sec. 4204. State option for telephonic signature.
Sec. 4205. Privacy protections.
Sec. 4206. Study on comparable access to food and nutrition assistance 
                            for Puerto Rico.
Sec. 4207. Civil rights compliance.
Sec. 4208. Employment, training, and job retention.
Sec. 4209. Codification of access rules.
Sec. 4210. Expanding the use of EBT cards at farmers' markets.
Sec. 4211. Review of major changes in program design.
Sec. 4212. Preservation of access and payment accuracy.
Sec. 4213. Nutrition education.
                  Part IV--Improving Program Integrity

Sec. 4301. Major systems failures.
Sec. 4302. Performance standards for biometric identification 
                            technology.
Sec. 4303. Civil penalties and disqualification of retail food stores 
                            and wholesale food concerns.
Sec. 4304. Funding of employment and training programs.
Sec. 4305. Eligibility disqualification.
                         Part V--Miscellaneous

Sec. 4401. Definition of staple foods.
Sec. 4402. Accessory food items.
Sec. 4403. Pilot projects to evaluate health and nutrition promotion in 
                            the food and nutrition program.
Sec. 4404. Bill Emerson National Hunger Fellows and Mickey Leland 
                            International Hunger Fellows.
Sec. 4405. Hunger-free communities.
Sec. 4406. State performance on enrolling children receiving program 
                            benefits for free school meals.
      Subtitle B--Food Distribution Program on Indian Reservations

Sec. 4501. Assessing the nutritional value of the FDPIR food package.
  Subtitle C--Administration of Emergency Food Assistance Program and 
                  Commodity Supplemental Food Program

Sec. 4601. Emergency food assistance.
Sec. 4602. Commodity supplemental food program.
          Subtitle D--Senior Farmers' Market Nutrition Program

Sec. 4701. Exclusion of benefits in determining eligibility for other 
                            programs.
Sec. 4702. Prohibition on collection of sales tax.
    Subtitle E--Reauthorization of Federal Food Assistance Programs

Sec. 4801. Food and nutrition program.
Sec. 4802. Commodity distribution.
Sec. 4803. Nutrition information and awareness pilot program.
                       Subtitle F--Miscellaneous

Sec. 4901. Purchases of locally grown fruits and vegetables.
Sec. 4902. Healthy food education and program replicability.
Sec. 4903. Fresh fruit and vegetable program.
Sec. 4904. Buy American requirements.
Sec. 4905. Minimum purchases of fruits, vegetables, and nuts through 
                            section 32 to support domestic nutrition 
                            assistance programs.
Sec. 4906. Conforming amendments to renaming of food stamp program.
Sec. 4907. Effective and implementation dates.
Sec. 4908. Application.
                            TITLE V--CREDIT

                    Subtitle A--Farm Ownership Loans

Sec. 5001. Direct loans.
Sec. 5002. Purposes of loans.
Sec. 5003. Soil and water conservation and protection.
Sec. 5004. Limitations on amount of farm ownership loans.
Sec. 5005. Down payment loan program.
Sec. 5006. Beginning farmer or rancher contract land sales program.
                      Subtitle B--Operating Loans

Sec. 5101. Farming experience as eligibility requirement.
Sec. 5102. Limitations on amount of operating loans.
Sec. 5103. Limitation on period borrowers are eligible for guaranteed 
                            assistance.
                 Subtitle C--Administrative Provisions

Sec. 5201. Beginning farmer and rancher individual development accounts 
                            pilot program.
Sec. 5202. Inventory sales preferences; loan fund set-asides.
Sec. 5203. Transition to private commercial or other sources of credit.
Sec. 5204. Loan authorization levels.
Sec. 5205. Interest rate reduction program.
Sec. 5206. Deferral of shared appreciation recapture amortization.
Sec. 5207. Rural development, housing, and farm loan program 
                            activities.
                        Subtitle D--Farm Credit

Sec. 5301. Authority to pass along cost of insurance premiums.
Sec. 5302. Technical correction.
Sec. 5303. Confirmation of Chairman.
Sec. 5304. Premiums.
Sec. 5305. Certification of premiums.
Sec. 5306. Rural utility loans.
Sec. 5307. Equalization of loan-making powers of certain district 
                            associations.
                       Subtitle E--Miscellaneous

Sec. 5401. Loans to purchasers of highly fractioned land.
Sec. 5402. Determination on merits of Pigford claims.
Sec. 5403. Sense of the Senate relating to claims brought by socially 
                            disadvantaged farmers or ranchers.
Sec. 5404. Eligibility of equine farmers and ranchers for emergency 
                            loans.
               TITLE VI--RURAL DEVELOPMENT AND INVESTMENT

        Subtitle A--Consolidated Farm and Rural Development Act

Sec. 6001. Water, waste disposal, and wastewater facility grants.
Sec. 6002. Rural business opportunity grants.
Sec. 6003. Child day care facility grants, loans, and loan guarantees.
Sec. 6004. Rural water and wastewater circuit rider program.
Sec. 6005. Multijurisdictional regional planning organizations.
Sec. 6006. Rural hospital loans and loan guarantees.
Sec. 6007. Tribal college and university essential community 
                            facilities.
Sec. 6008. Community facility loans and grants for freely associated 
                            States and outlying areas.
Sec. 6009. Priority for community facility loan and grant projects with 
                            high non-Federal share.
Sec. 6010. SEARCH grants.
Sec. 6011. Emergency and imminent community water assistance grant 
                            program.
Sec. 6012. Water systems for rural and native villages in Alaska.
Sec. 6013. Grants to develop wells in rural areas.
Sec. 6014. Cooperative equity security guarantee.
Sec. 6015. Rural cooperative development grants.
Sec. 6016. Grants to broadcasting systems.
Sec. 6017. Locally-produced agricultural food products.
Sec. 6018. Center for Healthy Food Access and Enterprise Development.
Sec. 6019. Appropriate technology transfer for rural areas.
Sec. 6020. Rural economic area partnership zones.
Sec. 6021. Definitions.
Sec. 6022. Rural microenterprise assistance program.
Sec. 6023. Artisanal cheese centers.
Sec. 6024. National Rural Development Partnership.
Sec. 6025. Historic barn preservation.
Sec. 6026. Grants for NOAA weather radio transmitters.
Sec. 6027. Grants to train farm workers in new technologies and to 
                            train farm workers in specialized skills 
                            necessary for higher value crops.
Sec. 6028. Grants for expansion of employment opportunities for 
                            individuals with disabilities in rural 
                            areas.
Sec. 6029. Delta Regional Authority.
Sec. 6030. Northern Great Plains Regional Authority.
Sec. 6031. Rural business investment program.
Sec. 6032. Rural collaborative investment program.
Sec. 6033. Funding of pending rural development loan and grant 
                            applications.
             Subtitle B--Rural Electrification Act of 1936

Sec. 6101. Energy efficiency programs.
Sec. 6102. Loans and grants for electric generation and transmission.
Sec. 6103. Fees for electrification baseload generation loan 
                            guarantees.
Sec. 6104. Deferment of payments to allow loans for improved energy 
                            efficiency and demand reduction.
Sec. 6105. Rural electrification assistance.
Sec. 6106. Guarantees for bonds and notes issued for electrification or 
                            telephone purposes.
Sec. 6107. Expansion of 911 access.
Sec. 6108. Electric loans to rural electric cooperatives.
Sec. 6109. Agency procedures.
Sec. 6110. Access to broadband telecommunications services in rural 
                            areas.
Sec. 6111. Substantially underserved trust areas.
Sec. 6112. Study of Federal assistance for broadband infrastructure.
                   Subtitle C--Connect the Nation Act

Sec. 6201. Short title.
Sec. 6202. Grants to encourage State initiatives to improve broadband 
                            service.
   Subtitle D--Food, Agriculture, Conservation, and Trade Act of 1990

Sec. 6301. Rural electronic commerce extension program.
Sec. 6302. Telemedicine, library connectivity, public television, and 
                            distance learning services in rural areas.
                       Subtitle E--Miscellaneous

Sec. 6401. Value-added agricultural product market development grants.
Sec. 6402. Study of railroad issues.
Sec. 6403. Insurance of loans for housing and related facilities for 
                            domestic farm labor.
                TITLE VII--RESEARCH AND RELATED MATTERS

  Subtitle A--National Agricultural Research, Extension, and Teaching 
                           Policy Act of 1977

Sec. 7001. Definitions.
Sec. 7002. National Agricultural Research, Extension, Education, and 
                            Economics Advisory Board.
Sec. 7003. Veterinary medicine loan repayment.
Sec. 7004. Eligibility of University of the District of Columbia for 
                            grants and fellowships for food and 
                            agricultural sciences education.
Sec. 7005. Grants to 1890 Institutions to expand extension capacity.
Sec. 7006. Expansion of food and agricultural sciences awards.
Sec. 7007. Grants and fellowships for food and agricultural sciences 
                            education.
Sec. 7008. Grants for research on production and marketing of alcohols 
                            and industrial hydrocarbons from 
                            agricultural commodities and forest 
                            products.
Sec. 7009. Policy research centers.
Sec. 7010. Human nutrition intervention and health promotion research 
                            program.
Sec. 7011. Pilot research program to combine medical and agricultural 
                            research.
Sec. 7012. Nutrition education program.
Sec. 7013. Continuing animal health and disease research programs.
Sec. 7014. Appropriations for research on national or regional 
                            problems.
Sec. 7015. Animal health and disease research program.
Sec. 7016. Authorization level for extension at 1890 land-grant 
                            colleges.
Sec. 7017. Authorization level for agricultural research at 1890 land-
                            grant colleges.
Sec. 7018. Grants to upgrade agricultural and food sciences facilities 
                            at 1890 land-grant colleges, including 
                            Tuskegee University.
Sec. 7019. Grants to upgrade agriculture and food sciences facilities 
                            at the District of Columbia land grant 
                            university.
Sec. 7020. National research and training virtual centers.
Sec. 7021. Matching funds requirement for research and extension 
                            activities of 1890 Institutions.
Sec. 7022. Hispanic-serving institutions.
Sec. 7023. Hispanic-serving agricultural colleges and universities.
Sec. 7024. International agricultural research, extension, and 
                            education.
Sec. 7025. Competitive grants for international agricultural science 
                            and education programs.
Sec. 7026. Indirect costs.
Sec. 7027. Research equipment grants.
Sec. 7028. University research.
Sec. 7029. Extension Service.
Sec. 7030. Supplemental and alternative crops.
Sec. 7031. Aquaculture research facilities.
Sec. 7032. Rangeland research.
Sec. 7033. Special authorization for biosecurity planning and response.
Sec. 7034. Resident instruction and distance education grants program 
                            for insular area institutions of higher 
                            education.
Sec. 7035. Farm management training and public farm benchmarking 
                            database.
Sec. 7036. Tropical and subtropical agricultural research.
Sec. 7037. Regional centers of excellence.
Sec. 7038. National Drought Mitigation Center.
Sec. 7039. Agricultural development in the American-Pacific region.
Sec. 7040. Borlaug international agricultural science and technology 
                            fellowship program.
Sec. 7041. New Era Rural Technology Program.
Sec. 7042. Farm and ranch stress assistance network.
Sec. 7043. Rural entrepreneurship and enterprise facilitation program.
Sec. 7044. Seed distribution.
Sec. 7045. Farm and ranch safety.
Sec. 7046. Women and minorities in STEM fields.
Sec. 7047. Natural products research program.
Sec. 7048. International anti-hunger and nutrition program.
Sec. 7049. Consortium for Agricultural and Rural Transportation 
                            Research and Education.
   Subtitle B--Food, Agriculture, Conservation, and Trade Act of 1990

Sec. 7101. National genetic resources program.
Sec. 7102. High-priority research and extension initiatives.
Sec. 7103. Nutrient management research and extension initiative.
Sec. 7104. Organic agriculture research and extension initiative.
Sec. 7105. Agricultural telecommunications program.
Sec. 7106. Assistive technology program for farmers with disabilities.
Sec. 7107. National Rural Information Center Clearinghouse.
Subtitle C--Agricultural Research, Extension, and Education Reform Act 
                                of 1998

Sec. 7201. Initiative for Future Agriculture and Food Systems.
Sec. 7202. Partnerships for high-value agricultural product quality 
                            research.
Sec. 7203. Precision agriculture.
Sec. 7204. Biobased products.
Sec. 7205. Thomas Jefferson initiative for crop diversification.
Sec. 7206. Integrated research, education, and extension competitive 
                            grants program.
Sec. 7207. Support for research regarding diseases of wheat, triticale, 
                            and barley caused by Fusarium graminearum 
                            or by Tilletia indica.
Sec. 7208. Bovine Johne's disease control program.
Sec. 7209. Grants for youth organizations.
Sec. 7210. Agricultural biotechnology research and development for 
                            developing countries.
Sec. 7211. Specialty crop research initiative.
Sec. 7212. Office of Pest Management Policy.
Sec. 7213. Food animal residue avoidance database program.
                         Subtitle D--Other Laws

Sec. 7301. Critical Agricultural Materials Act.
Sec. 7302. Equity in Educational Land-Grant Status Act of 1994.
Sec. 7303. Smith-Lever Act.
Sec. 7304. Hatch Act of 1887.
Sec. 7305. Research Facilities Act.
Sec. 7306. National Agricultural Research, Extension, and Teaching 
                            Policy Act Amendments of 1985.
Sec. 7307. Competitive, Special, and Facilities Research Grant Act.
Sec. 7308. Education grants to Alaska Native serving institutions and 
                            Native Hawaiian serving institutions.
Sec. 7309. Beginning farmer and rancher development program.
Sec. 7310. McIntire-Stennis Cooperative Forestry Act.
Sec. 7311. National Aquaculture Act of 1980.
Sec. 7312. National Arboretum.
Sec. 7313. Eligibility of University of the District of Columbia for 
                            certain land-grant university assistance.
Sec. 7314. Exchange or sale authority.
Sec. 7315. Carbon cycle research.
         Subtitle E--National Institute of Food and Agriculture

Sec. 7401. National Institute of Food and Agriculture.
Sec. 7402. Coordination of Agricultural Research Service and National 
                            Institute of Food and Agriculture.
                       Subtitle F--Miscellaneous

Sec. 7501. Joint nutrition monitoring and related research activities.
Sec. 7502. Demonstration project authority for temporary positions.
Sec. 7503. Review of plan of work requirements.
Sec. 7504. Study and report on access to nutritious foods.
                          TITLE VIII--FORESTRY

        Subtitle A--Cooperative Forestry Assistance Act of 1978

Sec. 8001. National priorities for private forest conservation.
Sec. 8002. Community forest and open space conservation program.
Sec. 8003. Federal, State, and local coordination and cooperation.
Sec. 8004. Comprehensive statewide forest planning.
Sec. 8005. Assistance to the Federated States of Micronesia, the 
                            Republic of the Marshall Islands, and the 
                            Republic of Palau.
        Subtitle B--Tribal-Forest Service Cooperative Relations

Sec. 8101. Definitions.
     Part I--Collaboration Between Indian Tribes and Forest Service

Sec. 8111. Forest Legacy Program.
Sec. 8112. Forestry and resource management assistance for Indian 
                            tribes.
          Part II--Cultural and Heritage Cooperation Authority

Sec. 8121. Purposes.
Sec. 8122. Definitions.
Sec. 8123. Reburial of human remains and cultural items.
Sec. 8124. Temporary closure for traditional and cultural purposes.
Sec. 8125. Forest products for traditional and cultural purposes.
Sec. 8126. Prohibition on disclosure.
Sec. 8127. Severability and savings provisions.
                  Subtitle C--Amendments to Other Laws

Sec. 8201. Renewable resources extension activities.
Sec. 8202. Office of International Forestry.
                            TITLE IX--ENERGY

Sec. 9001. Energy.
                           ``TITLE IX--ENERGY

        ``Sec. 9001. Definitions.
        ``Sec. 9002. Biobased markets program.
        ``Sec. 9003. Biodiesel fuel education.
        ``Sec. 9004. Biomass crop transition.
        ``Sec. 9005. Biorefinery and repowering assistance.
        ``Sec. 9006. Bioenergy program for advanced biofuels.
        ``Sec. 9007. Rural Energy for America Program.
        ``Sec. 9008. Biomass Research and Development Act of 2000.
        ``Sec. 9009. Sun grant program.
        ``Sec. 9010. Regional biomass crop experiments.
        ``Sec. 9011. Biochar research, development, and demonstration.
        ``Sec. 9012. Renewable woody biomass for energy.
        ``Sec. 9013. Community wood energy program.
        ``Sec. 9014. Rural energy systems renewal.
        ``Sec. 9015. Voluntary renewable biomass certification program.
        ``Sec. 9016. Administration.
        ``Sec. 9017. Biofuels infrastructure study.
        ``Sec. 9018. Rural nitrogen fertilizer study.
        ``Sec. 9019. Study of life-cycle analysis of biofuels.
        ``Sec. 9020. E-85 fuel program.
        ``Sec. 9021. Research and development of renewable energy.
        ``Sec. 9022. Northeast dairy nutrient management and energy 
                            development program.
        ``Sec. 9023. Future farmstead program.
Sec. 9002. Sense of the Senate concerning higher levels of ethanol 
                            blended gasoline.
Sec. 9003. Conforming amendments.
     TITLE X--LIVESTOCK MARKETING, REGULATORY, AND RELATED PROGRAMS

                         Subtitle A--Marketing

Sec. 10001. Livestock mandatory reporting.
Sec. 10002. Grading and inspection.
Sec. 10003. Country of origin labeling.
                Subtitle B--Agricultural Fair Practices

Sec. 10101. Definitions.
Sec. 10102. Prohibited practices.
Sec. 10103. Enforcement.
Sec. 10104. Rules and regulations.
                   Subtitle C--Packers and Stockyards

Sec. 10201. Special Counsel for Agricultural Competition.
Sec. 10202. Investigation of live poultry dealers.
Sec. 10203. Production contracts.
Sec. 10204. Right to discuss terms of contract.
Sec. 10205. Attorneys' fees.
Sec. 10206. Appointment of outside counsel.
Sec. 10207. Prohibition on packers owning, feeding, or controlling 
                            livestock..
Sec. 10208. Regulations.
                      Subtitle D--Related Programs

Sec. 10301. Sense of Congress regarding pseudorabies eradication 
                            program.
Sec. 10302. Sense of Congress regarding cattle fever tick eradication 
                            program.
Sec. 10303. National Sheep and Goat Industry Improvement Center.
Sec. 10304. Trichinae certification program.
Sec. 10305. Protection of information in the animal identification 
                            system.
Sec. 10306. Low pathogenic avian influenza.
Sec. 10307. Study on bioenergy operations.
Sec. 10308. Sense of the Senate on indemnification of livestock 
                            producers.
                        TITLE XI--MISCELLANEOUS

                   Subtitle A--Agricultural Security

Sec. 11011. Definitions.
         Part I--General Authority and Interagency Coordination

Sec. 11021. Policy.
Sec. 11022. Interagency coordination.
Sec. 11023. Submission of integrated food defense plan.
Sec. 11024. Transfer of certain agricultural inspection functions of 
                            Department.
    Part II--Agricultural Quarantine Inspection Program Improvement

Sec. 11031. Definitions.
Sec. 11032. Joint Task Force.
Sec. 11033. Advisory Board.
Sec. 11034. Reports to Congress.
Sec. 11035. Port risk committees.
Sec. 11036. Emergency response planning at ports of entry.
Sec. 11037. Plant pest identification joint plan.
Sec. 11038. Liaison officer positions.
                        Part III--Miscellaneous

Sec. 11041. Designation and expedited review and approval of qualified 
                            agricultural countermeasures.
Sec. 11042. Agricultural disease emergency detection and response.
Sec. 11043. National plant disease recovery system and national 
                            veterinary stockpile.
Sec. 11044. Research and development of agricultural countermeasures.
Sec. 11045. Veterinary workforce grant program.
Sec. 11046. Assistance to build local capacity in agricultural 
                            biosecurity planning, preparedness, and 
                            response.
Sec. 11047. Border inspections of agricultural products.
Sec. 11048. Live virus of foot and mouth disease research.
                       Subtitle B--Other Programs

Sec. 11051. Foreclosure.
Sec. 11052. Outreach and technical assistance for socially 
                            disadvantaged farmers and ranchers.
Sec. 11053. Additional contracting authority.
Sec. 11054. Improved program delivery by the Department of Agriculture 
                            on Indian reservations.
Sec. 11055. Accurate documentation in the census of agriculture and 
                            certain studies.
Sec. 11056. Improved data requirements.
Sec. 11057. Receipt for service or denial of service.
Sec. 11058. National Appeals Division.
Sec. 11059. Farmworker Coordinator.
Sec. 11060. Congressional Bipartisan Food Safety Commission.
Sec. 11061. Emergency grants to assist low-income migrant and seasonal 
                            farmworkers.
Sec. 11062. Grants to reduce production of methamphetamines from 
                            anhydrous ammonia.
Sec. 11063. Invasive species management, Hawaii.
Sec. 11064. Oversight and compliance.
Sec. 11065. Report of civil rights complaints, resolutions, and 
                            actions.
Sec. 11066. Grants to improve supply, stability, safety, and training 
                            of agricultural labor force.
Sec. 11067. Interstate shipment of meat and poultry inspected by 
                            Federal and State agencies for certain 
                            small establishments.
Sec. 11068. Prevention and investigation of payment and fraud and 
                            error.
Sec. 11069. Elimination of statute of limitations applicable to 
                            collection of debt by administrative 
                            offset.
Sec. 11070. Stored quantities of propane.
Sec. 11071. Closure of certain county FSA offices.

SEC. 2. DEFINITION OF SECRETARY.

    In this Act, the term ``Secretary'' means the Secretary of 
Agriculture.

              TITLE I--PRODUCER INCOME PROTECTION PROGRAMS

SEC. 1001. DEFINITIONS.

    In this title (other than part III of subtitle A):
            (1) Average crop revenue payment.--The term ``average crop 
        revenue payment'' means a payment made to producers on a farm 
        under section 1401.
            (2) Base acres.--The term ``base acres'', with respect to a 
        covered commodity on a farm, means the number of acres 
        established under section 1101 of the Farm Security and Rural 
        Investment Act of 2002 (7 U.S.C. 7911) as in effect on the day 
        before the date of enactment of this Act, subject to any 
        adjustment under section 1101 of this Act.
            (3) Counter-cyclical payment.--The term ``counter-cyclical 
        payment'' means a payment made to producers on a farm under 
        section 1104.
            (4) Covered commodity.--The term ``covered commodity'' 
        means wheat, corn, grain sorghum, barley, oats, upland cotton, 
        long grain rice, medium grain rice, pulse crops, soybeans, and 
        other oilseeds.
            (5) Direct payment.--The term ``direct payment'' means a 
        payment made to producers on a farm under section 1103.
            (6) 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 1104 to determine 
        whether counter-cyclical payments are required to be made for 
        that crop year.
            (7) Extra long staple cotton.--The term ``extra long staple 
        cotton'' means cotton that--
                    (A) is produced from pure strain varieties of the 
                Barbadense species or any hybrid of the species, 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
                    (B) is ginned on a roller-type gin or, if 
                authorized by the Secretary, ginned on another type gin 
                for experimental purposes.
            (8) Loan commodity.--The term ``loan commodity'' means 
        wheat, corn, grain sorghum, barley, oats, upland cotton, extra 
        long staple cotton, long grain rice, medium grain rice, 
        soybeans, other oilseeds, wool, mohair, honey, dry peas, 
        lentils, small chickpeas, and large chickpeas.
            (9) Medium grain rice.--The term ``medium grain rice'' 
        includes short grain rice.
            (10) Other oilseed.--The term ``other oilseed'' means a 
        crop of sunflower seed, rapeseed, canola, safflower, flaxseed, 
        mustard seed, crambe, sesame seed, camelina, or any oilseed 
        designated by the Secretary.
            (11) Payment acres.--The term ``payment acres'' means, in 
        the case of direct payments and counter-cyclical payments, 85 
        percent of the base acres of a covered commodity on a farm on 
        which direct payments or counter-cyclical payments are made.
            (12) Payment yield.--The term ``payment yield'' means the 
        yield established for direct payments and counter-cyclical 
        payments under section 1102 of the Farm Security and Rural 
        Investment Act of 2002 (7 U.S.C. 7912) as in effect on the day 
        before the date of enactment of this Act, or under section 1102 
        of this Act, for a farm for a covered commodity.
            (13) Producer.--
                    (A) In general.--The term ``producer'' means an 
                owner, operator, landlord, tenant, or sharecropper that 
                shares in the risk of producing a crop and is entitled 
                to share in the crop available for marketing from the 
                farm, or would have shared had the crop been produced.
                    (B) Hybrid seed.--In determining whether a grower 
                of hybrid seed is a producer, the Secretary shall--
                            (i) not take into consideration the 
                        existence of a hybrid seed contract; and
                            (ii) ensure that program requirements do 
                        not adversely affect the ability of the grower 
                        to receive a payment under this title.
            (14) Pulse crop.--The term ``pulse crop'' means dry peas, 
        lentils, small chickpeas, and large chickpeas.
            (15) State.--The term ``State'' means--
                    (A) a State;
                    (B) the District of Columbia;
                    (C) the Commonwealth of Puerto Rico; and
                    (D) any other territory or possession of the United 
                States.
            (16) Target price.--The term ``target price'' means the 
        price per bushel, pound, or hundredweight (or other appropriate 
        unit) of a covered commodity used to determine the payment rate 
        for counter-cyclical payments.
            (17) United states.--The term ``United States'', when used 
        in a geographical sense, means all of the States.

               Subtitle A--Traditional Payments and Loans

         PART I--DIRECT PAYMENTS AND COUNTER-CYCLICAL PAYMENTS

SEC. 1101. BASE ACRES AND PAYMENT ACRES FOR A FARM.

    (a) Adjustment of Base Acres.--
            (1) In general.--The Secretary shall provide for an 
        adjustment, as appropriate, in the base acres for covered 
        commodities for a farm whenever the following circumstances 
        occurs:
                    (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.
                    (C) The producer has eligible pulse crop or 
                camelina acreage.
                    (D) The producer has eligible oilseed acreage as 
                the result of the Secretary designating additional 
                oilseeds.
            (2) Special conservation reserve acreage payment rules.--
        For the crop year in which a base acres adjustment under 
        subparagraph (A) or (B) of paragraph (1) is first made, the 
        owner of the farm shall elect to receive either direct 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.
    (b) Prevention of Excess Base 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 reduce the base acres for 1 or more covered commodities 
        for the farm or the base acres for peanuts for the farm 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 base acres for peanuts for the farm.
                    (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 
                Federal conservation program for which payments are 
                made in exchange for not producing an agricultural 
                commodity on the acreage.
                    (D) Any eligible pulse crop or camelina acreage, 
                which shall be determined in the same manner as 
                eligible oilseed acreage under section 1101(a)(2) of 
                the Farm Security and Rural Investment Act of 2002 (7 
                U.S.C. 7911(a)(2)).
                    (E) If the Secretary designates additional 
                oilseeds, any eligible oilseed acreage, which shall be 
                determined in the same manner as eligible oilseed 
                acreage under section 1101(a)(2) of the Farm Security 
                and Rural Investment Act of 2002 (7 U.S.C. 7911(a)(2)).
            (3) Selection of acres.--The Secretary shall give the owner 
        of the farm the opportunity to select the base acres for a 
        covered commodity or the base acres for peanuts for the farm 
        against which the reduction required by paragraph (1) will be 
        made.
            (4) Exception for double-cropped acreage.--In applying 
        paragraph (1), the Secretary shall make an exception in the 
        case of double cropping, as determined by the Secretary.
            (5) Coordinated application of requirements.--The Secretary 
        shall take into account section 1302(b) when applying the 
        requirements of this subsection.
    (c) Permanent Reduction in Base Acres.--
            (1) In general.--The owner of a farm may reduce, at any 
        time, the base acres for any covered commodity for the farm.
            (2) Administration.--The reduction shall be permanent and 
        made in the manner prescribed by the Secretary.

SEC. 1102. PAYMENT YIELDS.

    (a) Establishment and Purpose.--For the purpose of making direct 
payments and counter-cyclical payments under this subtitle, the 
Secretary shall provide for the establishment of a yield for each farm 
for any designated oilseed, camelina, or eligible pulse crop for which 
a payment yield was not established under section 1102 of the Farm 
Security and Rural Investment Act of 2002 (7 U.S.C. 7912) in accordance 
with this section.
    (b) Payment Yields for Designated Oilseeds, Camelina, and Eligible 
Pulse Crops.--
            (1) Determination of average yield.--In the case of 
        designated oilseeds, camelina, and eligible pulse crops, the 
        Secretary shall determine the average yield per planted acre 
        for the designated oilseed, camelina, or pulse crop on a farm 
        for the 1998 through 2001 crop years, excluding any crop year 
        in which the acreage planted to the designated oilseed, 
        camelina, or pulse crop was zero.
            (2) Adjustment for payment yield.--
                    (A) In general.--The payment yield for a farm for a 
                designated oilseed, camelina, or eligible pulse crop 
                shall be equal to the product of the following:
                            (i) The average yield for the designated 
                        oilseed, camelina, or pulse crop determined 
                        under paragraph (1).
                            (ii) The ratio resulting from dividing the 
                        national average yield for the designated 
                        oilseed, camelina, or pulse crop for the 1981 
                        through 1985 crops by the national average 
                        yield for the designated oilseed, camelina, or 
                        pulse crop for the 1998 through 2001 crops.
                    (B) No national average yield information 
                available.--To the extent that national average yield 
                information for a designated oilseed, camelina, or 
                pulse crop is not available, the Secretary shall use 
                such information as the Secretary determines to be fair 
                and equitable to establish a national average yield 
                under this section.
            (3) Use of partial county average yield.--If the yield per 
        planted acre for a crop of a designated oilseed, camelina, or 
        pulse crop for a farm for any of the 1998 through 2001 crop 
        years was less than 75 percent of the county yield for that 
        designated oilseed, camelina, or pulse crop, the Secretary 
        shall assign a yield for that crop year equal to 75 percent of 
        the county yield for the purpose of determining the average 
        under paragraph (1).
            (4) No historic yield data available.--In the case of 
        establishing yields for designated oilseeds, camelina, and 
        eligible pulse crops, if historic yield data is not available, 
        the Secretary shall use the ratio for dry peas calculated under 
        paragraph (2)(A)(ii) in determining the yields for designated 
        oilseeds, camelina, and eligible pulse crops, as determined to 
        be fair and equitable by the Secretary.

SEC. 1103. AVAILABILITY OF DIRECT PAYMENTS.

    (a) Payment Required.--Except as provided in section 1401, for each 
of the 2008 through 2012 crop years of each covered commodity (other 
than pulse crops), the Secretary shall make direct payments to 
producers on farms for which payment yields and base acres are 
established.
    (b) Payment Rate.--The payment rates used to make direct payments 
with respect to covered commodities for a crop year are as follows:
            (1) Wheat, $0.52 per bushel.
            (2) Corn, $0.28 per bushel.
            (3) Grain sorghum, $0.35 per bushel.
            (4) Barley, $0.24 per bushel.
            (5) Oats, $0.024 per bushel.
            (6) Upland cotton, $0.0667 per pound.
            (7) Long grain rice, $2.35 per hundredweight.
            (8) Medium grain rice, $2.35 per hundredweight.
            (9) Soybeans, $0.44 per bushel.
            (10) Other oilseeds, $0.80 per hundredweight.
    (c) Payment Amount.--The amount of the direct payment to be paid to 
the 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) In general.--In the case of each of the 2008 through 
        2012 crop years, the Secretary shall make direct payments under 
        this section not earlier than October 1 of the calendar year in 
        which the crop of the covered commodity is harvested.
            (2) Advance payments.--
                    (A) Option.--At the option of the producers on a 
                farm, the Secretary shall pay in advance up to 22 
                percent of the direct payment for a covered commodity 
                for any of the 2008 through 2011 crop years to the 
                producers on a farm.
                    (B) Month.--
                            (i) Selection.--Subject to clauses (ii) and 
                        (iii), the producers on a farm shall select the 
                        month during which the advance payment for a 
                        crop year will be made.
                            (ii) Options.--The month selected may be 
                        any month during the period--
                                    (I) beginning on December 1 of the 
                                calendar year before the calendar year 
                                in which the crop of the covered 
                                commodity is harvested; and
                                    (II) ending during the month within 
                                which the direct payment would 
                                otherwise be made.
                            (iii) Change.--The producers on a farm may 
                        change the selected month for a subsequent 
                        advance payment by providing advance notice to 
                        the Secretary.
            (3) Repayment of advance payments.--If a producer on a farm 
        that receives an advance direct payment for a crop year ceases 
        to be a producer on that farm, or the extent to which the 
        producer shares in the risk of producing a crop changes, before 
        the date the remainder of the direct payment is made, the 
        producer shall be responsible for repaying the Secretary the 
        applicable amount of the advance payment, as determined by the 
        Secretary.

SEC. 1104. AVAILABILITY OF COUNTER-CYCLICAL PAYMENTS.

    (a) Payment Required.--Subject to sections 1107 and 1401, for each 
of the 2008 through 2012 crop years for each covered commodity, the 
Secretary shall make counter-cyclical payments to producers on farms 
for which payment yields and base acres are established with respect to 
the covered commodity if the Secretary determines that the effective 
price for the covered commodity is less than the target price for the 
covered commodity.
    (b) Effective Price.--
            (1) Covered commodities other than rice.--Except as 
        provided in paragraph (2), for purposes of subsection (a), the 
        effective price for a covered commodity is equal to the sum of 
        the following:
                    (A) The higher of the following:
                            (i) The national average market price 
                        received by producers during the 12-month 
                        marketing year for the covered commodity, as 
                        determined by the Secretary.
                            (ii) The national average loan rate for a 
                        marketing assistance loan for the covered 
                        commodity in effect for the applicable period 
                        under part II.
                    (B) The payment rate in effect for the covered 
                commodity under section 1103 for the purpose of making 
                direct payments with respect to the covered commodity.
            (2)  Rice.--In the case of long grain rice and medium grain 
        rice, for purposes of subsection (a), the effective price for 
        each type or class of rice is equal to the sum of the 
        following:
                    (A) The higher of the following:
                            (i) The national average market price 
                        received by producers during the 12-month 
                        marketing year for the type or class of rice, 
                        as determined by the Secretary.
                            (ii) The national average loan rate for a 
                        marketing assistance loan for the type or class 
                        of rice in effect for the applicable period 
                        under part II.
                    (B) The payment rate in effect for the type or 
                class of rice under section 1103 for the purpose of 
                making direct payments with respect to the type or 
                class of rice.
    (c) Target Price.--
            (1) In general.--For purposes of each of the 2008 through 
        2012 crop years, the target prices for covered commodities 
        shall be as follows:
                    (A) Wheat, $4.20 per bushel.
                    (B) Corn, $2.63 per bushel.
                    (C) Grain sorghum, $2.63 per bushel.
                    (D) Barley, $2.63 per bushel.
                    (E) Oats, $1.83 per bushel.
                    (F) Upland cotton, $0.7225 per pound.
                    (G) Long grain rice, $10.50 per hundredweight.
                    (H) Medium grain rice, $10.50 per hundredweight.
                    (I) Soybeans, $6.00 per bushel.
                    (J) Other oilseeds, $12.74 per hundredweight.
                    (K) Dry peas, $8.33 per hundredweight.
                    (L) Lentils, $12.82 per hundredweight.
                    (M) Small chickpeas, $10.36 per hundredweight.
                    (N) Large chickpeas, $12.82 per hundredweight.
            (2) Separate target price.--The Secretary may not establish 
        a target price for a covered commodity that is different from 
        the target price specified in paragraph (1) for the covered 
        commodity.
    (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 covered commodity; and
            (2) the effective price determined under subsection (b) for 
        the covered commodity.
    (e) Payment Amount.--If counter-cyclical payments are required to 
be paid for any of the 2008 through 2012 crop years of a covered 
commodity, the amount of the counter-cyclical payment to be paid to the 
producers on a farm for that 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.--If the Secretary determines under 
        subsection (a) that counter-cyclical payments are required to 
        be made under this section for the crop of a covered commodity, 
        the Secretary shall make the counter-cyclical payments for the 
        crop beginning October 1, or as soon as practicable thereafter, 
        after the end of the applicable marketing year for the covered 
        commodity.
            (2) Availability of partial payments.--
                    (A) In general.--If, before the end of the 12-month 
                marketing year for a covered commodity, the Secretary 
                estimates that counter-cyclical payments will be 
                required for the crop of the covered commodity, the 
                Secretary shall give producers on a farm the option to 
                receive partial payments of the counter-cyclical 
                payment projected to be made for that crop of the 
                covered commodity.
                    (B) Election.--
                            (i) In general.--The Secretary shall allow 
                        producers on a farm to make an election to 
                        receive partial payments for a covered 
                        commodity under subparagraph (A) at any time 
                        but not later than 30 days prior to the end of 
                        the marketing year for that covered commodity.
                            (ii) Date of issuance.--The Secretary shall 
                        issue the partial payment after the date of an 
                        announcement by the Secretary but not later 
                        than 30 days prior to the end of the marketing 
                        year.
            (3) Time for partial payments.--When the Secretary makes 
        partial payments for a covered commodity for any of the 2008 
        through 2010 crop years--
                    (A) the first partial payment shall be made after 
                completion of the first 180 days of the marketing year 
                for the covered commodity; and
                    (B) the final partial payment shall be made 
                beginning October 1, or as soon as practicable 
                thereafter, after the end of the applicable marketing 
                year for the covered commodity.
            (4) Amount of partial payment.--
                    (A) First partial payment.--For each of the 2008 
                through 2010 crops of a covered commodity, the first 
                partial payment under paragraph (3) to the producers on 
                a farm may not exceed 40 percent of the projected 
                counter-cyclical payment for the covered commodity for 
                the crop year, as determined by the Secretary.
                    (B) Final payment.--The final payment for a covered 
                commodity for a crop year shall be equal to the 
                difference between--
                            (i) the actual counter-cyclical payment to 
                        be made to the producers for the covered 
                        commodity for that crop year; and
                            (ii) the amount of the partial payment made 
                        to the producers under subparagraph (A).
            (5) Repayment.--The producers on a farm that receive a 
        partial payment under this subsection for a crop year shall 
        repay to the Secretary the amount, if any, by which the total 
        of the partial payments exceed the actual counter-cyclical 
        payment to be made for the covered commodity for that crop 
        year.

SEC. 1105. PRODUCER AGREEMENT REQUIRED AS CONDITION OF PROVISION OF 
              DIRECT PAYMENTS AND COUNTER-CYCLICAL PAYMENTS.

    (a) Compliance With Certain Requirements.--
            (1) Requirements.--Before the producers on a farm may 
        receive direct payments or counter-cyclical payments with 
        respect to the farm, the producers shall agree, during the crop 
        year for which the payments are made and 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 that Act 
                (16 U.S.C. 3821 et seq.);
                    (C) to comply with the planting flexibility 
                requirements of section 1106;
                    (D) to use the land on the farm, in a quantity 
                equal to the attributable base acres for the farm and 
                any base acres for peanuts for the farm under part III, 
                for an agricultural or conserving use, and not for a 
                nonagricultural commercial, industrial, or residential 
                use (including land subdivided and developed into 
                residential units or other nonfarming uses, or that is 
                otherwise no longer intended to be used in conjunction 
                with a farming operation), as determined by the 
                Secretary; and
                    (E) to effectively control noxious weeds and 
                otherwise maintain the land in accordance with sound 
                agricultural practices, as determined by the Secretary, 
                if the agricultural or conserving use involves the 
                noncultivation of any portion of the land referred to 
                in subparagraph (D).
            (2) Compliance.--The Secretary may issue such rules as the 
        Secretary considers necessary to ensure producer compliance 
        with the requirements of paragraph (1).
            (3) Modification.--At the request of the transferee or 
        owner, the Secretary may modify the requirements of this 
        subsection if the modifications are consistent with the 
        objectives of this subsection, as determined by the Secretary.
    (b) Transfer or Change of Interest in Farm.--
            (1) Termination.--
                    (A) In general.--Except as provided in paragraph 
                (2), a transfer of (or change in) the interest of the 
                producers on a farm in base acres for which direct 
                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).
                    (B) Effective date.--The termination shall take 
                effect on the date determined by the Secretary.
            (2) Exception.--If a producer entitled to a direct 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 rules issued by the 
        Secretary.
    (c) Acreage Reports.--
            (1) In general.--As a condition on the receipt of any 
        benefits under this part or part II, the Secretary shall 
        require producers on a farm to submit to the Secretary annual 
        acreage reports with respect to all cropland on the farm.
            (2) Penalties.--No penalty with respect to benefits under 
        this part or part II shall be assessed against the producers on 
        a farm for an inaccurate acreage report unless the producers on 
        the farm knowingly and willfully falsified the acreage report.
    (d) Tenants and Sharecroppers.--In carrying out this subtitle, the 
Secretary shall provide adequate safeguards to protect the interests of 
tenants and sharecroppers.
    (e) Sharing of Payments.--The Secretary shall provide for the 
sharing of direct payments and counter-cyclical payments among the 
producers on a farm on a fair and equitable basis.

SEC. 1106. PLANTING FLEXIBILITY.

    (a) Permitted Crops.--Subject to subsection (b), any commodity or 
crop may be planted on base acres on a farm.
    (b) Limitations Regarding Certain Commodities.--
            (1) General limitation.--The planting of an agricultural 
        commodity specified in paragraph (3) shall be prohibited on 
        base acres unless the commodity, if planted, is destroyed 
        before harvest.
            (2) Treatment of trees and other perennials.--The planting 
        of an agricultural commodity specified in paragraph (3) that is 
        produced on a tree or other perennial plant shall be prohibited 
        on base acres.
            (3) Covered agricultural commodities.--Paragraphs (1) and 
        (2) apply to the following agricultural commodities:
                    (A) Fruits.
                    (B) Vegetables (other than mung beans and pulse 
                crops).
                    (C) Wild rice.
    (c) Exceptions.--Paragraphs (1) and (2) of subsection (b) shall not 
limit the planting of an agricultural commodity specified in paragraph 
(3) of that subsection--
            (1) in any region in which there is a history of double-
        cropping of covered commodities with agricultural commodities 
        specified in subsection (b)(3), as determined by the Secretary, 
        in which case the double-cropping shall be permitted;
            (2) on a farm that the Secretary determines has a history 
        of planting agricultural commodities specified in subsection 
        (b)(3) on base acres, except that direct payments and counter-
        cyclical payments shall be reduced by an acre for each acre 
        planted to such an agricultural commodity; or
            (3) by the producers on a farm that the Secretary 
        determines has an established planting history of a specific 
        agricultural commodity specified in subsection (b)(3), except 
        that--
                    (A) the quantity planted may not exceed the average 
                annual planting history of such agricultural commodity 
                by the producers on the farm in the 1991 through 1995 
                or 1998 through 2001 crop years (excluding any crop 
                year in which no plantings were made), as determined by 
                the Secretary; and
                    (B) direct payments and counter-cyclical payments 
                shall be reduced by an acre for each acre planted to 
                such agricultural commodity.
    (d) Planting Transferability Pilot Project.--
            (1) Pilot project authorized.--In addition to the 
        exceptions provided in subsection (c), the Secretary shall 
        carry out a pilot project in the State of Indiana under which 
        paragraphs (1) and (2) of subsection (b) shall not limit the 
        planting of tomatoes grown for processing on up to 10,000 base 
        acres during each of the 2008 through 2009 crop years.
            (2) Contract and management requirements.--To be eligible 
        for selection to participate in the pilot project, the 
        producers on a farm shall--
                    (A) have entered into a contract to produce 
                tomatoes for processing; and
                    (B) agree to produce the tomatoes as part of a 
                program of crop rotation on the farm to achieve 
                agronomic and pest and disease management benefits.
            (3) Temporary reduction in base acres.--The base acres on a 
        farm participating in the pilot program for a crop year shall 
        be reduced by an acre for each acre planted to tomatoes under 
        the pilot program.
            (4) Recalculation of base acres.--
                    (A) In general.--If the Secretary recalculates base 
                acres for a farm while the farm is included in the 
                pilot project, the planting and production of tomatoes 
                on base acres for which a temporary reduction was made 
                under this section shall be considered to be the same 
                as the planting and production of a covered commodity.
                    (B) Prohibition.--Nothing in this paragraph 
                provides authority for the Secretary to recalculate 
                base acres for a farm.

SEC. 1107. SPECIAL RULE FOR LONG GRAIN AND MEDIUM GRAIN RICE.

    (a) Calculation Method.--Subject to subsections (b) and (c), for 
the purposes of determining the amount of the counter-cyclical payments 
to be paid to the producers on a farm for long grain rice and medium 
grain rice under section 1104, the base acres of rice on the farm shall 
be apportioned using the 4-year average of the percentages of acreage 
planted in the applicable State to long grain rice and medium grain 
rice during the 2003 through 2006 crop years, as determined by the 
Secretary.
    (b) Producer Election.--As an alternative to the calculation method 
described in subsection (a), the Secretary shall provide producers on a 
farm the opportunity to elect to apportion rice base acres on the farm 
using the 4-year average of--
            (1) the percentages of acreage planted on the farm to long 
        grain rice and medium grain rice during the 2003 through 2006 
        crop years;
            (2) the percentages of any acreage on the farm that the 
        producers were prevented from planting to long grain rice and 
        medium grain rice during the 2003 through 2006 crop years 
        because of drought, flood, other natural disaster, or other 
        condition beyond the control of the producers, as determined by 
        the Secretary; and
            (3) in the case of a crop year for which a producer on a 
        farm elected not to plant to long grain and medium grain rice 
        during the 2003 through 2006 crop years, the percentages of 
        acreage planted in the applicable State to long grain rice and 
        medium grain rice, as determined by the Secretary.
    (c) Limitation.--In carrying out this section, the Secretary shall 
use the same total base acres, payment acres, and payment yields 
established with respect to rice under sections 1101 and 1102 of the 
Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7911, 7912), 
as in effect on the day before the date of enactment of this Act, 
subject to any adjustment under section 1101 of this Act.

SEC. 1108. PERIOD OF EFFECTIVENESS.

    This part shall be effective beginning with the 2008 crop year of 
each covered commodity through the 2012 crop year.

    PART II--MARKETING ASSISTANCE LOANS AND LOAN DEFICIENCY PAYMENTS

SEC. 1201. AVAILABILITY OF NONRECOURSE MARKETING ASSISTANCE LOANS FOR 
              LOAN COMMODITIES.

    (a) Nonrecourse Loans Available.--
            (1) Availability.--Except as provided in section 1401, for 
        each of the 2008 through 2012 crops of each loan commodity, the 
        Secretary shall make available to producers on a farm 
        nonrecourse marketing assistance loans for loan commodities 
        produced on the farm.
            (2) Terms and conditions.--The marketing assistance loans 
        shall be made under terms and conditions that are prescribed by 
        the Secretary and at the loan rate established under section 
        1202 for the loan commodity.
    (b) Eligible Production.--The producers on a farm shall be eligible 
for a marketing assistance loan under subsection (a) for any quantity 
of a loan commodity produced on the farm.
    (c) Treatment of Certain Commingled Commodities.--In carrying out 
this part, the Secretary shall make loans to producers on a farm that 
would be eligible to obtain a marketing assistance loan, but for the 
fact the loan commodity owned by the producers on the farm is 
commingled with loan commodities of other producers in facilities 
unlicensed for the storage of agricultural commodities by the Secretary 
or a State licensing authority, if the producers obtaining the loan 
agree 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.

SEC. 1202. LOAN RATES FOR NONRECOURSE MARKETING ASSISTANCE LOANS.

    (a) Loan Rates.--For each of the 2008 through 2012 crop years, the 
loan rate for a marketing assistance loan under section 1201 for a loan 
commodity shall be equal to the following:
            (1) In the case of wheat, $2.94 per bushel.
            (2) In the case of corn, $1.95 per bushel.
            (3) In the case of grain sorghum, $1.95 per bushel.
            (4) In the case of barley, $1.95 per bushel.
            (5) In the case of oats, $1.39 per bushel.
            (6) In the case of the base quality of upland cotton, $0.52 
        per pound.
            (7) In the case of extra long staple cotton, $0.7977 per 
        pound.
            (8) In the case of long grain rice, $6.50 per 
        hundredweight.
            (9) in the case of medium grain rice, $6.50 per 
        hundredweight.
            (10) In the case of soybeans, $5.00 per bushel.
            (11) In the case of other oilseeds, $10.09 per 
        hundredweight.
            (12) In the case of dry peas, $5.40 per hundredweight.
            (13) In the case of lentils, $11.28 per hundredweight.
            (14) In the case of small chickpeas, $7.43 per 
        hundredweight.
            (15) In the case of large chickpeas, $11.28 per 
        hundredweight.
            (16) In the case of graded wool, $1.20 per pound.
            (17) In the case of nongraded wool, $0.40 per pound.
            (18) In the case of mohair, $4.20 per pound.
            (19) In the case of honey, $0.72 per pound.
    (b) Single County Loan Rate for Other Oilseeds.--The Secretary 
shall establish a single loan rate in each county for each kind of 
other oilseeds described in subsection (a)(10).
    (c) Grading Basis for Marketing Loans for Pulse Crops.--The loan 
rate for pulse crops--
            (1) shall be based on a grade not less than grade number 2 
        or other grade factors, including the fair and average quality 
        of the 1 or more crops in any year; and
            (2) may be adjusted by the Secretary to reflect the normal 
        market discounts for grades less than number 2 quality.
    (d) Corn and Grain Sorghum.--The Secretary shall--
            (1) establish a single county loan rate for corn and grain 
        sorghum in each county;
            (2) establish a single national average loan rate for corn 
        and grain sorghum; and
            (3) determine each county loan rate and the national 
        average loan rate for corn and grain sorghum, and any and all 
        other program loan rates applicable to corn and grain sorghum, 
        from a data set that includes prices for both corn and grain 
        sorghum.

SEC. 1203. TERM OF LOANS.

    (a) Term of Loan.--In the case of each loan commodity, a marketing 
assistance loan under section 1201 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.
    (b) Extensions Prohibited.--The Secretary may not extend the term 
of a marketing assistance loan for any loan commodity.

SEC. 1204. REPAYMENT OF LOANS.

    (a) General Rule.--The Secretary shall permit the producers on a 
farm to repay a marketing assistance loan under section 1201 for a loan 
commodity (other than upland cotton, long grain rice, medium grain 
rice, extra long staple cotton, and confectionery and each other kind 
of sunflower seed (other than oil sunflower seed)) at a rate that is 
the lesser of--
            (1) the loan rate established for the commodity under 
        section 1202, plus interest (determined in accordance with 
        section 163 of the Federal Agriculture Improvement and Reform 
        Act of 1996 (7 U.S.C. 7283)); 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;
                    (D) allow the commodity produced in the United 
                States to be marketed freely and competitively, both 
                domestically and internationally; and
                    (E) minimize discrepancies in marketing loan 
                benefits across State boundaries and across county 
                boundaries.
    (b) Repayment Rates for Upland Cotton, Long Grain Rice, and Medium 
Grain Rice.--The Secretary shall permit producers to repay a marketing 
assistance loan under section 1201 for upland cotton, long grain rice, 
and medium grain rice at a rate that is the lesser of--
            (1) the loan rate established for the commodity under 
        section 1202, plus interest (determined in accordance with 
        section 163 of the Federal Agriculture Improvement and Reform 
        Act of 1996 (7 U.S.C. 7283)); 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 1202, plus 
interest (determined in accordance with section 163 of the Federal 
Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7283)).
    (d) Prevailing World Market Price.--For purposes of this section 
and section 1207, the Secretary shall prescribe by regulation--
            (1) a formula to determine--
                    (A) the prevailing world market price for upland 
                cotton (adjusted to United States quality and 
                location); and
                    (B) the prevailing world market price for long 
                grain rice and medium grain rice, adjusted to United 
                States quality and location; and
            (2) a mechanism by which the Secretary shall announce 
        periodically the prevailing world market price for upland 
        cotton, long grain rice, and medium grain rice.
    (e) Adjustment of Prevailing World Market Price for Upland 
Cotton.----
            (1) In general.--During the period beginning on the date of 
        enactment of this Act and ending July 31, 2013, the Secretary 
        may further adjust the prevailing world market price for upland 
        cotton (adjusted to United States quality and location) if the 
        Secretary determines the adjustment is necessary--
                    (A) to minimize potential loan forfeitures;
                    (B) to minimize the accumulation of stocks of 
                upland cotton by the Federal Government;
                    (C) to allow upland cotton produced in the United 
                States to be marketed freely and competitively, both 
                domestically and internationally;
                    (D) to ensure that upland cotton produced in the 
                United States is competitive in world markets; and
                    (E) to ensure an appropriate transition between 
                current-crop and forward-crop price quotations, except 
                that the Secretary may use forward-crop price 
                quotations prior to July 31 of a marketing year only 
                if--
                            (i) there are insufficient current-crop 
                        price quotations; and
                            (ii) the forward-crop price quotation is 
                        the lowest such quotation available.
            (2) Guidelines for additional adjustments.--In making 
        adjustments under this subsection, the Secretary shall 
        establish a mechanism for determining and announcing the 
        adjustments in order to avoid undue disruption in the United 
        States market.
    (f) Repayment Rates for Confectionery and Other Kinds of Sunflower 
Seeds.--The Secretary shall permit the producers on a farm to repay a 
marketing assistance loan under section 1201 for confectionery and each 
other kind of sunflower seed (other than oil sunflower seed) at a rate 
that is the lesser of--
            (1) the loan rate established for the commodity under 
        section 1202, plus interest (determined in accordance with 
        section 163 of the Federal Agriculture Improvement and Reform 
        Act of 1996 (7 U.S.C. 7283)); or
            (2) the repayment rate established for oil sunflower seed.
    (g) Quality Grades for Pulse Crops.--The loan repayment rate for 
pulse crops shall be based on the quality grades for the applicable 
commodity specified in section 1202(c).
    (h) Payment of Cotton Storage Costs.--Effective for the 2008 
through 2012 crop years, the Secretary shall use the funds of the 
Commodity Credit Corporation to provide cotton storage payments in the 
same manner, and at the same rates, as the Secretary provided those 
payments for the 2006 crop of cotton.

SEC. 1205. LOAN DEFICIENCY PAYMENTS.

    (a) Availability of Loan Deficiency Payments.--
            (1) In general.--Except as provided in subsection (d) and 
        section 1401, the Secretary may make loan deficiency payments 
        available to producers on a farm that, although eligible to 
        obtain a marketing assistance loan under section 1201 with 
        respect to a loan commodity, agree to forgo obtaining the loan 
        for the commodity in return for loan deficiency payments under 
        this section.
            (2) Unshorn pelts, hay, and silage.--
                    (A) Marketing assistance loans.--Subject to 
                subparagraph (B), nongraded wool in the form of unshorn 
                pelts and hay and silage derived from a loan commodity 
                are not eligible for a marketing assistance loan under 
                section 1201.
                    (B) Loan deficiency payment.--Effective for the 
                2008 through 2012 crop years, the Secretary may make 
                loan deficiency payments available under this section 
                to producers on a farm that produce unshorn pelts or 
                hay and silage derived from a loan commodity.
    (b) Computation.--A loan deficiency payment for a loan commodity or 
commodity referred to in subsection (a)(2) shall be computed by 
multiplying--
            (1) the payment rate determined under subsection (c) for 
        the commodity; by
            (2) the quantity of the commodity produced by the eligible 
        producers, excluding any quantity for which the producers 
        obtain a marketing assistance loan under section 1201.
    (c) Payment Rate.--
            (1) In general.--In the case of a loan commodity, the 
        payment rate shall be the amount by which--
                    (A) the loan rate established under section 1202 
                for the loan commodity; exceeds
                    (B) the rate at which a marketing assistance loan 
                for the loan commodity may be repaid under section 
                1204.
            (2) Unshorn pelts.--In the case of unshorn pelts, the 
        payment rate shall be the amount by which--
                    (A) the loan rate established under section 1202 
                for ungraded wool; exceeds
                    (B) the rate at which a marketing assistance loan 
                for ungraded wool may be repaid under section 1204.
            (3) Hay and silage.--In the case of hay or silage derived 
        from a loan commodity, the payment rate shall be the amount by 
        which--
                    (A) the loan rate established under section 1202 
                for the loan commodity from which the hay or silage is 
                derived; exceeds
                    (B) the rate at which a marketing assistance loan 
                for the loan commodity may be repaid under section 
                1204.
    (d) Exception for Extra Long Staple Cotton.--This section shall not 
apply with respect to extra long staple cotton.
    (e) Effective Date for Payment Rate Determination.--
            (1) Loss of beneficial interest.--The Secretary shall 
        determine the amount of the loan deficiency payment to be made 
        under this section to the producers on a farm with respect to a 
        quantity of a loan commodity or commodity referred to in 
        subsection (a)(2) using the payment rate in effect under 
        subsection (c) as soon as practicable after the date on which 
        the producers on the farm lose beneficial interest.
            (2) On-farm consumption.--For the quantity of a loan 
        commodity or commodity referred to in subsection (a)(2) 
        consumed on a farm, the Secretary shall provide procedures to 
        determine a date on which the producers on the farm lose 
        beneficial interest.
            (3) Applicability.--This subsection does not apply for the 
        2009 through 2012 crop years.

SEC. 1206. PAYMENTS IN LIEU OF LOAN DEFICIENCY PAYMENTS FOR GRAZED 
              ACREAGE.

    (a) Eligible Producers.--
            (1) In general.--Except as provided in section 1401, 
        effective for the 2008 through 2012 crop years, in the case of 
        a producer that would be eligible for a loan deficiency payment 
        under section 1205 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.
            (2) Grazing of triticale acreage.--Effective for the 2008 
        through 2012 crop years, with respect to a producer on a farm 
        that uses acreage planted to triticale 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 triticale 
        on that acreage.
    (b) Payment Amount.--
            (1) In general.--The amount of a payment made under this 
        section to a producer on a farm described in subsection (a)(1) 
        shall be equal to the amount determined by multiplying--
                    (A) the loan deficiency payment rate determined 
                under section 1205(c) in effect, as of the date of the 
                agreement, for the county in which the farm is located; 
                by
                    (B) the payment quantity determined by 
                multiplying--
                            (i) 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
                            (ii) the payment yield in effect for the 
                        calculation of direct payments under part I 
                        with respect to that loan commodity on the farm 
                        or, in the case of a farm without a payment 
                        yield for that loan commodity, an appropriate 
                        yield established by the Secretary in a manner 
                        consistent with section 1102(c).
            (2) Grazing of triticale acreage.--The amount of a payment 
        made under this section to a producer on a farm described in 
        subsection (a)(2) shall be equal to the amount determined by 
        multiplying--
                    (A) the loan deficiency payment rate determined 
                under section 1205(c) in effect for wheat, as of the 
                date of the agreement, for the county in which the farm 
                is located; by
                    (B) the payment quantity determined by 
                multiplying--
                            (i) the quantity of the grazed acreage on 
                        the farm with respect to which the producer 
                        elects to forgo harvesting of triticale; and
                            (ii) the payment yield in effect for the 
                        calculation of direct payments under part I 
                        with respect to wheat on the farm or, in the 
                        case of a farm without a payment yield for 
                        wheat, an appropriate yield established by the 
                        Secretary in a manner consistent with section 
                        1102(c).
    (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 1205.
            (2) Availability.--
                    (A) In general.--The Secretary shall establish an 
                availability period for the payments authorized by this 
                section.
                    (B) Certain commodities.--In the case of wheat, 
                barley, and oats, the availability period shall be 
                consistent with the availability period for the 
                commodity established by the Secretary for marketing 
                assistance loans authorized by this part.
    (d) Prohibition on Crop Insurance Indemnity or Noninsured Crop 
Assistance.--A 2008 through 2012 crop of wheat, barley, oats, or 
triticale 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 an 
indemnity under a policy or plan of insurance authorized 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. 1207. SPECIAL MARKETING LOAN PROVISIONS FOR UPLAND COTTON.

    (a) Special Import Quota.--
            (1) Definition of special import quota.--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.
            (2) 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 through July 31, 
                2013, as provided in this subsection.
                    (B) Program requirements.--Whenever the Secretary 
                determines and announces that for any consecutive 4-
                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 to a definable and significant international 
                market, as determined by the Secretary, exceeds the 
                prevailing world market price, there shall immediately 
                be in effect a special import quota.
            (3) Quantity.--The quota shall be equal to 1 week's 
        consumption of cotton by domestic mills at the seasonally 
        adjusted average rate of the most recent 3 months for which 
        data are available.
            (4) Application.--The quota shall apply to upland cotton 
        purchased not later than 90 days after the date of the 
        Secretary's announcement under paragraph (2) and entered into 
        the United States not later than 180 days after that date.
            (5) Overlap.--A special quota period may be established 
        that overlaps any existing quota period if required by 
        paragraph (2), except that a special quota period may not be 
        established under this subsection if a quota period has been 
        established under subsection (b).
            (6) 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.
            (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 10 week's consumption of upland cotton by 
        domestic mills at the seasonally adjusted average rate of the 3 
        months immediately preceding the first special import quota 
        established in any marketing year.
    (b) Limited Global Import Quota for Upland Cotton.--
            (1) Definitions.--In this subsection:
                    (A) 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.
                    (B) Demand.--The term ``demand'' means--
                            (i) the average seasonally adjusted annual 
                        rate of domestic mill consumption of cotton 
                        during the most recent 3 months for which data 
                        are available; and
                            (ii) the larger of--
                                    (I) average exports of upland 
                                cotton during the preceding 6 marketing 
                                years; or
                                    (II) cumulative exports of upland 
                                cotton plus outstanding export sales 
                                for the marketing year in which the 
                                quota is established.
                    (C) 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.
            (2) Program.--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 the 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 3 months for which data are available or as 
                estimated by the Secretary.
                    (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) 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.
            (3) No overlap.--Notwithstanding paragraph (2), a quota 
        period may not be established that overlaps an existing quota 
        period or a special quota period established under subsection 
        (a).
    (c) Economic Adjustment Assistance to Users of Upland Cotton.--
            (1) In general.--Subject to paragraph (2), the Secretary 
        shall, on a monthly basis, provide economic adjustment 
        assistance to domestic users of upland cotton in the form of 
        payments for all documented use of that upland cotton during 
        the previous monthly period regardless of the origin of the 
        upland cotton.
            (2) Value of assistance.--
                    (A) Beginning period.--During the period beginning 
                on August 1, 2008, and ending on June 30, 2013, the 
                value of the assistance provided under paragraph (1) 
                shall be 4 cents per pound.
                    (B) Subsequent period.--Effective beginning on July 
                1, 2013, the value of the assistance provided under 
                paragraph (1) shall be 0 cents per pound.
            (3) Allowable purposes.--Economic adjustment assistance 
        under this subsection shall be made available only to domestic 
        users of upland cotton that certify that the assistance shall 
        be used only to acquire, construct, install, modernize, 
        develop, convert, or expand land, plant, buildings, equipment, 
        facilities, or machinery.
            (4) Review or audit.--The Secretary may conduct such review 
        or audit of the records of a domestic user under this 
        subsection as the Secretary determines necessary to carry out 
        this subsection.
            (5) Improper use of assistance.--If the Secretary 
        determines, after a review or audit of the records of the 
        domestic user, that economic adjustment assistance under this 
        subsection was not used for the purposes specified in paragraph 
        (3), the domestic user shall be--
                    (A) liable to repay the assistance to the 
                Secretary, plus interest, as determined by the 
                Secretary; and
                    (B) ineligible to receive assistance under this 
                subsection for a period of 1 year following the 
                determination of the Secretary.

SEC. 1208. 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 through July 31, 2013, the Secretary shall carry out a 
program--
            (1) to maintain and expand the domestic use of extra long 
        staple cotton produced in the United States;
            (2) to increase exports of extra long staple cotton 
        produced in the United States; and
            (3) 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 4-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 that 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 4-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 4-week period.

SEC. 1209. AVAILABILITY OF RECOURSE LOANS FOR HIGH MOISTURE FEED GRAINS 
              AND SEED COTTON.

    (a) High Moisture Feed Grains.--
            (1) Definition of high moisture state.--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 1201.
            (2) Recourse loans available.--For each of the 2008 through 
        2012 crops of corn and grain sorghum, the Secretary shall make 
        available recourse loans, as determined by the Secretary, to 
        producers on a farm that--
                    (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.
            (3) 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 
                used to make counter-cyclical payments under part I 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.
    (b) Recourse Loans Available for Seed Cotton.--For each of the 2008 
through 2012 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 (determined in accordance with section 163 of 
the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 
7283)).

SEC. 1210. ADJUSTMENTS OF LOANS.

    (a) Adjustment Authority.--Subject to subsections (e) and (f), the 
Secretary may make appropriate adjustments in the loan rates for any 
loan commodity (other than cotton) for differences in grade, type, 
quality, location, and other factors.
    (b) Manner of Adjustment.--The adjustments under subsection (a) 
shall, to the maximum extent practicable, be made in such a manner that 
the average loan level for the commodity will, on the basis of the 
anticipated incidence of the factors, be equal to the level of support 
determined in accordance with this subtitle and subtitles B through E.
    (c) Adjustment on County Basis.--
            (1) In general.--The Secretary may establish loan rates for 
        a crop for producers in individual counties in a manner that 
        results in the lowest loan rate being 95 percent of the 
        national average loan rate, if those loan rates do not result 
        in an increase in outlays.
            (2) Prohibition.--Adjustments under this subsection shall 
        not result in an increase in the national average loan rate for 
        any year.
    (d) Adjustment in Loan Rate for Cotton.--
            (1) In general.--The Secretary may make appropriate 
        adjustments in the loan rate for cotton for differences in 
        quality factors.
            (2) Revisions to quality adjustments for upland cotton.--
                    (A) In general.--Not later than 180 days after the 
                enactment of this Act and after consultation with the 
                private sector in accordance with paragraph (3), the 
                Secretary shall implement revisions in the 
                administration of the marketing assistance loan program 
                for upland cotton to more accurately and efficiently 
                reflect market values for upland cotton.
                    (B) Mandatory revisions.--Revisions under 
                subparagraph (A) shall include--
                            (i) the elimination of warehouse location 
                        differentials;
                            (ii) the establishment of differentials for 
                        the various quality factors and staple lengths 
                        of cotton based on a 3-year, weighted moving 
                        average of the weighted designated spot market 
                        regions, as determined by regional production;
                            (iii) the elimination of any artificial 
                        split in the premium or discount between upland 
                        cotton with a 32 or 33 staple length due to 
                        micronaire; and
                            (iv) a mechanism to ensure that no premium 
                        or discount is established that exceeds the 
                        premium or discount associated with a leaf 
                        grade that is 1 better than the applicable 
                        color grade.
                    (C) Discretionary revisions.--Revisions under 
                subparagraph (A) may include--
                            (i) the use of non-spot market price data, 
                        in addition to spot market price data, that 
                        would enhance the accuracy of the price 
                        information used in determining quality 
                        adjustments under this subsection;
                            (ii) adjustments in the premiums or 
                        discounts associated with upland cotton with a 
                        staple length of 33 or above due to micronaire 
                        with the goal of eliminating any unnecessary 
                        artificial splits in the calculations of the 
                        premiums or discounts; and
                            (iii) such other adjustments as the 
                        Secretary determines appropriate, after 
                        consultations conducted in accordance with 
                        paragraph (3).
            (3) Consultation with private sector.--
                    (A) Prior to revision.--Prior to implementing any 
                revisions to the administration of the marketing 
                assistance loan program for upland cotton, the 
                Secretary shall consult with a private sector committee 
                that--
                            (i) is in existence as of the date of 
                        enactment of this Act;
                            (ii) has a membership that includes 
                        representatives of the production, ginning, 
                        warehousing, cooperative, and merchandising 
                        segments of the United States cotton industry; 
                        and
                            (iii) has developed recommendations 
                        concerning the revisions.
                    (B) Review of adjustments.--The Secretary shall 
                consult with the committee described in subparagraph 
                (A) when conducting a review of adjustments in the 
                operation of the loan program for upland cotton in 
                accordance with paragraph (4).
                    (C) Inapplicability of federal advisory committee 
                act.--The Federal Advisory Committee Act (5 U.S.C. 
                App.) shall not apply to consultations under this 
                subsection.
            (4) Review of adjustments.--The Secretary may review the 
        operation of the upland cotton quality adjustments implemented 
        pursuant to this subsection and may make further revisions to 
        the administration of the loan program for upland cotton, by--
                    (A) revoking or revising any actions taken under 
                paragraph (2)(B); or
                    (B) revoking or revising any actions taken or 
                authorized to be taken under paragraph (2)(C).
            (5) Adjustments in effect prior to revision.--The quality 
        differences (premiums and discounts for quality factors) 
        applicable to the loan program for upland cotton (prior to any 
        revisions in accordance with this subsection) shall be 
        established by the Secretary by giving equal weight to--
                    (A) loan differences for the preceding crop; and
                    (B) market differences for the crop in the 
                designated United States spot markets.
    (e) Corn and Grain Sorghum.--In the case of corn and grain sorghum, 
the Secretary--
            (1) shall administer the applicable loan, marketing loan, 
        and related programs using a single loan rate for corn and 
        grain sorghum that is identical in each individual county;
            (2) shall provide that any adjustment in the corn and grain 
        sorghum loan rate for location shall be determined and applied 
        on the basis of the combined corn and grain sorghum data set in 
        a manner that any transportation adjustment shall be the same 
        for corn and grain sorghum in each individual county; and
            (3) may provide for adjustments for grade, type, and 
        quality, as appropriate, for the corn or grain sorghum involved 
        in each specific transaction.
    (f) Rice.--The Secretary shall not make adjustments in the loan 
rates for long grain rice and medium grain rice, except for differences 
in grade and quality (including milling yields).

                           PART III--PEANUTS

SEC. 1301. DEFINITIONS.

    In this part:
            (1) Base acres for peanuts.--The term ``base acres for 
        peanuts'' means the number of acres assigned to a farm pursuant 
        to section 1302 of the Farm Security and Rural Investment Act 
        of 2002 (7 U.S.C. 7952), as in effect on the day before the 
        date of enactment of this Act, subject to any adjustment under 
        section 1302 of this Act.
            (2) Counter-cyclical payment.--The term ``counter-cyclical 
        payment'' means a payment made to producers on a farm under 
        section 1304.
            (3) Direct payment.--The term ``direct payment'' means a 
        direct payment made to producers on a farm under section 1303.
            (4) Effective price.--The term ``effective price'' means 
        the price calculated by the Secretary under section 1304 for 
        peanuts to determine whether counter-cyclical payments are 
        required to be made under that section for a crop year.
            (5) Payment acres.--The term ``payment acres'' means 85 
        percent of the base acres for peanuts.
            (6) Payment yield.--The term ``payment yield'' means the 
        yield established for direct payments and counter-cyclical 
        payments under section 1302 of the Farm Security and Rural 
        Investment Act of 2002 (7 U.S.C. 7952), as in effect on the day 
        before the date of enactment of this Act, for a farm for 
        peanuts.
            (7) Producer.--
                    (A) In general.--The term ``producer'' means an 
                owner, operator, landlord, tenant, or sharecropper that 
                shares in the risk of producing a crop on a farm and is 
                entitled to share in the crop available for marketing 
                from the farm, or would have shared had the crop been 
                produced.
                    (B) Hybrid seed.--In determining whether a grower 
                of hybrid seed is a producer, the Secretary shall--
                            (i) not take into consideration the 
                        existence of a hybrid seed contract; and
                            (ii) ensure that program requirements do 
                        not adversely affect the ability of the grower 
                        to receive a payment under this part.
            (8) State.--The term ``State'' means--
                    (A) a State;
                    (B) the District of Columbia;
                    (C) the Commonwealth of Puerto Rico; and
                    (D) any other territory or possession of the United 
                States.
            (9) Target price.--The term ``target price'' means the 
        price per ton of peanuts used to determine the payment rate for 
        counter-cyclical payments.
            (10) United states.--The term ``United States'', when used 
        in a geographical sense, means all of the States.

SEC. 1302. BASE ACRES FOR PEANUTS FOR A FARM.

    (a) Adjustment of Base Acreage for Peanuts.--
            (1) Treatment of conservation reserve contract acreage.--
        The Secretary shall provide for an adjustment, as appropriate, 
        in the base acres for peanuts for a 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.
                    (C) The producer has eligible pulse crop or 
                camelina acreage.
                    (D) The producer has eligible oilseed acreage as 
                the result of the Secretary designating additional 
                oilseeds.
            (2) Special conservation reserve acreage payment rules.--
        For the crop year in which a base acres for peanuts adjustment 
        under paragraph (1) is first made, the owner of the farm shall 
        elect to receive either direct 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.
    (b) Prevention of Excess Base Acres for Peanuts.--
            (1) Required reduction.--If the sum of the base acres for 
        peanuts for a farm, together with the acreage described in 
        paragraph (2), exceeds the actual cropland acreage of the farm, 
        the Secretary shall reduce the base acres for peanuts for the 
        farm or the base acres for 1 or more covered commodities for 
        the farm so that the sum of the base acres for peanuts 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 for a covered 
                commodity.
                    (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 
                Federal conservation program for which payments are 
                made in exchange for not producing an agricultural 
                commodity on the acreage.
                    (D) Any eligible pulse crop or camelina acreage, 
                which shall be determined in the same manner as 
                eligible oilseed acreage under section 1101(a)(2) of 
                the Farm Security and Rural Investment Act of 2002 (7 
                U.S.C. 7911(a)(2)).
                    (E) If the Secretary designates additional 
                oilseeds, any eligible oilseed acreage, which shall be 
                determined in the same manner as eligible oilseed 
                acreage under section 1101(a)(2) of the Farm Security 
                and Rural Investment Act of 2002 (7 U.S.C. 7911(a)(2)).
            (3) Selection of acres.--The Secretary shall give the owner 
        of the farm the opportunity to select the base acres for 
        peanuts or the base acres for covered commodities against which 
        the reduction required by paragraph (1) will be made.
            (4) Exception for double-cropped acreage.--In applying 
        paragraph (1), the Secretary shall make an exception in the 
        case of double cropping, as determined by the Secretary.
            (5) Coordinated application of requirements.--The Secretary 
        shall take into account section 1101(b) when applying the 
        requirements of this subsection.
    (c) Permanent Reduction in Base Acres for Peanuts.--
            (1) In general.--The owner of a farm may reduce, at any 
        time, the base acres for peanuts assigned to the farm.
            (2) Administration.--The reduction shall be permanent and 
        made in the manner prescribed by the Secretary.

SEC. 1303. AVAILABILITY OF DIRECT PAYMENTS FOR PEANUTS.

    (a) Payment Required.--Except as provided in section 1401, for each 
of the 2008 through 2012 crop years for peanuts, the Secretary shall 
make direct payments to the producers on a farm to which a payment 
yield and base acres for peanuts are established.
    (b) Payment Rate.--The payment rate used to make direct payments 
with respect to peanuts for a crop year shall be equal to $36 per ton.
    (c) Payment Amount.--The amount of the direct payment to be paid to 
the producers on a farm for the 2008 through 2012 crops of peanuts 
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) In general.--In the case of each of the 2008 through 
        2012 crop years, the Secretary shall make direct payments under 
        this section not earlier than October 1 of the calendar year in 
        which the crop is harvested.
            (2) Advance payments.--
                    (A) Option.--At the option of the producers on a 
                farm, the Secretary shall pay in advance up to 22 
                percent of the direct payment for peanuts for any of 
                the 2008 through 2011 crop years to the producers on a 
                farm.
                    (B) Month.--
                            (i) Selection.--Subject to clauses (ii) and 
                        (iii), the producers on a farm shall select the 
                        month during which the advance payment for a 
                        crop year will be made.
                            (ii) Options.--The month selected may be 
                        any month during the period--
                                    (I) beginning on December 1 of the 
                                calendar year before the calendar year 
                                in which the crop of peanuts is 
                                harvested; and
                                    (II) ending during the month within 
                                which the direct payment would 
                                otherwise be made.
                            (iii) Change.--The producers on a farm may 
                        change the selected month for a subsequent 
                        advance payment by providing advance notice to 
                        the Secretary.
            (3) Repayment of advance payments.--If a producer on a farm 
        that receives an advance direct payment for a crop year ceases 
        to be a producer on that farm, or the extent to which the 
        producer shares in the risk of producing a crop changes, before 
        the date the remainder of the direct payment is made, the 
        producer shall be responsible for repaying the Secretary the 
        applicable amount of the advance payment, as determined by the 
        Secretary.

SEC. 1304. AVAILABILITY OF COUNTER-CYCLICAL PAYMENTS FOR PEANUTS.

    (a) Payment Required.--Except as provided in section 1401, for each 
of the 2008 through 2012 crop years for peanuts, the Secretary shall 
make counter-cyclical payments to producers on farms for which payment 
yields and base acres for peanuts are established if the Secretary 
determines that the effective price for peanuts is less than the target 
price for peanuts.
    (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 for peanuts 
                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 
                applicable period under this part.
            (2) The payment rate in effect for peanuts under section 
        1303 for the purpose of making direct payments.
    (c) Target Price.--For purposes of subsection (a), the target price 
for peanuts shall be equal to $495 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.--If counter-cyclical payments are required to 
be paid for any of the 2008 through 2012 crops of peanuts, the amount 
of the counter-cyclical payment to be paid to the producers on a farm 
for that 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.--If the Secretary determines under 
        subsection (a) that counter-cyclical payments are required to 
        be made under this section for a crop year, the Secretary shall 
        make the counter-cyclical payments for the crop year beginning 
        on October 1 or as soon as practicable after the end of the 
        marketing year.
            (2) Availability of partial payments.--
                    (A) In general.--If, before the end of the 12-month 
                marketing year, the Secretary estimates that counter-
                cyclical payments will be required under this section 
                for a crop year, the Secretary shall give producers on 
                a farm the option to receive partial payments of the 
                counter-cyclical payment projected to be made for the 
                crop.
                    (B) Election.--
                            (i) In general.--The Secretary shall allow 
                        participants to make an election to receive 
                        partial payments under subparagraph (A) at any 
                        time but not later than 30 days prior to the 
                        end of the marketing year for the crop.
                            (ii) Date of issuance.--The Secretary shall 
                        issue the partial payment after the date of an 
                        announcement by the Secretary but not later 
                        than 30 days prior to the end of the marketing 
                        year.
            (3) Time for partial payments.--When the Secretary makes 
        partial payments available for any of the 2008 through 2010 
        crop years--
                    (A) the first partial payment shall be made after 
                completion of the first 180 days of the marketing year 
                for that crop; and
                    (B) the final partial payment shall be made on 
                October 1 of the fiscal year starting in the same 
                calendar year as the end of the marketing year for that 
                crop.
            (4) Amount of partial payments.--
                    (A) First partial payment.--For each of the 2008 
                through 2010 crop years, the first partial payment 
                under paragraph (3) to the producers on a farm may not 
                exceed 40 percent of the projected counter-cyclical 
                payment for the crop year, as determined by the 
                Secretary.
                    (B) Final payment.--The final payment for a crop 
                year shall be equal to the difference between--
                            (i) the actual counter-cyclical payment to 
                        be made to the producers for that crop year; 
                        and
                            (ii) the amount of the partial payment made 
                        to the producers under subparagraph (A).
            (5) Repayment.--The producers on a farm that receive a 
        partial payment under this subsection for a crop year shall 
        repay to the Secretary the amount, if any, by which the total 
        of the partial payments exceed the actual counter-cyclical 
        payment to be made for that crop year.

SEC. 1305. PRODUCER AGREEMENT REQUIRED AS CONDITION ON PROVISION OF 
              DIRECT PAYMENTS AND COUNTER-CYCLICAL PAYMENTS.

    (a) Compliance With Certain Requirements.--
            (1) Requirements.--Before the producers on a farm may 
        receive direct payments or counter-cyclical payments under this 
        part with respect to the farm, the producers shall agree, 
        during the crop year for which the payments are made and 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 that Act 
                (16 U.S.C. 3821 et seq.);
                    (C) to comply with the planting flexibility 
                requirements of section 1306;
                    (D) to use the land on the farm, in a quantity 
                equal to the attributable base acres for peanuts and 
                any base acres for the farm under part I, for an 
                agricultural or conserving use, and not for a 
                nonagricultural commercial, industrial, or residential 
                use (including land subdivided and developed into 
                residential units or other nonfarming uses, or that is 
                otherwise no longer intended to be used in conjunction 
                with a farming operation), as determined by the 
                Secretary; and
                    (E) to effectively control noxious weeds and 
                otherwise maintain the land in accordance with sound 
                agricultural practices, as determined by the Secretary, 
                if the agricultural or conserving use involves the 
                noncultivation of any portion of the land referred to 
                in subparagraph (D).
            (2) Compliance.--The Secretary may issue such rules as the 
        Secretary considers necessary to ensure producer compliance 
        with the requirements of paragraph (1).
            (3) Modification.--At the request of the transferee or 
        owner, the Secretary may modify the requirements of this 
        subsection if the modifications are consistent with the 
        objectives of this subsection, as determined by the Secretary.
    (b) Transfer or Change of Interest in Farm.--
            (1) Termination.--
                    (A) In general.--Except as provided in paragraph 
                (2), a transfer of (or change in) the interest of the 
                producers on a farm in the base acres for peanuts for 
                which direct payments or counter-cyclical payments are 
                made shall result in the termination of the payments 
                with respect to those acres, unless the transferee or 
                owner of the acreage agrees to assume all obligations 
                under subsection (a).
                    (B) Effective date.--The termination shall take 
                effect on the date determined by the Secretary.
            (2) Exception.--If a producer entitled to a direct 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 rules issued by the 
        Secretary.
    (c) Acreage Reports.--
            (1) In general.--As a condition on the receipt of any 
        benefits under this part, the Secretary shall require producers 
        on a farm to submit to the Secretary annual acreage reports 
        with respect to all cropland on the farm.
            (2) Penalties.--No penalty with respect to benefits under 
        this part shall be assessed against the producers on a farm for 
        an inaccurate acreage report unless the producers on the farm 
        knowingly and willfully falsified the acreage report.
    (d) Tenants and Sharecroppers.--In carrying out this part, the 
Secretary shall provide adequate safeguards to protect the interests of 
tenants and sharecroppers.
    (e) Sharing of Payments.--The Secretary shall provide for the 
sharing of direct payments and counter-cyclical payments among the 
producers on a farm on a fair and equitable basis.

SEC. 1306. PLANTING FLEXIBILITY.

    (a) Permitted Crops.--Subject to subsection (b), any commodity or 
crop may be planted on the base acres for peanuts on a farm.
    (b) Limitations Regarding Certain Commodities.--
            (1) General limitation.--The planting of an agricultural 
        commodity specified in paragraph (3) shall be prohibited on 
        base acres for peanuts unless the commodity, if planted, is 
        destroyed before harvest.
            (2) Treatment of trees and other perennials.--The planting 
        of an agricultural commodity specified in paragraph (3) that is 
        produced on a tree or other perennial plant shall be prohibited 
        on base acres for peanuts.
            (3) Covered agricultural commodities.--Paragraphs (1) and 
        (2) apply to the following agricultural commodities:
                    (A) Fruits.
                    (B) Vegetables (other than mung beans and pulse 
                crops).
                    (C) Wild rice.
    (c) Exceptions.--Paragraphs (1) and (2) of subsection (b) shall not 
limit the planting of an agricultural commodity specified in paragraph 
(3) of that subsection--
            (1) in any region in which there is a history of double-
        cropping of peanuts with agricultural commodities specified in 
        subsection (b)(3), as determined by the Secretary, in which 
        case the double-cropping shall be permitted;
            (2) on a farm that the Secretary determines has a history 
        of planting agricultural commodities specified in subsection 
        (b)(3) on the base acres for peanuts, except that direct 
        payments and counter-cyclical payments shall be reduced by an 
        acre for each acre planted to such an agricultural commodity; 
        or
            (3) by the producers on a farm that the Secretary 
        determines has an established planting history of a specific 
        agricultural commodity specified in subsection (b)(3), except 
        that--
                    (A) the quantity planted may not exceed the average 
                annual planting history of such agricultural commodity 
                by the producers on the farm in the 1991 through 1995 
                or 1998 through 2001 crop years (excluding any crop 
                year in which no plantings were made), as determined by 
                the Secretary; and
                    (B) direct payments and counter-cyclical payments 
                shall be reduced by an acre for each acre planted to 
                such agricultural commodity.

SEC. 1307. MARKETING ASSISTANCE LOANS AND LOAN DEFICIENCY PAYMENTS FOR 
              PEANUTS.

    (a) Nonrecourse Loans Available.--
            (1) Availability.--Except as provided in section 1401, for 
        each of the 2008 through 2012 crops of peanuts, the Secretary 
        shall make available to producers on a farm nonrecourse 
        marketing assistance loans for peanuts produced on the farm.
            (2) Terms and conditions.--The loans shall be made under 
        terms and conditions that are prescribed by the Secretary and 
        at the loan rate established under subsection (b).
            (3) Eligible production.--The producers on a farm shall be 
        eligible for a marketing assistance loan under this subsection 
        for any quantity of peanuts produced on the farm.
            (4) Treatment of certain commingled commodities.--In 
        carrying out this subsection, the Secretary shall make loans to 
        producers on a farm that would be eligible to obtain a 
        marketing assistance loan, but for the fact the peanuts owned 
        by the producers on the farm are commingled with other peanuts 
        in facilities unlicensed for the storage of agricultural 
        commodities by the Secretary or a State licensing authority, if 
        the producers obtaining the loan agree 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).
            (5) 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 producers 
        on a farm through--
                    (A) a designated marketing association or marketing 
                cooperative of producers that is approved by the 
                Secretary; or
                    (B) the Farm Service Agency.
            (6) Storage of loan peanuts.--As a condition on the 
        Secretary's approval of an individual or entity to provide 
        storage for peanuts for which a marketing assistance loan is 
        made under this section, the individual or entity shall agree--
                    (A) to provide such storage on a nondiscriminatory 
                basis; and
                    (B) to comply with such additional requirements as 
                the Secretary considers appropriate to accomplish the 
                purposes of this section and promote fairness in the 
                administration of the benefits of this section.
            (7) Storage, handling, and associated costs.--
                    (A) In general.--Beginning with the 2007 crop of 
                peanuts, to ensure proper storage of peanuts for which 
                a loan is made under this section or section 1307 of 
                the Farm Security and Rural Investment Act of 2002 (7 
                U.S.C. 7957), the Secretary shall use the funds of the 
                Commodity Credit Corporation to pay handling and other 
                associated costs (other than storage costs) incurred at 
                the time at which the peanuts are placed under loan, as 
                determined by the Secretary.
                    (B) Redemption and forfeiture.--The Secretary 
                shall--
                            (i) require the repayment of handling and 
                        other associated costs paid under subparagraph 
                        (A) for all peanuts pledged as collateral for a 
                        loan that is redeemed under this section or 
                        section 1307 of the Farm Security and Rural 
                        Investment Act of 2002 (7 U.S.C. 7957); and
                            (ii) pay storage, handling, and other 
                        associated costs for all peanuts pledged as 
                        collateral that are forfeited under this 
                        section or section 1307 of that Act.
            (8) Marketing.--A marketing association or cooperative may 
        market peanuts for which a loan is made under this section in 
        any manner that conforms to consumer needs, including the 
        separation of peanuts by type and quality.
    (b) Loan Rate.--The loan rate for a marketing assistance loan for 
peanuts under subsection (a) shall be equal to $355 per ton.
    (c) Term of Loan.--
            (1) In general.--A marketing assistance loan for peanuts 
        under subsection (a) 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.
            (2) Extensions prohibited.--The Secretary may not extend 
        the term of a marketing assistance loan for peanuts under 
        subsection (a).
    (d) Repayment Rate.--The Secretary shall permit producers on a farm 
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 peanuts under subsection 
        (b), plus interest (determined in accordance with section 163 
        of the Federal Agriculture Improvement and Reform Act of 1996 
        (7 U.S.C. 7283)); 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 on a farm that, 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 loan deficiency payments under this 
        subsection.
            (2) Computation.--A loan deficiency payment under this 
        subsection shall be computed by multiplying--
                    (A) the payment rate determined under paragraph (3) 
                for peanuts; by
                    (B) the quantity of the peanuts produced by the 
                producers, excluding any quantity for which the 
                producers obtain a marketing assistance loan under 
                subsection (a).
            (3) Payment rate.--For purposes of this subsection, the 
        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) Effective date for payment rate determination.--
                    (A) In general.--The Secretary shall determine the 
                amount of the loan deficiency payment to be made under 
                this subsection to the producers on a farm with respect 
                to a quantity of peanuts using the payment rate in 
                effect under paragraph (3) as soon as practicable after 
                the date on which the producers on the farm lose 
                beneficial interest.
                    (B) Applicability.--This paragraph does not apply 
                for the 2009 through 2012 crop years.
    (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 that Act (16 U.S.C. 3821 
et seq.) during the term of the loan.
    (g) Reimbursable Agreements and Payment of Administrative 
Expenses.--The Secretary may implement any reimbursable agreements or 
provide for the payment of administrative expenses under this part only 
in a manner that is consistent with such activities in regard to other 
commodities.

SEC. 1308. ADJUSTMENTS OF LOANS.

    (a) Adjustment Authority.--The Secretary may make appropriate 
adjustments in the loan rates for peanuts for differences in grade, 
type, quality, location, and other factors.
    (b) Manner of Adjustment.--The adjustments under subsection (a) 
shall, to the maximum extent practicable, be made in such a manner that 
the average loan level for peanuts will, on the basis of the 
anticipated incidence of the factors, be equal to the level of support 
determined in accordance with this subtitle and subtitles B through E.
    (c) Adjustment on County Basis.--
            (1) In general.--The Secretary may establish loan rates for 
        a crop of peanuts for producers in individual counties in a 
        manner that results in the lowest loan rate being 95 percent of 
        the national average loan rate, if those loan rates do not 
        result in an increase in outlays.
            (2) Prohibition.--Adjustments under this subsection shall 
        not result in an increase in the national average loan rate for 
        any year.

                Subtitle B--Average Crop Revenue Program

SEC. 1401. AVAILABILITY OF AVERAGE CROP REVENUE PAYMENTS.

    (a) Availability and Election of Alternative Approach.--
            (1) Availability of average crop revenue payments.--As an 
        alternative to receiving payments or loans under subtitle A 
        with respect to all covered commodities and peanuts on a farm 
        (other than loans for graded and nongraded wool, mohair, and 
        honey), the Secretary shall give the producers on the farm an 
        opportunity to make a 1-time election to instead receive 
        average crop revenue payments under this section for--
                    (A) the 2010, 2011, and 2012 crop years;
                    (B) the 2011 and 2012 crop years; or
                    (C) the 2012 crop year.
            (2) Election; time for election.--
                    (A) In general.--The Secretary shall provide notice 
                to producers regarding the opportunity to make the 
                election described in paragraph (1).
                    (B) Notice requirements.--The notice shall 
                include--
                            (i) notice of the opportunity of the 
                        producers on a farm to make the election; and
                            (ii) information regarding the manner in 
                        which the election must be made and the time 
                        periods and manner in which notice of the 
                        election must be submitted to the Secretary.
            (3) Election deadline.--Within the time period and in the 
        manner prescribed pursuant to paragraph (2), the producers on a 
        farm shall submit to the Secretary notice of the election made 
        under paragraph (1).
            (4) Effect of failure to make election.--If the producers 
        on a farm fail to make the election under paragraph (1) or fail 
        to timely notify the Secretary of the election made, as 
        required by paragraph (3), the producers shall be deemed to 
        have made the election to receive payments and loans under 
        subtitle A for all covered commodities and peanuts on the farm 
        for the applicable crop year.
    (b) Payments Required.--
            (1) In general.--In the case of producers on a farm who 
        make the election under subsection (a) to receive average crop 
        revenue payments, for any of the 2010 through 2012 crop years 
        for all covered commodities and peanuts, the Secretary shall 
        make average crop revenue payments available to the producers 
        on a farm in accordance with this subsection.
            (2) Fixed payment component.--Subject to paragraph (3), in 
        the case of producers on a farm described in paragraph (1), the 
        Secretary shall make average crop revenue payments available to 
        the producers on a farm for each crop year in an amount equal 
        to not less than the product obtained by multiplying--
                    (A) $15 per acre; and
                    (B) 100 percent of the quantity of base acres on 
                the farm for all covered commodities and peanuts (as 
                adjusted in accordance with the terms and conditions of 
                section 1101 or 1302, as determined by the Secretary).
            (3) Revenue component.--The Secretary shall increase the 
        amount of the average crop revenue payments available to the 
        producers on a farm in a State for a crop year if--
                    (A) the actual State revenue for the crop year for 
                the covered commodity or peanuts in the State 
                determined under subsection (c); is less than
                    (B) the average crop revenue program guarantee for 
                the crop year for the covered commodity or peanuts in 
                the State determined under subsection (d).
            (4) Time for payments.--In the case of each of the 2010 
        through 2012 crop years, the Secretary shall make average crop 
        revenue payments beginning October 1, or as soon as practicable 
        thereafter, after the end of the applicable marketing year for 
        the covered commodity or peanuts.
    (c) Actual State Revenue.--
            (1) In general.--For purposes of subsection (b)(3)(A), the 
        amount of the actual State revenue for a crop year of a covered 
        commodity shall equal the product obtained by multiplying--
                    (A) the actual State yield for each planted acre 
                for the crop year for the covered commodity or peanuts 
                determined under paragraph (2); and
                    (B) the average crop revenue program harvest price 
                for the crop year for the covered commodity or peanuts 
                determined under paragraph (3).
            (2) Actual state yield.--For purposes of paragraph (1)(A) 
        and subsection (d)(1)(A), the actual State yield for each 
        planted acre for a crop year for a covered commodity or peanuts 
        in a State shall equal (as determined by the Secretary)--
                    (A) the quantity of the covered commodity or 
                peanuts that is produced in the State during the crop 
                year; divided by
                    (B) the number of acres that are planted to the 
                covered commodity or peanuts in the State during the 
                crop year.
            (3) Average crop revenue program harvest price.--
                    (A) In general.--For purposes of paragraph (1)(B), 
                subject to subparagraph (B), the average crop revenue 
                program harvest price for a crop year for a covered 
                commodity or peanuts in a State shall equal the harvest 
                price that is used to calculate revenue under revenue 
                coverage plans that are offered for the crop year for 
                the covered commodity or peanuts in the State under the 
                Federal Crop Insurance Act (7 U.S.C. 1501 et seq.).
                    (B) Assigned price.--If the Secretary cannot 
                establish the harvest price for a crop year for a 
                covered commodity or peanuts in a State in accordance 
                with subparagraph (A), the Secretary shall assign a 
                price for the covered commodity or peanuts in the State 
                on the basis of comparable price data.
    (d) Average Crop Revenue Program Guarantee.--
            (1) In general.--The average crop revenue program guarantee 
        for a crop year for a covered commodity or peanuts in a State 
        shall equal 90 percent of the product obtained by multiplying--
                    (A) the expected State yield for each planted acre 
                for the crop year for the covered commodity or peanuts 
                in a State determined under paragraph (2); and
                    (B) the average crop revenue program pre-planting 
                price for the crop year for the covered commodity or 
                peanuts determined under paragraph (3).
            (2) Expected state yield.--
                    (A) In general.--For purposes of paragraph (1)(A), 
                subject to subparagraph (B), the expected State yield 
                for each planted acre for a crop year for a covered 
                commodity or peanuts in a State shall equal the 
                projected yield for the crop year for the covered 
                commodity or peanuts in the State, based on a linear 
                regression trend of the yield per acre planted to the 
                covered commodity or peanuts in the State during the 
                1980 through 2006 period using National Agricultural 
                Statistics Service data.
                    (B) Assigned yield.--If the Secretary cannot 
                establish the expected State yield for each planted 
                acre for a crop year for a covered commodity or peanuts 
                in a State in accordance with subparagraph (A) or if 
                the linear regression trend of the yield per acre 
                planted to the covered commodity or peanuts in the 
                State (as determined under subparagraph (A)) is 
                negative, the Secretary shall assign an expected State 
                yield for each planted acre for the crop year for the 
                covered commodity or peanuts in the State on the basis 
                of expected State yields for planted acres for the crop 
                year for the covered commodity or peanuts in similar 
                States.
            (3) Average crop revenue program pre-planting price.--
                    (A) In general.--For purposes of paragraph (1)(B), 
                subject to subparagraphs (B) and (C), the average crop 
                revenue program pre-planting price for a crop year for 
                a covered commodity or peanuts in a State shall equal 
                the average price that is used to calculate revenue 
                under revenue coverage plans that are offered for the 
                covered commodity in the State under the Federal Crop 
                Insurance Act (7 U.S.C. 1501 et seq.) for the crop year 
                and the preceding 2 crop years.
                    (B) Assigned price.--If the Secretary cannot 
                establish the pre-planting price for a crop year for a 
                covered commodity or peanuts in a State in accordance 
                with subparagraph (A), the Secretary shall assign a 
                price for the covered commodity or peanuts in the State 
                on the basis of comparable price data.
                    (C) Minimum and maximum price.--In the case of each 
                of the 2011 through 2012 crop years, the average crop 
                revenue program pre-planting price for a crop year for 
                a covered commodity or peanuts under subparagraph (A) 
                shall not decrease or increase more than 15 percent 
                from the pre-planting price for the preceding year.
    (e) Payment Amount.--If average crop revenue payments are required 
to be paid for any of the 2010 through 2012 crop years of a covered 
commodity or peanuts under subsection (b)(3), in addition to the amount 
payable under subsection (b)(2), the amount of the average crop revenue 
payment to be paid to the producers on the farm for the crop year under 
this section shall be increased by an amount equal to the product 
obtained by multiplying--
            (1) the difference between--
                    (A) the average crop revenue program guarantee for 
                the crop year for the covered commodity or peanuts in 
                the State determined under subsection (d); and
                    (B) the actual State revenue from the crop year for 
                the covered commodity or peanuts in the State 
                determined under subsection (c);
            (2) 85 percent of the quantity of base acres on the farm 
        for the covered commodity or peanuts (as adjusted in accordance 
        with the terms and conditions of section 1101 or 1302, as 
        determined by the Secretary);
            (3) the quotient obtained by dividing--
                    (A)(i) the yield used to calculate crop insurance 
                coverage for the commodity or peanuts on the farm under 
                the Federal Crop Insurance Act (7 U.S.C. 1501 et seq.) 
                (commonly referred to as ``actual production 
                history''); or
                    (ii) if actual production history for the commodity 
                or peanuts on the farm is not available, a comparable 
                yield as determined by the Secretary; by
                    (B) the expected State yield for the crop year, as 
                determined under subsection (d)(2); and
            (4) 90 percent.
    (f) Recourse Loans.--For each of the 2010 through 2012 crops of a 
covered commodity or peanuts, the Secretary shall make available to 
producers on a farm who elect to receive payments under this section 
recourse loans, as determined by the Secretary, on any production of 
the covered commodity.

SEC. 1402. PRODUCER AGREEMENT AS CONDITION OF AVERAGE CROP REVENUE 
              PAYMENTS.

    (a) Compliance With Certain Requirements.--
            (1) Requirements.--Before the producers on a farm may 
        receive average crop revenue payments with respect to the farm, 
        the producers shall agree, and in the case of subparagraph (C), 
        the Farm Service Agency shall certify, during the crop year for 
        which the payments are made and 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 that Act 
                (16 U.S.C. 3821 et seq.); and
                    (C) that the individuals or entities receiving 
                payments are producers;
                    (D) to use the land on the farm, in a quantity 
                equal to the attributable base acres for the farm and 
                any base acres for peanuts for the farm under part III 
                of subtitle A, for an agricultural or conserving use, 
                and not for a nonagricultural commercial, industrial, 
                or residential use (including land subdivided and 
                developed into residential units or other nonfarming 
                uses, or that is otherwise no longer intended to be 
                used in conjunction with a farming operation), as 
                determined by the Secretary; and
                    (E) to effectively control noxious weeds and 
                otherwise maintain the land in accordance with sound 
                agricultural practices, as determined by the Secretary, 
                if the agricultural or conserving use involves the 
                noncultivation of any portion of the land referred to 
                in subparagraph (D).
            (2) Compliance.--The Secretary may issue such rules as the 
        Secretary considers necessary to ensure producer compliance 
        with the requirements of paragraph (1).
            (3) Modification.--At the request of the transferee or 
        owner, the Secretary may modify the requirements of this 
        subsection if the modifications are consistent with the 
        objectives of this subsection, as determined by the Secretary.
    (b) Transfer or Change of Interest in Farm.--
            (1) Termination.--
                    (A) In general.--Except as provided in paragraph 
                (2), a transfer of (or change in) the interest of the 
                producers on a farm for which average crop revenue 
                payments are made shall result in the termination of 
                the payments, unless the transferee or owner of the 
                farm agrees to assume all obligations under subsection 
                (a).
                    (B) Effective date.--The termination shall take 
                effect on the date determined by the Secretary.
            (2) Exception.--If a producer entitled to an average crop 
        revenue payment dies, becomes incompetent, or is otherwise 
        unable to receive the payment, the Secretary shall make the 
        payment, in accordance with rules issued by the Secretary.
    (c) Acreage Reports.--
            (1) In general.--As a condition on the receipt of any 
        benefits under this subtitle, the Secretary shall require 
        producers on a farm to submit to the Secretary annual acreage 
        reports with respect to all cropland on the farm.
            (2) Penalties.--No penalty with respect to benefits under 
        subtitle shall be assessed against the producers on a farm for 
        an inaccurate acreage report unless the producers on the farm 
        knowingly and willfully falsified the acreage report.
    (d) Tenants and Sharecroppers.--In carrying out this subtitle, the 
Secretary shall provide adequate safeguards to protect the interests of 
tenants and sharecroppers.
    (e) Sharing of Payments.--The Secretary shall provide for the 
sharing of average crop revenue payments among the producers on a farm 
on a fair and equitable basis.
    (f) Audit and Report.--Each year, to ensure, to the maximum extent 
practicable, that payments are received only by producers, the 
Secretary shall--
            (1) conduct an audit of average crop revenue payments; and
            (2) submit to Congress a report that describes the results 
        of that audit.

SEC. 1403. PLANTING FLEXIBILITY.

    (a) Permitted Crops.--Subject to subsection (b), any commodity or 
crop may be planted on base acres on a farm for which the producers on 
a farm elect to receive average crop revenue payments (referred to in 
this section as ``base acres'').
    (b) Limitations Regarding Certain Commodities.--
            (1) General limitation.--The planting of an agricultural 
        commodity specified in paragraph (3) shall be prohibited on 
        base acres unless the commodity, if planted, is destroyed 
        before harvest.
            (2) Treatment of trees and other perennials.--The planting 
        of an agricultural commodity specified in paragraph (3) that is 
        produced on a tree or other perennial plant shall be prohibited 
        on base acres.
            (3) Covered agricultural commodities.--Paragraphs (1) and 
        (2) apply to the following agricultural commodities:
                    (A) Fruits.
                    (B) Vegetables (other than mung beans and pulse 
                crops).
                    (C) Wild rice.
    (c) Exceptions.--Paragraphs (1) and (2) of subsection (b) shall not 
limit the planting of an agricultural commodity specified in paragraph 
(3) of that subsection--
            (1) in any region in which there is a history of double-
        cropping of covered commodities with agricultural commodities 
        specified in subsection (b)(3), as determined by the Secretary, 
        in which case the double-cropping shall be permitted;
            (2) on a farm that the Secretary determines has a history 
        of planting agricultural commodities specified in subsection 
        (b)(3) on base acres, except that average crop revenue payments 
        shall be reduced by an acre for each acre planted to such an 
        agricultural commodity; or
            (3) by the producers on a farm that the Secretary 
        determines has an established planting history of a specific 
        agricultural commodity specified in subsection (b)(3), except 
        that--
                    (A) the quantity planted may not exceed the average 
                annual planting history of such agricultural commodity 
                by the producers on the farm in the 1991 through 1995 
                or 1998 through 2001 crop years (excluding any crop 
                year in which no plantings were made), as determined by 
                the Secretary; and
                    (B) average crop revenue payments shall be reduced 
                by an acre for each acre planted to such agricultural 
                commodity.
    (d) Planting Transferability Pilot Project.--Producers on a farm 
that elect to receive average crop revenue payments shall be eligible 
to participate in the pilot program established under section 1106(d) 
under the same terms and conditions as producers that receive direct 
payments and counter-cyclical payments.
    (e) Production of Fruits or Vegetables for Processing.--
            (1) In general.--Subject to paragraphs (2) through (4), 
        effective beginning with the 2010 crop years, producers on a 
        farm that elect to receive average crop revenue payments, with 
        the consent of the owner of and any other producers on the 
        farm, may reduce the base acres for a covered commodity for the 
        farm if the reduced acres are used for the planting and 
        production of fruits or vegetables for processing.
            (2) Reversion to base acres for covered commodity.--Any 
        reduced acres on a farm devoted to the planting and production 
        of fruits or vegetables during a crop year under paragraph (1) 
        shall be included in base acres for the covered commodity for 
        the subsequent crop year, unless the producers on the farm make 
        the election described in paragraph (1) for the subsequent crop 
        year.
            (3) Recalculation of base acres.--
                    (A) In general.--Subject to subparagraph (B), if 
                the Secretary recalculates base acres for a farm, the 
                planting and production of fruits or vegetables for 
                processing under paragraph (1) shall be considered to 
                be the same as the planting, prevented planting, or 
                production of a covered commodity.
                    (B) Authority.--Nothing in this subsection provides 
                authority for the Secretary to recalculate base acres 
                for a farm covered by this subsection other than as 
                provided in this subsection.
            (4) Limitations.--
                    (A) In general.--This subsection applies in land 
                located in each of the States of Illinois, Indiana, 
                Iowa, Michigan, Minnesota, Ohio, and Wisconsin.
                    (B) Acreage limit.--The total number of base acres 
                that may be reduced in any State under this subsection 
                shall not exceed 10,000.

                           Subtitle C--Sugar

SEC. 1501. SUGAR PROGRAM.

    Section 156 of the Federal Agriculture Improvement and Reform Act 
of 1996 (7 U.S.C. 7272) is amended to read as follows:

``SEC. 156. SUGAR PROGRAM.

    ``(a) Sugarcane.--The Secretary shall make loans available to 
processors of domestically grown sugarcane at a rate equal to--
            ``(1) 18.00 cents per pound for raw cane sugar for the 2008 
        crop year;
            ``(2) 18.25 cents per pound for raw cane sugar for the 2009 
        crop year;
            ``(3) 18.50 cents per pound for raw cane sugar for the 2010 
        crop year;
            ``(4) 18.75 cents per pound for raw cane sugar for the 2011 
        crop year; and
            ``(5) 19.00 cents per pound for raw cane sugar for the 2012 
        crop year.
    ``(b) Sugar Beets.--The Secretary shall make loans available to 
processors of domestically grown sugar beets at a rate per pound for 
refined beet sugar that is equal to 128.5 percent of the loan rate per 
pound of raw cane sugar for the applicable crop year under subsection 
(a).
    ``(c) Term of Loans.--
            ``(1) In general.--A loan under this section during any 
        fiscal year shall be made available not earlier than the 
        beginning of the fiscal year and shall mature at the earlier 
        of--
                    ``(A) the end of the 9-month period beginning on 
                the first day of the first month after the month in 
                which the loan is made; or
                    ``(B) the end of the fiscal year in which the loan 
                is made.
            ``(2) Supplemental loans.--In the case of a loan made under 
        this section in the last 3 months of a fiscal year, the 
        processor may repledge the sugar as collateral for a second 
        loan in the subsequent fiscal year, except that the second loan 
        shall--
                    ``(A) be made at the loan rate in effect at the 
                time the second loan is made; and
                    ``(B) mature in 9 months less the quantity of time 
                that the first loan was in effect.
    ``(d) Loan Type; Processor Assurances.--
            ``(1) Nonrecourse loans.--The Secretary shall carry out 
        this section through the use of nonrecourse loans.
            ``(2) Processor assurances.--
                    ``(A) In general.--The Secretary shall obtain from 
                each processor that receives a loan under this section 
                such assurances as the Secretary considers adequate to 
                ensure that the processor will provide payments to 
                producers that are proportional to the value of the 
                loan received by the processor for the sugar beets and 
                sugarcane delivered by producers to the processor.
                    ``(B) Minimum payments.--
                            ``(i) In general.--Subject to clause (ii), 
                        the Secretary may establish appropriate minimum 
                        payments for purposes of this paragraph.
                            ``(ii) Limitation.--In the case of sugar 
                        beets, the minimum payment established under 
                        clause (i) shall not exceed the rate of payment 
                        provided for under the applicable contract 
                        between a sugar beet producer and a sugar beet 
                        processor.
            ``(3) Administration.--The Secretary may not impose or 
        enforce any prenotification requirement, or similar 
        administrative requirement not otherwise in effect on the date 
        of enactment of the Food and Energy Security Act of 2007, that 
        has the effect of preventing a processor from electing to 
        forfeit the loan collateral (of an acceptable grade and 
        quality) on the maturity of the loan.
    ``(e) Loans for In-Process Sugar.--
            ``(1) Definition of in-process sugars and syrups.--In this 
        subsection, the term `in-process sugars and syrups' does not 
        include raw sugar, liquid sugar, invert sugar, invert syrup, or 
        other finished product that is otherwise eligible for a loan 
        under subsection (a) or (b).
            ``(2) Availability.--The Secretary shall make nonrecourse 
        loans available to processors of a crop of domestically grown 
        sugarcane and sugar beets for in-process sugars and syrups 
        derived from the crop.
            ``(3) Loan rate.--The loan rate shall be equal to 80 
        percent of the loan rate applicable to raw cane sugar or 
        refined beet sugar, as determined by the Secretary on the basis 
        of the source material for the in-process sugars and syrups.
            ``(4) Further processing on forfeiture.--
                    ``(A) In general.--As a condition of the forfeiture 
                of in-process sugars and syrups serving as collateral 
                for a loan under paragraph (2), 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).
                    ``(B) Transfer to corporation.--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 Commodity Credit Corporation.
                    ``(C) Payment to processor.--On transfer of the 
                sugar, the Secretary shall make a payment to the 
                processor in an amount equal to the amount obtained by 
                multiplying--
                            ``(i) the difference between--
                                    ``(I) the loan rate for raw cane 
                                sugar or refined beet sugar, as 
                                appropriate; and
                                    ``(II) the loan rate the processor 
                                received under paragraph (3); by
                            ``(ii) the quantity of sugar transferred to 
                        the Secretary.
            ``(5) Loan conversion.--If the processor does not forfeit 
        the collateral as described in paragraph (4), 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 obtain a loan 
        under subsection (a) or (b) for the raw cane sugar or refined 
        beet sugar, as appropriate.
            ``(6) Term of loan.--The term of a loan made under this 
        subsection for a quantity of in-process sugars and syrups, when 
        combined with the term of a loan made with respect to the raw 
        cane sugar or refined beet sugar derived from the in-process 
        sugars and syrups, may not exceed 9 months, consistent with 
        subsection (d).
    ``(f) Feedstock Flexibility Program for Bioenergy Producers.--
            ``(1) Definitions.--In this subsection:
                    ``(A) Bioenergy.--The term `bioenergy' means fuel 
                grade ethanol and other biofuel.
                    ``(B) Bioenergy producer.--The term `bioenergy 
                producer' means a producer of bioenergy that uses an 
                eligible commodity to produce bioenergy under this 
                subsection.
                    ``(C) Eligible commodity.--The term `eligible 
                commodity' means a form of raw or refined sugar or in-
                process sugar that is eligible--
                            ``(i) to be marketed in the United States 
                        for human consumption; or
                            ``(ii) to be used for the extraction of 
                        sugar for human consumption.
                    ``(D) Eligible entity.--The term `eligible entity' 
                means an entity located in the United States that 
                markets an eligible commodity in the United States.
            ``(2) Feedstock flexibility program.--
                    ``(A) Purchases and sales.--For each of fiscal 
                years 2008 through 2012, the Secretary shall purchase 
                eligible commodities from eligible entities and sell 
                such commodities to bioenergy producers for the purpose 
                of producing bioenergy in a manner that ensures that 
                this section is operated at no cost to the Federal 
                Government and avoids forfeitures to the Commodity 
                Credit Corporation.
                    ``(B) Competitive procedures.--In carrying out the 
                purchases and sales required under subparagraph (A), 
                the Secretary shall, to the maximum extent practicable, 
                use competitive procedures, including the receiving, 
                offering, and accepting of bids, when entering into 
                contracts with eligible entities and bioenergy 
                producers, provided that the procedures are consistent 
                with the purposes of subparagraph (A).
                    ``(C) Limitation.--The purchase and sale of 
                eligible commodities under subparagraph (A) shall only 
                be made for a fiscal year for which the purchases and 
                sales are necessary to ensure that the program under 
                this section is operated at no cost to the Federal 
                Government by avoiding forfeitures to the Commodity 
                Credit Corporation.
            ``(3) Notice.--
                    ``(A) In general.--As soon as practicable after the 
                date of enactment of the Food and Energy Security Act 
                of 2007, and each September 1 thereafter through fiscal 
                year 2012, the Secretary shall provide notice to 
                eligible entities and bioenergy producers of the 
                quantity of eligible commodities that shall be made 
                available for purchase and sale for the subsequent 
                fiscal year under this subsection.
                    ``(B) Reestimates.--Not later than the first day of 
                each of the second through fourth quarters of each of 
                fiscal years 2008 through 2012, the Secretary shall 
                reestimate the quantity of eligible commodities 
                determined under subparagraph (A), and provide notice 
                and make purchases and sales based on the reestimates.
            ``(4) Commodity credit corporation inventory.--To the 
        extent that an eligible commodity is owned and held in 
        inventory by the Commodity Credit Corporation (accumulated 
        pursuant to the program under this section), the Secretary 
        shall sell the eligible commodity to bioenergy producers under 
        this subsection.
            ``(5) Transfer rule; storage fees.--
                    ``(A) General transfer rule.--Except as provided in 
                subparagraph (C), the Secretary shall ensure that 
                bioenergy producers that purchase eligible commodities 
                pursuant to this subsection take possession of the 
                eligible commodities not later than 30 calendar days 
                after the date of the purchase from the Commodity 
                Credit Corporation.
                    ``(B) Payment of storage fees prohibited.--
                            ``(i) In general.--The Secretary shall, to 
                        the maximum extent practicable, carry out this 
                        subsection in a manner that ensures no storage 
                        fees are paid by the Commodity Credit 
                        Corporation in the administration of this 
                        subsection.
                            ``(ii) Exception.--Clause (i) shall not 
                        apply with respect to any commodities owned and 
                        held in inventory by the Commodity Credit 
                        Corporation (accumulated pursuant to the 
                        program under this section).
                    ``(C) Option to prevent storage fees.--
                            ``(i) In general.--The Secretary may enter 
                        into contracts with bioenergy producers to sell 
                        eligible commodities to the bioenergy producers 
                        prior in time to entering into contracts with 
                        eligible entities to purchase the eligible 
                        commodities to be used to satisfy the contracts 
                        entered into with the bioenergy producers.
                            ``(ii) Special transfer rule.--If the 
                        Secretary makes a sale and purchase referred to 
                        in clause (i), the Secretary shall ensure that 
                        the bioenergy producer that purchased eligible 
                        commodities takes possession of the eligible 
                        commodities not later than 30 calendar days 
                        after the date on which the Commodity Credit 
                        Corporation purchases the eligible commodities.
            ``(6) Relation to other laws.--If sugar that is subject to 
        a marketing allotment under part VII of subtitle B of title III 
        of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359aa et 
        seq.) is the subject of a payment under this subsection, the 
        sugar shall be considered marketed and shall count against the 
        allocation of a processor of an allotment under that part, as 
        applicable.
            ``(7) Funding.--The Secretary shall use the funds, 
        facilities, and authorities of the Commodity Credit 
        Corporation, including the use of such sums as are necessary, 
        to carry out this subsection.
    ``(g) Avoiding Forfeitures; Corporation Inventory Disposition.--
            ``(1) In general.--Subject to subsection (d)(3), to the 
        maximum extent practicable, the Secretary shall operate the 
        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.--
                    ``(A) In general.--To carry out paragraph (1), the 
                Commodity Credit Corporation may accept bids to obtain 
                raw cane sugar or refined beet sugar in the inventory 
                of the Commodity Credit Corporation from (or otherwise 
                make available such commodities, on appropriate terms 
                and conditions, to) processors of sugarcane and 
                processors of sugar beets (acting in conjunction with 
                the producers of the sugarcane or sugar beets processed 
                by the processors) in return for the reduction of 
                production of raw cane sugar or refined beet sugar, as 
                appropriate.
                    ``(B) Bioenergy feedstock.--Sugar beets or 
                sugarcane planted on acreage diverted from production 
                to achieve any reduction required under subparagraph 
                (A) may not be used for any commercial purpose other 
                than as a bioenergy feedstock.
                    ``(C) Additional authority.--The authority provided 
                under this paragraph is in addition to any authority of 
                the Commodity Credit Corporation under any other law.
    ``(h) Information Reporting.--
            ``(1) Duty of processors and refiners to report.--A 
        sugarcane processor, cane sugar refiner, and sugar beet 
        processor shall furnish the Secretary, on a monthly basis, such 
        information as the Secretary may require to administer sugar 
        programs, including the quantity of purchases of sugarcane, 
        sugar beets, and sugar, and production, importation, 
        distribution, and stock levels of sugar.
            ``(2) Duty of producers to report.--
                    ``(A) Proportionate share states.--As a condition 
                of a loan made to a processor for the benefit of a 
                producer, the Secretary shall require each producer of 
                sugarcane located in a State (other than the 
                Commonwealth of Puerto Rico) in which there are in 
                excess of 250 producers of sugarcane to report, in the 
                manner prescribed by the Secretary, the sugarcane 
                yields and acres planted to sugarcane of the producer.
                    ``(B) Other states.--The Secretary may require each 
                producer of sugarcane or sugar beets not covered by 
                subparagraph (A) to report, in a manner prescribed by 
                the Secretary, the yields of, and acres planted to, 
                sugarcane or sugar beets, respectively, of the 
                producer.
            ``(3) Duty of importers to report.--
                    ``(A) In general.--Except as provided in 
                subparagraph (B), 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 to report, in the manner 
                prescribed by the Secretary, the quantities of the 
                products imported by the importer and the sugar content 
                or equivalent of the products.
                    ``(B) Tariff-rate quotas.--Subparagraph (A) shall 
                not apply to sugars, syrups, or molasses that are 
                within the quantities of tariff-rate quotas that are 
                subject to the lower rate of duties.
            ``(4) Information on mexico.--
                    ``(A) Collection.--The Secretary shall collect--
                            ``(i) information of the production, 
                        consumption, stocks, and trade of sugar in 
                        Mexico, including United States exports of 
                        sugar to Mexico; and
                            ``(ii) publicly-available information on 
                        Mexican production, consumption, and trade of 
                        high fructose corn syrups to Mexico.
                    ``(B) Publication.--The date collected under 
                subparagraph (A) shall be published in each edition of 
                the World Agricultural Supply and Demand Estimates.
            ``(5) Penalty.--Any person willfully failing or refusing to 
        furnish the information required under paragraph (1), (2), or 
        (3), or furnishing willfully any false information, shall be 
        subject to a civil penalty of not more than $10,000 for each 
        such violation.
            ``(6) Monthly reports.--Taking into consideration the 
        information received under this subsection, the Secretary shall 
        publish on a monthly basis composite data on production, 
        imports, distribution, and stock levels of sugar.
    ``(i) Substitution of Refined Sugar.--For purposes of Additional 
U.S. Note 6 to chapter 17 of the Harmonized Tariff Schedule of the 
United States and the reexport programs and polyhydric alcohol program 
administered by the Secretary, all refined sugars (whether derived from 
sugar beets or sugarcane) produced by cane sugar refineries and beet 
sugar processors shall be fully substitutable for the export of sugar 
and sugar-containing products under those programs.
    ``(j) Effective Period.--
            ``(1) In general.--This section shall be effective only for 
        the 2008 through 2012 crops of sugar beets and sugarcane.
            ``(2) Transition.--The Secretary shall make loans for raw 
        cane sugar and refined beet sugar available for the 2007 crop 
        year on the terms and conditions provided in this section as in 
        effect on the day before the date of enactment of the Food and 
        Energy Security Act of 2007.''.

SEC. 1502. STORAGE FACILITY LOANS.

    Section 1402(c) of the Farm Security and Rural Investment Act of 
2002 (7 U.S.C. 7971(c)) is amended--
            (1) in paragraph (1), by striking ``and'' at the end;
            (2) by redesignating paragraph (2) as paragraph (3);
            (3) by inserting after paragraph (1) the following:
            ``(2) not include any penalty for prepayment''; and
            (4) in paragraph (3) (as redesignated by paragraph (2)), by 
        inserting ``other'' after ``on such''.

SEC. 1503. COMMODITY CREDIT CORPORATION STORAGE PAYMENTS.

    Subtitle E of the Federal Agriculture Improvement and Reform Act of 
1996 (7 U.S.C. 7281 et seq.) is amended by adding at the end the 
following:

``SEC. 167. COMMODITY CREDIT CORPORATION STORAGE PAYMENTS.

    ``(a) Initial Crop Years.--Notwithstanding any other provision of 
law, for each of the 2008 through 2011 crop years, the Commodity Credit 
Corporation shall establish rates for the storage of forfeited sugar in 
an amount that is not less than--
            ``(1) in the case of refined sugar, 15 cents per 
        hundredweight of refined sugar per month; and
            ``(2) in the case of raw cane sugar, 10 cents per 
        hundredweight of raw cane sugar per month.
    ``(b) Subsequent Crop Years.--For each of the 2012 and subsequent 
crop years, the Commodity Credit Corporation shall establish rates for 
the storage of forfeited sugar in the same manner as was used on the 
day before the date of enactment of this section.''.

SEC. 1504. FLEXIBLE MARKETING ALLOTMENTS FOR SUGAR.

    (a) Definitions.--Section 359a of the Agricultural Adjustment Act 
of 1938 (7 U.S.C. 1359aa) is amended--
            (1) by redesignating paragraphs (2) through (4) as 
        paragraphs (3) through (5), respectively; and
            (2) by inserting after paragraph (1) the following:
            ``(2) Market.--
                    ``(A) In general.--The term `market' means to sell 
                or otherwise dispose of in commerce in the United 
                States.
                    ``(B) Inclusions.--The term `market' includes--
                            ``(i) the forfeiture of sugar under the 
                        loan program for sugar established under 
                        section 156 of the Federal Agriculture 
                        Improvement and Reform Act of 1996 (7 U.S.C. 
                        7272); and
                            ``(ii) with respect to any integrated 
                        processor and refiner, the movement of raw cane 
                        sugar into the refining process.
                    ``(C) Marketing year.--Forfeited sugar described in 
                subparagraph (B)(i) shall be considered to have been 
                marketed during the crop year for which a loan is made 
                under the loan program described in that 
                subparagraph.''.
    (b) Flexible Marketing Allotments for Sugar.--Section 359b of the 
Agricultural Adjustment Act of 1938 (7 U.S.C. 1359bb) is amended to 
read as follows:

``SEC. 359. FLEXIBLE MARKETING ALLOTMENTS FOR SUGAR.

    ``(a) In General.--
            ``(1) In general.--By the beginning of each crop year, the 
        Secretary shall establish for that crop year appropriate 
        allotments under section 359c for the marketing by processors 
        of sugar processed from sugar cane, sugar beets, or in-process 
        sugar (whether produced domestically or imported) at a level 
        that is--
                    ``(A) sufficient to maintain raw and refined sugar 
                prices at a level that will result in no forfeitures of 
                sugar to the Commodity Credit Corporation under the 
                loan program for sugar established under section 156 of 
                the Federal Agriculture Improvement and Reform Act of 
                1996 (7 U.S.C. 7272); but
                    ``(B) not less than 85 percent of the estimated 
                quantity of sugar consumption for domestic food use for 
                the crop year.
            ``(2) Products.--The Secretary may include sugar products, 
        the majority content of which is sucrose for human consumption, 
        derived from sugarcane, sugar beets, molasses, or sugar in the 
        allotments under paragraph (1) if the Secretary determines it 
        to be appropriate for purposes of this part.
    ``(b) Coverage of Allotments.--
            ``(1) In general.--Marketing allotments under this part 
        shall apply to the marketing by processors of sugar intended 
        for domestic human food use that has been processed from sugar 
        cane, sugar beets, or in-process sugar, whether produced 
        domestically or imported.
            ``(2) Exceptions.--Marketing allotments under this part 
        shall not apply to sugar sold--
                    ``(A) to facilitate the exportation of the sugar to 
                a foreign country;
                    ``(B) to enable another processor to fulfill an 
                allocation established for that processor; or
                    ``(C) for uses other than domestic human food use.
            ``(3) Requirement.--The sale of sugar described in 
        paragraph (2)(B) shall be--
                    ``(A) made prior to May 1; and
                    ``(B) reported to the Secretary.
    ``(c) Prohibitions.--
            ``(1) In general.--During all or part of any crop year for 
        which marketing allotments have been established, no processor 
        of sugar beets or sugarcane shall market for domestic human 
        food use a quantity of sugar in excess of the allocation 
        established for the processor, except--
                    ``(A) to enable another processor to fulfill an 
                allocation established for that other processor; or
                    ``(B) to facilitate the exportation of the sugar.
            ``(2) Civil penalty.--Any processor who knowingly violates 
        paragraph (1) shall be liable to the Commodity Credit 
        Corporation for a civil penalty in an amount equal to 3 times 
        the United States market value, at the time of the commission 
        of the violation, of that quantity of sugar involved in the 
        violation.''.
    (c) Establishment of Flexible Marketing Allotments.--Section 359c 
of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359cc) is 
amended--
            (1) by striking subsection (b) and inserting the following:
    ``(b) Overall Allotment Quantity.--
            ``(1) In general.--The Secretary shall establish the 
        overall quantity of sugar to be allotted for the crop year 
        (referred to in this part as the `overall allotment quantity') 
        at a level that is--
                    ``(A) sufficient to maintain raw and refined sugar 
                prices above the level that will result in no 
                forfeiture of sugar to the Commodity Credit 
                Corporation; but
                    ``(B) not less than a quantity equal to 85 percent 
                of the estimated sugar consumption for domestic food 
                use for the crop year.
            ``(2) Adjustment.--Subject to paragraph (1), the Secretary 
        shall adjust the overall allotment quantity to maintain--
                    ``(A) raw and refined sugar prices above forfeiture 
                levels to avoid the forfeiture of sugar to the 
                Commodity Credit Corporation; and
                    ``(B) adequate supplies of raw and refined sugar in 
                the domestic market.''; and
            (2) by striking subsection (h).
    (d) Allocation of Marketing Allotments.--Section 359d(b) of the 
Agricultural Adjustment Act of 1938 (7 U.S.C. 1359dd(b)) is amended--
            (1) in paragraph (1)--
                    (A) in subparagraph (B), by striking 
                ``subparagraphs (C) and (D)'' and inserting 
                ``subparagraph (C)'';
                    (B) by striking subparagraph (C);
                    (C) by redesignating subparagraphs (D) through (F) 
                as subparagraphs (C) through (E), respectively;
                    (D) in subparagraph (D) (as so redesignated)--
                            (i) in clause (i), by striking 
                        ``subparagraphs (B) and (D)'' and inserting 
                        ``subparagraphs (B) and (C)''; and
                            (ii) in clause (iii)(II), by striking 
                        ``subparagraph (B) or (D)'' as ``subparagraph 
                        (B) or (C)''; and
                    (E) in subparagraph (E) (as so redesignated), by 
                striking ``Except as otherwise provided in section 
                359f(c)(8), if'' and inserting ``If''; and
            (2) in paragraph (2), by striking subparagraphs (H) and (I) 
        and inserting the following:
                    ``(H) New entrants starting production or reopening 
                factories.--
                            ``(i) Definition of new entrant.--
                                    ``(I) In general.--In this 
                                subparagraph, the term `new entrant' 
                                means an individual, corporation, or 
                                other entity that--
                                            ``(aa) does not have an 
                                        allocation of the beet sugar 
                                        allotment under this part;
                                            ``(bb) is not affiliated 
                                        with any other individual, 
                                        corporation, or entity that has 
                                        an allocation of beet sugar 
                                        under this part (referred to in 
                                        this clause as a `third 
                                        party'); and
                                            ``(cc) will process sugar 
                                        beets produced by sugar beet 
                                        growers under contract with the 
                                        new entrant for the production 
                                        of sugar at the new or re-
                                        opened factory that is the 
                                        basis for the new entrant 
                                        allocation.
                                    ``(II) Affiliation.--For purposes 
                                of subclause (I)(bb), a new entrant and 
                                a third party shall be considered to be 
                                affiliated if--
                                            ``(aa) the third party has 
                                        an ownership interest in the 
                                        new entrant;
                                            ``(bb) the new entrant and 
                                        the third party have owners in 
                                        common;
                                            ``(cc) the third party has 
                                        the ability to exercise control 
                                        over the new entrant by 
                                        organizational rights, 
                                        contractual rights, or any 
                                        other means;
                                            ``(dd) the third party has 
                                        a contractual relationship with 
                                        the new entrant by which the 
                                        new entrant will make use of 
                                        the facilities or assets of the 
                                        third party; or
                                            ``(ee) there are any other 
                                        similar circumstances by which 
                                        the Secretary determines that 
                                        the new entrant and the third 
                                        party are affiliated.
                            ``(ii) Allocation for a new entrant that 
                        has constructed a new factory or reopened a 
                        factory that was not operated since before 
                        1998.--If a new entrant constructs a new sugar 
                        beet processing factory, or acquires and 
                        reopens a sugar beet processing factory that 
                        last processed sugar beets prior to the 1998 
                        crop year and there is no allocation currently 
                        associated with the factory, the Secretary 
                        shall--
                                    ``(I) assign an allocation for beet 
                                sugar to the new entrant that provides 
                                a fair and equitable distribution of 
                                the allocations for beet sugar so as to 
                                enable the new entrant to achieve a 
                                factory utilization rate comparable to 
                                the factory utilization rates of other 
                                similarly-situated processors; and
                                    ``(II) reduce the allocations for 
                                beet sugar of all other processors on a 
                                pro rata basis to reflect the 
                                allocation to the new entrant.
                            ``(iii) Allocation for a new entrant that 
                        has acquired an existing factory with a 
                        production history.--
                                    ``(I) In general.--If a new entrant 
                                acquires an existing factory that has 
                                processed sugar beets from the 1998 or 
                                subsequent crop year and has a 
                                production history, on the mutual 
                                agreement of the new entrant and the 
                                company currently holding the 
                                allocation associated with the factory, 
                                the Secretary shall transfer to the new 
                                entrant a portion of the allocation of 
                                the current allocation holder to 
                                reflect the historical contribution of 
                                the production of the acquired factory 
                                to the total allocation of the current 
                                allocation holder.
                                    ``(II) Prohibition.--In the absence 
                                of a mutual agreement described in 
                                subclause (I), the new entrant shall be 
                                ineligible for a beet sugar allocation.
                            ``(iv) Appeals.--Any decision made under 
                        this subsection may be appealed to the 
                        Secretary in accordance with section 359i.''.
    (e) Reassignment of Deficits.--Section 359e(b) of the Agricultural 
Adjustment Act of 1938 (7 U.S.C. 1359ee(b)) is amended in paragraphs 
(1)(D) and (2)(C), by inserting ``of raw cane sugar'' after ``imports'' 
each place it appears.
    (f) Provisions Applicable to Producers.--Section 359f(c) of the 
Agricultural Adjustment Act of 1938 (7 U.S.C. 1359ff(c)) is amended--
            (1) by striking paragraph (8);
            (2) by redesignating paragraphs (1) through (7) as 
        paragraphs (2) through (8), respectively;
            (3) by inserting before paragraph (2) (as so redesignated) 
        the following:
            ``(1) Definition of seed.--
                    ``(A) In general.--In this subsection, the term 
                `seed' means only those varieties of seed that are 
                dedicated to the production of sugarcane from which is 
                produced sugar for human consumption.
                    ``(B) Exclusion.--The term `seed' does not include 
                seed of a high-fiber cane variety dedicated to other 
                uses, as determined by the Secretary'';
            (4) in paragraph (3) (as so redesignated)--
                    (A) in the first sentence--
                            (i) by striking ``paragraph (1)'' and 
                        inserting ``paragraph (2)''; and
                            (ii) by inserting ``sugar produced from'' 
                        after ``quantity of''; and
                    (B) in the second sentence, by striking ``paragraph 
                (7)'' and inserting ``paragraph (8)''; and
            (5) in paragraph (8) (as so redesignated), by inserting 
        ``sugar from'' after ``the amount of''.
    (g) Special Rules.--Section 359g of the Agricultural Adjustment Act 
of 1938 (7 U.S.C. 1359gg) is amended--
            (1) by striking subsection (a) and inserting the following:
    ``(a) Transfer of Acreage Base History.--
            ``(1) In general.--For the purpose of establishing 
        proportionate shares for sugarcane farms under section 359f(c), 
        the Secretary, on application of any producer, with the written 
        consent of all owners of a farm, may transfer the acreage base 
        history of the farm to any other parcels of land of the 
        applicant.
            ``(2) Converted acreage base.--
                    ``(A) In general.--Sugarcane base acreage 
                established under section 359f(c) that has been or is 
                converted to nonagricultural use on or after the date 
                of the enactment of this paragraph may be transferred 
                to other land suitable for the production of sugarcane 
                that can be delivered to a processor in a proportionate 
                share in accordance with this paragraph.
                    ``(B) Notification.--Not later than 90 days after 
                the date of the enactment of this paragraph and at the 
                subsequent conversion of any sugarcane base acreage to 
                a nonagricultural use, the Administrator of the Farm 
                Service Agency shall notify the 1 or more affected 
                landowners of the transferability of the applicable 
                sugarcane base acreage.
                    ``(C) Initial transfer period.--Not later than the 
                end of the 90-day period beginning on the date of 
                receipt of the notification under subparagraph (B), the 
                owner of the base attributable to the acreage at the 
                time of the conversion shall transfer the base to 1 or 
                more farms owned by the owner.
                    ``(D) Grower of record.--If a transfer under 
                subparagraph (C) cannot be accomplished during the 
                period specified in that subparagraph, the grower of 
                record with regard to the base acreage on the date on 
                which the acreage was converted to nonagricultural use 
                shall--
                            ``(i) be notified; and
                            ``(ii) have 90 days from the date of the 
                        receipt of the notification to transfer the 
                        base to 1 or more farms operated by the grower.
                    ``(E) Pool distribution.--
                            ``(i) In general.--If transfers under 
                        subparagraphs (B) and (C) cannot be 
                        accomplished during the periods specified in 
                        those subparagraphs, the county committee of 
                        the Farm Service Agency for the applicable 
                        county shall place the acreage base in a pool 
                        for possible assignment to other farms.
                            ``(ii) Acceptance of requests.--After 
                        providing reasonable notice to farm owners, 
                        operators, and growers of record in the county, 
                        the county committee shall accept requests from 
                        owners, operators, and growers of record in the 
                        county.
                            ``(iii) Assignment.--The county committee 
                        shall assign the base acreage to other farms in 
                        the county that are eligible and capable of 
                        accepting the base acreage, based on a random 
                        selection from among the requests received 
                        under clause (ii).
                    ``(F) Statewide reallocation.--
                            ``(i) In general.--Any base acreage 
                        remaining unassigned after the transfers and 
                        processes described in subparagraphs (A) 
                        through (E) shall be made available to the 
                        State committee of the Farm Service Agency for 
                        allocation among the remaining county 
                        committees representing counties with farms 
                        eligible for assignment of the base, based on a 
                        random selection.
                            ``(ii) Allocation.--Any county committee 
                        receiving base acreage under this subparagraph 
                        shall allocate the base acreage to eligible 
                        farms using the process described in 
                        subparagraph (E).
                    ``(G) Status of reassigned base.--After base 
                acreage has been reassigned in accordance with this 
                subparagraph, the base acreage shall--
                            ``(i) remain on the farm; and
                            ``(ii) be subject to the transfer 
                        provisions of paragraph (1).''; and
            (2) in subsection (d)--
                    (A) in paragraph (1)--
                            (i) by inserting ``affected'' before 
                        ``crop-share owners'' each place it appears; 
                        and
                            (ii) by striking ``, and from the 
                        processing company holding the applicable 
                        allocation for such shares,''; and
                    (B) in paragraph (2), by striking ``based on'' and 
                all that follows through the end of subparagraph (B) 
                and inserting ``based on--
                    ``(A) the number of acres of sugarcane base being 
                transferred; and
                    ``(B) the pro rata amount of allocation at the 
                processing company holding the applicable allocation 
                that equals the contribution of the grower to 
                allocation of the processing company for the sugarcane 
                base acreage being transferred.''.
    (h) Appeals.--Section 359i of the Agricultural Adjustment Act of 
1938 (7 U.S.C. 1359ii) is amended--
            (1) in subsection (a), by inserting ``or 359g(d)'' after 
        ``359f''; and
            (2) by striking subsection (c).
    (i) Reallocating Sugar Quota Import Shortfalls.--Section 359k of 
the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359kk) is repealed.
    (j) Administration of Tariff Rate Quotas.--Part VII of subtitle B 
of title III of the Agricultural Adjustment Act of 1938 (7 U.S.C. 
1359aa) (as amended by subsection (i)) is amended by adding at the end 
the following:

``SEC. 359K. ADMINISTRATION OF TARIFF RATE QUOTAS.

    ``(a) In General.--Notwithstanding any other provision of law, at 
the beginning of the quota year, the Secretary shall establish the 
tariff-rate quotas for raw cane sugar and refined sugars (other than 
specialty sugar) at the minimum necessary to comply with obligations 
under international trade agreements that have been approved by 
Congress.
    ``(b) Adjustment.--
            ``(1) Before april 1.--Before April 1 of each fiscal year, 
        if there is an emergency shortage of sugar in the United States 
        market that is caused by a war, flood, hurricane, or other 
        natural disaster, or other similar event as determined by the 
        Secretary--
                    ``(A) the Secretary shall take action to increase 
                the supply of sugar in accordance with sections 
                359c(b)(2) and 359e(b); and
                    ``(B) if there is still a shortage of sugar in the 
                United States market, and marketing of domestic sugar 
                has been maximized, the Secretary may increase the 
                tariff-rate quota for refined sugars sufficient to 
                accommodate the supply increase, if the further 
                increase will not threaten to result in the forfeiture 
                of sugar pledged as collateral for a loan under section 
                156 of the Federal Agriculture Improvement and Reform 
                Act of 1996 (7 U.S.C. 7272).
            ``(2) On or after april 1.--On or after April 1 of each 
        fiscal year--
                    ``(A) the Secretary may take action to increase the 
                supply of sugar in accordance with sections 359c(b)(2) 
                and 359e(b); and
                    ``(B) if there is still a shortage of sugar in the 
                United States market, and marketing of domestic sugar 
                has been maximized, the Secretary may increase the 
                tariff-rate quota for raw cane sugar if the further 
                increase will not threaten to result in the forfeiture 
                of sugar pledged as collateral for a loan under section 
                156 of the Federal Agriculture Improvement and Reform 
                Act of 1996 (7 U.S.C. 7272).''.
    (k) Period of Effectiveness.--Part VII of subtitle B of title III 
of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359aa) (as 
amended by subsection (j)) is amended by adding at the end the 
following:

``SEC. 359L. PERIOD OF EFFECTIVENESS.

    ``(a) In General.--This part shall be effective only for the 2008 
through 2012 crop years for sugar.
    ``(b) Transition.--The Secretary shall administer flexible 
marketing allotments for sugar for the 2007 crop year for sugar on the 
terms and conditions provided in this part as in effect on the day 
before the date of enactment of this section.''.
    (l) United States Membership in the International Sugar 
Organization.--Not later than 1 year after the date of enactment of 
this Act, the Secretary shall work with the Secretary of State to 
restore, to the maximum extent practicable, United States membership in 
the International Sugar Organization.

SEC. 1505. SENSE OF THE SENATE REGARDING NAFTA SUGAR COORDINATION.

    It is the sense of the Senate that in order to improve the 
operations of the North American Free Trade Agreement--
            (1) the United States Government and the Government of 
        Mexico should coordinate the operation of their respective 
        sugar policies; and
            (2) the United States Government should consult with the 
        Government of Mexico on policies to avoid disruptions of the 
        United States sugar market and the Mexican sugar market in 
        order to maximize the benefits of sugar policies for growers, 
        processors, and consumers of sugar in the United States and 
        Mexico.

                           Subtitle D--Dairy

SEC. 1601. DAIRY PRODUCT PRICE SUPPORT PROGRAM.

    (a) Support Activities.--During the period beginning on January 1, 
2008, and ending on December 31, 2012, the Secretary shall support the 
price of cheddar cheese, butter, and nonfat dry milk through the 
purchase of such products made from milk produced in the United States.
    (b) Purchase Price.--To carry out subsection (a), the Secretary 
shall purchase cheddar cheese, butter, and nonfat dry milk at prices 
that are equivalent to--
            (1) in the case of cheddar cheese--
                    (A) in blocks, not less than $1.13 per pound;
                    (B) in barrels, not less than $1.10 per pound;
            (2) in the case of butter, not less than $1.05 per pound; 
        and
            (3) in the case of nonfat dry milk, not less than $0.80 per 
        pound.
    (c) Uniform Purchase Price.--The prices that the Secretary pays for 
cheese, butter, or nonfat dry milk under this section shall be uniform 
for all regions of the United States.
    (d) Sales From Inventories.--
            (1) In general.--Except as provided in paragraph (2), in 
        the case of each commodity specified in subsection (b) that is 
        available for unrestricted use in inventories of the Commodity 
        Credit Corporation, the Secretary may sell the commodity at the 
        market prices prevailing for that commodity at the time of 
        sale.
            (2) Minimum amount.--The sale price described in paragraph 
        (1) may not be less than 110 percent of the minimum purchase 
        price specified in subsection (b) for that commodity.

SEC. 1602. NATIONAL DAIRY MARKET LOSS PAYMENTS.

    (a) Definitions.--In this section:
            (1) Class i milk.--The term ``Class I milk'' means milk 
        (including milk components) classified as Class I milk under a 
        Federal milk marketing order.
            (2) Eligible production.--The term ``eligible production'' 
        means milk produced by a producer in a participating State.
            (3) Federal milk marketing order.--The term ``Federal milk 
        marketing order'' means an order issued under section 8c of the 
        Agricultural Adjustment Act (7 U.S.C. 608c), reenacted with 
        amendments by the Agricultural Marketing Agreement Act of 1937.
            (4) Participating state.--The term ``participating State'' 
        means each State.
            (5) Producer.--The term ``producer'' means an individual or 
        entity that directly or indirectly (as determined by the 
        Secretary)--
                    (A) shares in the risk of producing milk; and
                    (B) makes contributions (including land, labor, 
                management, equipment, or capital) to the dairy farming 
                operation of the individual or entity that are at least 
                commensurate with the share of the individual or entity 
                of the proceeds of the operation.
    (b) Payments.--The Secretary shall offer to enter into contracts 
with producers on a dairy farm located in a participating State under 
which the producers receive payments on eligible production.
    (c) Amount.--Payments to a producer under this section shall be 
calculated by multiplying (as determined by the Secretary)--
            (1) the payment quantity for the producer during the 
        applicable month established under subsection (d);
            (2) the amount equal to--
                    (A) $16.94 per hundredweight; less
                    (B) the Class I milk price per hundredweight in 
                Boston under the applicable Federal milk marketing 
                order; by
            (3)(A) for the period beginning October 1, 2007, and ending 
        September 30, 2008, 34 percent;
            (B) for the period beginning October 1, 2008, and ending 
        August 31, 2012, 45 percent; and
            (C) for the period beginning September 1, 2012, and 
        thereafter, 34 percent.
    (d) Payment Quantity.--
            (1) In general.--Subject to paragraph (2), the payment 
        quantity for a producer during the applicable month under this 
        section shall be equal to the quantity of eligible production 
        marketed by the producer during the month.
            (2) Limitation.--
                    (A) In general.--The payment quantity for all 
                producers on a single dairy operation for which the 
                producers receive payments under subsection (b) shall 
                not exceed--
                            (i) for the period beginning October 1, 
                        2007, and ending September 30, 2008, 2,400,000 
                        pounds;
                            (ii) for the period beginning October 1, 
                        2008, and ending August 31, 2012, 4,150,000 
                        pounds; and
                            (iii) effective beginning September 1, 
                        2012, 2,400,000 pounds.
                    (B) Standards.--For purposes of determining whether 
                producers are producers on separate dairy operations or 
                a single dairy operation, the Secretary shall apply the 
                same standards as were applied in implementing the 
                dairy program under section 805 of the Agriculture, 
                Rural Development, Food and Drug Administration, and 
                Related Agencies Appropriations Act, 2001 (as enacted 
                into law by Public Law 106-387; 114 Stat. 1549A-50).
            (3) Reconstitution.--The Secretary shall ensure that a 
        producer does not reconstitute a dairy operation for the sole 
        purpose of receiving additional payments under this section.
    (e) Payments.--A payment under a contract under this section shall 
be made on a monthly basis not later than 60 days after the last day of 
the month for which the payment is made.
    (f) Signup.--The Secretary shall offer to enter into contracts 
under this section during the period beginning on the date that is 90 
days after the date of enactment of this Act and ending on September 
30, 2012.
    (g) Duration of Contract.--
            (1) In general.--Except as provided in paragraph (2), any 
        contract entered into by producers on a dairy farm under this 
        section shall cover eligible production marketed by the 
        producers on the dairy farm during the period starting with the 
        first day of month the producers on the dairy farm enter into 
        the contract and ending on September 30, 2012.
            (2) Violations.--If a producer violates the contract, the 
        Secretary may--
                    (A) terminate the contract and allow the producer 
                to retain any payments received under the contract; or
                    (B) allow the contract to remain in effect and 
                require the producer to repay a portion of the payments 
                received under the contract based on the severity of 
                the violation.

SEC. 1603. DAIRY EXPORT INCENTIVE AND DAIRY INDEMNITY PROGRAMS.

    (a) 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 
``2007'' and inserting ``2012''.
    (b) Dairy Indemnity Program.--Section 3 of Public Law 90-484 (7 
U.S.C. 450l) is amended by striking ``2007'' and inserting ``2012''.

SEC. 1604. FUNDING OF DAIRY PROMOTION AND RESEARCH PROGRAM.

    Section 113(e)(2) of the Dairy Production Stabilization Act of 1983 
(7 U.S.C. 4504(e)(2)) is amended by striking ``2007'' and inserting 
``2012''.

SEC. 1605. REVISION OF FEDERAL MARKETING ORDER AMENDMENT PROCEDURES.

    Section 8c of the Agricultural Adjustment Act (7 U.S.C. 608c), 
reenacted with amendments by the Agricultural Marketing Agreement Act 
of 1937, is amended by striking subsection (17) and inserting the 
following:
            ``(17) Provisions applicable to amendments.--
                    ``(A) Applicability to amendments.--The provisions 
                of this section and section 8d applicable to orders 
                shall be applicable to amendments to orders.
                    ``(B) Supplemental rules of practice.--
                            ``(i) In general.--Not later than 60 days 
                        after the date of enactment of this 
                        subparagraph, the Secretary shall issue, using 
                        informal rulemaking, supplemental rules of 
                        practice to define guidelines and timeframes 
                        for the rulemaking process relating to 
                        amendments to orders.
                            ``(ii) Issues.--At a minimum, the 
                        supplemental rules of practice shall 
                        establish--
                                    ``(I) proposal submission 
                                requirements;
                                    ``(II) pre-hearing information 
                                session specifications;
                                    ``(III) written testimony and data 
                                request requirements;
                                    ``(IV) public participation 
                                timeframes; and
                                    ``(V) electronic document 
                                submission standards.
                            ``(iii) Effective date.--The supplemental 
                        rules of practice shall take effect not later 
                        than 120 days after the date of enactment of 
                        this subparagraph, as determined by the 
                        Secretary.
                    ``(C) Hearing timeframes.--
                            ``(i) In general.--Not more than 30 days 
                        after the receipt of a proposal for an 
                        amendment hearing regarding a milk marketing 
                        order, the Secretary shall--
                                    ``(I) issue a notice providing an 
                                action plan and expected timeframes for 
                                completion of the hearing not more than 
                                180 days after the date of the issuance 
                                of the notice;
                                    ``(II)(aa) issue a request for 
                                additional information to be used by 
                                the Secretary in making a determination 
                                regarding the proposal; and
                                    ``(bb) if the additional 
                                information is not provided to the 
                                Secretary within the timeframe 
                                requested by the Secretary, issue a 
                                denial of the request; or
                                    ``(III) issue a denial of the 
                                request.
                            ``(ii) Notice.--A notice issued under 
                        clause (i)(I) shall be individualized for each 
                        proceeding and take into consideration--
                                    ``(I) the number of orders 
                                affected;
                                    ``(II) the complexity of issues 
                                involved; and
                                    ``(III) the extent of the analyses 
                                required by applicable Executive orders 
                                (including Executive orders relating to 
                                civil rights, regulatory flexibility, 
                                and economic impact).
                            ``(iii) Recommended decisions.--A 
                        recommended decision on a proposed amendment to 
                        an order shall be issued not later than 90 days 
                        after the deadline established after the 
                        hearing for the submission of post-hearing 
                        briefs, unless otherwise provided in the 
                        initial notice issued under clause (i)(I).
                            ``(iv) Final decisions.--A final decision 
                        on a proposed amendment to an order shall be 
                        issued not later than 60 days after the 
                        deadline for submission of comments and 
                        exceptions to the recommended decision issued 
                        under clause (ii), unless otherwise provided in 
                        the initial notice issued under clause (i)(I).
                    ``(D) Industry assessments.--If the Secretary 
                determines it is necessary to improve or expedite 
                rulemaking under this subsection, the Secretary may 
                impose an assessment on the affected industry to 
                supplement appropriated funds for the procurement of 
                service providers, such as court reporters.
                    ``(E) Use of informal rulemaking.--The Secretary 
                may use rulemaking under section 553 of title 5, United 
                States Code, to amend orders, other than provisions of 
                orders that directly affecting milk prices.
                    ``(F) Monthly feed and fuel costs for make 
                allowances.--As part of any hearing to adjust make 
                allowances under marketing orders, the Secretary 
                shall--
                            ``(i) determine the average monthly prices 
                        of feed and fuel incurred by dairy producers in 
                        the relevant marketing area;
                            ``(ii) consider the most recent monthly 
                        feed and fuel price data available; and
                            ``(iii) consider those prices in 
                        determining whether or not to adjust make 
                        allowances.''.

SEC. 1606. DAIRY FORWARD PRICING PROGRAM.

    (a) In General.--Section 23 of the Agricultural Adjustment Act (7 
U.S.C. 627), reenacted with amendments by the Agricultural Marketing 
Agreement Act of 1937, is amended--
            (1) in the section heading, by striking ``pilot'';
            (2) by striking subsection (a) and inserting the following:
    ``(a) Program Required.--The Secretary of Agriculture shall 
establish a program under which milk producers and cooperative 
associations of producers are authorized to voluntarily enter into 
forward price contracts with milk handlers.'';
            (3) in subsection (c)--
                    (A) in the subsection heading, by striking 
                ``Pilot''; and
                    (B) in paragraph (1), by striking ``pilot'';
            (4) by striking subsections (d) and (e); and
            (5) by adding at the end the following:
    ``(d) Voluntary Program.--
            ``(1) In general.--A milk handler may not require 
        participation in a forward price contract as a condition of the 
        handler receiving milk from a producer or cooperative 
        association of producers.
            ``(2) Effect of nonparticipation.--A producer or 
        cooperative association that does not enter into a forward 
        price contract may continue to have milk priced under the 
        minimum payment provisions of the applicable milk marketing 
        order.
            ``(3) Complaints.--The Secretary shall--
                    ``(A) investigate complaints made by producers or 
                cooperative associations of coercion by handlers to 
                enter into forward price contracts; and
                    ``(B) if the Secretary finds evidence of coercion, 
                take appropriate action.
    ``(e) Duration.--No forward price contract under this section may--
            ``(1) be entered into after September 30, 2012; or
            ``(2) may extend beyond September 30, 2015.''.
    (b) Conforming Amendments.--Section 23 of the Agricultural 
Adjustment Act (7 U.S.C. 627), reenacted with amendments by the 
Agricultural Marketing Agreement Act of 1937, is amended by striking 
``cooperatives'' each place it appears in subsections (b) and (c)(2) 
and inserting ``cooperative associations of producers''.

SEC. 1607. REPORT ON DEPARTMENT OF AGRICULTURE REPORTING PROCEDURES FOR 
              NONFAT DRY MILK.

    Not later than 90 days after the date of the enactment of this Act, 
the Secretary shall submit to the Committee on Agriculture of the House 
of Representatives and the Committee on Agriculture, Nutrition, and 
Forestry of the Senate a report regarding Department of Agriculture 
reporting procedures for nonfat dry milk and the impact of the 
procedures on Federal milk marketing order minimum prices during the 
period beginning on July 1, 2006, and ending on the date of the 
enactment of this Act.

SEC. 1608. FEDERAL MILK MARKETING ORDER REVIEW COMMISSION.

    (a) Definition of ASCARR Institution.--In this section:
            (1) In general.--The term ``ASCARR Institution'' means a 
        public college or university offering a baccalaureate or higher 
        degree in the study of agriculture.
            (2) Exclusions.--The term ``ASCARR Institution'' does not 
        include an institution eligible to receive funds under--
                    (A) the Act of July 2, 1862 (commonly known as the 
                ``First Morrill Act'') (7 U.S.C. 301 et seq.);
                    (B) the Act of August 30, 1890 (commonly known as 
                the ``Second Morrill Act'') (7 U.S.C. 321 et seq.); or
                    (C) the Equity in Educational Land-Grant Status Act 
                of 1994 (Public Law 103-382; 7 U.S.C. 301 note).
    (b) Establishment.--Subject to the availability of funds 
appropriated to carry out this section, the Secretary shall establish a 
commission to be known as the ``Federal Milk Marketing Order Review 
Commission'' (referred to in this section as the ``Commission''), which 
shall conduct a comprehensive review and evaluation of--
            (1) the Federal milk marketing order system in effect on 
        the date of enactment of this Act; and
            (2) non-Federal milk marketing order systems.
    (c) Elements of Review and Evaluation.--As part of the review and 
evaluation under subsection (b), the Commission shall consider 
legislative and regulatory options for--
            (1) ensuring that the competitiveness of dairy products 
        with other competing products in the marketplace is preserved 
        and enhanced;
            (2) enhancing the competitiveness of United States dairy 
        producers in world markets;
            (3) increasing the responsiveness of the Federal milk 
        marketing order system to market forces;
            (4) streamlining and expediting the process by which 
        amendments to Federal milk market orders are adopted;
            (5) simplifying the Federal milk marketing order system;
            (6) evaluating whether the Federal milk marketing order 
        system, established during the Great Depression, continues to 
        serve the interests of the public, dairy processors, and dairy 
        producers;
            (7) evaluating whether Federal milk marketing orders are 
        operating in a manner to minimize costs to taxpayers and 
        consumers;
            (8) evaluating the nutritional composition of milk, 
        including the potential benefits and costs of adjusting the 
        milk content standards;
            (9) evaluating the economic benefits to milk producers of 
        establishing a 2-class system of classifying milk consisting of 
        a fluid milk class and a manufacturing grade milk class, with 
        the price of both classes determined using the component prices 
        of butterfat, protein, and other solids; and
            (10) evaluating a change in advance pricing that is used to 
        calculate the advance price of Class II skim milk under Federal 
        milk marketing orders using the 4-week component prices that 
        are used to calculate prices for Class III and Class IV milk.
    (d) Membership.--
            (1) Composition.--The Commission shall consist of 18 
        members.
            (2) Members.--As soon as practicable after the date on 
        which funds are first made available to carry out this 
        section--
                    (A) 2 members of the Commission shall be appointed 
                by the Chairman of the Committee on Agriculture of the 
                House of Representatives, in consultation with the 
                ranking member of the Committee on Agriculture of the 
                House of Representatives;
                    (B) 2 members of the Commission shall be appointed 
                by the Chairman of the Committee on Agriculture, 
                Nutrition, and Forestry of the Senate, in consultation 
                with the ranking member of the Committee on 
                Agriculture, Nutrition and Forestry of the Senate; and
                    (C) 14 members of the Commission shall be appointed 
                by the Secretary.
            (3) Special appointment requirements.--In the case of 
        members of the Commission appointed under paragraph (2)(C), the 
        Secretary shall ensure that--
                    (A) at least 1 member represents a national 
                consumer organization;
                    (B) at least 4 members represent land-grant 
                colleges or universities (as defined in section 1404 of 
                the National Agricultural Research, Extension, and 
                Teaching Policy Act of 1977 (7 U.S.C. 3103)) or ASCARR 
                institutions with accredited dairy economic programs, 
                with at least 2 of those members being experts in the 
                field of economics;
                    (C) at least 1 member represents the food and 
                beverage retail sector; and
                    (D) 4 dairy producers and 4 dairy processors are 
                appointed in a manner that will--
                            (i) balance geographical distribution of 
                        milk production and dairy processing;
                            (ii) reflect all segments of dairy 
                        processing; and
                            (iii) represent all regions of the United 
                        States equitably, including States that operate 
                        outside of a Federal milk marketing order.
            (4) Chair.--The Commission shall elect 1 of the members of 
        the Commission to serve as chairperson for the duration of the 
        proceedings of the Commission.
            (5) Vacancy.--Any vacancy occurring before the termination 
        of the Commission shall be filled in the same manner as the 
        original appointment.
            (6) Compensation.--A member of the Commission shall serve 
        without compensation, but shall be reimbursed by the Secretary 
        from existing budget authority for necessary and reasonable 
        expenses incurred in the performance of the duties of the 
        Commission.
    (e) Report.--
            (1) In general.--Not later than 2 years after the date of 
        the first meeting of the Commission, the Commission shall 
        submit to Congress and the Secretary a report describing the 
        results of the review and evaluation conducted under this 
        section, including such recommendations regarding the 
        legislative and regulatory options considered under subsection 
        (c) as the Commission considers to be appropriate.
            (2) Support.--The report findings shall reflect, to the 
        maximum extent practicable, a consensus opinion of the 
        Commission members, but the report may include majority and 
        minority findings regarding those matters for which consensus 
        was not reached.
    (f) Advisory Nature.--The Commission is wholly advisory in nature 
and the recommendations of the Commission are nonbinding.
    (g) No Effect on Existing Programs.--The Secretary shall not allow 
the existence of the Commission to impede, delay, or otherwise affect 
any decisionmaking process of the Department of Agriculture, including 
any rulemaking procedures planned, proposed, or near completion.
    (h) Administrative Assistance.--The Secretary shall provide such 
administrative support to the Commission, and expend such funds as 
necessary from budget authority available to the Secretary, as is 
necessary to carry out this section.
    (i) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as are necessary to carry out this section.
    (j) Termination of Effectiveness.--The authority provided by this 
section terminates effective on the date of the submission of the 
report under subsection (e).

SEC. 1609. MANDATORY REPORTING OF DAIRY COMMODITIES.

    Section 273 of the Agricultural Marketing Act of 1946 (7 U.S.C. 
1637b) is amended--
            (1) by striking subsections (a) and (b) and inserting the 
        following:
    ``(a) Daily Reporting.--
            ``(1) In general.--Not later than 180 days after the date 
        of enactment of the Food and Energy Security Act of 2007, the 
        Secretary shall require corporate officers or officially-
        designated representatives of each dairy processor to report to 
        the Secretary on each daily reporting day designated by the 
        Secretary, not later than 10:00 a.m. Central Time, for each 
        sales transaction involving a dairy commodity, information 
        concerning--
                    ``(A) the sales price;
                    ``(B) the quantity sold;
                    ``(C) the location of the sales transaction; and
                    ``(D) product characteristics, including--
                            ``(i) moisture level;
                            ``(ii) packaging size;
                            ``(iii) grade;
                            ``(iv) if appropriate, fat, protein, or 
                        other component level;
                            ``(v) heat level for dried products; and
                            ``(vi) other defining product 
                        characteristics used in transactions.
            ``(2) Publication.--The Secretary shall make the 
        information reported under paragraph (1) available to the 
        public not less frequently than once each reporting day, 
        categorized by location and product characteristics.
            ``(3) Federal order prices.--If the Secretary uses dairy 
        product prices to establish minimum prices in accordance with 
        section 8c(5) of the Agricultural Adjustment Act (7 U.S.C. 
        608c(5)), reenacted with amendments by the Agricultural 
        Marketing Agreement Act of 1937, the Secretary shall use daily 
        prices published under paragraph (2) to determine such prices.
            ``(4) Exemption for small processors.--A processor that 
        processes 1,000,000 pounds of milk or less per year shall be 
        exempt from daily reporting requirements under this 
        subsection.''; and
            (2) by redesignating subsections (c) and (d) as subsections 
        (b) and (c), respectively.

                       Subtitle E--Administration

SEC. 1701. ADMINISTRATION GENERALLY.

    (a) Use of Commodity Credit Corporation.--Except as otherwise 
provided in subtitles A through D and this subtitle, the Secretary 
shall use the funds, facilities, and authorities of the Commodity 
Credit Corporation to carry out subtitles A through D and this 
subtitle.
    (b) Determinations by Secretary.--A determination made by the 
Secretary under this title shall be final and conclusive.
    (c) Regulations.--
            (1) In general.--Not later than 90 days after the date of 
        the enactment of this Act, the Secretary and the Commodity 
        Credit Corporation, as appropriate, shall promulgate such 
        regulations as are necessary to implement this title and the 
        amendments made by this title.
            (2) Procedure.--The promulgation of the regulations and 
        administration of this title and the amendments made by this 
        title shall be made without regard to--
                    (A) chapter 35 of title 44, United States Code 
                (commonly known as the ``Paperwork Reduction Act'');
                    (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) the notice and comment provisions of section 
                553 of title 5, United States Code.
            (3) Congressional review of agency rulemaking.--In carrying 
        out this subsection, the Secretary shall use the authority 
        provided under section 808 of title 5, United States Code.
    (d) Adjustment Authority Related to Trade Agreements Compliance.--
            (1) Required determination; adjustment.--If the Secretary 
        determines that expenditures under subtitles A through D and 
        this subtitle that are subject to the total allowable domestic 
        support levels under the Uruguay Round Agreements (as defined 
        in section 2 of the Uruguay Round Agreements Act (19 U.S.C. 
        3501)) will exceed such allowable levels for any applicable 
        reporting period, the Secretary shall, to the maximum extent 
        practicable, make adjustments in the amount of such 
        expenditures during that period to ensure that such 
        expenditures do not exceed such allowable levels.
            (2) Congressional notification.--Before making any 
        adjustment under paragraph (1), the Secretary shall submit to 
        the Committee on Agriculture of the House of Representatives or 
        the Committee on Agriculture, Nutrition, and Forestry of the 
        Senate a report describing the determination made under that 
        paragraph and the extent of the adjustment to be made.
    (e) Treatment of Advance Payment Option.--Section 1601(d) of the 
Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7991(d)) is 
amended--
            (1) in paragraph (1), by striking ``and'' at the end;
            (2) in paragraph (2), by striking the period at the end and 
        inserting ``; and''; and
            (3) by adding at the end the following:
            ``(3) the advance payment of direct payments and counter-
        cyclical payments under title I of the Food and Energy Security 
        Act of 2007.''.

SEC. 1702. SUSPENSION OF PERMANENT PRICE SUPPORT AUTHORITY.

    (a) Agricultural Adjustment Act of 1938.--The following provisions 
of the Agricultural Adjustment Act of 1938 shall not be applicable to 
the 2008 through 2012 crops of covered commodities and sugar and shall 
not be applicable to milk during the period beginning on the date of 
enactment of this Act through December 31, 2012:
            (1) Parts II through V of subtitle B of title III (7 U.S.C. 
        1326 et seq.).
            (2) In the case of upland cotton, section 377 (7 U.S.C. 
        1377).
            (3) Subtitle D of title III (7 U.S.C. 1379a et seq.).
            (4) Title IV (7 U.S.C. 1401 et seq.).
    (b) Agricultural Act of 1949.--The following provisions of the 
Agricultural Act of 1949 shall not be applicable to the 2008 through 
2012 crops of covered commodities and sugar and shall not be applicable 
to milk during the period beginning on the date of enactment of this 
Act and through December 31, 2012:
            (1) Section 101 (7 U.S.C. 1441).
            (2) Section 103(a) (7 U.S.C. 1444(a)).
            (3) Section 105 (7 U.S.C. 1444b).
            (4) Section 107 (7 U.S.C. 1445a).
            (5) Section 110 (7 U.S.C. 1445e).
            (6) Section 112 (7 U.S.C. 1445g).
            (7) Section 115 (7 U.S.C. 1445k).
            (8) Section 201 (7 U.S.C. 1446).
            (9) Title III (7 U.S.C. 1447 et seq.).
            (10) Title IV (7 U.S.C. 1421 et seq.), other than sections 
        404, 412, and 416 (7 U.S.C. 1424, 1429, and 1431).
            (11) Title V (7 U.S.C. 1461 et seq.).
            (12) Title VI (7 U.S.C. 1471 et seq.).
    (c) Suspension of Certain Quota Provisions.--The joint resolution 
entitled ``A joint resolution relating to corn and wheat marketing 
quotas under the Agricultural Adjustment Act of 1938, as amended'', 
approved May 26, 1941 (7 U.S.C. 1330 and 1340), shall not be applicable 
to the crops of wheat planted for harvest in the calendar years 2008 
through 2012.

SEC. 1703. PAYMENT LIMITATIONS.

    (a) Extension of Limitations.--Sections 1001 and 1001C(a) of the 
Food Security Act of 1985 (7 U.S.C. 1308, 1308-3(a)) are amended by 
striking ``Farm Security and Rural Investment Act of 2002'' each place 
it appears and inserting ``Food and Energy Security Act of 2007''.
    (b) Revision of Limitations.--
            (1) Definitions.--Section 1001(a) of the Food Security Act 
        of 1985 (7 U.S.C. 1308) is amended--
                    (A) in the matter preceding paragraph (1), by 
                inserting ``and section 1001A'' after ``section'';
                    (B) by striking paragraph (2) and redesignating 
                paragraph (3) as paragraph (5); and
                    (C) by inserting after paragraph (1) the following:
            ``(2) Family member.--The term `family member' means an 
        individual to whom a member in the farming operation is related 
        as lineal ancestor, lineal descendant, sibling, or spouse.
            ``(3) Legal entity.--The term `legal entity' means an 
        entity that is created under Federal or State law and that--
                    ``(A) owns land or an agricultural commodity; or
                    ``(B) produces an agricultural commodity.
            ``(4) Person.--The term `person' means a natural person, 
        and does not include a legal entity.''.
            (2) Limitation on direct payments and counter-cyclical 
        payments.--Section 1001 of the Food Security Act of 1985 (7 
        U.S.C. 1308) is amended by striking subsections (b), (c) and 
        (d) and inserting the following:
    ``(b) Limitation on Direct and Counter-Cyclical Payments for 
Covered Commodities (other Than Peanuts).--
            ``(1) Direct payments.--The total amount of direct payments 
        received, directly or indirectly, by a person or legal entity 
        (except a joint venture or a general partnership) for any crop 
        year under part I of subtitle A of title I of the Food and 
        Energy Security Act of 2007 for 1 or more covered commodities 
        (except for peanuts), or average crop revenue payments 
        determined under section 1401(b)(2) of that Act, may not exceed 
        $40,000.
            ``(2) Counter-cyclical payments.--The total amount of 
        counter-cyclical payments received, directly or indirectly, by 
        a person or legal entity (except a joint venture or a general 
        partnership) for any crop year under part I of subtitle A of 
        title I of the Food and Energy Security Act of 2007 for one or 
        more covered commodities (except for peanuts), or average crop 
        revenue payments determined under section 1401(b)(3) of that 
        Act, may not exceed $60,000.
    ``(c) Limitation on Direct Payments and Counter-Cyclical Payments 
for Peanuts.--
            ``(1) Direct payments.--The total amount of direct payments 
        received, directly or indirectly, by a person or legal entity 
        (except a joint venture or a general partnership) for any crop 
        year under part III of subtitle A of title I of the Food and 
        Energy Security Act of 2007 for peanuts, or average crop 
        revenue payments determined under section 1401(b)(2) of that 
        Act, may not exceed $40,000.
            ``(2) Counter-cyclical payments.--The total amount of 
        counter-cyclical payments received, directly or indirectly, by 
        a person or legal entity (except a joint venture or a general 
        partnership) for any crop year under part III of subtitle A of 
        title I of the Food and Energy Security Act of 2007 for 
        peanuts, or average crop revenue payments determined under 
        section 1401(b)(3) of that Act, may not exceed $60,000.''.
    ``(d) Limitation on Applicability.--Nothing in this section 
authorizes any limitation on any benefit associated with the marketing 
assistance loan program or the loan deficiency payment program under 
title I of the Food and Energy Security Act of 2007.''.
            (3) Direct attribution.--Section 1001 of the Food Security 
        Act of 1985 (7 U.S.C. 1308) is amended by striking subsection 
        (e) and redesignating subsections (f) and (g) as (g) and (h), 
        respectively, and inserting the following:
    ``(e) Attribution of Payments.--
            ``(1) In general.--In implementing subsections (b) and (c) 
        and a program described in section 1001D(b)(2)(C), the 
        Secretary shall issue such regulations as are necessary to 
        ensure that the total amount of payments are attributed to a 
        person by taking into account the direct and indirect ownership 
        interests of the person in a legal entity that is eligible to 
        receive the payments.
            ``(2) Payments to a person.--Each payment made directly to 
        a person shall be combined with the pro rata interest of the 
        person in payments received by a legal entity in which the 
        person has a direct or indirect ownership interest unless the 
        payments of the legal entity have been reduced by the pro rata 
        share of the person.
            ``(3) Payments to a legal entity.--
                    ``(A) In general.--Each payment made to a legal 
                entity shall be attributed to those persons who have a 
                direct or indirect ownership interest in the legal 
                entity unless the payment to the legal entity has been 
                reduced by the pro rata share of the person.
                    ``(B) Attribution of payments.--
                            ``(i) Payment limits.--Except as provided 
                        in clause (ii), payments made to a legal entity 
                        shall not exceed the amounts specified in 
                        subsections (b) and (c).
                            ``(ii) Exception for joint ventures and 
                        general partnerships.--Payments made to a joint 
                        venture or a general partnership shall not 
                        exceed, for each payment specified in 
                        subsections (b) and (c), the amount determined 
                        by multiplying the maximum payment amount 
                        specified in subsections (b) and (c) by the 
                        number of persons and legal entities (other 
                        than joint ventures and general partnerships) 
                        that comprise the ownership of the joint 
                        venture or general partnership.
                            ``(iii) Reduction.--Payments made to a 
                        legal entity shall be reduced proportionately 
                        by an amount that represents the direct or 
                        indirect ownership in the legal entity by any 
                        individual or legal entity that has otherwise 
                        exceeded the applicable maximum payment 
                        limitation.
            ``(4) 4 levels of attribution for embedded legal 
        entities.--
                    ``(A) In general.--Attribution of payments made to 
                legal entities shall be traced through 4 levels of 
                ownership in legal entities.
                    ``(B) First level.--Any payments made to a legal 
                entity (a first-tier legal entity) that is owned in 
                whole or in part by a person shall be attributed to the 
                person in an amount that represents the direct 
                ownership in the first-tier legal entity by the person.
                    ``(C) Second level.--
                            ``(i) In general.--Any payments made to a 
                        first-tier legal entity that is owned (in whole 
                        or in part) by another legal entity (a second-
                        tier legal entity) shall be attributed to the 
                        second-tier legal entity in proportion to the 
                        ownership of the second-tier legal entity in 
                        the first-tier legal entity.
                            ``(ii) Ownership by a person.--If the 
                        second-tier legal entity is owned (in whole or 
                        in part) by a person, the amount of the payment 
                        made to the first-tier legal entity shall be 
                        attributed to the person in the amount that 
                        represents the indirect ownership in the first-
                        tier legal entity by the person.
                    ``(D) Third and fourth levels.--
                            ``(i) In general.--Except as provided in 
                        clause (ii), the Secretary shall attribute 
                        payments at the third and fourth tiers of 
                        ownership in the same manner as specified in 
                        subparagraph (C).
                            ``(ii) Fourth-tier ownership.--If the 
                        fourth-tier of ownership is that of a fourth-
                        tier legal entity and not that of a person, the 
                        Secretary shall reduce the amount of the 
                        payment to be made to the first-tier legal 
                        entity in the amount that represents the 
                        indirect ownership in the first-tier legal 
                        entity by the fourth-tier legal entity.
    ``(f) Special Rules.--
            ``(1) Minor children.--
                    ``(A) In general.--Except as provided in 
                subparagraph (B), payments received by a child under 
                the age of 18 shall be attributed to the parents of the 
                child.
                    ``(B) Regulations.--The Secretary shall issue 
                regulations specifying the conditions under which 
                payments received by a child under the age of 18 will 
                not be attributed to the parents of the child.
            ``(2) Marketing cooperatives.--Subsections (b) and (c) 
        shall not apply to a cooperative association of producers with 
        respect to commodities produced by the members of the 
        association that are marketed by the association on behalf of 
        the members of the association but shall apply to the producers 
        as persons.
            ``(3) Trusts and estates.--
                    ``(A) In general.--With respect to irrevocable 
                trusts and estates, the Secretary shall administer this 
                section through section 1001F in such manner as the 
                Secretary determines will ensure the fair and equitable 
                treatment of the beneficiaries of the trusts and 
                estates.
                    ``(B) Irrevocable trust.--
                            ``(i) In general.--In order for a trust to 
                        be considered an irrevocable trust, the terms 
                        of the trust agreement shall not--
                                    ``(I) allow for modification or 
                                termination of the trust by the 
                                grantor;
                                    ``(II) allow for the grantor to 
                                have any future, contingent, or 
                                remainder interest in the corpus of the 
                                trust; or
                                    ``(III) except as provided in 
                                clause (ii), provide for the transfer 
                                of the corpus of the trust to the 
                                remainder beneficiary in less than 20 
                                years beginning on the date the trust 
                                is established.
                            ``(ii) Exception.--Clause (i)(III) shall 
                        not apply in a case in which the transfer is--
                                    ``(I) contingent on the remainder 
                                beneficiary achieving at least the age 
                                of majority; or
                                    ``(II) is contingent on the death 
                                of the grantor or income beneficiary.
                    ``(C) Revocable trust.--For the purposes of this 
                section through section 1001F, a revocable trust shall 
                be considered to be the same person as the grantor of 
                the trust.
            ``(4) Cash rent tenants.--
                    ``(A) Definition.--In this paragraph, the term 
                `cash rent tenant' means a person or legal entity that 
                rents land--
                            ``(i) for cash; or
                            ``(ii) for a crop share guaranteed as to 
                        the amount of the commodity to be paid in rent.
                    ``(B) Restriction.--A cash rent tenant who makes a 
                significant contribution of active personal management, 
                but not of personal labor, with respect to a farming 
                operation shall be eligible to receive a payment 
                described in subsection (b) or (c) only if the tenant 
                makes a significant contribution of equipment to the 
                farming operation.
            ``(5) Federal agencies.--
                    ``(A) In general.--A Federal agency shall not be 
                eligible to receive any payment described in subsection 
                (b) or (c).
                    ``(B) Land rental.--A lessee of land owned by a 
                Federal agency may receive a payment described in 
                subsection (b) or (c) if the lessee otherwise meets all 
                applicable criteria.
            ``(6) State and local governments.--
                    ``(A) In general.--Except as provided in subsection 
                (g), a State or local government, or political 
                subdivision or agency of the government, shall not be 
                eligible to receive a payment described in subsection 
                (b) or (c).
                    ``(B) Tenants.--A lessee of land owned by a State 
                or local government, or political subdivision or agency 
                of the government, may receive payments described in 
                subsections (b) and (c) if the lessee otherwise meet 
                all applicable criteria.
            ``(7) Changes in farming operations.--
                    ``(A) In general.--In the administration of this 
                section through section 1001F, the Secretary may not 
                approve any change in a farming operation that 
                otherwise will increase the number of persons to which 
                the limitations under this section are applied unless 
                the Secretary determines that the change is bona fide 
                and substantive.
                    ``(B) Family members.--The addition of a family 
                member to a farming operation under the criteria set 
                out in section 1001A shall be considered a bona fide 
                and substantive change in the farming operation.
            ``(8) Death of owner.--
                    ``(A) In general.--If any ownership interest in 
                land or a commodity is transferred as the result of the 
                death of a program participant, the new owner of the 
                land or commodity may, if the person is otherwise 
                eligible to participate in the applicable program, 
                succeed to the contract of the prior owner and receive 
                payments subject to this section without regard to the 
                amount of payments received by the new owner.
                    ``(B) Limitations on prior owner.--Payments made 
                under this paragraph shall not exceed the amount to 
                which the previous owner was entitled to receive under 
                the terms of the contract at the time of the death of 
                the prior owner.''.
    (c) Repeal of 3-Entity Rule.--Section 1001A of the Food Security 
Act of 1985 (7 U.S.C. 1308-1) is amended--
            (1) in the section heading, by striking ``prevention of 
        creation of entities to qualify as separate persons'' and 
        inserting ``notification of interests''; and
            (2) by striking subsection (a) and inserting the following:
    ``(a) Notification of Interests.--To facilitate administration of 
section 1001 and this section, each person or legal entity receiving 
payments described in subsections (b) and (c) of section 1001 as a 
separate person or legal entity shall separately provide to the 
Secretary, at such times and in such manner as prescribed by the 
Secretary--
            ``(1) the name and social security number of each 
        individual, or the name and taxpayer identification number of 
        each legal entity, that holds or acquires an ownership interest 
        in the separate person or legal entity; and
            ``(2) the name and taxpayer identification number of each 
        legal entity in which the person or legal entity holds an 
        ownership interest.''.
    (d) Amendment for Consistency.--Section 1001A of the Food Security 
Act of 1985 (7 U.S.C. 1308-1) is amended by striking subsection (b) and 
inserting the following:
    ``(b) Actively Engaged.--
            ``(1) In general.--To be eligible to receive a payment 
        described in subsection (b) or (c) of section 1001, a person or 
        legal entity shall be actively engaged in farming with respect 
        to a farming operation as provided in this subsection or 
        subsection (c).
            ``(2) Classes actively engaged.--Except as provided in 
        subsections (c) and (d)--
                    ``(A) a person (including a person participating in 
                a farming operation as a partner in a general 
                partnership, a participant in a joint venture, a 
                grantor of a revocable trust, or a participant in a 
                similar entity, as determined by the Secretary) shall 
                be considered to be actively engaged in farming with 
                respect to a farming operation if--
                            ``(i) the person makes a significant 
                        contribution (based on the total value of the 
                        farming operation) to the farming operation 
                        of--
                                    ``(I) capital, equipment, or land; 
                                and
                                    ``(II) personal labor or active 
                                personal management;
                            ``(ii) the person's share of the profits or 
                        losses from the farming operation is 
                        commensurate with the contributions of the 
                        person to the farming operation; and
                            ``(iii) the contributions of the person are 
                        at risk;
                    ``(B) a legal entity that is a corporation, joint 
                stock company, association, limited partnership, 
                charitable organization, or other similar entity 
                determined by the Secretary (including any such legal 
                entity participating in the farming operation as a 
                partner in a general partnership, a participant in a 
                joint venture, a grantor of a revocable trust, or as a 
                participant in a similar legal entity as determined by 
                the Secretary) shall be considered as actively engaged 
                in farming with respect to a farming operation if--
                            ``(i) the legal entity separately makes a 
                        significant contribution (based on the total 
                        value of the farming operation) of capital, 
                        equipment, or land;
                            ``(ii) the stockholders or members 
                        collectively make a significant contribution of 
                        personal labor or active personal management to 
                        the operation; and
                            ``(iii) the standards provided in clauses 
                        (ii) and (iii) of subparagraph (A), as applied 
                        to the legal entity, are met by the legal 
                        entity;
                    ``(C) if a legal entity that is a general 
                partnership, joint venture, or similar entity, as 
                determined by the Secretary, separately makes a 
                significant contribution (based on the total value of 
                the farming operation involved) of capital, equipment, 
                or land, and the standards provided in clauses (ii) and 
                (iii) of subparagraph (A), as applied to the legal 
                entity, are met by the legal entity, the partners or 
                members making a significant contribution of personal 
                labor or active personal management shall be considered 
                to be actively engaged in farming with respect to the 
                farming operation involved; and
                    ``(D) in making determinations under this 
                subsection regarding equipment and personal labor, the 
                Secretary shall take into consideration the equipment 
                and personal labor normally and customarily provided by 
                farm operators in the area involved to produce program 
                crops.
    ``(c) Special Classes Actively Engaged.--
            ``(1) Landowner.--A person or legal entity that is a 
        landowner contributing the owned land to a farming operation 
        shall be considered to be actively engaged in farming with 
        respect to the farming operation if--
                    ``(A) the landowner receives rent or income for the 
                use of the land based on the production on the land or 
                the operating results of the operation; and
                    ``(B) the person or legal entity meets the 
                standards provided in clauses (ii) and (iii) of 
                subsection (b)(2)(A).
            ``(2) Adult family member.--If a majority of the 
        participants in a farming operation are family members, an 
        adult family member shall be considered to be actively engaged 
        in farming with respect to the farming operation if the 
        person--
                    ``(A) makes a significant contribution, based on 
                the total value of the farming operation, of active 
                personal management or personal labor; and
                    ``(B) with respect to such contribution, meets the 
                standards provided in clauses (ii) and (iii) of 
                subsection (b)(2)(A).
            ``(3) Sharecropper.--A sharecropper who makes a significant 
        contribution of personal labor to a farming operation shall be 
        considered to be actively engaged in farming with respect to 
        the farming operation if the contribution meets the standards 
        provided in clauses (ii) and (iii) of subsection (b)(2)(A).
            ``(4) Growers of hybrid seed.--In determining whether a 
        person or legal entity growing hybrid seed under contract shall 
        be considered to be actively engaged in farming, the Secretary 
        shall not take into consideration the existence of a hybrid 
        seed contract.
            ``(5) Custom farming services.--
                    ``(A) In general.--A person or legal entity 
                receiving custom farming services shall be considered 
                separately eligible for payment limitation purposes if 
                the person or legal entity is actively engaged in 
                farming based on subsection (b)(2) or paragraphs (1) 
                through (4) of this subsection.
                    ``(B) Prohibition.--No other rules with respect to 
                custom farming shall apply.
            ``(6) Spouse.--If 1 spouse (or estate of a deceased spouse) 
        is determined to be actively engaged, the other spouse shall be 
        determined to have met the requirements of subsection 
        (b)(2)(A)(i)(II).
    ``(d) Classes Not Actively Engaged.--
            ``(1) Cash rent landlord.--A landlord contributing land to 
        a farming operation shall not be considered to be actively 
        engaged in farming with respect to the farming operation if the 
        landlord receives cash rent, or a crop share guaranteed as to 
        the amount of the commodity to be paid in rent, for the use of 
        the land.
            ``(2) Other persons and legal entities.--Any other person 
        or legal entity that the Secretary determines does not meet the 
        standards described in subsections (b)(2) and (c) shall not be 
        considered to be actively engaged in farming with respect to a 
        farming operation.''.
    (e) Denial of Program Benefits.--Section 1001B of the Food Security 
Act of 1985 (7 U.S.C. 1308-2) is amended to read as follows:

``SEC. 1001B. DENIAL OF PROGRAM BENEFITS.

    ``(a) 2-Year Denial of Program Benefits.--A person or legal entity 
shall be ineligible to receive payments specified in subsections (b) 
and (c) of section 1001 for the crop year, and the succeeding crop 
year, in which the Secretary determines that the person or legal 
entity--
            ``(1) failed to comply with section 1001A(b) and adopted or 
        participated in adopting a scheme or device to evade the 
        application of section 1001, 1001A, or 1001C; or
            ``(2) intentionally concealed the interest of the person or 
        legal entity in any farm or legal entity engaged in farming.
    ``(b) Extended Ineligibility.--If the Secretary determines that a 
person or legal entity, for the benefit of the person or legal entity 
or the benefit of any other person or legal entity, has knowingly 
engaged in, or aided in the creation of a fraudulent document, 
presented false information that was material and relevant to the 
administration of sections 1001 through 1001F, or committed other 
equally serious actions (as identified in regulations issued by the 
Secretary), the Secretary may for a period not to exceed 5 crop years 
deny the issuance of payments to the person or legal entity.
    ``(c) Pro Rata Denial.--
            ``(1) In general.--Payments otherwise owed to a person or 
        legal entity described in subsections (a) or (b) shall be 
        denied in a pro rata manner based on the ownership interest of 
        the person or legal entity in a farm.
            ``(2) Cash rent tenant.--Payments otherwise payable to the 
        person or legal entity described in subsection (a) or (b) who 
        is a cash rent tenant on a farm owned or under the control of 
        the person or legal entity shall be denied.
    ``(d) Joint and Several Liability.--Any member of any legal entity 
(including partnerships and joint ventures) determined to have 
knowingly participated in a scheme or device to evade, or that has the 
purpose of evading, sections 1001, 1001A, or 1001C shall be jointly and 
severally liable for any amounts that are payable to the Secretary as 
the result of the scheme or device (including amounts necessary to 
recover those amounts).
    ``(e) Release.--The Secretary may partially or fully release from 
liability any person or legal entity who cooperates with the Secretary 
in enforcing sections 1001, 1001A, and 1001C, and this section.''.
    (f) Conforming Amendments.--
            (1) Section 1009(e) of the Food Security Act of 1985 (7 
        U.S.C. 1308a(e)) is amended in the second sentence by striking 
        ``of $50,000''.
            (2) Section 609(b)(1) of the Emergency Livestock Feed 
        Assistance Act of 1988 (7 U.S.C. 1471g(b)(1)) is amended by 
        inserting ``(before the amendment made by section 1703(a) of 
        the Food and Energy Security Act of 2007)'' after ``1985''.
            (3) Section 524(b)(3) of the Federal Crop Insurance Act (7 
        U.S.C. 1524(b)(3)) is amended by inserting ``(before the 
        amendment made by section 1703(a) of the Food and Energy 
        Security Act of 2007)'' after ``1308(5)))''.
            (4) Section 196(i) of the Federal Agriculture Improvement 
        and Reform Act of 1996 (7 U.S.C. 7333(i)) is amended in 
        paragraphs (1)(A) and (5) by inserting ``(before the amendment 
        made by section 1703(a) of the Food and Energy Security Act of 
        2007)'' after ``1308)'' each place it appears.
            (5) Section 10204(c)(1) of the Farm Security and Rural 
        Investment Act of 2002 (7 U.S.C. 8204(c)(1)) is amended by 
        inserting ``(before the amendment made by section 1703(a) of 
        the Food and Energy Security Act of 2007)'' after ``1308)''.
            (6) Section 1271(c)(3)(A) of the Food, Agriculture, 
        Conservation, and Trade Act of 1990 (16 U.S.C. 2106a(c)(3)(A)) 
        is amended by inserting ``(before the amendment made by section 
        1703(a) of the Food and Energy Security Act of 2007)'' after 
        ``1308)''.
            (7) Section 291(2) of the Trade Act of 1974 (19 U.S.C. 
        2401(2) is amended by inserting ``(before the amendment made by 
        section 1703(a) of the Food and Energy Security Act of 2007)'' 
        before the period at the end.
    (g) Transition.--Section 1001, 1001A, and 1001B of the Food 
Security Act of 1985 (7 U.S.C. 1308, 1308-1, 1308-2), as in effect on 
the day before the date of the enactment of this Act, shall continue to 
apply with respect to the 2007 crop of any covered commodity or 
peanuts.

SEC. 1704. ADJUSTED GROSS INCOME LIMITATION.

    (a) Extension of Adjusted Gross Income Limitation.--Section 
1001D(e) of the Food Security Act of 1985 (7 U.S.C. 1308-3a(e)) is 
amended by striking ``2007'' and inserting ``2012''.
    (b) Allocation of Income.--Section 1001D(a) of the Food Security 
Act of 1985 (7 U.S.C. 1308-3a(a)) is amended by adding at the end the 
following:
            ``(3) Allocation of income.--On the request of any 
        individual filing a joint tax return, the Secretary shall 
        provide for the allocation of adjusted gross income among the 
        individuals filing the return based on a certified statement 
        provided by a certified public accountant or attorney 
        specifying the manner in which the income would have been 
        declared and reported if the individuals had filed 2 separate 
        returns, if the Secretary determines that the calculation is 
        consistent with the information supporting the filed joint 
        return.''.
    (c) Modification of Limitation.--Section 1001D of the Food Security 
Act of 1985 (7 U.S.C. 1308-3a) is amended by striking subsection (b) 
and inserting the following:
    ``(b) Limitation.--
            ``(1) Crop years.--
                    ``(A) 2009 crop year.--Notwithstanding any other 
                provision of law, an individual or entity shall not be 
                eligible to receive any benefit described in paragraph 
                (2)(A) during the 2009 crop year if the average 
                adjusted gross income of the individual or entity 
                exceeds $1,000,000, unless not less than 66.66 percent 
                of the average adjusted gross income of the individual 
                or entity is derived from farming, ranching, or 
                forestry operations, as determined by the Secretary.
                    ``(B) 2010 and subsequent crop years.--
                Notwithstanding any other provision of law, an 
                individual or entity shall not be eligible to receive 
                any benefit described in paragraph (2)(A) during any of 
                the 2010 and subsequent crop years if the average 
                adjusted gross income of the individual or entity 
                exceeds $750,000, unless not less than 66.66 percent of 
                the average adjusted gross income of the individual or 
                entity is derived from farming, ranching, or forestry 
                operations, as determined by the Secretary.
                    ``(C) Conservation programs.--Notwithstanding any 
                other provision of law, an individual or entity shall 
                not be eligible to receive any benefit described in 
                paragraph (2)(B) during a crop year if the average 
                adjusted gross income of the individual or entity 
                exceeds $2,500,000, unless not less than 75 percent of 
                the average adjusted gross income of the individual or 
                entity is derived from farming, ranching, or forestry 
                operations, as determined by the Secretary.
            ``(2) Covered benefits.--
                    ``(A) In general.--Subparagraphs (A) and (B) of 
                paragraph (1) apply with respect to the following:
                            ``(i) A direct payment or counter-cyclical 
                        payment under part I or III of subtitle A of 
                        title I of the Food and Energy Security Act of 
                        2007.
                            ``(ii) A marketing loan gain or loan 
                        deficiency payment under part II or III of 
                        subtitle A of title I of the Food and Energy 
                        Security Act of 2007.
                            ``(iii) An average crop revenue payment 
                        under subtitle B of title I of Food and Energy 
                        Security Act of 2007.
                    ``(B) Conservation programs.--Paragraph (1)(C) 
                applies with respect to a payment under any program 
                under--
                            ``(i) title XII of this Act;
                            ``(ii) title II of the Farm Security and 
                        Rural Investment Act of 2002 (Public Law 107-
                        171; 116 Stat. 223); or
                            ``(iii) title II of the Food and Energy 
                        Security Act of 2007.
            ``(3) Income derived from farming, ranching or forestry 
        operations.--In determining what portion of the average 
        adjusted gross income of an individual or entity is derived 
        from farming, ranching, or forestry operations, the Secretary 
        shall include income derived from--
                    ``(A) the production of crops, livestock, or 
                unfinished raw forestry products;
                    ``(B) the sale, including the sale of easements and 
                development rights, of farm, ranch, or forestry land or 
                water or hunting rights;
                    ``(C) the sale of equipment to conduct farm, ranch, 
                or forestry operations;
                    ``(D) the rental or lease of land used for farming, 
                ranching, or forestry operations, including water or 
                hunting rights;
                    ``(E) the provision of production inputs and 
                services to farmers, ranchers, and foresters;
                    ``(F) the processing (including packing), storing 
                (including shedding), and transporting of farm, ranch, 
                and forestry commodities;
                    ``(G) the sale of land that has been used for 
                agriculture; and
                    ``(H) payments or other income attributable to 
                benefits received under any program authorized under 
                title I or II of the Food and Energy Security Act of 
                2007.''.
    (d) Transition.--Section 1001D of the Food Security Act of 1985 (7 
U.S.C. 1308-3a), as in effect on the day before the date of the 
enactment of this Act, shall continue to apply with respect to the 2007 
and 2008 crops of any covered commodity or peanuts.

SEC. 1705. AVAILABILITY OF QUALITY INCENTIVE PAYMENTS FOR CERTAIN 
              PRODUCERS.

    (a) Incentive Payments Required.--Subject to subsection (b), the 
Secretary shall use funds made available under subsection (f) to 
provide quality incentive payments for the production of oilseeds with 
specialized traits that enhance human health, as determined by the 
Secretary.
    (b) Covered Oilseeds.--The Secretary shall make payments under this 
section only for the production of an oilseed variety that has, as 
determined by the Secretary--
            (1) been demonstrated to improve the health profile of the 
        oilseed for use in human consumption by--
                    (A) reducing or eliminating the need to partially 
                hydrogenate the oil derived from the oilseed for use in 
                human consumption; or
                    (B) adopting new technology traits; and
            (2) 1 or more impediments to commercialization.
    (c) Request for Proposals.--
            (1) Issuance.--If funds are made available to carry out 
        this section for a crop year, the Secretary shall issue a 
        request for proposals for payments under this section.
            (2) Multiyear proposals.--An entity may submit a multiyear 
        proposal for payments under this section.
            (3) Content of proposals.--A proposal for payments under 
        this section shall include a description of--
                    (A) each oilseed variety described in subsection 
                (b) and the value of the oilseed variety as a matter of 
                public policy;
                    (B) a range for the amount of total per bushel or 
                hundredweight premiums to be paid to producers;
                    (C) a per bushel or hundredweight amount of 
                incentive payments requested for each year under this 
                section that does not exceed \1/3\ of the total premium 
                offered for any year;
                    (D) the period of time, not to exceed 4 years, 
                during which incentive payments are to be provided to 
                producers; and
                    (E) the targeted total quantity of production and 
                estimated acres needed to produce the targeted quantity 
                for each year under this section.
    (d) Contracts for Production.--
            (1) In general.--The Secretary shall approve successful 
        proposals submitted under subsection (c) on a timely basis so 
        as to allow production contracts to be entered into with 
        producers in advance of the spring planting season for the 2009 
        crop year.
            (2) Timing of payments.--The Secretary shall make payments 
        to producers under this section after the Secretary receives 
        documentation that the premium required under a contract has 
        been made to covered producers.
    (e) Administration.--If funding provided for a crop year is not 
fully allocated under the initial request for proposals under 
subsection (c), the Secretary shall issue additional requests for 
proposals for subsequent crop years under this section.
    (f) Proprietary Information.--The Secretary shall protect 
proprietary information provided to the Secretary for the purpose of 
administering this section.
    (g) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section $400,000,000 for the period of 
fiscal years 2008 through 2012.

SEC. 1706. HARD WHITE WHEAT DEVELOPMENT PROGRAM.

    (a) Definitions.--In this section:
            (1) Eligible hard white wheat seed.--The term ``eligible 
        hard white wheat seed'' means hard white wheat seed that, as 
        determined by the Secretary, is--
                    (A) certified;
                    (B) of a variety that is suitable for the State in 
                which the seed will be planted;
                    (C) rated at least superior with respect to 
                quality; and
                    (D) specifically approved under a seed 
                establishment program established by the State 
                Department of Agriculture and the State Wheat 
                Commission of the 1 or more States in which the seed 
                will be planted.
            (2) Program.--The term ``program'' means the hard white 
        wheat development program established under subsection (b)(1).
            (3) Secretary.--The term ``Secretary'' means the Secretary 
        of Agriculture, in consultation with the State Departments of 
        Agriculture and the State Wheat Commissions of the States in 
        regions in which hard white wheat is produced, as determined by 
        the Secretary.
    (b) Establishment.--
            (1) In general.--The Secretary shall establish a hard white 
        wheat development program in accordance with paragraph (2) to 
        promote the establishment of hard white wheat as a viable 
        market class of wheat in the United States by encouraging 
        production of at least 240,000,000 bushels of hard white wheat 
        by 2012.
            (2) Payments.--
                    (A) In general.--Subject to subparagraphs (B) and 
                (C) and subsection (c), the Secretary shall make 
                available incentive payments to producers of each of 
                the 2008 through 2012 crops of hard white wheat.
                    (B) Acreage limitation.--The Secretary shall carry 
                out subparagraph (A) subject to a regional limitation 
                determined by the Secretary on the number of acres for 
                which payments may be received that takes into account 
                planting history and potential planting, but does not 
                exceed a total of 2,900,000 acres or the equivalent 
                volume of production based on a yield of 50 bushels per 
                acre.
                    (C) Payment limitations.--Payments to producers on 
                a farm described in subparagraph (A) shall be--
                            (i) in an amount that is not less than 
                        $0.20 per bushel; and
                            (ii) in an amount that is not less than 
                        $2.00 per acre for planting eligible hard white 
                        wheat seed.
    (c) Funding.--The Secretary shall make available $35,000,000 of 
funds of the Commodity Credit Corporation during the period of crop 
years 2008 through 2012 to provide incentive payments to producers of 
hard white wheat under this section.

SEC. 1707. DURUM WHEAT QUALITY PROGRAM.

    (a) In General.--Subject to the availability of funds under 
subsection (c), the Secretary shall provide compensation to producers 
of durum wheat in an amount not to exceed 50 percent of the actual cost 
of fungicides applied to a crop of durum wheat of the producers to 
control Fusarium head blight (wheat scab) on acres certified to have 
been planted to Durum wheat in a crop year.
    (b) Insufficient Funds.--If the total amount of funds appropriated 
for a fiscal year under subsection (c) are insufficient to fulfill all 
eligible requests for compensation under this section, the Secretary 
shall prorate the compensation payments in a manner determined by the 
Secretary to be equitable.
    (c) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $10,000,000 for each of fiscal 
years 2008 through 2012.

SEC. 1708. STORAGE FACILITY LOANS.

    (a) In General.--As soon as practicable after the date of enactment 
of this Act, the Secretary shall establish a storage facility loan 
program to provide funds for producers of grains, oilseeds, pulse 
crops, hay, renewable biomass, and other storable commodities (other 
than sugar), as determined by the Secretary, to construct or upgrade 
storage and handling facilities for the commodities.
    (b) Eligible Producers.--A storage facility loan under this section 
shall be made available to any producer described in subsection (a) 
that, as determined by the Secretary--
            (1) has a satisfactory credit history;
            (2) has a need for increased storage capacity; and
            (3) demonstrates an ability to repay the loan.
    (c) Term of Loans.--A storage facility loan under this section 
shall have a maximum term of 12 years.
    (d) Loan Amount.--The maximum principal amount of a storage 
facility loan under this section shall be $500,000.
    (e) Loan Disbursements.--The Secretary shall provide for partial 
disbursements of loan principal, as determined to be appropriate and 
subject to acceptable documentation, to facilitate the purchase and 
construction of eligible facilities.
    (f) Loan Security.--Approval of a storage facility loan under this 
section shall--
            (1) for loan amounts of less than $150,000, not require a 
        lien on the real estate parcel on which the storage facility is 
        locate;
            (2) for loan amounts equal to or more than $150,000, not 
        require a severance agreement from the holder of any prior lien 
        on the real estate parcel on which the storage facility is 
        located, if the borrower--
                    (A) agrees to increase the down payment on the 
                storage facility loan by an amount determined 
                appropriate by the Secretary; or
                    (B) provides other security acceptable to the 
                Secretary; and
            (3) allow a borrower, upon the approval of the Secretary, 
        to define a subparcel of real estate as security for the 
        storage facility loan if the subparcel is--
                    (A) of adequate size and value to adequately secure 
                the loan; and
                    (B) not subject to any other liens or mortgages 
                that are superior to the lien interest of the Commodity 
                Credit Corporation.

SEC. 1709. 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 ``and title I of the 
Farm Security and Rural Investment Act of 2002'' each place it appears 
and inserting ``title I of the Farm Security and Rural Investment Act 
of 2002, and title I of the Food and Energy Security Act of 2007''.

SEC. 1710. 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 in subsections (a) and (c)(1) by 
striking ``and subtitle B and C of title I of the Farm Security and 
Rural Investment Act of 2002'' each place it appears and inserting 
``title I of the Farm Security and Rural Investment Act of 2002, and 
title I of the Food and Energy Security Act of 2007''.

SEC. 1711. ASSIGNMENT OF PAYMENTS.

    (a) In General.--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 subtitles A through E and this subtitle.
    (b) Notice.--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.

SEC. 1712. COTTON CLASSIFICATION SERVICES.

    Section 3a of the Act of March 3, 1927 (7 U.S.C. 473a), is amended 
to read as follows:

``SEC. 3A. COTTON CLASSIFICATION SERVICES.

    ``(a) In General.--The Secretary of Agriculture (referred to in 
this section as the `Secretary') shall--
            ``(1) make cotton classification services available to 
        producers of cotton; and
            ``(2) provide for the collection of classification fees 
        from participating producers or agents that voluntarily agree 
        to collect and remit the fees on behalf of producers.
    ``(b) Use of Fees.--Classification fees collected under subsection 
(a)(2) and the proceeds from the sales of samples submitted under this 
section shall, to the maximum extent practicable, be used to pay the 
cost of the services provided under this section, including 
administrative and supervisory costs.
    ``(c) Consultation.--
            ``(1) In general.--In establishing the amount of fees under 
        this section, the Secretary shall consult with representatives 
        of the United States cotton industry.
            ``(2) Exemption.--The Federal Advisory Committee Act (5 
        U.S.C. App.) shall not apply to consultations with 
        representatives of the United States cotton industry under this 
        section.
    ``(d) Crediting of Fees.--Any fees collected under this section and 
under section 3d, late payment penalties, the proceeds from the sales 
of samples, and interest earned from the investment of such funds 
shall--
            ``(1) be credited to the current appropriation account that 
        incurs the cost of services provided under this section and 
        section 3d; and
            ``(2) remain available without fiscal year limitation to 
        pay the expenses of the Secretary in providing those services.
    ``(e) Investment of Funds.--Funds described in subsection (d) may 
be invested--
            ``(1) by the Secretary in insured or fully collateralized, 
        interest-bearing accounts; or
            ``(2) at the discretion of the Secretary, by the Secretary 
        of the Treasury in United States Government debt instruments.
    ``(f) Lease Agreements.--Notwithstanding any other provision of 
law, the Secretary may enter into long-term lease agreements that 
exceed 5 years or may take title to property (including through 
purchase agreements) for the purpose of obtaining offices to be used 
for the classification of cotton in accordance with this Act, if the 
Secretary determines that action would best effectuate the purposes of 
this Act.
    ``(g) Authorization of Appropriations.--To the extent that 
financing is not available from fees and the proceeds from the sales of 
samples, there are authorized to be appropriated such sums as are 
necessary to carry out this section.''.

SEC. 1713. DESIGNATION OF STATES FOR COTTON RESEARCH AND PROMOTION.

    Section 17(f) of the Cotton Research and Promotion Act (7 U.S.C. 
2116(f)) is amended--
            (1) by striking ``(f) The term'' and inserting the 
        following:
    ``(f) Cotton-Producing State.--
            ``(1) In general.--The term'';
            (2) by striking ``more, and the term'' and all that follows 
        through the end of the subsection and inserting the following: 
        ``more.
            ``(2) Inclusions.--The term `cotton-producing State' 
        includes--
                    ``(A) any combination of States described in 
                paragraph (1); and
                    ``(B) effective beginning with the 2008 crop of 
                cotton, the States of Kansas, Virginia, and Florida.''.

SEC. 1714. GOVERNMENT PUBLICATION OF COTTON PRICE FORECASTS.

    Section 15 of the Agricultural Marketing Act (12 U.S.C. 1141j) is 
amended--
            (1) by striking subsection (d); and
            (2) by redesignating subsections (e) through (g) as 
        subsections (d) through (f), respectively.

SEC. 1715. STATE, COUNTY, AND AREA COMMITTEES.

    Section 8(b)(5)(B)(ii) of the Soil Conservation and Domestic 
Allotment Act (16 U.S.C. 590h(b)(5)(B)(ii)) is amended--
            (1) by redesignating subclauses (I) and (II) as items (aa) 
        and (bb), respectively, and indenting appropriately;
            (2) in the matter preceding item (aa) (as redesignated by 
        paragraph (1)), by striking ``A committee established'' and 
        inserting the following:
                                    ``(I) In general.--Except as 
                                provided in subclause (II), a committee 
                                established''; and
            (3) by adding at the end the following:
                                    ``(II) Combination or consolidation 
                                of areas.--A committee established by 
                                combining or consolidating 2 or more 
                                county or area committees shall consist 
                                of not fewer than 3 nor more than 11 
                                members that--
                                            ``(aa) are fairly 
                                        representative of the 
                                        agricultural producers within 
                                        the area covered by the county, 
                                        area, or local committee; and
                                            ``(bb) are elected by the 
                                        agricultural producers that 
                                        participate or cooperate in 
                                        programs administered within 
                                        the area under the jurisdiction 
                                        of the county, area, or local 
                                        committee.
                                    ``(III) Representation of socially 
                                disadvantaged farmers and ranchers.--
                                The Secretary shall ensure, to the 
                                extent practicable, that representation 
                                of socially disadvantaged farmers and 
                                ranchers is maintained on combined or 
                                consolidated committees.
                                    ``(IV) Eligibility for 
                                membership.--Notwithstanding any other 
                                producer eligibility requirements for 
                                service on county or area committees, 
                                if a county or area is consolidated or 
                                combined, a producer shall be eligible 
                                to serve only as a member of the county 
                                or area committee that the producer 
                                elects to administer the farm records 
                                of the producer.''.

SEC. 1716. PROHIBITION ON CHARGING CERTAIN FEES.

    Public Law 108-470 (7 U.S.C. 7416a) is amended--
            (1) in subsection (a), by striking ``may'' and inserting 
        ``shall''; and
            (2) by adding at the end the following:
    ``(c) Prohibition on Charging Certain Fees.--The Secretary may not 
charge any fees or related costs for the collection of commodity 
assessments pursuant to this Act.''.

SEC. 1717. SIGNATURE AUTHORITY.

    In carrying out this title and title II and amendments made by 
those titles, if the Secretary approves a document containing 
signatures of program applicants, the Secretary shall not subsequently 
determine the document is inadequate or invalid because of the lack of 
authority of any applicant signing the document on behalf of the 
applicant or any other individual, entity, general partnership, or 
joint venture, or the documents relied upon were determined inadequate 
or invalid, unless the applicant knowingly and willfully falsified the 
evidence of signature authority or a signature.

SEC. 1718. MODERNIZATION OF FARM SERVICE AGENCY.

    The Secretary shall modernize the Farm Service Agency information 
technology and communication systems to ensure timely and efficient 
program delivery at national, State, and County offices.

SEC. 1719. GEOSPATIAL SYSTEMS.

    (a) In General.--The Secretary shall ensure that all agencies of 
the Department of Agriculture consolidate the geospatial systems of the 
agencies into a single enterprise system that ensures that geospatial 
data is shareable, portable, and standardized.
    (b) Requirements.--In carrying out subsection (a), the Secretary 
shall--
            (1) identify common datasets;
            (2) give responsibility for managing each identified 
        dataset to the agency best suited for collecting and 
        maintaining that data, as determined by the Secretary; and
            (3) make every effort to minimize the duplication of 
        efforts.
    (c) Availability of Data.--The Secretary shall ensure, to the 
maximum extent practicable, that data is readily available to all 
agencies beginning not later than 2 years after the date of enactment 
of this Act.

SEC. 1720. LEASING OFFICE SPACE.

    The Secretary may use the funds, facilities, and authorities of the 
Commodity Credit Corporation to lease space for use by agencies of the 
Department of Agriculture in cases in which office space would be 
jointly occupied by the agencies.

SEC. 1721. REPEALS.

    (a) Commission on Application of Payment Limitations.--Section 1605 
of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7993) 
is repealed.
    (b) Renewed Availability of Market Loss Assistance and Certain 
Emergency Assistance to Persons That Failed To Receive Assistance Under 
Earlier Authorities.--Section 1617 of the Farm Security and Rural 
Investment Act of 2002 (7 U.S.C. 8000) is repealed.

                  Subtitle F--Specialty Crop Programs

SEC. 1801. DEFINITIONS.

    In this subtitle:
            (1) Specialty crop.--The term ``specialty crop'' has the 
        meaning given the term in section 3 of the Specialty Crops 
        Competitiveness Act of 2004 (7 U.S.C. 1621 note; Public Law 
        108-465).
            (2) State.--The term ``State'' means each of the several 
        States of the United States.
            (3) State department of agriculture.--The term ``State 
        department of agriculture'' means the agency, commission, or 
        department of a State government responsible for protecting and 
        promoting agriculture in the State.

             PART I--MARKETING, INFORMATION, AND EDUCATION

SEC. 1811. FRUIT AND VEGETABLE MARKET NEWS ALLOCATION.

    (a) In General.--The Secretary, acting through the Administrator of 
the Agricultural Marketing Service, shall carry out market news 
activities to provide timely price information of United States fruits 
and vegetables in the United States.
    (b) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $9,000,000 for each of fiscal 
years 2008 through 2012, to remain available until expended.

SEC. 1812. FARMERS' MARKET PROMOTION PROGRAM.

    Section 6 of the Farmer-to-Consumer Direct Marketing Act of 1976 (7 
U.S.C. 3005) is amended--
            (1) in subsection (a), by inserting ``and to promote direct 
        producer-to-consumer marketing'' before the period at the end;
            (2) in subsection (b)(1)(B), by striking ``infrastructure'' 
        and inserting ``marketing opportunities'';
            (3) in subsection (c)(1), by inserting ``or a producer 
        network or association'' after ``cooperative''; and
            (4) by striking subsection (e) and inserting the following:
    ``(e) Funding.--Of the funds of the Commodity Credit Corporation, 
the Secretary shall use to carry out this section--
            ``(1) $5,000,000 for each of fiscal years 2008 through 
        2011; and
            ``(2) $10,000,000 for fiscal year 2012.''.

SEC. 1813. FOOD SAFETY INITIATIVES.

    (a) Initiative Authorized.--The Secretary may carry out a food 
safety education program to educate the public and persons in the fresh 
produce industry about--
            (1) scientifically proven practices for reducing microbial 
        pathogens on fresh produce; and
            (2) methods of reducing the threat of cross-contamination 
        of fresh produce through unsanitary handling practices.
    (b) Cooperation.--The Secretary may carry out the education program 
in cooperation with public and private partners.
    (c) Authorization of Appropriations.--There is authorized to be 
appropriated to the Secretary to carry out this section $1,000,000.

SEC. 1814. CENSUS OF SPECIALTY CROPS.

    (a) Establishment.--Not later than September 30, 2008, and each 5 
years thereafter, the Secretary shall conduct a census of specialty 
crops to assist in the regularly development and dissemination of 
information relative to specialty crops.
    (b) Relation to Other Census.--The Secretary may include the census 
of specialty crops in the census on agriculture.

                      PART II--ORGANIC PRODUCTION

SEC. 1821. ORGANIC DATA COLLECTION AND PRICE REPORTING.

    Section 2104 of the Organic Foods Production Act of 1990 (7 U.S.C. 
6503) is amended by adding at the end the following:
    ``(e) Data Collection and Price Reporting.--Of the funds of the 
Commodity Credit Corporation, the Secretary shall use $5,000,000 for 
the period of fiscal years 2008 through 2012--
            ``(1) to collect data relating to organic agriculture;
            ``(2) to identify and publish organic production and market 
        data initiatives and surveys;
            ``(3) to expand, collect, and publish organic census data 
        analyses;
            ``(4) to fund comprehensive reporting of prices relating to 
        organically-produced agricultural products;
            ``(5) to conduct analysis relating to organic production, 
        handling, distribution, retail, and trend studies;
            ``(6) to study and perform periodic updates on the effects 
        of organic standards on consumer behavior; and
            ``(7) to conduct analyses for organic agriculture using the 
        national crop table.''.

SEC. 1822. EXEMPTION OF CERTIFIED ORGANIC PRODUCTS FROM ASSESSMENTS.

    Section 501(e) of the Federal Agriculture Improvement and Reform 
Act of 1996 (7 U.S.C. 7401(e)) is amended by striking paragraph (1) and 
inserting the following:
            ``(1) In general.--Notwithstanding any provision of a 
        commodity promotion law, a person that produces and markets 
        organic products shall be exempt from the payment of an 
        assessment under a commodity promotion law with respect to that 
        portion of agricultural commodities that the person--
                    ``(A) produces on a certified organic farm (as 
                defined in section 2103 of the Organic Foods Production 
                Act of 1990 (7 U.S.C. 6502); and
                    ``(B) produces or markets as organically produced 
                (as so defined).''.

SEC. 1823. NATIONAL ORGANIC CERTIFICATION COST SHARE PROGRAM.

    Section 10606 of the Farm Security and Rural Investment Act of 2002 
(7 U.S.C. 6523) is amended to read as follows:

``SEC. 10606. NATIONAL ORGANIC CERTIFICATION COST-SHARE PROGRAM.

    ``(a) Definitions.--In this section:
            ``(1) Program.--The term `program' means the national 
        certification cost-share program established under subsection 
        (b).
            ``(2) Secretary.--The term `Secretary' means the Secretary 
        of Agriculture, acting through the Agricultural Marketing 
        Service.
    ``(b) Establishment.--The Secretary shall use amounts made 
available under subsection (f) to establish a national organic 
certification cost-share program under which the Secretary shall make 
payments to States to assist producers and handlers of agricultural 
products in obtaining certification under the national organic 
production program established under the Organic Foods Production Act 
of 1990 (7 U.S.C. 6501 et seq.).
    ``(c) Federal Share.--
            ``(1) In general.--Subject to paragraph (2), the Secretary 
        shall pay under this section not more than 75 percent of the 
        costs incurred by a producer or handler in obtaining 
        certification under the national organic production program, as 
        certified to and approved by the Secretary.
            ``(2) Maximum amount.--The maximum amount of a payment made 
        to a producer or handler under this section shall be $750.
    ``(d) Recordkeeping Requirements.--
            ``(1) In general.--The Secretary shall--
                    ``(A) keep accurate, up-to-date records of requests 
                and disbursements from the program; and
                    ``(B) require accurate and consistent recordkeeping 
                from each State and entity that receives program 
                payments.
            ``(2) Federal requirements.--Not later than 30 days after 
        the last day on which a State may request funding under the 
        program, the Secretary shall--
                    ``(A) determine the number of States requesting 
                funding and the amount of each request; and
                    ``(B) distribute the funding to the States.
            ``(3) State requirements.--An annual funding request from a 
        State shall include data from the program during the preceding 
        year, including--
                    ``(A) a description of--
                            ``(i) the entities that requested 
                        reimbursement;
                            ``(ii) the amount of each reimbursement 
                        request; and
                            ``(iii) any discrepancies between the 
                        amount requested and the amount provided;
                    ``(B) data to support increases in requests 
                expected in the coming year, including information from 
                certifiers or other data showing growth projections; 
                and
                    ``(C) an explanation of any case in which an annual 
                request is lower than the request of the preceding 
                year.
    ``(e) Reporting.--Not later than March 1 of each year, the 
Secretary shall submit to Congress a report that describes the 
expenditures for each State under the program during the previous 
fiscal year, including the number of producers and handlers served by 
the program in the previous fiscal year.
    ``(f) Funding.--
            ``(1) In general.--Not later than 30 days after the date of 
        enactment of the Food and Energy Security Act of 2007, out of 
        any funds in the Treasury not otherwise appropriated, the 
        Secretary of the Treasury shall transfer to the Secretary of 
        Agriculture to carry out this section $22,000,000, to remain 
        available until expended.
            ``(2) Receipt and acceptance.--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.''.

SEC. 1824. NATIONAL ORGANIC PROGRAM.

    Section 2123 of the Organic Foods Production Act of 1990 (7 U.S.C. 
6522) is amended--
            (1) by striking ``There are'' and inserting the following:
    ``(a) In General.--There are''; and
            (2) by adding at the end the following:
    ``(b) National Organic Program.--Notwithstanding any other 
provision of law, in order to carry out the activities of the 
Agricultural Marketing Service under the national organic program 
established under this title, there are authorized to be appropriated--
            ``(1) $5,000,000 for fiscal year 2008;
            ``(2) $6,500,000 for fiscal year 2009;
            ``(3) $8,000,000 for fiscal year 2010;
            ``(4) $9,500,000 for fiscal year 2011; and
            ``(5) $11,000,000 for fiscal year 2012.''.

                     PART III--INTERNATIONAL TRADE

SEC. 1831. FOREIGN MARKET ACCESS STUDY AND STRATEGY PLAN.

    (a) Definition of Uruguay Round Agreements.--In this section, the 
term ``Uruguay Round Agreements'' includes any agreement described in 
section 101(d) of the Uruguay Round Agreements Act (19 U.S.C. 3511(d)).
    (b) Study.--The Comptroller General of the United States shall 
study--
            (1) the extent to which United States specialty crops have 
        or have not benefitted from any reductions of foreign trade 
        barriers, as provided for in the Uruguay Round Agreements; and
            (2) the reasons why United States specialty crops have or 
        have not benefitted from such trade-barrier reductions.
    (c) Strategy Plan.--The Secretary shall prepare a foreign market 
access strategy plan based on the study in subsection (b), to increase 
exports of specialty crops, including an assessment of the foreign 
trade barriers that are incompatible with the Uruguay Round Agreements 
and a strategy for removing those barriers.
    (d) Report.--Not later than 18 months after the date of enactment 
of this Act--
            (1) the Comptroller General shall submit to Congress a 
        report that contains the results of the study; and
            (2) the Secretary shall submit to Congress the strategy 
        plan.

SEC. 1832. MARKET ACCESS PROGRAM.

    Section 211(c) of the Agricultural Trade Act of 1978 (7 U.S.C. 
5641(c)) is amended by adding at the end the following:
            ``(3) Minimum allocation for sale and export proposal.--
                    ``(A) In general.--In providing funds under 
                paragraph (2), to the maximum extent practicable, the 
                Secretary shall use not less than 50 percent of any of 
                the funds made available in excess of $200,000,000 to 
                carry out the market access program each fiscal year to 
                provide assistance for proposals submitted by eligible 
                trade organizations to promote the sale and export of 
                specialty crops.
                    ``(B) Unallocated funds.--If, by March 31 of any 
                fiscal year, the Secretary determines that the total 
                amount of funds made available to carry out the market 
                access program are in excess of the amounts necessary 
                to promote the sale and export of specialty crops 
                during the fiscal year, the Secretary may use the 
                excess funds to provide assistance for any other 
                proposals submitted by eligible trade organizations 
                consistent with the priorities described in paragraph 
                (2).''.

SEC. 1833. TECHNICAL ASSISTANCE FOR SPECIALTY CROPS.

    Section 3205 of the Farm Security and Rural Investment Act of 2002 
(7 U.S.C. 5680) is amended by striking subsection (d) and inserting the 
following:
    ``(d) Petition.--A participant in the program may petition the 
Secretary for an extension of a project carried out under this section 
that exceeds, or will exceed, applicable time restrictions.
    ``(e) Funding.--
            ``(1) In general.--The Secretary shall make available to 
        carry out the program under this section--
                    ``(A) $6,800,000 of funds of, or an equal value of 
                commodities owned by, the Commodity Credit Corporation 
                for each of fiscal years 2008 through 2011; and
                    ``(B) $2,000,000 of funds of, or an equal value of 
                commodities owned by, the Commodity Credit Corporation 
                for fiscal year 2012 and each subsequent fiscal year.
            ``(2) Carryover of unobligated funds.--In a case in which 
        the total amount of funds or commodities made available under 
        paragraph (1) for a fiscal year is not obligated in that fiscal 
        year, the Secretary shall make available in the subsequent 
        fiscal year an amount equal to--
                    ``(A) the amount made available for the fiscal year 
                under paragraph (1); plus
                    ``(B) the amount not obligated in the previous 
                fiscal year.''

SEC. 1834. CONSULTATIONS ON SANITARY AND PHYTOSANITARY RESTRICTIONS FOR 
              FRUITS AND VEGETABLES.

    (a) Consultations on Sanitary and Phytosanitary Restrictions for 
Fruits and Vegetables.--To the maximum extent practicable, the 
Secretary and the United States Trade Representative shall consult with 
interested persons, and conduct annual briefings, on sanitary and 
phytosanitary trade issues, including--
            (1) the development of a strategic risk management 
        framework; and
            (2) as appropriate, implementation of peer review for risk 
        analysis.
    (b) Special Consultations on Import-Sensitive Products.--Section 
2104(b)(2)(A)(ii)(II) of the Bipartisan Trade Promotion Authority Act 
of 2002 (19 U.S.C. 3804(b)(2)(A)(ii)(II)) is amended--
            (1) by striking ``whether the products so identified'' and 
        inserting ``whether--
                                            ``(aa) the products so 
                                        identified''; and
            (2) by adding at the end the following:
                                            ``(bb) any fruits or 
                                        vegetables so identified are 
                                        subject to or likely to be 
                                        subject to unjustified sanitary 
                                        or phytosanitary restrictions, 
                                        including restrictions not 
                                        based on scientific principles 
                                        in contravention of the Uruguay 
                                        Round Agreements, as determined 
                                        by the United States Trade 
                                        Representative Technical 
                                        Advisory Committee for Trade in 
                                        Fruits and Vegetables of the 
                                        Department of Agriculture; 
                                        and''.
    (c) Effective Date.--The amendments made by subsection (b) apply 
with respect to the initiation of negotiations to enter into any trade 
agreement that is subject to section 2103(b) of the Bipartisan Trade 
Promotion Authority Act of 2002 (19 U.S.C. 3803(b)) on or after the 
date of the enactment of this Act.

                PART IV--SPECIALTY CROPS COMPETITIVENESS

SEC. 1841. SPECIALTY CROP BLOCK GRANTS.

    (a) Extension of Program.--Section 101(a) of the Specialty Crops 
Competitiveness Act of 2004 (7 U.S.C. 1621 note; Public Law 108-465) is 
amended by striking ``2009'' and inserting ``2012''.
    (b) Availability of Funds.--Section 101 of the Specialty Crops 
Competitiveness Act of 2004 (7 U.S.C. 1621 note; Public Law 108-465) is 
amended by striking subsection (i) and inserting the following:
    ``(i) Funding.--Of the funds of the Commodity Credit Corporation, 
the Secretary of Agriculture shall make grants under this section, 
using--
            ``(1) $60,000,000 for fiscal year 2008;
            ``(2) $65,000,000 for fiscal year 2009;
            ``(3) $70,000,000 for fiscal year 2010;
            ``(4) $75,000,000 for fiscal year 2011; and
            ``(5) $0 for fiscal year 2012.''.
    (c) Conforming Amendments.--Section 101 of the Specialty Crops 
Competitiveness Act of 2004 (7 U.S.C. 1621 note; Public Law 108-465) is 
amended--
            (1) in subsection (a), by striking ``Subject to the 
        appropriation of funds to carry out this section'' and 
        inserting ``Using the funds made available under subsection 
        (i)'';
            (2) in subsection (b), by striking ``appropriated pursuant 
        to the authorization of appropriations in'' and inserting 
        ``made available under'';
            (3) by striking subsection (c) and inserting the following:
    ``(c) Minimum Grant Amount.--Notwithstanding subsection (b), each 
State shall receive a grant under this section for each fiscal year in 
an amount that is at least \1/2\ of 1 percent of the total amount of 
funding made available to carry out this section for the fiscal 
year.'';
            (4) by redesignating subsection (i) as subsection (j); and
            (5) by inserting after subsection (h) the following:
    ``(i) Reallocation.--The Secretary may reallocate to other States 
any amounts made available under this section that are not obligated or 
expended by a date determined by the Secretary.''.
    (d) Definition of Specialty Crop.--Section 3 of the Specialty Crops 
Competitiveness Act of 2004 (7 U.S.C. 1621 note; Public Law 108-465) is 
amended by striking paragraph (1) and inserting the following:
            ``(1) Specialty crop.--The term `specialty crop' means 
        fruits, vegetables, tree nuts, dried fruits, nursery crops, 
        floriculture, and horticulture, including turfgrass sod and 
        herbal crops.''.
    (e) Definition of State.--Section 3(2) of the Specialty Crops 
Competitiveness Act of 2004 (7 U.S.C. 1621 note; Public Law 108-465) is 
amended by striking ``and the Commonwealth of Puerto Rico'' and 
inserting ``the Commonwealth of Puerto Rico, Guam, American Samoa, the 
United States Virgin Islands, and the Commonwealth of the Northern 
Mariana Islands''.

SEC. 1842. GRANT PROGRAM TO IMPROVE MOVEMENT OF SPECIALTY CROPS.

    Title II of the Specialty Crops Competitiveness Act of 2004 (Public 
Law 108-465; 118 Stat. 3884) is amended by adding at the end the 
following:

``SEC. 204. GRANT PROGRAM TO IMPROVE MOVEMENT OF SPECIALTY CROPS.

    ``(a) In General.--The Secretary of Agriculture may make grants 
under this section to an eligible entity described in subsection (b)--
            ``(1) to improve the cost-effective movement of specialty 
        crops to local, regional, national, and international markets; 
        and
            ``(2) to address regional intermodal transportation 
        deficiencies that adversely affect the movement of specialty 
        crops to markets inside or outside the United States.
    ``(b) Eligible Entities.--Grants may be made under this section 
to--
            ``(1) a State or local government;
            ``(2) a grower cooperative;
            ``(3) a State or regional producer or shipper organization;
            ``(4) a combination of entities described in paragraphs (1) 
        through (3); or
            ``(5) other entities, as determined by the Secretary.
    ``(c) Matching Funds.--As a condition of the receipt of a grant 
under this section, the recipient of a grant under this section shall 
contribute an amount of non-Federal funds toward the project for which 
the grant is provided that is at least equal to the amount of grant 
funds received by the recipient under this section.
    ``(d) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as are necessary to carry out this section for 
each of fiscal years 2008 through 2012.''.

SEC. 1843. HEALTHY FOOD ENTERPRISE DEVELOPMENT CENTER.

    Title II of the Specialty Crops Competitiveness Act of 2004 (Public 
Law 108-465; 118 Stat. 3884) (as amended by section 1842) is amended by 
adding at the end the following:

``SEC. 205. HEALTHY FOOD ENTERPRISE DEVELOPMENT CENTER.

    ``(a) Definitions.--In this section:
            ``(1) Center.--The term `Center' means the healthy food 
        enterprise development center established under subsection (b).
            ``(2) Eligible entity.--The term `eligible entity' means--
                    ``(A) a nonprofit organization;
                    ``(B) a cooperative;
                    ``(C) a business;
                    ``(D) an agricultural producer;
                    ``(E) an academic institution;
                    ``(F) an individual; and
                    ``(G) such other entities as the Secretary may 
                designate.
            ``(3) Secretary.--The term `Secretary' means the Secretary 
        of Agriculture.
            ``(4) Underserved community.--The term `underserved 
        community' means a community (including an urban or rural 
        community and an Indian tribal community) that, as determined 
        by the Secretary, has--
                    ``(A) limited access to affordable, healthy foods, 
                including fresh fruits and vegetables;
                    ``(B) a high incidence of a diet-related disease 
                (including obesity) as compared to the national 
                average;
                    ``(C) a high rate of hunger or food insecurity; or
                    ``(D) severe or persistent poverty.
    ``(b) Center.--The Secretary, acting through the Agricultural 
Marketing Service, shall offer to enter into a contract with a 
nonprofit organization to establish and support a healthy food 
enterprise development center to increase access to healthy, affordable 
foods, such as fresh fruit and vegetables, particularly for school-aged 
children and individuals in low-income communities.
    ``(c) Activities.--
            ``(1) Purpose.--The purpose of the Center is to increase 
        access to healthy affordable foods, including locally produced 
        agricultural products, to underserved communities.
            ``(2) Technical assistance and information.--The Center 
        shall collect, develop, and provide technical assistance and 
        information to small and mid-sized agricultural producers, food 
        wholesalers and retailers, schools, and other individuals and 
        entities regarding best practices and the availability of 
        assistance for aggregating, storing, processing, and marketing 
        locally produced agricultural products and increasing the 
        availability of the products in underserved communities.
    ``(d) Authority To Subgrant.--The Center may provide subgrants to 
eligible entities to carry out feasibility studies to establish 
businesses to carry out the purposes of this section.
    ``(e) Priority.--In providing technical assistance and grants under 
subsections (c)(2) and (d), the Center shall give priority to 
applications that have components that will--
            ``(1) benefit underserved communities; and
            ``(2) develop market opportunities for small and mid-sized 
        farm and ranch operations.
    ``(f) Report.--For each fiscal year for which the nonprofit 
organization described in subsection (b) receives funds, the 
organization shall submit to the Secretary a report describing the 
activities carried out in the previous fiscal year, including--
            ``(1) a description of technical assistance provided;
            ``(2) the total number and a description of the subgrants 
        provided under subsection (d);
            ``(3) a complete listing of cases in which the activities 
        of the Center have resulted in increased access to healthy, 
        affordable foods, such as fresh fruit and vegetables, 
        particularly for school-aged children and individuals in low-
        income communities; and
            ``(4) a determination of whether the activities identified 
        in paragraph (3) are sustained in the years following the 
        initial provision of technical assistance and subgrants under 
        this section.
    ``(g) Competitive Award Process.--The Secretary shall use a 
competitive process to award funds to establish the Center.
    ``(h) Funding.--Out of any funds in the Treasury not otherwise 
appropriated, the Secretary of the Treasury shall transfer to the 
Secretary to carry out this section--
            ``(1) $1,000,000 for fiscal year 2009; and
            ``(2) $2,000,000 for each of fiscal years 2010 through 
        2012.''.

                         PART V--MISCELLANEOUS

SEC. 1851. CLEAN PLANT NETWORK.

    (a) In General.--The Secretary shall establish a program to be 
known as the ``National Clean Plant Network'' (referred to in this 
section as the ``Program'').
    (b) Requirements.--Under the Program, the Secretary shall establish 
a network of clean plant centers for diagnostic and pathogen 
elimination services to--
            (1) produce clean propagative plant material; and
            (2) maintain blocks of pathogen-tested plant material in 
        sites located throughout the United States.
    (c) Availability of Clean Plant Source Material.--Clean plant 
source material may be made available to--
            (1) a State for a certified plant program of the State; and
            (2) private nurseries and producers.
    (d) Consultation and Collaboration.--In carrying out the Program, 
the Secretary shall--
            (1) consult with State departments of agriculture and land 
        grant universities; and
            (2) to the extent practicable and with input from the 
        appropriate State officials and industry representatives, use 
        existing Federal or State facilities to serve as clean plant 
        centers.
    (e) Funding.--Of the funds of the Commodity Credit Corporation, the 
Secretary shall use to carry out the Program $4,000,000 for each of 
fiscal years 2008 through 2012.

SEC. 1852. MARKET LOSS ASSISTANCE FOR ASPARAGUS PRODUCERS.

    (a) In General.--As soon as practicable after the date of enactment 
of this Act, the Secretary shall make payments to producers of the 2007 
crop of asparagus for market loss resulting from imports during the 
2004 through 2007 crop years.
    (b) Payment Rate.--The payment rate for a payment under this 
section shall be based on the reduction in revenue received by 
asparagus producers associated with imports during the 2004 through 
2007 crop years.
    (c) Payment Quantity.--The payment quantity for asparagus for which 
the producers on a farm are eligible for payments under this section 
shall be equal to the average quantity of the 2003 crop of asparagus 
produced by producers on the farm.
    (d) Funding.--
            (1) In general.--Subject to paragraph (2), the Secretary 
        shall make available $15,000,000 of the funds of the Commodity 
        Credit Corporation to carry out a program to provide market 
        loss payments to producers of asparagus under this section.
            (2) Allocation.--Of the amount made available under 
        paragraph (1), the Secretary shall use--
                    (A) $7,500,000 to make payments to producers of 
                asparagus for the fresh market; and
                    (B) $7,500,000 to make payments to producers of 
                asparagus for the processed or frozen market.

SEC. 1853. MUSHROOM PROMOTION, RESEARCH, AND CONSUMER INFORMATION.

    (a) Regions and Members.--Section 1925(b)(2) of the Mushroom 
Promotion, Research, and Consumer Information Act of 1990 (7 U.S.C. 
6104(b)(2)) is amended--
            (1) in subparagraph (B), by striking ``4 regions'' and 
        inserting ``3 regions'';
            (2) in subparagraph (D), by striking ``35,000,000 pounds'' 
        and inserting ``50,000,000 pounds''; and
            (3) by striking subparagraph (E), and inserting the 
        following:
                    ``(E) Additional members.--In addition to the 
                members appointed pursuant to paragraph (1), and 
                subject to the 9-member limitation on members on the 
                Council provided in that paragraph, the Secretary shall 
                appoint additional members to the Council from a region 
                that attains additional pounds of production of 
                mushrooms as follows:
                            ``(i) If the annual production of the 
                        region is greater than 110,000,000 pounds, but 
                        not more than 180,000,000 pounds, the region 
                        shall be represented by 1 additional member.
                            ``(ii) If the annual production of the 
                        region is greater than 180,000,000 pounds, but 
                        not more than 260,000,000 pounds, the region 
                        shall be represented by 2 additional members.
                            ``(iii) If the annual production of the 
                        region is greater than 260,000,000 pounds, the 
                        region shall be represented by 3 additional 
                        members.''.
    (b) Powers and Duties of Council.--Section 1925(c) of the Mushroom 
Promotion, Research, and Consumer Information Act of 1990 (7 U.S.C. 
6104(c)) is amended--
            (1) by redesignating paragraphs (6), (7), and (8) as 
        paragraphs (7), (8), and (9), respectively; and
            (2) by inserting after paragraph (5) the following:
            ``(6) to develop food safety programs, including good 
        agricultural practices and good handling practices or related 
        activities for mushrooms;''.

SEC. 1854. NATIONAL HONEY BOARD.

    Section 7(c) of the Honey Research, Promotion, and Consumer 
Information Act (7 U.S.C. 4606(c)) is amended by adding at the end the 
following:
            ``(12) Referendum requirement.--
                    ``(A) In general.--Notwithstanding any other 
                provision of law, subject to subparagraph (B), the 
                order providing for the establishment and operation of 
                the Honey Board in effect on the date of enactment of 
                this paragraph shall continue in force, and the 
                Secretary shall not schedule or conduct any referendum 
                on the continuation or termination of the order, until 
                the Secretary first conducts, at the earliest 
                practicable date, concurrent referenda among all 
                eligible producers, importers, packers, and handlers of 
                honey for the purpose of ascertaining whether eligible 
                producers, importers, packers, and handlers of honey 
                approve of 1 or more orders to establish successor 
                marketing boards for honey.
                    ``(B) Requirements.--In conducting concurrent 
                referenda under subparagraph (A), the Secretary shall 
                ensure that--
                            ``(i) a referendum of United States honey 
                        producers for the establishment of a marketing 
                        board solely for United States honey producers 
                        is included in the process; and
                            ``(ii) the rights and interests of honey 
                        producers, importers, packers, and handlers of 
                        honey are protected in the transition to any 
                        new marketing board.''.

SEC. 1855. IDENTIFICATION OF HONEY.

    Section 203(h) of the Agricultural Marketing Act of 1946 (7 U.S.C. 
1622(h)) is amended--
            (1) by designating the first through sixth sentences as 
        paragraphs (1), (2)(A), (2)(B), (3), (4), and (5), 
        respectively; and
            (2) by adding at the end the following:
            ``(6) Identification of honey.--The use of a label or 
        advertising material on, or in conjunction with, packaged honey 
        that bears any official certificate of quality, grade mark or 
        statement, continuous inspection mark or statement, sampling 
        mark or statement, or any combination of the certificates, 
        marks, or statements of the Department of Agriculture shall be 
        considered a deceptive practice that is prohibited under this 
        Act unless there appears legibly and permanently in close 
        proximity to the certificate, mark, or statement, and in at 
        least a comparable size, the 1 or more names of the 1 or more 
        countries of origin of the lot or container of honey, preceded 
        by `Product of' or other words of similar meaning.''.

SEC. 1856. EXPEDITED MARKETING ORDER FOR HASS AVOCADOS FOR GRADES AND 
              STANDARDS AND OTHER PURPOSES.

    (a) In General.--The Secretary shall initiate procedures under the 
Agricultural Adjustment Act (7 U.S.C. 601 et seq.), reenacted with 
amendments by the Agricultural Marketing Agreement Act of 1937, to 
determine whether it would be appropriate to establish a Federal 
marketing order for Hass avocados relating to grades and standards and 
for other purposes under that Act.
    (b) Expedited Procedures.--
            (1) Proposal for an order.--An organization of domestic 
        avocado producers in existence on the date of enactment of this 
        Act may request the issuance of, and submit to the Secretary a 
        proposal for, an order described in subsection (a).
            (2) Publication of proposal.--Not later than 60 days after 
        the date on which the Secretary receives a proposed order under 
        paragraph (1), the Secretary shall initiate procedures 
        described in subsection (a) to determine whether the proposed 
        order should proceed.
    (c) Effective Date.--Any order issued under this section shall 
become effective not later than 15 months after the date on which the 
Secretary initiates procedures under the Agricultural Adjustment Act (7 
U.S.C. 601 et seq.), reenacted with amendments by the Agricultural 
Marketing Agreement Act of 1937.

                      Subtitle G--Risk Management

SEC. 1901. DEFINITION OF ORGANIC CROP.

    Section 502(b) of the Federal Crop Insurance Act (7 U.S.C. 1502(b)) 
is amended--
            (1) by redesignating paragraphs (7) and (8) as paragraphs 
        (8) and (9), respectively; and
            (2) by inserting after paragraph (6) the following:
            ``(7) Organic crop.--The term `organic crop' means an 
        agricultural commodity that is organically produced consistent 
        with section 2103 of the Organic Foods Production Act of 1990 
        (7 U.S.C. 6502).''.

SEC. 1902. GENERAL POWERS.

    (a) In General.--Section 506 of the Federal Crop Insurance Act (7 
U.S.C. 1506) is amended--
            (1) in the first sentence of subsection (d), by striking 
        ``The Corporation'' and inserting ``Subject to section 
        508(j)(2)(A), the Corporation''; and
            (2) by striking subsection (n).
    (b) Conforming Amendments.--
            (1) Section 506 of the Federal Crop Insurance Act (7 U.S.C. 
        1506) is amended by redesignating subsections (o), (p), and (q) 
        as subsections (n), (o), and (p), respectively.
            (2) Section 521 of the Federal Crop Insurance Act (7 U.S.C. 
        1521) is amended by striking the last sentence.

SEC. 1903. REDUCTION IN LOSS RATIO.

    (a) Projected Loss Ratio.--Subsection (n)(2) of section 506 of the 
Federal Crop Insurance Act (7 U.S.C. 1506) (as redesignated by section 
1902(b)(1)) is amended--
            (1) in the paragraph heading, by striking ``as of october 
        1, 1998'';
            (2) by striking ``, on and after October 1, 1998,''; and
            (3) by striking ``1.075'' and inserting ``1.0''.
    (b) Premiums Required.--Section 508(d)(1) of the Federal Crop 
Insurance Act (7 U.S.C. 1508(d)(1)) is amended by striking ``not 
greater than'' and all that follows and inserting ``not greater than--
                    ``(A) 1.1 through September 30, 1998;
                    ``(B) 1.075 for the period beginning October 1, 
                1998, and ending on the date of enactment of the Food 
                and Energy Security Act of 2007; and
                    ``(C) 1.0 on and after the date of enactment of 
                that Act.''.

SEC. 1904. CONTROLLED BUSINESS INSURANCE.

    Section 508(a) of the Federal Crop Insurance Act (7 U.S.C. 1508(a) 
is amended by adding at the end the following:
            ``(9) Commissions.--
                    ``(A) Definition of immediate family.--In this 
                paragraph, the term `immediate family' means a person's 
                father, mother, stepfather, stepmother, brother, 
                sister, stepbrother, stepsister, son, daughter, 
                stepson, stepdaughter, grandparent, grandson, 
                granddaughter, father-in-law, mother-in-law, brother-
                in-law, sister-in-law, son-in-law, daughter-in-law, the 
                spouse of the foregoing, and the person's spouse.
                    ``(B) Prohibition.--No person may receive a 
                commission or share of a commission for any policy or 
                plan of insurance offered under this Act in which the 
                person has a substantial beneficial interest or in 
                which a member of the person's immediate family has a 
                substantial beneficial interest if, in a calendar year, 
                the aggregate of the commissions exceeds 30 percent of 
                the aggregate of all commissions received by the person 
                for any policy or plan of insurance offered under this 
                Act.
                    ``(C) Reporting.--On the completion of the 
                reinsurance year, any person that received a commission 
                or share of a commission for any policy or plan of 
                insurance offered under this Act in the prior calendar 
                year shall certify to applicable approved insurance 
                providers that the person received the commissions in 
                compliance with this paragraph.
                    ``(D) Sanctions.--The requirements and sanctions 
                prescribed in section 515(h) shall apply to the 
                prosecution of a violation of this paragraph.
                    ``(E) Applicability.--
                            ``(i) In general.--Sanctions for violations 
                        under this paragraph shall only apply to the 
                        person directly responsible for the 
                        certification required under subparagraph (C) 
                        or the failure to comply with the requirements 
                        of this paragraph.
                            ``(ii) Prohibition.--No sanctions shall 
                        apply with respect to the policy or plans of 
                        insurance upon which commissions are received, 
                        including the reinsurance for those policies or 
                        plans.''.

SEC. 1905. ADMINISTRATIVE FEE.

    Section 508(b)(5) of the Federal Crop Insurance Act (7 U.S.C. 
1508(b)(5)) is amended--
            (1) in subparagraph (A), by striking ``$100'' and inserting 
        ``$200''; and
            (2) in subparagraph (B)--
                    (A) by striking ``Payment on behalf of producers'' 
                and inserting ``Payment of catastrophic risk protection 
                fee on behalf of producers'';
                    (B) in clause (i)--
                            (i) by striking ``or other payment''; and
                            (ii) by striking ``with catastrophic risk 
                        protection or additional coverage'' and 
                        inserting ``through the payment of catastrophic 
                        risk protection administrative fees'';
                    (C) by striking clauses (ii) and (vi);
                    (D) by redesignating clauses (iii), (iv), and (v) 
                as clauses (ii), (iii), and (iv), respectively;
                    (E) in clause (iii) (as so redesignated), by 
                striking ``A policy or plan of insurance'' and 
                inserting ``Catastrophic risk protection coverage''; 
                and
                    (F) in clause (iv) (as so redesignated)--
                            (i) by striking ``or other arrangement 
                        under this subparagraph''; and
                            (ii) by striking ``additional''.

SEC. 1906. TIME FOR PAYMENT.

    Section 508 of the Federal Crop Insurance Act (7 U.S.C. 1508) is 
amended--
            (1) in subsection (d), by adding at the end the following:
            ``(4) Time for payment.--Effective beginning with the 2012 
        reinsurance year, a producer that obtains a policy or plan of 
        insurance under this title shall submit the required premium 
        not later than September 30 of the year for which the plan or 
        policy of insurance was obtained.''; and
            (2) in subsection (k)(4), by adding at the end the 
        following:
                    ``(D) Time for reimbursement.--Effective beginning 
                with the 2012 reinsurance year, the Corporation shall 
                reimburse approved insurance providers and agents for 
                the allowable administrative and operating costs of the 
                providers and agents as soon as practicable after 
                October 1 (but not later than October 31) of the 
                reinsurance year for which reimbursements are 
                earned.''.

SEC. 1907. SURCHARGE PROHIBITION.

    Section 508(d) of the Federal Crop Insurance Act (7 U.S.C. 1508(d)) 
(as amended by section 1906(1)) is amended by adding at the end the 
following:
            ``(5) Surcharge prohibition.--
                    ``(A) In general.--Except as provided in 
                subparagraph (B), the Corporation may not require 
                producers to pay a premium surcharge for using 
                scientifically-sound sustainable and organic farming 
                practices and systems.
                    ``(B) Exception.--
                            ``(i) In general.--A surcharge may be 
                        required for individual organic crops on the 
                        basis of significant, consistent, and systemic 
                        increased risk factors (including loss history) 
                        demonstrated by published cropping system 
                        research (as applied to crop types and regions) 
                        and other relevant sources of information.
                            ``(ii) Consultation.--The Corporation shall 
                        evaluate the reliability of information 
                        described in clause (i) in consultation with 
                        independent experts in the field.''.

SEC. 1908. PREMIUM REDUCTION PLAN.

    Section 508(e) of Federal Crop Insurance Act (7 U.S.C. 1508(e)) is 
amended by striking paragraph (3) and inserting the following:
            ``(3) Discount study.--
                    ``(A) In general.--The Secretary shall commission 
                an entity independent of the crop insurance industry 
                (with expertise that includes traditional crop 
                insurance) to study the feasibility of permitting 
                approved insurance providers to provide discounts to 
                producers purchasing crop insurance coverage without 
                undermining the viability of the Federal crop insurance 
                program.
                    ``(B) Components.--The study should include--
                            ``(i) an evaluation of the operation of a 
                        premium reduction plan that examines--
                                    ``(I) the clarity, efficiency, and 
                                effectiveness of the statutory language 
                                and related regulations;
                                    ``(II) whether the regulations 
                                frustrated the goal of offering 
                                producers upfront, predictable, and 
                                reliable premium discount payments; and
                                    ``(III) whether the regulations 
                                provided for reasonable, cost-effective 
                                oversight by the Corporation of premium 
                                discounts offered by approved insurance 
                                providers, including--
                                            ``(aa) whether the savings 
                                        were generated from verifiable 
                                        cost efficiencies adequate to 
                                        offset the cost of discounts 
                                        paid; and
                                            ``(bb) whether appropriate 
                                        control was exercised to 
                                        prevent approved insurance 
                                        providers from preferentially 
                                        offering the discount to 
                                        producers of certain 
                                        agricultural commodities, in 
                                        certain regions, or in specific 
                                        size categories;
                            ``(ii) examination of the impact on 
                        producers, the crop insurance industry, and 
                        profitability from offering discounted crop 
                        insurance to producers;
                            ``(iii) examination of implications for 
                        industry concentration from offering discounted 
                        crop insurance to producers;
                            ``(iv) an examination of the desirability 
                        and feasibility of allowing other forms of 
                        price competition in the Federal crop insurance 
                        program;
                            ``(v) a review of the history of 
                        commissions paid by crop insurance providers; 
                        and
                            ``(vi) recommendations on--
                                    ``(I) potential changes to this 
                                title that would address the 
                                deficiencies in past efforts to provide 
                                discounted crop insurance to producers,
                                    ``(II) whether approved insurance 
                                providers should be allowed to draw on 
                                both administrative and operating 
                                reimbursement and underwriting gains to 
                                provide discounted crop insurance to 
                                producers; and
                                    ``(III) any other action that could 
                                increase competition in the crop 
                                insurance industry that will benefit 
                                producers but not undermine the 
                                viability of the Federal crop insurance 
                                program.
                    ``(C) Request for proposals.--In developing the 
                request for proposals for the study, the Secretary 
                shall consult with parties in the crop insurance 
                industry (including producers and approved insurance 
                providers and agents, including providers and agents 
                with experience selling discount crop insurance 
                products).
                    ``(D) Review of study.--The independent entity 
                selected by Secretary under subparagraph (A) shall seek 
                comments from interested stakeholders before finalizing 
                the report of the entity.
                    ``(E) Report.--Not later than 18 months after the 
                date of enactment of the Food and Energy Security Act 
                of 2007, the Secretary shall submit to the Committee on 
                Agriculture of the House of Representatives and the 
                Committee on Agriculture, Nutrition, and Forestry of 
                the Senate a report that describes the results and 
                recommendations of the study.''.

SEC. 1909. DENIAL OF CLAIMS.

    Section 508(j)(2)(A) of the Federal Crop Insurance Act (7 U.S.C. 
1508(j)(2)(A)) is amended by inserting ``on behalf of the Corporation'' 
after ``approved provider''.

SEC. 1910. MEASUREMENT OF FARM-STORED COMMODITIES.

    Section 508(j) of the Federal Crop Insurance Act (7 U.S.C. 1508(j)) 
is amended by adding at the end the following:
            ``(5) Measurement of farm-stored commodities.--Beginning 
        with the 2009 crop year, for the purpose of determining the 
        amount of any insured production loss sustained by a producer 
        and the amount of any indemnity to be paid under a plan of 
        insurance--
                    ``(A) a producer may elect, at the expense of the 
                producer, to have the Farm Service Agency measure the 
                quantity of the commodity; and
                    ``(B) the results of the measurement shall be used 
                as the evidence of the quantity of the commodity that 
                was produced.''.

SEC. 1911. REIMBURSEMENT RATE.

    Section 508(k)(4) of the Federal Crop Insurance Act (7 U.S.C. 
1508(k)(4)) (as amended by section 1906(2)) is amended--
            (1) in subparagraph (A), by striking ``Except as provided 
        in subparagraph (B)'' and inserting ``Except as otherwise 
        provided in this paragraph''; and
            (2) by adding at the end the following:
                    ``(E) Reimbursement rate reduction.--For each of 
                the 2009 and subsequent reinsurance years, the 
                reimbursement rates for administrative and operating 
                costs shall be 2 percentage points below the rates in 
                effect as of the date of enactment of the Food and 
                Energy Security Act of 2007 for all crop insurance 
                policies used to define loss ratio, except that the 
                reduction shall not apply in a reinsurance year to the 
                total premium written in a State in which the State 
                loss ratio is greater than 1.2.
                    ``(F) Reimbursement rate for area policies and 
                plans of insurance.--Notwithstanding subparagraphs (A) 
                through (E), for each of the 2009 and subsequent 
                reinsurance years, the reimbursement rate for area 
                policies and plans of insurance shall be 17 percent of 
                the premium used to define loss ratio for that 
                reinsurance year.''.

SEC. 1912. RENEGOTIATION OF STANDARD REINSURANCE AGREEMENT.

    Section 508(k) of the Federal Crop Insurance Act (7 U.S.C. 1508(k)) 
is amended by adding at the end the following:
            ``(8) Renegotiation of standard reinsurance agreement.--
                    ``(A) In general.--Notwithstanding section 536 of 
                the Agricultural Research, Extension, and Education 
                Reform Act of 1998 (7 U.S.C. 1506 note; Public Law 105-
                185) and section 148 of the Agricultural Risk 
                Protection Act of 2000 (7 U.S.C. 1506 note; Public Law 
                106-224), the Corporation may renegotiate the financial 
                terms and conditions of each Standard Reinsurance 
                Agreement--
                            ``(i) following the reinsurance year ending 
                        June 30, 2012;
                            ``(ii) once during each period of 5 
                        reinsurance years thereafter; and
                            ``(iii) subject to subparagraph (B), in any 
                        case in which the approved insurance providers, 
                        as a whole, experience unexpected adverse 
                        circumstances, as determined by the Secretary.
                    ``(B) Notification requirement.--If the Corporation 
                renegotiates a Standard Reinsurance Agreement under 
                subparagraph (A)(iii), the Corporation shall notify the 
                Committee on Agriculture of the House of 
                Representatives and the Committee on Agriculture, 
                Nutrition, and Forestry of the Senate of the 
                renegotiation.
                    ``(C) Consultation.--The approved insurance 
                providers may confer with each other and collectively 
                with the Corporation during any renegotiation under 
                subparagraph (A).''.

SEC. 1913. CHANGE IN DUE DATE FOR CORPORATION PAYMENTS FOR UNDERWRITING 
              GAINS.

    Section 508(k) of the Federal Crop Insurance Act (7 U.S.C. 1508(k)) 
(as amended by section 1912) is amended by adding at the end the 
following:
            ``(9) Due date for payment of underwriting gains.--
        Effective beginning with the 2011 reinsurance year, the 
        Corporation shall make payments for underwriting gains under 
        this title on--
                    ``(A) for the 2011 reinsurance year, October 1, 
                2012; and
                    ``(B) for each reinsurance year thereafter, October 
                1 of the following calendar year.''.

SEC. 1914. ACCESS TO DATA MINING INFORMATION.

    (a) In General.--Section 515(j)(2) of the Federal Crop Insurance 
Act (7 U.S.C. 1515(j)(2)) is amended--
            (1) by striking ``The Secretary'' and inserting the 
        following:
                    ``(A) In general.--The Secretary''; and
            (2) by adding at the end the following:
                    ``(B) Access to data mining information.--
                            ``(i) In general.--The Secretary shall 
                        establish a fee-for-access program under which 
                        approved insurance providers pay to the 
                        Secretary a user fee in exchange for access to 
                        the data mining system established under 
                        subparagraph (A) for the purpose of assisting 
                        in fraud and abuse detection.
                            ``(ii) Prohibition.--
                                    ``(I) In general.--Except as 
                                provided in subclause (II), the 
                                Corporation shall not impose a 
                                requirement on approved insurance 
                                providers to access the data mining 
                                system established under subparagraph 
                                (A).
                                    ``(II) Access without fee.--If the 
                                Corporation requires approved insurance 
                                providers to access the data mining 
                                system established under subparagraph 
                                (A), access will be provided without 
                                charge to the extent necessary to 
                                fulfill the requirements.
                            ``(iii) Access limitation.--In establishing 
                        the program under clause (i), the Secretary 
                        shall ensure that an approved insurance 
                        provider has access only to information 
                        relating to the policies or plans of insurance 
                        for which the approved insurance provider 
                        provides insurance coverage, including any 
                        information relating to--
                                    ``(I) information of agents and 
                                adjusters relating to policies for 
                                which the approved insurance provider 
                                provides coverage;
                                    ``(II) the other policies or plans 
                                of an insured that are insured through 
                                another approved insurance providers; 
                                and
                                    ``(III) the policies or plans of an 
                                insured for prior crop insurance 
                                years.''.
    (b) Insurance Fund.--Section 516 of the Federal Crop Insurance Act 
(7 U.S.C. 1516) is amended--
            (1) in subsection (b), by adding at the end the following:
            ``(3) Data mining system.--The Corporation shall use 
        amounts deposited in the insurance fund established under 
        subsection (c) from fees collected under section 515(j)(2)(B) 
        to administer and carry out improvements to the data mining 
        system under that section.''; and
            (2) in subsection (c)(1)--
                    (A) by striking ``and civil'' and inserting 
                ``civil''; and
                    (B) by inserting ``and fees collected under section 
                515(j)(2)(B)(i),'' after ``section 515(h),''.

SEC. 1915. PRODUCER ELIGIBILITY.

    Section 520(2) of the Federal Crop Insurance Act (7 U.S.C. 1520(2)) 
is amended by inserting ``or is a person who raises livestock owned by 
other persons (that is not covered by insurance under this title by 
another person)'' after ``sharecropper''.

SEC. 1916. CONTRACTS FOR ADDITIONAL CROP POLICIES.

    Section 522(c) of the Federal Crop Insurance Act (7 U.S.C. 1522) is 
amended--
            (1) by redesignating paragraph (10) as paragraph (14); and
            (2) by inserting after paragraph (9) the following:
            ``(10) Energy crop insurance policy.--
                    ``(A) Definition of dedicated energy crop.--In this 
                subsection, the term `dedicated energy crop' means an 
                annual or perennial crop that--
                            ``(i) is grown expressly for the purpose of 
                        producing a feedstock for renewable biofuel, 
                        renewable electricity, or bio-based products; 
                        and
                            ``(ii) is not typically used for food, 
                        feed, or fiber.
                    ``(B) Authority.--The Corporation shall offer to 
                enter into 1 or more contracts with qualified entities 
                to carry out research and development regarding a 
                policy to insure dedicated energy crops.
                    ``(C) Research and development.--Research and 
                development described in subparagraph (B) shall 
                evaluate the effectiveness of risk management tools for 
                the production of dedicated energy crops, including 
                policies and plans of insurance that--
                            ``(i) are based on market prices and 
                        yields;
                            ``(ii) to the extent that insufficient data 
                        exist to develop a policy based on market 
                        prices and yields, evaluate the policies and 
                        plans of insurance based on the use of weather 
                        or rainfall indices to protect the interests of 
                        crop producers; and
                            ``(iii) provide protection for production 
                        or revenue losses, or both.
            ``(11) Aquaculture insurance policy.--
                    ``(A) Definition of aquaculture.--In this 
                subsection:
                            ``(i) In general.--The term `aquaculture' 
                        means the propagation and rearing of aquatic 
                        species in controlled or selected environments, 
                        including shellfish cultivation on grants or 
                        leased bottom and ocean ranching.
                            ``(ii) Exclusion.--The term `aquaculture' 
                        does not include the private ocean ranching of 
                        Pacific salmon for profit in any State in which 
                        private ocean ranching of Pacific salmon is 
                        prohibited by any law (including regulations).
                    ``(B) Authority.--The Corporation shall offer to 
                enter into 1 or more contracts with qualified entities 
                to carry out research and development regarding a 
                policy to insure aquaculture operations.
                    ``(C) Research and development.--Research and 
                development described in subparagraph (B) shall 
                evaluate the effectiveness of risk management tools for 
                the production of fish and other seafood in aquaculture 
                operations, including policies and plans of insurance 
                that--
                            ``(i) are based on market prices and 
                        yields;
                            ``(ii) to the extent that insufficient data 
                        exist to develop a policy based on market 
                        prices and yields, evaluate how best to 
                        incorporate insuring of aquaculture operations 
                        into existing policies covering adjusted gross 
                        revenue; and
                            ``(iii) provide protection for production 
                        or revenue losses, or both.
            ``(12) Organic crop production coverage improvements.--
                    ``(A) In general.--Not later than 180 days after 
                the date of enactment of this paragraph, the 
                Corporation shall offer to enter into 1 or more 
                contracts with qualified entities for the development 
                of improvements in Federal crop insurance policies 
                covering organic crops.
                    ``(B) Price election.--
                            ``(i) In general.--The contracts under 
                        subparagraph (A) shall include the development 
                        of procedures (including any associated changes 
                        in policy terms or materials required for 
                        implementation of the procedures) to offer 
                        producers of organic crops a price election 
                        that would reflect the actual retail or 
                        wholesale prices, as appropriate, received by 
                        producers for organic crops, as established 
                        using data collected and maintained by the 
                        Agricultural Marketing Service.
                            ``(ii) Deadline.--The development of the 
                        procedures required under clause (i) shall be 
                        completed not later than the date necessary to 
                        allow the Corporation to offer the price 
                        election--
                                    ``(I) beginning in the 2009 
                                reinsurance year for organic crops with 
                                adequate data available; and
                                    ``(II) subsequently for additional 
                                organic crops as data collection for 
                                those organic crops is sufficient, as 
                                determined by the Corporation.
            ``(13) Skiprow cropping practices.--
                    ``(A) In general.--The Corporation shall offer to 
                enter into a contract with a qualified entity to carry 
                out research into needed modifications of policies to 
                insure corn and sorghum produced in the Central Great 
                Plains (as determined by the Agricultural Research 
                Service) through use of skiprow cropping practices.
                    ``(B) Research.--Research described in subparagraph 
                (A) shall--
                            ``(i) review existing research on skiprow 
                        cropping practices and actual production 
                        history of producers using skiprow cropping 
                        practices; and
                            ``(ii) evaluate the effectiveness of risk 
                        management tools for producers using skiprow 
                        cropping practices, including--
                                    ``(I) the appropriateness of rules 
                                in existence as of the date of 
                                enactment of this paragraph relating to 
                                the determination of acreage planted in 
                                skiprow patterns; and
                                    ``(II) whether policies for crops 
                                produced through skiprow cropping 
                                practices reflect actual production 
                                capabilities.''.

SEC. 1917. RESEARCH AND DEVELOPMENT.

    (a) Reimbursement Authorized.--Section 522(b) of the Federal Crop 
Insurance Act (7 U.S.C. 1522(b)) is amended by striking paragraph (1) 
and inserting the following:
            ``(1) Research and development reimbursement.--The 
        Corporation shall provide a payment to reimburse an applicant 
        for research and development costs directly related to a policy 
        that--
                    ``(A) is submitted to, and approved by, the Board 
                pursuant to a FCIC reimbursement grant under paragraph 
                (7); or
                    ``(B) is--
                            ``(i) submitted to the Board and approved 
                        by the Board under section 508(h) for 
                        reinsurance; and
                            ``(ii) if applicable, offered for sale to 
                        producers.''.
    (b) FCIC Reimbursement Grants.--Section 522(b) of the Federal Crop 
Insurance Act (7 U.S.C. 1522(b)) is amended by adding at the end the 
following:
            ``(7) FCIC reimbursement grants.--
                    ``(A) Grants authorized.--The Corporation shall 
                provide FCIC reimbursement grants to persons (referred 
                to in this paragraph as `submitters') proposing to 
                prepare for submission to the Board crop insurance 
                policies and provisions under subparagraphs (A) and (B) 
                of section 508(h)(1), that apply and are approved for 
                the FCIC reimbursement grants under this paragraph.
                    ``(B) Submission of application.--
                            ``(i) In general.--The Board shall receive 
                        and consider applications for FCIC 
                        reimbursement grants at least once each year.
                            ``(ii) Requirements.--An application to 
                        receive a FCIC reimbursement grant from the 
                        Corporation shall consist of such materials as 
                        the Board may require, including--
                                    ``(I) a concept paper that 
                                describes the proposal in sufficient 
                                detail for the Board to determine 
                                whether the proposal satisfies the 
                                requirements of subparagraph (C); and
                                    ``(II) a description of --
                                            ``(aa) the need for the 
                                        product, including an 
                                        assessment of marketability and 
                                        expected demand among affected 
                                        producers;
                                            ``(bb) support from 
                                        producers, producer 
                                        organizations, lenders, or 
                                        other interested parties; and
                                            ``(cc) the impact the 
                                        product would have on producers 
                                        and on the crop insurance 
                                        delivery system; and
                                    ``(III) a statement that no 
                                products are offered by the private 
                                sector that provide the same benefits 
                                and risk management services as the 
                                proposal;
                                    ``(IV) a summary of data sources 
                                available that demonstrate that the 
                                product can reasonably be developed and 
                                properly rated; and
                                    ``(V) an identification of the 
                                risks the proposed product will cover 
                                and an explanation of how the 
                                identified risks are insurable under 
                                this title.
                    ``(C) Approval conditions.--
                            ``(i) In general.--A majority vote of the 
                        Board shall be required to approve an 
                        application for a FCIC reimbursement grant.
                            ``(ii) Required findings.--The Board shall 
                        approve the application if the Board finds 
                        that--
                                    ``(I) the proposal contained in the 
                                application--
                                            ``(aa) provides coverage to 
                                        a crop or region not 
                                        traditionally served by the 
                                        Federal crop insurance program;
                                            ``(bb) provides crop 
                                        insurance coverage in a 
                                        significantly improved form;
                                            ``(cc) addresses a 
                                        recognized flaw or problem in 
                                        the Federal crop insurance 
                                        program or an existing product;
                                            ``(dd) introduces a 
                                        significant new concept or 
                                        innovation to the Federal crop 
                                        insurance program; or
                                            ``(ee) provides coverage or 
                                        benefits not available from the 
                                        private sector;
                                    ``(II) the submitter demonstrates 
                                the necessary qualifications to 
                                complete the project successfully in a 
                                timely manner with high quality;
                                    ``(III) the proposal is in the 
                                interests of producers and can 
                                reasonably be expected to be 
                                actuarially appropriate and function as 
                                intended;
                                    ``(IV) the Board determines that 
                                the Corporation has sufficient 
                                available funding to award the FCIC 
                                reimbursement grant; and
                                    ``(V) the proposed budget and 
                                timetable are reasonable.
                    ``(D) Participation.--
                            ``(i) In general.--In reviewing proposals 
                        under this paragraph, the Board may use the 
                        services of persons that the Board determines 
                        appropriate to carry out expert review in 
                        accordance with section 508(h).
                            ``(ii) Confidentiality.--All proposals 
                        submitted under this paragraph shall be treated 
                        as confidential in accordance with section 
                        508(h)(4).
                    ``(E) Entering into agreement.--Upon approval of an 
                application, the Board shall offer to enter into an 
                agreement with the submitter for the development of a 
                formal submission that meets the requirements for a 
                complete submission established by the Board under 
                section 508(h).
                    ``(F) Feasibility studies.--
                            ``(i) In general.--In appropriate cases, 
                        the Corporation may structure the FCIC 
                        reimbursement grant to require, as an initial 
                        step within the overall process, the submitter 
                        to complete a feasibility study, and report the 
                        results of the study to the Corporation, prior 
                        to proceeding with further development.
                            ``(ii) Monitoring.--The Corporation may 
                        require such other reports as the Corporation 
                        determines necessary to monitor the development 
                        efforts.
                    ``(G) Rates.--Payment for work performed by the 
                submitter under this paragraph shall be based on rates 
                determined by the Corporation for products--
                            ``(i) submitted under section 508(h); or
                            ``(ii) contracted by the Corporation under 
                        subsection (c).
                    ``(H) Termination.--
                            ``(i) In general.--The Corporation or the 
                        submitter may terminate any FCIC reimbursement 
                        grant at any time for just cause.
                            ``(ii) Reimbursement.--If the Corporation 
                        or the submitter terminates the FCIC 
                        reimbursement grant before final approval of 
                        the product covered by the grant, the submitter 
                        shall be entitled to--
                                    ``(I) reimbursement of all eligible 
                                costs incurred to that point; or
                                    ``(II) in the case of a fixed rate 
                                agreement, payment of an appropriate 
                                percentage, as determined by the 
                                Corporation.
                            ``(iii) Denial.--If the submitter 
                        terminates development without just cause, the 
                        Corporation may deny reimbursement or recover 
                        any reimbursement already made.
                    ``(I) Consideration of products.--The Board shall 
                consider any product developed under this paragraph and 
                submitted to the Board under the rules the Board has 
                established for products submitted under section 
                508(h).''.
    (c) Conforming Amendment.--Section 523(b)(10) of the Federal Crop 
Insurance Act (7 U.S.C. 1523(b)(10)) is amended by striking ``(other 
than research and development costs covered by section 522)''.

SEC. 1918. FUNDING FROM INSURANCE FUND.

    Section 522(e) of the Federal Crop Insurance Act (7 U.S.C. 1522(e)) 
is amended--
            (1) in paragraph (1), by striking ``$10,000,000'' and all 
        that follows through the end of the paragraph and inserting 
        ``$7,500,000 for fiscal year 2008 and each subsequent fiscal 
        year'';
            (2) in paragraph (2)(A), by striking ``$20,000,000 for'' 
        and all that follows through ``year 2004'' and inserting 
        ``$12,500,000 for fiscal year 2008''; and
            (3) in paragraph (3), by striking ``the Corporation may 
        use'' and all that follows through the end of the paragraph and 
        inserting ``the Corporation may use--
                    ``(A) not more than $5,000,000 for each fiscal year 
                to improve program integrity, including by--
                            ``(i) increasing compliance-related 
                        training;
                            ``(ii) improving analysis tools and 
                        technology regarding compliance;
                            ``(iii) use of information technology, as 
                        determined by the Corporation;
                            ``(iv) identifying and using innovative 
                        compliance strategies; and
                    ``(B) any excess amounts to carry out other 
                activities authorized under this section.''.

SEC. 1919. CAMELINA PILOT PROGRAM.

    (a) In General.--Section 523 of the Federal Crop Insurance Act (7 
U.S.C. 1523) is amended by adding at the end the following:
    ``(f) Camelina Pilot Program.--
            ``(1) In general.--Beginning with the 2008 crop year, the 
        Corporation shall establish a pilot program under which 
        producers or processors of camelina may propose for approval by 
        the Board policies or plans of insurance for camelina, in 
        accordance with section 508(h).
            ``(2) Determination by board.--The Board shall approve a 
        policy or plan of insurance proposed under paragraph (1) if, as 
        determined by the Board, the policy or plan of insurance--
                    ``(A) protects the interests of producers;
                    ``(B) is actuarially sound; and
                    ``(C) meets the requirements of this title.''.
    (b) Noninsured Crop Assistance Program.--Section 196(a)(2) of the 
Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 
7333(a)(2)) is amended by adding at the end the following:
                    ``(D) Camelina.--
                            ``(i) In general.--For each of crop years 
                        2008 through 2011, the Secretary shall consider 
                        camelina to be an eligible crop for purposes of 
                        the noninsured crop disaster assistance program 
                        under this section.
                            ``(ii) Limitation.--Producers that are 
                        eligible to purchase camelina crop insurance, 
                        including camelina crop insurance under a pilot 
                        program, shall not be eligible for assistance 
                        under this section.''.

SEC. 1920. RISK MANAGEMENT EDUCATION FOR BEGINNING FARMERS OR RANCHERS.

    Section 524(a) of the Federal Crop Insurance Act (7 U.S.C. 1524(a)) 
is amended--
            (1) in paragraph (1), by striking ``paragraph (4)'' and 
        inserting ``paragraph (5)'';
            (2) by redesignating paragraph (4) as paragraph (5); and
            (3) by inserting after paragraph (3) the following:
            ``(4) Requirements.--In carrying out the programs 
        established under paragraphs (2) and (3), the Secretary shall 
        place special emphasis on risk management strategies, 
        education, and outreach specifically targeted at--
                    ``(A) beginning farmers or ranchers;
                    ``(B) immigrant farmers or ranchers that are 
                attempting to become established producers in the 
                United States;
                    ``(C) socially disadvantaged farmers or ranchers;
                    ``(D) farmers or ranchers that--
                            ``(i) are preparing to retire; and
                            ``(ii) are using transition strategies to 
                        help new farmers or ranchers get started; and
                    ``(E) new or established farmers or ranchers that 
                are converting production and marketing systems to 
                pursue new markets.''.

SEC. 1921. AGRICULTURAL MANAGEMENT ASSISTANCE.

    Section 524(b)(4) of the Federal Crop Insurance Act (7 U.S.C. 
1524(b)(4)) is amended by adding at end the following:
                    ``(C) Cost-sharing.--The Secretary may provide 
                matching funds to any State described in paragraph (1) 
                that appropriates a portion of the budget of the State 
                to provide financial assistance for producer-paid 
                premiums for crop insurance policies reinsured by the 
                Corporation.''.

SEC. 1922. CROP INSURANCE MEDIATION.

    Section 275 of the Department of Agriculture Reorganization Act of 
1994 (7 U.S.C. 6995) is amended--
            (1) by striking ``If an officer'' and inserting the 
        following:
    ``(a) In General.--If an officer'';
            (2) by striking ``With respect to'' and inserting the 
        following:
    ``(b) Farm Service Agency.--With respect to'';
            (3) by striking ``If a mediation''; and inserting the 
        following:
    ``(c) Mediation.--If a mediation''; and
            (4) in subsection (c) (as so designated)--
                    (A) by striking ``participant shall be offered'' 
                and inserting ``participant shall--
            ``(1) be offered''; and
                    (B) by striking the period at the end and inserting 
                the following: ``; and
            ``(2) to the maximum extent practicable, be allowed to use 
        both informal agency review and mediation to resolve disputes 
        under that title.''.

SEC. 1923. DROUGHT COVERAGE FOR AQUACULTURE UNDER NONINSURED CROP 
              ASSISTANCE PROGRAM.

    Section 196(c)(2) of the Federal Agriculture Improvement and Reform 
Act of 1996 (7 U.S.C. 7333(c)(2)) is amended--
            (1) by striking ``On making'' and inserting the following:
                    ``(A) In general.--On making''; and
            (2) by adding at the end the following:
                    ``(B) Aquaculture producers.--On making a 
                determination described in subsection (a)(3) for 
                aquaculture producers, the Secretary shall provide 
                assistance under this section to aquaculture producers 
                from all losses related to drought.''.

SEC. 1924. INCREASE IN SERVICE FEES FOR NONINSURED CROP ASSISTANCE 
              PROGRAM.

    Section 196(k)(1) of the Federal Agriculture Improvement and Reform 
Act of 1996 (7 U.S.C. 7333(k)(1)) is amended--
            (1) in subparagraph (A), by striking ``$100'' and inserting 
        ``$200''; and
            (2) in subparagraph (B)--
                    (A) by striking ``$300'' and inserting ``$600''; 
                and
                    (B) by striking ``$900'' and inserting ``$1,500''.

SEC. 1925. DETERMINATION OF CERTAIN SWEET POTATO PRODUCTION.

    Section 9001(d) of the U.S. Troop Readiness, Veterans' Care, 
Katrina Recovery, and Iraq Accountability Appropriations Act, 2007 
(Public Law 110-28; 121 Stat. 211) is amended--
            (1) by redesignating paragraph (8) as paragraph (9); and
            (2) by inserting after paragraph (7) the following:
            ``(8) Sweet potatoes.--
                    ``(A) Data.--In the case of sweet potatoes, any 
                data obtained under a pilot program carried out by the 
                Risk Management Agency shall not be considered for the 
                purpose of determining the quantity of production under 
                the crop disaster assistance program established under 
                this section.
                    ``(B) Extension of deadline.--If this paragraph is 
                not implemented before the sign-up deadline for the 
                crop disaster assistance program established under this 
                section, the Secretary shall extend the deadline for 
                producers of sweet potatoes to permit sign-up for the 
                program in accordance with this paragraph.''.

SEC. 1926. PERENNIAL CROP REPORT.

    Not later than 180 days after the date of enactment of this Act, 
the Secretary shall submit to the Committee on Agriculture of the House 
of Representatives and the Committee on Agriculture, Nutrition, and 
Forestry of the Senate a report containing details about activities and 
administrative options of the Federal Crop Insurance Corporation and 
Risk Management Agency that address issues relating to--
            (1) declining yields on the actual production histories of 
        producers; and
            (2) declining and variable yields for perennial crops, 
        including pecans.

                         TITLE II--CONSERVATION

                        Subtitle A--Definitions

SEC. 2001. DEFINITIONS.

    Section 1201(a) of the Food Security Act of 1985 (16 U.S.C. 
3801(a)) is amended--
            (1) by redesignating paragraphs (2) through (11), (12) 
        through (15), and (16), (17), and (18) as paragraphs (3) 
        through (12), (15) through (18), and (20), (22), and (23), 
        respectively;
            (2) by inserting after paragraph (1) the following:
            ``(2) Beginning farmer or rancher.--The term `beginning 
        farmer or rancher' has, to the maximum extent practicable, the 
        meaning given the term in section 343(a) of the Consolidated 
        Farm and Rural Development Act (7 U.S.C. 1991(a)), except that 
        the Secretary may include in the definition of the term--
                    ``(A) a fair and reasonable test of net worth; and
                    ``(B) such other criteria as the Secretary 
                determines to be appropriate.'';
            (3) by inserting after paragraph (12) (as redesignated by 
        paragraph (1)) the following:
            ``(13) Indian tribe.--The term `Indian tribe' has the 
        meaning given the term in section 4 of the Indian Self-
        Determination and Education Assistance Act (25 U.S.C. 450b).
            ``(14) Nonindustrial private forest land.--The term 
        `nonindustrial private forest land' means rural land, as 
        determined by the Secretary, that--
                    ``(A) has existing tree cover or is suitable for 
                growing trees; and
                    ``(B) is owned by any nonindustrial private 
                individual, group, association, corporation, Indian 
                tribe, or other private legal entity that has 
                definitive decisionmaking authority over the land.'';
            (4) by inserting after paragraph (18) (as redesignated by 
        paragraph (1)) the following:
            ``(19) Socially disadvantaged farmer or rancher.--The term 
        `socially disadvantaged farmer or rancher' has the meaning 
        given the term in section 355(e) of the Consolidated Farm and 
        Rural Development Act (7 U.S.C. 2003(e)).''; and
            (5) by inserting after paragraph (20) (as redesignated by 
        paragraph (1)) the following:
            ``(21) Technical assistance.--
                    ``(A) In general.--The term `technical assistance' 
                means technical expertise, information, and tools 
                necessary for the conservation of natural resources on 
                land active in agricultural, forestry, or related uses.
                    ``(B) Inclusions.--The term `technical assistance' 
                includes--
                            ``(i) technical services provided directly 
                        to farmers, ranchers, and other eligible 
                        entities, such as conservation planning, 
                        technical consultation, and assistance with 
                        design and implementation of conservation 
                        practices; and
                            ``(ii) technical infrastructure, including 
                        activities, processes, tools, and agency 
                        functions needed to support delivery of 
                        technical services, such as technical 
                        standards, resource inventories, training, 
                        data, technology, monitoring, and effects 
                        analyses.''.

             Subtitle B--Highly Erodible Land Conservation

SEC. 2101. REVIEW OF GOOD FAITH DETERMINATIONS; EXEMPTIONS.

    Section 1212 of the Food Security Act of 1985 (16 U.S.C. 3812) is 
amended by striking subsection (f) and inserting the following:
    ``(f) Graduated Penalties.--
            ``(1) Ineligibility.--No person shall become ineligible 
        under section 1211 for program loans, payments, and benefits as 
        a result of the failure of the person to actively apply a 
        conservation plan, if the Secretary determines that the person 
        has acted in good faith and without an intent to violate this 
        subtitle.
            ``(2) Eligible reviewers.--A determination of the 
        Secretary, or a designee of the Secretary, under paragraph (1) 
        shall be reviewed by the applicable--
                    ``(A) State Executive Director, with the technical 
                concurrence of the State Conservationist; or
                    ``(B) district director, with the technical 
                concurrence of the area conservationist.
            ``(3) Period for implementation.--A person who meets the 
        requirements of paragraph (1) shall be allowed a reasonable 
        period of time, as determined by the Secretary, but not to 
        exceed 1 year, during which to implement the measures and 
        practices necessary to be considered to be actively applying 
        the conservation plan of the person.
            ``(4) Penalties.--
                    ``(A) Application.--This paragraph applies if the 
                Secretary determines that--
                            ``(i) a person who has failed to comply 
                        with section 1211 with respect to highly 
                        erodible cropland, and has acted in good faith 
                        and without an intent to violate section 1211; 
                        or
                            ``(ii) the violation--
                                    ``(I) is technical and minor in 
                                nature; and
                                    ``(II) has a minimal effect on the 
                                erosion control purposes of the 
                                conservation plan applicable to the 
                                land on which the violation has 
                                occurred.
                    ``(B) Reduction.--If this paragraph applies under 
                subparagraph (A), the Secretary shall, in lieu of 
                applying the ineligibility provisions of section 1211, 
                reduce program benefits described in section 1211 that 
                the producer would otherwise be eligible to receive in 
                a crop year by an amount commensurate with the 
                seriousness of the violation, as determined by the 
                Secretary.
            ``(5) Subsequent crop years.--Any person whose benefits are 
        reduced for any crop year under this subsection shall continue 
        to be eligible for all of the benefits described in section 
        1211 for any subsequent crop year if, prior to the beginning of 
        the subsequent crop year, the Secretary determines that the 
        person is actively applying a conservation plan according to 
        the schedule specified in the plan.''.

                    Subtitle C--Wetland Conservation

SEC. 2201. REVIEW OF GOOD FAITH DETERMINATIONS.

    Section 1222(h) of the Food Security Act of 1985 (16 U.S.C. 
3822(h)) is amended--
            (1) by redesignating paragraph (2) as paragraph (3);
            (2) by inserting after paragraph (1) the following:
            ``(2) Eligible reviewers.--A determination of the 
        Secretary, or a designee of the Secretary, under paragraph (1) 
        shall be reviewed by the applicable--
                    ``(A) State Executive Director, with the technical 
                concurrence of the State Conservationist; or
                    ``(B) district director, with the technical 
                concurrence of the area conservationist.''; and
            (3) in paragraph (3) (as redesignated by paragraph (1)), by 
        inserting ``be'' before ``actively''.

        Subtitle D--Agricultural Resources Conservation Program

           CHAPTER 1--COMPREHENSIVE CONSERVATION ENHANCEMENT

      Subchapter A--Comprehensive Conservation Enhancement Program

SEC. 2301. REAUTHORIZATION AND EXPANSION OF PROGRAMS COVERED.

    (a) In General.--Section 1230 of the Food Security Act of 1985 (16 
U.S.C. 3830) is amended to read as follows:

``SEC. 1230. COMPREHENSIVE CONSERVATION ENHANCEMENT PROGRAM.

    ``(a) Establishment.--
            ``(1) In general.--During the 1996 through 2012 fiscal 
        years, the Secretary shall establish a comprehensive 
        conservation enhancement program (referred to in this section 
        as `CCEP') to be implemented through contracts and the 
        acquisition of easements to assist owners and operators of 
        farms, ranches, and nonindustrial private forestland to 
        conserve and enhance soil, water, and related natural 
        resources, including grazing land, wetland, and wildlife 
        habitat.
            ``(2) Means.--The Secretary shall carry out the CCEP by--
                    ``(A) providing for the long-term protection of 
                environmentally-sensitive land; and
                    ``(B) providing technical and financial assistance 
                to farmers, ranchers, and nonindustrial private forest 
                landowners--
                            ``(i) to improve the management and 
                        operation of the farms, ranches, and private 
                        nonindustrial forest land; and
                            ``(ii) to reconcile productivity and 
                        profitability with protection and enhancement 
                        of the environment;
                    ``(C) reducing administrative burdens and 
                streamlining application and planning procedures to 
                encourage producer participation; and
                    ``(D) providing opportunities to leverage Federal 
                conservation investments through innovative 
                partnerships with governmental agencies, education 
                institutions, producer groups, and other 
                nongovernmental organizations.
            ``(3) Programs.--The CCEP shall consist of--
                    ``(A) the conservation reserve program established 
                under subchapter B;
                    ``(B) the wetlands reserve program established 
                under subchapter C; and
                    ``(C) the healthy forests reserve program 
                established under subchapter D.
    ``(b) Contracts and Enrollments.--
            ``(1) In general.--In carrying out the CCEP, the Secretary 
        shall enter into contracts with owners and operators and 
        acquire interests in land through easements from owners, as 
        provided in this chapter.
            ``(2) Prior enrollments.--Acreage enrolled in the 
        conservation reserve program, wetlands reserve program, or 
        healthy forests reserve program prior to the date of enactment 
        of the Food and Energy Security Act of 2007 shall be considered 
        to be placed into the CCEP.
    ``(c) Administration.--
            ``(1) Limitations.--
                    ``(A) In general.--The Secretary shall not enroll 
                more than 25 percent of the cropland in any county in 
                the programs administered under subchapters B and C of 
                this chapter.
                    ``(B) Easements.--Within the limit described in 
                subparagraph (A), not more than 10 percent of the land 
                described in that subparagraph may be subject to an 
                easement acquired under subchapter C of this chapter.
                    ``(C) Exclusion.--Subparagraphs (A) and (B) shall 
                not apply to acres enrolled in the special conservation 
                reserve enhancement program described in section 
                1234(f)(3).
                    ``(D) Exceptions.--The Secretary may exceed the 
                limitation in subparagraph (A) if the Secretary 
                determines that--
                            ``(i)(I) the action would not adversely 
                        affect the local economy of a county; and
                            ``(II) operators in the county are having 
                        difficulties complying with conservation plans 
                        implemented under section 1212; or
                            ``(ii)(I) the acreage to be enrolled could 
                        not be used for an agricultural purpose as a 
                        result of a State or local law, order, or 
                        regulation prohibiting water use for 
                        agricultural production; and
                            ``(II) enrollment in the program would 
                        benefit the acreage enrolled or land adjacent 
                        to the acreage enrolled.
                    ``(E) Shelterbelts and windbreaks.--The limitations 
                established under this paragraph shall not apply to 
                cropland that is subject to an easement under chapter 1 
                or 3 that is used for the establishment of shelterbelts 
                and windbreaks.
                    ``(F) Enrollment.--Not later than 180 days after 
                the date of a request from a landowner to enroll 
                acreage described in subparagraph (D)(ii) in the 
                program, the Secretary shall enroll the acreage.
            ``(2) Tenant protection.--Except for a person who is a 
        tenant on land that is subject to a conservation reserve 
        contract that has been extended by the Secretary, the Secretary 
        shall provide adequate safeguards to protect the interests of 
        tenants and sharecroppers, including provisions for sharing, on 
        a fair and equitable basis, in payments under the programs 
        established under this subtitle and subtitles B and C.
            ``(3) Provision of technical assistance by other sources.--
                    ``(A) In general.--In the preparation and 
                application of a conservation compliance plan under 
                subtitle B or similar plan required as a condition for 
                assistance from the Department of Agriculture, the 
                Secretary shall permit persons to secure technical 
                assistance from approved sources, as determined by the 
                Secretary, other than the Natural Resources 
                Conservation Service.
                    ``(B) Rejection.--If the Secretary rejects a 
                technical determination made by a source described in 
                subparagraph (A), the basis of the determination of the 
                Secretary shall be supported by documented evidence.
            ``(4) Regulations.--Not later than 90 days after the date 
        of enactment of the Food and Energy Security Act of 2007, the 
        Secretary shall promulgate regulations to implement the 
        conservation reserve and wetlands reserve programs established 
        under this chapter.''.
    (b) Conforming Amendments.--
            (1) Section 1243 of the Food Security Act of 1985 (16 
        U.S.C. 3843) is repealed.
            (2) Section 1222(g) of the Food Security Act of 1985 (16 
        U.S.C. 3822(g)) is amended by striking ``1243'' and inserting 
        ``1230(c)''.
            (3) Section 1231(k)(3)(C)(i) of the Food Security Act of 
        1985 (16 U.S.C. 3831(k)(3)(C)(i)) is amended by striking 
        ``1243(b)'' and inserting ``1230(c)(1)''.

                   Subchapter B--Conservation Reserve

SEC. 2311. CONSERVATION RESERVE PROGRAM.

    (a) In General.--Section 1231(a) of the Food Security Act of 1985 
(16 U.S.C. 3831(a)) is amended--
            (1) by striking ``2007'' and inserting ``2012''; and
            (2) by striking ``and wildlife'' and inserting ``wildlife, 
        and pollinator habitat''.
    (b) Eligible Land.--Section 1231(b) of the Food Security Act of 
1985 (16 U.S.C. 3831(b)) is amended--
            (1) in paragraph (1)(B), by striking the period at the end 
        and inserting a semicolon;
            (2) in paragraph (4)--
                    (A) in subparagraph (C), by striking ``; or'' and 
                inserting a semicolon;
                    (B) in subparagraph (D), by striking ``and'' at the 
                end and inserting ``or''; and
                    (C) in subparagraph (E), by inserting ``in the case 
                of alfalfa or other forage crops,'' before 
                ``enrollment'';
            (3) in paragraph (5), by striking the period at the end and 
        inserting a semicolon; and
            (4) by adding at the end the following:
            ``(6) marginal pasture land or hay land that is otherwise 
        ineligible, if the land--
                    ``(A) is to be devoted to native vegetation 
                appropriate to the ecological site; and
                    ``(B) would contribute to the restoration of a 
                long-leaf pine forest or other declining forest 
                ecosystem, as defined by the Secretary; or
            ``(7) land that is enrolled in the flooded farmland program 
        established under section 1235B.''.
    (c) Enrollment.--Section 1231(d) of the Food Security Act of 1985 
(16 U.S.C. 3831(d)) is amended by striking ``up to'' and all that 
follows through ``2007'' and inserting ``up to 39,200,000 acres in the 
conservation reserve at any 1 time during the 2008 through 2012''.
    (d) Conservation Priority Areas.--Section 1231(f)(1) of the Food 
Security Act of 1985 (16 U.S.C. 3831(f)(1)) is amended--
            (1) by striking ``(Pennsylvania, Maryland, and Virginia)''; 
        and
            (2) by inserting ``the Prairie Pothole Region, the Grand 
        Lake St. Mary's Watershed, the Eastern Snake Plain Aquifer,'' 
        after ``Sound Region,''.
    (e) Pilot Program for Enrollment of Wetland and Buffer Acreage in 
Conservation Reserve.--Section 1231 of the Food Security Act of 1985 
(16 U.S.C. 3831) is amended by striking subsection (h) and inserting 
the following:
    ``(h) Pilot Program for Enrollment of Wetland, Shallow Water Areas, 
and Buffer Acreage in Conservation Reserve.--
            ``(1) Program.--
                    ``(A) In general.--During the 2008 through 2012 
                calendar years, the Secretary shall carry out a program 
                in each State under which the Secretary shall enroll 
                eligible acreage described in paragraph (2).
                    ``(B) Participation among states.--The Secretary 
                shall ensure, to the maximum extent practicable, that 
                owners and operators in each State have an equitable 
                opportunity to participate in the pilot program 
                established under this subsection.
            ``(2) Eligible acreage.--
                    ``(A) In general.--Subject to subparagraphs (B) 
                through (E), an owner or operator may enroll in the 
                conservation reserve under this subsection--
                            ``(i)(I) a wetland (including a converted 
                        wetland described in section 1222(b)(1)(A)) 
                        that had a cropping history during at least 4 
                        of the immediately preceding 6 crop years; or
                            ``(II) a shallow water area that was 
                        devoted to a commercial pond-raised aquaculture 
                        operation any year during the period of 
                        calendar years 2002 through 2007; and
                            ``(ii) buffer acreage that--
                                    ``(I) is contiguous to a wetland or 
                                shallow water area described in clause 
                                (i);
                                    ``(II) is used to protect the 
                                wetland or shallow water area described 
                                in clause (i); and
                                    ``(III) is of such width as the 
                                Secretary determines is necessary to 
                                protect the wetland or shallow water 
                                area described in clause (i) or to 
                                enhance the wildlife benefits, taking 
                                into consideration and accommodating 
                                the farming practices (including the 
                                straightening of boundaries to 
                                accommodate machinery) used with 
                                respect to the cropland that surrounds 
                                the wetland or shallow water area.
                    ``(B) Exclusions.--Except for a shallow water area 
                described in paragraph (2)(A)(i), an owner or operator 
                may not enroll in the conservation reserve under this 
                subsection--
                            ``(i) any wetland, or land on a floodplain, 
                        that is, or is adjacent to, a perennial 
                        riverine system wetland identified on the final 
                        national wetland inventory map of the Secretary 
                        of the Interior; or
                            ``(ii) in the case of an area that is not 
                        covered by the final national inventory map, 
                        any wetland, or land on a floodplain, that is 
                        adjacent to a perennial stream identified on a 
                        1-24,000 scale map of the United States 
                        Geological Survey.
                    ``(C) Program limitations.--
                            ``(i) In general.--The Secretary may enroll 
                        in the conservation reserve under this 
                        subsection not more than--
                                    ``(I) 100,000 acres in any 1 State 
                                referred to in paragraph (1); and
                                    ``(II) not more than a total of 
                                1,000,000 acres.
                            ``(ii) Relationship to program maximum.--
                        Subject to clause (iii), for the purposes of 
                        subsection (d), any acreage enrolled in the 
                        conservation reserve under this subsection 
                        shall be considered acres maintained in the 
                        conservation reserve.
                            ``(iii) Relationship to other enrolled 
                        acreage.--Acreage enrolled under this 
                        subsection shall not affect for any fiscal year 
                        the quantity of--
                                    ``(I) acreage enrolled to establish 
                                conservation buffers as part of the 
                                program announced on March 24, 1998 (63 
                                Fed. Reg. 14109); or
                                    ``(II) acreage enrolled into the 
                                conservation reserve enhancement 
                                program announced on May 27, 1998 (63 
                                Fed. Reg. 28965).
                            ``(iv) Review; potential increase in 
                        enrollment acreage.--Not later than 3 years 
                        after the date of enactment of the Food and 
                        Energy Security Act of 2007, the Secretary 
                        shall--
                                    ``(I) conduct a review of the 
                                program under this subsection with 
                                respect to each State that has enrolled 
                                land in the program; and
                                    ``(II) notwithstanding clause 
                                (i)(I), increase the number of acres 
                                that may be enrolled by a State under 
                                clause (i)(I) to not more than 150,000 
                                acres, as determined by the Secretary.
                    ``(D) Owner or operator limitations.--
                            ``(i) Wetland.--
                                    ``(I) In general.--Except for a 
                                shallow water area described in 
                                paragraph (2)(A)(i), the maximum size 
                                of any wetland described in 
                                subparagraph (A)(i) of an owner or 
                                operator enrolled in the conservation 
                                reserve under this subsection shall be 
                                40 contiguous acres.
                                    ``(II) Coverage.--All acres 
                                described in subclause (I) (including 
                                acres that are ineligible for payment) 
                                shall be covered by the conservation 
                                contract.
                            ``(ii) Buffer acreage.--The maximum size of 
                        any buffer acreage described in subparagraph 
                        (A)(ii) of an owner or operator enrolled in the 
                        conservation reserve under this subsection 
                        shall be determined by the Secretary in 
                        consultation with the State Technical 
                        Committee.
                            ``(iii) Tracts.--Except for a shallow water 
                        area described in paragraph (2)(A)(i), the 
                        maximum size of any eligible acreage described 
                        in subparagraph (A) in a tract (as determined 
                        by the Secretary) of an owner or operator 
                        enrolled in the conservation reserve under this 
                        subsection shall be 40 acres.
            ``(3) Duties of owners and operators.--Under a contract 
        entered into under this subsection, during the term of the 
        contract, an owner or operator of a farm or ranch shall agree--
                    ``(A) to restore the hydrology of the wetland 
                within the eligible acreage to the maximum extent 
                practicable, as determined by the Secretary;
                    ``(B) to establish vegetative cover (which may 
                include emerging vegetation in water) on the eligible 
                acreage, as determined by the Secretary;
                    ``(C) to a general prohibition of commercial use of 
                the enrolled land; and
                    ``(D) to carry out other duties described in 
                section 1232.
            ``(4) Duties of the secretary.--
                    ``(A) In general.--Except as provided in 
                subparagraphs (B) and (C), in return for a contract 
                entered into by an owner or operator under this 
                subsection, the Secretary shall make payments based on 
                rental rates for cropland and provide assistance to the 
                owner or operator in accordance with sections 1233 and 
                1234.
                    ``(B) Continuous signup.--The Secretary shall use 
                continuous signup under section 1234(c)(2)(B) to 
                determine the acceptability of contract offers and the 
                amount of rental payments under this subsection.
                    ``(C) Incentives.--The amounts payable to owners 
                and operators in the form of rental payments under 
                contracts entered into under this subsection shall 
                reflect incentives that are provided to owners and 
                operators to enroll filterstrips in the conservation 
                reserve under section 1234.''.
    (f) Balance of Natural Resource Purposes.--Section 1231(j) of the 
Food Security Act of 1985 (16 U.S.C. 3831(j)) is amended by striking 
``and wildlife'' and inserting ``wildlife, and pollinator''.
    (g) Duties of Participants.--Section 1232(a) of the Food Security 
Act of 1985 (16 U.S.C. 3832(a)) is amended--
            (1) in paragraph (4)--
                    (A) by redesignating subparagraphs (A) and (B) as 
                subparagraphs (B) and (C), respectively; and
                    (B) by inserting before subparagraph (B) (as so 
                redesignated) the following:
                    ``(A) approved vegetative cover shall encourage the 
                planting of native species and restoration of 
                biodiversity;'';
            (2) by redesignating paragraphs (5) through (10) as 
        paragraphs (6) through (11), respectively; and
            (3) by inserting after paragraph (4) the following:
            ``(5) to undertake active management on the land as needed 
        throughout the term of the contract to implement the 
        conservation plan;''.
    (h) Managed Harvesting and Grazing.--Section 1232(a)(7) of the Food 
Security Act of 1985 (16 U.S.C. 3832(a)(7)) is amended--
            (1) in the matter preceding subparagraph (A), by inserting 
        ``and brood rearing'' after ``habitat during nesting''; and
            (2) in subparagraph (A), by striking ``biomass)'' and 
        inserting ``biomass and prescribed grazing for the control of 
        invasive species), if such activity is permitted and consistent 
        with the conservation plan described in subsection 
        (b)(1)(A))''; and
    (i) Conservation Plans.--Section 1232(b)(1)(A) of the Food Security 
Act of 1985 (16 U.S.C. 3832(b)(1)(A)) is amended by striking 
``contract; and'' and inserting the following: ``contract that are--
                            ``(i) compatible with the conservation and 
                        improvement of soil, water, and wildlife and 
                        wildlife habitat;
                            ``(ii) clearly described and apply 
                        throughout the duration of the contract;
                            ``(iii) actively managed by the owner or 
                        operator that entered into the contract; and
                            ``(iv) consistent with local active 
                        management conservation measures and practices, 
                        as determined by the Secretary; and''.
    (j) Acceptance of Contract Offers.--Section 1234(c) of the Food 
Security Act of 1985 (16 U.S.C. 3834(c)) is amended--
            (1) by striking paragraph (3) and inserting the following:
            ``(3) Acceptance of contract offers.--
                    ``(A) Evaluation of offers.--In determining the 
                acceptability of contract offers, the Secretary may 
                take into consideration the extent to which enrollment 
                of the land that is the subject of the contract offer 
                would improve soil resources, water quality, 
                pollinator, fish, or wildlife habitat, or provide other 
                environmental benefits.
                    ``(B) Local preference.--In determining the 
                acceptability of contract offers for new enrollments 
                if, as determined by the Secretary, the land would 
                provide at least equivalent conservation benefits to 
                land under competing offers, the Secretary shall, to 
                the maximum extent practicable, accept an offer from an 
                owner or operator that is a resident of the county in 
                which the land is located or of a contiguous county.''; 
                and
            (2) by adding at the end the following:
            ``(5) Rental rates.--
                    ``(A) Annual estimates.--Not later than 1 year 
                after the date of enactment of this paragraph, the 
                Secretary (acting through the National Agricultural 
                Statistics Service) shall conduct an annual survey of 
                per acre estimates of county average market dryland and 
                irrigated cash rental rates for cropland and 
                pastureland in all counties or equivalent subdivisions 
                within each State that have 20,000 acres or more of 
                cropland and pastureland.
                    ``(B) Public availability of estimates.--The 
                estimates derived from the annual survey conducted 
                under subparagraph (A) shall be maintained on a website 
                of the Department of Agriculture for use by the general 
                public.''.
    (k) Early Termination by Owner or Operator.--Section 1235(e)(1) of 
the Food Security Act of 1985 (16 U.S.C. 3835(e)(1)) is amended by 
striking subparagraph (A) and inserting the following:
                    ``(A) In general.--The Secretary shall allow a 
                participant to terminate a conservation reserve 
                contract at any time if, as determined by the 
                Secretary--
                            ``(i) the participant entered into a 
                        contract under this subchapter before January 
                        1, 1995, and the contract has been in effect 
                        for at least 5 years; or
                            ``(ii) in the case of a participant who is 
                        disabled (as defined in section 72(m)(7) of the 
                        Internal Revenue Code of 1986) or retired from 
                        farming or ranching, the participant has 
                        endured financial hardship as a result of the 
                        taxation of rental payments received.''.

SEC. 2312. FLOODED FARMLAND PROGRAM.

    Subchapter B of chapter 1 of subtitle D of title XII of the Food 
Security Act of 1985 (16 U.S.C. 3831a et seq.) is amended by adding at 
the end the following:

``SEC. 1235B. FLOODED FARMLAND PROGRAM.

    ``(a) Definitions.--In this section:
            ``(1) Closed basin lake or pothole.--The term `closed basin 
        lake or pothole' means a naturally occurring lake, pond, 
        pothole, or group of potholes within a tract that--
                    ``(A) covered, on average, at least 5 acres in 
                surface area during the preceding 3 crop years, as 
                determined by the Secretary; and
                    ``(B) has no natural outlet.
            ``(2) Tract.--The term `tract' has the meaning given the 
        term by the Secretary.
    ``(b) Program.--
            ``(1) In general.--Notwithstanding any other provision of 
        law (including regulations), as part of the conservation 
        reserve program established under this subchapter, the 
        Secretary shall offer to enter into contracts under which the 
        Secretary shall permit the enrollment in the conservation 
        reserve of eligible cropland and grazing land that has been 
        flooded by the natural overflow of a closed basin lake or 
        pothole located within the Prairie Pothole Region of the 
        northern Great Plains priority area (as determined by the 
        Secretary, by regulation).
            ``(2) Extensions.--The Secretary may offer to extend a 
        contract entered into under paragraph (1) if the Secretary 
        determines that conditions persist that make cropland or 
        grazing land covered by the contract and eligible for entry 
        into the program under this section.
    ``(c) Continuous Signup.--The Secretary shall offer the program 
under this section through continuous signup under this subchapter.
    ``(d) Eligibility.--
            ``(1) In general.--To be eligible to enter into a contract 
        under subsection (b), the owner shall own land that, as 
        determined by the Secretary--
                    ``(A) during the 3 crop years preceding entry into 
                the contract, was rendered incapable of use for the 
                production of an agricultural commodity or for grazing 
                purposes; and
                    ``(B) prior to the natural overflow of a closed 
                basin lake or pothole caused by a period of 
                precipitation in excess of historical patterns, had 
                been consistently used for the production of crops or 
                as grazing land.
            ``(2) Inclusions.--Land described in paragraph (1) shall 
        include--
                    ``(A) land that has been flooded as the result of 
                the natural overflow of a closed basin lake or pothole;
                    ``(B) land that has been rendered inaccessible due 
                to flooding as the result of the natural overflow of a 
                closed basin lake or pothole; and
                    ``(C) a reasonable quantity of additional land 
                adjoining the flooded land that would enhance the 
                conservation or wildlife value of the tract, as 
                determined by the Secretary.
            ``(3) Administration.--The Secretary may establish--
                    ``(A) reasonable minimum acreage levels for 
                individual parcels of land that may be included in a 
                contract entered into under this section; and
                    ``(B) the location and area of adjoining flooded 
                land that may be included in a contract entered into 
                under this section.
    ``(e) Payments.--
            ``(1) In general.--Subject to paragraph (2), the rate of an 
        annual rental payment under this section, as determined by the 
        Secretary--
                    ``(A) shall be based on the rental rate under this 
                subchapter for cropland, and an appropriate rental rate 
                for pastureland; and
                    ``(B) may be reduced by up to 25 percent, based on 
                the ratio of upland associated with the enrollment of 
                the flooded land.
            ``(2) Exclusions.--During the term of a contract entered 
        into under this section, an owner shall not be eligible to 
        participate in or receive benefits for land that is included in 
        the contract 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.
    ``(f) Relationship to Agricultural Commodity Programs.--
            ``(1) In general.--Subject to paragraph (2), the Secretary, 
        by regulation, shall provide for the preservation of cropland 
        base, allotment history, and payment yields applicable to land 
        that was rendered incapable of use for the production of an 
        agricultural commodity or for grazing purposes as the result of 
        the natural overflow of a closed basin lake or pothole.
            ``(2) Termination of contract.--On termination of a 
        contract under this section, the Secretary shall adjust the 
        cropland base, allotment history, and payment yields for land 
        covered by the contract to ensure equitable treatment of the 
        land relative to program payment yields of comparable land in 
        the county that was not flooded as a result of the natural 
        overflow of a closed basin lake or pothole and was capable of 
        remaining in agricultural production.
    ``(g) Use of Land.--An owner that has entered into a contract with 
the Secretary under this section shall take such actions as are 
necessary to avoid degrading any wildlife habitat on land covered by 
the contract that has naturally developed as a result of the natural 
overflow of a closed basin lake or pothole.''.

SEC. 2313. WILDLIFE HABITAT PROGRAM.

    Subchapter B of chapter 1 of subtitle D of title XII of the Food 
Security Act of 1985 (16 U.S.C. 3831a et seq.) (as amended by section 
2312) is amended by adding at the end the following:

``SEC. 1235C. WILDLIFE HABITAT PROGRAM.

    ``(a) In General.--As part of the conservation reserve program 
established under this subchapter, the Secretary shall carry out a 
program to provide to owners and operators who have entered into 
contracts under this subchapter and established softwood pine stands, 
for each of fiscal years 2008 through 2012, assistance to carry out, on 
the acreage of the owner or operator enrolled in the program under this 
subchapter, activities that improve the condition of the enrolled land 
for the benefit of wildlife.
    ``(b) Scope of Program.--In carrying out the program under this 
section, the Secretary shall determine--
            ``(1) the amount and rate of payments (including incentive 
        payments and cost-sharing payments) to be made to owners and 
        operators who participate in the program to ensure the 
        participation of those owners and operators;
            ``(2) the areas in each of the States in which owners and 
        operators referred to in subsection (a) are located that should 
        be given priority under the program, based on the need in those 
        areas for changes in the condition of land to benefit wildlife; 
        and
            ``(3) the management strategies and practices (including 
        thinning, burning, seeding, establishing wildlife food plots, 
        and such other practices that have benefits for wildlife as are 
        approved by the Secretary) that may be carried out by owners 
        and operators under the program.
    ``(c) Agreements.--
            ``(1) In general.--An owner or operator described in 
        subsection (a) that seeks to receive assistance under this 
        section shall enter into an agreement with the Secretary that--
                    ``(A) describes the management strategies and 
                practices referred to in subsection (b)(3) that will be 
                carried out by the owner or operator under the 
                agreement;
                    ``(B) describes measures to be taken by the owner 
                or operator to ensure active but flexible management of 
                acreage covered by the agreement;
                    ``(C) requires the owner or operator to submit to 
                periodic monitoring and evaluation by wildlife or 
                forestry agencies of the State in which land covered by 
                the agreement is located; and
                    ``(D) contains such other terms or conditions as 
                the Secretary may require.
            ``(2) Term; inclusion in contract.--An agreement entered 
        into under this section shall have a term of not more than 5 
        years.
    ``(d) Partnerships.--In carrying out this section, the Secretary 
may establish or identify and, as appropriate, require owners and 
operators participating in the program under this section to work 
cooperatively with, partnerships among the Secretary and State, local, 
and nongovernmental organizations.
    ``(e) Technical Assistance and Cost Sharing.--The Secretary may 
provide to owners and operators participating in the program under this 
section, and members of partnerships described in subsection (d)--
            ``(1) technical assistance for use in carrying out an 
        activity covered by an agreement described in subsection (c); 
        and
            ``(2) a payment for use in covering a percentage of the 
        costs of carrying out each such activity that does not exceed 
        the applicable amount and rate determined by the Secretary 
        under subsection (b)(1).
    ``(f) Termination of Program.--The program under this section shall 
terminate on September 30, 2011.''.

                 Subchapter C--Wetlands Reserve Program

SEC. 2321. WETLANDS RESERVE PROGRAM.

    Section 1237 of the Food Security Act of 1985 (16 U.S.C. 3837) is 
amended--
            (1) by striking subsection (b) and inserting the following:
    ``(b) Enrollment Conditions.--
            ``(1) Annual enrollment.--To the maximum extent 
        practicable, the Secretary shall enroll 250,000 acres in each 
        fiscal year, with no enrollments beginning in fiscal year 2013.
            ``(2) Methods of enrollment.--
                    ``(A) In general.--Except as provided in 
                subparagraph (B), the Secretary shall enroll acreage 
                into the wetlands reserve program through the use of--
                            ``(i) permanent easements;
                            ``(ii) 30-year easements;
                            ``(iii) restoration cost-share agreements; 
                        or
                            ``(iv) any combination of the options 
                        described in clauses (i) through (iii).
                    ``(B) Acreage owned by indian tribes.--In the case 
                of acreage owned by an Indian tribe, the Secretary 
                shall enroll acreage into the wetlands reserve program 
                through the use of--
                            ``(i) a 30-year contract (the value of 
                        which shall be equivalent to the value of a 30-
                        year easement);
                            ``(ii) restoration cost-share agreements; 
                        or
                            ``(iii) any combination of the options 
                        described in clauses (i) and (ii).''; and
            (2) in subsection (c), by striking ``2007 calendar'' and 
        inserting ``2012 fiscal''.

SEC. 2322. EASEMENTS AND AGREEMENTS.

    (a) Terms of Easement.--Section 1237A(b)(2)(B) of the Food Security 
Act of 1985 (16 U.S.C. 3837a(b)(2)(B)) is amended--
            (1) in clause (i), by striking ``or'' at the end;
            (2) in clause (ii), by striking ``; and'' and inserting ``; 
        or''; and
            (3) by adding at the end the following:
                            ``(iii) to meet habitat needs of specific 
                        wildlife species; and''.
    (b) Compensation.--Section 1237A(f) of the Food Security Act of 
1985 (16 U.S.C. 3837a(f)) is amended--
            (1) in the first sentence--
                    (A) by striking ``Compensation'' and inserting the 
                following:
            ``(1) In general.--Compensation''; and
                    (B) by striking ``agreed to'' and all that follows 
                through ``encumbered by the easement'' and inserting 
                ``determined under paragraph (4)'';
            (2) in the second sentence, by striking ``Lands'' and 
        inserting the following:
            ``(2) Bids.--Land'';
            (3) by striking the third sentence and inserting the 
        following:
            ``(3) Payments.--Compensation may be provided in not more 
        than 30 annual payments of equal or unequal size, as agreed to 
        by the owner and the Secretary''; and
            (4) by adding at the end the following:
            ``(4) Method for determination of amount of compensation.--
        Effective on the date of enactment of this paragraph, the 
        Secretary shall pay the lowest amount of compensation for a 
        conservation easement, as determined by comparison of--
                    ``(A) the fair market value of the land based on--
                            ``(i) the Uniform Standards of Professional 
                        Appraisal Practices; or
                            ``(ii) an area-wide market analysis or 
                        survey, as determined by the Secretary;
                    ``(B) a geographical cap, as established through a 
                process prescribed in regulations promulgated by the 
                Secretary; and
                    ``(C) the offer made by the landowner.''.
    (c) Wetlands Reserve Enhancement Program.--Section 1237A of the 
Food Security Act of 1985 (16 U.S.C. 3837a) is amended by adding at the 
end the following:
    ``(h) Wetlands Reserve Enhancement Program.--
            ``(1) In general.--The Secretary may enter into 1 or more 
        agreements with a State (including a political subdivision or 
        agency of a State), nongovernmental organization, or Indian 
        tribe to carry out a special wetlands reserve enhancement 
        program that the Secretary determines would advance the 
        purposes of this subchapter.
            ``(2) Reserved rights.--Under the wetlands reserve 
        enhancement program, the Secretary may use unique wetlands 
        reserve agreements that may include certain compatible uses as 
        reserved rights in the warranty easement deed restriction, if 
        using those agreements is determined by the Secretary to be--
                    ``(A) consistent with the long-term wetland 
                protection and enhancement goals for which the easement 
                was established; and
                    ``(B) in accordance with a conservation plan.''.
    (d) Report.--
            (1) In general.--Not later than January 1, 2010, the 
        Secretary shall submit to the Committee on Agriculture of the 
        House of Representatives and the Committee on Agriculture, 
        Nutrition, and Forestry of the Senate a report that evaluates 
        the implications of the long-term nature of conservation 
        easements granted under section 1237A of the Food Security Act 
        of 1985 (16 U.S.C. 3837a) on resources of the Department of 
        Agriculture.
            (2) Inclusions.--The report shall include--
                    (A) data relating to the number and location of 
                conservation easements granted under that section that 
                the Secretary holds or has a significant role in 
                monitoring or managing;
                    (B) an assessment of the extent to which the 
                oversight of the conservation easement agreements 
                impacts the availability of resources, including 
                technical assistance;
                    (C) an assessment of the uses and value of 
                agreements with partner organizations; and
                    (D) any other relevant information relating to 
                costs or other effects that would be helpful to the 
                Committees.

SEC. 2323. PAYMENTS.

    Section 1237D(c) of the Food Security Act of 1985 (16 U.S.C. 
3837d(c)) is amended--
            (1) in paragraph (1)--
                    (A) by striking ``The total'' and inserting 
                ``Subject to section 1244(i), the total'';
                    (B) by striking ``easement payments'' and inserting 
                ``payments'';
                    (C) by striking ``person'' and inserting 
                ``individual''; and
                    (D) by inserting ``or under 30-year contracts or 
                restoration agreements'' before the period at the end; 
                and
            (2) in paragraph (3)--
                    (A) by striking ``Easement payments'' and inserting 
                ``Payments''; and
                    (B) by striking ``the Food, Agriculture, 
                Conservation, and Trade Act of 1990, or the 
                Agricultural Act of 1949 (7 U.S.C. 1421 et seq.)'' and 
                inserting ``the Federal Agriculture Improvement and 
                Reform Act of 1996 (Public Law 104-127; 110 Stat. 888), 
                or the Farm Security and Rural Investment Act of 2002 
                (Public Law 107-171; 116 Stat. 134)''.

             Subchapter D--Healthy Forests Reserve Program

SEC. 2331. HEALTHY FORESTS RESERVE PROGRAM.

    (a) In General.--Chapter 1 of subtitle D of title XII of the Food 
Security Act of 1985 (16 U.S.C. 3831 et seq.) is amended by adding at 
the end the following:

            ``Subchapter D--Healthy Forests Reserve Program

``SEC. 1237M. ESTABLISHMENT OF HEALTHY FORESTS RESERVE PROGRAM.

    ``(a) Establishment.--The Secretary shall establish the healthy 
forests reserve program for the purpose of restoring and enhancing 
forest ecosystems--
            ``(1) to promote the recovery of threatened and endangered 
        species;
            ``(2) to improve biodiversity; and
            ``(3) to enhance carbon sequestration.
    ``(b) Coordination.--The Secretary shall carry out the healthy 
forests reserve program in coordination with the Secretary of the 
Interior and the Secretary of Commerce.

``SEC. 1237N. ELIGIBILITY AND ENROLLMENT OF LANDS IN PROGRAM.

    ``(a) In General.--The Secretary, in coordination with the 
Secretary of the Interior and the Secretary of Commerce, shall describe 
and define forest ecosystems that are eligible for enrollment in the 
healthy forests reserve program.
    ``(b) Eligibility.--To be eligible for enrollment in the healthy 
forests reserve program, land shall be--
            ``(1) private land the enrollment of which will restore, 
        enhance, or otherwise measurably increase the likelihood of 
        recovery of a species listed as endangered or threatened under 
        section 4 of the Endangered Species Act of 1973 (16 U.S.C. 
        1533); and
            ``(2) private land the enrollment of which will restore, 
        enhance, or otherwise measurably improve the well-being of 
        species that--
                    ``(A) are not listed as endangered or threatened 
                under section 4 of the Endangered Species Act of 1973 
                (16 U.S.C. 1533); but
                    ``(B) are candidates for such listing, State-listed 
                species, or special concern species.
    ``(c) Other Considerations.--In enrolling land that satisfies the 
criteria under subsection (b), the Secretary shall give additional 
consideration to land the enrollment of which will--
            ``(1) improve biological diversity; and
            ``(2) increase carbon sequestration.
    ``(d) Enrollment by Willing Owners.--The Secretary shall enroll 
land in the healthy forests reserve program only with the consent of 
the owner of the land.
    ``(e) Methods of Enrollment.--
            ``(1) In general.--Land may be enrolled in the healthy 
        forests reserve program in accordance with--
                    ``(A) a 10-year cost-share agreement;
                    ``(B) a 30-year easement; or
                    ``(C) a permanent easement.
            ``(2) Proportion.--The extent to which each enrollment 
        method is used shall be based on the approximate proportion of 
        owner interest expressed in that method in comparison to the 
        other methods.
            ``(3) Acreage owned by indian tribes.--In the case of 
        acreage owned by an Indian tribe, the Secretary may enroll 
        acreage into the healthy forests reserve program through the 
        use of--
                    ``(A) a 30-year contract (the value of which shall 
                be equivalent to the value of a 30-year easement);
                    ``(B) a 10-year cost-share agreement; or
                    ``(C) any combination of the options described in 
                subparagraphs (A) and (B).
    ``(f) Enrollment Priority.--
            ``(1) Species.--The Secretary shall give priority to the 
        enrollment of land that provides the greatest conservation 
        benefit to--
                    ``(A) primarily, species listed as endangered or 
                threatened under section 4 of the Endangered Species 
                Act of 1973 (16 U.S.C. 1533); and
                    ``(B) secondarily, species that--
                            ``(i) are not listed as endangered or 
                        threatened under section 4 of the Endangered 
                        Species Act of 1973 (16 U.S.C. 1533); but
                            ``(ii) are candidates for such listing, 
                        State-listed species, or special concern 
                        species.
            ``(2) Cost-effectiveness.--The Secretary shall also 
        consider the cost-effectiveness of each agreement or easement, 
        and associated restoration plans, so as to maximize the 
        environmental benefits per dollar expended.

``SEC. 1237O. RESTORATION PLANS.

    ``(a) In General.--Land enrolled in the healthy forests reserve 
program shall be subject to a restoration plan, to be developed jointly 
by the landowner and the Secretary, in coordination with the Secretary 
of Interior.
    ``(b) Practices.--The restoration plan shall require such 
restoration practices as are necessary to restore and enhance habitat 
for--
            ``(1) species listed as endangered or threatened under 
        section 4 of the Endangered Species Act of 1973 (16 U.S.C. 
        1533); and
            ``(2) animal or plant species before the species reach 
        threatened or endangered status, such as candidate, State-
        listed species, and special concern species.

``SEC. 1237P. FINANCIAL ASSISTANCE.

    ``(a) Permanent Easements.--In the case of land enrolled in the 
healthy forests reserve program using a permanent easement, the 
Secretary shall pay to the owner of the land an amount equal to not 
less than 75 percent, nor more than 100 percent, of (as determined by 
the Secretary)--
            ``(1) the fair market value of the enrolled land during the 
        period the land is subject to the easement, less the fair 
        market value of the land encumbered by the easement; and
            ``(2) the actual costs of the approved conservation 
        practices or the average cost of approved practices carried out 
        on the land during the period in which the land is subject to 
        the easement.
    ``(b) 30-Year Easement or Contract.--In the case of land enrolled 
in the healthy forests reserve program using a 30-year easement or 
contract, the Secretary shall pay the owner of the land an amount equal 
to not more than (as determined by the Secretary)--
            ``(1) 75 percent of the fair market value of the land, less 
        the fair market value of the land encumbered by the easement or 
        contract; and
            ``(2) 75 percent of the actual costs of the approved 
        conservation practices or 75 percent of the average cost of 
        approved practices.
    ``(c) 10-Year Agreement.--In the case of land enrolled in the 
healthy forests reserve program using a 10-year cost-share agreement, 
the Secretary shall pay the owner of the land an amount equal to not 
more than (as determined by the Secretary)--
            ``(1) 50 percent of the actual costs of the approved 
        conservation practices; or
            ``(2) 50 percent of the average cost of approved practices.
    ``(d) Acceptance of Contributions.--The Secretary may accept and 
use contributions of non-Federal funds to make payments under this 
section.

``SEC. 1237Q. TECHNICAL ASSISTANCE.

    ``(a) In General.--The Secretary shall provide landowners with 
technical assistance to assist the owners in complying with the terms 
of plans (as included in agreements or easements) under the healthy 
forests reserve program.
    ``(b) Technical Service Providers.--The Secretary may request the 
services of, and enter into cooperative agreements with, individuals or 
entities certified as technical service providers under section 1242, 
to assist the Secretary in providing technical assistance necessary to 
develop and implement the healthy forests reserve program.

``SEC. 1237R. PROTECTIONS AND MEASURES.

    ``(a) Protections.--In the case of a landowner that enrolls land in 
the program and whose conservation activities result in a net 
conservation benefit for listed, candidate, or other species, the 
Secretary shall make available to the landowner safe harbor or similar 
assurances and protection under--
            ``(1) section 7(b)(4) of the Endangered Species Act of 1973 
        (16 U.S.C. 1536(b)(4)); or
            ``(2) section 10(a)(1) of that Act (16 U.S.C. 1539(a)(1)).
    ``(b) Measures.--If protection under subsection (a) requires the 
taking of measures that are in addition to the measures covered by the 
applicable restoration plan agreed to under section 1237O, the cost of 
the additional measures, as well as the cost of any permit, shall be 
considered part of the restoration plan for purposes of financial 
assistance under section 1237P.

``SEC. 1237S. INVOLVEMENT BY OTHER AGENCIES AND ORGANIZATIONS.

    ``In carrying out this subchapter, the Secretary may consult with--
            ``(1) nonindustrial private forest landowners;
            ``(2) other Federal agencies;
            ``(3) State fish and wildlife agencies;
            ``(4) State forestry agencies;
            ``(5) State environmental quality agencies;
            ``(6) other State conservation agencies; and
            ``(7) nonprofit conservation organizations.

``SEC. 1237T. AUTHORIZATION OF APPROPRIATIONS.

    ``There are authorized to be appropriated to carry out this 
subchapter such sums as are necessary for each of fiscal years 2008 
through 2012.''.
    (b) Conforming Amendments.--The Healthy Forests Restoration Act of 
2003 (16 U.S.C. 6501 et seq.) is amended--
            (1) by striking title V (16 U.S.C. 6571 et seq.); and
            (2) by redesignating title VI and section 601 (16 U.S.C. 
        6591) as title V and section 501, respectively.

        CHAPTER 2--COMPREHENSIVE STEWARDSHIP INCENTIVES PROGRAM

                    Subchapter A--General Provisions

SEC. 2341. COMPREHENSIVE STEWARDSHIP INCENTIVES PROGRAM.

    Subtitle D of title XII of the Food Security Act of 1985 (16 U.S.C. 
3830 et seq.) is amended by adding at the end the following:

       ``CHAPTER 6--COMPREHENSIVE STEWARDSHIP INCENTIVES PROGRAM

      ``Subchapter A--Comprehensive Stewardship Incentives Program

``SEC. 1240T. COMPREHENSIVE STEWARDSHIP INCENTIVES PROGRAM.

    ``(a) Establishment.--
            ``(1) In general.--The Secretary shall establish a 
        comprehensive stewardship incentives program (referred to in 
        this chapter as `CSIP') to--
                    ``(A) promote coordinated efforts within 
                conservation programs in this chapter to address 
                resources of concern, as identified at the local level;
                    ``(B) encourage the adoption of conservation 
                practices, activities and management measures; and
                    ``(C) promote agricultural production and 
                environmental quality as compatible goals.
            ``(2) Means.--The Secretary shall carry out CSIP by--
                    ``(A) identifying resources of concern at a local 
                level as described in subsection (b)(4);
                    ``(B) entering into contracts with owners and 
                operators of agricultural and nonindustrial private 
                forest land to--
                            ``(i) address natural resource concerns;
                            ``(ii) meet regulatory requirements; or
                            ``(iii) achieve and maintain new 
                        conservation practices, activities and 
                        management measures; and
                    ``(C) providing technical assistance.
            ``(3) Programs.--CSIP shall consist of--
                    ``(A) the conservation stewardship program; and
                    ``(B) the environmental quality incentives program.
            ``(4) Definition of resource of concern.--In this chapter, 
        the term `resource of concern' means--
                    ``(A) a specific resource concern on agricultural 
                or nonindustrial private forest land that--
                            ``(i) is identified by the Secretary in 
                        accordance with subsection (b)(4);
                            ``(ii) represents a significant 
                        conservation concern in the State to which 
                        agricultural activities are contributing; and
                            ``(iii) is likely to be addressed 
                        successfully through the implementation of 
                        conservation practices, activities, and 
                        management measures by owners and operators of 
                        agricultural and nonindustrial private forest 
                        land; or
                    ``(B) a specific resource concern on agricultural 
                or nonindustrial private forest land that is the 
                subject of mandatory environmental requirements that 
                apply to a producer under Federal, State, or local law.
    ``(b) Administration.--
            ``(1) In general.--In carrying out CSIP, the Secretary 
        shall ensure that the conservation programs under this chapter 
        are managed in a coordinated manner.
            ``(2) Plans.--The Secretary shall, to the maximum extent 
        practicable, avoid duplication in the conservation plans 
        required under this chapter and comparable conservation and 
        regulatory programs, including a permit acquired under an 
        approved water or air quality regulatory program.
            ``(3) Tenant protection.--The Secretary shall provide 
        adequate safeguards to protect the interests of tenants and 
        sharecroppers, including provision for sharing, on a fair and 
        equitable basis, in payments under the programs established 
        under this chapter.
            ``(4) Identification of resources of concern.--
                    ``(A) In general.--The Secretary shall ensure that 
                resources of concern are identified at the State level 
                in consultation with the State Technical Committee.
                    ``(B) Limitation.--The Secretary shall identify not 
                more than 5 resources of concern in a particular 
                watershed or other appropriate region or area within a 
                State.
            ``(5) Regulations.--Not later than 180 days after the date 
        of enactment of the Food and Energy Security Act of 2007 the 
        Secretary shall issue regulations to implement the programs 
        established under this chapter.

            ``Subchapter B--Conservation Stewardship Program

``SEC. 1240U. PURPOSES.

    ``The purpose of the conservation stewardship program is to promote 
agricultural production and environmental quality as compatible goals, 
and to optimize environmental benefits, by assisting producers--
            ``(1) in promoting conservation and improving resources of 
        concern (including soil, water, and energy conservation, soil, 
        water, and air quality, biodiversity, fish, wildlife and 
        pollinator habitat, and related resources of concern, as 
        defined by the Secretary) by providing flexible assistance to 
        install, improve, and maintain conservation systems, practices, 
        activities, and management measures on agricultural land 
        (including cropland, grazing land, and wetland) while 
        sustaining production of food and fiber;
            ``(2) in making beneficial, cost-effective changes to 
        conservation systems, practices, activities, and management 
        measures carried out on agricultural and forest land relating 
        to--
                    ``(A) cropping systems;
                    ``(B) grazing management systems;
                    ``(C) nutrient management associated with livestock 
                and crops;
                    ``(D) forest management;
                    ``(E) fuels management;
                    ``(F) integrated pest management;
                    ``(G) irrigation management;
                    ``(H) invasive species management;
                    ``(I) energy conservation; or
                    ``(J) other management-intensive issues;
            ``(3) in complying with Federal, State, tribal, and local 
        requirements concerning--
                    ``(A) soil, water, and air quality;
                    ``(B) fish, wildlife, and pollinator habitat; and
                    ``(C) surface water and groundwater conservation;
            ``(4) in avoiding, to the maximum extent practicable, the 
        need for resource and regulatory programs by protecting 
        resources of concern and meeting environmental quality criteria 
        established by Federal, State, tribal, and local agencies; and
            ``(5) by encouraging, consolidating, and streamlining 
        conservation planning and regulatory compliance processes to 
        reduce administrative burdens on producers and the cost of 
        achieving environmental goals.

``SEC. 1240V. DEFINITIONS.

    ``In this chapter:
            ``(1) Comprehensive conservation plan.--The term 
        `comprehensive conservation plan' means a plan produced by 
        following the planning process outlined in the applicable 
        National Planning Procedures Handbook of the Department of 
        Agriculture with regard to all applicable resources of concern.
            ``(2) Contract offer.--The term `contract offer' means an 
        application submitted by a producer that seeks to address 1 or 
        more resources of concern with the assistance of the program.
            ``(3) Enhancement payment.--The term `enhancement payment' 
        means a payment described in section 1240X(d).
            ``(4) Eligible land.--The term `eligible land' means land 
        described in section 1240X(b).
            ``(5) Livestock.--The term `livestock' means dairy cattle, 
        beef cattle, laying hens, broilers, turkeys, swine, sheep, 
        goats, ducks, ratites, shellfish, alpacas, bison, catfish, 
        managed pollinators, and such other animals and fish as are 
        determined by the Secretary.
            ``(6) Management intensity.--The term `management 
        intensity' means the degree, scope, and comprehensiveness of 
        conservation systems, practices, activities, or management 
        measures adopted by a producer to improve and sustain the 
        condition of a resource of concern.
            ``(7) Payment.--The term `payment' means financial 
        assistance provided to a producer under the program to 
        compensate the producers for incurred costs associated with 
        planning, materials, installation, labor, management, 
        maintenance, technical assistance, and training, the value of 
        risk, and income forgone by the producer, as applicable, 
        including--
                    ``(A) enhancement payments;
                    ``(B) CSP supplemental payments; and
                    ``(C) other payments provided under this chapter.
            ``(8) Practice.--
                    ``(A) In general.--The term `practice' means 1 or 
                more measures that improve or sustain a resource of 
                concern.
                    ``(B) Inclusions.--The term `practice' includes--
                            ``(i) structural measures, vegetative 
                        measures, and land management measures, as 
                        determined by the Secretary; and
                            ``(ii) planning activities needed to 
                        improve or sustain a resource of concern, 
                        including implementation of--
                                    ``(I) a comprehensive conservation 
                                plan; and
                                    ``(II) a comprehensive nutrient 
                                management plan.
            ``(9) Producer.--The term `producer' means an individual 
        who is an owner, operator, landlord, tenant, or sharecropper 
        that--
                    ``(A) derives income from, and controls, the 
                production or management of an agricultural commodity, 
                livestock, or nonindustrial forest land regardless of 
                ownership;
                    ``(B) shares in the risk of producing any crop or 
                livestock; and
                    ``(C)(i) is entitled to share in the crop or 
                livestock available for marketing from a farm (or would 
                have shared had the crop or livestock been produced); 
                or
                    ``(ii) is a custom feeder or contract grower.
            ``(10) Program.--The term `program' means the conservation 
        stewardship program established under this chapter.
            ``(11) Resource-conserving crop.--The term `resource-
        conserving crop' means--
                    ``(A) a perennial grass;
                    ``(B) a legume grown for use as forage, seed for 
                planting, or green manure;
                    ``(C) a legume-grass mixture;
                    ``(D) a small grain grown in combination with a 
                grass or legume, whether interseeded or planted in 
                succession;
                    ``(E) a winter annual oilseed crop that provides 
                soil protection; and
                    ``(F) such other plantings as the Secretary 
                determines to be appropriate for a particular area.
            ``(12) Resource-conserving crop rotation.--The term 
        `resource-conserving crop rotation' means a crop rotation 
        that--
                    ``(A) includes at least 1 resource-conserving crop;
                    ``(B) reduces erosion;
                    ``(C) improves soil fertility and tilth;
                    ``(D) interrupts pest cycles; and
                    ``(E) in applicable areas, reduces depletion of 
                soil moisture (or otherwise reduces the need for 
                irrigation).
            ``(13) Resource-specific indices.--The term `resource-
        specific indices' means indices developed by the Secretary that 
        measure or estimate the expected level of resource and 
        environmental outcomes of the conservation systems, practices, 
        activities, and management measures employed by a producer to 
        address a resource of concern on an agricultural operation.
            ``(14) Stewardship contract.--The term `stewardship 
        contract' means a contract entered into under the conservation 
        stewardship program to carry out the programs and activities 
        described in this chapter.
            ``(15) Stewardship threshold.--The term `stewardship 
        threshold' means the level of natural resource conservation and 
        environmental management required, as determined by the 
        Secretary--
                    ``(A) to maintain, conserve, and improve the 
                quality or quantity of a resource of concern reflecting 
                at a minimum, the resource management system quality 
                criteria described in the handbooks of the Natural 
                Resource Conservation Service, if available and 
                appropriate; or
                    ``(B) in the case of a resource of concern that is 
                the subject of a Federal, State, or local regulatory 
                requirement, to meet the higher of--
                            ``(i) the standards that are established by 
                        the requirement for the resource of concern; or
                            ``(ii) standards reflecting the resource 
                        management system quality criteria described in 
                        the handbooks of the Natural Resource 
                        Conservation Service, if available and 
                        appropriate.

``SEC. 1240W. ESTABLISHMENT OF PROGRAM.

    ``The Secretary shall establish and, for each of fiscal years 2008 
through 2012, carry out a conservation stewardship program to assist 
producers in improving environmental quality by addressing resources of 
concern in a comprehensive manner through--
            ``(1) the addition of conservation systems, practices, 
        activities, and management measures; and
            ``(2) the active management, maintenance, and improvement 
        of existing, and adoption of new, conservation systems, 
        practices, activities, and management measures.

``SEC. 1240X. ELIGIBILITY.

    ``(a) Eligible Producers.--
            ``(1) General program eligibility.--To be eligible to 
        participate in the conservation stewardship program, a producer 
        shall--
                    ``(A) submit to the Secretary for approval a 
                contract offer to participate in the program;
                    ``(B) agree to receive technical services, either 
                directly from the Secretary or, at the option of the 
                producer, from an approved third party under section 
                1242(b)(3);
                    ``(C) enter into a contract with the Secretary, as 
                described in subsection (c); and
                    ``(D) demonstrate to the satisfaction of the 
                Secretary that the producer--
                            ``(i) is addressing resources of concern 
                        relating to both soil and water to at least the 
                        stewardship threshold; and
                            ``(ii) is adequately addressing other 
                        resources of concern applicable to the 
                        agricultural operation, as determined by the 
                        Secretary.
    ``(b) Eligible Land.--
            ``(1) In general.--Except as provided in paragraph (2), 
        private agricultural land that is eligible for enrollment in 
        the program includes--
                    ``(A) cropland (including vineyards and orchards);
                    ``(B) pasture land;
                    ``(C) rangeland;
                    ``(D) other agricultural land used for the 
                production of livestock;
                    ``(E) land used for agroforestry;
                    ``(F) land used for aquaculture;
                    ``(G) riparian areas adjacent to otherwise eligible 
                land;
                    ``(H) land under the jurisdiction of an Indian 
                tribe (as determined by the Secretary);
                    ``(I) public land, if failure to enroll the land in 
                the program would defeat the purposes of the program on 
                private land that is an integral part of the operation 
                enrolled or offered to be enrolled in the program by 
                the producer;
                    ``(J) State and school owned land that is under the 
                effective control of a producer; and
                    ``(K) other agricultural land (including cropped 
                woodland and marshes) that the Secretary determines is 
                vulnerable to serious threats to resources of concern.
            ``(2) Exclusions.--
                    ``(A) Land enrolled in other conservation 
                programs.--The following land is not eligible for 
                enrollment in the program:
                            ``(i) Land enrolled in the conservation 
                        reserve program under subchapter B of chapter 
                        1.
                            ``(ii) Land enrolled in the wetlands 
                        reserve program established under subchapter C 
                        of chapter 1.
                    ``(B) Conversion to cropland.--With regard to the 
                program, land used for crop production after May 13, 
                2002, that had not been planted, considered to be 
                planted, or devoted to crop production for at least 4 
                of the 6 years preceding that date (except for land 
                enrolled in the conservation reserve program or that 
                has been maintained using long-term crop rotation 
                practices, as determined by the Secretary) shall not be 
                the basis for any payment under the program.
            ``(3) Economic uses.--The Secretary shall not restrict 
        economic uses of land covered by a program contract (including 
        buffers and other partial field conservation practices) that 
        comply with the agreement and comprehensive conservation plan, 
        or other applicable law.
    ``(c) Contract Requirements and Provisions.--
            ``(1) In general.--After a determination by the Secretary 
        that a producer is eligible to participate in the program, and 
        on acceptance of the contract offer of the producer, the 
        Secretary shall enter into a contract with the producer to 
        enroll the land to be covered by the contract.
            ``(2) Agricultural operations.--All acres of all 
        agricultural operations, whether or not contiguous, that are 
        under the effective control of a producer within a particular 
        watershed or region (or in a contiguous watershed or region) of 
        a State and constitute a cohesive management unit, as 
        determined by the Secretary, at the time the producer enters 
        into a stewardship contract shall be covered by the stewardship 
        contract, other than land the producer has enrolled in the 
        conservation reserve program or the wetlands reserve program.
            ``(3) Resources of concern.--Each stewardship contract 
        shall, at a minimum, meet or exceed the stewardship threshold 
        for at least 1 additional resource of concern by the end of the 
        stewardship contract through--
                    ``(A) the installation and adoption of additional 
                conservation systems, practices, activities, or 
                management measures; and
                    ``(B) the active management and improvement of 
                conservation systems, practices, activities, and 
                management measures in place at the operation of the 
                producer at the time the contract offer is accepted by 
                the Secretary.
            ``(4) Terms.--A contract entered into under paragraph (1) 
        shall--
                    ``(A) describe the land covered by the contract;
                    ``(B) describe the practices or technical services 
                from an approved third party, to be implemented on 
                eligible land of the producer;
                    ``(C) state the amount of payments (determined in 
                accordance with subsection (f)) the Secretary agrees to 
                make to the producer each year of the contract;
                    ``(D) describe existing conservation systems, 
                practices, activities, and management measures the 
                producer agrees to maintain, manage, and improve during 
                the term of the stewardship contract in order to meet 
                and exceed the appropriate stewardship threshold for 
                the resources of concern;
                    ``(E) describe the additional conservation systems, 
                practices, activities, and management measures the 
                producer agrees to plan, install, maintain, and manage 
                during the term of the stewardship contract in order to 
                meet and exceed the appropriate stewardship threshold 
                for the appropriate resource or resources of concern;
                    ``(F) if applicable, describe the on-farm 
                conservation research, demonstration, training, or 
                pilot project activities the producer agrees to 
                undertake during the term of the contract;
                    ``(G) if applicable, describe the on-farm 
                monitoring and evaluation activities the producer 
                agrees to undertake during the term of the contract 
                relating to--
                            ``(i) a comprehensive conservation plan; or
                            ``(ii) conservation systems, practices, 
                        activities, and management measures; and
                    ``(H) include such other provisions as the 
                Secretary determines are necessary to ensure that the 
                purposes of the program are achieved.
            ``(5) On-farm research, demonstration, training, or pilot 
        projects.--The Secretary may approve a stewardship contract 
        that includes--
                    ``(A) on-farm conservation research, demonstration, 
                and training activities; and
                    ``(B) pilot projects for evaluation of new 
                technologies or innovative conservation practices.
            ``(6) Duration.--A contract under this chapter shall have a 
        term of 5 years.
            ``(7) Evaluation of contract offers.--In evaluating 
        contract offers made by producers to enter into contracts under 
        the program, the Secretary shall--
                    ``(A) prioritize applications based on--
                            ``(i) the level of conservation treatment 
                        on all resources of concern at the time of 
                        application, based on the initial scores 
                        received by the producer on applicable 
                        resource-specific indices;
                            ``(ii) the degree to which the proposed 
                        conservation treatment effectively increases 
                        the level of performance on applicable 
                        resource-specific indices or the level of 
                        management intensity with which the producer 
                        addresses the designated resources of concern;
                            ``(iii) the extent to which all resources 
                        of concern will exceed the stewardship 
                        threshold level by the end of the contract 
                        period;
                            ``(iv) the extent to which resources of 
                        concern in addition to resources of concern 
                        will be addressed to meet and exceed the 
                        stewardship threshold level by the end of the 
                        contract period;
                            ``(v) the extent to which the producer 
                        proposes to address the goals and objectives of 
                        State, regional, and national fish and wildlife 
                        conservation plans and initiatives;
                            ``(vi) whether the proposed conservation 
                        treatment reflects the multiple natural 
                        resource and environmental benefits of 
                        conservation-based farming systems, including 
                        resource-conserving crop rotations, advanced 
                        integrated pest management, and managed 
                        rotational grazing; and
                            ``(vii) whether the application includes 
                        land transitioning out of the conservation 
                        reserve program, on the condition that the land 
                        is maintained in a grass-based system and would 
                        help meet habitat needs for fish and wildlife;
                    ``(B) evaluate the extent to which the anticipated 
                environmental benefits from the contract would be 
                provided in the most cost-effective manner, relative to 
                other similarly beneficial contract offers;
                    ``(C) reward higher levels of environmental 
                performance and management intensity;
                    ``(D) develop criteria for use in evaluating 
                applications that will ensure that national, State, and 
                local conservation priorities are effectively 
                addressed;
                    ``(E) evaluate the extent to which the 
                environmental benefits expected to result from the 
                contract complement other conservation efforts in the 
                watershed or region; and
                    ``(F) provide opportunities to agricultural 
                producers that have not previously participated in 
                Federal conservation programs, including beginning 
                farmers and ranchers and socially disadvantaged farmers 
                and ranchers.
            ``(8) Termination of contracts.--
                    ``(A) In general.--
                            ``(i) Voluntary termination.--The producer 
                        may terminate a contract entered into with the 
                        Secretary under this chapter if the Secretary 
                        determines that the termination is in the 
                        public interest.
                            ``(ii) Involuntary termination.--The 
                        Secretary may terminate a contract under this 
                        chapter if the Secretary determines that the 
                        producer violated the contract.
                    ``(B) Repayment.--If a contract is terminated, the 
                Secretary may--
                            ``(i) allow the producer to retain payments 
                        already received under the contract if--
                                    ``(I) the producer has complied 
                                with the terms and conditions of the 
                                contract; and
                                    ``(II) the Secretary determines 
                                that allowing the producer to retain 
                                the payments is consistent with the 
                                purposes of the program;
                            ``(ii) require repayment, in whole or in 
                        part, of payments already received; and
                            ``(iii) assess liquidated damages, if doing 
                        so is consistent with the purposes of the 
                        program.
                    ``(C) Transfer or change of interest in land 
                subject to a contract.--
                            ``(i) In general.--Except as provided in 
                        clause (ii), the transfer, or change in the 
                        interest, of a producer in land subject to a 
                        contract under this chapter shall result in the 
                        termination of the contract.
                            ``(ii) Transfer of duties and rights.--
                        Clause (i) shall not apply if--
                                    ``(I) within a reasonable period of 
                                time (as determined by the Secretary) 
                                after the date of the transfer or 
                                change in the interest in land, the 
                                transferee of the land provides written 
                                notice to the Secretary that all duties 
                                and rights under the contract have been 
                                transferred to, and assumed by, the 
                                transferee; and
                                    ``(II) the transferee meets the 
                                eligibility requirements of this 
                                subchapter.
            ``(9) Modification.--
                    ``(A) In general.--The Secretary may allow a 
                producer to modify a contract before the expiration of 
                the contract if the Secretary determines that failure 
                to modify the contract would significantly interfere 
                with achieving the purposes of the program.
                    ``(B) Participation in other programs.--If 
                appropriate payment reductions and other adjustments 
                (as determined by the Secretary) are made to the 
                contract of a producer, the producer may remove land 
                enrolled in the conservation stewardship program for 
                enrollment in the conservation reserve program, 
                wetlands reserve program, or other conservation 
                programs, as determined by the Secretary.
                    ``(C) Changes in size of operation.--The Secretary 
                shall allow a producer to modify a stewardship contract 
                before the expiration of the stewardship contract if 
                the agricultural operation of the producer has reduced 
                or enlarged in size to reflect the new acreage total.
                    ``(D) New acreage.--With respect to acreage added 
                to the agricultural operation of a producer after 
                entering into a stewardship contract, a producer may 
                elect to not add the acreage to the stewardship 
                contract during the term of the current stewardship 
                contract, except that such additional acreage shall be 
                included in any contract renewal.
                    ``(E) Changes in production.--The Secretary shall 
                allow a producer to modify a stewardship contract 
                before the expiration of the stewardship contract if--
                            ``(i) the producer has a change in 
                        production that requires a change to scheduled 
                        conservation practices and activities; and
                            ``(ii) the Secretary determines that--
                                    ``(I) all relevant conservation 
                                standards will be maintained or 
                                improved; and
                                    ``(II) there is no increase in 
                                total payment under the stewardship 
                                contract.
            ``(10) Effect of noncompliance due to circumstances beyond 
        the control of producer.--The Secretary shall include in each 
        contract a provision to ensure that a producer shall not be 
        considered in violation of the contract for failure to comply 
        with the contract due to circumstances beyond the control of 
        the producer, including a disaster or related weather, pest, 
        disease, or other similar condition, as determined by the 
        Secretary.
            ``(11) Coordination with organic certification.--
                    ``(A) In general.--Not later than 180 days after 
                the date of enactment of this chapter, the Secretary 
                shall establish a transparent and producer-friendly 
                means by which producers may coordinate and 
                simultaneously certify eligibility under--
                            ``(i) a stewardship contract; and
                            ``(ii) the national organic production 
                        program established under the Organic Foods 
                        Production Act of 1990 (7 U.S.C. 6501 et seq.).
                    ``(B) Programmatic considerations.--The Secretary 
                shall identify and implement programmatic 
                considerations, including conservation systems, 
                practices, activities, and management measures, 
                technical assistance, evaluation of contract offers, 
                enhancement payments, on-farm research, demonstration, 
                training, and pilot projects, and data management, 
                through which to maximize the purposes of the program 
                by enrolling producers who are certified under the 
                national organic production program established under 
                the Organic Foods Production Act of 1990 (7 U.S.C. 6501 
                et seq.).
            ``(12) Renewal.--At the end of a stewardship contract of a 
        producer, the Secretary shall allow the producer to renew the 
        stewardship contract for an additional 5-year period if the 
        producer--
                    ``(A) demonstrates compliance with the terms of the 
                existing contract, including a demonstration that the 
                producer has complied with the schedule for the 
                implementation of additional conservation systems, 
                practices, activities, and management measures included 
                in the stewardship contract and is addressing the 
                designated resources of concern to a level that meets 
                and exceeds the stewardship threshold; and
                    ``(B) agrees to implement and maintain such 
                additional conservation practices and activities as the 
                Secretary determines to be necessary and feasible to 
                achieve higher levels of performance on applicable 
                resource-specific indices or higher levels of 
                management intensity with which the producer addresses 
                the resources of concern.
    ``(d) Enhancement Payments.--
            ``(1) Lower payments.--In evaluating applications and 
        making payments under this chapter, the Secretary shall not 
        assign a higher priority to any application because the 
        applicant is willing to accept a lower payment than the 
        applicant would otherwise be entitled to receive.
            ``(2) Evaluation of contract offers.--Nothing in this 
        subsection relieves the Secretary of the obligation, in 
        evaluating applications for payments, to evaluate and 
        prioritize the applications in accordance with subsection 
        (e)(4)), including the requirement for contracts to be cost-
        effective.
            ``(3) Lowest-cost alternatives.--In determining the 
        eligibility of a conservation system, practice, activity, or 
        management measure for a payment under this subsection, the 
        Secretary shall require, to the maximum extent practicable, 
        that the lowest-cost alternatives be used to achieve the 
        purposes of the contract, as determined by the Secretary.
            ``(4) Method of payment.--Payments under this subsection 
        shall be made in such amounts and in accordance with such time 
        schedule as is agreed on and specified in the contract.
            ``(5) Activities qualifying for payments.--
                    ``(A) In general.--To receive an enhancement 
                payment under this subsection, a producer shall agree--
                            ``(i) to implement additional conservation 
                        systems, practices, activities, and management 
                        measures and maintain, manage, and improve 
                        existing conservation systems, practices, 
                        activities, and management measures in order to 
                        maintain and improve the level of performance 
                        of the producer, as determined by applicable 
                        resource-specific indices, or the level of 
                        management intensity of the producer with 
                        respect to resources of concern in order to 
                        meet and exceed the stewardship threshold for 
                        resources of concern; and
                            ``(ii) to maintain, and make available to 
                        the Secretary at such times as the Secretary 
                        may request, appropriate records demonstrating 
                        the effective and timely implementation of the 
                        stewardship contract.
                    ``(B) Compensation.--Subject to subparagraph (C), 
                the Secretary shall provide an enhancement payment to a 
                producer to compensate the producer for--
                            ``(i) ongoing implementation, active 
                        management, and maintenance of conservation 
                        systems, practices, activities, and management 
                        measures in place on the operation of the 
                        producer at the time the contract offer of the 
                        producer is accepted; and
                            ``(ii) installation and adoption of 
                        additional conservation systems, practices, 
                        activities, and management measures or 
                        improvements to conservation systems, 
                        practices, activities, and management measures 
                        in place on the operation of the producer at 
                        the time the contract offer is accepted.
                    ``(C) Adjustments.--A payment under subparagraph 
                (B) shall be adjusted to reflect--
                            ``(i) management intensity; or
                            ``(ii) resource-specific indices, in a case 
                        in which those indices have been developed and 
                        implemented.
                    ``(D) On-farm research, demonstration, training, 
                and pilot project payments.--The Secretary shall 
                provide an additional enhancement payment to a producer 
                who opts to participate as part of the stewardship 
                contract in an on-farm conservation research, 
                demonstration, training or pilot project certified by 
                the Secretary to compensate the producer for the cost 
                of participation.
                    ``(E) Restriction on structural practices.--For 
                purposes of the conservation stewardship program, 
                structural practices shall be eligible for payment only 
                if the structural practices are integrated with and 
                essential to support site-specific management 
                activities that are part of an implemented management 
                system designed to address 1 or more resources of 
                concern.
            ``(6) Exclusions.--An enhancement payment to a producer 
        under this subsection shall not be provided for the design, 
        construction, or maintenance of animal waste storage or 
        treatment facilities or associated waste transport or transfer 
        devices for animal feeding operations.
            ``(7) Timing of payments.--
                    ``(A) In general.--The Secretary shall make 
                enhancement payments as soon as practicable after 
                October 1 of each fiscal year.
                    ``(B) Additional systems, practices, activities, 
                and management measures.--The Secretary shall make 
                enhancement payments to compensate producers for 
                installation and adoption of additional conservation 
                systems, practices, activities, and management measures 
                or improvements to existing conservation systems, 
                practices, activities, and management measures at the 
                time at which the systems, practices, activities, and 
                measures or improvements are installed and adopted.
            ``(8) Research, demonstration, training, and pilot project 
        payment limitations.--An enhancement payment for research, 
        demonstration, training and pilot projects may not exceed 
        $25,000 for each 5-year term of the stewardship contract 
        (excluding funding arrangements with federally recognized 
        Indian tribes or Alaska Native Corporations).
    ``(e) CSP Supplemental Payments.--
            ``(1) In general.--The Secretary shall provide additional 
        payments to producers that, in participating in the 
        conservation stewardship program, agree to adopt resource-
        conserving crop rotations to achieve optimal crop rotations as 
        appropriate for the land of the producers.
            ``(2) Optimal crop rotations.--The Secretary shall 
        determine whether a resource-conserving crop rotation is an 
        optimal crop rotation eligible for additional payments under 
        paragraph (1), based on whether the resource-conserving crop 
        rotation is designed to optimize natural resource conservation 
        and production benefits, including--
                    ``(A) increased efficiencies in pesticide, 
                fertilizer, and energy use; and
                    ``(B) improved disease management.
            ``(3) Eligibility.--To be eligible to receive a payment 
        described in paragraph (1), a producer shall agree to adopt and 
        maintain optimal resource-conserving crop rotations for the 
        term of the contract.
            ``(4) Rate.--The Secretary shall provide payments under 
        this subsection at a rate that encourages producers to adopt 
        optimal resource-conserving crop rotations.
    ``(f) Limitation on Payments.--Subject to section 1244(i), an 
individual or entity may not receive, directly or indirectly, payments 
under this subchapter that, in the aggregate, exceed $240,000 for all 
contracts entered into under the conservation stewardship program 
during any 6-year period.
    ``(g) Duties of Producers.--In order to receive assistance under 
this chapter, a producer shall--
            ``(1) implement the terms of the contract approved by the 
        Secretary;
            ``(2) not conduct any practices on the covered land that 
        would defeat the purposes of the program;
            ``(3) on the violation of a term or condition of the 
        contract at any time the producer has control of the land--
                    ``(A) if the Secretary determines that the 
                violation warrants termination of the contract--
                            ``(i) forfeit all rights to receive 
                        payments under the contract; and
                            ``(ii) refund to the Secretary all or a 
                        portion of the payments received by the owner 
                        or operator under the contract, including any 
                        interest on the payments or liquidated damages, 
                        as determined by the Secretary;
                    ``(B) if the Secretary determines that the 
                violation does not warrant termination of the contract, 
                refund to the Secretary, or accept adjustments to, the 
                payments provided to the owner or operator, as the 
                Secretary determines to be appropriate; or
                    ``(C) comply with a combination of the remedies 
                authorized by subparagraphs (A) and (B), as the 
                Secretary determines to be appropriate;
            ``(4) on the transfer of the right and interest of the 
        producer in land subject to the contract (unless the transferee 
        of the right and interest agrees with the Secretary to assume 
        all obligations of the contract) refund any cost-share 
        payments, incentive payments, and stewardship payments received 
        under the program, as determined by the Secretary;
            ``(5) supply information as required by the Secretary to 
        determine compliance with the contract and requirements of the 
        program; and
            ``(6) comply with such additional provisions as the 
        Secretary determines are necessary to carry out the contract.
    ``(h) Duties of Secretary.--
            ``(1) In general.--To achieve the conservation and 
        environmental goals of a contract under this chapter, to the 
        extent appropriate, the Secretary shall--
                    ``(A) provide to a producer information and 
                training to aid in implementation of the conservation 
                systems, practices, activities, and management measures 
                covered by the contract;
                    ``(B) develop agreements with governmental 
                agencies, nonprofit organizations, and private entities 
                to facilitate the provision of technical and 
                administrative assistance and services;
                    ``(C) make the program available to eligible 
                producers on a continuous enrollment basis;
                    ``(D) when identifying biodiversity or fish and 
                wildlife as a resource of concern for a particular 
                watershed or other appropriate region or area within a 
                State, ensure that the identification--
                            ``(i) is specific with respect to 
                        particular species or habitat; and
                            ``(ii) would further the goals and 
                        objectives of State, regional, and national 
                        fish and wildlife conservation plans and 
                        initiatives;
                    ``(E) provide technical assistance and payments for 
                each of fiscal years 2008 through 2012;
                    ``(F) maintain contract and payment data relating 
                to the conservation stewardship program in a manner 
                that provides detailed and segmented data and allows 
                for quantification of the amount of payments made to 
                producers for--
                            ``(i) the installation and adoption of 
                        additional conservation systems, practices, 
                        activities, or management measures;
                            ``(ii) participating in research, 
                        demonstration, training, and pilot projects;
                            ``(iii) the development, monitoring, and 
                        evaluation of comprehensive conservation plans; 
                        and
                            ``(iv) the maintenance and active 
                        management of conservation systems, practices, 
                        activities, and management measures, and the 
                        improvement of conservation practices, in place 
                        on the operation of the producer on the date on 
                        which the contract offer is accepted by the 
                        Secretary;
                    ``(G) develop resource-specific indices for 
                purposes of determining eligibility and payments; and
                    ``(H) establish and publicize design protocols and 
                application procedures for individual producer and 
                collaborative on-farm research, demonstration, 
                training, and pilot projects.
            ``(2) Specialty crop producers.--The Secretary shall ensure 
        that outreach and technical assistance are available and 
        program specifications are appropriate to enable specialty crop 
        producers to participate in the conservation stewardship 
        program.
            ``(3) Additional requirements.--For the period beginning on 
        the date of enactment of this chapter and ending on September 
        30, 2017, with respect to eligible land of producers 
        participating in the program, the Secretary shall--
                    ``(A) to the maximum extent practicable, enroll an 
                additional 13,273,000 acres for each fiscal year, but 
                not to exceed 79,638,000 acres;
                    ``(B) implement the program nationwide to make the 
                program available to producers meeting the eligibility 
                requirements in each county;
                    ``(C) to the maximum extent practicable, manage the 
                program to achieve a national average annual cost per 
                acre of $19, which shall include the costs of all 
                financial assistance, technical assistance, and any 
                other expenses associated with enrollment or 
                participation in the program of those acres; and
                    ``(D) establish a minimum contract value, to ensure 
                equity for small acreage farms, including specialty 
                crop and organic producers.
    ``(i) Acre Allocation.--
            ``(1) Initial allocations to states.--In making allocations 
        of acres to States to enroll in the conservation stewardship 
        program, to the maximum extent practicable, the Secretary shall 
        allocate to each State a number of acres equal to the 
        proportion that--
                    ``(A) the number of acres of eligible land in the 
                State; bears to
                    ``(B) the number of acres of eligible land in all 
                States.
            ``(2) Minimum acre allocation.--Of the acres allocated for 
        each fiscal year, no State shall have allocated fewer than the 
        lesser of--
                    ``(A) 20,000 acres; or
                    ``(B) 2.2 percent of the number of acres of 
                eligible land in the State.
            ``(3) Reallocation to states.--For any fiscal year, acres 
        not obligated under this subsection by a date determined by the 
        Secretary through rulemaking shall be reallocated to each State 
        that--
                    ``(A) has obligated 100 percent of the initial 
                allocation of the State; and
                    ``(B) requests additional acres.

``SEC. 1240Y. REGULATIONS.

    ``Not later than 180 days after the date of enactment of this 
chapter, the Secretary shall promulgate such regulations as are 
necessary to carry out the program, including regulations that--
            ``(1) provide for adequate safeguards to protect the 
        interests of tenants and sharecroppers, including provision for 
        sharing payments, on a fair and equitable basis;
            ``(2) prescribe such other rules as the Secretary 
        determines to be necessary to ensure a fair and reasonable 
        application of the program; and
            ``(3) to the maximum extent practicable, eliminate 
        duplication of planning activities under the program and 
        comparable conservation programs.''.

         Subchapter B--Environmental Quality Incentives Program

SEC. 2351. PURPOSES.

    Section 1240 of the Food Security Act of 1985 (16 U.S.C. 3839aa) is 
amended--
            (1) in the matter preceding paragraph (1), by inserting ``, 
        forest management,'' after ``agricultural production'';
            (2) in paragraph (3)--
                    (A) by inserting ``, forest land,'' after ``grazing 
                land''; and
                    (B) by inserting ``pollinators,'' after 
                ``wetland),''; and
            (3) in paragraph (4)--
                    (A) by inserting ``fuels management, forest 
                management,'' after ``grazing management,''; and
                    (B) by inserting ``and forested'' after 
                ``agricultural''.

SEC. 2352. DEFINITIONS.

    (a) Eligible Land.--Section 1240A(2) of the Food Security Act of 
1985 (16 U.S.C. 3838aa-1(2)) is amended--
            (1) in subparagraph (A), by striking ``commodities or 
        livestock'' and inserting ``commodities, livestock, or forest-
        related products''; and
            (2) in subparagraph (B)--
                    (A) by striking clause (v) and inserting the 
                following:
                            ``(v) nonindustrial private forest land;'';
                    (B) by redesignating clause (vi) as clause (vii); 
                and
                    (C) by inserting after clause (v) the following:
                            ``(vi) land used for pond-raised 
                        aquaculture production; and''.
    (b) Land Management Practice.--Section 1240A(3) of the Food 
Security Act of 1985 (16 U.S.C. 3838aa-1(3)) is amended--
            (1) by striking ``The term'' and inserting the following:
                    ``(A) In general.--The term'';
            (2) by inserting ``fuels management, forest management,'' 
        after ``grazing management''; and
            (3) by adding at the end the following:
                    ``(B) Forest management.--For purposes of 
                subparagraph (A), forest management practices may 
                include activities that the Secretary determines are 
                necessary--
                            ``(i) to improve water, soil, or air 
                        quality;
                            ``(ii) to restore forest biodiversity;
                            ``(iii) to control invasive species;
                            ``(iv) to improve wildlife habitat; or
                            ``(v) to achieve conservation priorities 
                        identified in an applicable forest resource 
                        assessment and plan.''.
    (c) Practice.--Section 1240A(5) of the Food Security Act of 1985 
(16 U.S.C. 3838aa-1(5)) is amended by inserting ``conservation planning 
practices,'' after ``land management practices,''.
    (d) Custom Feeding Business.--Section 1240A of the Food Security 
Act of 1985 (16 U.S.C. 3838aa-1) is amended--
            (1) by redesignating paragraph (6) as paragraph (7); and
            (2) by inserting after paragraph (5) the following:
            ``(6) Producer.--The term `producer' includes a custom 
        feeding business and a contract grower or finisher.''.
    (e) Structural Practice.--Paragraph (7)(A) of section 1240A of the 
Food Security Act of 1985 (16 U.S.C. 3838aa-1) (as redesignated by 
subsection (d)(1)) is amended by inserting ``firebreak, fuelbreak,'' 
after ``constructed wetland,''.

SEC. 2353. ESTABLISHMENT AND ADMINISTRATION OF ENVIRONMENTAL QUALITY 
              INCENTIVES PROGRAM.

    (a) Establishment.--Section 1240B(a) of the Food Security Act of 
1985 (16 U.S.C. 3839aa-2(a)) is amended--
            (1) in paragraph (1), by striking ``2010'' and inserting 
        ``2012''; and
            (2) in paragraph (2)(B), by inserting ``conservation plan 
        or'' after ``develops a''.
    (b) Practices and Term.--Section 1240B(b) of the Food Security Act 
of 1985 (16 U.S.C. 3839aa-2(b)) is amended--
            (1) in paragraph (1), by inserting ``conservation planning 
        practices,'' after ``land management practices,''; and
            (2) in paragraph (2)(B), by striking ``10'' and inserting 
        ``5''.
    (c) Establishment and Administration.--Section 1240B of the Food 
Security Act of 1985 (16 U.S.C. 3839aa-2) is amended--
            (1) by striking subsection (c);
            (2) in subsection (d)--
                    (A) in paragraph (2), by striking subparagraph (A) 
                and inserting the following:
                    ``(A) Socially disadvantaged farmers or ranchers 
                and beginning farmers or ranchers.--
                            ``(i) In general.--In the case of a 
                        producer that is a socially disadvantaged 
                        farmer or rancher or a beginning farmer or 
                        rancher, the Secretary may increase the amount 
                        that would otherwise be provided to the 
                        producer under paragraph (1) to--
                                    ``(I) not more than 90 percent; and
                                    ``(II) not less than 15 percent 
                                above the otherwise applicable rate.
                            ``(ii) Advance payments.--Not more than 30 
                        percent of the amount determined under clause 
                        (i) may be provided in advance for the purpose 
                        of purchasing materials or contracting.'';
                    (B) by striking paragraph (3) and inserting the 
                following:
            ``(3) Other payments.--A producer shall not be eligible for 
        cost-share payments for practices on eligible land under the 
        program if the producer receives cost-share payments or other 
        benefits for the same practice on the same land under another 
        program.''; and
                    (C) by adding at the end the following:
            ``(4) Guaranteed loan eligibility.--Notwithstanding section 
        333(1) of the Consolidated Farm and Rural Development Act (7 
        U.S.C. 1983(1)), with respect to the cost of a loan, a producer 
        with an application that meets the standards for a cost-share 
        payment under this subsection but that is not approved by the 
        Secretary shall receive priority consideration for a guaranteed 
        loan under section 304 of that Act (7 U.S.C. 1924).'';
            (3) in subsection (e), by striking paragraph (2) and 
        inserting the following:
            ``(2) Special rule.--In determining the amount and rate of 
        incentive payments, the Secretary may accord great significance 
        to a practice that promotes residue, nutrient, air quality, 
        pest, or predator deterrence, including practices to deter 
        predator species protected under the Endangered Species Act of 
        1973 (16 U.S.C. 1531 et seq.), gray wolves, grizzly bears, and 
        black bears.'';
            (4) in subsection (g), by striking ``2007'' and inserting 
        ``2012'';
            (5) by redesignating subsections (d) through (h) as 
        subsections (c) through (g), respectively; and
            (6) by adding at the end the following:
    ``(h) Water Conservation or Irrigation Efficiency Practice.--
            ``(1) In general.--The Secretary may provide technical 
        assistance, cost-share payments, and incentive payments to a 
        producer for a water conservation or irrigation practice.
            ``(2) Priority.--In providing assistance and payments to 
        producers for a water conservation or irrigation practice, the 
        Secretary may give priority to applications in which--
                    ``(A) there is an improvement in surface flows or a 
                reduction in the use of groundwater in the agricultural 
                operation of the producer, consistent with the law of 
                the State in which the operation of the producer is 
                located; or
                    ``(B) the producer agrees not to use any associated 
                water savings to bring new land, other than incidental 
                land needed for efficient operations, under irrigated 
                production, unless the producer is participating in a 
                watershed-wide project that will effectively conserve 
                water, as determined by the Secretary.''.

SEC. 2354. EVALUATION OF OFFERS AND PAYMENTS.

    Section 1240C of the Food Security Act of 1985 (16 U.S.C. 3839aa-3) 
is amended--
            (1) in paragraph (1), by striking ``and'' at the end;
            (2) by redesignating paragraph (2) as paragraph (3); and
            (3) by inserting after paragraph (1) the following:
            ``(2) improve conservation practices in place on the 
        operation of the producer at the time the contract offer is 
        accepted; and''.

SEC. 2355. DUTIES OF PRODUCERS.

    Section 1240D(2) of the Food Security Act of 1985 (16 U.S.C. 
3839aa-4(2)) is amended by striking ``farm or ranch'' and inserting 
``farm, ranch, or forest land''.

SEC. 2356. ENVIRONMENTAL QUALITY INCENTIVES PROGRAM PLAN.

    Section 1240E(a) of the Food Security Act of 1985 (16 U.S.C. 
3839aa-5(a)) is amended--
            (1) in the matter preceding paragraph (1), by inserting ``, 
        or an entity described in section 1244(e) acting on behalf of 
        producers,'' after ``producer'';
            (2) in paragraph (2), by striking ``and'' after the 
        semicolon at the end;
            (3) in paragraph (3), by striking the period at the end and 
        inserting ``; and''; and
            (4) by adding at the end the following:
            ``(4) in the case of forest land, is consistent with a 
        forest management plan that is approved by the Secretary, which 
        may include--
                    ``(A) a forest stewardship plan described in 
                section 5 of the Cooperative Forestry Assistance Act of 
                1978 (16 U.S.C. 2103a);
                    ``(B) another practice plan approved by the State 
                forester; or
                    ``(C) another plan determined appropriate by the 
                Secretary.''.

SEC. 2357. LIMITATION ON PAYMENTS.

    Section 1240G of the Food Security Act of 1985 (16 U.S.C. 3839aa-7) 
is amended--
            (1) by striking ``An individual'' and inserting ``(a) In 
        General.--Subject to section 1244(i), an individual''; and
            (2) by adding at the end the following:
    ``(b) Producer Organizations.--In the case of an entity described 
in section 1244(e), the limitation established under this section shall 
apply to each participating producer and not to the entity described in 
section 1244(e).''.

SEC. 2358. CONSERVATION INNOVATION GRANTS.

    Section 1240H of the Food Security Act of 1985 (16 U.S.C. 3839aa-8) 
is amended--
            (1) by striking subsection (a) and inserting the following:
    ``(a) In General.--The Secretary may pay the cost of competitive 
grants that leverage Federal investment in environmental enhancement 
and protection through the program by--
            ``(1) stimulating the development of innovative 
        technologies; and
            ``(2) transferring those technologies to agricultural and 
        nonindustrial private forest land in production.''; and
            (2) in subsection (b), by striking paragraph (2) and 
        inserting the following:
            ``(2)(A) implement innovative conservation technologies, 
        such as market systems for pollution reduction and practices 
        for the storing of carbon in the soil;
            ``(B) provide a mechanism for transferring those 
        technologies to agricultural and nonindustrial private forest 
        land in production; and
            ``(C) increase environmental and resource conservation 
        benefits through specialty crop production; and''.

SEC. 2359. GROUND AND SURFACE WATER CONSERVATION.

    Section 1240I of the Food Security Act of 1985 (16 U.S.C. 3839aa-9) 
is amended to read as follows:

``SEC. 1240I. GROUND AND SURFACE WATER CONSERVATION.

    ``(a) Purposes.--The purposes of this section are--
            ``(1) to improve irrigation systems;
            ``(2) to enhance irrigation efficiencies;
            ``(3) to assist producers in converting to--
                    ``(A) the production of less water-intensive 
                agricultural commodities; or
                    ``(B) dryland farming;
            ``(4) to improve water storage capabilities through 
        measures such as water banking and groundwater recharge and 
        other related activities;
            ``(5) to mitigate the effects of drought;
            ``(6) to enhance fish and wildlife habitat associated with 
        irrigation systems, including pivot corners and areas with 
        irregular boundaries;
            ``(7) to conduct resource condition assessment and modeling 
        relating to water conservation;
            ``(8) to assist producers in developing water conservation 
        plans; and
            ``(9) to promote any other measures that improve 
        groundwater and surface water conservation, as determined by 
        the Secretary.
    ``(b) Definitions.--In this section:
            ``(1) Partner.--
                    ``(A) In general.--The term `partner' means an 
                entity that enters into a partnership agreement with 
                the Secretary to carry out water conservation 
                activities on a regional scale.
                    ``(B) Inclusions.--The term `partner' includes--
                            ``(i) an agricultural or silvicultural 
                        producer association or other group of 
                        producers;
                            ``(ii) a State or unit of local government, 
                        including an irrigation company and a water 
                        district and canal company; or
                            ``(iii) a federally recognized Indian 
                        tribe.
            ``(2) Partnership agreement.--The term `partnership 
        agreement' means a cooperative or contribution agreement 
        entered into between the Secretary and a partner.
            ``(3) Regional water conservation activity.--The term 
        `regional water conservation activity' means a water 
        conservation activity carried out on a regional or other 
        appropriate level, as determined by the Secretary, to benefit 
        agricultural land.
    ``(c) Establishment.--In carrying out the program under this 
chapter, the Secretary shall promote ground and surface water 
conservation--
            ``(1) by providing cost-share assistance and incentive 
        payments to producers to carry out water conservation 
        activities with respect to the agricultural operations of 
        producers; and
            ``(2) by working cooperatively with partners, in accordance 
        with subsection (d), on a regional level to benefit working 
        agricultural land.
    ``(d) Partnership Agreements.--
            ``(1) In general.--The Secretary may enter into partnership 
        agreements to meet the objectives of the program under this 
        chapter.
            ``(2) Applications.--An application to the Secretary to 
        enter into an agreement under paragraph (1) shall include--
                    ``(A) a description of--
                            ``(i) the geographical area;
                            ``(ii) the current conditions;
                            ``(iii) the water conservation objectives 
                        to be achieved; and
                            ``(iv) the expected level of participation 
                        by producers;
                    ``(B) a description of the partners collaborating 
                to achieve the project objectives and the roles, 
                responsibilities, and capabilities of each partner;
                    ``(C) a description of--
                            ``(i) the program resources requested from 
                        the Secretary; and
                            ``(ii) the non-Federal resources that will 
                        be leveraged by the Federal contribution; and
                    ``(D) other such elements as the Secretary 
                considers necessary to adequately evaluate and 
                competitively select applications for award.
    ``(e) Duties of the Secretary.--
            ``(1) Water conservation activities by producers.--The 
        Secretary shall select water conservation projects proposed by 
        producers according to applicable requirements under the 
        environmental quality incentives program established under this 
        chapter.
            ``(2) Regional water conservation activities.--
                    ``(A) Competitive process.--The Secretary shall 
                conduct a competitive process to select the regional 
                water conservation activities for funding under this 
                section.
                    ``(B) Public availability.--In carrying out the 
                process, the Secretary shall make public the criteria 
                used in evaluating applications.
                    ``(C) Priority.--The Secretary may give a higher 
                priority to proposals from partners that--
                            ``(i) include high percentages of 
                        agricultural land and producers in a region or 
                        other appropriate area;
                            ``(ii) result in high levels of on-the-
                        ground water conservation activities;
                            ``(iii) significantly enhance agricultural 
                        activity and related economic development;
                            ``(iv) allow for monitoring and evaluation; 
                        and
                            ``(v) assist producers in meeting Federal, 
                        State and local regulatory requirements.
                    ``(D) Administration.--The Secretary shall ensure 
                that resources made available for regional water 
                conservation activities under this section are 
                delivered in accordance with applicable program rules.
    ``(f) Eastern Snake Plain Aquifer Pilot.--
            ``(1) In general.--Of amounts made available under 
        subsection (h), the Secretary shall reserve $2,000,000, to 
        remain available until expended, for regional water 
        conservation activities in the Eastern Snake Aquifer Region.
            ``(2) Approval.--The Secretary may approve regional water 
        conservation activities under this subsection that address, in 
        whole or in part, water quality issues.
    ``(g) Consistency With State Law.--Any water conservation activity 
conducted under this section shall be consistent with applicable State 
water law.
    ``(h) Funding.--
            ``(1) Availability of funds.--Of the funds of the Commodity 
        Credit Corporation, in addition to amounts made available under 
        section 1241(a) to carry out this chapter, the Secretary shall 
        use $60,000,000 for each of fiscal years 2008 through 2012.
            ``(2) Limitation.--None of the funds made available for 
        regional water conservation activities under this section may 
        be used to pay for the administrative expenses of partners.''.

SEC. 2360. ORGANIC CONVERSION.

    The Food Security Act of 1985 is amended by inserting after section 
1240I (16 U.S.C. 3839aa-9) the following:

``SEC. 1240J. ORGANIC CONVERSION.

    ``(a) Definitions.--In this section:
            ``(1) National organic program.--The term `national organic 
        program' means the national organic program established under 
        the Organic Foods Production Act of 1990 (7 U.S.C. 6501 et 
        seq.).
            ``(2) Organic system plan.--The term `organic system plan' 
        means an organic plan approved under the national organic 
        program.
    ``(b) Establishment.--Under the environmental quality incentives 
program established under this chapter, not later than 180 days after 
the date of enactment of this section, the Secretary shall establish a 
program under which the Secretary shall provide cost-share and 
incentive payments to producers to promote conservation practices and 
activities for production systems undergoing conversion on some or all 
of the operations of the producer to organic production in accordance 
with the Organic Foods Production Act of 1990 (7 U.S.C. 6501 et seq.).
    ``(c) Organic Conversion Cost-Share and Incentive Payments.--The 
Secretary shall provide organic conversion cost-share and incentive 
payments to producers that--
            ``(1) are converting to organic production systems, 
        including producers with existing certified organic production 
        for conversion to organic production of land and livestock not 
        previously certified organic; and
            ``(2) enter into contracts with the Secretary for eligible 
        practices and activities described in subsection (d).
    ``(d) Eligible Practices and Activities.--Producers may use funds 
made available under subsection (c) for--
            ``(1) practices and activities during conversion to 
        certified organic production that--
                    ``(A) are required by, or consistent with, an 
                approved organic system plan; and
                    ``(B) protect resources of concern, as identified 
                by the Secretary;
            ``(2) technical services, including the costs of developing 
        an approved organic system plan; and
            ``(3) such other measures as the Secretary determines to be 
        appropriate and consistent with an approved organic system 
        plan.
    ``(e) Eligible Producers.--To be eligible to receive cost-share and 
incentive payments under this section, a producer shall agree--
            ``(1) to develop and carry out conservation and 
        environmental activities that--
                    ``(A) are required by, or consistent with, an 
                approved organic system plan; and
                    ``(B) protect resources of concern, as identified 
                by the Secretary;
            ``(2) to receive technical and educational assistance from 
        the Secretary or from an organization, institute, or consultant 
        with a cooperative agreement with the Secretary relating to--
                    ``(A) the development of an organic system plan and 
                the implementation of conservation practices and 
                activities that are part of an organic system plan; or
                    ``(B) other aspects of an organic system plan, 
                including marketing, credit, business, and risk 
                management plans; and
            ``(3) to submit annual verification by a certifying entity 
        accredited by the Secretary to determine the compliance of the 
        producer with organic certification requirements.
    ``(f) Term.--A contract under this section shall have a term of--
            ``(1) not less than 3 years; and
            ``(2) not more than 4 years.
    ``(g) Limitations on Payments.--As part of the payment limitation 
described in section 1240G, an individual or entity may not receive, 
directly or indirectly, cost-share or incentive payments under this 
section--
            ``(1) for a period of more than 4 years; or
            ``(2) that, in the aggregate and exclusive of technical 
        assistance, exceed--
                    ``(A) $20,000 per year; or
                    ``(B) a total amount of $80,000.
    ``(h) Termination of Contracts.--The Secretary may cancel or 
otherwise nullify a contract entered into under this section if the 
Secretary determines the producers are not pursuing organic 
certification.''.

SEC. 2361. CHESAPEAKE BAY WATERSHED CONSERVATION PROGRAM.

    The Food Security Act of 1985 is amended by inserting after section 
1240J (as added by section 2360) the following:

``SEC. 1240K. CHESAPEAKE BAY WATERSHED CONSERVATION PROGRAM.

    ``(a) Definition of Chesapeake Bay Watershed.--In this section, the 
term `Chesapeake Bay watershed' includes all tributaries, backwaters, 
and side channels (including watersheds) draining into the Chesapeake 
Bay.
    ``(b) Establishment.--The Secretary shall use the authorities 
granted under the environmental quality incentives program established 
under this chapter to address natural resource concerns relating to 
agricultural and nonindustrial private forest land in the Chesapeake 
Bay watershed.
    ``(c) Funding.--Of the funds of the Commodity Credit Corporation, 
the Secretary shall use $165,000,000 to carry out this section for the 
period of fiscal years 2008 through 2012.''.

                     CHAPTER 3--FARMLAND PROTECTION

               Subchapter A--Farmland Protection Program

SEC. 2371. FARMLAND PROTECTION PROGRAM.

    (a) Definitions.--Section 1238H of the Food Security Act of 1985 
(16 U.S.C. 3838h) is amended--
            (1) by striking paragraph (1) and inserting the following:
            ``(1) Eligible entity.--The term `eligible entity' means--
                    ``(A) any agency of any State or local government 
                or an Indian tribe (including a farmland protection 
                board or land resource council established under State 
                law); or
                    ``(B) any organization that--
                            ``(i) is organized for, and at all times 
                        since the formation of the organization has 
                        been operated principally for, 1 or more of the 
                        conservation purposes specified in clause (i), 
                        (ii), (iii), or (iv) of section 170(h)(4)(A) of 
                        the Internal Revenue Code of 1986;
                            ``(ii) is an organization described in 
                        section 501(c)(3) of that Code that is exempt 
                        from taxation under section 501(a) of that 
                        Code; and
                            ``(iii) is--
                                    ``(I) described in paragraph (1) or 
                                (2) of section 509(a) of that Code; or
                                    ``(II) described in section 
                                509(a)(3), and is controlled by an 
                                organization described in section 
                                509(a)(2), of that Code.''; and
            (2) in paragraph (2)--
                    (A) in subparagraph (A), by striking clauses (i) 
                and (ii) and inserting the following:
                            ``(i) has prime, unique, or other 
                        productive soil;
                            ``(ii) contains historical or 
                        archaeological resources; or
                            ``(iii) furthers a State or local policy 
                        consistent with the purposes of the program.''; 
                        and
                    (B) in subparagraph (B)--
                            (i) in clause (iv), by striking ``and'' at 
                        the end;
                            (ii) by striking clause (v) and inserting 
                        the following:
                            ``(v) forest land that--
                                    ``(I) contributes to the economic 
                                viability of an agricultural operation; 
                                or
                                    ``(II) serves as a buffer to 
                                protect an agricultural operation from 
                                development; and
                            ``(vi) land that is incidental to land 
                        described in clauses (i) through (v), if the 
                        incidental land is determined by the Secretary 
                        to be necessary for the efficient 
                        administration of a conservation easement.''.
    (b) Farmland Protection.--Section 1238I of the Food Security Act of 
1985 (16 U.S.C. 3838i) is amended--
            (1) in subsection (a), by striking ``purchase conservation 
        easements'' and all the follows through the end of the 
        subsection and inserting ``enter into cooperative agreements 
        with eligible entities for the eligible entities to purchase 
        permanent conservation easements or other interests in eligible 
        land for the purpose of protecting the agricultural use and 
        related conservation values of the land by limiting 
        incompatible nonagricultural uses of the land.'';
            (2) by redesignating subsections (b) and (c) as subsections 
        (e) and (f), respectively;
            (3) by inserting after subsection (a) the following:
    ``(b) Terms and Conditions for Cooperative Agreements.--
            ``(1) In general.--The Secretary shall establish the terms 
        and conditions of any cooperative agreement entered into under 
        this subchapter under which the eligible entity shall use funds 
        provided by the Secretary.
            ``(2) Minimum requirements.--A cooperative agreement shall, 
        at a minimum--
                    ``(A) specify the qualifications of the eligible 
                entity to carry out the responsibilities of the 
                eligible entity under the program, including 
                acquisition and management policies and procedures that 
                ensure the long-term integrity of the conservation 
                easement protections;
                    ``(B) subject to subparagraph (C), identify a 
                specific project or a range of projects funded under 
                the agreement;
                    ``(C) allow, upon mutual agreement of the parties, 
                substitution of qualified projects that are identified 
                at the time of substitution;
                    ``(D) specify the manner in which the eligible 
                entity will evaluate and report the use of funds to the 
                Secretary;
                    ``(E) allow the eligible entity flexibility to use 
                the terms and conditions of the eligible entity for 
                conservation easements and other purchases of interests 
                in land, except that--
                            ``(i) subject to clause (ii), each easement 
                        shall include a limitation on the total 
                        quantity of impervious surface of not more 
                        than--
                                    ``(I) 20 percent of the first 10 
                                acres;
                                    ``(II) 5 percent of the next 90 
                                acres; and
                                    ``(III) 1 percent of any additional 
                                acres; and
                            ``(ii) the Secretary may waive a limitation 
                        under clause (i) after a determination by the 
                        Secretary that the eligible entity has in place 
                        a requirement that provides substantially-
                        similar protection consistent with agricultural 
                        activities regarding the impervious surfaces to 
                        be allowed for any conservation easement or 
                        other interest in land purchases using funds 
                        provided under the program;
                    ``(F) require appraisals of acquired interests in 
                eligible land that comply with, at the option of the 
                eligible entity--
                            ``(i) the Uniform Standards of Professional 
                        Appraisal Practice; or
                            ``(ii) other industry-approved standard, as 
                        determined by the Secretary; and
                    ``(G) allow as part of the share of the eligible 
                entity of the cost to purchase a conservation easement 
                or other interest in eligible land described in 
                subsection (a), that an eligible entity may include a 
                charitable donation or qualified conservation 
                contribution (as defined by section 170(h) of the 
                Internal Revenue Code of 1986), from the private 
                landowner from which the conservation easement will be 
                purchased.
    ``(c) Cost Sharing.--
            ``(1) In general.--Subject to paragraphs (2) and (3), the 
        Secretary may provide a share of the purchase price of a 
        conservation easement or other interest in land acquired by an 
        eligible entity under the program.
            ``(2) Maximum amount of fair market value.--The Secretary 
        shall not pay more than 50 percent of the appraised fair market 
        value of the acquisition under this subsection.
            ``(3) Minimum share by eligible entity.--The eligible 
        entity shall be required to provide a share of the cost under 
        this subsection in an amount that is not less than the lesser 
        of--
                    ``(A) \1/2\ of the purchase price of the 
                acquisition;
                    ``(B) if the landowner has made a donation of 25 
                percent or less of the appraised fair market value of 
                the acquisition, an amount that, when combined with the 
                donation, equals the amount of the payment by the 
                Secretary; or
                    ``(C) if the landowner has made a donation of more 
                than 25 percent of the appraised fair market value of 
                the acquisition, \1/3\ of the purchase price of the 
                acquisition.
    ``(d) Protection of Federal Investment.--
            ``(1) In general.--The Secretary shall ensure that the 
        terms of an easement acquired by the eligible entity provides 
        protection for the Federal investment through an executory 
        limitation by the Federal Government.
            ``(2) Relationship to federal acquisition of real 
        property.--The inclusion of a Federal executory limitation 
        described in paragraph (1) shall--
                    ``(A) not be considered the Federal acquisition of 
                real property; and
                    ``(B) not trigger any Federal appraisal or other 
                real property requirements, including the Federal 
                standards and procedures for land acquisition.''; and
            (4) in subsection (f) (as redesignated by paragraph (2)), 
        by striking ``Cost Sharing.--'' and all that follows through 
        ``Bidding down.--'' and inserting ``Bidding Down.--''.

                Subchapter B--Grassland Reserve Program

SEC. 2381. GRASSLAND RESERVE PROGRAM.

    Subchapter C of chapter 2 of subtitle D of title XII of the Food 
Security Act of 1985 (16 U.S.C. 3838n et seq.) is amended to read as 
follows:

               ``Subchapter C--Grassland Reserve Program

``SEC. 1238N. DEFINITIONS.

    ``In this subchapter:
            ``(1) Eligible entity.--The term `eligible entity' means--
                    ``(A) any agency of any State or local government 
                or an Indian tribe (including a farmland protection 
                board or land resource council established under State 
                law); or
                    ``(B) any organization that--
                            ``(i) is organized for, and at all times 
                        since the formation of the organization has 
                        been operated principally for, 1 or more of the 
                        conservation purposes specified in clause (i), 
                        (ii), (iii), or (iv) of section 170(h)(4)(A) of 
                        the Internal Revenue Code of 1986;
                            ``(ii) is an organization described in 
                        section 501(c)(3) of that Code that is exempt 
                        from taxation under section 501(a) of that 
                        Code; and
                            ``(iii) is--
                                    ``(I) described in paragraph (1) or 
                                (2) of section 509(a) of that Code; or
                                    ``(II) described in section 
                                509(a)(3), and is controlled by an 
                                organization described in section 
                                509(a)(2), of that Code.
            ``(2) Eligible land.--The term `eligible land' means 
        private land that--
                    ``(A) is grassland, rangeland, land that contains 
                forbs, or shrub land (including improved rangeland and 
                pastureland) for which grazing is the predominant use;
                    ``(B) is located in an area that has been 
                historically dominated by grassland, forbs, or shrub 
                land, and the land potentially could provide habitat 
                for animal or plant populations of significant 
                ecological value if the land--
                            ``(i) is retained in the current use of the 
                        land;
                            ``(ii) is restored to a natural condition;
                            ``(iii) contains historical or 
                        archeological resources;
                            ``(iv) would further the goals and 
                        objectives of State, regional, and national 
                        fish, and wildlife conservation plans and 
                        initiatives; or
                            ``(v) is incidental to land described in 
                        clauses (i) through (iv), if the incidental 
                        land is determined by the Secretary to be 
                        necessary for the efficient administration of 
                        an agreement or conservation easement.
            ``(3) Permanent conservation easement.--The term `permanent 
        conservation easement' means a conservation easement that is--
                    ``(A) a permanent easement; or
                    ``(B) in a State that imposes a maximum duration 
                for easements, an easement for the maximum duration 
                allowed under State law.

``SEC. 1238O. GRASSLAND RESERVE PROGRAM.

    ``(a) Establishment.--The Secretary shall establish and carry out a 
grassland reserve program through which the Secretary shall provide 
payments and technical assistance to landowners to assist in restoring 
and conserving eligible land described in section 1238N(2).
    ``(b) Enrollment of Land.--
            ``(1) In general.--The Secretary may enroll eligible land 
        in the program through--
                    ``(A) an easement or contract described in 
                paragraph (2); or
                    ``(B) a cooperative agreement with an eligible 
                entity.
            ``(2) Options.--Eligible land enrolled in the program shall 
        be subject to--
                    ``(A) a 30-year contract;
                    ``(B) a 30-year conservation easement; or
                    ``(C) a permanent conservation easement.
            ``(3) Enrollment of conservation reserve acreage.--
                    ``(A) In general.--Eligible land enrolled in the 
                conservation reserve program established under 
                subchapter B of chapter 1 may be enrolled into 
                permanent conservation easements under this subchapter 
                if--
                            ``(i) the Secretary determines that the 
                        eligible land--
                                    ``(I) is of high ecological value; 
                                and
                                    ``(II) would be under significant 
                                threat of conversion to other uses if 
                                the conservation reserve program 
                                contract were terminated; and
                            ``(ii) the landowner agrees to the 
                        enrollment.
                    ``(B) Maximum enrollment.--The number of acres of 
                conservation reserve program land enrolled under this 
                paragraph in a calendar year shall not exceed the 
                number of acres that could be funded by 10 percent of 
                the total amount of funds available for this section 
                for a fiscal year.
                    ``(C) Prohibition on duplicate payments.--Eligible 
                land enrolled in the program shall no longer be 
                eligible for payments under the conservation reserve 
                program.
    ``(c) Restoration Agreements.--The Secretary may enter into a 
restoration agreement with a landowner, as determined appropriate by 
the Secretary.
    ``(d) Conservation Easement Title.--The title holder of a 
conservation easement obtained under this subchapter may be--
            ``(1) the Secretary; or
            ``(2) an eligible entity.

``SEC. 1238P. DUTIES.

    ``(a) Duties of Landowners.--
            ``(1) In general.--To become eligible to enroll eligible 
        land through the grant of a conservation easement, the 
        landowner shall--
                    ``(A) create and record an appropriate deed 
                restriction in accordance with applicable State law;
                    ``(B) provide proof of clear title to the 
                underlying fee interest in the eligible land that is 
                subject of the conservation easement;
                    ``(C) provide a written statement of consent to the 
                easement signed by persons holding a security interest 
                or any vested interest in the land;
                    ``(D) grant the conservation easement to the 
                Secretary or an eligible entity; and
                    ``(E) comply with the terms of the conservation 
                easement and any associated restoration agreement.
            ``(2) Restoration agreement.--If a restoration agreement is 
        required by the Secretary, the landowner shall develop and 
        implement a restoration plan.
    ``(b) Duties of Secretary.--
            ``(1) Evaluation of offers.--
                    ``(A) In general.--The Secretary shall establish 
                criteria to evaluate and rank applications for 
                easements and contracts under this subchapter.
                    ``(B) Considerations.--In establishing the 
                criteria, the Secretary shall emphasize support for--
                            ``(i) grazing operations;
                            ``(ii) plant and animal biodiversity;
                            ``(iii) grassland, land that contains 
                        forbs, and shrubland under the greatest threat 
                        of conversion; and
                            ``(iv) other considerations, as determined 
                        by the Secretary.
                    ``(C) Priority.--In evaluating offers under this 
                subchapter, the Secretary may give priority to 
                applications that--
                            ``(i) include a cash contribution from the 
                        eligible entity submitting the application; or
                            ``(ii) leverage resources from other 
                        sources.
            ``(2) Compensation.--
                    ``(A) In general.--
                            ``(i) Easements and contracts.--In return 
                        for the granting of an easement, the Secretary 
                        shall provide to the landowner an amount that 
                        is equal to--
                                    ``(I) in the case of a permanent 
                                easement, the fair market value of the 
                                land less the grazing value of the land 
                                encumbered by the easement; and
                                    ``(II) in the case of a 30-year 
                                easement or 30-year contract, 30 
                                percent of the fair market value of the 
                                land less the grazing value of the land 
                                for the period during which the land is 
                                encumbered by the easement.
                            ``(ii) Restoration agreements.--In making 
                        cost-share payments for restoration agreements, 
                        the Secretary shall make payments to the 
                        landowner--
                                    ``(I) in the case of a permanent 
                                easement, in an amount that is not less 
                                than 90, but not more than 100, percent 
                                of the eligible costs; and
                                    ``(II) in the case of a 30-year 
                                easement or 30-year contract, in an 
                                amount that is not less than 50, but 
                                not more than 75, percent of the 
                                eligible costs.
                    ``(B) Delivery of payments.--
                            ``(i) Payment schedule.--Except as 
                        otherwise provided in this subchapter, payments 
                        may be provided pursuant to an easement, 
                        contract, or other agreement, in not more than 
                        30 annual payments, and in an equal or unequal 
                        amounts, as agreed to by the Secretary and the 
                        landowner.
                            ``(ii) Payments to others.--If an owner 
                        that 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 after considering all 
                        the circumstances.
            ``(3) Technical assistance.--If a restoration agreement is 
        required by the Secretary, the Secretary shall provide 
        technical assistance to comply with the terms and conditions of 
        the restoration agreement.

``SEC. 1238Q. TERMS AND CONDITIONS.

    ``(a) Terms and Conditions of Easement or Contracts.--An easement 
or contract under this subchapter shall--
            ``(1) permit--
                    ``(A) common grazing practices, including 
                maintenance and necessary cultural practices, on the 
                land in a manner that is consistent with maintaining 
                the viability of grassland, forb, and shrub species 
                appropriate to that locality;
                    ``(B) haying, mowing, or harvesting for seed 
                production, subject to appropriate restrictions during 
                the nesting season for birds in the local area that are 
                in significant decline or are conserved in accordance 
                with Federal or State law, as determined by the State 
                Conservationist; and
                    ``(C) fire presuppression, rehabilitation, and 
                construction of fire breaks and fences (including 
                placement of the posts necessary for fences);
            ``(2) prohibit--
                    ``(A) the production of crops (other than hay), 
                fruit trees, vineyards, or any other agricultural 
                commodity that is inconsistent with maintaining grazing 
                land; and
                    ``(B) except as permitted under a restoration plan, 
                the conduct of any other activity that would be 
                inconsistent with maintaining grazing land covered by 
                the easement or agreement; and
            ``(3) include such additional provisions as the Secretary 
        determines are appropriate to carry out or facilitate the 
        administration of this subchapter.
    ``(b) Terms and Conditions of Cooperative Agreements.--
            ``(1) In general.--The Secretary shall establish the terms 
        and conditions of any cooperative agreement entered into under 
        this subchapter under which the eligible entity shall use funds 
        provided by the Secretary.
            ``(2) Minimum requirements.--A cooperative agreement shall, 
        at a minimum--
                    ``(A) specify the qualification of the eligible 
                entity to carry out the responsibilities of the 
                eligible entity under the program, including 
                acquisition, monitoring, enforcement, and management 
                policies and procedures that ensure the long-term 
                integrity of the conservation easement protections;
                    ``(B) subject to subparagraph (C), identify a 
                specific project or a range of projects funded under 
                the agreement;
                    ``(C) allow, upon mutual agreement of the parties, 
                substitution of qualified projects that are identified 
                at the time of substitution;
                    ``(D) specify the manner in which the eligible 
                entity will evaluate and report the use of funds to the 
                Secretary;
                    ``(E) allow the eligible entity flexibility to 
                develop and use terms and conditions for conservation 
                easements and other purchases of interest in eligible 
                land, if the Secretary finds the terms and conditions 
                consistent with the purposes of the program and 
                adequate to achieve and permit effective enforcement of 
                the conservation purposes of the conservation easements 
                or other interests;
                    ``(F) require appraisals of acquired interests in 
                eligible land that comply with a method approved by 
                industry;
                    ``(G) if applicable, allow as part of the share of 
                the eligible entity of the cost to purchase a 
                conservation easement or other interest in eligible 
                land described in section 1238O(b), that an eligible 
                entity may include a charitable donation or qualified 
                conservation contribution (as defined by section 170(h) 
                of the Internal Revenue Code of 1986), from the private 
                landowner for which the conservation easement will be 
                purchased; and
                    ``(H) provide for a schedule of payments to an 
                eligible entity, as agreed to by the Secretary and the 
                eligible entity, over a term of not to exceed 30 years.
            ``(3) Protection of federal investment.--
                    ``(A) In general.--The Secretary shall ensure that 
                the terms of an easement acquired by the eligible 
                entity provides protection for the Federal investment 
                through an executory limitation by the Federal 
                government.
                    ``(B) Relationship to federal acquisition of real 
                property.--The inclusion of an executory limitation 
                described in subparagraph (A) shall--
                            ``(i) not be considered the Federal 
                        acquisition of real property; and
                            ``(ii) not trigger any Federal appraisal or 
                        other real property requirements, including the 
                        Federal standards and procedures for land 
                        acquisition.
                    ``(C) Terms of restoration agreement.--A 
                restoration agreement shall contain--
                            ``(i) a statement of the conservation 
                        measures and practices that will be undertaken 
                        in regard to the eligible land subject to the 
                        conservation easement;
                            ``(ii) restrictions on the use of the 
                        eligible land subject to the conservation 
                        easement; and
                            ``(iii) a statement of the respective 
                        duties of the Secretary, landowner, and 
                        eligible entity, as appropriate.
    ``(c) Violation.--If a violation occurs of the terms or conditions 
of a conservation easement, contract, cooperative agreement or 
restoration agreement entered into under this section--
            ``(1) the conservation easement, contract, cooperative 
        agreement, or restoration agreement shall remain in force; and
            ``(2) the Secretary may require the owner or entity 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.''.

                 CHAPTER 4--OTHER CONSERVATION PROGRAMS

SEC. 2391. CONSERVATION SECURITY PROGRAM.

    Subchapter A of chapter 2 of subtitle D of title XII of the Food 
Security Act of 1985 is amended by adding after section 1238C (16 
U.S.C. 3838c) the following:

``SEC. 1238D. PERIOD OF EFFECTIVENESS.

    ``(a) In General.--This subchapter, and the terms and conditions of 
the conservation security program, shall continue to apply to 
conservation security contracts entered into as of the date before the 
date of enactment of this section.
    ``(b) Payments.--The Secretary shall make payments under this 
subchapter with respect to conservation security contracts described in 
subsection (a) during the term of the contracts.
    ``(c) Prohibition on New Contracts.--A conservation security 
contract may not be entered into or renewed under this subchapter as of 
the date of enactment of this section.
    ``(d) Limitation.--A contract described in subsection (a) may not 
be administered under the regulations issued under section 1240Y.''.

SEC. 2392. CONSERVATION OF PRIVATE GRAZING LAND.

    Section 1240M(e) of the Food Security Act of 1985 (16 U.S.C. 
3839bb(e)) is amended by striking ``2007'' and inserting ``2012''.

SEC. 2393. REAUTHORIZATION OF WILDLIFE HABITAT INCENTIVE PROGRAM.

    Section 1240N of the Food Security Act of 1985 (16 U.S.C. 3839bb-1) 
is amended--
            (1) in subsection (b)--
                    (A) in the subsection heading, by striking ``Cost-
                Share'';
                    (B) in paragraph (1), by inserting ``and 
                incentive'' after ``cost-share''; and
                    (C) in paragraph (2)(B), by striking ``15 percent'' 
                and inserting ``25 percent''; and
            (2) by adding at the end the following:
    ``(d) Fish and Wildlife Conservation Plans and Initiatives.--In 
carrying out this section, the Secretary shall give priority to 
projects that would further the goals and objectives of State, 
regional, and national fish and wildlife conservation plans and 
initiatives.
    ``(e) Duration of Program.--Using funds made available under 
section 1241(a)(7), the Secretary shall carry out the program during 
each of fiscal years 2008 through 2012.''.

SEC. 2394. GRASSROOTS SOURCE WATER PROTECTION PROGRAM.

    Section 1240O of the Food Security Act of 1985 (16 U.S.C. 3839bb-2) 
is amended by striking subsection (b) and inserting the following:
    ``(b) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $20,000,000 for each of fiscal 
years 2008 through 2012.''.

SEC. 2395. GREAT LAKES BASIN PROGRAM FOR SOIL EROSION AND SEDIMENT 
              CONTROL.

    Section 1240P(c) of the Food Security Act of 1985 (16 U.S.C. 
3839bb-3(c)) is amended by striking ``2007'' and inserting ``2012''.

SEC. 2396. FARM VIABILITY PROGRAM.

    Section 1238J(b) of the Food Security Act of 1985 (16 U.S.C. 
3838j(b)) is amended by striking ``2007'' and inserting ``2012''.

SEC. 2397. DISCOVERY WATERSHED DEMONSTRATION PROGRAM.

    Chapter 5 of subtitle D of title XII of the Food Security Act of 
1985 (16 U.S.C. 3839bb et seq.) is amended by adding at the end the 
following:

``SEC. 1240Q. DISCOVERY WATERSHED DEMONSTRATION PROGRAM.

    ``(a) Establishment.--The Secretary shall establish and carry out a 
demonstration program in not less than 30 small watersheds in States of 
the Upper Mississippi River basin to identify and promote the most 
cost-effective and efficient approaches to reducing the loss of 
nutrients to surface waters.
    ``(b) Purpose.--The demonstration program shall demonstrate in 
small watersheds performance-based and market-based approaches--
            ``(1) to reduce the loss of nutrients to surface waters 
        from agricultural land; and
            ``(2) to monitor the cost-effectiveness of management 
        practices designed to reduce the loss of nutrients to surface 
        waters from agricultural land.
    ``(c) Partnerships.--In carrying out this section, the Secretary 
may establish or identify, as appropriate, partnerships to select the 
watersheds and to encourage cooperative effort among the Secretary and 
State, local, and nongovernmental organizations.
    ``(d) Selection of Small Watersheds.--In selecting small watersheds 
for participation in the program, the Secretary shall consider the 
extent to which--
            ``(1) reducing nutrient losses to surface water in the 
        small watershed would be likely to result in measurable 
        improvements in water quality in the small watershed;
            ``(2) a demonstration project would use innovative 
        approaches to attract a high level of producer participation in 
        the small watershed to ensure success;
            ``(3) a demonstration project could be implemented through 
        a third party, including a producer organization, farmer 
        cooperative, conservation district, water utility, agency of 
        State or local government, conservation organization, or other 
        organization with appropriate expertise;
            ``(4) a demonstration project would leverage funding from 
        State, local, and private sources;
            ``(5) a demonstration project would demonstrate market-
        based approaches to nutrient losses to surface waters;
            ``(6) baseline data related to water quality and 
        agricultural practices and contributions from nonagricultural 
        sources as relevant in the small watershed has been collected 
        or could be readily collected; and
            ``(7) water quality monitoring infrastructure is in place 
        or could reasonably be put in place in the small watershed.
    ``(e) Use of Funds.--
            ``(1) In general.--Funding provided for the program under 
        subsection(f) shall be used in not less than 30 small 
        watersheds--
                    ``(A) to provide technical assistance;
                    ``(B) to provide and assess financial incentives to 
                agricultural producers implementing conservation 
                practices that reduce nutrient losses to surface 
                waters;
                    ``(C) to monitor the performance and costs of 
                alternative nutrient management techniques, including 
                soil tests, stalk tests, cover crops, soil amendments, 
                buffers, and tillage practices; and
                    ``(D) to share the cost of data collection, 
                monitoring, and analysis.
            ``(2) Prohibition.--None of the funds made available to 
        carry out the program for each fiscal year may be used for 
        administrative expenses.
    ``(f) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as are necessary to carry out this section.''.

SEC. 2398. EMERGENCY LANDSCAPE RESTORATION PROGRAM.

    (a) In General.--Chapter 5 of subtitle D of the Food Security Act 
of 1985 (16 U.S.C. 3839bb et seq.) (as amended by section 2386) is 
amended by adding at the end the following:

``SEC. 1240R. EMERGENCY LANDSCAPE RESTORATION PROGRAM.

    ``(a) Definition of Eligible Recipient.--In this section, the term 
`eligible recipient' means--
            ``(1) an organization that is eligible for technical 
        assistance and cost-share payments under this section and 
        assists working agricultural land and nonindustrial private 
        forest land, including--
                    ``(A) a community-based association; and
                    ``(B) a city, county, or regional government, 
                including a watershed council and a conservation 
                district; and
            ``(2) an individual who is eligible for technical 
        assistance and cost-share payments under this section, 
        including--
                    ``(A) a producer;
                    ``(B) a rancher;
                    ``(C) an operator;
                    ``(D) a nonindustrial private forest landowner; and
                    ``(E) a landlord on working agricultural land.
    ``(b) Purpose.--The purpose of the emergency landscape restoration 
program is to rehabilitate watersheds, nonindustrial private forest 
land, and working agricultural land adversely affected by natural 
catastrophic events, by--
            ``(1) providing a source of assistance for restoration of 
        the land back to a productive state;
            ``(2) preventing further impairment of land and water, 
        including prevention through the purchase of floodplain 
        easements; and
            ``(3) providing further protection of natural resources.
    ``(c) Establishment.--The Secretary, acting through the Natural 
Resources Conservation Service, shall carry out an emergency landscape 
restoration program under which technical assistance and cost-share 
payments are made available to eligible recipients to carry out 
remedial activities to restore landscapes damaged by--
            ``(1) fire;
            ``(2) drought;
            ``(3) flood;
            ``(4) hurricane force or excessive winds;
            ``(5) ice storms or blizzards; or
            ``(6) other resource-impacting natural events, as 
        determined by the Secretary.
    ``(d) Prioritization.--The Secretary shall provide the highest 
priority for those activities that protect human health and safety.
    ``(e) Technical Assistance and Cost-Share Payments.--
            ``(1) In general.--The Secretary shall provide technical 
        assistance and cost-share payments in amounts of up to 75 
        percent of the cost of remedial activities described in 
        paragraph (2) to rehabilitate watersheds, nonindustrial private 
        forest land, and working agricultural land.
            ``(2) Remedial activities.--Remedial activities that are 
        eligible for technical assistance and cost-share payments under 
        this section include--
                    ``(A) removal of debris from streams, agricultural 
                land, and nonindustrial forest land, including--
                            ``(i) the restoration of natural hydrology; 
                        and
                            ``(ii) the removal of barriers for aquatic 
                        species;;
                    ``(B) restoration of destabilized streambanks;
                    ``(C) establishment of cover on critically eroding 
                land;
                    ``(D) restoration of fences;
                    ``(E) construction of conservation structures;
                    ``(F) provision of water for livestock in drought 
                situations;
                    ``(G) rehabilitation of farm or ranch land;
                    ``(H) restoration of damaged nonindustrial private 
                forest land, including--
                            ``(i) the removal of damaged standing trees 
                        and downed timber; and
                            ``(ii) site preparation, tree planting, 
                        direct seeding, and firebreaks;
                    ``(I) the carrying out of emergency water 
                conservation measures;
                    ``(J) restoration of wildlife habitat and 
                corridors;
                    ``(K) livestock carcass removal and disposal; and
                    ``(L) such other remedial activities as are 
                determined by the Secretary.
    ``(f) Authorization of Appropriations.--There are authorized to be 
appropriated to the Secretary to carry out this section such sums as 
are necessary for each of fiscal years 2008 through 2012, to remain 
available until expended.
    ``(g) Temporary Administration of Emergency Landscape Restoration 
Program.--
            ``(1) In general.--During the period beginning on the date 
        of enactment of this section and ending on the termination date 
        described in paragraph (2), to ensure that technical 
        assistance, cost-share payments, and other payments continue to 
        be administered in an orderly manner until the date on which 
        final regulations are promulgated to implement the emergency 
        landscape restoration program, the Secretary shall, to the 
        extent the terms and conditions of the programs described in 
        clauses (i) and (ii) of subparagraph (A) are consistent with 
        the emergency landscape restoration program, continue to--
                    ``(A) provide technical assistance, cost-share 
                payments, and other payments under the terms and 
                conditions of--
                            ``(i) the emergency conservation program 
                        established under title IV of the Agricultural 
                        Credit Act of 1978 (16 U.S.C. 2201 et seq.); 
                        and
                            ``(ii) the emergency watershed protection 
                        program established under section 403 of the 
                        Agricultural Credit Act of 1978 (16 U.S.C. 
                        2203); and
                    ``(B) use for those purposes--
                            ``(i) any funds made available under those 
                        programs; and
                            ``(ii) as the Secretary determines to be 
                        necessary, any funds made available to carry 
                        out the emergency landscape restoration 
                        program.
            ``(2) Termination of authority.--The authority of the 
        Secretary to carry out paragraph (1) shall terminate on the 
        effective date of final regulations to implement the emergency 
        landscape restoration program.''.
    (b) Conforming Amendments.--
            (1) Effective on the effective date of final regulations to 
        implement the emergency landscape restoration program under 
        section 1240R of the Food Security Act of 1985 (as added by 
        subsection (a)), title IV of the Agricultural Credit Act of 
        1978 (16 U.S.C. 2201 et seq.) is repealed.
            (2) Section 1211(a)(3)(C) of the Food Security Act of 1985 
        (16 U.S.C. 3811(a)(3)(C)) is amended by inserting ``section 
        1240R or'' after ``a payment under''.
            (3) Section 1221(b)(3)(C) of the Food Security Act of 1985 
        (16 U.S.C. 3821(b)(3)(C)) is amended by inserting ``section 
        1240R or'' after ``A payment under''.

SEC. 2399. VOLUNTARY PUBLIC ACCESS AND HABITAT INCENTIVE PROGRAM.

    Chapter 5 of subtitle D of title XII of the Food Security Act of 
1985 (16 U.S.C. 3839bb et seq.) (as amended by section 2387(a)) is 
amended by adding at the end the following:

``SEC. 1240S. VOLUNTARY PUBLIC ACCESS AND HABITAT INCENTIVE PROGRAM.

    ``(a) In General.--The Secretary shall establish a voluntary public 
access program under which States and tribal governments may apply for 
grants to encourage owners and operators of privately-held farm, ranch, 
and forest land to voluntarily make that land available for access by 
the public for wildlife-dependent recreation, including hunting or 
fishing under programs administered by the States and tribal 
governments.
    ``(b) Applications.--In submitting applications for a grant under 
the program, a State or tribal government shall describe--
            ``(1) the benefits that the State or tribal government 
        intends to achieve by encouraging public access to private farm 
        and ranch land for--
                    ``(A) hunting and fishing; and
                    ``(B) to the maximum extent practicable, other 
                recreational purposes; and
            ``(2) the methods that will be used to achieve those 
        benefits.
    ``(c) Priority.--In approving applications and awarding grants 
under the program, the Secretary shall give priority to States and 
tribal governments that propose--
            ``(1) to maximize participation by offering a program the 
        terms of which are likely to meet with widespread acceptance 
        among landowners;
            ``(2) to ensure that land enrolled under the State or 
        tribal government program has appropriate wildlife habitat;
            ``(3) to strengthen wildlife habitat improvement efforts on 
        land enrolled in a special conservation reserve enhancement 
        program described in section 1234(f)(3) by providing incentives 
        to increase public hunting and other recreational access on 
        that land;
            ``(4) to use additional Federal, State, tribal government, 
        or private resources in carrying out the program; and
            ``(5) to make available to the public the location of land 
        enrolled.
    ``(d) Relationship to Other Laws.--Nothing in this section preempts 
a State or tribal government law (including any State or tribal 
government liability law).
    ``(e) Regulations.--The Secretary shall promulgate such regulations 
as are necessary to carry out this section.''.

                 Subtitle E--Funding and Administration

SEC. 2401. FUNDING AND ADMINISTRATION.

    Section 1241(a) of the Food Security Act of 1985 (16 U.S.C. 
3841(a)) is amended--
            (1) in the matter preceding paragraph (1), by striking 
        ``2007'' and inserting ``2012''; and
            (2) by striking paragraphs (3) through (7) and inserting 
        the following:
            ``(3) The conservation security program under subchapter A 
        of chapter 2, using $2,317,000,000 to administer contracts 
        entered into as of the day before the date of enactment of the 
        Food and Energy Security Act of 2007, to remain available until 
        expended.
            ``(4) The conservation stewardship program under subchapter 
        B of chapter 6.
            ``(5) The farmland protection program under subchapter B of 
        chapter 2, using, to the maximum extent practicable, 
        $97,000,000 for each of fiscal years 2008 through 2012.
            ``(6) The grassland reserve program under subchapter C of 
        chapter 2, using, to the maximum extent practicable, 
        $240,000,000 for the period of fiscal years 2008 through 2012.
            ``(7) The environmental quality incentives program under 
        chapter 4, using, to the maximum extent practicable--
                    ``(A) $1,270,000,000 for each of fiscal years 2008 
                and 2009; and
                    ``(B) $1,300,000,000 for each of fiscal years 2010 
                through 2012.
            ``(8) The wildlife habitat incentives program under section 
        1240N, using, to the maximum extent practicable, $85,000,000 
        for each of fiscal years 2008 through 2012.
            ``(9) The voluntary public access program under section 
        1240S, using, to the maximum extent practicable, $20,000,000 in 
        each of fiscal years 2008 through 2012.''.

SEC. 2402. REGIONAL EQUITY.

    Section 1241 of the Food Security Act of 1985 (16 U.S.C. 3841) is 
amended by striking subsection (d) and inserting the following:
    ``(d) Regional Equity.--
            ``(1) In general.--Before April 1 of each fiscal year, the 
        Secretary shall give priority for funding under the 
        conservation programs under subtitle D and the agricultural 
        management assistance program under section 524(b) of the 
        Federal Crop Insurance Act (7 U.S.C. 1524(b)) (excluding the 
        conservation reserve program under subchapter B of chapter 1 
        and the wetlands reserve program under subchapter C of chapter 
        1) to approved applications in any State that has not received, 
        for the fiscal year, an aggregate amount of at least 
        $15,000,000 for those conservation programs.
    ``(e) Specific Funding Allocations.--In determining the specific 
funding allocations for each State under paragraph (1), the Secretary 
shall consider the respective demand for each program in each State.
    ``(f) Allocations Review and Update.--
            ``(1) Review.--Not later than January 1, 2012, the 
        Secretary shall conduct a review of conservation program 
        allocation formulas to determine the sufficiency of the 
        formulas in accounting for State-level economic factors, level 
        of agricultural infrastructure, or related factors that affect 
        conservation program costs.
            ``(2) Update.--The Secretary shall improve conservation 
        program allocation formulas as necessary to ensure that the 
        formulas adequately reflect the costs of carrying out the 
        conservation programs.''.

SEC. 2403. CONSERVATION ACCESS.

    Section 1241 of the Food Security Act of 1985 (16 U.S.C. 3841) (as 
amended by section 2402) is amended by adding at the end the following:
    ``(g) Conservation Access.--
            ``(1) Assistance to eligible farmers or ranchers.--
                    ``(A) Definition of eligible farmer or rancher.--In 
                this paragraph, the term `eligible farmer or rancher' 
                means a farmer or rancher that, as determined by the 
                Secretary--
                            ``(i) derives or expects to derive more 
                        than 50 percent of the annual income of the 
                        farmer or rancher from agriculture (not 
                        including payments under the conservation 
                        reserve program established under subchapter B 
                        of chapter 1 of subtitle D); and
                            ``(ii) is--
                                    ``(I) a beginning farmer or rancher 
                                (as defined in section 343 of the 
                                Consolidated Farm and Rural Development 
                                Act (7 U.S.C. 1991)), except that in 
                                determining whether the farmer or 
                                rancher qualifies as a beginning farmer 
                                or rancher, the Secretary may--
                                            ``(aa) employ a fair and 
                                        reasonable test of net worth; 
                                        and
                                            ``(bb) use such other 
                                        criteria as the Secretary 
                                        determines to be appropriate; 
                                        or
                                    ``(II) a socially disadvantaged 
                                farmer or rancher (as defined in 
                                section 355(e) of the Consolidated Farm 
                                and Rural Development Act (7 U.S.C. 
                                2003(e)).
                    ``(B) Assistance.--In the case of each program 
                described in subsection (a), except as provided in 
                paragraph (2), for each fiscal year in which funding is 
                made available for the program, 10 percent of the funds 
                available for the fiscal year shall be used by the 
                Secretary to assist eligible farmers or ranchers.
            ``(2) Acreage programs.--In the case of the conservation 
        reserve and wetlands reserve programs, 10 percent of the 
        acreage authorized to be enrolled in any fiscal year shall be 
        used to assist eligible farmers or ranchers.
            ``(3) Repooling.--In any fiscal year, amounts not obligated 
        under this subsection by a date determined by the Secretary 
        shall be available for payments and technical assistance to all 
        persons eligible for payments or technical assistance in that 
        fiscal year under the program for which the amounts were 
        originally made available under this title.
            ``(4) Conservation innovation grants.--Funding under 
        paragraph (1) for conservation innovation grants under section 
        1240H may, in addition to purposes described in subsection (b) 
        of that section, be used for--
                    ``(A) technology transfer;
                    ``(B) farmer-to-farmer workshops; and
                    ``(C) demonstrations of innovative conservation 
                practices.
            ``(5) Technical assistance.--The Secretary shall offer, to 
        the maximum extent practicable, higher levels of technical 
        assistance to beginning farmers or ranchers and socially 
        disadvantaged farmers or ranchers than are otherwise made 
        available to producers participating in programs under this 
        title.
            ``(6) Cooperative agreements.--The Secretary may develop 
        and implement cooperative agreements with entities (including 
        government agencies, extension entities, nongovernmental and 
        community-based organizations, and educational institutions) 
        with expertise in addressing the needs of beginning farmers or 
        ranchers and socially disadvantaged farmers or ranchers to 
        provide technical assistance, comprehensive conservation 
        planning education, and sustainable agriculture training.''.

SEC. 2404. DELIVERY OF TECHNICAL ASSISTANCE.

    Section 1242 of the Food Security Act of 1985 (16 U.S.C. 3842) is 
amended to read as follows:

``SEC. 1242. DELIVERY OF TECHNICAL ASSISTANCE.

    ``(a) Definition of Eligible Participant.--In this section, the 
term `eligible participant' means--
            ``(1) an agricultural producer;
            ``(2) an eligible entity;
            ``(3) an eligible landowner; and
            ``(4) an interested organization.
    ``(b) Purpose.--The purpose of technical assistance authorized by 
this title is to provide eligible participants with consistent, 
science-based, site-specific practices designed to achieve conservation 
objectives on land active in agricultural, forestry, or related uses.
    ``(c) Provision of Technical Assistance.--The Secretary shall 
provide technical assistance under this title to an eligible 
participant--
            ``(1) directly;
            ``(2) through a contract or agreement with a third-party 
        provider; or
            ``(3) at the option of the eligible participant, through a 
        payment, as determined by the Secretary, to the eligible 
        participant for an approved third-party provider, if available.
    ``(d) Certification of Third-Party Providers.--
            ``(1) In general.--The Secretary shall continue to carry 
        out the technical service provider program established under 
        regulations promulgated under subsection (b)(1) (as in 
        existence on the day before the date of enactment of this 
        subsection).
            ``(2) Purpose.--The purpose of the technical service 
        provider program shall be to increase the availability and 
        range of technical expertise available to farmers, ranchers, 
        and eligible landowners to plan and implement conservation 
        measures.
            ``(3) Expertise.--In promulgating regulations to carry out 
        this subsection, the Secretary shall--
                    ``(A) ensure that persons with expertise in the 
                technical aspects of conservation planning, watershed 
                planning, and environmental engineering (including 
                commercial entities, nonprofit entities, State or local 
                governments or agencies, and other Federal agencies) 
                are eligible to become approved providers of the 
                technical assistance; and
                    ``(B) to the maximum extent practicable--
                            ``(i) provide national criteria for the 
                        certification of technical service providers; 
                        and
                            ``(ii) approve any unique certification 
                        standards established at the State level.
            ``(4) System administration.--
                    ``(A) Funding.--Effective for fiscal year 2008 and 
                each subsequent fiscal year, funds of the Commodity 
                Credit Corporation that are made available to carry out 
                each of the programs specified in section 1241 shall be 
                available for the provision of technical assistance 
                from third-party providers under this section.
                    ``(B) Contract term.--A contract under this section 
                shall have a term that--
                            ``(i) at a minimum, is equal to the 
                        period--
                                    ``(I) beginning on the date on 
                                which the contract is entered into; and
                                    ``(II) ending on the date that is 1 
                                year after the date on which all 
                                activities in the contract have been 
                                completed;
                            ``(ii) does not exceed 3 years; and
                            ``(iii) can be renewed, as determined by 
                        the Secretary.
                    ``(C) Review of certification requirements.--Not 
                later than 1 year after the date of enactment of this 
                subsection, the Secretary shall--
                            ``(i) review certification requirements for 
                        third-party providers; and
                            ``(ii) make any adjustments considered 
                        necessary by the Secretary to improve 
                        participation.
                    ``(D) Eligible activities.--The Secretary may 
                include in activities eligible for payment to a third-
                party provider--
                            ``(i) education and outreach to eligible 
                        participants; and
                            ``(ii) administrative services necessary to 
                        support conservation program implementation.
    ``(e) Availability of Technical Services.--
            ``(1) Availability.--
                    ``(A) In general.--In carrying out the programs 
                under this title and the agricultural management 
                assistance program under section 524 of the Federal 
                Crop Insurance Act (7 U.S.C. 1524), the Secretary shall 
                make technical services available to all eligible 
                participants who are installing an eligible practice.
                    ``(B) Technical service contracts.--In any case in 
                which financial assistance is not requested or is not 
                provided under subparagraph (A), the Secretary may 
                enter into a technical service contract with the 
                applicable eligible participant for the purposes of 
                assisting in the planning, design, or installation of 
                an eligible practice.
            ``(2) Review of conservation practice standards.--
                    ``(A) In general.--The Secretary shall--
                            ``(i) review conservation practice 
                        standards, including engineering design 
                        specifications, in effect on the date of 
                        enactment of this subsection;
                            ``(ii) ensure, to the maximum extent 
                        practicable, the completeness and relevance of 
                        the standards to local agricultural, forestry, 
                        and natural resource needs, including specialty 
                        crops, native and managed pollinators, 
                        bioenergy crop production, forestry, and such 
                        other needs as are determined by the Secretary; 
                        and
                            ``(iii) ensure that the standards provide 
                        for the optimal balance between meeting site-
                        specific conservation needs and minimizing 
                        risks of design failure and associated costs of 
                        construction and installation.
                    ``(B) Consultation.--In conducting the assessment 
                under subparagraph (A), the Secretary shall consult 
                with agricultural producers, crop consultants, 
                cooperative extension and land grant universities, 
                nongovernmental organizations, and other qualified 
                entities.
                    ``(C) Expedited revision of standards.--If the 
                Secretary determines under subparagraph (A) that 
                revisions to the conservation practice standards, 
                including engineering design specifications, are 
                necessary, the Secretary shall establish an 
                administrative process for expediting the revisions.
            ``(3) Addressing concerns of speciality crop, organic, and 
        precision agriculture producers.--
                    ``(A) In general.--The Secretary shall--
                            ``(i) to the maximum extent practicable, 
                        fully incorporate specialty crop production, 
                        organic crop production, and precision 
                        agriculture into the conservation practice 
                        standards; and
                            ``(ii) provide for the appropriate range of 
                        conservation practices and resource mitigation 
                        measures available to specialty crop, organic, 
                        and precision agriculture producers.
                    ``(B) Availability of adequate technical 
                assistance.--
                            ``(i) In general.--The Secretary shall 
                        ensure that adequate technical assistance is 
                        available for the implementation of 
                        conservation practices by specialty crop, 
                        organic, and precision agriculture producers 
                        through Federal conservation programs.
                            ``(ii) Requirements.--In carrying out 
                        clause (i), the Secretary shall develop--
                                    ``(I) programs that meet specific 
                                needs of specialty crop, organic, and 
                                precision agriculture producers through 
                                cooperative agreements with other 
                                agencies and nongovernmental 
                                organizations; and
                                    ``(II) program specifications that 
                                allow for innovative approaches to 
                                engage local resources in providing 
                                technical assistance for planning and 
                                implementation of conservation 
                                practices.''.

SEC. 2405. ADMINISTRATIVE REQUIREMENTS FOR CONSERVATION PROGRAMS.

    (a) Streamlined Application Process.--Section 1244 of the Food 
Security Act of 1985 (16 U.S.C. 3844) is amended--
            (1) by redesignating subsection (b) as subsection (c); and
            (2) by inserting after subsection (a) the following:
    ``(b) Streamlined Application Process.--
            ``(1) In general.--In carrying out each conservation 
        program under this title, the Secretary shall ensure that the 
        application process used by producers and landowners is 
        streamlined to minimize complexity and eliminate redundancy.
            ``(2) Review and streamlining.--
                    ``(A) Review.--The Secretary shall carry out a 
                review of the application forms and processes for each 
                conservation program covered by this subsection.
                    ``(B) Streamlining.--On completion of the review 
                the Secretary shall revise application forms and 
                processes, as necessary, to ensure that--
                            ``(i) all required application information 
                        is essential for the efficient, effective, and 
                        accountable implementation of conservation 
                        programs;
                            ``(ii) conservation program applicants are 
                        not required to provide information that is 
                        readily available to the Secretary through 
                        existing information systems of the Department 
                        of Agriculture;
                            ``(iii) information provided by the 
                        applicant is managed and delivered efficiently 
                        for use in all stages of the application 
                        process, or for multiple applications; and
                            ``(iv) information technology is used 
                        effectively to minimize data and information 
                        input requirements.
            ``(3) Implementation and notification.--Not later than 1 
        year after the date of enactment of the Food and Energy 
        Security Act of 2007, the Secretary shall submit to Congress a 
        written notification of completion of the requirements of this 
        subsection.''.
    (b) Administration.--Section 1244 of the Food Security Act of 1985 
(16 U.S.C. 3844) (as amended by subsection (a)) is amended by adding at 
the end the following:
    ``(d) Cooperation Regarding Protection.--In the case of a landowner 
who enrolls land in a conservation program authorized under this title 
that results in a net conservation benefit for a listed, candidate, or 
other species, the Secretary shall cooperate at the request of the 
landowner with the Secretary of the Interior and the Secretary of 
Commerce, as appropriate, to make available to the landowner safe 
harbor or similar assurances and protections under sections 7(b)(4) and 
10(a), as applicable, of the Endangered Species Act of 1973 (16 U.S.C. 
1536(b)(4), 1539(a)).
    ``(e) Eligibility of Producer Organizations.--
            ``(1) In general.--In carrying out a conservation program 
        administered by the Secretary, the Secretary shall accept 
        applications from, and shall provide cost-share and incentive 
        payments and other assistance to, producers who elect to apply 
        through an organization that represents producers and of which 
        producers make up a majority of the governing body, if the 
        Secretary determines that--
                    ``(A) the full objective of the proposed activity, 
                practice, or plan cannot be realized without the 
                participation of all or substantially all of the 
                producers in the affected area; and
                    ``(B) the benefits achieved through the proposed 
                activity, practice, or plan are likely to be greater 
                and to be delivered more cost-effectively if provided 
                through a single organization with related conservation 
                expertise and management experience.
            ``(2) Limitation.--Any applicable payment limitation shall 
        apply to each participating producer and not to the 
        organization described in paragraph (1).
    ``(f) Partnerships and Cooperation.--
            ``(1) In general.--In carrying out a program under subtitle 
        D, the Secretary may designate special projects, as recommended 
        if appropriate by the State Executive Director of the 
        Conservationist, after consultation with the State technical 
        committee, to enhance assistance provided to multiple producers 
        to address conservation issues relating to agricultural and 
        nonindustrial private forest management and production.
            ``(2) Purposes.--The purposes of special projects carried 
        out under this subsection shall be to achieve statewide or 
        regional conservation objectives by--
                    ``(A) encouraging producers to cooperate in the 
                installation and maintenance of conservation practices 
                that affect multiple agricultural operations;
                    ``(B) encouraging producers to cooperate in meeting 
                applicable Federal, State, and local regulatory 
                requirements regarding natural resources and the 
                environment;
                    ``(C) encouraging producers to share information 
                and technical and financial resources;
                    ``(D) facilitating cumulative conservation benefits 
                in geographic areas; and
                    ``(E) promoting the development and demonstration 
                of innovative conservation methods.
            ``(3) Eligible partners.--State and local government 
        entities (including irrigation and water districts and canal 
        companies), Indian tribes, farmer cooperatives, institutions of 
        higher education, nongovernmental organizations, and producer 
        associations shall be eligible to apply under this subsection.
            ``(4) Special project application.--To apply for 
        designation under paragraph (1), partners shall submit an 
        application to the Secretary that includes--
                    ``(A) a description of the geographic area, the 
                current conditions, the conservation objectives to be 
                achieved through the special project, and the expected 
                level of participation by agricultural and 
                nonindustrial private forest landowners;
                    ``(B) a description of the partners collaborating 
                to achieve the project objectives and the roles, 
                responsibilities, and capabilities of the partners;
                    ``(C) a description of the program resources 
                requested from the Secretary, in relevant units, and 
                the non-Federal resources that will be leveraged by the 
                Federal contribution; and
                    ``(D) such other information as the Secretary 
                considers necessary.
            ``(5) Duties of the secretary.--
                    ``(A) In general.--The Secretary shall enter into 
                multiyear agreements with partners to facilitate the 
                delivery of conservation program resources in a manner 
                to achieve the purposes described in paragraph (2).
                    ``(B) Project selection.--
                            ``(i) In general.--The Secretary shall 
                        conduct a competitive process to select 
                        projects funded under this subsection.
                            ``(ii) Factors considered.--In conducting 
                        the process described in clause (i), the 
                        Secretary shall make public factors to be 
                        considered in evaluating applications.
                            ``(iii) Priority.--The Secretary may give 
                        priority to applications based on the highest 
                        percentage of--
                                    ``(I) producers involved;
                                    ``(II) on-the-ground conservation 
                                to be implemented;
                                    ``(III) non-Federal resources to be 
                                leveraged; and
                                    ``(IV) other factors, as determined 
                                by the Secretary.
                    ``(C) Technical and financial assistance.--The 
                Secretary and partners shall provide appropriate 
                technical and financial assistance to producers 
                participating in a special project in an amount 
                determined by the Secretary to be necessary to achieve 
                the purposes described in paragraph (2).
                    ``(D) Flexibility.--The Secretary may adjust 
                elements of the programs under this title to better 
                reflect unique local circumstances and purposes, if the 
                Secretary determines that such adjustments are 
                necessary to achieve the purposes of this subsection.
                    ``(E) Administration.--
                            ``(i) In general.--The Secretary shall 
                        ensure that resources made available under this 
                        subsection are delivered in accordance with 
                        applicable program rules.
                            ``(ii) Additional requirements.--The 
                        Secretary may establish additional requirements 
                        beyond applicable program rules in order to 
                        effectively implement this subsection.
            ``(6) Special rules applicable to regional water 
        enhancement projects.--
                    ``(A) Definitions.--In this paragraph:
                            ``(i) Eligible partner.--The term `eligible 
                        partner' means--
                                    ``(I) an eligible partner 
                                identified in paragraph (3); and
                                    ``(II) a water or wastewater agency 
                                of a State.
                            ``(ii) Eligible project.--
                                    ``(I) In general.--The term 
                                `eligible project' means a project that 
                                is specifically targeted to improve 
                                water quality or quantity in an area.
                                    ``(II) Inclusions.--The term 
                                `eligible project' includes a project 
                                that involves--
                                            ``(aa) resource condition 
                                        assessment and modeling;
                                            ``(bb) water quality, water 
                                        quantity, or water conservation 
                                        plan development;
                                            ``(cc) management system 
                                        and environmental monitoring 
                                        and evaluation;
                                            ``(dd) cost-share 
                                        restoration or enhancement;
                                            ``(ee) incentive payments 
                                        for land management practices;
                                            ``(ff) easement purchases;
                                            ``(gg) conservation 
                                        contracts with landowners;
                                            ``(hh) improved irrigation 
                                        systems;
                                            ``(ii) water banking and 
                                        other forms of water 
                                        transactions;
                                            ``(jj) groundwater 
                                        recharge;
                                            ``(kk) stormwater capture; 
                                        and
                                            ``(ll) other water-related 
                                        activities that the Secretary 
                                        determines will help to achieve 
                                        the water quality or water 
                                        quantity benefits identified in 
                                        the agreement in subparagraph 
                                        (E) on land described in 
                                        paragraph (1).
                    ``(B) Regional water enhancement procedures.--With 
                respect to proposals for eligible projects by eligible 
                partners, the Secretary shall establish specific 
                procedures (to be known collectively as `regional water 
                enhancement procedures') in accordance with this 
                paragraph.
                    ``(C) Means.--Regional water enhancement activities 
                in a particular region shall be carried out through a 
                combination of--
                            ``(i) multiyear agreements between the 
                        Secretary and eligible partners;
                            ``(ii) other regional water enhancement 
                        activities carried out by the Secretary; and
                            ``(iii) regional water enhancement 
                        activities carried out by eligible partners 
                        through other means.
                    ``(D) Multiyear agreements with eligible 
                partners.--
                            ``(i) Solicitation of proposals.--Not later 
                        than 90 days after the date of enactment of 
                        this subsection, the Secretary shall invite 
                        prospective eligible partners to submit 
                        proposals for regional water enhancement 
                        projects.
                            ``(ii) Elements of proposals.--To be 
                        eligible for consideration for participation in 
                        the program, a proposal submitted by an 
                        eligible partner shall include--
                                    ``(I) identification of the exact 
                                geographic area for which the 
                                partnership is proposed, which may be 
                                based on--
                                            ``(aa) a watershed (or 
                                        portion of a watershed);
                                            ``(bb) an irrigation, 
                                        water, or drainage district;
                                            ``(cc) the service area of 
                                        an irrigation water delivery 
                                        entity; or
                                            ``(dd) some other 
                                        geographic area with 
                                        characteristics that make the 
                                        area suitable for landscape-
                                        wide program implementation;
                                    ``(II) identification of the water 
                                quality or water quantity issues that 
                                are of concern in the area;
                                    ``(III) a method for determining a 
                                baseline assessment of water quality, 
                                water quantity, and other related 
                                resource conditions in the region;
                                    ``(IV) a detailed description of 
                                the proposed water quality or water 
                                quantity improvement activities to be 
                                undertaken in the area, including an 
                                estimated timeline and program 
                                resources for every activity; and
                                    ``(V) a description of the 
                                performance measures to be used to 
                                gauge the effectiveness of the water 
                                quality or water quantity improvement 
                                activities.
                            ``(iii) Selection of proposals.--The 
                        Secretary shall award multiyear agreements 
                        competitively, with priority given, as 
                        determined by the Secretary, to selecting 
                        proposals that--
                                    ``(I) have the highest likelihood 
                                of improving the water quality or 
                                quantity issues of concern for the 
                                area;
                                    ``(II) involve multiple 
                                stakeholders and will ensure the 
                                highest level of participation by 
                                producers and landowners in the area 
                                through performance incentives to 
                                encourage adoption of specific 
                                practices in specific locations;
                                    ``(III) will result in the 
                                inclusion of the highest percentage of 
                                working agricultural land in the area;
                                    ``(IV) will result in the highest 
                                percentage of on-the-ground activities 
                                as compared to administrative costs;
                                    ``(V) will provide the greatest 
                                contribution to sustaining or enhancing 
                                agricultural or silvicultural 
                                production in the area; and
                                    ``(VI) include performance measures 
                                that will allow post-activity 
                                conditions to be satisfactorily 
                                measured to gauge overall 
                                effectiveness.
                            ``(iv) Duration.--
                                    ``(I) In general.--Multiyear 
                                agreements under this subsection shall 
                                be for a period not to exceed 5 years.
                                    ``(II) Early termination.--The 
                                Secretary may terminate a multiyear 
                                agreement before the end of the 
                                agreement if the Secretary determines 
                                that performance measures are not being 
                                met.
                    ``(E) Agreements.--Not later than 30 days after the 
                date on which the Secretary awards an agreement under 
                subparagraph (D), the Secretary shall enter into an 
                agreement with the eligible partner that, at a minimum, 
                contains--
                            ``(i) a description of the respective 
                        duties and responsibilities of the Secretary 
                        and the eligible partner in carrying out the 
                        activities in the area; and
                            ``(ii) the criteria that the Secretary will 
                        use to evaluate the overall effectiveness of 
                        the regional water enhancement activities 
                        funded by the multiyear agreement in improving 
                        the water quality or quantity conditions of the 
                        region relative to the performance measures in 
                        the proposal.
                    ``(F) Contracts with other parties.--An agreement 
                awarded under subparagraph (D) may provide for the use 
                of third-party providers (including other eligible 
                partners) to undertake specific regional water 
                enhancement activities in a region on a contractual 
                basis with the Secretary or the eligible partner.
                    ``(G) Consultation with other agencies.--With 
                respect to areas in which a Federal or State agency is, 
                or will be, undertaking other water quality or 
                quantity-related activities, the Secretary and the 
                eligible partner may consult with the Federal or State 
                agency in order to--
                            ``(i) coordinate activities;
                            ``(ii) avoid duplication; and
                            ``(iii) ensure that water quality or 
                        quantity improvements attributable to the other 
                        activities are taken into account in the 
                        evaluation of the Secretary under subparagraph 
                        (E)(ii).
                    ``(H) Relationship to other programs.--The 
                Secretary shall ensure that, to the extent that 
                producers and landowners are individually participating 
                in other programs under subtitle D in a region in which 
                a regional water enhancement project is in effect, any 
                improvements to water quality or water quantity 
                attributable to the individual participation are 
                included in the evaluation criteria developed under 
                subparagraph (E)(ii).
                    ``(I) Consistency with state law.--Any water 
                quality or water quantity improvement activity 
                undertaken under this paragraph shall be consistent 
                with State water laws.
            ``(7) Funding.--
                    ``(A) In general.--The Secretary shall use not more 
                than 5 percent of the funds made available for 
                conservation programs under subtitle D for each fiscal 
                year under section 1241(a) to carry out activities that 
                are authorized under this subsection.
                    ``(B) Partners.--Overhead or administrative costs 
                of partners may not be covered by funds provided 
                through this subsection.
                    ``(C) Unused funding.--Any funds made available for 
                a fiscal year under subparagraph (A) that are not 
                obligated by April 1 of the fiscal year may be used to 
                carry out other activities under conservation programs 
                under subtitle D during the fiscal year in which the 
                funding becomes available.
    ``(g) Accuracy of Payments.--Immediately after the date of 
enactment of this subsection, the Secretary shall implement policies 
and procedures to ensure proper payment of farm program benefits to 
producers participating in conservation easement programs and correct 
other management deficiencies identified in Report No. 50099-11-SF 
issued by the Department of Agriculture Office of Inspector General in 
August 2007.
    ``(h) Compliance and Performance.--For each conservation program 
under this title, the Secretary shall develop procedures--
            ``(1) to monitor compliance with program requirements by 
        landowners and eligible entities;
            ``(2) to measure program performance;
            ``(3) to demonstrate whether the long-term conservation 
        benefits of the program are being achieved; and
            ``(4) to coordinate activities described in this subsection 
        with the national conservation program authorized under section 
        5 of the Soil and Water Resources Conservation Act of 1977 (16 
        U.S.C. 2004).
    ``(i) Direct Attribution of Payments.--In implementing payment 
limitations for any program under this title, the Secretary shall issue 
such regulations as are necessary to ensure that the total amount of 
payments are attributed to an individual by taking into account the 
direct and indirect ownership interests of the individual in an entity 
that is eligible to receive the payments.''.
    (c) Conforming Amendments.--Section 1234 of the Food Security Act 
of 1985 (16 U.S.C. 3834) is amended--
            (1) in subsection (d)(3)(B), by striking ``(f)(4)'' and 
        inserting ``(f)(3)''; and
            (2) in subsection (f)--
                    (A) in paragraph (1)--
                            (i) by striking ``The total'' and inserting 
                        ``Subject to section 1244(i), the total''; and
                            (ii) by striking ``a person'' and inserting 
                        ``an individual'';
                    (B) by striking paragraph (2); and
                    (C) by redesignating paragraphs (3) and (4) as 
                paragraphs (2) and (3), respectively.

SEC. 2406. CONSERVATION PROGRAMS IN ENVIRONMENTAL SERVICES MARKETS.

    Subtitle E of the Food Security Act of 1985 (16 U.S.C. 3841 et 
seq.) is amended by adding at the end the following:

``SEC. 1245. CONSERVATION PROGRAMS IN ENVIRONMENTAL SERVICES MARKETS.

    ``(a) Framework.--
            ``(1) In general.--The Secretary shall establish a 
        framework to facilitate the participation of farmers, ranchers, 
        and forest landowners in emerging environmental services 
        markets.
            ``(2) Process.--In carrying out paragraph (1), the 
        Secretary shall use a collaborative process that includes 
        representatives of--
                    ``(A) farm, ranch, and forestry interests;
                    ``(B) financial institutions involved in 
                environmental services trading;
                    ``(C) institutions of higher education with 
                relevant expertise or experience;
                    ``(D) nongovernmental organizations with relevant 
                expertise or experience;
                    ``(E) government agencies of relevant jurisdiction, 
                including--
                            ``(i) the Department of Commerce;
                            ``(ii) the Department of Energy;
                            ``(iii) the Department of the Interior;
                            ``(iv) the Department of Transportation;
                            ``(v) the Environmental Protection Agency; 
                        and
                            ``(vi) the Corps of Engineers; and
                    ``(F) other appropriate interests, as determined by 
                the Secretary.
            ``(3) Requirements.--
                    ``(A) Definition of standard.--In this paragraph, 
                the term `standard' means a technical guideline that 
                outlines accepted, science-based methods to quantify 
                the environmental services benefits from agricultural 
                and forest conservation and land management practices, 
                as determined by the Secretary.
                    ``(B) Framework requirements.--In establishing the 
                framework under paragraph (1), the Secretary shall--
                            ``(i) establish uniform standards;
                            ``(ii) design accounting procedures to 
                        quantify environmental services benefits that 
                        would assist farmers, ranchers, and forest 
                        landowners in using the uniform standards to 
                        establish certifications, as defined in 
                        emerging environmental services markets;
                            ``(iii) establish--
                                    ``(I) a protocol to report 
                                environmental services benefits; and
                                    ``(II) a registry to report and 
                                maintain the benefits for future use in 
                                emerging environmental services 
                                markets; and
                            ``(iv) establish a process to verify that a 
                        farmer, rancher, or forest landowner that 
                        reports and maintains an environmental services 
                        benefit in the registry described in clause 
                        (iii)(II) has implemented the reported 
                        conservation or land management activity.
                    ``(C) Third-party service providers.--In developing 
                the process described in subparagraph (B)(iv), the 
                Secretary shall consider the role of third-party 
                service providers.
            ``(4) Coordination.--The Secretary shall coordinate and 
        leverage activities in existence on the date of enactment of 
        this section in agriculture and forestry relating to emerging 
        environmental services markets.
            ``(5) Priority.--In establishing the framework under this 
        subsection, the Secretary shall give priority to providing 
        assistance to farmers, ranchers, and forest landowners 
        participating in carbon markets.
    ``(b) Authority to Delegate.--The Secretary may delegate any 
responsibility under this section to a relevant agency or office, as 
determined by the Secretary.
    ``(c) Reports to Congress.--
            ``(1) Status of collaborative process.--Not later than 90 
        days after the date of enactment of this section, 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 information on the status of the 
        collaborative process under subsection (a)(2).
            ``(2) Interim report.--Not later than 180 days after the 
        date of enactment of this section, the Secretary shall submit 
        to the committees of Congress described in paragraph (1) an 
        interim report that--
                    ``(A) describes the adequacy of existing research 
                and methods to quantify environmental services 
                benefits;
                    ``(B) proposes methods--
                            ``(i) to establish technical guidelines, 
                        accounting procedures, and reporting protocols; 
                        and
                            ``(ii) to structure the registry; and
                    ``(C) includes recommendations for actions to 
                remove barriers for farmers, ranchers, and forest 
                landowners to participation, reporting, registration, 
                and verification relating to environmental services 
                markets.
            ``(3) Final report.--Not later than 18 months after the 
        date of enactment of this section, the Secretary shall submit 
        to the committees of Congress described in paragraph (1) a 
        report that describes--
                    ``(A) the progress of the Secretary in meeting the 
                requirements described in subsection (a)(3)(B);
                    ``(B) the rates of participation of farmers, 
                ranchers, and forest landowners in emerging 
                environmental services markets; and
                    ``(C) any recommendations of the Secretary relating 
                to reauthorization of this section.
    ``(d) Funding.--There are authorized to be appropriated to the 
Secretary to carry out this section such sums as are necessary for each 
of fiscal years 2008 through 2012.''.

                 Subtitle F--State Technical Committees

SEC. 2501. STATE TECHNICAL COMMITTEES.

    (a) Standards.--Section 1261 of the Food Security Act of 1985 (16 
U.S.C. 3861(c)) is amended by striking subsection (b) and inserting the 
following:
    ``(b) Standards.--Not later than 180 days after the date of 
enactment of the Food and Energy Security Act of 2007, the Secretary 
shall develop--
            ``(1) standard operating procedures to standardize the 
        operations of State technical committees; and
            ``(2) standards to be used by the State technical 
        committees in the development of technical guidelines under 
        section 1262(b) for the implementation of the conservation 
        provisions of this title.''.
    (b) Composition.--Section 1261(c) of the Food Security Act of 1985 
(16 U.S.C. 3861(c)) is amended--
            (1) by striking paragraphs (1) and (2) and inserting the 
        following:
            ``(1) the Natural Resources Conservation Service;
            ``(2) the Farm Service Agency;'';
            (2) by striking paragraph (5) and inserting the following:
            ``(5) Rural Development agencies;'';
            (3) in paragraph (11), by striking ``and'' at the end;
            (4) in paragraph (12), by striking the period at the end 
        and inserting ``; and''; and
            (5) by adding at the end the following:
            ``(13) nonindustrial private forest land owners.''.
    (c) FACA Requirements.--Section 1262(e) of the Food Security Act of 
1985 (16 U.S.C. 3862(e)) is amended--
            (1) by striking ``The committees'' and inserting the 
        following:
            ``(1) In general.--The committees''; and
            (2) by adding at the end the following:
            ``(2) Local working groups.--For purposes of the Federal 
        Advisory Committee Act (5 U.S.C. App.), any local working group 
        established under this subtitle shall be considered to be a 
        subcommittee of the applicable State technical committee.''.

                     Subtitle G--Other Authorities

SEC. 2601. AGRICULTURAL MANAGEMENT ASSISTANCE.

    Section 524(b) of the Federal Crop Insurance Act (7 U.S.C. 1524(b)) 
is amended--
            (1) in paragraph (1), by inserting ``Idaho'' after 
        ``Delaware''; and
            (2) in paragraph (4)(B), by striking ``2007'' each place it 
        appears and inserting ``2012''.

SEC. 2602. AGRICULTURE CONSERVATION EXPERIENCED SERVICES PROGRAM.

    The Department of Agriculture Reorganization Act of 1994 (7 U.S.C. 
6901 et seq.) is amended by adding at the end the following:

``SEC. 307. AGRICULTURE CONSERVATION EXPERIENCED SERVICES PROGRAM.

    ``(a) Establishment.--
            ``(1) In general.--Notwithstanding any other provision of 
        law relating to Federal grants, cooperative agreements, or 
        contracts, there is established in the Department the 
        agriculture conservation experienced services program (referred 
        to in this section as the `ACE program').
            ``(2) Authorization.--Under the ACE program, the Secretary 
        may offer to enter into agreements with nonprofit private 
        agencies and organizations eligible to receive grants for the 
        applicable fiscal year under title V of the Older Americans Act 
        of 1965 (42 U.S.C. 3056 et seq.) to use the talents of 
        individuals who are age 55 or older, to provide conservation 
        technical assistance in support of the administration of 
        conservation-related programs and authorities administered by 
        the Secretary.
            ``(3) Funding.--Agreements described in paragraph (2) may 
        be carried out using funds made available to carry out--
                    ``(A) the environmental quality incentives program 
                of the comprehensive stewardship incentives program 
                established under subchapter A of chapter 6 of subtitle 
                D of title XII of the Food Security Act of 1985;
                    ``(B) the Soil Conservation and Domestic Allotment 
                Act (16 U.S.C. 590a et seq.); or
                    ``(C) title V of the Older Americans Act of 1965 
                (42 U.S.C. 3056).
    ``(b) Determination.--Prior to entering into an agreement described 
in subsection (a)(2), the Secretary shall determine that the agreement 
would not--
            ``(1) result in the displacement of individuals employed by 
        the Department, including partial displacement through 
        reduction of nonovertime hours, wages, or employment benefits;
            ``(2) result in the use of an individual covered by this 
        section for a job or function in a case in which a Federal 
        employee is in a layoff status from the same or a 
        substantially-equivalent job or function with the Department; 
        or
            ``(3) affect existing contracts for services.
    ``(c) Technical Assistance.--The Secretary may make available to 
individuals providing technical assistance under an agreement 
authorized by this section appropriate conservation technical tools, 
including the use of agency vehicles necessary to carry out technical 
assistance in support of the conservation-related programs affected by 
the ACE program.''.

SEC. 2603. TECHNICAL ASSISTANCE.

    (a) Soil Conservation and Domestic Allotment Act.--
            (1) Prevention of soil erosion.--
                    (A) In general.--The first section of the Soil 
                Conservation and Domestic Allotment Act (16 U.S.C. 
                590a) is amended--
                            (i) by striking ``That it'' and inserting 
                        the following:

``SECTION 1. PURPOSE.

    ``It''; and
                            (ii) in the matter preceding paragraph (1), 
                        by striking ``and thereby to preserve natural 
                        resources,'' and inserting ``to preserve soil, 
                        water, and related resources, promote soil and 
                        water quality,''.
                    (B) Policies and purposes.--Section 7(a)(1) of the 
                Soil Conservation and Domestic Allotment Act (16 U.S.C. 
                590g(a)(1)) is amended by striking ``fertility'' and 
                inserting ``and water quality and related resources''.
            (2) Definitions.--Section 10 of the Soil Conservation and 
        Domestic Allotment Act (16 U.S.C. 590j) is amended to read as 
        follows:

``SEC. 10. DEFINITIONS.

    ``In this Act:
            ``(1) Agricultural commodity.--The term `agricultural 
        commodity' means--
                    ``(A) an agricultural commodity; and
                    ``(B) any regional or market classification, type, 
                or grade of an agricultural commodity.
            ``(2) Technical assistance.--
                    ``(A) In general.--The term `technical assistance' 
                means technical expertise, information, and tools 
                necessary for the conservation of natural resources on 
                land active in agricultural, forestry, or related uses.
                    ``(B) Inclusions.--The term `technical assistance' 
                includes--
                            ``(i) technical services provided directly 
                        to farmers, ranchers, and other eligible 
                        entities, such as conservation planning, 
                        technical consultation, and assistance with 
                        design and implementation of conservation 
                        practices; and
                            ``(ii) technical infrastructure, including 
                        activities, processes, tools, and agency 
                        functions needed to support delivery of 
                        technical services, such as technical 
                        standards, resource inventories, training, 
                        data, technology, monitoring, and effects 
                        analyses.''.
    (b) Soil and Water Resources Conservation Act of 1977.--
            (1) Congressional findings.--Section 2 of the Soil and 
        Water Resources Conservation Act of 1977 (16 U.S.C. 2001) is 
        amended--
                    (A) in paragraph (2), by striking ``base, of the'' 
                and inserting ``base of the''; and
                    (B) in paragraph (3), by striking ``(3)'' and all 
                that follows through ``Since individual'' and inserting 
                the following:
            ``(3) Appraisal and inventory of resources, assessment and 
        inventory of conservation needs, evaluation of the effects of 
        conservation practices, and analyses of alternative 
        conservation programs are basic to effective soil, water, and 
        related natural resource conservation.
            ``(4) Since individual''.
            (2) Continuing appraisal of soil, water, and related 
        resources.--Section 5 of the Soil and Water Resources 
        Conservation Act of 1977 (16 U.S.C. 2004) is amended--
                    (A) in subsection (a)--
                            (i) in paragraph (5), by striking ``and'' 
                        at the end;
                            (ii) in paragraph (6), by striking the 
                        period at the end and inserting ``; and''; and
                            (iii) by adding at the end the following:
            ``(7) data on conservation plans, conservation practices 
        planned or implemented, environmental outcomes, economic costs, 
        and related matters under conservation programs administered by 
        the Secretary.'';
                    (B) by redesignating subsection (d) as subsection 
                (e);
                    (C) by inserting after subsection (c) the 
                following:
    ``(d) Evaluation of Appraisal.--In conducting the appraisal 
described in subsection (a), the Secretary shall concurrently solicit 
and evaluate recommendations for improving the appraisal, including the 
content, scope, process, participation in, and other elements of the 
appraisal, as determined by the Secretary.''; and
                    (D) in subsection (e) (as redesignated by 
                subparagraph (B)), by striking ``December 31, 1979'' 
                and all that follows through ``December 31, 2005'' and 
                inserting ``December 31, 2010, December 31, 2015, 
                December 31, 2020, and December 31, 2025''.
            (3) Soil and water conservation program.--Section 6 of the 
        Soil and Water Resources Conservation Act of 1977 (16 U.S.C. 
        2005) is amended--
                    (A) by redesignating subsection (b) as subsection 
                (d);
                    (B) by inserting after subsection (a) the 
                following:
    ``(b) Evaluation of Existing Conservation Programs.--In evaluating 
existing conservation programs, the Secretary shall emphasize 
demonstration, innovation, and monitoring of specific program 
components in order to encourage further development and adoption of 
practices and performance-based standards.
    ``(c) Improvement to Program.--In developing a national soil and 
water conservation program under subsection (a), the Secretary shall 
solicit and evaluate recommendations for improving the program, 
including the content, scope, process, participation in, and other 
elements of the program, as determined by the Secretary.''; and
                    (C) in subsection (d) (as redesignated by 
                subparagraph (A)), by striking ``December 31, 1979'' 
                and all that follows through ``December 31, 2007'' and 
                inserting ``December 31, 2011, December 31, 2016, 
                December 31, 2021, and December 31, 2026''.
            (4) Reports to congress.--Section 7 of the Soil and Water 
        Resources Conservation Act of 1977 (16 U.S.C. 2006) is amended 
        to read as follows:

``SEC. 7. REPORTS TO CONGRESS.

    ``(a) Appraisal.--Not later than the date on which Congress 
convenes in 2011, 2016, 2021, and 2026, the President shall transmit to 
the Speaker of the House of Representatives and the President of the 
Senate the appraisal developed under section 5 and completed prior to 
the end of the previous year.
    ``(b) Program and Statement of Policy.--Not later than the date on 
which Congress convenes in 2012, 2017, 2022, and 2027, the President 
shall transmit to the Speaker of the House of Representatives and the 
President of the Senate--
            ``(1) the initial program or updated program developed 
        under section 6 and completed prior to the end of the previous 
        year;
            ``(2) a detailed statement of policy regarding soil and 
        water conservation activities of the Department of Agriculture; 
        and
            ``(3) a special evaluation of the status, conditions, and 
        trends of soil quality on cropland in the United States that 
        addresses the challenges and opportunities for reducing soil 
        erosion to tolerance levels.
    ``(c) Improvements to Appraisal and Program.--Not later than the 
date on which Congress convenes in 2012, the Secretary shall submit to 
the Speaker of the House of Representatives and the President of the 
Senate a report describing the plans of the Department of Agriculture 
for improving the resource appraisal and national conservation program 
required under this Act, based on the recommendations received under 
sections 5(d) and 6(c).''.
            (5) Termination of program.--Section 10 of the Soil and 
        Water Resources Conservation Act of 1977 (16 U.S.C. 2009) is 
        amended by striking ``2008'' and inserting ``2028''.

SEC. 2604. SMALL WATERSHED REHABILITATION PROGRAM.

    Section 14 of the Watershed Protection and Flood Prevention Act (16 
U.S.C. 1012) is amended by striking subsection (h) and inserting the 
following:
    ``(h) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as are necessary to carry out this section for 
each of fiscal years 2008 through 2012.''.

SEC. 2605. RESOURCE CONSERVATION AND DEVELOPMENT PROGRAM.

    (a) Locally Led Planning Process.--Section 1528 of the Agriculture 
and Food Act of 1981 (16 U.S.C. 3451) is amended--
            (1) in paragraph (1), in the matter preceding subparagraph 
        (A), by striking ``planning process'' and inserting ``locally 
        led planning process'';
            (2) by redesignating paragraphs (8) and (9) as paragraphs 
        (9) and (8), respectively, and moving those paragraphs so as to 
        appear in numerical order;
            (3) in paragraph (8) (as so redesignated)--
                    (A) by striking ``(8) Planning process'' and 
                inserting ``(8) Locally led planning process''; and
                    (B) by striking ``council'' and inserting ``locally 
                led council''.
    (b) Authorized Technical Assistance.--Section 1528(13) of the 
Agriculture and Food Act of 1981 (16 U.S.C. 3451(13)) is amended by 
striking subparagraphs (C) and (D) and inserting the following:
                    ``(C) providing assistance for the implementation 
                of area plans and projects; and
                    ``(D) providing services that involve the resources 
                of Department of Agriculture programs in a local 
                community, as defined in the locally led planning 
                process.''.
    (c) Improved Provision of Technical Assistance.--Section 1531 of 
the Agriculture and Food Act of 1981 (16 U.S.C. 3454) is amended--
            (1) by redesignating paragraphs (1) through (4) as clauses 
        (i) through (iv), respectively, and indenting appropriately;
            (2) by striking ``In carrying'' and inserting the 
        following:
            ``(1) In general.--In carrying''; and
            (3) by adding at the end the following:
    ``(b) Coordinator.--
            ``(1) In general.--To improve the provision of technical 
        assistance to councils under this subtitle, the Secretary shall 
        designate for each council an individual to be the coordinator 
        for the council.
            ``(2) Responsibility.--A coordinator for a council shall be 
        directly responsible for the provision of technical assistance 
        to the council.''.
    (d) Program Evaluation.--Section 1534 of the Agriculture and Food 
Act of 1981 (16 U.S.C. 3457) is repealed.

SEC. 2606. NATIONAL NATURAL RESOURCES CONSERVATION FOUNDATION.

    (a) Advisory Functions.--Section 353 of the Federal Agriculture 
Improvement and Reform Act of 1996 (16 U.S.C. 5802) is amended--
            (1) in subsection (b)(3), by striking ``agencies'' and 
        inserting ``agencies, individuals,''; and
            (2) by adding at the end the following:
    ``(d) Advisory Functions.--Notwithstanding the requirements of the 
Federal Advisory Committee Act (5 U.S.C. App.), the Foundation may 
provide advice and recommendations to the Secretary.''.
    (b) Gifts, Devises, and Bequests of Personal Property.--Section 354 
of the Federal Agriculture Improvement and Reform Act of 1996 (16 
U.S.C. 5803) is amended by adding at the end the following:
    ``(h) Gifts, Devises, and Bequests of Personal Property.--
            ``(1) In general.--Prior to the appointment and initial 
        meeting of the members of the Board and after the initial 
        meeting of the Board, the Secretary may, on behalf of the 
        Foundation--
                    ``(A) accept, receive, and hold nonmonetary gifts, 
                devises, or bequests of personal property; and
                    ``(B) accept and receive monetary gifts, devises, 
                or bequests.
            ``(2) Held in trust.--Gifts, devises, or bequests of 
        monetary and nonmonetary personal property shall--
                    ``(A) be held in trust for the Foundation; and
                    ``(B) shall not be--
                            ``(i) considered gifts to the United 
                        States; or
                            ``(ii) used for the benefit of the United 
                        States.
            ``(3) Treasury account.--The Secretary shall deposit 
        monetary gifts, devises, and bequests to the Foundation in a 
        special interest-bearing account in the Treasury of the United 
        States.
            ``(4) Initial gifts, devises, and bequests.--
                    ``(A) In general.--The Secretary may use initial 
                gifts, devises, or bequests received prior to the first 
                meeting of the Board for any necessary expenses and 
                activities related to the first meeting of the Board.
                    ``(B) Transfer.--Except with respect to any amounts 
                expended under subparagraph (A), the Secretary shall, 
                at the first meeting of the Board, transfer to the 
                Foundation all gifts, devises, or bequests received 
                prior to the first meeting of the Board.''.
    (c) Officers and Employees.--Section 355(b)(1) of the Federal 
Agriculture Improvement and Reform Act of 1996 (16 U.S.C. 5804(b)(1)) 
is amended--
            (1) by striking ``Foundation--'' and all that follows 
        through ``shall not,'' in subparagraph (A) and inserting 
        ``Foundation shall not'';
            (2) by striking ``employee; and'' and inserting 
        ``employee.''; and
            (3) by striking subparagraph (B).
    (d) Contracts and Agreements.--Section 356 of the Federal 
Agriculture Improvement Reform Act of 1996 (16 U.S.C. 5805) is 
amended--
            (1) in subsection (c)(7), by striking ``State or local'' 
        and inserting ``Federal, State, or local''; and
            (2) in subsection (d)(2)--
                    (A) by striking ``A gift'' and inserting the 
                following:
                    ``(A) In general.--A gift''; and
                    (B) by adding at the end the following:
                    ``(B) Tax status.--A gift, devise, or bequest to 
                the Foundation shall be treated as a gift, devise, or 
                bequest to an organization exempt from taxation under 
                section 501(c)(3) of the Internal Revenue Code of 
                1986.''.
    (e) Administrative Services and Support.--Section 356 of the 
Federal Agriculture Improvement Reform Act of 1996 (16 U.S.C. 5806) is 
amended by striking ``1996 through 1998'' and inserting ``2008 through 
2012.''.

SEC. 2607. DESERT TERMINAL LAKES.

    Section 2507 of the Farm Security and Rural Investment Act of 2002 
(43 U.S.C. 2211 note; Public Law 107-171) is amended--
            (1) by striking ``(a)'' and all that follows through ``the 
        Secretary of Agriculture'' and inserting the following: 
        ``Subject to paragraph (1) of section 207 of Public Law 108-7 
        (117 Stat. 146), notwithstanding paragraph (3) of that section, 
        on the date of enactment of the Food and Energy Security Act of 
        2007, the Secretary of Agriculture''; and
            (2) by striking subsection (b).

SEC. 2608. CROP INSURANCE INELIGIBILITY RELATING TO CROP PRODUCTION ON 
              NATIVE SOD.

    (a) Federal Crop Insurance.--Section 508 of the Federal Crop 
Insurance Act (7 U.S.C. 1508) is amended by adding at the end the 
following:
    ``(o) Crop Insurance Ineligibility Relating to Crop Production on 
Native Sod.--
            ``(1) Definition of native sod.--In this subsection, the 
        term `native sod' means land--
                    ``(A) on which the plant cover is composed 
                principally of native grasses, grasslike plants, forbs, 
                or shrubs suitable for grazing and browsing; and
                    ``(B) that has never been used for production of an 
                agricultural commodity.
            ``(2) Ineligibility.--Native sod acreage on which an 
        agricultural commodity is planted for which a policy or plan of 
        insurance is available under this title shall be ineligible for 
        benefits under this Act.''.
    (b) Noninsured Crop Disaster Assistance.--Section 196(a) of the 
Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 
7333(a)) is amended by adding at the end the following:
            ``(4) Program ineligibility relating to crop production on 
        native sod.--
                    ``(A) Definition of native sod.--In this paragraph, 
                the term `native sod' means land--
                            ``(i) on which the plant cover is composed 
                        principally of native grasses, grasslike 
                        plants, forbs, or shrubs suitable for grazing 
                        and browsing; and
                            ``(ii) that has never been used for 
                        production of an agricultural commodity.
                    ``(B) Ineligibility.--Native sod acreage on which 
                an agricultural commodity is planted for which a policy 
                or plan of Federal crop insurance is available shall be 
                ineligible for benefits under this section.''.
    (c) Cropland Report.--
            (1) Baseline.--Not later than 180 days after the date of 
        enactment of this Act, the Secretary shall submit to the 
        Committee on Agriculture of the House of Representatives and 
        the Committee on Agriculture, Nutrition, and Forestry of the 
        Senate a report that describes the cropland acreage in each 
        county and State, and the change in cropland acreage from the 
        preceding year in each county and State, beginning with 
        calendar year 1995 and including that information for the most 
        recent year for which that information is available.
            (2) Annual updates.--Not later than January 1, 2008, and 
        each January 1 thereafter through January 1, 2012, the 
        Secretary shall submit to the Committee on Agriculture of the 
        House of Representatives and the Committee on Agriculture, 
        Nutrition, and Forestry of the Senate a report that describes--
                    (A) the cropland acreage in each county and State 
                as of the date of submission of the report; and
                    (B) the change in cropland acreage from the 
                preceding year in each county and State.

SEC. 2609. HIGH PLAINS WATER STUDY.

    Notwithstanding any other provision of this Act, no person shall 
become ineligible for any program benefits under this Act or an 
amendment made by this Act solely as a result of participating in a 1-
time study of recharge potential for the Ogallala Aquifer in the High 
Plains of the State of Texas.

SEC. 2610. PAYMENT OF EXPENSES.

    Section 17(d) of the Federal Insecticide, Fungicide, and 
Rodenticide Act (7 U.S.C. 136o(d)) is amended--
            (1) by striking ``The Administrator'' and inserting the 
        following:
            ``(1) In general.--The Administrator''; and
            (2) by adding at the end the following:
            ``(2) Department of state expenses.--Any expenses incurred 
        by an employee of the Environmental Protection Agency who 
        participates in any international technical, economic, or 
        policy review board, committee, or other official body that is 
        meeting in relation to an international treaty shall be paid by 
        the Department of State.''.

SEC. 2611. USE OF FUNDS IN BASIN FUNDS FOR SALINITY CONTROL ACTIVITIES 
              UPSTREAM OF IMPERIAL DAM.

    (a) In General.--Section 202(a) of the Colorado River Basin 
Salinity Control Act (43 U.S.C. 1592(a)) is amended by adding at the 
end the following:
            ``(7) Basin states program.--
                    ``(A) In general.--A Basin States Program that the 
                Secretary, acting through the Bureau of Reclamation, 
                shall implement to carry out salinity control 
                activities in the Colorado River Basin using funds made 
                available under section 205(f).
                    ``(B) Assistance.--The Secretary, in consultation 
                with the Colorado River Basin Salinity Control Advisory 
                Council, shall carry out this paragraph using funds 
                described in subparagraph (A) directly or by providing 
                grants, grant commitments, or advance funds to Federal 
                or non-Federal entities under such terms and conditions 
                as the Secretary may require.
                    ``(C) Activities.--Funds described in subparagraph 
                (A) shall be used to carry out, as determined by the 
                Secretary--
                            ``(i) cost-effective measures and 
                        associated works to reduce salinity from saline 
                        springs, leaking wells, irrigation sources, 
                        industrial sources, erosion of public and 
                        private land, or other sources;
                            ``(ii) operation and maintenance of 
                        salinity control features constructed under the 
                        Colorado River Basin salinity control program; 
                        and
                            ``(iii) studies, planning, and 
                        administration of salinity control activities.
                    ``(D) Report.--
                            ``(i) In general.--Not later than 30 days 
                        before implementing the program established 
                        under this paragraph, the Secretary shall 
                        submit to the appropriate committees of 
                        Congress a planning report that describes the 
                        proposed implementation of the program.
                            ``(ii) Implementation.--The Secretary may 
                        not expend funds to implement the program 
                        established under this paragraph before the 
                        expiration of the 30-day period beginning on 
                        the date on which the Secretary submits the 
                        report, or any revision to the report, under 
                        clause (i).''.
    (b) Conforming Amendments.--
            (1) Section 202 of the Colorado River Basin Salinity 
        Control Act (43 U.S.C. 1592) is amended--
                    (A) in subsection (a), in the matter preceding 
                paragraph (1), by striking ``program'' and inserting 
                ``programs''; and
                    (B) in subsection (b)(4)--
                            (i) by striking ``program'' and inserting 
                        ``programs''; and
                            (ii) by striking ``and (6)'' and inserting 
                        ``(6), and (7)''.
            (2) Section 205 of the Colorado River Basin Salinity 
        Control Act (43 U.S.C. 1595) is amended by striking subsection 
        (f) and inserting the following:
    ``(f) Upfront Cost Share.--
            ``(1) In general.--Effective beginning on the date of 
        enactment of this paragraph, subject to paragraph (3), the cost 
        share obligations required by this section shall be met through 
        an upfront cost share from the Basin Funds, in the same 
        proportions as the cost allocations required under subsection 
        (a), as provided in paragraph (2).
            ``(2) Basin states program.--The Secretary shall expend the 
        required cost share funds described in paragraph (1) through 
        the Basin States Program for salinity control activities 
        established under section 202(a)(7).
            ``(3) Existing salinity control activities.--The cost share 
        contribution required by this section shall continue to be met 
        through repayment in a manner consistent with this section for 
        all salinity control activities for which repayment was 
        commenced prior to the date of enactment of this paragraph.''.

SEC. 2612. GREAT LAKES COMMISSION.

    (a) In General.--The Secretary, in consultation with the Great 
Lakes Commission created by article IV of the Great Lakes Basin Compact 
(Public Law 90-419; 82 Stat. 415), and in cooperation with the 
Administrator of the Environmental Protection Agency and the Secretary 
of the Army, may carry out the Great Lakes basin program for soil 
erosion and sediment control (referred to in this section as the 
``program'') to assist in implementing the recommendations of the Great 
Lakes Regional Collaboration Strategy to Restore and Protect the Great 
Lakes.
    (b) Assistance.--In carrying out the program, the Secretary may--
            (1) provide project demonstration grants, provide technical 
        assistance, and carry out information and education programs to 
        improve water quality in the Great Lakes basin by reducing soil 
        erosion and improving sediment control; and
            (2) provide a priority for projects and activities that--
                    (A) directly reduce soil erosion or improve 
                sediment control;
                    (B) reduce soil loss in degraded rural watersheds; 
                or
                    (C) improve hydrologic conditions in urban 
                watersheds.
    (c) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $5,000,000 for each of fiscal 
years 2007 through 2012.

SEC. 2613. TECHNICAL CORRECTIONS TO THE FEDERAL INSECTICIDE, FUNGICIDE, 
              AND RODENTICIDE ACT.

    (a) Pesticide Registration Service Fees.--Section 33 of the Federal 
Insecticide, Fungicide, and Rodenticide Act (7 U.S.C. 136w-8) is 
amended--
            (1) in subsection (b)(7)--
                    (A) in subparagraph (D)--
                            (i) by striking clause (i) and inserting 
                        the following:
                            ``(i) In general.--The Administrator may 
                        exempt from, or waive a portion of, the 
                        registration service fee for an application for 
                        minor uses for a pesticide.''; and
                            (ii) in clause (ii), by inserting ``or 
                        exemption'' after ``waiver''; and
                    (B) in subparagraph (E)--
                            (i) in the paragraph heading, by striking 
                        ``Waiver'' and inserting ``Exemption'';
                            (ii) by striking ``waive the registration 
                        service fee for an application'' and inserting 
                        ``exempt an application from the registration 
                        service fee''; and
                            (iii) in clause (ii), by striking 
                        ``waiver'' and inserting ``exemption''; and
            (2) in subsection (m)(2), by striking ``2008'' each place 
        it appears and inserting ``2012''.
    (b) Effective Date.--The amendments made by subsection (a) take 
effect on October 1, 2007.

                            TITLE III--TRADE

                     Subtitle A--Food for Peace Act

SEC. 3001. SHORT TITLE.

    (a) In General.--Section 1 of the Agricultural Trade Development 
and Assistance Act of 1954 (7 U.S.C. 1691 note; 104 Stat. 3633) is 
amended by striking ``Agricultural Trade Development and Assistance Act 
of 1954'' and inserting ``Food for Peace Act''.
    (b) Conforming Amendments.--
            (1) In general.--Each provision of law described in 
        paragraph (2) is amended--
                    (A) by striking ``Agricultural Trade Development 
                and Assistance Act of 1954'' each place it appears and 
                inserting ``Food for Peace Act''; and
                    (B) in each section heading, by striking 
                ``agricultural trade development and assistance act of 
                1954'' each place it appears and inserting ``food for 
                peace act''.
            (2) Provisions of law.--The provisions of law referred to 
        in paragraph (1) are the following:
                    (A) The Agriculture and Food Act of 1981 (Public 
                Law 97-98; 95 Stat. 1213).
                    (B) The Agricultural Act of 1949 (7 U.S.C. 1421 et 
                seq.).
                    (C) Section 9(a) of the Military Construction 
                Codification Act (7 U.S.C. 1704c).
                    (D) Section 201 of the Africa: Seeds of Hope Act of 
                1998 (7 U.S.C. 1721 note; Public Law 105-385).
                    (E) The Bill Emerson Humanitarian Trust Act (7 
                U.S.C. 1736f-1 et seq.).
                    (F) The Food for Progress Act of 1985 (7 U.S.C. 
                1736o).
                    (G) Section 3107 of the Farm Security and Rural 
                Investment Act of 2002 (7 U.S.C. 1736o-1).
                    (H) Sections 605B and 606C of the Act of August 28, 
                1954 (commonly known as the ``Agricultural Act of 
                1954'') (7 U.S.C. 1765b, 1766b).
                    (I) Section 206 of the Agricultural Act of 1956 (7 
                U.S.C. 1856).
                    (J) The Agricultural Competitiveness and Trade Act 
                of 1988 (7 U.S.C. 5201 et seq.).
                    (K) The Agricultural Trade Act of 1978 (7 U.S.C. 
                5601 et seq.).
                    (L) The Export-Import Bank Act of 1945 (12 U.S.C. 
                635 et seq.).
                    (M) Section 301 of title 13, United States Code.
                    (N) Section 8 of the Endangered Species Act of 1973 
                (16 U.S.C. 1537).
                    (O) Section 604 of the Enterprise for the Americas 
                Act of 1992 (22 U.S.C. 2077).
                    (P) Section 5 of the International Health Research 
                Act of 1960 (22 U.S.C. 2103).
                    (Q) The Foreign Assistance Act of 1961 (22 U.S.C. 
                2151 et seq.).
                    (R) The Horn of Africa Recovery and Food Security 
                Act (22 U.S.C. 2151 note; Public Law 102-274).
                    (S) Section 105 of the Mutual Educational and 
                Cultural Exchange Act of 1961 (22 U.S.C. 2455).
                    (T) Section 35 of the Foreign Military Sales Act 
                (22 U.S.C. 2775).
                    (U) The Support for East European Democracy (SEED) 
                Act of 1989 (22 U.S.C. 5401 et seq.).
                    (V) Section 1707 of the Cuban Democracy Act of 1992 
                (22 U.S.C. 6006).
                    (W) The Cuban Liberty and Democratic Solidarity 
                (LIBERTAD) Act of 1996 (22 U.S.C. 6021 et seq.).
                    (X) Section 902 of the Trade Sanctions Reform and 
                Export Enhancement Act of 2000 (22 U.S.C. 7201).
                    (Y) Chapter 553 of title 46, United State Code.
                    (Z) Section 4 of the Strategic and Critical 
                Materials Stock Piling Act (50 U.S.C. 98c).
                    (AA) The Food, Agriculture, Conservation, and Trade 
                Act of 1990 (Public Law 101-624; 104 Stat. 3359).
                    (BB) Section 738 of the Agriculture, Rural 
                Development, Food and Drug Administration, and Related 
                Agencies Appropriations Act, 2001 (Public Law 106-387; 
                114 Stat. 1549A-34).
    (c) References.--Any reference in any Federal, State, tribal, or 
local law (including regulations) to the ``Agricultural Trade 
Development and Assistance Act of 1954'' shall be considered to be a 
reference to the ``Food for Peace Act''.

SEC. 3002. UNITED STATES POLICY.

    Section 2 of the Food for Peace Act (7 U.S.C. 1691) is amended--
            (1) by striking paragraph (4); and
            (2) by redesignating paragraphs (5) and (6) as paragraphs 
        (4) and (5), respectively.

SEC. 3003. FOOD AID TO DEVELOPING COUNTRIES.

    Section 3(b) of the Food for Peace Act (7 U.S.C. 1691a(b)) is 
amended by striking ``(b)'' and all that follows through paragraph (1) 
and inserting the following:
    ``(b) Sense of Congress.--It is the sense of Congress that--
            ``(1) in negotiations with other countries at the Food Aid 
        Convention, the World Trade Organization, the United Nations 
        Food and Agriculture Organization, and other appropriate 
        venues, the President shall--
                    ``(A) seek commitments of higher levels of food aid 
                by donors in order to meet the legitimate needs of 
                developing countries;
                    ``(B) ensure, to the maximum extent practicable, 
                that humanitarian nongovernmental organizations, 
                recipient country governments, charitable bodies, and 
                international organizations shall continue--
                            ``(i) to be eligible to receive resources 
                        based on assessments of need conducted by those 
                        organizations and entities; and
                            ``(ii) to implement food aid programs in 
                        agreements with donor countries; and
                    ``(C) ensure, to the maximum extent practicable, 
                that options for providing food aid for emergency and 
                nonemergency, or chronic, needs shall not be subject to 
                limitation, including in-kind commodities, provision of 
                funds for commodity procurement, and monetization of 
                commodities, on the condition that the provision of 
                those commodities or funds--
                            ``(i) is based on assessments of need and 
                        intended to benefit the food security of or 
                        otherwise assist recipients, and
                            ``(ii) is provided in a manner that avoids 
                        disincentives to local agricultural production 
                        and marketing and with minimal potential for 
                        disruption of commercial markets; and''.

SEC. 3004. TRADE AND DEVELOPMENT ASSISTANCE.

    (a) Title I of the Food for Peace Act (7 U.S.C. 1701 et seq.) is 
amended in the title heading, by striking ``TRADE AND DEVELOPMENT 
ASSISTANCE'' and inserting ``ECONOMIC ASSISTANCE AND FOOD SECURITY''.
    (b) Section 101 of the Food for Peace Act (7 U.S.C. 1701) is 
amended in the section heading, by striking ``trade and development 
assistance'' and inserting ``economic assistance and food security''.

SEC. 3005. AGREEMENTS REGARDING ELIGIBLE COUNTRIES AND PRIVATE 
              ENTITIES.

    Section 102 of the Food for Peace Act (7 U.S.C. 1702) is amended--
            (1) in subsection (a)--
                    (A) by striking paragraph (1); and
                    (B) by redesignating paragraphs (2) and (3) as 
                paragraphs (1) and (2), respectively; and
            (2) by striking subsection (c).

SEC. 3006. USE OF LOCAL CURRENCY PAYMENTS.

    Section 104(c) of the Food for Peace Act (7 U.S.C. 1704(c)) is 
amended--
            (1) in the matter preceding paragraph (1), by inserting ``, 
        through agreements with recipient governments, private 
        voluntary organizations, and cooperatives,'' after ``developing 
        country'';
            (2) in paragraph (2)--
                    (A) in subparagraph (C), by striking ``and'' at the 
                end;
                    (B) in subparagraph (D), by striking the period at 
                the end and inserting ``; and''; and
                    (C) by adding at the end the following:
                    ``(E) the improvement of the trade capacity of the 
                recipient country.'';
            (3) by striking paragraphs (1), (3), (4), (5), and (6); and
            (4) by redesignating paragraphs (2), (7), (8), and (9) as 
        paragraphs (1), (2), (3), and (4), respectively.

SEC. 3007. GENERAL AUTHORITY.

    Section 201 of the Food for Peace Act (7 U.S.C. 1721) is amended--
            (1) by striking paragraph (1) and inserting the following:
            ``(1) address famine and respond to emergency food needs 
        arising from man-made and natural disasters;'';
            (2) in paragraph (5), by inserting ``food security and 
        support'' after ``promote''; and
            (3) by striking paragraph (6) and inserting the following:
            ``(6) protect livelihoods, provide safety nets for food 
        insecure populations, and encourage participation in 
        educational, training, and other productive activities.''.

SEC. 3008. PROVISION OF AGRICULTURAL COMMODITIES.

    Section 202 of the Food for Peace Act (7 U.S.C. 1722) is amended--
            (1) in subsection (b)(2), by striking ``may not deny a 
        request for funds'' and inserting ``may not use as a sole 
        rationale for denying a request for funds'';
            (2) in subsection (e)(1)--
                    (A) in the matter preceding subparagraph (A)--
                            (i) by striking ``Of the funds made 
                        available in'' and inserting ``Of the total 
                        amount of funds made available from all sources 
                        for''; and
                            (ii) by striking ``not less than 5 percent 
                        nor more than 10 percent'' and inserting ``not 
                        less than 7.5 percent'';
                    (B) in subparagraph (A), by striking ``and'' at the 
                end;
                    (C) by striking subparagraph (B) and inserting the 
                following:
                    ``(B) meeting specific administrative, management, 
                personnel, programmatic, and operational activities, 
                and internal transportation and distribution costs for 
                carrying out new and existing programs in foreign 
                countries under this title; and''
                    (D) by adding at the end the following:
                    ``(C) improving and implementing methodologies for 
                food aid programs, including needs assessments, 
                monitoring, and evaluation.''; and
            (3) by striking subsection (h) and inserting the following:
    ``(h) Food Aid Quality.--
            ``(1) In general.--The Administrator shall use funds made 
        available for fiscal year 2008 and subsequent fiscal years to 
        carry out this title--
                    ``(A) to assess the types and quality of 
                agricultural commodities and products donated for food 
                aid;
                    ``(B) to adjust products and formulations as 
                necessary to cost-effectively meet nutrient needs of 
                target populations; and
                    ``(C) to pretest prototypes.
            ``(2) Administration.--The Administrator--
                    ``(A) shall carry out this subsection in 
                consultation with and through an independent entity 
                with proven impartial expertise in food aid commodity 
                quality enhancements;
                    ``(B) may enter into contracts to obtain the 
                services of such an entity; and
                    ``(C) shall consult with the Food Aid Consultative 
                Group on how to carry out this subsection.
            ``(3) Reports.--The Administrator shall submit to the 
        Committees on Agriculture and Foreign Affairs of the House of 
        Representatives and the Committee on Agriculture, Nutrition, 
        and Forestry of the Senate--
                    ``(A) a report that describes the activities of the 
                Administrator in carrying out paragraph (1) for fiscal 
                year 2008; and
                    ``(B) an annual report that describes the progress 
                of the Administrator in addressing food aid quality 
                issues.''.

SEC. 3009. MICROENTERPRISE ACTIVITIES.

    Section 203(d)(2) of the Food for Peace Act (7 U.S.C.1723(d)(2)) is 
amended by inserting ``, including activities involving microenterprise 
and village banking,'' after ``other developmental activities''.

SEC. 3010. LEVELS OF ASSISTANCE.

    Section 204(a)(1) of the Food for Peace Act (7 U.S.C. 1724(a)(1)) 
is amended by striking ``2007'' and inserting ``2012''.

SEC. 3011. FOOD AID CONSULTATIVE GROUP.

    Section 205 of the Food for Peace Act (7 U.S.C. 1725) is amended--
            (1) in subsection (b)--
                    (A) in paragraph (5), by striking ``and'' at the 
                end;
                    (B) in paragraph (6), by striking the period and 
                inserting ``; and''; and
                    (C) by inserting at the end the following:
            ``(7) representatives from the maritime transportation 
        sector involved in transporting agricultural commodities 
        overseas for programs under this Act.'';
            (2) in subsection (d)--
                    (A) by striking ``In preparing'' and inserting the 
                following:
            ``(1) In general.--In preparing'';
                    (B) by striking ``The Administrator'' and inserting 
                the following:
            ``(2) Biannual consultation.--The Administrator''; and
                    (C) by adding at the end the following:
            ``(3) Consultation for draft regulations.--In addition to 
        the meetings required under paragraph (2), the Administrator 
        shall consult and meet with the Group--
                    ``(A) before issuing the draft regulations to carry 
                out the program described in section 209; and
                    ``(B) during the public comment period relating to 
                those draft regulations.''; and
            (3) in subsection (f), by striking ``2007'' and inserting 
        ``2012''.

SEC. 3012. ADMINISTRATION.

    Section 207 of the Food for Peace Act (7 U.S.C. 1726a) is amended--
            (1) in subsection (a)(3), by striking ``must be met for the 
        approval of such proposal'' and inserting ``should be 
        considered for a proposal in a future fiscal year'';
            (2) in subsection (c), by striking paragraph (3);
            (3) by striking subsection (d) and inserting the following:
    ``(d) Timely Provision of Commodities.--The Administrator, in 
consultation with the Secretary, shall develop procedures that ensure 
expedited processing of commodity call forwards in order to provide 
commodities overseas in a timely manner and to the extent feasible, 
according to planned delivery schedules.'';
            (4) in subsection (e)(2), by striking ``December 1'' and 
        inserting ``June 1''; and
            (5) by adding at the end the following:
    ``(f) Program Oversight.--
            ``(1) In general.--Funds made available to carry out this 
        title may be used to pay the expenses of the United States 
        Agency for International Development associated with program 
        monitoring, evaluation, assessments, food aid data collection, 
        and food aid information management and commodity reporting 
        systems.
            ``(2) Contract authority.--
                    ``(A) In general.--Subject to subparagraphs (B) and 
                (C) and notwithstanding any other provision of law, in 
                carrying out administrative and management activities 
                related to the implementation of programs under this 
                title, the Administrator may contract with 1 or more 
                individuals for personal service to be performed in 
                recipient countries or neighboring countries.
                    ``(B) Prohibition.--Individuals contracting with 
                the Administrator under subparagraph (A) shall not be 
                considered to be employees of the United States 
                Government for the purpose of any law administered by 
                the Office of Personnel Management.
                    ``(C) Personal service.--Subparagraph (A) does not 
                limit the ability of the Administrator to contract with 
                individuals for personal service under section 202(a).
    ``(g) Indirect Support Costs to the World Food Program of the 
United Nations.--
            ``(1) In general.--Notwithstanding any other provision of 
        law, in providing assistance under this title, the 
        Administrator may make contributions to the World Food Program 
        of the United Nations to the extent that the contributions are 
        made in accordance with the rules and regulations of that 
        program for indirect cost rates.
            ``(2) Report.--The Administrator shall submit the 
        Committees on Agriculture and Foreign Affairs of the House of 
        Representatives and the Committee on Agriculture, Nutrition, 
        and Forestry of the Senate an annual report on the level of the 
        contribution and the reasons for the level.
    ``(h) Indirect Support Costs to Cooperating Sponsors.--
Notwithstanding any other provision of law, the Administrator may pay 
to a private voluntary organization or cooperative indirect costs 
associated with any funds received or generated for programs, costs, or 
activities under this title, on the condition that the indirect costs 
are consistent with Office of Management and Budget cost principles.
    ``(i) Project Reporting.--
            ``(1) In general.--In submitting project reports to the 
        Administrator, a private voluntary organization or cooperative 
        shall provide a copy of the report in such form as is necessary 
        for the report to be displayed for public use on the website of 
        the United States Agency for International Development.
            ``(2) Confidential information.--An organization or 
        cooperative described in paragraph (1) may omit any 
        confidential information from the copy of the report submitted 
        for public display under that paragraph.''.

SEC. 3013. ASSISTANCE FOR STOCKPILING AND RAPID TRANSPORTATION, 
              DELIVERY, AND DISTRIBUTION OF SHELF-STABLE PREPACKAGED 
              FOODS.

    Section 208(f) of the Food for Peace Act (7 U.S.C. 1726b(f)) is 
amended--
            (1) by striking ``$3,000,000'' and inserting 
        ``$8,000,000''; and
            (2) by striking ``2007'' and inserting ``2012''.

SEC. 3014. PILOT PROGRAM FOR LOCAL PURCHASE.

    Title II of the Food for Peace Act (7 U.S.C. 1721 et seq.) is 
amended by adding at the end the following:

``SEC. 209. PILOT PROGRAM FOR LOCAL PURCHASE.

    ``(a) Definitions.--In this section:
            ``(1) Eligible commodity.--Notwithstanding section 402(2), 
        the term `eligible commodity' means an agricultural commodity, 
        or the product of an agricultural commodity, that is produced 
        in--
                    ``(A) the recipient country;
                    ``(B) a low-income, developing country near the 
                recipient country; or
                    ``(C) Africa.
            ``(2) Eligible organization.--The term `eligible 
        organization' means--
                    ``(A) an organization that is--
                            ``(i) described in section 202(d); and
                            ``(ii) subject to guidelines promulgated to 
                        carry out this section, including United States 
                        audit requirements that are applicable to non-
                        governmental organizations; or
                    ``(B) an intergovernmental organization, if the 
                organization agrees to be subject to all requirements 
                of this section, including any regulations promulgated 
                or guidelines issued by the Administrator to carry out 
                this section.
            ``(3) Pilot program.--The term `pilot program' means the 
        pilot program established under subsection (b).
    ``(b) Establishment.--Notwithstanding section 407(c)(1)(A), the 
Administrator, in consultation with the Secretary, shall establish a 
field-based pilot program for local and regional purchases of eligible 
commodities in accordance with this section.
    ``(c) Purposes.--Eligible commodities under the pilot program shall 
be used solely--
            ``(1) to address severe food shortages caused by sudden 
        events, including--
                    ``(A) earthquakes, floods, and other unforeseen 
                crises; or
                    ``(B) human-made crises, such as conflicts;
            ``(2) to prevent or anticipate increasing food scarcity as 
        the result of slow-onset events, such as drought, crop 
        failures, pests, economic shocks, and diseases that result in 
        an erosion of the capacity of communities and vulnerable 
        populations to meet food needs;
            ``(3) to address recovery, resettlement, and reconstruction 
        following 1 or more disasters or emergencies described in 
        paragraph (1) or (2); and
            ``(4) to protect and improve livelihoods and food security, 
        provide safety nets for food insecure or undernourished 
        populations, and encourage participation in education and other 
        productive activities.
    ``(d) Procurement.--Subject to subsections (a), (b), (f), and (h) 
of section 403, eligible commodities under the pilot program shall for 
emergency situations be procured through the most effective 1 or more 
approaches or methodologies that are likely to expedite the provision 
of food aid to affected populations.
    ``(e) Review of Prior Local Cash Purchase Experience.--
            ``(1) In general.--Not later than 30 days after the date of 
        enactment of this section, the Administrator shall initiate the 
        process to commission an external review of local cash purchase 
        projects conducted before the date of enactment of this section 
        by other donor countries, private voluntary organizations, and 
        the World Food Program of the United Nations.
            ``(2) Use of review.--The Administrator shall use the 
        results of the review to develop--
                    ``(A) proposed guidelines under subsection (j); and
                    ``(B) requests for applications under subsection 
                (f).
            ``(3) Report.--Not later than 270 days after the date of 
        enactment of this section, the Administrator shall submit to 
        the Committees on Agriculture and Foreign Affairs of the House 
        of Representatives and the Committee on Agriculture, Nutrition, 
        and Forestry of the Senate a report containing the results of 
        the review.
    ``(f) Grants to Eligible Organizations.--
            ``(1) In general.--After the promulgation of final 
        guidelines under subsection (j), the Administrator may seek 
        applications from and provide grants to eligible organizations 
        to carry out the pilot program.
            ``(2) Completion requirement.--As a condition of receiving 
        a grant under the pilot program, an eligible organization shall 
        agree--
                    ``(A) to complete all projects funded through the 
                grant not later than September 30, 2011; and
                    ``(B) to provide information about the results of 
                the project in accordance with subsection (i).
            ``(3) Other requirements.--Other requirements for 
        submission of proposals for consideration under this title 
        shall apply to the submission of an application for a grant 
        under this section.
    ``(g) Project Diversity.--In selecting projects to fund under the 
pilot program, the Administrator shall select a diversity of projects, 
including--
            ``(1) at least 1 project for each of the situations 
        described in subsection (c);
            ``(2) at least 1 project carried out jointly with a project 
        using agricultural commodities produced in the United States 
        under this title;
            ``(3) at least 1 project carried out jointly with a project 
        funded through grassroots efforts by agricultural producers 
        through eligible United States organizations;
            ``(4) projects in both food surplus and food deficit 
        regions, using regional procurement for food deficit regions; 
        and
            ``(5) projects in diverse geographical regions, with most, 
        but not all, projects located in Africa.
    ``(h) Information Required in Applications.--In submitting an 
application under this section, an eligible organization shall--
            ``(1) request funding for up to 3 years; and
            ``(2) include in the application--
                    ``(A) a description of the target population 
                through a needs assessment and sufficient information 
                to demonstrate that the situation is a situation 
                described in subsection (c);
                    ``(B) an assurance that the local or regional 
                procurement--
                            ``(i) is likely to expedite the provision 
                        of food aid to the affected population; and
                            ``(ii) would meet the requirements of 
                        subsection (d);
                    ``(C) a description of--
                            ``(i) the quantities and types of eligible 
                        commodities that would be procured;
                            ``(ii) the rationale for selecting those 
                        eligible commodities; and
                            ``(iii) how the eligible commodities could 
                        be procured and delivered in a timely manner;
                    ``(D) an analysis of the potential impact of the 
                purchase of eligible commodities on the production, 
                pricing, and marketing of the same and similar 
                agricultural commodities in the country and localities 
                in which the purchase will take place;
                    ``(E) a description of food quality and safety 
                assurance measures; and
                    ``(F) a monitoring and evaluation plan that ensures 
                collection of sufficient data--
                            ``(i) to determine the full cost of 
                        procurement, delivery, and administration;
                            ``(ii) to report on the agricultural 
                        production, marketing, and price impact of the 
                        local or regional purchases, including the 
                        impact on low-income consumers; and
                            ``(iii) to provide sufficient information 
                        to support the completion of the report 
                        described in subsection (i).
    ``(i) Independent Evaluation and Report.--
            ``(1) In general.--The Administrator shall--
                    ``(A) arrange for an independent evaluation of the 
                pilot program; and
                    ``(B) provide access to all records and reports for 
                the completion of the evaluation.
            ``(2) Report.--Not later than 4 years after the date of 
        enactment of this section, the Administrator shall submit to 
        the Committees on Agriculture and Foreign Affairs of the House 
        of Representatives and the Committee on Agriculture, Nutrition, 
        and Forestry of the Senate a report that--
                    ``(A) includes the analysis and findings of the 
                independent evaluation;
                    ``(B) assesses whether the requirements of this 
                section have been met;
                    ``(C) describes for each of the relevant markets in 
                which the commodities were purchased--
                            ``(i) prevailing and historic supply, 
                        demand, and price movements;
                            ``(ii) impact on producer and consumer 
                        prices;
                            ``(iii) government market interferences and 
                        other donor activities that may have affected 
                        the supply and demand in the area in which the 
                        local or regional purchase took place; and
                            ``(iv) the quantities and types of eligible 
                        commodities procured in each market, the time 
                        frame for procurement, and the complete costs 
                        of the procurement (including procurement, 
                        storage, handling, transportation, and 
                        administrative costs);
                    ``(D) assesses the impact of different 
                methodologies and approaches on local and regional 
                agricultural producers (including large and small 
                producers), markets, low-income consumers, and program 
                recipients;
                    ``(E) assesses the time elapsed from initiation of 
                the procurement process to delivery;
                    ``(F) compares different methodologies used in 
                terms of--
                            ``(i) the benefits to local agriculture;
                            ``(ii) the impact on markets and consumers;
                            ``(iii) the time for procurement and 
                        delivery;
                            ``(iv) quality and safety assurances; and
                            ``(v) implementation costs; and
                    ``(G) to the extent adequate information is 
                available, includes a comparison of the different 
                methodologies used by other donors to make local and 
                regional purchases, including purchases conducted 
                through the World Food Program of the United Nations.
    ``(j) Guidelines.--Prior to approving projects or the procurement 
of eligible commodities under this section, not later than 1 year after 
the date of enactment of this section, the Administrator shall issue 
guidelines to carry out this section.
    ``(k) Authorization of Appropriations.--
            ``(1) In general.--Subject to paragraph (2), for each of 
        fiscal years 2008 through 2011, the Administrator may use to 
        carry out this section not more than $25,000,000 of funds made 
        available to carry out this title, to remain available until 
        expended.
            ``(2) Limitation.--No funds may be made available to carry 
        out the pilot program unless the minimum tonnage requirements 
        of section 204(a) are met.''.

SEC. 3015. GENERAL AUTHORITIES AND REQUIREMENTS.

    (a) In General.--Section 401 of the Food for Peace Act (7 U.S.C. 
1731) is amended--
            (1) by striking subsection (a);
            (2) redesignating subsections (b) and (c) as subsections 
        (a) and (b), respectively; and
            (3) in subsection (b) (as so redesignated), by striking 
        ``(b)(1)'' and inserting ``(a)(1)''.
    (b) Conforming Amendments.--
            (1) Section 406(a) of the Food for Peace Act (7 U.S.C. 
        1736(a)) is amended by striking ``(that have been determined to 
        be available under section 401(a))''.
            (2) Subsection (e)(1) of the Food for Progress Act of 1985 
        (7 U.S.C. 1736o(e)(1)) is amended by striking ``determined to 
        be available under section 401 of the Food for Peace Act''.

SEC. 3016. USE OF COMMODITY CREDIT CORPORATION.

    Section 406(b)(2) of the Food for Peace Act (7 U.S.C. 1736(b)(2)) 
is amended by inserting ``, including the costs of carrying out section 
415'' before the semicolon.

SEC. 3017. ADMINISTRATIVE PROVISIONS.

    Section 407 of the Food for Peace Act (7 U.S.C. 1736a) is amended--
            (1) in subsection (c)(4)--
                    (A) by striking ``2007'' and inserting ``2012'';
                    (B) by striking ``$2,000,000'' and inserting 
                ``$4,000,000''; and
                    (C) by adding at the end the following:
            ``(5) Nonemergency or multiyear agreements.--Annual 
        resource requests for ongoing nonemergency or multiyear 
        agreements under title II shall be finalized not later than 
        October 1 of the fiscal year in which the agricultural 
        commodities will be shipped under the agreement.''; and
            (2) in subsection (f)--
                    (A) in paragraph (2)--
                            (i) in subparagraph (B), by inserting ``, 
                        and the amount of funds, tonnage levels, and 
                        types of activities for nonemergency programs 
                        under title II'' before the semicolon;
                            (ii) in subparagraph (C), by inserting ``, 
                        and a general description of the projects and 
                        activities implemented'' before the semicolon; 
                        and
                            (iii) in subparagraph (D), by striking 
                        ``achieving food security'' and inserting 
                        ``reducing food insecurity''; and
                    (B) in paragraph (3)--
                            (i) by striking ``shall submit'' and 
                        inserting the following: ``shall--
                    ``(A) submit'';
                            (ii) by striking ``January 15'' and 
                        inserting ``April 1''; and
                            (iii) by striking ``of the Senate.'' and 
                        inserting the following: ``of the Senate; and
                    ``(B) make the reports available to the public by 
                electronic and other means.''.

SEC. 3018. EXPIRATION DATE.

    Section 408 of the Food for Peace Act (7 U.S.C. 1736b) is amended 
by striking ``2007'' and inserting ``2012''.

SEC. 3019. AUTHORIZATION OF APPROPRIATIONS.

    Section 412 of the Food for Peace Act (7 U.S.C. 1736f) is amended 
by striking subsection (b) and inserting the following:
    ``(b) Minimum Level of Nonemergency Food Assistance.--For each of 
fiscal years 2008 through 2012, of the amounts made available to carry 
out emergency and nonemergency food assistance programs under title II, 
not less than $600,000,000 for each of those fiscal years shall be 
obligated and expended for nonemergency food assistance programs under 
title II.''.

SEC. 3020. MICRONUTRIENT FORTIFICATION PROGRAMS.

    Section 415 of the Food for Peace Act (7 U.S.C. 1736g-2) is 
amended--
            (1) in subsection (a)--
                    (A) in paragraph (1), by striking ``Not later than 
                September 30, 2003, the Administrator, in consultation 
                with the Secretary'' and inserting ``Not later than 
                September 30, 2008, the Secretary, in consultation with 
                the Administrator''; and
                    (B) in paragraph (2)--
                            (i) in subparagraph (A), by adding ``and'' 
                        after the semicolon at the end; and
                            (ii) by striking subparagraphs (B) and (C) 
                        and inserting the following:
                    ``(B) assess and apply technologies and systems to 
                improve and ensure the quality, shelf life, 
                bioavailability, and safety of fortified food aid 
                agricultural commodities, and products of those 
                agricultural commodities, that are provided to 
                developing countries, using recommendations included in 
                the report entitled `Micronutrient Compliance Review of 
                Fortified Public Law 480 Commodities', published in 
                October 2001, with implementation by an independent 
                entity with proven impartial experience and expertise 
                in food aid commodity quality enhancements.'';
            (2) by striking subsection (b) and redesignating 
        subsections (c) and (d) as subsections (b) and (c), 
        respectively; and
            (3) in subsection (c) (as redesignated by paragraph (2), by 
        striking ``2007'' and inserting ``2012''.

SEC. 3021. GERMPLASM CONSERVATION.

    Title IV of the Food for Peace Act (7 U.S.C. 1731 et seq.) is 
amended by adding at the end the following:

``SEC. 417. GERMPLASM CONSERVATION.

    ``(a) Contribution.--The Administrator of the United States Agency 
for International Development shall contribute funds to endow the 
Global Crop Diversity Trust (referred to in this section as the 
`Trust') to assist in the conservation of genetic diversity in food 
crops through the collection and storage of the germplasm of food crops 
in a manner that provides for--
            ``(1) the maintenance and storage of seed collections;
            ``(2) the documentation and cataloguing of the genetics and 
        characteristics of conserved seeds to ensure efficient 
        reference for researchers, plant breeders, and the public;
            ``(3) building the capacity of seed collection in 
        developing countries;
            ``(4) making information regarding crop genetic data 
        publicly available for researchers, plant breeders, and the 
        public (including through the provision of an accessible 
        Internet website);
            ``(5) the operation and maintenance of a back-up facility 
        in which are stored duplicate samples of seeds, in the case of 
        natural or man-made disasters; and
            ``(6) oversight designed to ensure international 
        coordination of those actions and efficient, public 
        accessibility to that diversity through a cost-effective 
        system.
    ``(b) United States Contribution Limit.--The aggregate 
contributions of funds of the Federal Government provided to the Trust 
shall not exceed 25 percent of the total of the funds contributed to 
the Trust from all sources.
    ``(c) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $60,000,000 for the period of 
fiscal years 2008 through 2012.''.

SEC. 3022. JOHN OGONOWSKI AND DOUG BEREUTER FARMER-TO-FARMER PROGRAM.

    Section 501 of the Food for Peace Act (7 U.S.C. 1737) is amended by 
striking ``2007'' each place it appears and inserting ``2012''.

    Subtitle B--Agricultural Trade Act of 1978 and Related Statutes

SEC. 3101. NONGOVERNMENTAL ORGANIZATION PARTICIPATION IN THE RESOLUTION 
              OF TRADE DISPUTES.

    Section 104 of the Agricultural Trade Act of 1978 (7 U.S.C. 5604) 
is amended--
            (1) by striking ``The Secretary shall'' and inserting the 
        following:
    ``(a) In General.--The Secretary shall''; and
            (2) by adding at the end the following:
    ``(b) Nongovernmental Organization Participation in the Resolution 
of Trade Disputes.--The Secretary shall permit United States 
nongovernmental organizations to participate as part of the United 
States delegation attending formal sessions of dispute resolution 
panels involving United States agriculture under the auspices of the 
World Trade Organization if--
            ``(1) the 1 or more other members of the World Trade 
        Organization involved in the dispute are expected to include 
        private sector representatives in the delegations of the 
        members to the sessions;
            ``(2) the United States nongovernmental organization has 
        submitted public comments through the Federal Register that 
        support the position of the United States Government in the 
        case; and
            ``(3) the United States nongovernmental organization will 
        provide for representation at the session a cleared adviser who 
        is a member of the agricultural policy advisory committee or an 
        agricultural technical advisory committee established under the 
        Federal Advisory Committee Act (5 U.S.C. App.).''.

SEC. 3102. EXPORT CREDIT GUARANTEE PROGRAM.

    (a) Repeal of Supplier Credit Guarantee Program and Intermediate 
Export Credit Guarantee Program.--Section 202 of the Agricultural Trade 
Act of 1978 (7 U.S.C. 5622) is amended--
            (1) in subsection (a)--
                    (A) in paragraph (1), by striking ``The Commodity'' 
                and inserting ``Subject to paragraph (2), the 
                Commodity''; and
                    (B) by striking paragraphs (2) and (3) and 
                inserting the following:
            ``(2) Tenure.--Beginning with the 2013 fiscal year, credit 
        terms described in paragraph (1) may not exceed a 180-day 
        period.'';
            (2) by striking subsections (b) and (c);
            (3) by redesignating subsections (d) through (l) as 
        subsections (b) through (j), respectively; and
            (4) by adding at the end the following:
    ``(k) Administration.--
            ``(1) Definition of long term.--In this subsection, the 
        term `long term' means a period of 10 or more years.
            ``(2) Guarantees.--In administering the export credit 
        guarantees authorized under this section, the Secretary shall--
                    ``(A) maximize the export sales of agricultural 
                commodities;
                    ``(B) maximize the export credit guarantees that 
                are made available and used during the course of a 
                fiscal year;
                    ``(C) develop an approach to risk evaluation that 
                facilitates accurate country risk designations and 
                timely adjustments to the designations (on an ongoing 
                basis) in response to material changes in country risk 
                conditions, with ongoing opportunity for input and 
                evaluation from the private sector;
                    ``(D) adjust risk-based guarantees as necessary to 
                ensure program effectiveness and United States 
                competitiveness; and
                    ``(E) work with industry to ensure that risk-based 
                fees associated with the guarantees cover, but do not 
                exceed, the operating costs and losses over the long 
                term.''.
    (b) Conforming Amendments.--The Agricultural Trade Act of 1978 is 
amended--
            (1) in section 202 (7 U.S.C. 5622)--
                    (A) in subsection (b)(4) (as redesignated by 
                subsection (a)(3)), by striking ``, consistent with the 
                provisions of subsection (c)'';
                    (B) in subsection (d) (as redesignated by 
                subsection (a)(3))--
                            (i) by striking ``(1)'' and all that 
                        follows through ``The Commodity'' and inserting 
                        ``The Commodity''; and
                            (ii) by striking paragraph (2); and
                    (C) in subsection (g)(2) (as redesignated by 
                subsection (a)(3)), by striking ``subsections (a) and 
                (b)'' and inserting ``subsection (a)''; and
            (2) in section 211, by striking subsection (b) and 
        inserting the following:
    ``(b) Export Credit Guarantee Programs.--The Commodity Credit 
Corporation shall make available for each of fiscal years 1996 through 
2012 not less than $5,500,000,000 in credit guarantees under section 
202(a).''.

SEC. 3103. MARKET ACCESS PROGRAM.

    (a) Organic Commodities.--Section 203(a) of the Agricultural Trade 
Act of 1978 (7 U.S.C. 5623(a)) is amended by inserting after 
``agricultural commodities'' the following: ``(including commodities 
that are organically produced (as defined in section 2103 of the 
Organic Foods Production Act of 1990 (7 U.S.C. 6502)))''.
    (b) Funding.--Section 211(c)(1)(A) of the Agricultural Trade Act of 
1978 (7 U.S.C. 5641(c)(1)(A)) is amended by striking ``, and 
$200,000,000 for each of fiscal years 2006 and 2007'' and inserting 
``$200,000,000 for each of fiscal years 2006 and 2007, $210,000,000 for 
fiscal year 2008, $220,000,000 for fiscal year 2009, $230,000,000 for 
fiscal year 2010, $240,000,000 for fiscal year 2011, and $200,000,000 
for fiscal year 2012 and each subsequent fiscal year''.

SEC. 3104. EXPORT ENHANCEMENT PROGRAM.

    (a) In General.--Section 301 of the Agricultural Trade Act of 1978 
(7 U.S.C. 5651) is repealed.
    (b) Conforming Amendments.--The Agricultural Trade Act of 1978 is 
amended--
            (1) in title III, by striking the title heading and 
        inserting the following:

                  ``TITLE III--BARRIERS TO EXPORTS'';

            (2) by redesignating section 302 as section 301;
            (3) by striking section 303;
            (4) in section 401 (7 U.S.C. 5661)--
                    (A) in subsection (a), by striking ``section 201, 
                202, or 301'' and inserting ``section 201 or 202''; and
                    (B) in subsection (b), by striking ``sections 201, 
                202, and 301'' and inserting ``sections 201 and 202''; 
                and
            (5) in section 402(a)(1) (7 U.S.C. 5662(a)(1)), by striking 
        ``sections 201, 202, 203, and 301'' and inserting ``sections 
        201, 202, and 203''.

SEC. 3105. VOLUNTARY CERTIFICATION OF CHILD LABOR STATUS OF 
              AGRICULTURAL IMPORTS.

    Section 414 of the Agricultural Trade Act of 1978 (7 U.S.C. 5674) 
is amended by adding at the end the following:
    ``(d) Reducing Child Labor and Forced Labor.--
            ``(1) Definitions.--In this subsection:
                    ``(A) Child labor.--The term `child labor' means 
                the worst forms of child labor as defined in 
                International Labor Convention 182, the Convention 
                Concerning the Prohibition and Immediate Action for the 
                Elimination of the Worst Forms of Child Labor, done at 
                Geneva on June 17, 1999.
                    ``(B) Forced labor.--The term `forced labor' means 
                all work or service--
                            ``(i) that is exacted from any individual 
                        under menace of any penalty for non-performance 
                        of the work or service, and for which the 
                        individual does not offer himself or herself 
                        voluntarily, by coercion, debt bondage, 
                        involuntary servitude (as those terms are 
                        defined in section 103 of the Trafficking 
                        Victims Protection Act of 2000 (22 U.S.C. 
                        7102)); and
                            ``(ii) by 1 or more individuals who, at the 
                        time of production, were being subjected to a 
                        severe form of trafficking in persons (as that 
                        term is defined in that section).
            ``(2) Development of standard set of practices.--
                    ``(A) In general.--The Secretary, in coordination 
                with the Secretary of Labor, shall develop a standard 
                set of practices for the production of agricultural 
                commodities that are imported, sold, or marketed in the 
                United States in order to reduce the likelihood that 
                the agricultural commodities are produced with the use 
                of forced labor or child labor.
                    ``(B) Requirement.--The standard set of practices 
                shall be developed in accordance with the requirements 
                of the Trafficking Victims Protection Act of 2000 (22 
                U.S.C. 7101 et seq.).
            ``(3) Requirements.--Not later than 3 years after the date 
        of enactment of this subsection, the Secretary shall, with 
        respect to the standard set of practices developed under 
        paragraph (2), promulgate proposed regulations that shall, at a 
        minimum, establish a voluntary certification program to enforce 
        this subsection by--
                    ``(A) requiring agricultural commodity traceability 
                and inspection at all stages of the supply chain;
                    ``(B) allowing for multistakeholder participation 
                in the certification process;
                    ``(C) providing for annual onsite inspection by a 
                certifying agent, who shall be certified in accordance 
                with the International Organization for Standardization 
                Guide 65, of each affected worksite and handling 
                operation;
                    ``(D) incorporating a comprehensive conflict of 
                interest policy for certifying agents, in accordance 
                with section 2116(h) of the Organic Foods Production 
                Act of 1990 (7 U.S.C. 6515(h)); and
                    ``(E) providing an anonymous grievance procedure 
                that--
                            ``(i) is accessible by third parties to 
                        allow for the identification of new or 
                        continuing violations of the regulations; and
                            ``(ii) provides protections for 
                        whistleblowers.
            ``(4) Reporting requirement.--Not later than 180 days after 
        the date of enactment of this subsection, and annually 
        thereafter, the Secretary shall submit to the Committee on 
        Agriculture of the House of Representatives and the Committee 
        on Agriculture, Nutrition, and Forestry of the Senate, a report 
        on the development and implementation of the standard set of 
        practices under this subsection.''.

SEC. 3106. FOREIGN MARKET DEVELOPMENT COOPERATOR PROGRAM.

    Section 703(a) of the Agricultural Trade Act of 1978 (7 U.S.C. 
5723(a)) is amended by striking ``amount of $34,500,000 for each of 
fiscal years 2002 through 2007'' and inserting ``amount of--
            ``(1) $39,500,000 for each of fiscal years 2008 and 2009;
            ``(2) $44,500,000 for fiscal year 2010; and
            ``(3) $34,500,000 for fiscal year 2011 and each subsequent 
        fiscal year.''.

SEC. 3107. FOOD FOR PROGRESS ACT OF 1985.

    The Food for Progress Act of 1985 (7 U.S.C. 1736o) is amended--
            (1) by striking ``2007'' each place it appears and 
        inserting ``2012'';
            (2) in subsection (b)(5)--
                    (A) by striking subparagraphs (A), (B), and (F);
                    (B) in subparagraph (D), by inserting ``and'' after 
                the semicolon;
                    (C) in subparagraph (E), by striking ``; and'' and 
                inserting a period; and
                    (D) by redesignating subparagraphs (C), (D), and 
                (E) as subparagraphs (A), (B), and (C), respectively; 
                and
            (3) in subsection (f), by striking paragraph (3) and 
        inserting the following:
            ``(3) Funding limitations.--With respect to eligible 
        commodities made available under section 416(b) of the 
        Agricultural Act of 1949 (42 U.S.C. 1431(b)), unless authorized 
        in advance in appropriation Acts--
                    ``(A) for each of fiscal years 2008 through 2010, 
                no funds of the Corporation in excess of $48,000,000 
                (exclusive of the cost of eligible commodities) may be 
                used to carry out this section; and
                    ``(B) for fiscal year 2011 and each fiscal year 
                thereafter, no funds of the Corporation in excess of 
                $40,000,000 (exclusive of the cost of eligible 
                commodities) may be used to carry out this section.''.

SEC. 3108. MCGOVERN-DOLE INTERNATIONAL FOOD FOR EDUCATION AND CHILD 
              NUTRITION PROGRAM.

    Section 3107 of the Farm Security and Rural Investment Act of 2002 
(7 U.S.C. 1736o-1) is amended--
            (1) in subsection (b), by inserting ``in the Department of 
        Agriculture'' after ``establish a program'';
            (2) in subsections (c)(2)(B), (f)(1), (h), (i), and (l)(1) 
        by striking ``President'' each place it appears and inserting 
        ``Secretary'';
            (3) in subsection (d), by striking ``The President shall 
        designate 1 or more Federal agencies'' and inserting ``The 
        Secretary shall'';
            (4) in paragraph (f)(2), by striking ``implementing 
        agency'' and inserting ``Secretary''; and
            (5) in subsection (l)(2), by striking ``such sums'' and all 
        that follows through ``2007'' and inserting ``$300,000,000 for 
        each of fiscal years 2008 through 2012''.

                       Subtitle C--Miscellaneous

SEC. 3201. BILL EMERSON HUMANITARIAN TRUST.

    Section 302 of the Bill Emerson Humanitarian Trust Act (7 U.S.C. 
1736f-1) is amended--
            (1) in subsection (a), by striking ``a trust stock'' and 
        all that follows through the end of the subsection and 
        inserting the following: ``a trust of commodities, for use as 
        described in subsection (c), to consist of--
            ``(1) quantities equivalent to not more than 4,000,000 
        metric tons of commodities; or
            ``(2) any combination of funds and commodities equivalent 
        to not more than 4,000,000 metric tons of commodities.'';
            (2) in subsection (b)--
                    (A) in paragraph (1)--
                            (i) in subparagraph (B)--
                                    (I) by striking ``replenish'' each 
                                place it appears and inserting 
                                ``reimburse''; and
                                    (II) by striking ``replenished'' 
                                and inserting ``reimbursed''; and
                            (ii) by striking subparagraph (D) and 
                        inserting the following:
                    ``(D) funds made available--
                            ``(i) under paragraph (2)(B);
                            ``(ii) as a result of an exchange of any 
                        commodity held in the trust for an equivalent 
                        amount of funds from--
                                    ``(I) the Agricultural Trade 
                                Development and Assistance Act of 1954 
                                (7 U.S.C. 1691 et seq.);
                                    ``(II) the McGovern-Dole 
                                International Food for Education and 
                                Child Nutrition Program established 
                                under section 3107 of the Farm Security 
                                and Rural Investment Act of 2002 (7 
                                U.S.C. 1736o-1); or
                                    ``(III) the market, if the 
                                Secretary determines that such a sale 
                                of the commodity on the market will not 
                                unduly disrupt domestic markets; and
                            ``(iii) in the course of management of the 
                        trust or to maximize the value of the trust, in 
                        accordance with subsection (d)(3).''; and
                    (B) in paragraph (2)(B)--
                            (i) in the matter preceding clause (i), by 
                        striking ``replenish'' and inserting 
                        ``reimburse'';
                            (ii) in clause (i)--
                                    (I) by striking ``2007'' each place 
                                it appears and inserting ``2012'';
                                    (II) by striking ``(c)(2)'' and 
                                inserting ``(c)(1)''; and
                                    (III) by striking ``and'' at the 
                                end;
                            (iii) in clause (ii), by striking the 
                        period at the end and inserting ``; or''; and
                            (iv) by adding at the end the following:
                            ``(iii) from funds accrued through the 
                        management of the trust under subsection 
                        (d).'';
            (3) in subsection (c)--
                    (A) by striking paragraphs (1) and (2) and 
                inserting the following:
            ``(1) Releases for emergency assistance.--
                    ``(A) Definition of emergency.--
                            ``(i) In general.--In this paragraph, the 
                        term `emergency' means an urgent situation--
                                    ``(I) in which there is clear 
                                evidence that an event or series of 
                                events described in clause (ii) has 
                                occurred--
                                            ``(aa) that causes human 
                                        suffering or imminently 
                                        threatens human lives or 
                                        livelihoods; and
                                            ``(bb) for which a 
                                        government concerned has not 
                                        the means to remedy; or
                                    ``(II) created by a demonstrably 
                                abnormal event or series of events that 
                                produces dislocation in the lives of 
                                residents of a country or region of a 
                                country on an exceptional scale.
                            ``(ii) Event or series of events.--An event 
                        or series of events referred to in clause (i) 
                        includes 1 or more of--
                                    ``(I) a sudden calamity, such as an 
                                earthquake, flood, locust infestation, 
                                or similar unforeseen disaster;
                                    ``(II) a human-made emergency 
                                resulting in--
                                            ``(aa) a significant influx 
                                        of refugees;
                                            ``(bb) the internal 
                                        displacement of populations; or
                                            ``(cc) the suffering of 
                                        otherwise affected populations;
                                    ``(III) food scarcity conditions 
                                caused by slow-onset events, such as 
                                drought, crop failure, pest 
                                infestation, and disease, that result 
                                in an erosion of the ability of 
                                communities and vulnerable populations 
                                to meet food needs; and
                                    ``(IV) severe food access or 
                                availability conditions resulting from 
                                sudden economic shocks, market failure, 
                                or economic collapse, that result in an 
                                erosion of the ability of communities 
                                and vulnerable populations to meet food 
                                needs.
                    ``(B) Releases.--
                            ``(i) In general.--Any funds or commodities 
                        held in the trust may be released to provide 
                        assistance under title II of the Food for Peace 
                        Act (7 U.S.C. 1721 et seq.)--
                                    ``(I) to meet emergency needs, 
                                including during the period immediately 
                                preceding the emergency;
                                    ``(II) to respond to an emergency; 
                                or
                                    ``(III) for recovery and 
                                rehabilitation after an emergency.
                            ``(ii) Procedure.--Subject to subparagraph 
                        (B), a release under clause (i) shall be 
                        carried out in the same manner, and pursuant to 
                        the same authority as provided in title II of 
                        that Act.
                    ``(C) Insufficiency of other funds.--The funds and 
                commodities held in the trust shall be made immediately 
                available on a determination by the Administrator that 
                funds available for emergency needs under title II of 
                that Act (7 U.S.C. 1721 et seq.) for a fiscal year are 
                insufficient to meet emergency needs during the fiscal 
                year.''; and
                    (B) by redesignating paragraphs (3) through (5) as 
                paragraphs (2) through (4), respectively;
            (4) in subsection (d)--
                    (A) by redesignating paragraphs (1) through (3) as 
                subparagraphs (A) through (C), respectively, and 
                indenting the subparagraphs appropriately;
                    (B) by striking the subsection designation and 
                heading and all that follows through ``provide--'' and 
                inserting the following:
    ``(d) Management of Trust.--
            ``(1) In general.--The Secretary shall provide for the 
        management of eligible commodities and funds held in the trust 
        in a manner that is consistent with maximizing the value of the 
        trust, as determined by the Secretary.
            ``(2) Eligible commodities.--The Secretary shall provide--
        '';
                    (C) in paragraph (2) (as redesignated by 
                subparagraph (B))--
                            (i) in subparagraph (B) (as redesignated by 
                        subparagraph (A)), by striking ``and'' at the 
                        end;
                            (ii) in subparagraph (C) (as redesignated 
                        by subparagraph (A)), by striking the period at 
                        the end and inserting ``; and''; and
                            (iii) by adding at the end the following:
                    ``(D) for the management of price risks associated 
                with commodities held or potentially held in the 
                trust.''; and
                    (D) by adding at the end the following:
            ``(3) Funds.--
                    ``(A) Requirement.--The Secretary shall maximize 
                the value of funds held in the trust, to the maximum 
                extent practicable.
                    ``(B) Releases on emergency.--If any commodity is 
                released from the trust in the case of an emergency 
                under subsection (c), the Secretary shall transfer to 
                the trust funds of the Commodity Credit Corporation in 
                an amount equal to, as determined by the Secretary, the 
                amount of storage charges that will be saved by 
                Commodity Credit Corporation due to the emergency 
                release.
                    ``(C) Exchanges.--If any commodity held in the 
                trust is exchanged for funds under subsection 
                (b)(1)(D)(ii)--
                            ``(i) the funds shall be held in the trust 
                        until the date on which the funds are released 
                        in the case of an emergency under subsection 
                        (c); and
                            ``(ii) the Secretary shall transfer to the 
                        trust funds of the Commodity Credit Corporation 
                        in an amount equal to, as determined by the 
                        Secretary, the amount of storage charges that 
                        will be saved by Commodity Credit Corporation 
                        due to the exchange.
                    ``(D) Investment.--The Secretary--
                            ``(i) may invest funds held in the trust in 
                        any short-term obligation of the United States 
                        or any other low-risk short-term instrument or 
                        security insured by the Federal Government in 
                        which a regulated insurance company may invest 
                        under the laws of the District of Columbia; and
                            ``(ii) shall not invest any funds held in 
                        the trust in real estate.'';
            (5) in subsection (f)(2)(A), by striking ``replenish'' and 
        inserting ``reimburse''; and
            (6) in subsection (h)--
                    (A) in paragraph (1), by striking ``replenish'' and 
                inserting ``reimburse''; and
                    (B) in each of paragraphs (1) and (2), by striking 
                ``2007'' each place it appears and inserting ``2012''.

SEC. 3202. EMERGING MARKETS AND FACILITY GUARANTEE LOAN PROGRAM.

    Section 1542 of the Food, Agriculture, Conservation, and Trade Act 
of 1990 (7 U.S.C. 5622 note; Public Law 101-624) is amended--
            (1) in subsection (a), by striking ``2007'' and inserting 
        ``2012'';
            (2) in subsection (b)--
                    (A) in the first sentence, by redesignating 
                paragraphs (1) and (2) as subparagraphs (A) and (B), 
                respectively, and indenting appropriately;
                    (B) by striking ``A portion'' and inserting the 
                following:
            ``(1) In general.--A portion'';
                    (C) in the second sentence, by striking ``The 
                Commodity Credit Corporation'' and inserting the 
                following:
            ``(2) Priority.--The Commodity Credit Corporation''; and
                    (D) by adding at the end the following:
            ``(3) Construction waiver.--The Secretary may waive any 
        applicable requirements relating to the use of United States 
        goods in the construction of a proposed facility, if the 
        Secretary determines that--
                    ``(A) goods from the United States are not 
                available; or
                    ``(B) the use of goods from the United States is 
                not practicable.
            ``(4) Term of guarantee.--A facility payment guarantee 
        under this subsection shall be for a term that is not more than 
        the lesser of--
                    ``(A) the term of the depreciation schedule of the 
                facility assisted; or
                    ``(B) 20 years.''; and
            (3) in subsection (d)(1)(A)(i) by striking ``2007'' and 
        inserting ``2012''.

SEC. 3203. BIOTECHNOLOGY AND AGRICULTURAL TRADE PROGRAM.

    Section 1543A(d) of the Food, Agriculture, Conservation, and Trade 
Act of 1990 (7 U.S.C. 5679(d)) is amended by striking ``2007'' and 
inserting ``2012''.

SEC. 3204. TECHNICAL ASSISTANCE FOR THE RESOLUTION OF TRADE DISPUTES.

    (a) In General.--The Secretary may provide monitoring, analytic 
support, and other technical assistance to limited resource persons 
that are involved in trading agricultural commodities, as determined by 
the Secretary, to reduce trade barriers to the persons.
    (b) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as are necessary to carry out this section.

                      TITLE IV--NUTRITION PROGRAMS

                 Subtitle A--Food and Nutrition Program

                 PART I--RENAMING OF FOOD STAMP PROGRAM

SEC. 4001. RENAMING OF FOOD STAMP PROGRAM.

    (a) Short Title.--The first section of the Food Stamp Act of 1977 
(7 U.S.C. 2011 note; Public Law 88-525) is amended by striking ``Food 
Stamp Act of 1977'' and inserting ``Food and Nutrition Act of 2007''.
    (b) Program.--The Food and Nutrition Act of 2007 (7 U.S.C. 2011 et 
seq.) (as amended by subsection (a)) is amended by striking ``food 
stamp program'' each place it appears and inserting ``food and 
nutrition program''.

                  PART II--IMPROVING PROGRAM BENEFITS

SEC. 4101. EXCLUSION OF CERTAIN MILITARY PAYMENTS FROM INCOME.

    Section 5(d) of the Food and Nutrition Act of 2007 (7 U.S.C. 
2014(d)) is amended--
            (1) by striking ``(d) Household'' and inserting ``(d) 
        Exclusions From Income.--Household'';
            (2) by striking ``only (1) any'' and inserting ``only--
            ``(1) any'';
            (3) by indenting each of paragraphs (2) through (18) so as 
        to align with the margin of paragraph (1) (as amended by 
        paragraph (1));
            (4) by striking the comma at the end of each of paragraphs 
        (1) through (16) and inserting a semicolon;
            (5) in paragraph (3)--
                    (A) by striking ``like (A) awarded'' and inserting 
                ``like--
                    ``(A) awarded'';
                    (B) by striking ``thereof, (B) to'' and inserting 
                ``thereof;
                    ``(B) to''; and
                    (C) by striking ``program, and (C) to'' and 
                inserting ``program; and
                    ``(C) to'';
            (6) in paragraph (11), by striking ``)), or (B) a'' and 
        inserting ``)); or
            ``(B) a'';
            (7) in paragraph (17), by striking ``, and'' at the end and 
        inserting a semicolon;
            (8) in paragraph (18), by striking the period at the end 
        and inserting ``; and''; and
            (9) by adding at the end the following:
            ``(19) any additional payment under chapter 5 of title 37, 
        United States Code, or otherwise designated by the Secretary to 
        be appropriate for exclusion under this paragraph, that is 
        received by or from a member of the United States Armed Forces 
        deployed to a designated combat zone, if the additional pay--
                    ``(A) is the result of deployment to or service in 
                a combat zone; and
                    ``(B) was not received immediately prior to serving 
                in a combat zone.''.

SEC. 4102. STRENGTHENING THE FOOD PURCHASING POWER OF LOW-INCOME 
              AMERICANS.

    Section 5(e)(1) of the Food and Nutrition Act of 2007 (7 U.S.C. 
2014(e)(1)) is amended--
            (1) in subparagraph (A)(ii), by striking ``not less than 
        $134'' and all that follows through the end of the clause and 
        inserting the following: ``not less than--
                                    ``(I) for fiscal year 2008, $140, 
                                $239, $197, and $123, respectively; and
                                    ``(II) for fiscal year 2009 and 
                                each fiscal year thereafter, an amount 
                                that is equal to the amount from the 
                                previous fiscal year adjusted to the 
                                nearest lower dollar increment to 
                                reflect changes for the 12-month period 
                                ending on the preceding June 30 in the 
                                Consumer Price Index for All Urban 
                                Consumers published by the Bureau of 
                                Labor Statistics of the Department of 
                                Labor, for items other than food.'';
            (2) in subparagraph (B)(ii), by striking ``not less than 
        $269'' and all that follows through the end of the clause and 
        inserting the following: ``not less than--
                                    ``(I) for fiscal year 2008, $281; 
                                and
                                    ``(II) for fiscal year 2009 and 
                                each fiscal year thereafter, an amount 
                                that is equal to the amount from the 
                                previous fiscal year adjusted to the 
                                nearest lower dollar increment to 
                                reflect changes for the 12-month period 
                                ending on the preceding June 30 in the 
                                Consumer Price Index for All Urban 
                                Consumers published by the Bureau of 
                                Labor Statistics of the Department of 
                                Labor, for items other than food.''; 
                                and
            (3) by adding at the end the following:
                    ``(C) Requirement.--Each adjustment under 
                subparagraphs (A)(ii)(II) and (B)(ii)(II) shall be 
                based on the unrounded amount for the prior 12-month 
                period.''.

SEC. 4103. SUPPORTING WORKING FAMILIES WITH CHILD CARE EXPENSES.

    Section 5(e)(3)(A) of the Food and Nutrition Act of 2007 (7 U.S.C. 
2014(e)(3)(A)) is amended by striking ``, the maximum allowable level 
of which shall be $200 per month for each dependent child under 2 years 
of age and $175 per month for each other dependent,''.

SEC. 4104. ENCOURAGING RETIREMENT AND EDUCATION SAVINGS AMONG FOOD 
              STAMP RECIPIENTS.

    (a) Allowable Financial Resources.--Section 5(g) of the Food and 
Nutrition Act of 2007 (7 U.S.C. 2014(g)) is amended--
            (1) by striking ``(g)(1) The Secretary'' and inserting the 
        following:
    ``(g) Allowable Financial Resources.--
            ``(1) Total amount.--
                    ``(A) In general.--The Secretary'';
            (2) in subparagraph (A) (as designated by paragraph (1))--
                    (A) by striking ``$2,000'' and inserting ``$3,500 
                (as adjusted in accordance with subparagraph (B))''; 
                and
                    (B) by striking ``$3,000'' and inserting ``$4,500 
                (as adjusted in accordance with subparagraph (B))''; 
                and
            (3) by adding at the end the following:
                    ``(B) Adjustment for inflation.--
                            ``(i) In general.--Beginning on October 1, 
                        2007, and each October 1 thereafter, the 
                        amounts in subparagraph (A) shall be adjusted 
                        and rounded down to the nearest $250 to reflect 
                        changes for the 12-month period ending the 
                        preceding June in the Consumer Price Index for 
                        All Urban Consumers published by the Bureau of 
                        Labor Statistics of the Department of Labor.
                            ``(ii) Requirement.--Each adjustment under 
                        clause (i) shall be based on the unrounded 
                        amount for the prior 12-month period.''.
    (b) Exclusion of Retirement Accounts From Allowable Financial 
Resources.--
            (1) In general.--Section 5(g)(2)(B)(v) of the Food and 
        Nutrition Act of 2007 (7 U.S.C. 2014(g)(2)(B)(v)) is amended by 
        striking ``or retirement account (including an individual 
        account)'' and inserting ``account''.
            (2) Mandatory and discretionary exclusions.--Section 5(g) 
        of the Food and Nutrition Act of 2007 (7 U.S.C. 2014(g)) is 
        amended by adding at the end the following:
            ``(7) Exclusion of retirement accounts from allowable 
        financial resources.--
                    ``(A) Mandatory exclusions.--The Secretary shall 
                exclude from financial resources under this subsection 
                the value of--
                            ``(i) any funds in a plan, contract, or 
                        account, described in sections 401(a), 403(a), 
                        403(b), 408, 408A, 457(b), and 501(c)(18) of 
                        the Internal Revenue Code of 1986 and the value 
                        of funds in a Federal Thrift Savings Plan 
                        account as provided in section 8439 of title 5, 
                        United States Code; and
                            ``(ii) any retirement program or account 
                        included in any successor or similar provision 
                        that may be enacted and determined to be exempt 
                        from tax under the Internal Revenue Code of 
                        1986.
                    ``(B) Discretionary exclusions.--The Secretary may 
                exclude from financial resources under this subsection 
                the value of any other retirement plans, contracts, or 
                accounts (as determined by the Secretary).''.
    (c) Exclusion of Education Accounts From Allowable Financial 
Resources.--Section 5(g) of the Food and Nutrition Act of 2007 (7 
U.S.C. 2014(g)) (as amended by subsection (b)) is amended by adding at 
the end the following:
            ``(8) Exclusion of education accounts from allowable 
        financial resources.--
                    ``(A) Mandatory exclusions.--The Secretary shall 
                exclude from financial resources under this subsection 
                the value of any funds in a qualified tuition program 
                described in section 529 of the Internal Revenue Code 
                of 1986 or in a Coverdell education savings account 
                under section 530 of that Code.
                    ``(B) Discretionary exclusions.--The Secretary may 
                exclude from financial resources under this subsection 
                the value of any other education programs, contracts, 
                or accounts (as determined by the Secretary).''.

SEC. 4105. FACILITATING SIMPLIFIED REPORTING.

    Section 6(c)(1)(A) of the Food and Nutrition Act of 2007 (7 U.S.C. 
2015(c)(1)(A)) is amended--
            (1) by striking ``reporting by'' and inserting 
        ``reporting'';
            (2) in clause (i), by inserting ``for periods shorter than 
        4 months by'' before ``migrant'';
            (3) in clause (ii), by inserting ``for periods shorter than 
        4 months by'' before ``households''; and
            (4) in clause (iii), by inserting ``for periods shorter 
        than 1 year by'' before ``households''.

SEC. 4106. ACCRUAL OF BENEFITS.

    Section 7(i) of the Food and Nutrition Act of 2007 (7 U.S.C. 
2016(i)) is amended by adding at the end the following:
            ``(12) Recovering electronic benefits.--
                    ``(A) In general.--A State agency shall establish a 
                procedure for recovering electronic benefits from the 
                account of a household due to inactivity.
                    ``(B) Benefit storage.--A State agency may store 
                recovered electronic benefits off-line in accordance 
                with subparagraph (D), if the household has not 
                accessed the account after 6 months.
                    ``(C) Benefit expunging.--A State agency shall 
                expunge benefits that have not been accessed by a 
                household after a period of 12 months.
                    ``(D) Notice.--A State agency shall--
                            ``(i) send notice to a household the 
                        benefits of which are stored under subparagraph 
                        (B); and
                            ``(ii) not later than 48 hours after 
                        request by the household, make the stored 
                        benefits available to the household.''.

SEC. 4107. ELIGIBILITY FOR UNEMPLOYED ADULTS.

    (a) In General.--Section 6(o) of the Food and Nutrition Act of 2007 
(7 U.S.C. 2015(o)) is amended--
            (1) in paragraph (2), in the matter preceding subparagraph 
        (A) by striking ``3 months'' and inserting ``6 months''; and
            (2) in paragraph (5), by striking subparagraph (C).
    (b) Effective Date.--The amendments made by subsection (a) take 
effect on October 1, 2008.

SEC. 4108. TRANSITIONAL BENEFITS OPTION.

    Section 11(s)(1) of the Food and Nutrition Act of 2007 (7 U.S.C. 
2020(s)(1)) is amended--
            (1) by striking ``benefits to a household''; and inserting 
        ``benefits--
                    ``(A) to a household'';
            (2) by striking the period at the end and inserting ``; 
        or''; and
            (3) by adding at the end the following:
                    ``(B) at the option of the State, to a household 
                with children that ceases to receive cash assistance 
                under a State-funded public assistance program.''.

SEC. 4109. MINIMUM BENEFIT.

    (a) In General.--Section 8(a) of the Food and Nutrition Act of 2007 
(7 U.S.C. 2017(a)) is amended by striking ``$10 per month'' and 
inserting ``10 percent of the thrifty food plan for a household 
containing 1 member''.
    (b) Effective Date.--The amendment made by subsection (a) takes 
effect on October 1, 2008.

SEC. 4110. AVAILABILITY OF COMMODITIES FOR THE EMERGENCY FOOD 
              ASSISTANCE PROGRAM.

    (a) In General.--Section 27(a) of the Food and Nutrition Act of 
2007 (7 U.S.C. 2036(a)) is amended--
            (1) by striking ``(a) Purchase of Commodities'' and all 
        that follows through ``through 2007'' and inserting the 
        following:
    ``(a) Purchase of Commodities.--
            ``(1) In general.--Subject to paragraph (2), for fiscal 
        year 2008 and each fiscal year thereafter''; and
            (2) by adding at the end the following:
            ``(2) Amounts.--In addition to the amounts made available 
        under paragraph (1), for fiscal year 2008 and each fiscal year 
        thereafter, from amounts made available to carry out this Act, 
        the Secretary shall use to carry out this subsection 
        $110,000,000.''.
    (b) Effective Date.--The amendments made by subsection (a) take 
effect on the date of enactment of this Act.

                 PART III--IMPROVING PROGRAM OPERATIONS

SEC. 4201. TECHNICAL CLARIFICATION REGARDING ELIGIBILITY.

    Section 6(k) of the Food and Nutrition Act of 2007 (7 U.S.C. 
2015(k)) is amended--
            (1) by redesignating paragraphs (1) and (2) as 
        subparagraphs (A) and (B), respectively, and indenting 
        appropriately;
            (2) by striking ``No member'' and inserting the following:
            ``(1) In general.--No member''; and
            (3) by adding at the end the following:
            ``(2) Procedures.--The Secretary shall issue consistent 
        procedures--
                    ``(A) to define the terms `fleeing' and `actively 
                seeking' for purposes of this subsection; and
                    ``(B) to ensure that State agencies use consistent 
                procedures that disqualify individuals whom law 
                enforcement authorities are actively seeking for the 
                purpose of holding criminal proceedings against the 
                individual.''.

SEC. 4202. ISSUANCE AND USE OF PROGRAM BENEFITS.

    (a) In General.--Section 7 of the Food and Nutrition Act of 2007 (7 
U.S.C. 2016) is amended--
            (1) by striking the section designation and heading and all 
        that follows through ``subsection (j)) shall be'' and inserting 
        the following:

``SEC. 7. ISSUANCE AND USE OF PROGRAM BENEFITS.

    ``(a) In General.--Except as provided in subsection (i), EBT cards 
shall be'';
            (2) in subsection (b)--
                    (A) by striking ``(b) Coupons'' and inserting the 
                following:
    ``(b) Use.--Benefits''; and
                    (B) by striking the second proviso;
            (3) in subsection (c)--
                    (A) by striking ``(c) Coupons'' and inserting the 
                following:
    ``(c) Design.--
            ``(1) In general.--EBT cards'';
                    (B) in the first sentence, by striking ``and define 
                their denomination''; and
                    (C) by striking the second sentence and inserting 
                the following:
            ``(2) Prohibition.--The name of any public official shall 
        not appear on any EBT card.'';
            (4) by striking subsection (d);
            (5) in subsection (e)--
                    (A) by striking ``coupons'' each place it appears 
                and inserting ``benefits''; and
                    (B) by striking ``coupon issuers'' each place it 
                appears and inserting ``benefit issuers'';
            (6) in subsection (f)--
                    (A) by striking ``coupons'' each place it appears 
                and inserting ``benefits'';
                    (B) by striking ``coupon issuer'' and inserting 
                ``benefit issuers'';
                    (C) by striking ``section 11(e)(20)'' and inserting 
                ``section 11(e)(19).''; and
                    (D) by striking ``and allotments'';
            (7) by striking subsection (g) and inserting the following:
    ``(g) Alternative Benefit Delivery.--
            ``(1) In general.--If the Secretary determines, in 
        consultation with the Inspector General of the Department of 
        Agriculture, that it would improve the integrity of the food 
        and nutrition program, the Secretary shall require a State 
        agency to issue or deliver benefits using alternative methods.
            ``(2) No imposition of costs.--The cost of documents or 
        systems that may be required by this subsection may not be 
        imposed upon a retail food store participating in the food and 
        nutrition program.
            ``(3) Devaluation and termination of issuance of paper 
        coupons.--
                    ``(A) Coupon issuance.--Effective on the date of 
                enactment of the Food and Energy Security Act of 2007, 
                no State shall issue any coupon, stamp, certificate, or 
                authorization card to a household that receives food 
                and nutrition benefits under this Act.
                    ``(B) EBT cards.--Effective beginning on the date 
                that is 1 year after the date of enactment of the Food 
                and Energy Security Act of 2007, only an EBT card 
                issued under subsection (i) shall be eligible for 
                exchange at any retail food store.
                    ``(C) De-obligation of coupons.--Coupons not 
                redeemed during the 1-year period beginning on the date 
                of enactment of the Food and Energy Security Act of 
                2007 shall--
                            ``(i) no longer be an obligation of the 
                        Federal Government; and
                            ``(ii) not be redeemable.'';
            (8) in subsection (h)(1), by striking ``coupons'' and 
        inserting ``benefits'';
            (9) in subsection (j)--
                    (A) in paragraph (2)(A)(ii), by striking 
                ``printing, shipping, and redeeming coupons'' and 
                inserting ``issuing and redeeming benefits''; and
                    (B) in paragraph (5), by striking ``coupon'' and 
                inserting ``benefit'';
            (10) in subsection (k)--
                    (A) by striking ``coupons in the form of'' each 
                place it appears and inserting ``program benefits in 
                the form of'';
                    (B) by striking ``a coupon issued in the form of'' 
                each place it appears and inserting ``program benefits 
                in the form of''; and
                    (C) in subparagraph (A), by striking ``subsection 
                (i)(11)(A)'' and inserting ``subsection (h)(11)(A)''; 
                and
            (11) by redesignating subsections (e) through (k) as 
        subsections (d) through (j), respectively.
    (b) Conforming Amendments.--
            (1) Section 3 of the Food and Nutrition Act of 2007 (7 
        U.S.C. 2012) is amended--
                    (A) in subsection (a), by striking ``coupons'' and 
                inserting ``benefits'';
                    (B) by striking subsection (b) and inserting the 
                following:
    ``(b) Benefit.--The term `benefit' means the value of food and 
nutrition assistance provided to a household by means of--
            ``(1) an electronic benefit transfer under section 7(i); or
            ``(2) other means of providing assistance, as determined by 
        the Secretary.'';
                    (C) in subsection (c), in the first sentence, by 
                striking ``authorization cards'' and inserting 
                ``benefits'';
                    (D) in subsection (d), by striking ``or access 
                device'' and all that follows through the end of the 
                subsection and inserting a period;
                    (E) in subsection (e)--
                            (i) by striking ``(e) `Coupon issuer' 
                        means'' and inserting the following:
    ``(e) Benefit Issuer.--The term `benefit issuer' means''; and
                            (ii) by striking ``coupons'' and inserting 
                        ``benefits'';
                    (F) in subsection (g)(7), by striking ``subsection 
                (r)'' and inserting ``subsection (j)'';
                    (G) in subsection (i)(5)--
                            (i) in subparagraph (B), by striking 
                        ``subsection (r)'' and inserting ``subsection 
                        (j)''; and
                            (ii) in subparagraph (D), by striking 
                        ``coupons'' and inserting ``benefits'';
                    (H) in subsection (j), by striking ``(as that term 
                is defined in subsection (p))'';
                    (I) in subsection (k)--
                            (i) in paragraph (1)(A), by striking 
                        ``subsection (u)(1)'' and inserting 
                        ``subsection (r)(1)'';
                            (ii) in paragraph (2), by striking 
                        ``subsections (g)(3), (4), (5), (7), (8), and 
                        (9) of this section'' and inserting 
                        ``paragraphs (3), (4), (5), (7), (8), and (9) 
                        of subsection (k)''; and
                            (iii) in paragraph (3), by striking 
                        ``subsection (g)(6) of this section'' and 
                        inserting ``subsection (k)(6)'';
                    (J) in subsection (t), by inserting ``, including 
                point of sale devices,'' after ``other means of 
                access'';
                    (K) in subsection (u), by striking ``(as defined in 
                subsection (g))''; and
                    (L) by adding at the end the following:
    ``(v) EBT Card.--The term `EBT card' means an electronic benefit 
transfer card issued under section 7(i).''; and
                    (M) by redesignating subsections (a) through (v) as 
                subsections (b), (d), (f), (g), (e), (h), (k), (l), 
                (n), (o), (p), (q), (s), (t), (u), (v), (c), (j), (m), 
                (a), (r), and (i), respectively, and moving so as to 
                appear in alphabetical order.
            (2) Section 4(a) of the Food and Nutrition Act of 2007 (7 
        U.S.C. 2013(a)) is amended--
                    (A) by striking ``coupons'' each place it appears 
                and inserting ``benefits''; and
                    (B) by striking ``Coupons issued'' and inserting 
                ``benefits issued''.
            (3) Section 5 of the Food and Nutrition Act of 2007 (7 
        U.S.C. 2014) is amended--
                    (A) in subsection (a), by striking ``section 
                3(i)(4)'' and inserting ``section 3(n)(4)'';
                    (B) in subsection (h)(3)(B), in the second 
                sentence, by striking ``section 7(i)'' and inserting 
                ``section 7(h)''; and
                    (C) in subsection (i)(2)(E), by striking ``, as 
                defined in section 3(i) of this Act,''.
            (4) Section 6 of the Food and Nutrition Act of 2007 (7 
        U.S.C. 2015) is amended--
                    (A) in subsection (b)(1)--
                            (i) in subparagraph (B), by striking 
                        ``coupons or authorization cards'' and 
                        inserting ``program benefits''; and
                            (ii) by striking ``coupons'' each place it 
                        appears and inserting ``benefits''; and
                    (B) in subsection (d)(4)(L), by striking ``section 
                11(e)(22)'' and inserting ``section 11(e)(19)''.
            (5) Section 7(f) of the Food and Nutrition Act of 2007 (7 
        U.S.C. 2016(f)) is amended by striking ``including any losses'' 
        and all that follows through ``section 11(e)(20),''.
            (6) Section 8 of the Food and Nutrition Act of 2007 (7 
        U.S.C. 2017) is amended--
                    (A) in subsection (b), by striking ``, whether 
                through coupons, access devices, or otherwise''; and
                    (B) in subsections (e)(1) and (f), by striking 
                ``section 3(i)(5)'' each place it appears and inserting 
                ``section 3(n)(5)''.
            (7) Section 9 of the Food and Nutrition Act of 2007 (7 
        U.S.C. 2018) is amended--
                    (A) by striking ``coupons'' each place it appears 
                and inserting ``benefits'';
                    (B) in subsection (a)--
                            (i) in paragraph (1), by striking ``coupon 
                        business'' and inserting ``benefit 
                        transactions''; and
                            (ii) by striking paragraph (3) and 
                        inserting the following:
            ``(3) Authorization periods.--The Secretary shall establish 
        specific time periods during which authorization to accept and 
        redeem benefits shall be valid under the food and nutrition 
        program.''; and
                    (C) in subsection (g), by striking ``section 
                3(g)(9)'' and inserting ``section 3(k)(9)''.
            (8) Section 10 of the Food and Nutrition Act of 2007 (7 
        U.S.C. 2019) is amended--
                    (A) by striking the section designation and heading 
                and all that follows through ``Regulations'' and 
                inserting the following:

``SEC. 10. REDEMPTION OF PROGRAM BENEFITS.

    ``Regulations'';
                    (B) by striking ``section 3(k)(4) of this Act'' and 
                inserting ``section 3(p)(4)'';
                    (C) by striking ``section 7(i)'' and inserting 
                ``section 7(h)''; and
                    (D) by striking ``coupons'' each place it appears 
                and inserting ``benefits''.
            (9) Section 11 of the Food and Nutrition Act of 2007 (7 
        U.S.C. 2020) is amended--
                    (A) in subsection (d)--
                            (i) by striking ``section 3(n)(1) of this 
                        Act'' each place it appears and inserting 
                        ``section 3(t)(1)''; and
                            (ii) by striking ``section 3(n)(2) of this 
                        Act'' each place it appears and inserting 
                        ``section 3(t)(2)'';
                    (B) in subsection (e)--
                            (i) in paragraph (8)(E), by striking 
                        ``paragraph (16) or (20)(B)'' and inserting 
                        ``paragraph (15) or (18)(B)'';
                            (ii) by striking paragraphs (15) and (19);
                            (iii) by redesignating paragraphs (16) 
                        through (18) and (20) through (25) as 
                        paragraphs (15) through (17) and (18) through 
                        (23), respectively; and
                            (iv) in paragraph (17) (as so 
                        redesignated), by striking ``(described in 
                        section 3(n)(1) of this Act)'' and inserting 
                        ``described in section 3(t)(1)'';
                    (C) in subsection (h), by striking ``coupon or 
                coupons'' and inserting ``benefits'';
                    (D) by striking ``coupon'' each place it appears 
                and inserting ``benefit'';
                    (E) by striking ``coupons'' each place it appears 
                and inserting ``benefits'';
                    (F) in subsection (q), by striking ``section 
                11(e)(20)(B)'' and inserting ``subsection (e)(18)(B)''
            (10) Section 13 of the Food and Nutrition Act of 2007 (7 
        U.S.C. 2022) is amended by striking ``coupons'' each place it 
        appears and inserting ``benefits''.
            (11) Section 15 of the Food and Nutrition Act of 2007 (7 
        U.S.C. 2024) is amended--
                    (A) in subsection (a), by striking ``coupons'' and 
                inserting ``benefits'';
                    (B) in subsection (b)(1)--
                            (i) by striking ``coupons, authorization 
                        cards, or access devices'' each place it 
                        appears and inserting ``benefits'';
                            (ii) by striking ``coupons or authorization 
                        cards'' and inserting ``benefits''; and
                            (iii) by striking ``access device'' each 
                        place it appears and inserting ``benefit'';
                    (C) in subsection (c), by striking ``coupons'' each 
                place it appears and inserting ``benefits'';
                    (D) in subsection (d), by striking ``Coupons'' and 
                inserting ``Benefits'';
                    (E) by striking subsections (e) and (f);
                    (F) by redesignating subsections (g) and (h) as 
                subsections (e) and (f), respectively; and
                    (G) in subsection (e) (as so redesignated), by 
                striking ``coupon, authorization cards or access 
                devices'' and inserting ``benefits''.
            (12) Section 16(a) of the Food and Nutrition Act of 2007 (7 
        U.S.C. 2025(a)) is amended by striking ``coupons'' each place 
        it appears and inserting ``benefits''.
            (13) Section 17 of the Food and Nutrition Act of 2007 (7 
        U.S.C. 2026) is amended--
                    (A) in subsection (a)(2), by striking ``coupon'' 
                and inserting ``benefit'';
                    (B) in subsection (b)(1)--
                            (i) in subparagraph (B)--
                                    (I) in clause (iv)--
                                            (aa) in subclause (I), 
                                        inserting ``or otherwise 
                                        providing benefits in a form 
                                        not restricted to the purchase 
                                        of food'' after ``of cash'';
                                            (bb) in subclause 
                                        (III)(aa), by striking 
                                        ``section 3(i)'' and inserting 
                                        ``section 3(n)''; and
                                            (cc) in subclause (VII), by 
                                        striking ``section 7(j)'' and 
                                        inserting ``section 7(i)''; and
                                    (II) in clause (v)--
                                            (aa) by striking 
                                        ``countersigned food coupons or 
                                        similar''; and
                                            (bb) by striking ``food 
                                        coupons'' and inserting ``EBT 
                                        cards''; and
                            (ii) in subparagraph (C)(i)(I), by striking 
                        ``coupons'' and inserting ``EBT cards'';
                    (C) in subsection (f), by striking ``section 
                7(g)(2)'' and inserting ``section 7(f)(2)''; and
                    (D) in subsection (j), by striking ``coupon'' and 
                inserting ``benefit''.
            (14) Section 19(a)(2)(A)(ii) of the Food and Nutrition Act 
        of 2007 (7 U.S.C. 2028(a)(2)(A)(ii)) is amended by striking 
        ``section 3(o)(4)'' and inserting ``section 3(u)(4)''.
            (15) Section 21 of the Food and Nutrition Act of 2007 (7 
        U.S.C. 2030) is amended--
                    (A) in subsection (b)(2)(G)(i), by striking ``and 
                (19)'' and inserting ``(and (17)'';
                    (B) in subsection (d)(3), by striking ``food 
                coupons'' and inserting ``EBT cards''; and
                    (C) by striking ``coupons'' each place it appears 
                and inserting ``EBT cards''.
            (16) Section 22 of the Food and Nutrition Act of 2007 (7 
        U.S.C. 2031) is amended--
                    (A) by striking ``food coupons'' each place it 
                appears and inserting ``benefits'';
                    (B) by striking ``coupons'' each place it appears 
                and inserting ``benefits''; and
                    (C) in subsection (g)(1)(A), by striking ``coupon'' 
                and inserting ``benefits''.
            (17) Section 26(f)(3) of the Food and Nutrition Act of 2007 
        (7 U.S.C. 2035(f)(3)) is amended--
                    (A) in subparagraph (A), by striking ``subsections 
                (a) through (g)'' and inserting ``subsections (a) 
                through (f)''; and
                    (B) in subparagraph (E), by striking ``(16), (18), 
                (20), (24), and (25)'' and inserting ``(15), (17), 
                (18), (22), and (23)''.
    (c) Conforming Cross-References.--
            (1) In general.--
                    (A) Use of terms.--Each provision of law described 
                in subparagraph (B) is amended (as applicable)--
                            (i) by striking ``coupons'' each place it 
                        appears and inserting ``benefits'';
                            (ii) by striking ``coupon'' each place it 
                        appears and inserting ``benefit'';
                            (iii) by striking ``food coupons'' each 
                        place it appears and inserting ``benefits'';
                            (iv) in each section heading, by striking 
                        ``food coupons'' each place it appears and 
                        inserting ``benefits'';
                            (v) by striking ``food stamp coupon'' each 
                        place it appears and inserting ``benefit''; and
                            (vi) by striking ``food stamps'' each place 
                        it appears and inserting ``benefits''.
                    (B) Provisions of law.--The provisions of law 
                referred to in subparagraph (A) are the following:
                            (i) Section 2 of Public Law 103-205 (7 
                        U.S.C. 2012 note; 107 Stat. 2418).
                            (ii) Section 1956(c)(7)(D) of title 18, 
                        United States Code.
                            (iii) Titles II through XIX of the Social 
                        Security Act (42 U.S.C. 401 et seq.).
                            (iv) Section 401(b)(3) of the Social 
                        Security Amendments of 1972 (42 U.S.C. 1382e 
                        note; Public Law 92-603).
                            (v) The Robert T. Stafford Disaster Relief 
                        and Emergency Assistance Act (42 U.S.C. 5121 et 
                        seq.).
                            (vi) Section 802(d)(2)(A)(i)(II) of the 
                        Cranston-Gonzalez National Affordable Housing 
                        Act (42 U.S.C. 8011(d)(2)(A)(i)(II)).
            (2) Definition references.--
                    (A) Section 2 of Public Law 103-205 (7 U.S.C. 2012 
                note; 107 Stat. 2418) is amended by striking ``section 
                3(k)(1)'' and inserting ``section 3(p)(1)''.
                    (B) Section 205 of the Food Stamp Program 
                Improvements Act of 1994 (7 U.S.C. 2012 note; Public 
                Law 103-225) is amended by striking ``section 3(k) of 
                such Act (as amended by section 201)'' and inserting 
                ``section 3(p) of that Act''.
                    (C) Section 115 of the Personal Responsibility and 
                Work Opportunity Reconciliation Act of 1996 (21 U.S.C. 
                862a) is amended--
                            (i) by striking ``section 3(h)'' each place 
                        it appears and inserting ``section 3(l)''; and
                            (ii) in subsection (e)(2), by striking 
                        ``section 3(m)'' and inserting ``section 
                        3(s)''.
                    (D) Section 402(a) of the Personal Responsibility 
                and Work Opportunity Reconciliation Act of 1996 (8 
                U.S.C. 1612(a)) is amended--
                            (i) in paragraph (2)(F)(ii), by striking 
                        ``section 3(r)'' and inserting ``section 
                        3(j)''; and
                            (ii) in paragraph (3)(B), by striking 
                        ``section 3(h)'' and inserting ``section 
                        3(l)''.
                    (E) Section 3803(c)(2)(C)(vii) of title 31, United 
                States Code, is amended by striking ``section 3(h)'' 
                and inserting ``section 3(l)''.
                    (F) Section 303(d)(4) of the Social Security Act 
                (42 U.S.C. 503(d)(4)) is amended by striking ``section 
                3(n)(1)'' and inserting ``section 3(t)(1)''.
                    (G) Section 404 of the Social Security Act (42 
                U.S.C. 604) is amended by striking ``section 3(h)'' 
                each place it appears and inserting ``section 3(l)''.
                    (H) Section 531 of the Social Security Act (42 
                U.S.C. 654) is amended by striking ``section 3(h)'' 
                each place it appears and inserting ``section 3(l)''.
                    (I) Section 802(d)(2)(A)(i)(II) of the Cranston-
                Gonzalez National Affordable Housing Act (42 U.S.C. 
                8011(d)(2)(A)(i)(II)) is amended by striking ``(as 
                defined in section 3(e) of such Act)''.
    (d) References.--Any reference in any Federal, State, tribal, or 
local law (including regulations) to a ``coupon'', ``authorization 
card'', or other access device provided under the Food and Nutrition 
Act of 2007 (7 U.S.C. 2011 et seq.) shall be considered to be a 
reference to a ``benefit'' provided under that Act.

SEC. 4203. CLARIFICATION OF SPLIT ISSUANCE.

    Section 7(h) of the Food and Nutrition Act of 2007 (7 U.S.C. 
2016(h)) is amended by striking paragraph (2) and inserting the 
following:
            ``(2) Requirements.--
                    ``(A) In general.--Any procedure established under 
                paragraph (1) shall--
                            ``(i) not reduce the allotment of any 
                        household for any period; and
                            ``(ii) ensure that no household experiences 
                        an interval between issuances of more than 40 
                        days.
                    ``(B) Multiple issuances.--The procedure may 
                include issuing benefits to a household in more than 1 
                issuance only when a benefit correction is 
                necessary.''.

SEC. 4204. STATE OPTION FOR TELEPHONIC SIGNATURE.

    Section 11(e)(2)(C) of the Food and Nutrition Act of 2007 (7 U.S.C. 
2020(e)(2)(C)) is amended--
            (1) by striking ``Nothing in this Act'' and inserting the 
        following:
                    ``(C) Electronic and automated systems.--
                            ``(i) In general.--Nothing in this Act''; 
                        and
            (2) by adding at the end the following:
                            ``(ii) State option for telephonic 
                        signature.--A State agency may establish a 
                        system by which an applicant household may sign 
                        an application through a recorded verbal assent 
                        over the telephone.
                            ``(iii) Requirements.--A system established 
                        under clause (ii) shall--
                                    ``(I) record for future reference 
                                the verbal assent of the household 
                                member and the information to which 
                                assent was given;
                                    ``(II) include effective safeguards 
                                against impersonation, identity theft, 
                                and invasions of privacy;
                                    ``(III) not deny or interfere with 
                                the right of the household to apply in 
                                writing;
                                    ``(IV) promptly provide to the 
                                household member a written copy of the 
                                completed application, with 
                                instructions for a simple procedure for 
                                correcting any errors or omissions;
                                    ``(V) comply with paragraph (1)(B);
                                    ``(VI) satisfy all requirements for 
                                a signature on an application under 
                                this Act and other laws applicable to 
                                the food and nutrition program, with 
                                the date on which the household member 
                                provides verbal assent considered as 
                                the date of application for all 
                                purposes; and
                                    ``(VII) comply with such other 
                                standards as the Secretary may 
                                establish.''.

SEC. 4205. PRIVACY PROTECTIONS.

    Section 11(e)(8) of the Food and Nutrition Act of 2007 (7 U.S.C. 
2020(e)(8)) is amended--
            (1) in the matter preceding subparagraph (A)--
                    (A) by striking ``limit'' and inserting 
                ``prohibit''; and
                    (B) by striking ``to persons'' and all that follows 
                through ``State programs'';
            (2) by redesignating subparagraphs (A) through (E) as 
        subparagraphs (B) through (F), respectively;
            (3) by inserting before subparagraph (B) (as so 
        redesignated) the following:
                    ``(A) the safeguards shall permit--
                            ``(i) the disclosure of such information to 
                        persons directly connected with the 
                        administration or enforcement of the provisions 
                        of this Act, regulations issued pursuant to 
                        this Act, Federal assistance programs, or 
                        federally-assisted State programs; and
                            ``(ii) the subsequent use of the 
                        information by persons described in clause (i) 
                        only for such administration or enforcement;''; 
                        and
            (4) in subparagraph (F) (as so redesignated) by inserting 
        ``or subsection (u)'' before the semicolon at the end.

SEC. 4206. STUDY ON COMPARABLE ACCESS TO FOOD AND NUTRITION ASSISTANCE 
              FOR PUERTO RICO.

    (a) In General.--The Secretary shall carry out a study of the 
feasibility and effects of including the Commonwealth of Puerto Rico in 
the definition of the term ``State'' under section 3 of the Food and 
Nutrition Act of 2007 (7 U.S.C. 2012), in lieu of providing block 
grants under section 19 of that Act (7 U.S.C. 2028).
    (b) Inclusions.--The study shall include--
            (1) an assessment of the administrative, financial 
        management, and other changes that would be necessary for the 
        Commonwealth to establish a comparable food and nutrition 
        program, including compliance with appropriate program rules 
        under the Food and Nutrition Act of 2007 (7 U.S.C. 2011 et 
        seq,), such as--
                    (A) benefit levels under section 3(o) of that Act 
                (7 U.S.C. 3012(o));
                    (B) income eligibility standards under sections 
                5(c) and 6 of that Act (7 U.S.C. 2014(c), 2015); and
                    (C) deduction levels under section 5(e) of that Act 
                (7 U.S.C. 2014(e));
            (2) an estimate of the impact on Federal and Commonwealth 
        benefit and administrative costs;
            (3) an assessment of the impact of the program on low-
        income Puerto Ricans, as compared to the program under section 
        19 of that Act (7 U.S.C. 2028);
            (4) such other matters as the Secretary considers to be 
        appropriate.
    (c) Report.--Not later than 1 year after the date of enactment of 
this Act, the Secretary shall submit to the Committee on Agriculture of 
the House of Representatives and the Committee on Agriculture, 
Nutrition, and Forestry of the Senate a report that describes the 
results of the study conducted under this section.
    (d) Funding.--
            (1) In general.--On October 1, 2008, out of any funds in 
        the Treasury not otherwise appropriated, the Secretary of the 
        Treasury shall transfer to the Secretary to carry out this 
        section $1,000,000, to remain available until expended.
            (2) Receipt and acceptance.--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. 

SEC. 4207. CIVIL RIGHTS COMPLIANCE.

    Section 11 of the Food and Nutrition Act of 2007 (7 U.S.C. 2020) is 
amended by striking subsection (c) and inserting the following:
    ``(c) Civil Rights Compliance.--
            ``(1) In general.--In the certification of applicant 
        households for the food and nutrition program, there shall be 
        no discrimination by reason of race, sex, religious creed, 
        national origin, or political affiliation.
            ``(2) Relation to other laws.--The administration of the 
        program by a State agency shall be consistent with the rights 
        of households under the following laws (including implementing 
        regulations):
                    ``(A) The Age Discrimination Act of 1975 (42 U.S.C. 
                6101 et seq.).
                    ``(B) Section 504 of the Rehabilitation Act of 1973 
                (29 U.S.C. 794).
                    ``(C) The Americans with Disabilities Act of 1990 
                (42 U.S.C. 12101 et seq.).
                    ``(D) Title VI of the Civil Rights Act of 1964 (42 
                U.S.C. 2000d et seq.).''.

SEC. 4208. EMPLOYMENT, TRAINING, AND JOB RETENTION.

    Section 6(d)(4) of the Food and Nutrition Act of 2007 (7 U.S.C. 
2015(d)(4)) is amended--
            (1) in subparagraph (B)--
                    (A) by redesignating clause (vii) as clause (viii); 
                and
                    (B) by inserting after clause (vi) the following:
                            ``(vii) Programs intended to ensure job 
                        retention by providing job retention services, 
                        if the job retention services are provided for 
                        a period of not more than 90 days after an 
                        individual who received employment and training 
                        services under this paragraph gains 
                        employment.''; and
            (2) in subparagraph (F), by adding at the end the 
        following:
                            ``(iii) Any individual voluntarily electing 
                        to participate in a program under this 
                        paragraph shall not be subject to the 
                        limitations described in clauses (i) and 
                        (ii).''.

SEC. 4209. CODIFICATION OF ACCESS RULES.

    Section 11(e)(1)) of the Food and Nutrition Act of 2007 (7 U.S.C. 
2020(e)(1)) is amended--
            (1) by striking ``shall (A) at'' and inserting ``shall--
                    ``(A) at''; and
            (2) by striking ``and (B) use'' and inserting ``and
                    ``(B) comply with regulations of the Secretary 
                requiring the use of''.

SEC. 4210. EXPANDING THE USE OF EBT CARDS AT FARMERS' MARKETS.

    (a) In General.--For each of fiscal years 2008 through 2010, the 
Secretary shall make grants to pay 100 percent of the costs of eligible 
entities approved by the Secretary to carry out projects to expand the 
number of farmers' markets that accept EBT cards by--
            (1) providing equipment and training necessary for farmers' 
        markets to accept EBT cards;
            (2) educating and providing technical assistance to farmers 
        and farmers' market operators about the process and benefits of 
        accepting EBT cards; or
            (3) other activities considered to be appropriate by the 
        Secretary.
    (b) Limitation.--A grant under this section--
            (1) may not be made for the ongoing cost of carrying out 
        any project; and
            (2) shall only be provided to eligible entities that 
        demonstrate a plan to continue to provide EBT card access at 1 
        or more farmers' markets following the receipt of the grant.
    (c) Eligible Entities.--To be eligible to receive a grant under 
this section, an entity shall be--
            (1) a State agency administering the food and nutrition 
        program established under the Food and Nutrition Act of 2007 (7 
        U.S.C. 2011 et seq.);
            (2) a State agency or local government; or
            (3) a private nonprofit entity that coordinates farmers' 
        markets in a State in cooperation with a State or local 
        government.
    (d) Selection of Eligible Entities.--The Secretary--
            (1) shall develop criteria to select eligible entities to 
        receive grants under this section; and
            (2) may give preference to any eligible entity that 
        consists of a partnership between a government entity and a 
        nongovernmental entity.
    (e) Mandatory Funding.--
            (1) In general.--On October 1, 2007, out of any funds in 
        the Treasury not otherwise appropriated, the Secretary of the 
        Treasury shall transfer to the Secretary of Agriculture to 
        carry out this section $5,000,000, to remain available until 
        expended.
            (2) Receipt and acceptance.--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.

SEC. 4211. REVIEW OF MAJOR CHANGES IN PROGRAM DESIGN.

    Section 11 of the Food and Nutrition Act of 2007 (7 U.S.C. 2020) is 
amended by striking subsection (a) and inserting the following:
    ``(a) State Responsibility.--
            ``(1) In general.--The State agency of each participating 
        State shall have responsibility for certifying applicant 
        households and issuing EBT cards.
            ``(2) Local administration.--The responsibility of the 
        agency of the State government shall not be affected by whether 
        the program is operated on a State-administered or county-
        administered basis, as provided under section 3(t)(1).
            ``(3) Records.--
                    ``(A) In general.--Each State agency shall keep 
                such records as may be necessary to determine whether 
                the program is being conducted in compliance with this 
                Act (including regulations issued under this Act).
                    ``(B) Inspection and audit.--Records described in 
                subparagraph (A) shall--
                            ``(i) be available for inspection and audit 
                        at any reasonable time;
                            ``(ii) subject to subsection (e)(8), be 
                        available for review in any action filed by a 
                        household to enforce any provision of this Act 
                        (including regulations issued under this Act); 
                        and
                            ``(iii) be preserved for such period of not 
                        less than 3 years as may be specified in 
                        regulations.
            ``(4) Review of major changes in program design.--
                    ``(A) In general.--The Secretary shall develop 
                standards for identifying major changes in the 
                operations of a State agency, including--
                            ``(i) large or substantially-increased 
                        numbers of low-income households that do not 
                        live in reasonable proximity to an office 
                        performing the major functions described in 
                        subsection (e);
                            ``(ii) substantial increases in reliance on 
                        automated systems for the performance of 
                        responsibilities previously performed by 
                        personnel described in subsection (e)(6)(B);
                            ``(iii) changes that potentially increase 
                        the difficulty of reporting information under 
                        subsection (e) or section 6(c); and
                            ``(iv) changes that may disproportionately 
                        increase the burdens on any of the types of 
                        households described in subsection (e)(2)(A).
                    ``(B) Notification.--If a State agency implements a 
                major change in operations, the State agency shall--
                            ``(i) notify the Secretary; and
                            ``(ii) collect such information as the 
                        Secretary shall require to identify and correct 
                        any adverse effects on program integrity or 
                        access, including access by any of the types of 
                        households described in subsection 
                        (e)(2)(A).''.

SEC. 4212. PRESERVATION OF ACCESS AND PAYMENT ACCURACY.

    Section 16 of the Food and Nutrition Act of 2007 (7 U.S.C. 2025) is 
amended by striking subsection (g) and inserting the following:
    ``(g) Cost Sharing for Computerization.--
            ``(1) In general.--Except as provided in paragraphs (2) and 
        (3), the Secretary is authorized to pay to each State agency 
        the amount provided under subsection (a)(6) for the costs 
        incurred by the State agency in the planning, design, 
        development, or installation of 1 or more automatic data 
        processing and information retrieval systems that the Secretary 
        determines--
                    ``(A) would assist in meeting the requirements of 
                this Act;
                    ``(B) meet such conditions as the Secretary 
                prescribes;
                    ``(C) are likely to provide more efficient and 
                effective administration of the food and nutrition 
                program;
                    ``(D) would be compatible with other systems used 
                in the administration of State programs, including the 
                program funded under part A of title IV of the Social 
                Security Act (42 U.S.C. 601 et seq.);
                    ``(E) would be tested adequately before and after 
                implementation, including through pilot projects in 
                limited areas for major systems changes as determined 
                under rules promulgated by the Secretary, data from 
                which shall be thoroughly evaluated before the 
                Secretary approves the system to be implemented more 
                broadly; and
                    ``(F) would be operated in accordance with an 
                adequate plan for--
                            ``(i) continuous updating to reflect 
                        changed policy and circumstances; and
                            ``(ii) testing the effect of the system on 
                        access for eligible households and on payment 
                        accuracy.
            ``(2) Limitation.--The Secretary shall not make payments to 
        a State agency under paragraph (1) to the extent that the State 
        agency--
                    ``(A) is reimbursed for the costs under any other 
                Federal program; or
                    ``(B) uses the systems for purposes not connected 
                with the food and nutrition program.''.

SEC. 4213. NUTRITION EDUCATION.

    (a) Authority To Provide Nutrition Education.--Section 4(a) of the 
Food and Nutrition Act of 2007 (7 U.S.C. 2013(a)) is amended in the 
first sentence by inserting ``and through an approved State plan, 
nutrition education'' after ``an allotment''.
    (b) Implementation.--Section 11 of the Food and Nutrition Act of 
2007 (7 U.S.C. 2020(f) is amended by striking subsection (f) and 
inserting the following:
    ``(f) Nutrition Education.--
            ``(1) In general.--State agencies may implement a nutrition 
        education program for individuals eligible for program benefits 
        that promotes healthy food choices consistent with the most 
        recent Dietary Guidelines for Americans published under section 
        301 of the National Nutrition Monitoring and Related Research 
        Act of 1990 (7 U.S.C. 5341).
            ``(2) Delivery of nutrition education.--State agencies may 
        deliver nutrition education directly to eligible persons or 
        through agreements with the Cooperative State Research, 
        Education, and Extension Service, including through the 
        expanded food and nutrition education under section 3(d) of the 
        Act of May 8, 1914 (7 U.S.C. 343(d)), and other State and 
        community health and nutrition providers and organizations.
            ``(3) Nutrition education state plans.--
                    ``(A) In general.--A State agency that elects to 
                provide nutrition education under this subsection shall 
                submit a nutrition education State plan to the 
                Secretary for approval.
                    ``(B) Requirements.--The plan shall--
                            ``(i) identify the uses of the funding for 
                        local projects; and
                            ``(ii) conform to standards established by 
                        the Secretary through regulations or guidance.
                    ``(C) Reimbursement.--State costs for providing 
                nutrition education under this subsection shall be 
                reimbursed pursuant to section 16(a).
            ``(4) Notification.--To the maximum extent practicable, 
        State agencies shall notify applicants, participants, and 
        eligible program participants of the availability of nutrition 
        education under this subsection.''.

                  PART IV--IMPROVING PROGRAM INTEGRITY

SEC. 4301. MAJOR SYSTEMS FAILURES.

    (a) In General.--Section 13(b) of the Food and Nutrition Act of 
2007 (7 U.S.C. 2022(b)) is amended by adding at the end the following:
            ``(5) Over issuances caused by systemic state errors.--
                    ``(A) In general.--If the Secretary determines that 
                a State agency over issued benefits to a substantial 
                number of households in a fiscal year as a result of a 
                major systemic error by the State agency, as determined 
                by the Secretary, the Secretary may prohibit the State 
                agency from collecting these over issuances from some 
                or all households.
                    ``(B) Procedures.--
                            ``(i) Information reporting by states.--
                        Every State agency shall provide to the 
                        Secretary all information requested by the 
                        Secretary concerning the issuance of benefits 
                        to households by the State agency in the 
                        applicable fiscal year.
                            ``(ii) Final determination.--After 
                        reviewing relevant information provided by a 
                        State agency, the Secretary shall make a final 
                        determination--
                                    ``(I) whether the State agency over 
                                issued benefits to a substantial number 
                                of households as a result of a systemic 
                                error in the applicable fiscal year; 
                                and
                                    ``(II) as to the amount of the over 
                                issuance in the applicable fiscal year 
                                for which the State agency is liable.
                            ``(iii) Establishing a claim.--Upon 
                        determining under clause (ii) that a State 
                        agency has over issued benefits to households 
                        due to a major systemic error determined under 
                        subparagraph (A), the Secretary shall establish 
                        a claim against the State agency equal to the 
                        value of the over issuance caused by the 
                        systemic error.
                            ``(iv) Administrative and judicial 
                        review.--Administrative and judicial review, as 
                        provided in section 14, shall apply to the 
                        final determinations by the Secretary under 
                        clause (ii).
                            ``(v) Remission to the secretary.--
                                    ``(I) Determination not appealed.--
                                If the determination of the Secretary 
                                under clause (ii) is not appealed, the 
                                State agency shall, as soon as 
                                practicable, remit to the Secretary the 
                                dollar amount specified in the claim 
                                under clause (iii).
                                    ``(II) Determination appealed.--If 
                                the determination of the Secretary 
                                under clause (ii) is appealed, upon 
                                completion of administrative and 
                                judicial review under clause (iv), and 
                                a finding of liability on the part of 
                                the State, the appealing State agency 
                                shall, as soon as practicable, remit to 
                                the Secretary a dollar amount subject 
                                to the finding of the administrative 
                                and judicial review.
                            ``(vi) Alternative method of collection.--
                                    ``(I) In general.--If a State 
                                agency fails to make a payment under 
                                clause (v) within a reasonable period 
                                of time, as determined by the 
                                Secretary, the Secretary may reduce any 
                                amount due to the State agency under 
                                any other provision of this Act by the 
                                amount due.
                                    ``(II) Accrual of interest.--During 
                                the period of time determined by the 
                                Secretary to be reasonable under 
                                subclause (I), interest in the amount 
                                owed shall not accrue.
                            ``(vii) Limitation.--Any liability amount 
                        established under section 16(c)(1)(C) shall be 
                        reduced by the amount of the claim established 
                        under this subparagraph.''.
    (b) Conforming Amendment.--Section 14(a)(6) of the Food and 
Nutrition Act of 2007 (7 U.S.C. 2023(a)(6)) is amended by striking 
``pursuant to section'' and inserting ``pursuant to section 13(b)(5) 
and''.

SEC. 4302. PERFORMANCE STANDARDS FOR BIOMETRIC IDENTIFICATION 
              TECHNOLOGY.

    Section 16 of the Food and Nutrition Act of 2007 (7 U.S.C. 2025) is 
amended by adding at the end the following:
    ``(l) Performance Standards for Biometric Identification 
Technology.--
            ``(1) Definition of biometric identification technology.--
        In this subsection, the term `biometric identification 
        technology' means a technology that provides an automated 
        method to identify an individual based on physical 
        characteristics, such as fingerprints or retinal scans.
            ``(2) Administrative funds.--The Secretary may not pay a 
        State agency any amount for administrative costs for the 
        development, purchase, administration, or other costs 
        associated with the use of biometric identification technology 
        unless the State agency has, under such terms and conditions as 
        the Secretary considers appropriate--
                    ``(A) provided to the Secretary an analysis of the 
                cost-effectiveness of the use of the proposed biometric 
                identification technology to detect fraud in carrying 
                out the food and nutrition program;
                    ``(B) demonstrated to the Secretary that the 
                analysis is--
                            ``(i) statistically valid; and
                            ``(ii) based on appropriate and valid 
                        assumptions for the households served by the 
                        food and nutrition program;
                    ``(C) demonstrated to the Secretary that--
                            ``(i) the proposed biometric identification 
                        technology is cost-effective in reducing fraud; 
                        and
                            ``(ii) there are no other technologies or 
                        fraud-detection methods that are at least as 
                        cost-effective in carrying out the purposes of 
                        the proposed biometric identification system; 
                        and
                    ``(D) demonstrated to the Secretary that no 
                information produced by or used in the biometric 
                information technology system will be made available or 
                used for any purpose other than a purpose allowed under 
                section 11(e)(8).
            ``(3) Standards.--The Secretary shall establish uniform 
        standards for the evaluation of cost-effectiveness analyses 
        submitted to the Secretary under paragraph (2).''.

SEC. 4303. CIVIL PENALTIES AND DISQUALIFICATION OF RETAIL FOOD STORES 
              AND WHOLESALE FOOD CONCERNS.

    Section 12 of the Food and Nutrition Act of 2007 (7 U.S.C. 2021) is 
amended--
            (1) by striking the section designation and heading and all 
        that follows through the end of subsection (a) and inserting 
        the following:

``SEC. 12. CIVIL PENALTIES AND DISQUALIFICATION OF RETAIL FOOD STORES 
              AND WHOLESALE FOOD CONCERNS.

    ``(a) Disqualification.--
            ``(1) In general.--An approved retail food store or 
        wholesale food concern that violates a provision of this Act or 
        a regulation under this Act may be--
                    ``(A) disqualified for a specified period of time 
                from further participation in the food and nutrition 
                program; or
                    ``(B) assessed a civil penalty of up to $100,000 
                for each violation.
            ``(2) Regulations.--Regulations promulgated under this Act 
        shall provide criteria for the finding of a violation of, the 
        suspension or disqualification of, and the assessment of a 
        civil penalty against, a retail food store or wholesale food 
        concern on the basis of evidence that may include facts 
        established through on-site investigations, inconsistent 
        redemption data, or evidence obtained through a transaction 
        report under an electronic benefit transfer system.'';
            (2) in subsection (b)--
                    (A) by striking ``(b) Disqualification'' and 
                inserting the following:
    ``(b) Period of Disqualification.--Subject to subsection (c), a 
disqualification'';
                    (B) in paragraph (1), by striking ``of no less than 
                six months nor more than five years'' and inserting 
                ``not to exceed 5 years'';
                    (C) in paragraph (2), by striking ``of no less than 
                twelve months nor more than ten years'' and inserting 
                ``not to exceed 10 years'';
                    (D) in paragraph (3)(B)--
                            (i) by inserting ``or a finding of the 
                        unauthorized redemption, use, transfer, 
                        acquisition, alteration, or possession of EBT 
                        cards'' after ``concern'' the first place it 
                        appears; and
                            (ii) by striking ``civil money penalties'' 
                        and inserting ``civil penalties''; and
                    (E) by striking ``civil money penalty'' each place 
                it appears and inserting ``civil penalty'';
            (3) in subsection (c)--
                    (A) by striking ``(c) The action'' and inserting 
                the following:
    ``(c) Civil Penalty and Review of Disqualification and Penalty 
Determinations.--
            ``(1) Civil penalty.--In addition to a disqualification 
        under this section, the Secretary may assess a civil penalty in 
        an amount not to exceed $100,000 for each violation.
            ``(2) Review.--The action''; and
                    (B) in paragraph (2) (as designated by subparagraph 
                (A)), by striking ``civil money penalty'' and inserting 
                ``civil penalty'';
            (4) in subsection (d)--
                    (A) by striking ``(d)'' and all that follows 
                through ``. The Secretary shall'' and inserting the 
                following:
    ``(d) Conditions of Authorization.--
            ``(1) In general.--As a condition of authorization to 
        accept and redeem benefits, the Secretary may require a retail 
        food store or wholesale food concern that, pursuant to 
        subsection (a), has been disqualified for more than 180 days, 
        or has been subjected to a civil penalty in lieu of a 
        disqualification period of more than 180 days, to furnish a 
        collateral bond or irrevocable letter of credit for a period of 
        not more than 5 years to cover the value of benefits that the 
        store or concern may in the future accept and redeem in 
        violation of this Act.
            ``(2) Collateral.--The Secretary also may require a retail 
        food store or wholesale food concern that has been sanctioned 
        for a violation and incurs a subsequent sanction regardless of 
        the length of the disqualification period to submit a 
        collateral bond or irrevocable letter of credit.
            ``(3) Bond requirements.--The Secretary shall'';
                    (B) by striking ``If the Secretary finds'' and 
                inserting the following:
            ``(4) Forfeiture.--If the Secretary finds''; and
                    (C) by striking ``Such store or concern'' and 
                inserting the following:
            ``(5) Hearing.--A store or concern described in paragraph 
        (4)'';
            (5) in subsection (e), by striking ``civil money penalty'' 
        each place it appears and inserting ``civil penalty''; and
            (6) by adding at the end the following:
    ``(h) Flagrant Violations.--
            ``(1) In general.--The Secretary, in consultation with the 
        Inspector General of the Department of Agriculture, shall 
        establish procedures under which the processing of program 
        benefit redemptions for a retail food store or wholesale food 
        concern may be immediately suspended pending administrative 
        action to disqualify the retail food store or wholesale food 
        concern.
            ``(2) Requirements.--Under the procedures described in 
        paragraph (1), if the Secretary, in consultation with the 
        Inspector General, determines that a retail food store or 
        wholesale food concern is engaged in flagrant violations of 
        this Act (including regulations promulgated under this Act), 
        unsettled program benefits that have been redeemed by the 
        retail food store or wholesale food concern--
                    ``(A) may be suspended; and
                    ``(B)(i) if the program disqualification is upheld, 
                may be subject to forfeiture pursuant to subsection 
                (g); or
                    ``(ii) if the program disqualification is not 
                upheld, shall be released to the retail food store or 
                wholesale food concern.
            ``(3) No liability for interest.--The Secretary shall not 
        be liable for the value of any interest on funds suspended 
        under this subsection.''.

SEC. 4304. FUNDING OF EMPLOYMENT AND TRAINING PROGRAMS.

    (a) In General.--Section 16(h)(1)(A) of the Food and Nutrition Act 
of 2007 (7 U.S.C. 2025(h)(1)(A)) is amended in subparagraph (A), by 
striking ``to remain available until expended'' and inserting ``to 
remain available for 2 fiscal years''.
    (b) Rescission of Funds.--Notwithstanding any other provision of 
law, funds provided under section 16(h)(1)(A) of the Food and Nutrition 
Act of 2007 (7 U.S.C. 2025(h)(1)(A)) for any fiscal year before the 
fiscal year beginning October 1, 2007, shall be rescinded on the date 
of enactment of this Act, unless obligated by a State agency before 
that date.

SEC. 4305. ELIGIBILITY DISQUALIFICATION.

    Section 6 of the Food and Nutrition Assistance Act of 2007 (7 
U.S.C. 2015) is amended by adding at the end the following:
    ``(p) Disqualification for Obtaining Cash by Destroying Food and 
Collecting Deposits.--Any person who has been found by a State or 
Federal court or administrative agency or in a hearing under subsection 
(b) to have intentionally obtained cash by purchasing products with 
food and nutrition benefits that have containers that require return 
deposits, discarding the product, and returning the container for the 
deposit amount shall be ineligible for benefits under this Act for such 
period of time as the Secretary shall prescribe by regulation.
    ``(q) Disqualification for Sale of Food Purchased With Food and 
Nutrition Benefits.--Subject to any requirements established by the 
Secretary, any person who has been found by a State or Federal court or 
administrative agency or in a hearing under subsection (b) to have 
intentionally sold any food that was purchased using food and nutrition 
benefits shall be ineligible for benefits under this Act for such 
period of time as the Secretary shall prescribe by regulation.''.

                         PART V--MISCELLANEOUS

SEC. 4401. DEFINITION OF STAPLE FOODS.

    Subsection (r) of section 3 of the Food and Nutrition Act of 2007 
(7 U.S.C. 2012) (as redesignated by section 4202(b)(1)(M)) is amended--
            (1) by striking ``(r)(1) Except'' and inserting the 
        following:
    ``(r) Staple Foods.--
            ``(1) In general.--Except''; and
            (2) by striking paragraph (2) and inserting the following:
            ``(2) Exceptions.--The term `staple foods' does not include 
        accessory food items, such as coffee, tea, cocoa, carbonate and 
        uncarbonated drinks, candy, condiments, and spices, or dietary 
        supplements.
            ``(3) Depth of stock.--The Secretary may issue regulations 
        to define depth of stock to ensure that stocks of staple foods 
        are available on a continuous basis.''.

SEC. 4402. ACCESSORY FOOD ITEMS.

    Section 9(a) of the Food and Nutrition Act of 2007 (7 U.S.C. 
2018(a)) is amended by adding at the end the following:
            ``(4) Accessory food items.--
                    ``(A) In general.--Not later than 1 year after the 
                date of enactment of this paragraph, the Secretary 
                shall promulgate proposed regulations providing that a 
                dietary supplement shall not be considered an accessory 
                food item unless the dietary supplement--
                            ``(i) contains folic acid or calcium in 
                        accordance with sections 101.72 and 101.79 of 
                        title 21, Code of Federal Regulations (as in 
                        effect on the date of enactment of this 
                        paragraph); and
                            ``(ii) is a multivitamin-mineral supplement 
                        that--
                                    ``(I) provides at least \2/3\ of 
                                the essential vitamins and minerals at 
                                100 percent of the daily value levels, 
                                as determined by the Food and Drug 
                                Administration; and
                                    ``(II) does not exceed the daily 
                                upper limit for those nutrients for 
                                which an established daily upper limit 
                                has been determined by the Institute of 
                                Medicine of the National Academy of 
                                Sciences.
                    ``(B) Final regulations.--Not later than 2 years 
                after the date of enactment of this paragraph, the 
                Secretary shall promulgate final regulations in 
                accordance with subparagraph (A).
                    ``(C) Purchase of dietary supplements.--No dietary 
                supplements may be purchased using benefits under this 
                Act until the earlier of--
                            ``(i) the date on which the Secretary 
                        promulgates final regulations under 
                        subparagraph (B); or
                            ``(ii) the date on which the Secretary 
                        certifies a voluntary system of labeling for 
                        the ready and accurate identification of 
                        eligible dietary supplements, as developed by 
                        the Secretary in consultation with the dietary 
                        supplement industry and dietary supplement 
                        retailers.''.

SEC. 4403. PILOT PROJECTS TO EVALUATE HEALTH AND NUTRITION PROMOTION IN 
              THE FOOD AND NUTRITION PROGRAM.

    Section 17 of the Food and Nutrition Act of 2007 (7 U.S.C. 2026) is 
amended by adding at the end the following:
    ``(k) Pilot Projects To Evaluate Health and Nutrition Promotion in 
the Food and Nutrition Program.--
            ``(1) In general.--The Secretary shall carry out, under 
        such terms and conditions as the Secretary considers to be 
        appropriate, pilot projects to develop and test methods--
                    ``(A) of using the food and nutrition program to 
                improve the dietary and health status of households 
                participating in the food and nutrition program; and
                    ``(B) to reduce overweight, obesity, and associated 
                co-morbidities in the United States.
            ``(2) Projects.--Pilot projects carried out under paragraph 
        (1) may include projects to determine whether healthier food 
        purchases by and healthier diets among households participating 
        in the food and nutrition program result from projects that--
                    ``(A) increase the food and nutrition assistance 
                purchasing power of the participating households by 
                providing increased food and nutrition assistance 
                benefit allotments to the participating households;
                    ``(B) increase access to farmers markets by 
                participating households through the electronic 
                redemption of food and nutrition assistance at the 
                farmers markets;
                    ``(C) provide incentives to authorized food and 
                nutrition program vendors to increase the availability 
                of healthy foods to participating households;
                    ``(D) subject authorized food and nutrition program 
                vendors to stricter vendor requirements with respect to 
                carrying and stocking healthy foods;
                    ``(E) provide incentives at the point of purchase 
                to encourage participating households to purchase 
                fruits, vegetables, or other healthy foods; or
                    ``(F) provide to participating households 
                integrated communication and education programs, 
                including the provision of funding for a portion of a 
                school based nutrition coordinator to implement a broad 
                nutrition action plan and parent nutrition education 
                programs in elementary schools, separately or in 
                combination with pilot projects carried out under 
                subparagraphs (A) through (E).
            ``(3) Duration.--A pilot project carried out under this 
        subsection shall have a term of not more than 5 years.
            ``(4) Evaluations and reports.--
                    ``(A) Evaluations.--
                            ``(i) Independent evaluation.--
                                    ``(I) In general.--The Secretary 
                                shall provide for an independent 
                                evaluation of each pilot project under 
                                this subsection that measures the 
                                impact of the pilot program on health 
                                and nutrition as described in paragraph 
                                (1).
                                    ``(II) Requirement.--The 
                                independent evaluation under subclause 
                                (I) shall use rigorous methodologies, 
                                particularly random assignment or other 
                                methods that are capable of producing 
                                scientifically-valid information 
                                regarding which activities are 
                                effective.
                            ``(ii) Costs.--The Secretary may use funds 
                        provided to carry out this section to pay costs 
                        associated with monitoring and evaluating each 
                        pilot project.
                    ``(B) Reports.--Not later than 90 days after the 
                last day of fiscal year 2008 and each fiscal year 
                thereafter until the completion of the last evaluation 
                under subparagraph (A), the Secretary shall submit to 
                the Committee on Agriculture of the House of 
                Representatives and the Committee on Agriculture, 
                Nutrition, and Forestry of the Senate a report that 
                includes a description of--
                            ``(i) the status of each pilot project;
                            ``(ii) the results of the evaluation 
                        completed during the previous fiscal year; and
                            ``(iii) to the maximum extent practicable--
                                    ``(I) the impact of the pilot 
                                project on appropriate health, 
                                nutrition, and associated behavioral 
                                outcomes among households participating 
                                in the pilot project;
                                    ``(II) baseline information 
                                relevant to the stated goals and 
                                desired outcomes of the pilot project; 
                                and
                                    ``(III) equivalent information 
                                about similar or identical measures 
                                among control or comparison groups that 
                                did not participate in the pilot 
                                project.
            ``(5) Funding.--
                    ``(A) In general.--Out of any funds made available 
                under section 18, the Secretary shall use $50,000,000 
                to carry out this section, to remain available until 
                expended.
                    ``(B) Use of funds.--Of funds made available under 
                subparagraph (A), the Secretary shall use not more than 
                $25,000,000 to carry out a pilot project described in 
                paragraph (2)(E).''.

SEC. 4404. BILL EMERSON NATIONAL HUNGER FELLOWS AND MICKEY LELAND 
              INTERNATIONAL HUNGER FELLOWS.

    (a) In General.--The Food and Nutrition Act of 2007 (7 U.S.C. 2011 
et seq.) is amended by adding at the end the following:

``SEC. 28. BILL EMERSON NATIONAL HUNGER FELLOWS AND MICKEY LELAND 
              INTERNATIONAL HUNGER FELLOWS.

    ``(a) Short Title.--This section may be cited as the `Bill Emerson 
National Hunger Fellows and Mickey Leland International Hunger Fellows 
Program Act of 2007'.
    ``(b) Findings.--Congress finds that--
            ``(1) there is a critical need for compassionate 
        individuals who are committed to assisting people who suffer 
        from hunger to initiate and administer solutions to the hunger 
        problem;
            ``(2) Bill Emerson, the distinguished late Representative 
        from the 8th District of Missouri, demonstrated--
                    ``(A) his commitment to solving the problem of 
                hunger in a bipartisan manner;
                    ``(B) his commitment to public service; and
                    ``(C) his great affection for the institution and 
                ideals of the United States Congress;
            ``(3) George T. (Mickey) Leland, the distinguished late 
        Representative from the 18th District of Texas, demonstrated--
                    ``(A) his compassion for those in need;
                    ``(B) his high regard for public service; and
                    ``(C) his lively exercise of political talents;
            ``(4) 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;
            ``(5) 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
            ``(6) 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.
    ``(c) Definitions.--In this subsection:
            ``(1) Director.--The term `Director' means the head of the 
        Congressional Hunger Center.
            ``(2) Fellow.--The term `fellow' means--
                    ``(A) a Bill Emerson Hunger Fellow; or
                    ``(B) Mickey Leland Hunger Fellow
            ``(3) Fellowship programs.--The term `Fellowship Programs' 
        means the Bill Emerson National Hunger Fellowship Program and 
        the Mickey Leland International Hunger Fellowship Program 
        established under subsection (d)(1).
    ``(d) Fellowship Programs.--
            ``(1) In general.--There is established the Bill Emerson 
        National Hunger Fellowship Program and the Mickey Leland 
        International Hunger Fellowship Program.
            ``(2) Purposes.--
                    ``(A) In general.--The purposes of the Fellowship 
                Programs are--
                            ``(i) to encourage future leaders of the 
                        United States--
                                    ``(I) to pursue careers in 
                                humanitarian and public service;
                                    ``(II) to recognize the needs of 
                                low-income people and hungry people;
                                    ``(III) to provide assistance to 
                                people in need; and
                                    ``(IV) to seek public policy 
                                solutions to the challenges of hunger 
                                and poverty;
                            ``(ii) to provide training and development 
                        opportunities for such leaders through 
                        placement in programs operated by appropriate 
                        organizations or entities; and
                            ``(iii) to increase awareness of the 
                        importance of public service.
                    ``(B) Bill emerson hunger fellowship program.--The 
                purpose of the Bill Emerson Hunger Fellowship Program 
                is to address hunger and poverty in the United States.
                    ``(C) Mickey leland hunger fellowship program.--The 
                purpose of the Mickey Leland Hunger Fellowship Program 
                is to address international hunger and other 
                humanitarian needs.
            ``(3) Administration.--
                    ``(A) In general.--Subject to subparagraph (B), the 
                Secretary shall offer to enter into a contract with the 
                Congressional Hunger Center to administer the 
                Fellowship Programs.
                    ``(B) Terms of contract.--The terms of the contract 
                entered into under subparagraph (A), including the 
                length of the contract and provisions for the 
                alteration or termination of the contract, shall be 
                determined by the Secretary in accordance with this 
                section.
    ``(e) Fellowships.--
            ``(1) In general.--The Director shall make available Bill 
        Emerson Hunger Fellowships and Mickey Leland Hunger Fellowships 
        in accordance with this subsection.
            ``(2) Curriculum.--
                    ``(A) In general.--The Fellowship Programs shall 
                provide experience and training to develop the skills 
                necessary to train fellows to carry out the purposes 
                described in subsection (d)(2), including--
                            ``(i) training in direct service programs 
                        for the hungry and other anti-hunger programs 
                        in conjunction with community-based 
                        organizations through a program of field 
                        placement; and
                            ``(ii) providing experience in policy 
                        development through placement in a governmental 
                        entity or nongovernmental, nonprofit, or 
                        private sector organization.
                    ``(B) Work plan.--To carry out subparagraph (A) and 
                assist in the evaluation of the fellowships under 
                paragraph (6), the Director shall, for each fellow, 
                approve a work plan that identifies the target 
                objectives for the fellow in the fellowship, including 
                specific duties and responsibilities relating to those 
                objectives.
            ``(3) Period of fellowship.--
                    ``(A) Bill emerson hunger fellow.--A Bill Emerson 
                Hunger Fellowship awarded under this section shall be 
                for not more than 15 months.
                    ``(B) Mickey leland hunger fellow.--A Mickey Leland 
                Hunger Fellowship awarded under this section shall be 
                for not more than 2 years.
            ``(4) Selection of fellows.--
                    ``(A) In general.--Fellowships shall be awarded 
                pursuant to a nationwide competition established by the 
                Director.
                    ``(B) Qualifications.--A successful program 
                applicant shall be an individual who has demonstrated--
                            ``(i) an intent to pursue a career in 
                        humanitarian services and outstanding potential 
                        for such a career;
                            ``(ii) leadership potential or actual 
                        leadership experience;
                            ``(iii) diverse life experience;
                            ``(iv) proficient writing and speaking 
                        skills;
                            ``(v) an ability to live in poor or diverse 
                        communities; and
                            ``(vi) such other attributes as are 
                        considered to be appropriate by the Director.
            ``(5) Amount of award.--
                    ``(A) In general.--A fellow shall receive--
                            ``(i) a living allowance during the term of 
                        the Fellowship; and
                            ``(ii) subject to subparagraph (B), an end-
                        of-service award.
                    ``(B) Requirement for successful completion of 
                fellowship.--Each fellow shall be entitled to receive 
                an end-of-service award at an appropriate rate for each 
                month of satisfactory service completed, as determined 
                by the Director.
                    ``(C) Terms of fellowship.--A fellow shall not be 
                considered an employee of--
                            ``(i) the Department of Agriculture;
                            ``(ii) the Congressional Hunger Center; or
                            ``(iii) a host agency in the field or 
                        policy placement of the fellow.
                    ``(D) 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'.
            ``(6) Evaluations and audits.--Under terms stipulated in 
        the contract entered into under subsection (d)(3), the Director 
        shall--
                    ``(A) conduct periodic evaluations of the 
                Fellowship Programs; and
                    ``(B) arrange for annual independent financial 
                audits of expenditures under the Fellowship Programs.
    ``(f) Authority.--
            ``(1) In general.--Subject to paragraph (2), in carrying 
        out this section, the Director may solicit, accept, use, and 
        dispose of gifts, bequests, or devises of services or property, 
        both real and personal, for the purpose of facilitating the 
        work of the Fellowship Programs.
            ``(2) Limitation.--Gifts, bequests, or devises of money and 
        proceeds from sales of other property received as gifts, 
        bequests, or devises shall be used exclusively for the purposes 
        of the Fellowship Programs.
    ``(g) Report.--The Director shall annually submit to the Secretary 
of Agriculture, the Committee on Agriculture of the House of 
Representatives, and the Committee on Agriculture, Nutrition, and 
Forestry of the Senate a report that--
            ``(1) describes the activities and expenditures of the 
        Fellowship Programs during the preceding fiscal year, including 
        expenditures made from funds made available under subsection 
        (h); and
            ``(2) includes the results of evaluations and audits 
        required by subsection (f).
    ``(h) Authorization of Appropriations.--There are authorized to be 
appropriated to the Secretary such sums as are necessary to carry out 
this section, to remain available until expended.''.
    (b) Repeal.--Section 4404 of the Farm Security and Rural Investment 
Act of 2002 (2 U.S.C. 1161) is repealed.

SEC. 4405. HUNGER-FREE COMMUNITIES.

    (a) Definitions.--In this section:
            (1) Domestic hunger goal.--The term ``domestic hunger 
        goal'' means--
                    (A) the goal of reducing hunger in the United 
                States to at or below 2 percent by 2010; or
                    (B) the goal of reducing food insecurity in the 
                United States to at or below 6 percent by 2010.
            (2) Emergency feeding organization.--The term ``emergency 
        feeding organization'' has the meaning given the term in 
        section 201A of the Emergency Food Assistance Act of 1983 (7 
        U.S.C. 7501).
            (3) Food security.--The term ``food security'' means the 
        state in which an individual has access to enough food for an 
        active, healthy life.
            (4) Hunger-free communities goal.--The term ``hunger-free 
        communities goal'' means any of the 14 goals described in the 
        H. Con. Res. 302 (102nd Congress).
    (b) Hunger Reports.--
            (1) Study.--
                    (A) Timeline.--
                            (i) In general.--Not later than 1 year 
                        after the date of enactment of this Act, the 
                        Secretary shall conduct a study of major 
                        matters relating to the problem of hunger in 
                        the United States, as determined by the 
                        Secretary.
                            (ii) Update.--Not later than 5 years after 
                        the date on which the study under clause (i) is 
                        conducted, the Secretary shall update the 
                        study.
                    (B) Matters to be assessed.--The matters to be 
                assessed by the Secretary in the study and update under 
                this paragraph shall include--
                            (i) data on hunger and food insecurity in 
                        the United States;
                            (ii) measures carried out during the 
                        previous year by Federal, State, and local 
                        governments to achieve domestic hunger goals 
                        and hunger-free communities goals; and
                            (iii) measures that could be carried out by 
                        Federal, State, and local governments to 
                        achieve domestic hunger goals and hunger-free 
                        communities goals.
            (2) Recommendations.--The Secretary shall develop 
        recommendations on--
                    (A) removing obstacles to achieving domestic hunger 
                goals and hunger-free communities goals; and
                    (B) otherwise reducing domestic hunger.
            (3) Report.--The Secretary shall submit to the President 
        and Congress--
                    (A) not later than 1 year after the date of 
                enactment of this Act, a report that contains--
                            (i) a detailed statement of the results of 
                        the study, or the most recent update to the 
                        study, conducted under paragraph (1)(A); and
                            (ii) the most recent recommendations of the 
                        Secretary under paragraph (2); and
                    (B) not later than 5 years after the date of 
                submission of the report under subparagraph (A), an 
                update of the report.
    (c) Hunger-Free Communities Collaborative Grants.--
            (1) Definition of eligible entity.--In this subsection, the 
        term ``eligible entity'' means a public food program service 
        provider or a nonprofit organization, including but not limited 
        to an emergency feeding organization, that demonstrates the 
        organization has collaborated, or will collaborate, with 1 or 
        more local partner organizations to achieve at least 1 hunger-
        free communities goal.
            (2) Program authorized.--
                    (A) In general.--The Secretary shall use not more 
                than 55 percent of any funds made available under 
                subsection (f) to make grants to eligible entities to 
                pay the Federal share of the costs of an activity 
                described in paragraph (4).
                    (B) Federal share.--The Federal share of the cost 
                of carrying out an activity under this subsection shall 
                not exceed 80 percent.
                    (C) Non-federal share.--
                            (i) Calculation.--The non-Federal share of 
                        the cost of an activity under this subsection 
                        may be provided in cash or in kind, fairly 
                        evaluated, including facilities, equipment, or 
                        services.
                            (ii) Sources.--Any entity may provide the 
                        non-Federal share of the cost of an activity 
                        under this subsection through a State 
                        government, a local government, or a private 
                        source.
            (3) Application.--
                    (A) In general.--To receive a grant under this 
                subsection, an eligible entity shall submit an 
                application to the Secretary at the time and in the 
                manner and accompanied by any information the Secretary 
                may require.
                    (B) Contents.--Each application submitted under 
                subparagraph (A) shall--
                            (i) identify any activity described in 
                        paragraph (4) that the grant will be used to 
                        fund;
                            (ii) describe the means by which an 
                        activity identified under clause (i) will 
                        reduce hunger in the community of the eligible 
                        entity;
                            (iii) list any partner organizations of the 
                        eligible entity that will participate in an 
                        activity funded by the grant;
                            (iv) describe any agreement between a 
                        partner organization and the eligible entity 
                        necessary to carry out an activity funded by 
                        the grant; and
                            (v) if an assessment described in paragraph 
                        (4)(A) has been performed, include--
                                    (I) a summary of that assessment; 
                                and
                                    (II) information regarding the 
                                means by which the grant will help 
                                reduce hunger in the community of the 
                                eligible entity.
                    (C) Priority.--In making grants under this 
                subsection, the Secretary shall give priority to 
                eligible entities that--
                            (i) demonstrate in the application of the 
                        eligible entity that the eligible entity makes 
                        collaborative efforts to reduce hunger in the 
                        community of the eligible entity; and
                            (ii)(I) serve communities in which the 
                        rates of food insecurity, hunger, poverty, or 
                        unemployment are demonstrably higher than 
                        national average rates;
                            (II) provide evidence of long-term efforts 
                        to reduce hunger in the community;
                            (III) provide evidence of public support 
                        for the efforts of the eligible entity; or
                            (IV) demonstrate in the application of the 
                        eligible entity a commitment to achieving more 
                        than 1 hunger-free communities goal.
            (4) Use of funds.--
                    (A) Assessment of hunger in the community.--
                            (i) In general.--An eligible entity in a 
                        community that has not performed an assessment 
                        described in clause (ii) may use a grant 
                        received under this subsection to perform the 
                        assessment for the community.
                            (ii) Assessment.--The assessment referred 
                        to in clause (ii) shall include--
                                    (I) an analysis of the problem of 
                                hunger in the community served by the 
                                eligible entity;
                                    (II) an evaluation of any facility 
                                and any equipment used to achieve a 
                                hunger-free communities goal in the 
                                community;
                                    (III) an analysis of the 
                                effectiveness and extent of service of 
                                existing nutrition programs and 
                                emergency feeding organizations; and
                                    (IV) a plan to achieve any other 
                                hunger-free communities goal in the 
                                community.
                    (B) Activities.--An eligible entity in a community 
                that has submitted an assessment to the Secretary shall 
                use a grant received under this subsection for any 
                fiscal year for activities of the eligible entity, 
                including--
                            (i) meeting the immediate needs of people 
                        in the community served by the eligible entity 
                        who experience hunger by--
                                    (I) distributing food;
                                    (II) providing community outreach; 
                                or
                                    (III) improving access to food as 
                                part of a comprehensive service;
                            (ii) developing new resources and 
                        strategies to help reduce hunger in the 
                        community;
                            (iii) establishing a program to achieve a 
                        hunger-free communities goal in the community, 
                        including--
                                    (I) a program to prevent, monitor, 
                                and treat children in the community 
                                experiencing hunger or poor nutrition; 
                                or
                                    (II) a program to provide 
                                information to people in the community 
                                on hunger, domestic hunger goals, and 
                                hunger-free communities goals; and
                            (iv) establishing a program to provide food 
                        and nutrition services as part of a coordinated 
                        community-based comprehensive service.
    (d) Hunger-Free Communities Infrastructure Grants.--
            (1) Definition of eligible entity.--In this subsection, the 
        term ``eligible entity'' means an emergency feeding 
        organization (as defined in section 201A(4) of the Emergency 
        Food Assistance Act of 1983 (7 U.S.C. 7501(4))).
            (2) Program authorized.--
                    (A) In general.--The Secretary shall use not more 
                than 45 percent of any funds made available under 
                subsection (f) to make grants to eligible entities to 
                pay the Federal share of the costs of an activity 
                described in paragraph (4).
                    (B) Federal share.--The Federal share of the cost 
                of carrying out an activity under this subsection shall 
                not exceed 80 percent.
            (3) Application.--
                    (A) In general.--To receive a grant under this 
                subsection, an eligible entity shall submit an 
                application to the Secretary at the time and in the 
                manner and accompanied by any information the Secretary 
                may require.
                    (B) Contents.--Each application submitted under 
                subparagraph (A) shall--
                            (i) identify any activity described in 
                        paragraph (4) that the grant will be used to 
                        fund; and
                            (ii) describe the means by which an 
                        activity identified under clause (i) will 
                        reduce hunger in the community of the eligible 
                        entity.
                    (C) Priority.--In making grants under this 
                subsection, the Secretary shall give priority to 
                eligible entities the applications of which demonstrate 
                2 or more of the following:
                            (i) The eligible entity serves a community 
                        in which the rates of food insecurity, hunger, 
                        poverty, or unemployment are demonstrably 
                        higher than national average rates.
                            (ii) The eligible entity serves a community 
                        that has carried out long-term efforts to 
                        reduce hunger in the community.
                            (iii) The eligible entity serves a 
                        community that provides public support for the 
                        efforts of the eligible entity.
                            (iv) The eligible entity is committed to 
                        achieving more than 1 hunger-free communities 
                        goal.
            (4) Use of funds.--An eligible entity shall use a grant 
        received under this subsection for any fiscal year to carry out 
        activities of the eligible entity, including--
                    (A) constructing, expanding, or repairing a 
                facility or equipment to support hunger relief agencies 
                in the community;
                    (B) assisting an emergency feeding organization in 
                the community in obtaining locally-produced produce and 
                protein products; and
                    (C) assisting an emergency feeding organization in 
                the community to process and serve wild game.
    (e) Report.--If funds are made available under subsection (f), not 
later than September 30, 2012, the Secretary shall submit to Congress a 
report describing--
            (1) each grant made under this section, including--
                    (A) a description of any activity funded by such a 
                grant; and
                    (B) the degree of success of each activity funded 
                by such a grant in achieving hunger-free communities 
                goals; and
            (2) the degree of success of all activities funded by 
        grants under this section in achieving domestic hunger goals.
    (f) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $50,000,000 for each of fiscal 
years 2008 through 2012.

SEC. 4406. STATE PERFORMANCE ON ENROLLING CHILDREN RECEIVING PROGRAM 
              BENEFITS FOR FREE SCHOOL MEALS.

    (a) In General.--Not later than June 30 of each year, the Secretary 
shall submit to the Committee on Agriculture of the House of 
Representatives and the Committee on Agriculture, Nutrition, and 
Forestry of the Senate a report that assesses the effectiveness of each 
State in enrolling school-aged children in households receiving program 
benefits under the Food and Nutrition Act of 2007 (7 U.S.C. 2011 et 
seq.) (referred to in this section as ``program benefits'') for free 
school meals using direct certification.
    (b) Specific Measures.--The assessment of the Secretary of the 
performance of each State shall include--
            (1) an estimate of the number of school-aged children, by 
        State, who were members of a household receiving program 
        benefits at any time in July, August, or September of the prior 
        year;
            (2) an estimate of the number of school-aged children, by 
        State, who were directly certified as eligible for free lunches 
        under the Richard B. Russell National School Lunch Act (42 
        U.S.C. 1751 et seq.), based on receipt of program benefits, as 
        of October 1 of the prior year; and
            (3) an estimate of the number of school-aged children, by 
        State, who were members of a household receiving program 
        benefits at any time in July, August, or September of the prior 
        year who were not candidates for direct certification because 
        on October 1 of the prior year the children attended a school 
        operating under the special assistance provisions of section 
        11(a)(1) of the Richard B. Russell National School Lunch Act 
        (42 U.S.C. 1759a) that is not operating in a base year.
    (c) Performance Innovations.--The report of the Secretary shall 
describe best practices from States with the best performance or the 
most improved performance from the previous year.

      Subtitle B--Food Distribution Program on Indian Reservations

SEC. 4501. ASSESSING THE NUTRITIONAL VALUE OF THE FDPIR FOOD PACKAGE.

    (a) In General.--Section 4 of the Food and Nutrition Act of 2007 (7 
U.S.C. 2013) is amended by striking subsection (b) and inserting the 
following:
    ``(b) Food Distribution Program on Indian Reservations.--
            ``(1) In general.--Distribution of commodities, with or 
        without the food and nutrition program, shall be made whenever 
        a request for concurrent or separate food program operations, 
        respectively, is made by a tribal organization.
            ``(2) Administration.--
                    ``(A) In general.--Subject to subparagraphs (B) and 
                (C), in the event of distribution on all or part of an 
                Indian reservation, the appropriate agency of the State 
                government in the area involved shall be responsible 
                for the distribution.
                    ``(B) Administration by tribal organization.--If 
                the Secretary determines that a tribal organization is 
                capable of effectively and efficiently administering a 
                distribution described in paragraph (1), then the 
                tribal organization shall administer the distribution.
                    ``(C) Prohibition.--The Secretary shall not approve 
                any plan for a distribution described in paragraph (1) 
                that permits any household on any Indian reservation to 
                participate simultaneously in the food and nutrition 
                program and the distribution of federally donated 
                foods.
            ``(3) Disqualified participants.--An individual who is 
        disqualified from participation in the food distribution 
        program on Indian reservations under this subsection is not 
        eligible to participate in the food and nutrition program under 
        this Act.
            ``(4) Administrative costs.--The Secretary is authorized to 
        pay such amounts for administrative costs and distribution 
        costs on Indian reservations as the Secretary finds necessary 
        for effective administration of such distribution by a State 
        agency or tribal organization.
            ``(5) Bison meat.--Subject to the availability of 
        appropriations, the Secretary may purchase bison meat for 
        recipients of food distributed under this subsection, including 
        bison meat from--
                    ``(A) Native American bison producers; and
                    ``(B) producer-owned cooperatives of bison 
                ranchers.
            ``(6) Traditional food fund.--
                    ``(A) In general.--Subject to the availability of 
                appropriations, the Secretary shall establish a fund 
                for use in purchasing traditional foods for recipients 
                of food distributed under this subsection.
                    ``(B) Survey.--In carrying out this paragraph, the 
                Secretary shall--
                            ``(i) survey participants of the food 
                        distribution program on Indian reservations 
                        established under this subsection to determine 
                        which traditional foods are most desired by 
                        those participants; and
                            ``(ii) purchase or offer to purchase those 
                        traditional foods that may be procured cost-
                        effectively.
                    ``(C) Authorization of appropriations.--There is 
                authorized to be appropriated to the Secretary to carry 
                out this paragraph $5,000,000 for each of fiscal years 
                2008 through 2012.''.
    (b) FDPIR Food Package.--Not later than 180 days after the date of 
enactment of this Act, the Secretary of Agriculture shall submit to the 
Committee on Agriculture of the House of Representatives and the 
Committee on Agriculture, Nutrition, and Forestry of the Senate a 
report that describes--
            (1) how the Secretary derives the process for determining 
        the food package under the food distribution program on Indian 
        reservations established under section 4(b) of the Food and 
        Nutrition Act of 2007 (7 U.S.C. 2013(b)) (referred to in this 
        subsection as the ``food package'');
            (2) the extent to which the food package--
                    (A) addresses the nutritional needs of low-income 
                Americans compared to the food and nutrition program, 
                particularly for very low-income households;
                    (B) conforms (or fails to conform) to the 2005 
                Dietary Guidelines for Americans published under 
                section 301 of the National Nutrition Monitoring and 
                Related Research Act of 1990 (7 U.S.C. 5341);
                    (C) addresses (or fails to address) the nutritional 
                and health challenges that are specific to Native 
                Americans; and
                    (D) is limited by distribution costs or challenges 
                of infrastructure;
            (3) any plans of the Secretary to revise and update the 
        food package to conform with the most recent Dietary Guidelines 
        for Americans, including any costs associated with the planned 
        changes; and
            (4) if the Secretary does not plan changes to the food 
        package, the rationale of the Secretary for retaining the food 
        package.

  Subtitle C--Administration of Emergency Food Assistance Program and 
                  Commodity Supplemental Food Program

SEC. 4601. EMERGENCY FOOD ASSISTANCE.

    (a) State Plan.--Section 202A of the Emergency Food Assistance Act 
of 1983 (7 U.S.C. 7503) is amended by striking subsection (a) and 
inserting the following:
    ``(a) Plans.--To receive commodities under this Act, every 3 years, 
a State shall submit to the Secretary an operation and administration 
plan for the provision of assistance under this Act.''.
    (b) Donated Wild Game.--Section 204(a)(1) of the Emergency Food 
Assistance Act of 1983 (7 U.S.C. 7508(a)(1)) is amended in the first 
sentence by inserting ``and donated wild game'' before the period at 
the end.

SEC. 4602. COMMODITY SUPPLEMENTAL FOOD PROGRAM.

    Section 5 of the Agriculture and Consumer Protection Act of 1973 (7 
U.S.C. 612c note; Public Law 93-86) is amended by striking subsection 
(g) and inserting the following:
    ``(g) Prohibition.--Notwithstanding any other provision of law 
(including regulations), the Secretary may not require a State or local 
agency to prioritize assistance to a particular group of individuals 
that are--
            ``(1) low-income persons aged 60 and older; or
            ``(2) women, infants, and children.''.

          Subtitle D--Senior Farmers' Market Nutrition Program

SEC. 4701. EXCLUSION OF BENEFITS IN DETERMINING ELIGIBILITY FOR OTHER 
              PROGRAMS.

    (a) In General.--Section 4402 of the Farm Security and Rural 
Investment Act of 2002 (7 U.S.C. 3007) is amended--
            (1) in subsection (a), by striking ``each of fiscal years 
        2003 through 2007'' and inserting ``fiscal year 2008 and each 
        fiscal year thereafter'';
            (2) by redesignating subsections (b) and (c) as subsections 
        (c) and (e), respectively;
            (3) by inserting after subsection (a) the following:
    ``(b) Additional Funds.--In addition to the amounts made available 
under subsection (a), for fiscal year 2008 and each fiscal year 
thereafter, of the funds of the Commodity Credit Corporation, the 
Secretary of Agriculture shall use $10,000,000 to expand the program 
established under this section.''; and
            (4) by inserting after subsection (c) (as redesignated by 
        paragraph (2)) the following:
    ``(d) Exclusion of Benefits in Determining Eligibility for Other 
Programs.--The value of any benefit provided under the program under 
this section shall not be taken into consideration in determining the 
eligibility of an individual for any other Federal or State assistance 
program.''.
    (b) Effective Date.--The amendments made by subsection (a) take 
effect on the date of enactment of this Act.

SEC. 4702. PROHIBITION ON COLLECTION OF SALES TAX.

    Section 4402 of the Farm Security and Rural Investment Act of 2002 
(7 U.S.C. 3007) is amended by inserting after subsection (d) (as added 
by section 4701(a)(4)) the following:
    ``(e) Prohibition on Collection of Sales Tax.--A State that 
collects any sales tax on the purchase of food using a benefit provided 
under the program under this section shall not be eligible to 
participate in the program.''.

    Subtitle E--Reauthorization of Federal Food Assistance Programs

SEC. 4801. FOOD AND NUTRITION PROGRAM.

    (a) Grants for Simple Application and Eligibility Determination 
Systems and Improved Access to Benefits.--Section 11(t)(1) of the Food 
and Nutrition Act of 2007 (7 U.S.C. 2020(t)(1)) is amended by striking 
``For each of fiscal years 2003 through 2007'' and inserting ``For 
fiscal year 2008 and each fiscal year thereafter''.
    (b) Funding of Employment and Training Programs.--Section 16(h)(1) 
of the Food and Nutrition Act of 2007 (7 U.S.C. 2025(h)(1)) is 
amended--
            (1) in subparagraph (A)(vii), by striking ``for each of 
        fiscal years 2002 through 2007'' and inserting ``for fiscal 
        year 2008 and each fiscal year thereafter''; and
            (2) in subparagraph (E)(i), by striking ``for each of 
        fiscal years 2002 through 2007'' and inserting ``for fiscal 
        year 2008 and each fiscal year thereafter''.
    (c) Reductions in Payments for Administrative Costs.--Section 
16(k)(3) of the Food and Nutrition Act of 2007 (7 U.S.C. 2025(k)(3)) is 
amended--
            (1) in the first sentence of subparagraph (A), by striking 
        ``for each of fiscal years 1999 through 2007'' and inserting 
        ``for fiscal year 2008 and each fiscal year thereafter''; and
            (2) in subparagraph (B)(ii), by striking ``through fiscal 
        year 2007''.
    (d) Cash Payment Pilot Projects.--Section 17(b)(1)(B)(vi) of the 
Food and Nutrition Act of 2007 (7 U.S.C. 2026(b)(1)(B(vi)) is amended 
by striking ``through October 1, 2007''.
    (e) Authorization of Appropriations.--Section 18(a)(1) of the Food 
and Nutrition Act of 2007 (7 U.S.C. 2027(a)(1)) is amended in the first 
sentence by striking ``for each of the fiscal years 2003 through 2007'' 
and inserting ``for fiscal year 2008 and each fiscal year thereafter''.
    (f) Consolidated Block Grants for Puerto Rico and American Samoa.--
Section 19(a)(2)(A)(ii) of the Food and Nutrition Act of 2007 (7 U.S.C. 
2028(a)(2)(A)(ii)) by striking ``for each of fiscal years 2004 through 
2007'' and inserting ``for fiscal year 2008 and each fiscal year 
thereafter''.
    (g) Assistance for Community Food Projects.--Section 25 of the Food 
and Nutrition Act of 2007 (7 U.S.C. 2034) is amended--
            (1) in subsection (b)(2), by striking subparagraph (B) and 
        inserting the following:
                    ``(B) $10,000,000 for each of fiscal years 2008 
                through 2012.''; and
            (2) in subsection (h)(4), by striking ``2007'' and 
        inserting ``2012''.

SEC. 4802. COMMODITY DISTRIBUTION.

    (a) Emergency Food Assistance.--Section 204(a)(1) of the Emergency 
Food Assistance Act of 1983 (7 U.S.C. 7508(a)(1)) is amended in the 
first sentence by striking ``$60,000,000 for each of the fiscal years 
2003 through 2007'' and inserting ``$100,000,000 for fiscal year 2008 
and each fiscal year thereafter''.
    (b) Commodity Distribution Program.--Section 4(a) of the 
Agriculture and Consumer Protection Act of 1973 (7 U.S.C. 612c note; 
Public Law 93-86) is amended in the first sentence by striking ``years 
1991 through 2007'' and inserting ``year 2008 and each fiscal year 
thereafter''.
    (c) Commodity Supplemental Food Program.--Section 5 of the 
Agriculture and Consumer Protection Act of 1973 (7 U.S.C. 612c note; 
Public Law 93-86) is amended--
            (1) in subsection (a)--
                    (A) in paragraph (1), by striking ``each of fiscal 
                years 2003 through 2007'' and inserting ``fiscal year 
                2008 and each fiscal year thereafter''; and
                    (B) in paragraph (2)(B), by striking ``(B) Fiscal 
                years 2004 through 2007.--'' and all that follows 
                through ``2007'' and inserting the following:
                    ``(B) Subsequent fiscal years.--For fiscal year 
                2004 and each subsequent fiscal year''; and
            (2) in subsection (d)(2), by striking ``each of the fiscal 
        years 1991 through 2007'' and inserting ``fiscal year 2008 and 
        each fiscal year thereafter''.
    (d) Distribution of Surplus Commodities to Special Nutrition 
Projects.--Section 1114(a)(2)(A) of the Agriculture and Food Act of 
1981 (7 U.S.C. 1431e(2)(A)) is amended in the first sentence by 
striking ``2007'' and inserting ``2012''.

SEC. 4803. NUTRITION INFORMATION AND AWARENESS PILOT PROGRAM.

    Section 4403(f) of the Farm Security and Rural Investment Act of 
2002 (7 U.S.C. 3171 note; Public Law 107-171) is amended by striking 
``2007'' and inserting ``2012''.

                       Subtitle F--Miscellaneous

SEC. 4901. PURCHASES OF LOCALLY GROWN FRUITS AND VEGETABLES.

    Section 9(j) of the Richard B. Russell National School Lunch Act 
(42 U.S.C. 1758(j)) is amended to read as follows:
    ``(j) Purchases of Locally Grown Fruits and Vegetables.--The 
Secretary shall--
            ``(1) encourage institutions receiving funds under this Act 
        and the Child Nutrition Act of 1966 (42 U.S.C. 1771 et seq.) to 
        purchase locally grown fruits and vegetables, to the maximum 
        extent practicable and appropriate;
            ``(2) advise institutions participating in a program 
        described in paragraph (1) of the policy described in that 
        paragraph and post information concerning the policy on the 
        website maintained by the Secretary; and
            ``(3) allow institutions receiving funds under this Act and 
        the Child Nutrition Act of 1966 (42 U.S.C. 1771 et seq.), 
        including the Department of Defense, to use a geographic 
        preference for the procurement of locally grown fruits and 
        vegetables.''.

SEC. 4902. HEALTHY FOOD EDUCATION AND PROGRAM REPLICABILITY.

    Section 18(i) of the Richard B. Russell National School Lunch Act 
(42 U.S.C. 1769(i)) is amended--
            (1) in paragraph (1)(C), by inserting ``promotes healthy 
        food education in the school curriculum and'' before 
        ``incorporates'';
            (2) by redesignating paragraph (2) as paragraph (3); and
            (3) by inserting after paragraph (1) the following:
            ``(2) Administration.--In providing grants under this 
        subsection, the Secretary shall give priority to projects that 
        can be replicated in schools.''.

SEC. 4903. FRESH FRUIT AND VEGETABLE PROGRAM.

    (a) In General.--The Richard B. Russell National School Lunch Act 
is amended by inserting after section 18 (42 U.S.C. 1769) the 
following:

``SEC. 19. FRESH FRUIT AND VEGETABLE PROGRAM.

    ``(a) In General.--For the school year beginning July 2008 and each 
subsequent school year, the Secretary shall provide grants to States to 
carry out a program to make free fresh fruits and vegetables available 
in elementary schools (referred to in this section as the `program').
    ``(b) Program.--A school participating in the program shall make 
free fresh fruits and vegetables available to students throughout the 
school day (or at such other times as are considered appropriate by the 
Secretary) in 1 or more areas designated by the school.
    ``(c) Funding to States.--
            ``(1) Minimum grant.--The Secretary shall provide to each 
        of the 50 States and the District of Columbia an annual grant 
        in an amount equal to 1 percent of the funds made available for 
        a fiscal year to carry out the program.
            ``(2) Additional funding.--Of the funds remaining after 
        grants are made under paragraph (1), the Secretary shall 
        allocate additional funds to each State that is operating a 
        school lunch program under section 4 based on the proportion 
        that--
                    ``(A) the population of the State; bears to
                    ``(B) the population of the United States.
    ``(d) Selection of Schools.--
            ``(1) In general.--In selecting schools to participate in 
        the program, each State shall--
                    ``(A) ensure that each school chosen to participate 
                in the program is a school--
                            ``(i) except as provided in paragraph (2), 
                        in which not less than 50 percent of the 
                        students are eligible for free or reduced price 
                        meals under this Act; and
                            ``(ii) that submits an application in 
                        accordance with subparagraph (C); and
                    ``(B) to the maximum extent practicable, give the 
                highest priority to schools with the highest proportion 
                of children who are eligible for free or reduced price 
                meals under this Act;
                    ``(C) solicit applications from interested schools 
                that include--
                            ``(i) information pertaining to the 
                        percentage of students enrolled in the school 
                        submitting the application who are eligible for 
                        free or reduced price school lunches under this 
                        Act;
                            ``(ii) a certification of support for 
                        participation in the program signed by the 
                        school food manager, the school principal, and 
                        the district superintendent (or equivalent 
                        positions, as determined by the school); and
                            ``(iii) such other information as may be 
                        requested by the Secretary;
                    ``(D) give priority to schools that submit a plan 
                for implementation of the program that includes a 
                partnership with 1 or more entities that provide non-
                Federal resources (including entities representing the 
                fruit and vegetable industry) for--
                            ``(i) the acquisition, handling, promotion, 
                        or distribution of fresh and dried fruits and 
                        fresh vegetables; or
                            ``(ii) other support that contributes to 
                        the purposes of the program;
                    ``(E) give priority to schools that provide 
                evidence of efforts to integrate activities carried out 
                under this section with other efforts to promote sound 
                health and nutrition, reduce overweight and obesity, or 
                promote physical activity; and
                    ``(F) ensure that each school selected is an 
                elementary school.
            ``(2) Exception.--Clause (i) of paragraph (1)(A) shall not 
        apply to a State if the State does not have a sufficient number 
        of schools that meet the requirement of that clause.
            ``(3) Consortia.--A consortia of schools may apply for 
        funding under this section.
    ``(e) Notice of Availability.--To be eligible to participate in the 
program, a school shall widely publicize within the school the 
availability of free fresh fruits and vegetables under the program.
    ``(f) Per-Student Grant.--The per-student grant provided to a 
school under this section shall be--
            ``(1) determined by a State agency; and
            ``(2) not less than $50, nor more than $75, annually.
    ``(g) Limitation.--To the maximum extent practicable, each State 
agency shall ensure that in making available to students the fruits and 
vegetables provided under this section, schools participating in the 
program offer the fruits and vegetables separately from meals otherwise 
provided at the school under this Act or the Child Nutrition Act of 
1966 (42 U.S.C. 1771 et seq.).
    ``(h) Schools on Indian Reservations.--The Secretary shall ensure 
that not less than 100 of the schools chosen to participate in the 
program are schools operated on Indian reservations.
    ``(i) Evaluation and Reports.--
            ``(1) In general.--The Secretary shall conduct an 
        evaluation of the program, including a determination as to 
        whether children experienced, as a result of participating in 
        the program--
                    ``(A) increased consumption of fruits and 
                vegetables;
                    ``(B) other dietary changes, such as decreased 
                consumption of less nutritious foods; and
                    ``(C) such other outcomes as are considered 
                appropriate by the Secretary.
            ``(2) Report.--Not later than September 30, 2011, the 
        Secretary shall submit to the Committee on Education and Labor 
        of the House of Representatives and the Committee on 
        Agriculture, Nutrition, and Forestry of the Senate, a report 
        that describes the results of the evaluation under paragraph 
        (1).
    ``(j) Funding.--
            ``(1) In general.--Out of any funds in the Treasury not 
        otherwise appropriated, the Secretary of the Treasury shall 
        transfer to the Secretary to carry out this section--
                    ``(A) on October 1, 2007, $225,000,000; and
                    ``(B) on October 1, 2008, and each October 1 
                thereafter, the amount made available for the preceding 
                fiscal year, as adjusted to reflect changes for the 12-
                month period ending the preceding June 30 in the 
                Consumer Price Index for All Urban Consumers published 
                by the Bureau of Labor Statistics of the Department of 
                Labor, for items other than food.
            ``(2) Evaluation funding.--On October 1, 2007, out of any 
        funds in the Treasury not otherwise appropriated, the Secretary 
        of the Treasury shall transfer to the Secretary to carry out 
        the evaluation required under subsection (i), $3,000,000, to 
        remain available until expended.
            ``(3) Receipt and acceptance.--The Secretary shall be 
        entitled to receive, shall accept, and shall use to carry out 
        this section any funds transferred for that purpose, without 
        further appropriation.
            ``(4) Authorization of appropriations.--In addition to any 
        other amounts made available to carry out this section, there 
        are authorized to be appropriated such sums as are necessary to 
        expand the program established under this section.
            ``(5) Administrative costs.--Of funds made available to 
        carry out this section for a fiscal year, the Secretary may use 
        not more than $500,000 for the administrative costs of carrying 
        out the program.
            ``(6) Reallocation.--
                    ``(A) Among states.--The Secretary may reallocate 
                any amounts made available to carry out this section 
                that are not obligated or expended by a date determined 
                by the Secretary.
                    ``(B) Within states.--A State that receives a grant 
                under this section may reallocate any amounts made 
                available under the grant that are not obligated or 
                expended by a date determined by the Secretary.''.
    (b) Conforming Amendments.--Section 18 of the Richard B. Russell 
National School Lunch Act (42 U.S.C. 1769) is amended--
            (1) by striking subsection (g); and
            (2) by redesignating subsections (h) through (k) as 
        subsections (g) through (j), respectively.

SEC. 4904. BUY AMERICAN REQUIREMENTS.

    (a) Findings.--Congress finds that--
            (1) Federal law requires that commodities and products 
        purchased with Federal funds be, to the maximum extent 
        practicable, of domestic origin;
            (2) Federal Buy American statutory requirements seek to 
        ensure that purchases made with Federal funds benefit domestic 
        producers; and
            (3) the Richard B. Russell National School Lunch Act (42 
        U.S.C. 1751 et seq.) requires the use of domestic food products 
        for all meals served under the school lunch program, including 
        food products purchased with local funds.
    (b) Buy American Statutory Requirements.--It is the sense of 
Congress that the Secretary should undertake training, guidance, and 
enforcement of the various Buy American statutory requirements and 
regulations in effect on the date of enactment of this Act, including 
requirements of--
            (1) the Richard B. Russell National School Lunch Act (42 
        U.S.C. 1751 et seq.); and
            (2) the Department of Defense fresh fruit and vegetable 
        distribution program.

SEC. 4905. MINIMUM PURCHASES OF FRUITS, VEGETABLES, AND NUTS THROUGH 
              SECTION 32 TO SUPPORT DOMESTIC NUTRITION ASSISTANCE 
              PROGRAMS.

    (a) Minimum Funding for Purchases of Fruits, Vegetables, and 
Nuts.--In lieu of the purchases of fruits, vegetables, and nuts 
required by section 10603 of the Farm Security and Rural Investment Act 
of 2002 (7 U.S.C. 612c-4), the Secretary shall purchase fruits, 
vegetables, and nuts for the purpose of providing nutritious foods for 
use in domestic nutrition assistance programs, using, of the funds made 
available under section 32 of the Act of August 24, 1935 (7 U.S.C. 
612c), the following amounts:
            (1) $390,000,000 for fiscal year 2008.
            (2) $393,000,000 for fiscal year 2009.
            (3) $399,000,000 for fiscal year 2010.
            (4) $403,000,000 for fiscal year 2011.
            (5) $406,000,000 for fiscal year 2012 and each fiscal year 
        thereafter.
    (b) Form of Purchases.--Fruits, vegetables, and nuts may be 
purchased under this section in frozen, canned, dried, or fresh form.
    (c) Value-Added Products.--The Secretary may offer value-added 
products containing fruits, vegetables, or nuts under this section, 
taking into consideration--
            (1) whether demand exists for the value-added product; and
            (2) the interests of entities that receive fruits, 
        vegetables, and nuts under this section.

SEC. 4906. CONFORMING AMENDMENTS TO RENAMING OF FOOD STAMP PROGRAM.

    (a) In General.--
            (1) Section 4 of the Food and Nutrition Act of 2007 (7 
        U.S.C. 2013) is amended in the section heading by striking 
        ``food stamp program'' and inserting ``food and nutrition 
        program''.
            (2) Section 5(h)(2)(A) of the Food and Nutrition Act of 
        2007 (7 U.S.C. 2014(h)(2)(A)) is amended by striking ``Food 
        Stamp Disaster Task Force'' and inserting ``Food and Nutrition 
        Disaster Task Force''.
            (3) Section 6 of the Food and Nutrition Act of 2007 (7 
        U.S.C. 2015) is amended--
                    (A) in subsection (d)(3), by striking ``eligible 
                for food stamps'' and inserting ``eligible to receive 
                food and nutrition assistance'';
                    (B) in subsection (g), by striking ``food stamps'' 
                and inserting ``food and nutrition assistance'';
                    (C) in subsection (j), in the subsection heading, 
                by striking ``Food Stamp'' and inserting ``Food and 
                Nutrition''; and
                    (D) in subsection (o)--
                            (i) in paragraph (2), by striking ``food 
                        stamp benefits'' and inserting ``food and 
                        nutrition assistance''; and
                            (ii) in paragraph (6)--
                                    (I) in subparagraph (A)--
                                            (aa) in clause (i), by 
                                        striking ``food stamps'' and 
                                        inserting ``food and nutrition 
                                        assistance''; and
                                            (bb) in clause (ii)--

                                                    (AA) in the matter 
                                                preceding subclause 
                                                (I), by striking ``a 
                                                food stamp recipient'' 
                                                and inserting ``a 
                                                member of a household 
                                                that receives food and 
                                                nutrition assistance''; 
                                                and

                                                    (BB) by striking 
                                                ``food stamp benefits'' 
                                                each place it appears 
                                                and inserting ``food 
                                                and nutrition 
                                                assistance''; and

                                    (II) in subparagraphs (D) and (E), 
                                by striking ``food stamp recipients'' 
                                each place it appears and inserting 
                                ``members of households that receive 
                                food and nutrition assistance''.
            (4) Section 7 of the Food and Nutrition Act of 2007 (7 
        U.S.C. 2016) (as amended by section 4202(a)(11)) is amended--
                    (A) in subsection (h)--
                            (i) in paragraph (3)(B)(ii), by striking 
                        ``food stamp households'' and inserting 
                        ``households receiving food and nutrition 
                        assistance''; and
                            (ii) in paragraph (7), by striking ``food 
                        stamp issuance'' and inserting ``food and 
                        nutrition assistance issuance''; and
                    (B) in subsection (j)--
                            (i) in paragraph (2), by striking ``food 
                        stamp benefits'' and inserting ``food and 
                        nutrition assistance benefits''; and
                            (ii) in paragraph (3), by striking ``food 
                        stamp retail'' and inserting ``food and 
                        nutrition assistance retail''.
            (5) Section 9(b)(1) of that Food and Nutrition Act of 2007 
        (7 U.S.C. 2018(b)(1)) is amended by striking ``food stamp 
        households'' and inserting ``households that receive food and 
        nutrition assistance''.
            (6) Section 11 of the Food and Nutrition Act of 2007 (7 
        U.S.C. 2020) (as amended by section 4202(b)(9)(B)(III)) is 
        amended--
                    (A) in subsection (e)--
                            (i) in paragraph (2)--
                                    (I) in subparagraph (A), by 
                                striking ``food stamp offices'' and 
                                inserting ``food and nutrition 
                                assistance offices''; and
                                    (II) in subparagraph (B)--
                                            (aa) in clause (iii), by 
                                        striking ``food stamp office'' 
                                        and inserting ``food and 
                                        nutrition assistance office'';
                                            (bb) in clause (v)(II), by 
                                        striking ``food stamps'' and 
                                        inserting ``food and nutrition 
                                        assistance''; and
                                            (cc) in clause (vii), by 
                                        striking ``food stamp offices'' 
                                        and inserting ``food and 
                                        nutrition assistance offices'';
                            (ii) in paragraph (14), by striking ``food 
                        stamps'' and inserting ``food and nutrition 
                        assistance'';
                            (iii) in paragraph (15), by striking ``food 
                        stamps'' and inserting ``food and nutrition 
                        assistance''; and
                            (iv) in paragraph (23)--
                                    (I) in the matter preceding 
                                subparagraph (A), by striking 
                                ``Simplified Food Stamp Program'' and 
                                inserting ``Simplified Food and 
                                Nutrition Assistance Program''; and
                                    (II) in subparagraph (A), by 
                                striking ``food stamp benefits'' and 
                                inserting ``food and nutrition 
                                assistance'';
                    (B) in subsection (k), by striking ``may issue, 
                upon request by the State agency, food stamps'' and 
                inserting ``may provide, on request by the State 
                agency, food and nutrition assistance'';
                    (C) in subsection (l), by striking ``food stamp 
                participation'' and inserting ``food and nutrition 
                program participation'';
                    (D) in subsections (q) and (r), in the subsection 
                headings, by striking ``Food Stamps'' each place it 
                appears and inserting ``Food and Nutrition 
                Assistance'';
                    (E) in subsection (s), by striking ``food stamp 
                benefits'' each place it appears and inserting ``food 
                and nutrition assistance''; and
                    (F) in subsection (t)(1)--
                            (i) in subparagraph (A), by striking ``food 
                        stamp application'' and inserting ``food and 
                        nutrition assistance application''; and
                            (ii) in subparagraph (B), by striking 
                        ``food stamp benefits'' and inserting ``food 
                        and nutrition assistance''.
            (7) Section 14(b) of the Food and Nutrition Act of 2007 (7 
        U.S.C. 2023(b)) is amended by striking ``food stamp 
        allotments'' and inserting ``food and nutrition assistance''.
            (8) Section 16 of the Food and Nutrition Act of 2007 (7 
        U.S.C. 2025) is amended--
                    (A) in subsection (a)(4), by striking ``food stamp 
                informational activities'' and inserting 
                ``informational activities relating to the food and 
                nutrition program'';
                    (B) in subsection (c)(9)(C), by striking ``food 
                stamp caseload'' and inserting ``the caseload under the 
                food and nutrition program''; and
                    (C) in subsection (h)(1)(E)(i), by striking ``food 
                stamp recipients'' and inserting ``households receiving 
                food and nutrition assistance''.
            (9) Section 17 of the Food and Nutrition Act of 2007 (7 
        U.S.C. 2026) is amended--
                    (A) in subsection (a)(2), by striking ``food stamp 
                benefits'' each place it appears and inserting ``food 
                and nutrition assistance benefits'';
                    (B) in subsection (b)--
                            (i) in paragraph (1)--
                                    (I) in subparagraph (A), by 
                                striking ``food stamp benefits'' and 
                                inserting ``food and nutrition 
                                assistance''; and
                                    (II) in subparagraph (B)--
                                            (aa) in clause (ii)(II), by 
                                        striking ``food stamp 
                                        recipients'' and inserting 
                                        ``food and nutrition assistance 
                                        recipients'';
                                            (bb) in clause (iii)(I), by 
                                        striking ``the State's food 
                                        stamp households'' and 
                                        inserting ``the number of 
                                        households in the State 
                                        receiving food and nutrition 
                                        assistance''; and
                                            (cc) in clause 
                                        (iv)(IV)(bb), by striking 
                                        ``food stamp deductions'' and 
                                        inserting ``food and nutrition 
                                        assistance deductions'';
                            (ii) in paragraph (2), by striking ``food 
                        stamp benefits'' and inserting ``food and 
                        nutrition assistance''; and
                            (iii) in paragraph (3)--
                                    (I) in subparagraph (A), by 
                                striking ``food stamp employment'' and 
                                inserting ``food and nutrition program 
                                employment'';
                                    (II) in subparagraph (B), by 
                                striking ``food stamp recipients'' and 
                                inserting ``food and nutrition 
                                assistance recipients'';
                                    (III) in subparagraph (C), by 
                                striking ``food stamps'' and inserting 
                                ``food and nutrition assistance''; and
                                    (IV) in subparagraph (D), by 
                                striking ``food stamp benefits'' and 
                                inserting ``food and nutrition 
                                assistance benefits'';
                    (C) in subsection (c), by striking ``food stamps'' 
                and inserting ``food and nutrition assistance'';
                    (D) in subsection (d)--
                            (i) in paragraph (1)(B), by striking ``food 
                        stamp benefits'' and inserting ``food and 
                        nutrition assistance'';
                            (ii) in paragraph (2)--
                                    (I) in subparagraph (A), by 
                                striking ``food stamp allotments'' each 
                                place it appears and inserting ``food 
                                and nutrition assistance''; and
                                    (II) in subparagraph (C)(ii), by 
                                striking ``food stamp benefit'' and 
                                inserting ``food and nutrition 
                                assistance''; and
                            (iii) in paragraph (3)(E), by striking 
                        ``food stamp benefits'' and inserting ``food 
                        and nutrition assistance'';
                    (E) in subsections (e) and (f), by striking ``food 
                stamp benefits'' each place it appears and inserting 
                ``food and nutrition assistance'';
                    (F) in subsection (g), in the first sentence, by 
                striking ``receipt of food stamp'' and inserting 
                ``receipt of food and nutrition assistance''; and
                    (G) in subsection (j), by striking ``food stamp 
                agencies'' and inserting ``food and nutrition program 
                agencies''.
            (10) Section 18(a)(3)(A)(ii) of the Food and Nutrition Act 
        of 2007 (7 U.S.C. 2027(a)(3)(A)(ii)) is amended by striking 
        ``food stamps'' and inserting ``food and nutrition 
        assistance''.
            (11) Section 21(d)(3) of the Food and Nutrition Act of 2007 
        (7 U.S.C. 2030(d)(3)) is amended by striking ``food stamp 
        benefits'' and inserting ``food and nutrition assistance''.
            (12) Section 22 of the Food and Nutrition Act of 2007 (7 
        U.S.C. 2031) is amended--
                    (A) in the section heading, by striking ``food 
                stamp portion of minnesota family investment plan'' and 
                inserting ``food and nutrition assistance portion of 
                minnesota family investment project'';
                    (B) in subsections (b)(12) and (d)(3), by striking 
                ``the Food Stamp Act, as amended,'' each place it 
                appears and inserting ``this Act''; and
                    (C) in subsection (g)(1), by striking ``the Food 
                Stamp Act of 1977 (7 U.S.C. 2011 et seq.)'' and 
                inserting ``this Act''.
            (13) Section 26 of the Food and Nutrition Act of 2007 (7 
        U.S.C. 2035) is amended--
                    (A) in the section heading, by striking 
                ``simplified food stamp program'' and inserting 
                ``simplified food and nutrition program''; and
                    (B) in subsection (b), by striking ``simplified 
                food stamp program'' and inserting ``simplified food 
                and nutrition program''.
    (b) Conforming Cross-References.--
            (1) In general.--Each provision of law described in 
        paragraph (2) is amended (as applicable)--
                    (A) by striking ``food stamp program'' each place 
                it appears and inserting ``food and nutrition 
                program'';
                    (B) by striking ``Food Stamp Act of 1977'' each 
                place it appears and inserting ``Food and Nutrition Act 
                of 2007'';
                    (C) by striking ``Food Stamp Act'' each place it 
                appears and inserting ``Food and Nutrition Act of 
                2007'';
                    (D) by striking ``food stamp'' each place it 
                appears and inserting ``food and nutrition 
                assistance'';
                    (E) by striking ``food stamps'' each place it 
                appears and inserting ``food and nutrition 
                assistance'';
                    (F) in each applicable title, subtitle, chapter, 
                subchapter, and section heading, by striking ``food 
                stamp'' each place it appears and inserting ``food and 
                nutrition assistance'';
                    (G) in each applicable subsection and 
                appropriations heading, by striking ``Food Stamp'' each 
                place it appears and inserting ``Food and Nutrition 
                Assistance'';
                    (H) in each applicable heading other than a title, 
                subtitle, chapter, subchapter, section, subsection, or 
                appropriations heading, by striking ``food stamp'' each 
                place it appears and inserting ``food and nutrition 
                assistance'';
                    (I) in each applicable title, subtitle, chapter, 
                subchapter, and section heading, by striking ``food 
                stamps'' each place it appears and inserting ``food and 
                nutrition assistance'';
                    (J) in each applicable subsection and 
                appropriations heading, by striking ``Food Stamps'' 
                each place it appears and inserting ``Food and 
                Nutrition Assistance''; and
                    (K) in each applicable heading other than a title, 
                subtitle, chapter, subchapter, section, subsection, or 
                appropriations heading, by striking ``food stamps'' 
                each place it appears and inserting ``food and 
                nutrition assistance''.
            (2) Provisions of law.--The provisions of law referred to 
        in paragraph (1) are the following:
                    (A) The Hunger Prevention Act of 1988 (Public Law 
                100-435; 102 Stat. 1645).
                    (B) The Food Stamp Program Improvements Act of 1994 
                (Public Law 103-225; 108 Stat. 106).
                    (C) Title IV of the Farm Security and Rural 
                Investment Act of 2002 (Public Law 107-171; 116 Stat. 
                305).
                    (D) Section 2 of Public Law 103-205 (7 U.S.C. 2012 
                note).
                    (E) Section 807(b) of the Stewart B. McKinney 
                Homeless Assistance Act (7 U.S.C. 2014 note; Public Law 
                100-77).
                    (F) The Electronic Benefit Transfer 
                Interoperability and Portability Act of 2000 (Public 
                Law 106-171; 114 Stat. 3).
                    (G) Section 502(b) of the Agricultural Research, 
                Extension, and Education Reform Act of 1998 (7 U.S.C. 
                2025 note; Public Law 105-185).
                    (H) The National Agricultural Research, Extension, 
                and Teaching Policy Act of 1977 (7 U.S.C. 3101 et 
                seq.).
                    (I) The Emergency Food Assistance Act of 1983 (7 
                U.S.C. 7501 et seq.).
                    (J) The Immigration and Nationality Act (8 U.S.C. 
                1101 et seq.).
                    (K) Section 8119 of the Department of Defense 
                Appropriations Act, 1999 (10 U.S.C. 113 note; Public 
                Law 105-262).
                    (L) The Armored Car Industry Reciprocity Act of 
                1993 (15 U.S.C. 5901 et seq.).
                    (M) Title 18, United States Code.
                    (N) The Higher Education Act of 1965 (20 U.S.C. 
                1001 et seq.).
                    (O) The Internal Revenue Code of 1986.
                    (P) Section 650 of the Treasury and General 
                Government Appropriations Act, 2000 (26 U.S.C. 7801 
                note; Public Law 106-58).
                    (Q) The Wagner-Peysner Act (29 U.S.C. 49 et seq.).
                    (R) The Workforce Investment Act of 1998 (29 U.S.C. 
                2801 et seq.).
                    (S) Title 31, United States Code.
                    (T) Title 37, United States Code.
                    (U) The Public Health Service Act (42 U.S.C. 201 et 
                seq.).
                    (V) Titles II through XIX of the Social Security 
                Act (42 U.S.C. 401 et seq.).
                    (W) Section 406 of the Family Support Act of 1988 
                (Public Law 100-485; 102 Stat. 2400).
                    (X) Section 232 of the Social Security Act 
                Amendments of 1994 (42 U.S.C. 1314a).
                    (Y) The United States Housing Act of 1937 (42 
                U.S.C. 1437 et seq.).
                    (Z) The Richard B. Russell National School Lunch 
                Act (42 U.S.C. 1751 et seq.).
                    (AA) The Child Nutrition Act of 1966 (42 U.S.C. 
                1771 et seq.).
                    (BB) The Older Americans Act of 1965 (42 U.S.C. 
                3001 et seq.).
                    (CC) Section 208 of the Intergovernmental Personnel 
                Act of 1970 (42 U.S.C. 4728).
                    (DD) The Robert T. Stafford Disaster Relief and 
                Emergency Assistance Act (42 U.S.C. 5121 et seq.).
                    (EE) The Low-Income Home Energy Assistance Act of 
                1981 (42 U.S.C. 8621 et seq.).
                    (FF) Section 658K of the Child Care and Development 
                Block Grant Act of 1990 (42 U.S.C. 9858i).
                    (GG) The Alaska Native Claims Settlement Act (43 
                U.S.C. 1601 et seq.).
                    (HH) Public Law 95-348 (92 Stat. 487).
                    (II) The Agriculture and Food Act of 1981 (Public 
                Law 97-98; 95 Stat. 1213).
                    (JJ) The Disaster Assistance Act of 1988 (Public 
                Law 100-387; 102 Stat. 924).
                    (KK) The Food, Agriculture, Conservation, and Trade 
                Act of 1990 (Public Law 101-624; 104 Stat. 3359).
                    (LL) The Cranston-Gonzalez National Affordable 
                Housing Act (Public Law 101-625; 104 Stat. 4079).
                    (MM) Section 388 of the Persian Gulf Conflict 
                Supplemental Authorization and Personnel Benefits Act 
                of 1991 (Public Law 102-25; 105 Stat. 98).
                    (NN) The Food, Agriculture, Conservation, and Trade 
                Act Amendments of 1991 (Public Law 102-237; 105 Stat. 
                1818).
                    (OO) The Act of March 26, 1992 (Public Law 102-265; 
                106 Stat. 90).
                    (PP) Public Law 105-379 (112 Stat. 3399).
                    (QQ) Section 101(c) of the Emergency Supplemental 
                Act, 2000 (Public Law 106-246; 114 Stat. 528).
    (c) References.--Any reference in any Federal, State, tribal, or 
local law (including regulations) to the ``food stamp program'' 
established under the Food and Nutrition Act of 2007 (7 U.S.C. 2011 et 
seq.) shall be considered to be a reference to the ``food and nutrition 
program'' established under that Act.

SEC. 4907. EFFECTIVE AND IMPLEMENTATION DATES.

    (a) General Effective Date.--Except as otherwise provided in this 
title, this title and the amendments made by this title take effect on 
April 1, 2008.
    (b) Implementation of Improvements to Program Benefits.--
            (1) In general.--A State agency may implement the 
        amendments made by part II of subtitle A beginning on a date 
        (as determined by the State agency) during the period beginning 
        on April 1, 2008, and ending on October 1, 2008.
            (2) Certification period.--At the option of a State agency, 
        the State agency may implement 1 or more of the amendments made 
        by sections 4103 and 4104 for a certification period that 
        begins not earlier than the implementation date determined by 
        the State under paragraph (1).

SEC. 4908. APPLICATION.

    (a) In General.--Notwithstanding any other provision of this title 
or amendments made by this title, the amendments made by the provisions 
described in subsection (b) shall be in effect during the period 
beginning on the date of enactment of this Act (or such other effective 
date as is otherwise provided in this title) and ending on September 
30, 2012.
    (b) Provisions.--The provisions referred to in subsection (a) are--
            (1) section 4101;
            (2) section 4102;
            (3) section 4103;
            (4) section 4104;
            (5) section 4107;
            (6) section 4108;
            (7) section 4109;
            (8) section 4110(a)(2);
            (9) section 4208;
            (10) section 4701(a)(3);
            (11) section 4801(g); and
            (12) section 4903.

                            TITLE V--CREDIT

                    Subtitle A--Farm Ownership Loans

SEC. 5001. DIRECT LOANS.

    Section 302 of the Consolidated Farm and Rural Development Act (7 
U.S.C. 1922) is amended--
            (1) by striking the section designation and heading and all 
        that follows through ``(a) The Secretary is authorized to'' and 
        inserting the following:

``SEC. 302. PERSONS ELIGIBLE FOR REAL ESTATE LOANS.

    ``(a) In General.--The Secretary may''; and
            (2) in subsection (a)(2), by inserting ``, taking into 
        consideration all farming experience of the applicant, without 
        regard to any lapse between farming experiences'' after 
        ``farming operations''.

SEC. 5002. PURPOSES OF LOANS.

    Section 303(a)(1) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1923(a)(1)) is amended--
            (1) in subparagraph (D), by striking ``or'' at the end;
            (2) in subparagraph (E), by striking the period at the end 
        and inserting ``; or''; and
            (3) by adding at the end the following:
                    ``(F) refinancing guaranteed farm ownership loans 
                of qualified beginning farmers and ranchers under this 
                subtitle that were used to carry out purposes described 
                in subparagraphs (A) through (E).''.

SEC. 5003. SOIL AND WATER CONSERVATION AND PROTECTION.

    Section 304 of the Consolidated Farm and Rural Development Act (7 
U.S.C. 1924) is amended--
            (1) in subsection (a)--
                    (A) in paragraph (4), by inserting ``or conversion 
                to a certified organic farm in accordance with the 
                Organic Foods Production Act of 1990 (7 U.S.C. 6501 et 
                seq.)'' after ``systems'';
                    (B) in paragraph (5), by striking ``and'' at the 
                end;
                    (C) by redesignating paragraph (6) as paragraph 
                (7); and
                    (D) by inserting after paragraph (5) the following:
            ``(6) the implementation of 1 or more practices under the 
        environmental quality section of the comprehensive stewardship 
        incentives program established under subchapter A of chapter 6 
        of subtitle D of title XII of the Food Security Act of 1985; 
        and''; and
            (2) by striking subsections (b) and (c) and inserting the 
        following:
    ``(b) Priority.--In making or guaranteeing loans under this 
section, the Secretary shall give priority to--
            ``(1) qualified beginning farmers or ranchers and socially 
        disadvantaged farmers or ranchers;
            ``(2) owners or tenants who use the loans to convert to 
        sustainable or organic agricultural production systems;
            ``(3) producers who use the loans to build conservation 
        structures or establish conservation practices to comply with 
        section 1212 of the Food Security Act of 1985 (16 U.S.C. 3812); 
        and
            ``(4) producers who have a certification from the Natural 
        Resources Conservation Service issued pursuant to section 
        1240B(d) of the Food Security Act of 1985.''.

SEC. 5004. LIMITATIONS ON AMOUNT OF FARM OWNERSHIP LOANS.

    Section 305(a)(2) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1925(a)(2)) is amended by striking ``$200,000'' and 
inserting ``$300,000''.

SEC. 5005. DOWN PAYMENT LOAN PROGRAM.

    Section 310E of the Consolidated Farm and Rural Development Act (7 
U.S.C. 1935) is amended--
            (1) in subsection (a)(1), by inserting ``and socially 
        disadvantaged farmers and ranchers'' after ``ranchers'';
            (2) in subsection (b)--
                    (A) by striking paragraph (1) and inserting the 
                following:
            ``(1) Principal.--
                    ``(A) Purchase price of $500,000 or less.--Each 
                loan made under this section for a purchase price that 
                is $500,000 or less, shall be in an amount that does 
                not exceed 45 percent of the lesser of--
                            ``(i) the purchase price; or
                            ``(ii) the appraised value of the farm or 
                        ranch to be acquired.
                    ``(B) Purchase price greater than $500,000.--Each 
                loan made under this section for a purchase price that 
                is greater than $500,000, shall be in an amount that 
                does not exceed 45 percent of the lesser of--
                            ``(i) $500,000; or
                            ``(ii) the appraised value of the farm or 
                        ranch to be acquired.'';
                    (B) by striking paragraph (2) and inserting the 
                following:
            ``(2) Interest rate.--The interest rate on any loan made by 
        the Secretary under this section shall be a rate equal to the 
        greater of--
                    ``(A) the difference obtained by subtracting 400 
                basis points from the interest rate for regular farm 
                ownership loans under this subtitle; or
                    ``(B) 2 percent.''; and
                    (C) in paragraph (3), by striking ``15'' and 
                inserting ``20'';
            (3) in subsection (c)--
                    (A) in paragraph (1), by striking ``10 percent'' 
                and inserting ``5 percent'';
                    (B) by striking paragraph (2);
                    (C) by redesignating paragraph (3) as paragraph 
                (2); and
                    (D) in subparagraph (B) of paragraph (2) (as so 
                redesignated), by striking ``15-year'' and inserting 
                ``20-year''; and
            (4) in subsection (d)--
                    (A) in paragraph (3), by striking the ``and'' at 
                the end;
                    (B) in paragraph (4), by striking the period at the 
                end and inserting ``; and''; and
                    (C) by adding at the end the following:
            ``(5) establish annual performance goals to promote the use 
        of the down payment loan program and other joint financing 
        participation loans as the preferred choice for direct real 
        estate loans made by any lender to a qualified beginning farmer 
        or rancher or socially disadvantaged farmer or rancher.''.

SEC. 5006. BEGINNING FARMER OR RANCHER CONTRACT LAND SALES PROGRAM.

    Section 310F of the Consolidated Farm and Rural Development Act (7 
U.S.C. 1936) is amended to read as follows:

``SEC. 310F. BEGINNING FARMER OR RANCHER CONTRACT LAND SALES PROGRAM.

    ``(a) In General.--Subject to subsection (c), the Secretary shall, 
in accordance with each condition described in subsection (b), provide 
a prompt payment guarantee for any loan made by a private seller of 
farmland or ranch land to a qualified beginning farmer or rancher on a 
contract land sale basis.
    ``(b) Conditions for Guarantee.--To receive a guarantee for a loan 
by the Secretary under subsection (a)--
            ``(1) the qualified beginning farmer or rancher shall--
                    ``(A) on the date on which the contract land sale 
                that is the subject of the loan is complete, own and 
                operate the farmland or ranch land that is the subject 
                of the contract land sale;
                    ``(B) on the date on which the contract land sale 
                that is the subject of the loan is commenced--
                            ``(i) have a credit history that--
                                    ``(I) includes a record of 
                                satisfactory debt repayment, as 
                                determined by the Secretary; and
                                    ``(II) is acceptable to the 
                                Secretary; and
                            ``(ii) demonstrate to the Secretary that 
                        the qualified beginning farmer or rancher is 
                        unable to obtain sufficient credit without a 
                        guarantee to finance any actual need of the 
                        qualified beginning farmer or rancher at a 
                        reasonable rate or term;
            ``(2) the loan made by the private seller of farmland or 
        ranch land to the qualified beginning farmer or rancher on a 
        contract land sale basis shall meet applicable underwriting 
        criteria, as determined by the Secretary; and
            ``(3) to carry out the loan--
                    ``(A) a commercial lending institution shall agree 
                to serve as an escrow agent; or
                    ``(B) the private seller of farmland or ranch land, 
                in cooperation with the qualified beginning farmer or 
                rancher, shall use an appropriate alternate 
                arrangement, as determined by the Secretary.
    ``(c) Limitations.--
            ``(1) Down payment.--The Secretary shall not guarantee a 
        loan made by a private seller of farmland or ranch land to a 
        qualified beginning farmer or rancher under subsection (a) if 
        the contribution of the qualified beginning farmer or rancher 
        to the down payment for the farmland or ranch land that is the 
        subject of the contract land sale would be an amount less than 
        5 percent of the purchase price of the farmland or ranch land.
            ``(2) Maximum purchase price.--The Secretary shall not 
        guarantee a loan made by a private seller of farmland or ranch 
        land to a qualified beginning farmer or rancher under 
        subsection (a) if the purchase price or the appraisal value of 
        the farmland or ranch land that is the subject of the contract 
        land sale is an amount greater than $500,000.
    ``(d) Period of Guarantee.--The Secretary shall guarantee a loan 
made by a private seller of farmland or ranch land to a qualified 
beginning farmer or rancher under subsection (a) for a 10-year period 
beginning on the date on which the Secretary guarantees the loan.
    ``(e) Prompt Payment Guarantee.--The Secretary shall provide to a 
private seller of farmland or ranch land who makes a loan to a 
qualified beginning farmer or rancher that is guaranteed by the 
Secretary, a prompt payment guarantee, which shall cover--
            ``(1) 3 amortized annual installments; or
            ``(2) an amount equal to 3 annual installments (including 
        an amount equal to the total cost of any tax and insurance 
        incurred during the period covered by the annual 
        installments).''.

                      Subtitle B--Operating Loans

SEC. 5101. FARMING EXPERIENCE AS ELIGIBILITY REQUIREMENT.

    Section 311 of the Consolidated Farm and Rural Development Act (7 
U.S.C. 1941) is amended--
            (1) by striking the section designation and all that 
        follows through ``(a) The Secretary is authorized to'' and 
        inserting the following:

``SEC. 311. PERSONS ELIGIBLE FOR LOANS.

    ``(a) In General.--The Secretary may'';
            (2) in subsection (a)(2), by inserting ``, taking into 
        consideration all farming experience of the applicant, without 
        regard to any lapse between farming experiences'' after 
        ``farming operations''; and
            (3) in subsection (c)(1)(C), by striking ``6'' and 
        inserting ``7''.

SEC. 5102. LIMITATIONS ON AMOUNT OF OPERATING LOANS.

    Section 313(a)(1) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1943(a)(1)) is amended by striking ``$200,000'' and 
inserting ``$300,000''.

SEC. 5103. LIMITATION ON PERIOD BORROWERS ARE ELIGIBLE FOR GUARANTEED 
              ASSISTANCE.

    Section 319 of the Consolidated Farm and Rural Development Act (7 
U.S.C. 1949) is repealed.

                 Subtitle C--Administrative Provisions

SEC. 5201. BEGINNING FARMER AND RANCHER INDIVIDUAL DEVELOPMENT ACCOUNTS 
              PILOT PROGRAM.

    The Consolidated Farm and Rural Development Act is amended by 
adding after section 333A (7 U.S.C. 1983a) the following:

``SEC. 333B. BEGINNING FARMER AND RANCHER INDIVIDUAL DEVELOPMENT 
              ACCOUNTS PILOT PROGRAM.

    ``(a) Definitions.--In this section:
            ``(1) Demonstration program.--The term `demonstration 
        program' means a demonstration program carried out by a 
        qualified entity under the pilot program established in 
        subsection (b)(1).
            ``(2) Eligible participant.--The term `eligible 
        participant' means a qualified beginning farmer or rancher 
        that--
                    ``(A) lacks significant financial resources or 
                assets; and
                    ``(B) has an income that is less than--
                            ``(i) 80 percent of the median income of 
                        the area in which the eligible participant is 
                        located; or
                            ``(ii) 200 percent of the most recent 
                        annual Federal Poverty Income Guidelines 
                        published by the Department of Health and Human 
                        Services for that area.
            ``(3) Individual development account.--The term `individual 
        development account' means a savings account described in 
        subsection (b)(4)(A).
            ``(4) Qualified entity.--
                    ``(A) In general.--The term `qualified entity' 
                means--
                            ``(i) 1 or more organizations--
                                    ``(I) described in section 
                                501(c)(3) of the Internal Revenue Code 
                                of 1986; and
                                    ``(II) exempt from taxation under 
                                section 501(a) of such Code; or
                            ``(ii) a State, local, or tribal government 
                        submitting an application jointly with an 
                        organization described in clause (i).
                    ``(B) No prohibition on collaboration.--An 
                organization described in subparagraph (A)(i) may 
                collaborate with a financial institution or for-profit 
                community development corporation to carry out the 
                purposes of this section.
    ``(b) Pilot Program.--
            ``(1) In general.--The Secretary shall establish a pilot 
        program to be known as the `New Farmer Individual Development 
        Accounts Pilot Program' under which the Secretary shall work 
        through qualified entities to establish demonstration 
        programs--
                    ``(A) of at least 5 years in duration; and
                    ``(B) in at least 15 States.
            ``(2) Coordination.--The Secretary shall operate the pilot 
        program through, and in coordination with the farm loan 
        programs of, the Farm Service Agency.
            ``(3) Reserve funds.--
                    ``(A) In general.--Each demonstration program shall 
                establish a reserve fund consisting of a non-Federal 
                match of 25 percent of the total amount of the grant 
                awarded to the demonstration program under this 
                section.
                    ``(B) Federal funds.--After a demonstration program 
                has deposited in the reserve fund the non-Federal 
                matching funds described in subparagraph (A), the 
                Secretary shall provide to the demonstration program 
                for deposit in the reserve fund the total amount of the 
                grant awarded under this section.
                    ``(C) Use of funds.--Of funds deposited in a 
                reserve fund under subparagraphs (A) and (B), a 
                demonstration program--
                            ``(i) may use up to 20 percent for 
                        administrative expenses; and
                            ``(ii) shall use the remainder to make 
                        matching awards described in paragraph 
                        (4)(B)(ii)(I).
                    ``(D) Interest.--Any interest earned on amounts in 
                a reserve fund established under subparagraph (A) may 
                be used as additional matching funds for, or to 
                administer, the demonstration program.
                    ``(E) Guidance.--The Secretary shall implement 
                guidance regarding the investment requirements of 
                reserve funds established under this paragraph.
            ``(4) Individual development accounts.--
                    ``(A) In general.--A qualified entity receiving a 
                grant under this section shall establish and administer 
                an individual development account for each eligible 
                participant.
                    ``(B) Contract requirements.--To be eligible to 
                receive funds under this section from a qualified 
                entity, each eligible participant shall enter into a 
                contract with a qualified entity under which--
                            ``(i) the eligible participant shall 
                        agree--
                                    ``(I) to deposit a certain amount 
                                of funds of the eligible participant in 
                                a personal savings account, as 
                                prescribed by the contractual agreement 
                                between the eligible participant and 
                                the qualified entity; and
                                    ``(II) to use the funds described 
                                in subclause (I) only for 1 or more 
                                eligible expenditures described in 
                                paragraph (5)(A); and
                            ``(ii) the qualified entity shall agree--
                                    ``(I) to deposit not later than 1 
                                month after a deposit described in 
                                clause (i)(I) at least a 100-percent, 
                                and up to a 300-percent, match of that 
                                amount into the individual development 
                                account established for the eligible 
                                participant;
                                    ``(II) with uses of funds proposed 
                                by the eligible participant; and
                                    ``(III) to complete qualified 
                                financial training.
                    ``(C) Limitation.--
                            ``(i) In general.--A qualified entity 
                        administering a demonstration program may 
                        provide not more than $9,000 for each fiscal 
                        year in matching funds to any eligible 
                        participant.
                            ``(ii) Treatment of amount.--An amount 
                        provided under clause (i) shall not be 
                        considered to be a gift or loan for mortgage 
                        purposes.
                    ``(D) Interest.--Any interest earned on amounts in 
                an individual development account shall be compounded 
                with amounts otherwise deposited in the individual 
                development account.
            ``(5) Eligible expenditures.--
                    ``(A) In general.--An eligible expenditure 
                described in this subparagraph is an expenditure--
                            ``(i) to purchase farmland or make a down 
                        payment on an accepted purchase offer for 
                        farmland;
                            ``(ii) to make mortgage payments for up to 
                        180 days after the date of purchase of 
                        farmland;
                            ``(iii) to purchase farm equipment or 
                        production, storage, or marketing 
                        infrastructure or buy into an existing value-
                        added business;
                            ``(iv) to purchase breeding stock or fruit 
                        or nut trees or trees to harvest for timber;
                            ``(v) to pay training or mentorship 
                        expenses to facilitate specific entrepreneurial 
                        agricultural activities; and
                            ``(vi) for other similar expenditures, as 
                        determined by the Secretary.
                    ``(B) Timing.--
                            ``(i) In general.--An eligible expenditure 
                        may be made at any time during the 2-year 
                        period beginning on the date on which the last 
                        matching funds are provided under paragraph 
                        (4)(B)(ii)(I).
                            ``(ii) Unexpended funds.--Funds remaining 
                        in an individual development account after the 
                        period described in clause (i) shall revert to 
                        the reserve fund of the demonstration program.
                    ``(C) Prohibition.--An eligible participant that 
                uses funds in an individual development account for an 
                eligible expenditure described in subparagraph 
                (A)(viii) shall not be eligible to receive funds for a 
                substantially similar purpose (as determined by the 
                Secretary) under the national organic program 
                established under the Organic Foods Production Act of 
                1990 (7 U.S.C. 6501 et seq.).
    ``(c) Applications.--
            ``(1) Announcement of demonstration programs.--Not later 
        than 180 days after the date of enactment of this section, the 
        Secretary shall--
                    ``(A) publicly announce the availability of funding 
                under this section for demonstration programs; and
                    ``(B) ensure that applications to carry out 
                demonstration programs are widely available to 
                qualified entities.
            ``(2) Submission.--Not later than 270 days after the date 
        of enactment of this section, a qualified entity may submit to 
        the Secretary an application to carry out a demonstration 
        program.
            ``(3) Criteria.--In considering whether to approve an 
        application to carry out a demonstration program, the Secretary 
        shall assess--
                    ``(A) the degree to which the demonstration program 
                described in the application is likely to aid eligible 
                participants in successfully pursuing new farming 
                opportunities;
                    ``(B) the experience and ability of the qualified 
                entity to responsibly administer the project;
                    ``(C) the experience and ability of the qualified 
                entity in recruiting, educating, and assisting eligible 
                participants to increase economic independence and 
                pursue or advance farming opportunities;
                    ``(D) the aggregate amount of direct funds from 
                non-Federal public sector and private sources that are 
                formally committed to the demonstration program as 
                matching contributions;
                    ``(E) the adequacy of the plan for providing 
                information relevant to an evaluation of the 
                demonstration program; and
                    ``(F) such other factors as the Secretary considers 
                to be appropriate.
            ``(4) Preferences.--In considering an application to 
        conduct a demonstration program under this part, the Secretary 
        shall give preference to an application from a qualified entity 
        that demonstrates--
                    ``(A) a track record of serving clients targeted by 
                the program, including, as appropriate, socially 
                disadvantaged farmers and ranchers; and
                    ``(B) expertise in dealing with financial 
                management aspects of farming.
            ``(5) Approval.--
                    ``(A) In general.--Not later than 1 year after the 
                date of enactment of this section, in accordance with 
                this section, the Secretary shall, on a competitive 
                basis, approve such applications to conduct 
                demonstration programs as the Secretary considers 
                appropriate.
                    ``(B) Diversity.--The Secretary shall ensure, to 
                the maximum extent practicable, that approved 
                applications involve demonstration programs for a range 
                of geographic areas and diverse populations.
            ``(6) Term of authority.--If the Secretary approves an 
        application to carry out a demonstration program, the Secretary 
        shall authorize the applying qualified entity to carry out the 
        project for a period of 5 years, plus an additional 2 years for 
        the making of eligible expenditures in accordance with 
        subsection (b)(5)(B).
    ``(d) Grant Authority.--
            ``(1) In general.--For each year during which a 
        demonstration program is carried out under this section, the 
        Secretary shall make a grant to the qualified entity authorized 
        to carry out the demonstration program.
            ``(2) Maximum amount of grants.--The aggregate amount of 
        grant funds provided to a demonstration program carried out 
        under this section shall not exceed $300,000.
    ``(e) Reports.--
            ``(1) Annual progress reports.--
                    ``(A) In general.--Not later than 60 days after the 
                end of the calendar year in which the Secretary 
                authorizes a qualified entity to carry out a 
                demonstration program, and annually thereafter until 
                the conclusion of the demonstration program, the 
                qualified entity shall prepare an annual report that 
                includes, for the period covered by the report--
                            ``(i) an evaluation of the progress of the 
                        demonstration program;
                            ``(ii) information about the demonstration 
                        program and eligible participants;
                            ``(iii) the number and characteristics of 
                        individuals that have made 1 or more deposits 
                        into an individual development account;
                            ``(iv) the amounts in the reserve fund 
                        established with respect to the program;
                            ``(v) the amounts deposited in the 
                        individual development accounts;
                            ``(vi) the amounts withdrawn from the 
                        individual development accounts and the 
                        purposes for which the amounts were withdrawn;
                            ``(vii) the balances remaining in the 
                        individual development accounts; and
                            ``(viii) such other information as the 
                        Secretary may require.
                    ``(B) Submission of reports.--A qualified entity 
                shall submit each report required under subparagraph 
                (A) to the Secretary.
            ``(2) Reports by the secretary.--Not later than 1 year 
        after the date on which all demonstration programs under this 
        section are concluded, the Secretary shall submit to Congress a 
        final report that describes the results and findings of all 
        reports and evaluations carried out under this section.
    ``(f) Regulations.--In carrying out this section, the Secretary may 
promulgate regulations to ensure that the program includes provisions 
for--
            ``(1) the termination of demonstration programs;
            ``(2) control of the reserve funds in the case of such a 
        termination;
            ``(3) transfer of demonstration programs to other qualified 
        entities; and
            ``(4) remissions from a reserve fund to the Secretary in a 
        case in which a demonstration program is terminated without 
        transfer to a new qualified entity.
    ``(g) Funding.--
            ``(1) Authorization of appropriations.--There is authorized 
        to be appropriated to carry out this section $10,000,000 for 
        each of fiscal years 2008 through 2012.
            ``(2) Administration and training.--Of the total funds made 
        available under paragraph (1) and in addition to any other 
        available funds, not more than 10 percent may be used by the 
        Secretary--
                    ``(A) to administer the pilot program; and
                    ``(B) to provide training, or hire 1 or more 
                consultants to provide training, to instruct qualified 
                entities in carrying out demonstration programs, 
                including payment of reasonable costs incurred with 
                respect to that training for--
                            ``(i) staff or consultant travel;
                            ``(ii) lodging;
                            ``(iii) meals; and
                            ``(iv) materials.''.

SEC. 5202. INVENTORY SALES PREFERENCES; LOAN FUND SET-ASIDES.

    (a) Inventory Sales Preferences.--Section 335(c) of the 
Consolidated Farm and Rural Development Act (7 U.S.C. 1985(c)) is 
amended--
            (1) in paragraph (1)--
                    (A) in subparagraph (B)--
                            (i) in the subparagraph heading, by 
                        inserting ``; socially disadvantaged farmer or 
                        rancher'' after ``or rancher'';
                            (ii) in clause (i), by inserting ``or a 
                        socially disadvantaged farmer or rancher'' 
                        after ``or rancher'';
                            (iii) in clause (ii), by inserting ``or 
                        socially disadvantaged farmer or rancher'' 
                        after ``or rancher'';
                            (iv) in clause (iii), by inserting ``or a 
                        socially disadvantaged farmer or rancher'' 
                        after ``or rancher''; and
                            (v) in clause (iv), by inserting ``and 
                        socially disadvantaged farmers and ranchers'' 
                        after ``and ranchers''; and
                    (B) in subparagraph (C), by inserting ``or a 
                socially disadvantaged farmer or rancher'' after ``or 
                rancher'';
            (2) in paragraph (5)(B)--
                    (A) in clause (i)--
                            (i) in the clause heading, by inserting ``; 
                        socially disadvantaged farmer or rancher'' 
                        after ``or rancher'';
                            (ii) by inserting ``or a socially 
                        disadvantaged farmer or rancher'' after ``a 
                        beginning farmer or rancher''; and
                            (iii) by inserting ``or the socially 
                        disadvantaged farmer or rancher'' after ``the 
                        beginning farmer or rancher''; and
                    (B) in clause (ii)--
                            (i) in the matter preceding subclause (I), 
                        by inserting ``or a socially disadvantaged 
                        farmer or rancher'' after ``or rancher''; and
                            (ii) in subclause (II), by inserting ``or 
                        the socially disadvantaged farmer or rancher'' 
                        after ``or rancher''; and
            (3) in paragraph (6)--
                    (A) in subparagraph (A), by inserting ``or a 
                socially disadvantaged farmer or rancher'' after ``or 
                rancher''; and
                    (B) in subparagraph (C)--
                            (i) in clause (i)(I), by inserting ``and 
                        socially disadvantaged farmers and ranchers'' 
                        after ``and ranchers''; and
                            (ii) in clause (ii), by inserting ``or 
                        socially disadvantaged farmers or ranchers'' 
                        after ``or ranchers''.
    (b) Loan Fund Set-Asides.--Section 346(b)(2) of the Consolidated 
Farm and Rural Development Act (7 U.S.C. 1994(b)(2)) is amended--
            (1) in subparagraph (A)--
                    (A) in clause (i)--
                            (i) in subclause (I), by striking ``70 
                        percent'' and inserting ``an amount that is not 
                        less than 75 percent of the total amount''; and
                            (ii) in subclause (II)--
                                    (I) in the subclause heading, by 
                                inserting ``; joint financing 
                                arrangements'' after ``payment loans'';
                                    (II) by striking ``60 percent'' and 
                                inserting ``an amount not less than \2/
                                3\ of the amount''; and
                                    (III) by inserting ``and joint 
                                financing arrangements under section 
                                307(a)(3)(D)'' after ``section 310E''; 
                                and
                    (B) in clause (ii)(III), by striking ``2003 through 
                2007, 35 percent'' and inserting ``2008 through 2012, 
                an amount that is not less than 50 percent of the total 
                amount''; and
            (2) in subparagraph (B)(i), by striking ``25 percent'' and 
        inserting ``an amount that is not less than 40 percent of the 
        total amount''.

SEC. 5203. TRANSITION TO PRIVATE COMMERCIAL OR OTHER SOURCES OF CREDIT.

    Subtitle D of the Consolidated Farm and Rural Development Act is 
amended by inserting after section 344 (7 U.S.C. 1992) the following:

``SEC. 345. TRANSITION TO PRIVATE COMMERCIAL OR OTHER SOURCES OF 
              CREDIT.

    ``(a) In General.--In making or insuring a farm loan under subtitle 
A or B, the Secretary shall establish a plan and promulgate regulations 
(including performance criteria) that promote the goal of transitioning 
borrowers to private commercial credit and other sources of credit in 
the shortest practicable period of time.
    ``(b) Coordination.--In carrying out this section, the Secretary 
shall integrate and coordinate the transition policy described in 
subsection (a) with--
            ``(1) the borrower training program established by section 
        359;
            ``(2) the loan assessment process established by section 
        360;
            ``(3) the supervised credit requirement established by 
        section 361;
            ``(4) the market placement program established by section 
        362; and
            ``(5) other appropriate programs and authorities, as 
        determined by the Secretary.''.

SEC. 5204. LOAN AUTHORIZATION LEVELS.

    Section 346(b)(1) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1994(b)(1)) is amended--
            (1) in the matter preceding subparagraph (A), by striking 
        ``$3,796,000,000 for each of fiscal years 2003 through 2007'' 
        and inserting ``$4,226,000,000 for each of fiscal years 2008 
        through 2012''; and
            (2) in subparagraph (A)--
                    (A) in the matter preceding clause (i), by striking 
                ``$770,000,000'' and inserting ``$1,200,000,000'';
                    (B) in clause (i), by striking ``$205,000,000'' and 
                inserting ``$350,000,000''; and
                    (C) in clause (ii), by striking ``$565,000,000'' 
                and inserting ``$850,000,000''.

SEC. 5205. INTEREST RATE REDUCTION PROGRAM.

    Section 351(a) of the Consolidated Farm and Rural Development Act 
(7 U.S.C. 1999(a)) is amended--
            (1) in the subsection heading, by inserting ``and 
        Availability'' after ``Establishment'';
            (2) by striking ``The Secretary'' and inserting the 
        following:
            ``(1) Establishment.--The Secretary''; and
            (3) by adding at the end the following:
            ``(2) Availability.--The program established under 
        paragraph (1) shall be available with respect to new guaranteed 
        operating loans or guaranteed operating loans restructured 
        under this title after the date of enactment of this paragraph 
        that meet the requirements of subsection (b).''.

SEC. 5206. DEFERRAL OF SHARED APPRECIATION RECAPTURE AMORTIZATION.

    Section 353(e)(7)(D) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 2001(e)(7)(D)) is amended--
            (1) in the subparagraph heading, by inserting ``and 
        deferral'' after ``Reamortization''; and
            (2) in clause (ii)--
                    (A) by redesignating subclause (II) as subclause 
                (III); and
                    (B) by inserting after subclause (I) the following:
                                    ``(II) Term of deferral.--The term 
                                of a deferral under this subparagraph 
                                shall not exceed 1 year.''.

SEC. 5207. RURAL DEVELOPMENT, HOUSING, AND FARM LOAN PROGRAM 
              ACTIVITIES.

    Subtitle D of the Consolidated Farm and Rural Development Act is 
amended by inserting after section 364 (7 U.S.C. 2006f) the following:

``SEC. 365. RURAL DEVELOPMENT, HOUSING, AND FARM LOAN PROGRAM 
              ACTIVITIES.

    ``The Secretary may not complete a study of, or enter into a 
contract with a private party to carry out, without specific 
authorization in a subsequent Act of Congress, a competitive sourcing 
activity of the Secretary, including support personnel of the 
Department of Agriculture, relating to rural development, housing, or 
farm loan programs.''.

                        Subtitle D--Farm Credit

SEC. 5301. AUTHORITY TO PASS ALONG COST OF INSURANCE PREMIUMS.

    (a) In General.--Section 1.12(b) of the Farm Credit Act of 1971 (12 
U.S.C. 2020(b)) is amended--
            (1) in the first sentence, by striking ``Each Farm'' and 
        inserting the following;
            ``(1) In general.--Each Farm''; and
            (2) by striking the second sentence and inserting the 
        following:
            ``(2) Computation.--The assessment on any association or 
        other financing institution described in paragraph (1) for any 
        period shall be computed in an equitable manner, as determined 
        by the Corporation.''.
    (b) Rules and Regulations.--Section 5.58(10) of the Farm Credit Act 
of 1971 (12 U.S.C. 2277a-7(10)) is amended by inserting ``and section 
1.12(b)'' after ``part''.

SEC. 5302. TECHNICAL CORRECTION.

    Section 3.3(b) of the Farm Credit Act of 1971 (12 U.S.C. 2124(b)) 
is amended in the first sentence by striking ``per'' and inserting 
``par''.

SEC. 5303. CONFIRMATION OF CHAIRMAN.

    Section 5.8(a) of the Farm Credit Act of 1971 (12 U.S.C. 2242(a)) 
is amended in the fifth sentence by inserting ``by and with the advice 
and consent of the Senate,'' after ``designated by the President,''.

SEC. 5304. PREMIUMS.

    (a) Amount in Fund Not Exceeding Secure Base Amount.--Section 
5.55(a) of the Farm Credit Act of 1971 (12 U.S.C. 2277a--4(a)) is 
amended--
            (1) in paragraph (1)--
                    (A) in the matter preceding subparagraph (A)--
                            (i) by striking ``paragraph (2)'' and 
                        inserting ``paragraph (3)''; and
                            (ii) by striking ``annual'' ; and
                    (B) by striking subparagraphs (A) through (D) and 
                inserting the following:
                    ``(A) the average outstanding insured obligations 
                issued by the bank for the calendar year, after 
                deducting from the obligations the percentages of the 
                guaranteed portions of loans and investments described 
                in paragraph (2), multiplied by 0.0020; and
                    ``(B) the product obtained by multiplying--
                            ``(i) the sum of--
                                    ``(I) the average principal 
                                outstanding for the calendar year on 
                                loans made by the bank that are in 
                                nonaccrual status; and
                                    ``(II) the average amount 
                                outstanding for the calendar year of 
                                other-than-temporarily impaired 
                                investments made by the bank; by
                            ``(ii) 0.0010.'';
            (2) by striking paragraph (4);
            (3) by redesignating paragraphs (2) and (3) as paragraphs 
        (3) and (4), respectively;
            (4) by inserting after paragraph (1) the following:
            ``(2) Deductions from average outstanding insured 
        obligations.--The average outstanding insured obligations 
        issued by the bank for the calendar year referred to in 
        paragraph (1)(A) shall be reduced by deducting from the 
        obligations the sum of (as determined by the Corporation)--
                    ``(A) 90 percent of each of --
                            ``(i) the average principal outstanding for 
                        the calendar year on the guaranteed portions of 
                        Federal government-guaranteed loans made by the 
                        bank that are in accrual status; and
                            ``(ii) the average amount outstanding for 
                        the calendar year of the guaranteed portions of 
                        Federal government-guaranteed investments made 
                        by the bank that are not permanently impaired; 
                        and
                    ``(B) 80 percent of each of--
                            ``(i) the average principal outstanding for 
                        the calendar year on the guaranteed portions of 
                        State government-guaranteed loans made by the 
                        bank that are in accrual status; and
                            ``(ii) the average amount outstanding for 
                        the calendar year of the guaranteed portions of 
                        State government-guaranteed investments made by 
                        the bank that are not permanently impaired.'';
            (5) in paragraph (3) (as redesignated by paragraph (3)), by 
        striking ``annual''; and
            (6) in paragraph (4) (as redesignated by paragraph (3))--
                    (A) in the paragraph heading, by inserting ``or 
                investments'' after ``loans''; and
                    (B) in the matter preceding subparagraph (A), by 
                striking ``As used'' and all that follows through 
                ``guaranteed--'' and inserting ``In this section, the 
                term ``government-guaranteed'', when applied to a loan 
                or an investment, means a loan, credit, or investment, 
                or portion of a loan, credit, or investments, that is 
                guaranteed--''.
    (b) Amount in Fund Exceeding Secure Base Amount.--Section 5.55(b) 
of the Farm Credit Act of 1971 (12 U.S.C. 2277a-4(b)) is amended by 
striking ``annual''.
    (c) Secure Base Amount.--Section 5.55(c) of the Farm Credit Act of 
1971 (12 U.S.C. 2277a-4(c)) is amended--
            (1) by striking ``For purposes'' and inserting the 
        following:
            ``(1) In general.--For purposes'';
            (2) by striking ``(adjusted downward'' and all that follows 
        through ``by the Corporation)'' and inserting ``(as adjusted 
        under paragraph (2))''; and
            (3) by adding at the end the following:
            ``(2) Adjustment.--The aggregate outstanding insured 
        obligations of all insured System banks under paragraph (1) 
        shall be adjusted downward to exclude an amount equal to the 
        sum of (as determined by the Corporation)--
                    ``(A) 90 percent of each of--
                            ``(i) the guaranteed portions of principal 
                        outstanding on Federal government-guaranteed 
                        loans in accrual status made by the banks; and
                            ``(ii) the guaranteed portions of the 
                        amount of Federal government-guaranteed 
                        investments made by the banks that are not 
                        permanently impaired; and
                    ``(B) 80 percent of each of--
                            ``(i) the guaranteed portions of principal 
                        outstanding on State government-guaranteed 
                        loans in accrual status made by the banks; and
                            ``(ii) the guaranteed portions of the 
                        amount of State government-guaranteed 
                        investments made by the banks that are not 
                        permanently impaired.''.
    (d) Determination of Loan and Investment Amounts.--Section 5.55(d) 
of the Farm Credit Act of 1971 (12 U.S.C. 2277a-4(d)) is amended--
            (1) in the paragraph heading, by striking ``Principal 
        Outstanding'' and inserting ``Loan and Investment Amounts'';
            (2) in the matter preceding paragraph (1), by striking 
        ``For the purpose'' and all that follows through ``made--'' and 
        inserting ``For the purpose of subsections (a) and (c), the 
        principal outstanding on all loans made by an insured System 
        bank, and the amount outstanding on all investments made by an 
        insured System bank, shall be determined based on--'';
            (3) by inserting ``all loans or investments made'' before 
        ``by'' the first place it appears in each of paragraph (1), 
        (2), and (3); and
            (4) in paragraphs (1) and (2), by inserting ``or 
        investments'' after ``that is able to make such loans'' each 
        place it appears.
    (e) Allocation to System Institutions of Excess Reserves.--Section 
5.55(e) of the Farm Credit Act of 1971 (12 U.S.C. 2277a-4(e)) is 
amended--
            (1) in paragraph (3), by striking ``the average secure base 
        amount for the calendar year (as calculated on an average daily 
        balance basis)'' and inserting ``the secure base amount'';
            (2) in paragraph (4), by striking subparagraph (B) and 
        inserting the following:
                    ``(B) there shall be credited to the Allocated 
                Insurance Reserves Account of each insured System bank 
                an amount that bears the same ratio to the total amount 
                (less any amount credited under subparagraph (A)) as--
                            ``(i) the average principal outstanding for 
                        the calendar year on insured obligations issued 
                        by the bank (after deducting from the principal 
                        the percentages of the guaranteed portions of 
                        loans and investments described in subsection 
                        (a)(2)); bears to
                            ``(ii) the average principal outstanding 
                        for the calendar year on insured obligations 
                        issued by all insured System banks (after 
                        deducting from the principal the percentages of 
                        the guaranteed portions of loans and 
                        investments described in subsection (a)(2)).''; 
                        and
            (3) in paragraph (6)--
                    (A) in subparagraph (A)--
                            (i) in the matter preceding clause (i), by 
                        striking ``beginning more'' and all that 
                        follows through ``January 1, 2005'';
                            (ii) by striking clause (i) and inserting 
                        the following:
                            ``(i) subject to subparagraph (D), pay to 
                        each insured System bank, in a manner 
                        determined by the Corporation, an amount equal 
                        to the balance in the Allocated Insurance 
                        Reserves Account of the System bank; and''; and
                            (iii) in clause (ii)--
                                    (I) by striking ``subparagraphs 
                                (C), (E), and (F)'' and inserting 
                                ``subparagraphs (C) and (E)''; and
                                    (II) by striking ``, of the lesser 
                                of--'' and all that follows through the 
                                end of subclause (II) and inserting 
                                ``at the time of the termination of the 
                                Financial Assistance Corporation, of 
                                the balance in the Allocated Insurance 
                                Reserves Account established under 
                                paragraph (1)(B).'';
                    (B) in subparagraph (C)--
                            (i) in clause (i), by striking ``(in 
                        addition to the amounts described in 
                        subparagraph (F)(ii))''; and
                            (ii) by striking clause (ii) and inserting 
                        the following:
                            ``(iii) Termination of account.--On 
                        disbursement of amount equal to $56,000,000, 
                        the Corporation shall--
                                    ``(I) close the Account established 
                                under paragraph (1)(B); and
                                    ``(II) transfer any remaining funds 
                                in the Account to the remaining 
                                Allocated Insurance Reserves Accounts 
                                in accordance with paragraph (4)(B) for 
                                the calendar year in which the transfer 
                                occurs.''.
                    (C) by striking subparagraph (F).

SEC. 5305. CERTIFICATION OF PREMIUMS.

    (a) Filing Certified Statement.--Section 5.56 of the Farm Credit 
Act of 1971 (12 U.S.C. 2277a-5) is amended by striking subsection (a) 
and inserting the following:
    ``(a) Filing Certified Statement.--On a date to be determined in 
the sole discretion of the Board of Directors of the Corporation, each 
insured System bank that became insured before the beginning of the 
period for which premiums are being assessed (referred to in this 
section as the `period') shall file with the Corporation a certified 
statement showing--
            ``(1) the average outstanding insured obligations for the 
        period issued by the bank;
            ``(2)(A) the average principal outstanding for the period 
        on the guaranteed portion of Federal government-guaranteed 
        loans that are in accrual status; and
            ``(B) the average amount outstanding for the period of 
        Federal government-guaranteed investments that are not 
        permanently impaired (as defined in section 5.55(a)(4));
            ``(3)(A) the average principal outstanding for the period 
        on State government-guaranteed loans that are in accrual 
        status; and
            ``(B) the average amount outstanding for the period of 
        State government-guaranteed investments that are not 
        permanently impaired (as defined in section 5.55(a)(4));
            ``(4)(A) the average principal outstanding for the period 
        on loans that are in nonaccrual status; and
            ``(B) the average amount outstanding for the period of 
        other-than-temporarily impaired investments; and
            ``(5) the amount of the premium due the Corporation from 
        the bank for the period.''.
    (b) Premium Payments.--Section 5.56 of the Farm Credit Act of 1971 
(12 U.S.C. 2277a-5(c)) is amended by striking subsection (c) and 
inserting the following:
    ``(c) Premium Payments.--
            ``(1) In general.--Except as provided in paragraph (2), 
        each insured System bank shall pay to the Corporation the 
        premium payments required under subsection (a), not more 
        frequently than once in each calendar quarter, in such manner 
        and at such 1 or more times as the Board of Directors shall 
        prescribe.
            ``(2) Premium amount.--The amount of the premium shall be 
        established not later than 60 days after filing the certified 
        statement specifying the amount of the premium.''.
    (c) Subsequent Premium Payments.--Section 5.56 of the Farm Credit 
Act of 1971 (12 U.S.C. 2277a-5) is amended--
            (1) by striking subsection (d); and
            (2) by redesignating subsection (e) as subsection (d).

SEC. 5306. RURAL UTILITY LOANS.

    (a) Definition of Qualified Loan.--Section 8.0(9) of the Farm 
Credit Act of 1971 (12 U.S.C. 2279aa(9)) is amended--
            (1) in subparagraph (A)(iii), by striking ``or'' at the 
        end;
            (2) in subparagraph (B)(ii), by striking the period at the 
        end and inserting ``; or''; and
            (3) by adding at the end the following:
                    ``(C) that is a loan, or an interest in a loan, for 
                an electric or telephone facility by a cooperative 
                lender to a borrower that has received, or is eligible 
                to receive, a loan under the Rural Electrification Act 
                of 1936 (7 U.S.C. 901 et seq.).''.
    (b) Guarantee of Qualified Loans.--Section 8.6(a)(1) of the Farm 
Credit Act of 1971 (12 U.S.C. 2279aa-6(a)(1)) is amended by inserting 
``applicable'' before ``standards'' each place it appears in 
subparagraphs (A) and (B)(i).
    (c) Standards for Qualified Loans.--Section 8.8 of the Farm Credit 
Act of 1971 (12 U.S.C. 2279aa-8) is amended--
            (1) in subsection (a)--
                    (A) by striking the first sentence and inserting 
                the following:
            ``(1) In general.--The Corporation shall establish 
        underwriting, security appraisal, and repayment standards for 
        qualified loans taking into account the nature, risk profile, 
        and other differences between different categories of qualified 
        loans.
            ``(2) Supervision, examination, and report of condition.--
        The standards shall be subject to the authorities of the Farm 
        Credit Administration under section 8.11.''; and
                    (B) in the last sentence, by striking ``In 
                establishing'' and inserting the following:
            ``(3) Mortgage loans.--In establishing'';
            (2) in subsection (b)--
                    (A) in the matter preceding paragraph (1), by 
                inserting ``with respect to loans secured by 
                agricultural real estate'' after ``subsection (a)''; 
                and
                    (B) in paragraph (5)--
                            (i) by striking ``borrower'' the first 
                        place it appears and inserting ``farmer or 
                        rancher''; and
                            (ii) by striking ``site'' and inserting 
                        ``farm or ranch'';
            (3) in subsection (c)(1), by inserting ``secured by 
        agricultural real estate'' after ``A loan'';
            (4) by striking subsection (d); and
            (5) by redesignating subsection (e) as subsection (d).
    (d) Risk-Based Capital Levels.--Section 8.32(a)(1) of the Farm 
Credit Act of 1971 (12 U.S.C. 2279bb-1(a)(1)) is amended--
            (1) by striking ``With respect'' and inserting the 
        following:
                    ``(A) In general.--With respect''; and
            (2) by adding at the end the following:
                    ``(B) Rural utility loans.--With respect to 
                securities representing an interest in, or obligation 
                backed by, a pool of qualified loans described in 
                section 8.0(9)(C) owned or guaranteed by the 
                Corporation, losses occur at a rate of default and 
                severity reasonably related to risks in electric and 
                telephone facility loans (as applicable), as determined 
                by the Director.''.

SEC. 5307. EQUALIZATION OF LOAN-MAKING POWERS OF CERTAIN DISTRICT 
              ASSOCIATIONS.

    (a) In General.--The Farm Credit Act of 1971 is amended by 
inserting after section 7.6 (12 U.S.C. 2279b) the following:

``SEC. 7.7. EQUALIZATION OF LOAN-MAKING POWERS OF CERTAIN DISTRICT 
              ASSOCIATIONS.

    ``(a) Equalization of Loan-Making Powers.--
            ``(1) In general.--
                    ``(A) Federal land bank or credit association.--
                Subject to paragraph (2), any association that under 
                its charter has title II lending authority and that 
                owns, is owned by, or is under common ownership with, a 
                Federal land bank association authorized as of January 
                1, 2007, to make long-term loans under title I in the 
                geographic area described in subsection (b) may make 
                short- and intermediate-term loans and otherwise 
                operate as a production credit association under title 
                II in the geographic area.
                    ``(B) Production credit associations.--Subject to 
                paragraph (2), any association that under its charter 
                has title I lending authority and that owns, is owned 
                by, or is under common ownership with, a production 
                credit association authorized as of January 1, 2007, to 
                make short- and intermediate-term loans under title II 
                in the geographic area described in subsection (b) may 
                make long-term loans and otherwise operate as a Federal 
                land bank association or Federal land credit 
                association under title I in the geographic area.
                    ``(C) Farm credit bank.--The Farm Credit Bank with 
                which any association had a written financing agreement 
                as of January 1, 2007, may make loans and extend other 
                similar financial assistance with respect to, and may 
                purchase, any loans made under the new authority 
                provided under subparagraph (A) or (B) by an 
                association that owns, is owned by, or is under common 
                ownership with, the association.
            ``(2) Required approvals.--An association may exercise the 
        additional authority provided for in paragraph (1) only after 
        the exercise of the authority is approved by--
                    ``(A) the board of directors of the association; 
                and
                    ``(B) a majority of the voting stockholders of the 
                association (or, if the association is a subsidiary of 
                another association, the voting stockholders of the 
                parent association) voting, in person or by proxy, at a 
                duly authorized meeting of stockholders.
    ``(b) Applicability.--This section applies only to associations the 
chartered territory of which is in the geographic area served by the 
Federal intermediate credit bank that merged with a Farm Credit Bank 
under section 410(e)(1) of the Agricultural Credit Act of 1987 (12 
U.S.C. 2011 note; Public Law 100-233).''.
    (b) Charter Amendments.--Section 5.17(a) of the Farm Credit Act of 
1971 (12 U.S.C. 2252(a)) is amended by adding at the end the following:
            ``(15)(A) Approve amendments to the charters of 
        institutions of the Farm Credit System to implement the 
        equalization of loan-making powers of a Farm Credit System 
        association under section 7.7.
            ``(B) Amendments described in subparagraph (A) to the 
        charters of an association and the related Farm Credit Bank 
        shall be approved by the Farm Credit Administration on the date 
        on which the Farm Credit Administration receives all approvals 
        required by section 7.7(a)(2).''.
    (c) Conforming Amendments.--
            (1) Section 5.17(a)(2) of the Farm Credit Act of 1971 (12 
        U.S.C. 2252(a)(2)) is amended--
                    (A) by striking ``(2)(A)'' and inserting ``(2)''; 
                and
                    (B) by striking subparagraphs (B) and (C).
            (2) Section 410(e)(1)(A)(iii) of the Agricultural Credit 
        Act of 1987 (12 U.S.C. 2011 note; Public Law 100-233) is 
        amended by inserting ``(other than section 7.7 of that Act)'' 
        after ``(12 U.S.C. 2001 et seq.)''.
            (3) Section 401(b) of the Farm Credit Banks and 
        Associations Safety and Soundness Act of 1992 (12 U.S.C. 2011 
        note; Public Law 102-552) is amended--
                    (A) by inserting ``(other than section 7.7 of the 
                Farm Credit Act of 1971)'' after ``provision of law''; 
                and
                    (B) by striking ``, subject to such limitations'' 
                and all that follows through the end of the paragraph 
                and inserting a period.
    (d) Effective Date.--The amendments made by this section take 
effect on January 1, 2009.

                       Subtitle E--Miscellaneous

SEC. 5401. LOANS TO PURCHASERS OF HIGHLY FRACTIONED LAND.

    The first section of Public Law 91-229 (25 U.S.C. 488) is amended--
            (1) by striking ``That the Secretary'' and inserting the 
        following:

``SECTION 1. LOANS TO PURCHASERS OF HIGHLY FRACTIONED LAND.

    ``(a) In General.--The Secretary''; and
            (2) by adding at the end the following:
    ``(b) Highly Fractionated Land.--
            ``(1) In general.--Subject to paragraph (2), the Secretary 
        of Agriculture may make and insure loans in accordance with 
        section 309 of the Consolidated Farm and Rural Development Act 
        (7 U.S.C. 1929) to eligible purchasers of highly fractionated 
        land pursuant to section 205(c) of the Indian Land 
        Consolidation Act (25 U.S.C. 2204(c)).
            ``(2) Exclusion.--Section 4 shall not apply to trust land, 
        restricted tribal land, or tribal corporation land that is 
        mortgaged in accordance with paragraph (1).''.

SEC. 5402. DETERMINATION ON MERITS OF PIGFORD CLAIMS.

    (a) Definitions.--In this section:
            (1) Consent decree.--The term ``consent decree'' means the 
        consent decree in the case of Pigford v. Glickman, approved by 
        the United States District Court for the District of Columbia 
        on April 14, 1999.
            (2) Pigford claim.--The term ``Pigford claim'' means a 
        discrimination complaint, as defined by section 1(h) of the 
        consent decree and documented under section 5(b) of the consent 
        decree.
            (3) Pigford claimant.--The term ``Pigford claimant'' means 
        an individual who previously submitted a late-filing request 
        under section 5(g) of the consent decree.
    (b) Determination on Merits.--Any Pigford claimant who has not 
previously obtained a determination on the merits of a Pigford claim 
may, in a civil action brought in the United States District Court for 
the District of Columbia, obtain that determination.
    (c) Limitation.--
            (1) In general.--Subject to paragraph (2), all payments or 
        debt relief (including any limitation on foreclosure under 
        subsection (g)) shall be made exclusively from funds made 
        available under subsection (h).
            (2) Maximum amount.--The total amount of payments and debt 
        relief pursuant to an action commenced under subsection (b) 
        shall not exceed $100,000,000.
    (d) Intent of Congress as to Remedial Nature of Section.--It is the 
intent of Congress that this section be liberally construed so as to 
effectuate its remedial purpose of giving a full determination on the 
merits for each Pigford claim denied that determination.
    (e) Loan Data.--
            (1) Report to person submitting petition.--Not later than 
        60 days after the Secretary receives notice of a complaint 
        filed by a claimant under subsection (b), the Secretary shall 
        provide to the claimant a report on farm credit loans made 
        within the claimant's county or adjacent county by the 
        Department during the period beginning on January 1 of the year 
        preceding the year or years covered by the complaint and ending 
        on December 31 of year following such year or years. Such 
        report shall contain information on all persons whose 
        application for a loan was accepted, including--
                    (A) the race of the applicant;
                    (B) the date of application;
                    (C) the date of the loan decision;
                    (D) the location of the office making the loan 
                decision; and
                    (E) all data relevant to the process of deciding on 
                the loan.
            (2) No personally identifiable information.--The reports 
        provided pursuant to paragraph (1) shall not contain any 
        information that would identify any person that applied for a 
        loan from the Department of Agriculture.
    (f) Expedited Resolutions Authorized.--Any person filing a 
complaint under this Act for discrimination in the application for, or 
making or servicing of, a farm loan, at his or her discretion, may seek 
liquidated damages of $50,000, discharge of the debt that was incurred 
under, or affected by, the discrimination that is the subject of the 
person's complaint, and a tax payment in the amount equal to 25 percent 
of the liquidated damages and loan principal discharged, in which 
case--
            (1) if only such damages, debt discharge, and tax payment 
        are sought, the complainant shall be able to prove his or her 
        case by substantial evidence (as defined in section 1(l) of the 
        consent decree); and
            (2) the court shall decide the case based on a review of 
        documents submitted by the complainant and defendant relevant 
        to the issues of liability and damages.
    (g) Limitation on Foreclosures.--Notwithstanding any other 
provision of law, the Secretary may not begin acceleration on or 
foreclosure of a loan if the borrower is a Pigford claimant and, in an 
appropriate administrative proceeding, makes a prima facie case that 
the foreclosure is related to a Pigford claim.
    (h) Funding.--
            (1) In general.--Of the funds of the Commodity Credit 
        Corporation, the Secretary shall make available for payments 
        and debt relief in satisfaction of claims against the United 
        States under subsection (b) and for any actions under 
        subsection (g) $100,000,000 for fiscal year 2008, to remain 
        available until expended.
            (2) Authorization of appropriations.--In addition to funds 
        made available under paragraph (1), there are authorized to be 
        appropriated such sums as are necessary to carry out this 
        section.

SEC. 5403. SENSE OF THE SENATE RELATING TO CLAIMS BROUGHT BY SOCIALLY 
              DISADVANTAGED FARMERS OR RANCHERS.

    It is the sense of the Senate that the Secretary should resolve all 
claims and class actions brought against the Department of Agriculture 
by socially disadvantaged farmers or ranchers (as defined in section 
355(e) of the Consolidated Farm and Rural Development Act (7 U.S.C. 
2003(e)), including Native American, Hispanic, and female farmers or 
ranchers, based on racial, ethnic, or gender discrimination in farm 
program participation in an expeditious and just manner.

SEC. 5404. ELIGIBILITY OF EQUINE FARMERS AND RANCHERS FOR EMERGENCY 
              LOANS.

    Section 321(a) of the Consolidated Farm and Rural Development Act 
(7 U.S.C. 1961(a)) is amended--
            (1) in paragraph (1), by striking ``farmers, ranchers'' and 
        inserting ``farmers or ranchers (including equine farmers or 
        ranchers)''; and
            (2) in paragraph (2)(A), by striking ``farming, ranching,'' 
        and inserting ``farming or ranching (including equine farming 
        or ranching)''.

               TITLE VI--RURAL DEVELOPMENT AND INVESTMENT

        Subtitle A--Consolidated Farm and Rural Development Act

SEC. 6001. WATER, WASTE DISPOSAL, AND WASTEWATER FACILITY GRANTS.

    Section 306(a)(2)(B)(vii) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1926(a)(2)(B)(vii)) is amended, by striking 
``2007'' and inserting ``2012''.

SEC. 6002. 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 
``2007'' and inserting ``2012''.

SEC. 6003. CHILD DAY CARE FACILITY GRANTS, LOANS, AND LOAN GUARANTEES.

    Section 306(a)(19) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1926(a)(19)) is amended by striking subparagraph (C) and 
inserting the following:
                    ``(C) Child day care facilities.--
                            ``(i) In general.--Of the funds of the 
                        Commodity Credit Corporation, the Secretary 
                        shall use for the costs of grants, loans, and 
                        loan guarantees to pay the Federal share of the 
                        cost of developing and constructing day care 
                        facilities for children in rural areas, as 
                        determined by the Secretary, $40,000,000 for 
                        fiscal year 2008, to remain available until 
                        expended.
                            ``(ii) Relationship to other funding and 
                        authorities.--The funds and authorities made 
                        available under this subparagraph shall be in 
                        addition to other funds and authorities 
                        relating to development and construction of 
                        rural day care facilities.''.

SEC. 6004. RURAL WATER AND WASTEWATER CIRCUIT RIDER PROGRAM.

    Section 306(a)(22) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1926(a)(22)) is amended--
            (1) in subparagraph (B), by striking ``2002 (115 Stat. 
        719)'' and inserting ``2008''; and
            (2) in subparagraph (C), by striking ``$15,000,000 for 
        fiscal year 2003'' and inserting ``$20,000,000 for fiscal year 
        2008''.

SEC. 6005. MULTIJURISDICTIONAL REGIONAL PLANNING ORGANIZATIONS.

    Section 306(a)(23)(E) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1926(a)(23)(E)) is amended by striking 
``2007'' and inserting ``2012''.

SEC. 6006. RURAL HOSPITAL LOANS AND LOAN GUARANTEES.

    Section 306(a)(24) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1926(a)(24)) is amended by adding at the end the 
following:
                    ``(C) Rural hospitals.--
                            ``(i) In general.--Of the funds of the 
                        Commodity Credit Corporation, the Secretary 
                        shall use for the costs of loans and loan 
                        guarantees to pay the Federal share of the cost 
                        of rehabilitating or improving hospitals that 
                        have not more than 100 acute beds in rural 
                        areas, as determined by the Secretary, 
                        $50,000,000 for fiscal year 2008, to remain 
                        available until expended.
                            ``(ii) Priority.--In making loans and loan 
                        guarantees under this subparagraph, the 
                        Secretary shall give priority to hospitals 
                        for--
                                    ``(I) the provision of facilities 
                                to improve and install patient care, 
                                health quality outcomes, and health 
                                information technology, including 
                                computer hardware and software, 
                                equipment for electronic medical 
                                records, handheld computer technology, 
                                and equipment that improves 
                                interoperability; or
                                    ``(II) the acquisition of equipment 
                                and software purchased collectively in 
                                a cost effective manner to address 
                                technology needs.
                            ``(iii) Relationship to other funding and 
                        authorities.--The funds and authorities made 
                        available under this subparagraph shall be in 
                        addition to other funds and authorities 
                        relating to rehabilitation and improvement of 
                        hospitals described in clause (i).''.

SEC. 6007. TRIBAL COLLEGE AND UNIVERSITY ESSENTIAL COMMUNITY 
              FACILITIES.

    Section 306(a)(25) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1926(a)(25)) is amended--
            (1) in subparagraph (B)(ii), by striking ``75 percent'' and 
        inserting ``95 percent''; and
            (2) in subparagraph (C), by striking ``2007'' and inserting 
        ``2012''.

SEC. 6008. COMMUNITY FACILITY LOANS AND GRANTS FOR FREELY ASSOCIATED 
              STATES AND OUTLYING AREAS.

    Section 306(a) of the Consolidated Farm and Rural Development Act 
(7 U.S.C. 1926(a)) is amended by adding at the end the following:
            ``(26) Community facility loans and grants for freely 
        associated states and outlying areas.--
                    ``(A) In general.--Subject to subparagraph (B), of 
                the amount that is made available for each fiscal year 
                for each of the community facility loan and grant 
                programs established under paragraphs (1), (19), (20), 
                (21), and (25), the Secretary shall allocate 0.5 
                percent of the amount for making loans or grants (as 
                applicable) under the program to eligible entities that 
                are located in freely associated States or outlying 
                areas (as those terms are defined in section 1121(c) of 
                the Elementary and Secondary Education Act of 1965 (20 
                U.S.C. 6331(c)) that are subject to the jurisdiction of 
                the United States and are otherwise covered by this 
                Act.
                    ``(B) Reallocation.--If the Secretary determines 
                that a sufficient number of applications for loans or 
                grants for a program described in subparagraph (A) have 
                not been received from eligible entities for a fiscal 
                year during the 180-day period beginning on October 1 
                of the fiscal year, the Secretary shall reallocate any 
                unused funds to make loans or grants (as applicable) 
                under the program to eligible entities that are located 
                in States.''.

SEC. 6009. PRIORITY FOR COMMUNITY FACILITY LOAN AND GRANT PROJECTS WITH 
              HIGH NON-FEDERAL SHARE.

    Section 306(a) of the Consolidated Farm and Rural Development Act 
(7 U.S.C. 1926(a)) (as amended by section 6008) is amended by adding at 
the end the following:
            ``(27) Priority for community facility loan and grant 
        projects with high non-federal share.--In carrying out the 
        community facility loan and grant programs established under 
        paragraphs (1), (19), (20), (21), and (25), the Secretary shall 
        give priority to projects that will be carried out with a non-
        Federal share of funds that is substantially greater than the 
        minimum requirement, as determined by the Secretary by 
        regulation.''.

SEC. 6010. SEARCH GRANTS.

    Section 306(a) of the Consolidated Farm and Rural Development Act 
(7 U.S.C. 1926(a)) (as amended by section 6009) is amended by adding at 
the end the following:
            ``(28) Applications filed by eligible communities.--
                    ``(A) Eligible community.--In this paragraph, the 
                term `eligible community' means a community that, as 
                determined by the Secretary--
                            ``(i) has a population of 2,500 or fewer 
                        inhabitants; and
                            ``(ii) is financially distressed.
                    ``(B) Applications.--In the case of water and waste 
                disposal and wastewater facilities grant programs 
                authorized under this title, the Secretary may accept 
                applications from eligible communities for grants for 
                feasibility study, design, and technical assistance.
                    ``(C) Terms.--
                            ``(i) In general.--Except as provided in 
                        clause (ii), the terms of the grant programs 
                        described in subparagraph (B) shall apply to 
                        the applications described in that 
                        subparagraph.
                            ``(ii) Exceptions.--Grants made pursuant to 
                        applications described in subparagraph (B)--
                                    ``(I) shall fund up to 100 percent 
                                of eligible project costs; and
                                    ``(II) shall be subject to the 
                                least documentation requirements 
                                practicable.
                            ``(iii) Processing.--The Secretary shall 
                        process applications received under 
                        subparagraph (B) in the same manner as other 
                        similar grant applications.
                    ``(D) Funding.--In addition to any other funds made 
                available for technical assistance, the Secretary may 
                use to carry out this paragraph not more than 4 percent 
                of the total amount of funds made available for a 
                fiscal year for water, waste disposal, and essential 
                community facilities.''.

SEC. 6011. EMERGENCY AND IMMINENT COMMUNITY WATER ASSISTANCE GRANT 
              PROGRAM.

    Section 306A(i)(2) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1926a(i)(2)) is amended by striking ``2007'' and 
inserting ``2012''.

SEC. 6012. WATER SYSTEMS FOR RURAL AND NATIVE VILLAGES IN ALASKA.

    Section 306D of the Consolidated Farm and Rural Development Act (7 
U.S.C. 1926d) is amended--
            (1) in subsection (a)--
                    (A) by striking ``make grants to the State'' and 
                inserting ``make grants to--
            ``(1) the State'';
                    (B) by striking the period at the end and inserting 
                ``; and''; and
                    (C) by adding at the end the following:
            ``(2) the Denali Commission to improve solid waste disposal 
        sites that are contaminating, or threaten to contaminate, rural 
        drinking water supplies in the State of Alaska.'';
            (2) in subsection (b), by striking ``the State of Alaska'' 
        and inserting ``a grantee'';
            (3) in subsection (c)--
                    (A) in the subsection heading by striking ``With 
                the State of Alaska''; and
                    (B) by striking ``the State of Alaska'' and 
                inserting ``the appropriate grantee under subsection 
                (a)''; and
            (4) in subsection (d)(1), by striking ``2007'' and 
        inserting ``2012''.

SEC. 6013. GRANTS TO DEVELOP WELLS IN RURAL AREAS.

    (a) 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.--
Section 306E(d) of the Consolidated Farm and Rural Development Act (7 
U.S.C. 1926e(d)) is amended by striking ``2007'' and inserting 
``2012''.
    (b) Grants To Develop Area Wells in Isolated Areas.--Subtitle A of 
the Consolidated Farm and Rural Development Act is amended by inserting 
after section 306E (7 U.S.C. 1926e) the following:

``SEC. 306F. GRANTS TO DEVELOP AREA WELLS IN ISOLATED AREAS.

    ``(a) Definition of Isolated Area.--In this section, the term 
`isolated area' means an area--
            ``(1) in which the development of a traditional water 
        system is not financially practical due to--
                    ``(A) the distances or geography of the area; and
                    ``(B) the limited number of households present to 
                be served; and
            ``(2) that is not part of a city of more than 1,000 
        inhabitants.
    ``(b) Grants.--The Secretary may make grants to nonprofit 
organizations to develop and construct household, shared, and community 
water wells in isolated rural areas.
    ``(c) Priority in Awarding Grants.--In awarding grants under this 
section, the Secretary shall give priority to applicants that have 
demonstrated experience in developing safe and similar projects 
including household, shared, and community wells in rural areas.
    ``(d) Requirements.--
            ``(1) In general.--As a condition on receipt of a grant 
        under this section, the water from wells funded under this 
        section shall be tested annually for water quality, as 
        determined by the Secretary.
            ``(2) Results.--The results of tests under paragraph (1) 
        shall be made available to--
                    ``(A) the users of the wells; and
                    ``(B) the appropriate State agency.
    ``(e) Limitation.--The amount of a grant under this section shall 
not exceed the lesser of--
            ``(1) $50,000; or
            ``(2) the amount that is 75 percent of the cost of a single 
        well and associated system.
    ``(f) Prohibition.--The Secretary may not award grants under this 
section in any area in which a majority of the users of a proposed well 
have a household income that is greater than the nonmetropolitan median 
household income of the State or territory, as determined by the 
Secretary.
    ``(g) Administrative Expenses.--Not more than 10 percent of the 
amount of a grant made under this section may be used to pay 
administrative expenses associated with providing project assistance, 
as determined by the Secretary.
    ``(h) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $10,000,000 for each of fiscal 
years 2008 through 2012.''.

SEC. 6014. COOPERATIVE EQUITY SECURITY GUARANTEE.

    Section 310B of the Consolidated Farm and Rural Development Act (7 
U.S.C. 1932) is amended--
            (1) in the first sentence of subsection (a), by inserting 
        ``and private investment funds that invest primarily in 
        cooperative organizations'' after ``or nonprofit''; and
            (2) in subsection (g)--
                    (A) in paragraph (1), by inserting``, including 
                guarantees described in paragraph (3)(A)(ii)'' before 
                the period at the end;
                    (B) in paragraph (3)(A)--
                            (i) by striking ``(A) In general.--The 
                        Secretary'' and inserting the following:
                    ``(A) Eligibility.--
                            ``(i) In general.--The Secretary''; and
                            (ii) by adding at the end the following:
                            ``(ii) Equity.--The Secretary may guarantee 
                        a loan made for the purchase of preferred stock 
                        or similar equity issued by a cooperative 
                        organization or a fund that invests primarily 
                        in cooperative organizations, if the guarantee 
                        significantly benefits 1 or more entities 
                        eligible for assistance under subsection 
                        (a)(1), as determined by the Secretary.''; and
                    (C) in paragraph (8)(A)(ii), by striking ``a 
                project--'' and all that follows through the end of 
                subclause (II) and inserting ``a project that--
                                    ``(I)(aa) is in a rural area; and
                                    ``(bb) provides for the value-added 
                                processing of agricultural commodities; 
                                or
                                    ``(II) significantly benefits 1 or 
                                more entities eligible for assistance 
                                under subsection (a)(1), as determined 
                                by the Secretary.''.

SEC. 6015. RURAL COOPERATIVE DEVELOPMENT GRANTS.

    (a) Eligibility.--Section 310B(e)(5) of the Consolidated Farm and 
Rural Development Act (7 U.S.C. 1932(e)(5)) is amended--
            (1) in subparagraph (A), by striking ``a nationally 
        coordinated, regionally or State-wide operated project'' and 
        inserting ``activities to promote and assist the development of 
        cooperatively- and mutually-owned businesses'';
            (2) in subparagraph (B), by inserting ``to promote and 
        assist the development of cooperatively- and mutually-owned 
        businesses'' before the semicolon;
            (3) by striking subparagraph (D);
            (4) by redesignating subparagraph (E) as subparagraph (D);
            (5) in subparagraph (D) (as so redesignated), by striking 
        ``and'' at the end;
            (6) by inserting after subparagraph (D) (as so 
        redesignated) the following:
                    ``(E) demonstrate a commitment to--
                            ``(i) networking with and sharing the 
                        results of the efforts of the center with other 
                        cooperative development centers and other 
                        organizations involved in rural economic 
                        development efforts; and
                            ``(ii) developing multiorganization and 
                        multistate approaches to addressing the 
                        cooperative and economic development needs of 
                        rural areas; and'';
            (7) in subparagraph (F), by striking ``providing greater 
        than'' and inserting ``providing''.
    (b) Authority To Award Multiyear Grants.--Section 310B(e) of the 
Consolidated Farm and Rural Development Act (7 U.S.C. 1932(e)) is 
amended by striking paragraph (6) and inserting the following:
            ``(6) Grant period.--
                    ``(A) In general.--A grant awarded to a center that 
                has received no prior funding under this subsection 
                shall be made for a period of 1 year.
                    ``(B) Multiyear grants.--If the Secretary 
                determines it to be in the best interest of the 
                program, the Secretary shall award grants for a period 
                of more than 1 year, but not more than 3 years, to a 
                center that has successfully met the goals described in 
                paragraph (3) in providing services under this 
                subsection, as determined by the Secretary.''.
    (c) Authority To Extend Grant Period.--Section 310B(e) of the 
Consolidated Farm and Rural Development Act (7 U.S.C. 1932(e)) is 
amended--
            (1) by redesignating paragraphs (7), (8), and (9) as 
        paragraphs (8), (9), and (12), respectively; and
            (2) inserting after paragraph (6) the following:
            ``(7) Authority to extend grant period.--The Secretary may 
        extend for 1 additional 12-month period the period in which a 
        grantee may use a grant made under this subsection.''.
    (d) Cooperative Research Program.--Section 310B(e) of the 
Consolidated Farm and Rural Development Act (7 U.S.C. 1932(e)) is 
amended by inserting after paragraph (9) (as redesignated by subsection 
(c)(1)) the following:
            ``(10) Cooperative research program.--The Secretary shall 
        enter into a cooperative research agreement with 1 or more 
        qualified academic institutions in each fiscal year to conduct 
        research on the national economic effects of all types of 
        cooperatives.''.
    (e) Addressing Needs of Minority Communities.--Section 310B(e) of 
the Consolidated Farm and Rural Development Act (7 U.S.C. 1932(e)) is 
amended by inserting after paragraph (10) (as added by subsection (d)) 
the following:
            ``(11) Addressing needs of minority communities.--
                    ``(A) Definition of socially disadvantaged.--In 
                this paragraph, the term `socially disadvantaged' has 
                the meaning given the term in section 355(e).
                    ``(B) Reservation of funds.--
                            ``(i) In general.--If the total amount 
                        appropriated under paragraph (12) for a fiscal 
                        year exceeds $7,500,000, the Secretary shall 
                        reserve an amount equal to 20 percent of the 
                        total amount appropriated for grants for 
                        cooperative development centers, individual 
                        cooperatives, or groups of cooperatives that 
                        serve socially disadvantaged communities, a 
                        majority of the boards of directors or 
                        governing boards of which are comprised of 
                        socially disadvantaged individuals.
                            ``(ii) Insufficient applications.--To the 
                        extent that the Secretary determines that funds 
                        reserved under clause (i) would not be used for 
                        grants described in that clause due to 
                        insufficient applications for the grants, the 
                        Secretary shall use the funds as otherwise 
                        authorized by this subsection.''.
    (f) Authorization of Appropriations.--Paragraph (12) of section 
310B(e) of the Consolidated Farm and Rural Development Act (7 U.S.C. 
1932(e)) (as redesignated by subsection (c)(1)) is amended by striking 
``2007'' and inserting ``2012''.

SEC. 6016. GRANTS TO BROADCASTING SYSTEMS.

    Section 310B(f)(3) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1932(f)(3)) is amended by striking ``2007'' and inserting 
``2012''.

SEC. 6017. LOCALLY-PRODUCED AGRICULTURAL FOOD PRODUCTS.

    Section 310B(g) of the Consolidated Farm and Rural Development Act 
(7 U.S.C. 1932(g)) is amended by adding at the end the following:
            ``(9) Locally-produced agricultural food products.--
                    ``(A) Definitions.--In this paragraph:
                            ``(i) Locally-produced agricultural food 
                        product.--The term `locally-produced 
                        agricultural food product' means any 
                        agricultural product raised, produced, and 
                        distributed in--
                                    ``(I) the locality or region in 
                                which the final agricultural product is 
                                marketed, so that the total distance 
                                that the agricultural product is 
                                transported is less than 300 miles from 
                                the origin of the agricultural product; 
                                or
                                    ``(II) the State in which the 
                                agricultural product is produced.
                            ``(ii) Underserved community.--The term 
                        `underserved community' means a community 
                        (including an urban or rural community and an 
                        Indian tribal community) that has, as 
                        determined by the Secretary--
                                    ``(I) limited access to affordable, 
                                healthy foods, including fresh fruits 
                                and vegetables, in grocery retail 
                                stores or farmer-to-consumer direct 
                                markets or a high incidence of a diet-
                                related disease as compared to the 
                                national average, including obesity; 
                                and
                                    ``(II) a high rate of hunger or 
                                food insecurity or a high poverty rate.
                    ``(B) Loan and loan guarantee program.--
                            ``(i) In general.--The Secretary, acting 
                        through the Administrator of the Rural 
                        Business-Cooperative Service in coordination 
                        with the Administration of the Agricultural 
                        Marketing Service, shall make or guarantee 
                        loans to individuals, cooperatives, businesses, 
                        and other entities to establish and facilitate 
                        enterprises that process, distribute, 
                        aggregate, store, and market locally-produced 
                        agricultural food products.
                            ``(ii) Requirement.--The recipient of a 
                        loan or loan guarantee under clause (i) shall 
                        agree to make a reasonable effort, as 
                        determined by the Secretary, to work with 
                        retail and institutional facilities to which 
                        the recipient sells locally-produced 
                        agricultural food products to inform the 
                        consumers of the retail or institutional 
                        facilities that the consumers are purchasing or 
                        consuming locally-produced agricultural food 
                        products.
                            ``(iii) Priority.--In making or 
                        guaranteeing a loan under clause (i), the 
                        Secretary shall give priority to--
                                    ``(I) projects that support 
                                community development and farm and 
                                ranch income by marketing, 
                                distributing, storing, aggregating, or 
                                processing a locally-produced 
                                agricultural food product; and
                                    ``(II) projects that have 
                                components benefitting underserved 
                                communities.
                            ``(iv) Retail or institutional 
                        facilities.--The Secretary may allow recipients 
                        of loans or loan guarantees under clause (i) to 
                        provide up to $250,000 in loan or loan 
                        guarantee funds per retail or institutional 
                        facility for an underserved community in a 
                        rural or nonrural area to help retail 
                        facilities--
                                    ``(I) to modify and update the 
                                facilities to accommodate locally-
                                produced agricultural food products; 
                                and
                                    ``(II) to provide outreach to 
                                consumers about the sale of locally-
                                produced agricultural food products.
                            ``(v) Reports.--Not later than 1 year after 
                        the date of enactment of this paragraph and 
                        annually thereafter, the Secretary shall submit 
                        to the Committee on Agriculture of the House of 
                        Representatives and the Committee on 
                        Agriculture, Nutrition, and Forestry of the 
                        Senate a report that describes projects carried 
                        out using loans or loan guarantees made under 
                        clause (i), including--
                                    ``(I) the characteristics of the 
                                communities served by the projects; and
                                    ``(II) benefits of the projects.
                            ``(vi) Reservation of funds.--
                                    ``(I) In general.--For each of 
                                fiscal years 2008 through 2012, the 
                                Secretary shall reserve not less than 5 
                                percent of the funds made available to 
                                carry out this subsection to carry out 
                                this subparagraph.
                                    ``(II) Availability of funds.--
                                Funds reserved under subclause (I) for 
                                a fiscal year shall be reserved until 
                                April 1 of the fiscal year.''.

SEC. 6018. CENTER FOR HEALTHY FOOD ACCESS AND ENTERPRISE DEVELOPMENT.

    Paragraph (9) of section 310B(g) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1932(g)) (as added by section 6017) is 
amended by adding at the end the following:
                    ``(C) Center for healthy food access and enterprise 
                development.--
                            ``(i) In general.--The Secretary, acting 
                        through the Agricultural Marketing Service, 
                        shall establish and support a Center for 
                        Healthy Food Access and Enterprise Development.
                            ``(ii) Duties.--The Center established 
                        under clause (i) shall contract with 1 or more 
                        nonprofit entities to provide technical 
                        assistance and disseminate information to food 
                        wholesalers and retailers concerning best 
                        practices for the aggregating, storage, 
                        processing, and marketing of locally-produced 
                        agricultural food products.
                            ``(iii) Deadline.--The Secretary shall 
                        establish the Center not later than 180 days 
                        after the date on which funds are made 
                        available under clause (iv).
                            ``(iv) Authorization of appropriations.--
                        There is authorized to be appropriated to carry 
                        out this subparagraph $1,000,000 for each of 
                        fiscal years 2008 through 2012.''.

SEC. 6019. APPROPRIATE TECHNOLOGY TRANSFER FOR RURAL AREAS.

    Section 310B of the Consolidated Farm and Rural Development Act (7 
U.S.C. 1932) is amended by adding at the end the following:
    ``(i) Appropriate Technology Transfer for Rural Areas Program.--
            ``(1) Definition of national nonprofit agricultural 
        assistance institution.--In this subsection, the term `national 
        nonprofit agricultural assistance institution' means an 
        organization that--
                    ``(A) is described in section 501(c)(3) of the 
                Internal Revenue Code of 1986 and exempt from taxation 
                under 501(a) of that Code;
                    ``(B) has staff and offices in multiple regions of 
                the United States;
                    ``(C) has experience and expertise in operating 
                national sustainable agriculture technical assistance 
                programs; and
                    ``(D) provides the technical assistance through 
                toll-free hotlines, 1 or more websites, publications, 
                and workshops.
            ``(2) Establishment.--The Secretary shall establish a 
        national appropriate technology transfer for rural areas 
        program to assist agricultural producers that are seeking 
        information to help the agricultural producers--
                    ``(A) reduce input costs;
                    ``(B) conserve energy resources;
                    ``(C) diversify operations through new energy crops 
                and energy generation facilities; and
                    ``(D) expand markets for the agricultural 
                commodities produced by the producers through use of 
                practices involving sustainable agriculture.
            ``(3) Implementation.--
                    ``(A) In general.--The Secretary shall carry out 
                the program under this subsection by making a grant to, 
                or offering to enter into a cooperative agreement with, 
                a national nonprofit agricultural assistance 
                organization.
                    ``(B) Grant amount.--A grant made, or cooperative 
                agreement entered into, under subparagraph (A) shall 
                provide 100 percent of the cost of providing 
                information described in paragraph (2).
            ``(4) Authorization of appropriations.--There are 
        authorized to be appropriated to carry out this subsection 
        $5,000,000 for each of fiscal years 2008 through 2012.''.

SEC. 6020. RURAL ECONOMIC AREA PARTNERSHIP ZONES.

    Section 310B of the Consolidated Farm and Rural Development Act (7 
U.S.C. 1932) (as amended by section 6019) is amended by adding at the 
end the following:
    ``(j) Rural Economic Area Partnership Zones.--For the period 
beginning on the date of enactment of this subsection and ending on 
September 30, 2012, the Secretary shall carry out rural economic area 
partnership zones in the States of New York, North Dakota, and Vermont, 
in accordance with the terms and conditions contained in the 
memorandums of agreement entered into by the Secretary for the rural 
economic area partnership zones, except as otherwise provided in this 
subsection.''.

SEC. 6021. DEFINITIONS.

    (a) Rural Area.--Section 343(a) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1991(a)) is amended by striking paragraph 
(13) and inserting the following:
            ``(13) Rural and rural area.--
                    ``(A) In general.--Subject to subparagraphs (B) and 
                (C), the terms `rural' and `rural area' mean any area 
                other than--
                            ``(i) a city or town that has a population 
                        of greater than 50,000 inhabitants, except 
                        that, for all activities under programs in the 
                        rural development mission area within the areas 
                        of the County of Honolulu, Hawaii, and the 
                        Commonwealth of Puerto Rico, the Secretary may 
                        designate any portion of the areas as a rural 
                        area or eligible rural community that the 
                        Secretary determines is not urban in character, 
                        other than any area included in the Honolulu 
                        Census Designated Place or the San Juan Census 
                        Designated Place;
                            ``(ii) any urbanized area (as defined by 
                        the Bureau of the Census) contiguous and 
                        adjacent to a city or town described in clause 
                        (i); and
                            ``(iii) any collection of census blocks 
                        contiguous to each other (as defined by the 
                        Bureau of the Census) that--
                                    ``(I) is adjacent to a city or town 
                                described in clause (i) or an urbanized 
                                area described in clause (ii); and
                                    ``(II) has a housing density that 
                                the Secretary estimates is greater than 
                                200 housing units per square mile, 
                                except that an applicant may appeal the 
                                estimate based on actual data for the 
                                area.
                    ``(B) Water and waste disposal grants and direct 
                and guaranteed loans.--For the purpose of water and 
                waste disposal grants and direct and guaranteed loans 
                provided under paragraphs (1), (2), and (24) of section 
                306(a), the terms `rural' and `rural area' mean any 
                area other than--
                            ``(i) an area described in clause (i), 
                        (ii), or (iii) of subparagraph (A); and
                            ``(ii) a city, town, or unincorporated area 
                        that has a population of greater than 10,000 
                        inhabitants.
                    ``(C) Community facility loans and grants.--For the 
                purpose of community facility direct and guaranteed 
                loans and grants under paragraphs (1), (19), (20), 
                (21), and (24) of section 306(a), the terms `rural' and 
                `rural area' mean any area other than--
                            ``(i) an area described in clause (i), 
                        (ii), or (iii) of subparagraph (A); and
                            ``(ii) a city, town, or unincorporated area 
                        that has a population of greater than 20,000 
                        inhabitants.''.
    (b) Additional Terms.--Section 343(a) of the Consolidated Farm and 
Rural Development Act (7 U.S.C. 1991(a)) is amended by adding at the 
end the following:
            ``(14) Sustainable agriculture.--The term `sustainable 
        agriculture' means an integrated system of plant and animal 
        production practices having a site-specific application that 
        will, over the long-term--
                    ``(A) satisfy human food and fiber needs;
                    ``(B) enhance environmental quality and the natural 
                resource base upon which the agriculture economy 
                depends;
                    ``(C) make the most efficient use of nonrenewable 
                resources and on-farm resources and integrate, where 
                appropriate, natural biological cycles and controls;
                    ``(D) sustain the economic viability of farm 
                operations; and
                    ``(E) enhance the quality of life for farmers and 
                society as a whole.
            ``(15) Technical assistance.--The term `technical 
        assistance' means managerial, financial, operational, and 
        scientific analysis and consultation to assist an individual or 
        entity (including a borrower or potential borrower under this 
        title)--
                    ``(A) to identify and evaluate practices, 
                approaches, problems, opportunities, or solutions; and
                    ``(B) to assist in the planning, implementation, 
                management, operation, marketing, or maintenance of 
                projects authorized under this title.''.

SEC. 6022. RURAL MICROENTERPRISE ASSISTANCE PROGRAM.

    Subtitle D of the Consolidated Farm and Rural Development Act (as 
amended by section 5207) is amended by inserting after section 365 the 
following:

``SEC. 366. RURAL MICROENTERPRISE ASSISTANCE PROGRAM.

    ``(a) Definitions.--In this section:
            ``(1) Indian tribe.--The term `Indian tribe' has the 
        meaning given the term in section 4 of the Indian Self-
        Determination and Education Assistance Act (25 U.S.C. 450b).
            ``(2) Low- or moderate-income individual.--The term `low- 
        or moderate-income individual' means an individual with an 
        income (adjusted for family size) of not more than 80 percent 
        of the national median income.
            ``(3) Microcredit.--The term `microcredit' means a business 
        loan or loan guarantee of not more than $50,000 that is 
        provided to a rural microenterprise.
            ``(4) Microenterprise development organization.--The term 
        `microenterprise development organization' means an 
        organization that--
                    ``(A) is--
                            ``(i) a nonprofit entity;
                            ``(ii) an Indian tribe, the tribal 
                        government of which certifies to the Secretary 
                        that no microenterprise development 
                        organization or microenterprise development 
                        program exists under the jurisdiction of the 
                        Indian tribe; or
                            ``(iii) for the purpose of subsection (b), 
                        a public institution of higher education;
                    ``(B) provides training and technical assistance to 
                rural microenterprises;
                    ``(C) facilitates access to capital or another 
                service described in subsection (b) for rural 
                microenterprises; and
                    ``(D) has a demonstrated record of delivering 
                services to economically disadvantaged 
                microenterprises, or an effective plan to develop a 
                program to deliver microenterprise services to rural 
                microenterprises effectively, as determined by the 
                Secretary.
            ``(5) Rural capacity building service.--The term `rural 
        capacity building service' means a service provided to an 
        organization that--
                    ``(A) is, or is in the process of becoming, a 
                microenterprise development organization; and
                    ``(B) serves rural areas for the purpose of 
                enhancing the ability of the organization to provide 
                training, technical assistance, and other services 
                relating to rural development.
            ``(6) Rural microenterprise.--
                    ``(A) In general.--The term `rural microenterprise' 
                means an individual described in subparagraph (B) who 
                is unable to obtain sufficient training, technical 
                assistance, or microcredit other than under this 
                section, as determined by the Secretary.
                    ``(B) Description.--An individual described in this 
                subparagraph is--
                            ``(i) a self-employed individual located in 
                        a rural area; or
                            ``(ii) an owner and operator, or 
                        prospective owner and operator, of a business 
                        entity located in a rural area with not more 
                        than 10 full-time-equivalent employees.
            ``(7) Secretary.--The term `Secretary' means the Secretary 
        of Agriculture, acting through the Rural Business-Cooperative 
        Service.
    ``(b) Rural Microenterprise Program.--
            ``(1) Establishment.--The Secretary shall establish a rural 
        microenterprise program.
            ``(2) Purpose.--The purpose of the rural microenterprise 
        program shall be to provide low- or moderate-income individuals 
        with--
                    ``(A) the skills necessary to establish new rural 
                microenterprises; and
                    ``(B) continuing technical and financial assistance 
                as individuals and business starting or operating rural 
                microenterprises.
            ``(3) Grants.--
                    ``(A) In general.--The Secretary may make a grant 
                under the rural microenterprise program to 
                microenterprise development organizations--
                            ``(i) to provide training, operational 
                        support, business planning assistance, market 
                        development assistance, and other related 
                        services to rural microenterprises, with an 
                        emphasis on rural microenterprises that--
                                    ``(I) are composed of low- or 
                                moderate-income individuals; or
                                    ``(II) are in areas that have lost 
                                population;
                            ``(ii) to assist in researching and 
                        developing the best practices in delivering 
                        training, technical assistance, and microcredit 
                        to rural microenterprises; and
                            ``(iii) to carry out such other projects 
                        and activities as the Secretary determines to 
                        be consistent with the purposes of this 
                        section.
                    ``(B) Diversity.--In making grants under this 
                paragraph, the Secretary shall ensure, to the maximum 
                extent practicable, that grant recipients include 
                microenterprise development organizations--
                            ``(i) of varying sizes; and
                            ``(ii) that serve racially- and ethnically-
                        diverse populations.
                    ``(C) Cost sharing.--
                            ``(i) Federal share.--The Federal share of 
                        the cost of a project carried out using funds 
                        from a grant made under this paragraph shall be 
                        75 percent.
                            ``(ii) Form of non-federal share.--The non-
                        Federal share of the cost of a project 
                        described in clause (i) may be provided--
                                    ``(I) in cash (including through 
                                fees, grants (including community 
                                development block grants), and gifts); 
                                or
                                    ``(II) as in-kind contributions.
            ``(4) Rural microloan program.--
                    ``(A) Establishment.--In carrying out the rural 
                microenterprise program, the Secretary may carry out a 
                rural microloan program.
                    ``(B) Purpose.--The purpose of the rural microloan 
                program shall be to provide technical and financial 
                assistance to rural microenterprises that--
                            ``(i) are composed of low- or moderate-
                        income individuals; or
                            ``(ii) are in areas that have lost 
                        population.
                    ``(C) Authority of secretary.--In carrying out the 
                rural microloan program, the Secretary may--
                            ``(i) make direct loans to microentrerprise 
                        development organizations for the purpose of 
                        making fixed interest rate microloans to 
                        startup, newly established, and growing rural 
                        microenterprises; and
                            ``(ii) in conjunction with those loans, 
                        provide technical assistance grants in 
                        accordance with subparagraph (E) to those 
                        microentrerprise development organizations.
                    ``(D) Loan duration; interest rates; conditions.--
                            ``(i) Loan duration.--A direct loan made by 
                        the Secretary under this paragraph shall be for 
                        a term not to exceed 20 years.
                            ``(ii) Applicable interest rate.--A direct 
                        loan made by the Secretary under this paragraph 
                        shall bear an annual interest rate of 1 
                        percent.
                            ``(iii) Loan loss reserve fund.--The 
                        Secretary shall require each microentrerprise 
                        development organization that receives a direct 
                        loan under this paragraph to--
                                    ``(I) establish a loan loss reserve 
                                fund; and
                                    ``(II) maintain the reserve fund in 
                                an amount equal to at least 5 percent 
                                of the outstanding balance of such 
                                loans owed by the microentrerprise 
                                development organization, until all 
                                obligations owed to the Secretary under 
                                this paragraph are repaid.
                            ``(iv) Deferral of interest and 
                        principal.--The Secretary shall permit the 
                        deferral of payments on principal and interest 
                        due on a loan made under this paragraph during 
                        the 2-year period beginning on the date on 
                        which the loan is made.
                    ``(E) Technical assistance grant amounts.--
                            ``(i) In general.--Except as otherwise 
                        provided in this section, each microentrerprise 
                        development organization that receives a direct 
                        loan under this paragraph shall be eligible to 
                        receive a technical assistance grant to provide 
                        marketing, management, and technical assistance 
                        to rural microenterprises that are borrowers or 
                        potential borrowers under this subsection.
                            ``(ii) Maximum amount of technical 
                        assistance grant for microenterprise 
                        development organizations.--Each 
                        microenterprise development organization that 
                        receives a direct loan under this paragraph 
                        shall receive an annual technical assistance 
                        grant in an amount equal to not more than 25 
                        percent of the total outstanding balance of 
                        microloans made by the microenterprise 
                        development organization under this paragraph, 
                        as of the date of provision of the technical 
                        assistance grant.
                            ``(iii) Matching requirement.--
                                    ``(I) In general.--As a condition 
                                of any grant made to a microentrerprise 
                                development organization under this 
                                subparagraph, the Secretary shall 
                                require the microentrerprise 
                                development organization to match not 
                                less than 15 percent of the total 
                                amount of the grant.
                                    ``(II) Form of non-federal share.--
                                The non-Federal share of the cost of a 
                                project described in subclause (I) may 
                                be provided--
                                            ``(aa) in cash; or
                                            ``(bb) as indirect costs or 
                                        in-kind contributions.
    ``(c) Administrative Expenses.--Not more than 10 percent of a grant 
received by a microentrerprise development organization for a fiscal 
year under this section may be used to pay administrative expenses.
    ``(d) Funding.--
            ``(1) Mandatory funding.--
                    ``(A) In general.--Of the funds of the Commodity 
                Credit Corporation, the Secretary shall use to carry 
                out this section $40,000,000 for fiscal year 2008, to 
                remain available until expended.
                    ``(B) Allocation of funds.--Of the amount made 
                available by subparagraph (A) for fiscal year 2008--
                            ``(i) not less than $25,000,000 shall be 
                        available for use in carrying out subsection 
                        (b)(3); and
                            ``(ii) not less than $15,000,000 shall be 
                        available for use in carrying out subsection 
                        (b)(4), of which not more than $7,000,000 shall 
                        be used for the cost of direct loans.
            ``(2) Authorization of appropriations.--In addition to 
        amounts made available under paragraph (1), there are 
        authorized to be appropriated such sums as are necessary to 
        carry out this section for each of fiscal years 2009 through 
        2012.''.

SEC. 6023. ARTISANAL CHEESE CENTERS.

    Subtitle D of the Consolidated Farm and Rural Development Act is 
amended by inserting after section 366 (as added by section 6022) the 
following:

``SEC. 367. ARTISANAL CHEESE CENTERS.

    ``(a) In General.--The Secretary shall establish artisanal cheese 
centers to provide educational and technical assistance relating to the 
manufacture and marketing of artisanal cheese by small- and medium-
sized producers and businesses.
    ``(b) Authorization of Appropriations.--There is authorized to be 
appropriated such sums as are necessary to carry out this section for 
each of fiscal years 2008 through 2012.''.

SEC. 6024. NATIONAL RURAL DEVELOPMENT PARTNERSHIP.

    Section 378 of the Consolidated Farm and Rural Development Act (7 
U.S.C. 2008m) is amended--
            (1) in subsection (g)(1), by striking ``2007'' and 
        inserting ``2012''; and
            (2) in subsection (h), by striking ``the date that is 5 
        years after the date of enactment of this section'' and 
        inserting ``September 30, 2012''.

SEC. 6025. HISTORIC BARN PRESERVATION.

    Section 379A(c) of the Consolidated Farm and Rural Development Act 
(7 U.S.C. 2008o(c)) is amended--
            (1) by striking paragraph (2) and inserting the following:
            ``(2) Eligible projects.--
                    ``(A) In general.--A grant under this subsection 
                may be made to an eligible applicant for a project--
                            ``(i) to rehabilitate or repair a historic 
                        barn;
                            ``(ii) to preserve a historic barn; and
                            ``(iii) to identify, document, survey, and 
                        conduct research on a historic barn or historic 
                        farm structure to develop and evaluate 
                        appropriate techniques or best practices for 
                        protecting historic barns.
                    ``(B) Priority.--The Secretary shall give the 
                highest funding priority to grants for projects 
                described in subparagraph (A)(iii).''; and
            (2) in paragraph (4), by striking ``2007'' and inserting 
        ``2012''.

SEC. 6026. GRANTS FOR NOAA WEATHER RADIO TRANSMITTERS.

    Section 379B(d) of the Consolidated Farm and Rural Development Act 
(7 U.S.C. 2008p(d)) is amended by striking ``2007'' and inserting 
``2012''.

SEC. 6027. GRANTS TO TRAIN FARM WORKERS IN NEW TECHNOLOGIES AND TO 
              TRAIN FARM WORKERS IN SPECIALIZED SKILLS NECESSARY FOR 
              HIGHER VALUE CROPS.

    Section 379C(c) of the Consolidated Farm and Rural Development Act 
(7 U.S.C. 2008q(c)) is amended by striking ``2007'' and inserting 
``2012''.

SEC. 6028. GRANTS FOR EXPANSION OF EMPLOYMENT OPPORTUNITIES FOR 
              INDIVIDUALS WITH DISABILITIES IN RURAL AREAS.

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

``SEC. 379E. GRANTS FOR EXPANSION OF EMPLOYMENT OPPORTUNITIES FOR 
              INDIVIDUALS WITH DISABILITIES IN RURAL AREAS.

    ``(a) Definitions.--In this section:
            ``(1) Individual with a disability.--The term `individual 
        with a disability' means an individual with a disability (as 
        defined in section 3 of the Americans with Disabilities Act of 
        1990 (42 U.S.C. 12102)).
            ``(2) Individuals with disabilities.--The term `individuals 
        with disabilities' means more than 1 individual with a 
        disability.
    ``(b) Grants.--The Secretary shall make grants to nonprofit 
organizations, or to a consortium of nonprofit organizations, to expand 
and enhance employment opportunities for individuals with disabilities 
in rural areas.
    ``(c) Eligibility.--To be eligible to receive a grant under this 
section, a nonprofit organization or consortium of nonprofit 
organizations shall have--
            ``(1) a significant focus on serving the needs of 
        individuals with disabilities;
            ``(2) demonstrated knowledge and expertise in--
                    ``(A) employment of individuals with disabilities; 
                and
                    ``(B) advising private entities on accessibility 
                issues involving individuals with disabilities;
            ``(3) expertise in removing barriers to employment for 
        individuals with disabilities, including access to 
        transportation, assistive technology, and other accommodations;
            ``(4) existing relationships with national organizations 
        focused primarily on the needs of rural areas;
            ``(5) affiliates in a majority of the States; and
            ``(6) a close working relationship with the Department of 
        Agriculture.
    ``(d) Uses.--A grant received under this section may be used only 
to expand or enhance--
            ``(1) employment opportunities for individuals with 
        disabilities in rural areas by developing national technical 
        assistance and education resources to assist small businesses 
        in a rural area to recruit, hire, accommodate, and employ 
        individuals with disabilities; and
            ``(2) self-employment and entrepreneurship opportunities 
        for individuals with disabilities in a rural area.
    ``(e) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $2,000,000 for each of fiscal 
years 2008 through 2012.''.

SEC. 6029. DELTA REGIONAL AUTHORITY.

    (a) Health Care Services.--Section 382C of the Consolidated Farm 
and Rural Development Act (7 U.S.C. 2009aa-2) is amended by adding at 
the end the following:
    ``(c) Health Care Services.--
            ``(1) In general.--Subject to the availability of 
        appropriated funds, the Secretary may award a grant to the 
        Delta Health Alliance for the development of health care 
        services, health education programs, and health care job 
        training programs fields, and for the development and expansion 
        of public health-related facilities, in the Mississippi Delta 
        region to address longstanding and unmet health needs in the 
        Mississippi Delta region.
            ``(2) Use.--As a condition of the receipt of the grant, the 
        Delta Health Alliance shall use the grant to fund projects and 
        activities described in paragraph (1), based on input solicited 
        from local governments, public health care providers, and other 
        entities in the Mississippi Delta region.
            ``(3) Federal interest in property.--Notwithstanding any 
        other provision of law, with respect to the use of grant funds 
        provided under this subsection for a project involving the 
        construction or major alteration of property, the Federal 
        interest in the property shall terminate on the earlier of--
                    ``(A) the date that is 1 year after the date of the 
                completion of the project; or
                    ``(B) the date on which the Federal Government is 
                compensated for the proportionate interest of the 
                Federal Government in the property, if the use of the 
                property changes or the property is transferred or 
                sold.''.
    (b) Authorization of Appropriations.--Section 382M(a) of the 
Consolidated Farm and Rural Development Act (7 U.S.C. 2009aa-12(a)) is 
amended by striking ``2007'' and inserting ``2012''.
    (c) Termination of Authority.--Section 382N of the Consolidated 
Farm and Rural Development Act (7 U.S.C. 2009aa-13) is amended by 
striking ``2007'' and inserting ``2012''.
    (d) Delta Region Agricultural Economic Development.--Section 
379D(b) of the Consolidated Farm and Rural Development Act (7 U.S.C. 
2008r(b)) is amended by striking ``2007'' and inserting ``2012''.

SEC. 6030. NORTHERN GREAT PLAINS REGIONAL AUTHORITY.

    (a) Establishment.--Section 383B of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 2009bb-1) is amended--
            (1) in subsection (a), by adding at the end the following:
            ``(4) Failure to confirm.--
                    ``(A) Federal member.--Notwithstanding any other 
                provision of this section, if a Federal member 
                described in paragraph (2)(A) has not been confirmed by 
                the Senate by not later than 180 days after the date of 
                enactment of this paragraph, the Authority may organize 
                and operate without the Federal member.
                    ``(B) Indian chairperson.--Notwithstanding any 
                other provision of this section, if a chairperson of an 
                Indian Tribe described in paragraph (2)(C) has not been 
                confirmed by the Senate by not later than 180 days 
                after the date of enactment of this paragraph, the 
                leaders of the Indian tribes in the region may select 
                that member.'';
            (2) in subsection (d)--
                    (A) in paragraph (1), by striking ``to establish 
                priorities and'' and inserting ``for multistate 
                cooperation to advance the economic and social well-
                being of the region and to'';
                    (B) in paragraph (3), by striking ``local 
                development districts,'' and inserting ``regional and 
                local development districts or organizations, regional 
                boards established under subtitle I,'';
                    (C) in paragraph (4), by striking ``cooperation;'' 
                and inserting ``cooperation for--
                            ``(i) renewable energy development and 
                        transmission;
                            ``(ii) transportation planning and economic 
                        development;
                            ``(iii) information technology;
                            ``(iv) movement of freight and individuals 
                        within the region;
                            ``(v) federally-funded research at 
                        institutions of higher education; and
                            ``(vi) conservation land management;'';
                    (D) by striking paragraph (6) and inserting the 
                following:
            ``(6) enhance the capacity of, and provide support for, 
        multistate development and research organizations, local 
        development organizations and districts, and resource 
        conservation districts in the region;''; and
                    (E) in paragraph (7), by inserting ``renewable 
                energy,'' after ``commercial,''.
            (3) in subsection (f)(2), by striking ``the Federal 
        cochairperson'' and inserting ``a cochairperson'';
            (4) in subsection (g)(1), by striking subparagraphs (A) 
        through (C) and inserting the following:
                    ``(A) for each of fiscal years 2008 and 2009, 100 
                percent;
                    ``(B) for fiscal year 2010, 75 percent; and
                    ``(C) for fiscal year 2011 and each fiscal year 
                thereafter, 50 percent.''.
    (b) Interstate Cooperation for Economic Opportunity and 
Efficiency.--
            (1) In general.--Subtitle G of the Consolidated Farm and 
        Rural Development Act is amended--
                    (A) by redesignating sections 383C through 383N (7 
                U.S.C. 2009bb-2 through 2009bb-13) as sections 383D 
                through 383O, respectively; and
                    (B) by inserting after section 383B (7 U.S.C. 
                2009bb-1) the following:

``SEC. 383C. INTERSTATE COOPERATION FOR ECONOMIC OPPORTUNITY AND 
              EFFICIENCY.

    ``(a) In General.--The Authority shall provide assistance to States 
in developing regional plans to address multistate economic issues, 
including plans--
            ``(1) to develop a regional transmission system for 
        movement of renewable energy to markets outside the region,
            ``(2) to assist in the harmonization of transportation 
        policies and regulations that impact the interstate movement of 
        goods and individuals, including the establishment of a 
        Northern Great Plains Regional Transportation Working Group;
            ``(3) to encourage and support interstate collaboration on 
        federally-funded research that is in the national interest; and
            ``(4) to establish a Regional Working Group on Agriculture 
        Development and Transportation.
    ``(b) Economic Issues.--The multistate economic issues referred to 
in subsection (a) shall include--
            ``(1) renewable energy development and transmission;
            ``(2) transportation planning and economic development;
            ``(3) information technology;
            ``(4) movement of freight and individuals within the 
        region;
            ``(5) federally-funded research at institutions of higher 
        education; and
            ``(6) conservation land management.''.
            (2) Conforming amendments.--
                    (A) Section 383B(c)(3)(B) of the Consolidated Farm 
                and Rural Development Act (7 U.S.C. 2009bb-1(c)(3)(B)) 
                is amended by striking ``383I'' and inserting ``383J''.
                    (B) Section 383D(a) of the Consolidated Farm and 
                Rural Development Act (as redesignated by paragraph 
                (1)(A)) is amended by striking ``383I'' and inserting 
                ``383J''.
                    (C) Section 383E of the Consolidated Farm and Rural 
                Development Act (as so redesignated) is amended--
                            (i) in subsection (b)(1), by striking 
                        ``383F(b)'' and inserting ``383G(b)''; and
                            (ii) in subsection (c)(2)(A), by striking 
                        ``383I'' and inserting ``383J''.
                    (D) Section 383G of the Consolidated Farm and Rural 
                Development Act (as so redesignated) is amended--
                            (i) in subsection (b)--
                                    (I) in paragraph (1), by striking 
                                ``383M'' and inserting ``383N''; and
                                    (II) in paragraph (2), by striking 
                                ``383D(b)'' and inserting ``383E(b)'';
                            (ii) in subsection (c)(2)(A), by striking 
                        ``383E(b)'' and inserting ``383F(b)''; and
                            (iii) in subsection (d)--
                                    (I) by striking ``383M'' and 
                                inserting ``383N''; and
                                    (II) by striking ``383C(a)'' and 
                                inserting ``383D(a)''.
                    (E) Section 383J(c)(2) of the Consolidated Farm and 
                Rural Development Act (as so redesignated) is amended 
                by striking ``383H'' and inserting ``383I''.
    (c) Economic and Community Development Grants.--Section 383D of the 
Consolidated Farm and Rural Development Act (as redesignated by 
subsection (b)(1)(A)) is amended--
            (1) in subsection (a)--
                    (A) in paragraph (1), by striking ``transportation 
                and telecommunication'' and inserting ``transportation, 
                renewable energy transmission, and telecommunication''; 
                and
                    (B) by redesignating paragraphs (1) and (2) as 
                paragraphs (2) and (1), respectively, and moving those 
                paragraphs so as to appear in numerical order; and
            (2) in subsection (b)(2), by striking ``the activities in 
        the following order or priority'' and inserting ``the following 
        activities''.
    (d) Supplements to Federal Grant Programs.--Section 383E(a) of the 
Consolidated Farm and Rural Development Act (as redesignated by 
subsection (b)(1)(A)) is amended by striking ``, including local 
development districts,''.
    (e) Multistate and Local Development Districts and Organizations 
and Northern Great Plains Inc.--Section 383F of the Consolidated Farm 
and Rural Development Act (as redesignated by subsection (b)(1)(A)) is 
amended--
            (1) by striking the section heading and inserting 
        ``multistate and local development districts and organizations 
        and northern great plains inc.'';
            (2) by striking subsections (a) and (b) and inserting the 
        following:
    ``(a) Definition of Multistate and Local Development District or 
Organization.--In this section, the term `multistate and local 
development district or organization' means an entity--
            ``(1) that--
                    ``(A) is a planning district in existence on the 
                date of enactment of this subtitle that is recognized 
                by the Economic Development Administration of the 
                Department of Commerce; or
                    ``(B) is--
                            ``(i) organized and operated in a manner 
                        that ensures broad-based community 
                        participation and an effective opportunity for 
                        other nonprofit groups to contribute to the 
                        development and implementation of programs in 
                        the region;
                            ``(ii) a nonprofit incorporated body 
                        organized or chartered under the law of the 
                        State in which the entity is located;
                            ``(iii) a nonprofit agency or 
                        instrumentality of a State or local government;
                            ``(iv) a public organization established 
                        before the date of enactment of this subtitle 
                        under State law for creation of 
                        multijurisdictional, area-wide planning 
                        organizations;
                            ``(v) a nonprofit agency or instrumentality 
                        of a State that was established for the purpose 
                        of assisting with multistate cooperation; or
                            ``(vi) a nonprofit association or 
                        combination of bodies, agencies, and 
                        instrumentalities described in clauses (ii) 
                        through (v); and
            ``(2) that has not, as certified by the Federal 
        cochairperson--
                    ``(A) inappropriately used Federal grant funds from 
                any Federal source; or
                    ``(B) appointed an officer who, during the period 
                in which another entity inappropriately used Federal 
                grant funds from any Federal source, was an officer of 
                the other entity.
    ``(b) Grants to Multistate, Local, or Regional Development 
Districts and Organizations.--
            ``(1) In general.--The Authority may make grants for 
        administrative expenses under this section to multistate, 
        local, and regional development districts and organizations.
            ``(2) Conditions for grants.--
                    ``(A) Maximum amount.--The amount of any grant 
                awarded under paragraph (1) shall not exceed 80 percent 
                of the administrative expenses of the regional or local 
                development district or organization receiving the 
                grant.
                    ``(B) Maximum period.--No grant described in 
                paragraph (1) shall be awarded for a period greater 
                than 3 years.
            ``(3) Local share.--The contributions of a regional or 
        local development district or organization for administrative 
        expenses may be in cash or in kind, fairly evaluated, including 
        space, equipment, and services.''; and
            (3) in subsection (c)--
                    (A) by striking ``Duties'' and inserting 
                ``Authorities''; and
                    (B) in the matter preceding paragraph (1), by 
                striking ``shall'' and inserting ``may''.
    (f) Distressed Counties and Areas and Nondistressed Counties.--
Section 383G of the Consolidated Farm and Rural Development Act (as 
redesignated by subsection (b)(1)(A)) is amended--
            (1) in subsection (b)(1), by striking ``75'' and inserting 
        ``50'';
            (2) by striking subsection (c);
            (3) by redesignating subsection (d) as subsection (c); and
            (4) in subsection (c) (as so redesignated)--
                    (A) in the subsection heading, by inserting ``, 
                Renewable Energy,'' after ``Telecommunication,''; and
                    (B) by inserting ``, renewable energy,'' after 
                ``telecommunication,''.
    (g) Development Planning Process.--Section 383H of the Consolidated 
Farm and Rural Development Act (as redesignated by subsection 
(b)(1)(A)) is amended--
            (1) in subsection (c)(1), by striking subparagraph (A) and 
        inserting the following:
                    ``(A) multistate, regional, and local development 
                districts and organizations; and''; and
            (2) in subsection (d)(1), by striking ``State and local 
        development districts'' and inserting ``multistate, regional, 
        and local development districts and organizations''.
    (h) Program Development Criteria.--Section 383I(a)(1) of the 
Consolidated Farm and Rural Development Act (as redesignated by 
subsection (b)(1)(A)) is amended by inserting ``multistate or'' before 
``regional''.
    (i) Authorization of Appropriations.--Section 383N(a) of the 
Consolidated Farm and Rural Development Act (as redesignated by 
subsection (b)(1)(A)) is amended by striking ``2002 through 2007'' and 
inserting ``2008 through 2012''.
    (j) Termination of Authority.--Section 383O of the Consolidated 
Farm and Rural Development Act (as redesignated by subsection 
(b)(1)(A)) is amended by striking ``2007'' and inserting ``2012''.

SEC. 6031. RURAL BUSINESS INVESTMENT PROGRAM.

    (a) Issuance and Guarantee of Trust Certificates.--Section 384F of 
the Consolidated Farm and Rural Development Act (7 U.S.C. 2009cc-5) is 
amended--
            (1) in subsection (a)(1), by inserting ``, including an 
        investment pool created entirely by such bank or savings 
        association'' before the period at the end;
            (2) in subsection (b)(3)(A), by striking ``In the event'' 
        and inserting the following:
                            ``(i) Authority to prepay.--A debenture may 
                        be prepaid at any time without penalty.
                            ``(ii) Reduction of guarantee.--Subject to 
                        clause (i), if''; and
            (3) in subsection (e), by adding at the end the following:
            ``(6) Distributions.--
                    ``(A) In general.--The Secretary shall authorize 
                distributions to investors for unrealized income from a 
                debenture.
                    ``(B) Treatment.--Distributions made by a rural 
                business investment company to an investor of private 
                capital in the rural business investment company for 
                the purpose of covering the tax liability of the 
                investor resulting from unrealized income of the rural 
                business investment company shall not require the 
                repayment of a debenture.''.
    (b) Fees.--Section 384G of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 2009cc-6) is amended--
            (1) in subsection (a), by striking ``such fees as the 
        Secretary considers appropriate'' and inserting ``a fee that 
        does not exceed $500'';
            (2) in subsection (b), by striking ``approved by the 
        Secretary'' and inserting ``that does not exceed $500''; and
            (3) in subsection (c)--
                    (A) in paragraph (1), by striking ``The'' and 
                inserting ``Except as provided in paragraph (3), the'';
                    (B) in paragraph (2)--
                            (i) in subparagraph (A), by striking 
                        ``and'' at the end;
                            (ii) in subparagraph (B), by striking the 
                        period at the end and inserting ``; and''; and
                            (iii) by adding at the end the following:
                    ``(C) shall not exceed $500 for any fee collected 
                under this subsection.''; and
                    (C) by adding at the end the following:
            ``(3) Prohibition on collection of certain fees.--In the 
        case of a license described in paragraph (1) that was approved 
        before July 1, 2007, the Secretary shall not collect any fees 
        due on or after the date of enactment of this paragraph.''.
    (c) Rural Business Investment Companies.--Section 384I(c) of the 
Consolidated Farm and Rural Development Act (7 U.S.C. 2009cc-8(c)) is 
amended--
            (1) by redesignating paragraph (3) as paragraph (4); and
            (2) by inserting after paragraph (2) the following:
            ``(3) Time frame.--Each rural business investment company 
        shall have a period of 2 years to meet the capital requirements 
        of this subsection.''.
    (d) Financial Institution Investments.--Section 384J of the 
Consolidated Farm and Rural Development Act (7 U.S.C. 2009cc-9) is 
amended by striking subsection (c).
    (e) Contracting of Functions.--Section 384Q of the Consolidated 
Farm and Rural Development Act (7 U.S.C. 2009cc-16) is repealed.
    (f) Funding.--The Consolidated Farm and Rural Development Act is 
amended by striking section 384S (7 U.S.C. 2009cc-18) and inserting the 
following:

``SEC. 384S. AUTHORIZATION OF APPROPRIATIONS.

    ``There are authorized to be appropriated such sums as are 
necessary to carry out this subtitle.''.

SEC. 6032. RURAL COLLABORATIVE INVESTMENT PROGRAM.

    Subtitle I of the Consolidated Farm and Rural Development Act (7 
U.S.C. 2009dd et seq.) is amended to read as follows:

          ``Subtitle I--Rural Collaborative Investment Program

``SEC. 385A. PURPOSE.

    ``The purpose of this subtitle is to establish a regional rural 
collaborative investment program--
            ``(1) to provide rural regions with a flexible investment 
        vehicle, allowing for local control with Federal oversight, 
        assistance, and accountability;
            ``(2) to provide rural regions with incentives and 
        resources to develop and implement comprehensive strategies for 
        achieving regional competitiveness, innovation, and prosperity;
            ``(3) to foster multisector community and economic 
        development collaborations that will optimize the asset-based 
        competitive advantages of rural regions with particular 
        emphasis on innovation, entrepreneurship, and the creation of 
        quality jobs;
            ``(4) to foster collaborations necessary to provide the 
        professional technical expertise, institutional capacity, and 
        economies of scale that are essential for the long-term 
        competitiveness of rural regions; and
            ``(5) to better use Department of Agriculture and other 
        Federal, State, and local governmental resources, and to 
        leverage those resources with private, nonprofit, and 
        philanthropic investments, to achieve measurable community and 
        economic prosperity, growth, and sustainability.

``SEC. 385B. DEFINITIONS.

    ``In this subtitle:
            ``(1) Benchmark.--The term `benchmark' means an annual set 
        of goals and performance measures established for the purpose 
        of assessing performance in meeting a regional investment 
        strategy of a Regional Board.
            ``(2) Indian tribe.--The term `Indian tribe' has the 
        meaning given the term in section 4 of the Indian Self-
        Determination and Education Assistance Act (25 U.S.C. 450b).
            ``(3) National board.--The term `National Board' means the 
        National Rural Investment Board established under section 
        385C(c).
            ``(4) National institute.--The term `National Institute' 
        means the National Institute on Regional Rural Competitiveness 
        and Entrepreneurship established under section 385C(b)(2).
            ``(5) Regional board.--The term `Regional Board' means a 
        Regional Rural Investment Board described in section 385D(a).
            ``(6) Regional innovation grant.--The term `regional 
        innovation grant' means a grant made by the Secretary to a 
        certified Regional Board under section 385F.
            ``(7) Regional investment strategy grant.--The term 
        `regional investment strategy grant' means a grant made by the 
        Secretary to a certified Regional Board under section 385E.

``SEC. 385C. ESTABLISHMENT AND ADMINISTRATION OF RURAL COLLABORATIVE 
              INVESTMENT PROGRAM.

    ``(a) Establishment.--The Secretary shall establish a Rural 
Collaborative Investment Program to support comprehensive regional 
investment strategies for achieving rural competitiveness.
    ``(b) Duties of Secretary.--In carrying out this subtitle, the 
Secretary shall--
            ``(1) appoint and provide administrative and program 
        support to the National Board;
            ``(2) establish a national institute, to be known as the 
        `National Institute on Regional Rural Competitiveness and 
        Entrepreneurship', to provide technical assistance to the 
        Secretary and the National Board regarding regional 
        competitiveness and rural entrepreneurship, including technical 
        assistance for--
                    ``(A) the development of rigorous analytic programs 
                to assist Regional Boards in determining the challenges 
                and opportunities that need to be addressed to receive 
                the greatest regional competitive advantage;
                    ``(B) the provision of support for best practices 
                developed by the Regional Boards;
                    ``(C) the establishment of programs to support the 
                development of appropriate governance and leadership 
                skills in the applicable regions; and
                    ``(D) the evaluation of the progress and 
                performance of the Regional Boards in achieving 
                benchmarks established in a regional investment 
                strategy;
            ``(3) work with the National Board to develop a national 
        rural investment plan, which shall--
                    ``(A) create a framework to encourage and support a 
                more collaborative and targeted rural investment 
                portfolio in the United States;
                    ``(B) establish the Rural Philanthropic Initiative, 
                to work with rural communities to create and enhance 
                the pool of permanent philanthropic resources committed 
                to rural community and economic development;
                    ``(C) cooperate with the Regional Boards and State 
                and local governments, organizations, and entities to 
                ensure investment strategies are developed that take 
                into consideration existing rural assets; and
                    ``(D) encourage the organization of Regional 
                Boards;
            ``(4) certify the eligibility of Regional Boards to receive 
        regional investment strategy grants and regional innovation 
        grants;
            ``(5) provide grants for Regional Boards to develop and 
        implement regional investment strategies;
            ``(6) provide technical assistance to Regional Boards on 
        issues, best practices, and emerging trends relating to rural 
        development, in cooperation with the National Rural Investment 
        Board; and
            ``(7) provide analytic and programmatic support for 
        regional rural competitiveness through the National Institute, 
        including--
                    ``(A) programs to assist Regional Boards in 
                determining the challenges and opportunities that must 
                be addressed to receive the greatest regional 
                competitive advantage;
                    ``(B) support for best practices development by the 
                regional investment boards;
                    ``(C) programs to support the development of 
                appropriate governance and leadership skills in the 
                region; and
                    ``(D) a review and annual evaluation of the 
                performance of the Regional Boards (including progress 
                in achieving benchmarks established in a regional 
                investment strategy) in an annual report submitted to--
                            ``(i) the Committee on Agriculture of the 
                        House of Representatives; and
                            ``(ii) the Committee on Agriculture, 
                        Nutrition, and Forestry of the Senate.
    ``(c) National Rural Investment Board.--The Secretary shall 
establish within the Department of Agriculture a board to be known as 
the `National Rural Investment Board'.
    ``(d) Duties of National Board.--The National Board shall--
            ``(1) not later than 180 days after the date of 
        establishment of the National Board, develop rules relating to 
        the operation of the National Board;
            ``(2) provide advice to the Secretary and subsequently 
        review the design, development, and execution of the National 
        Rural Investment Plan;
            ``(3) provide advice to Regional Boards on issues, best 
        practices, and emerging trends relating to rural development; 
        and
            ``(4) provide advice to the Secretary and the National 
        Institute on the development and execution of the program under 
        this subtitle.
    ``(e) Membership.--
            ``(1) In general.--The National Board shall consist of 14 
        members appointed by the Secretary not later than 180 days 
        after the date of enactment of the Food and Energy Security Act 
        of 2007.
            ``(2) Supervision.--The National Board shall be subject to 
        the general supervision and direction of the Secretary.
            ``(3) Sectors represented.--The National Board shall 
        consist of representatives from each of--
                    ``(A) nationally recognized entrepreneurship 
                organizations;
                    ``(B) regional strategy and development 
                organizations;
                    ``(C) community-based organizations;
                    ``(D) elected members of county and municipal 
                governments;
                    ``(E) elected members of State legislatures;
                    ``(F) primary, secondary, and higher education, job 
                skills training, and workforce development 
                institutions;
                    ``(G) the rural philanthropic community;
                    ``(H) financial, lending, venture capital, 
                entrepreneurship, and other related institutions;
                    ``(I) private sector business organizations, 
                including chambers of commerce and other for-profit 
                business interests;
                    ``(J) Indian tribes; and
                    ``(K) cooperative organizations.
            ``(4) Selection of members.--
                    ``(A) In general.--In selecting members of the 
                National Board, the Secretary shall consider 
                recommendations made by--
                            ``(i) the chairman and ranking member of 
                        each of the Committee on Agriculture of the 
                        House of Representatives and the Committee on 
                        Agriculture, Nutrition, and Forestry of the 
                        Senate;
                            ``(ii) the Majority Leader and Minority 
                        Leader of the Senate; and
                            ``(iii) the Speaker and Minority Leader of 
                        the House of Representatives.
                    ``(B) Ex-officio members.--In consultation with the 
                chairman and ranking member of each of the Committee on 
                Agriculture of the House of Representatives and the 
                Committee on Agriculture, Nutrition, and Forestry of 
                the Senate, the Secretary may appoint not more than 3 
                other officers or employees of the Executive Branch to 
                serve as ex-officio, non-voting members of the National 
                Board.
            ``(5) Term of office.--
                    ``(A) In general.--Subject to subparagraph (B), the 
                term of office of a member of the National Board 
                appointed under paragraph (1)(A) shall be for a period 
                of not more than 4 years.
                    ``(B) Staggered terms.--The members of the National 
                Board shall be appointed to serve staggered terms.
            ``(6) Initial appointments.--Not later than 120 days after 
        the date of enactment of the Food and Energy Security Act of 
        2007, the Secretary shall appoint the initial members of the 
        National Board.
            ``(7) Vacancies.--A vacancy on the National Board shall be 
        filled in the same manner as the original appointment.
            ``(8) Compensation.--A member of the National Board shall 
        receive no compensation for service on the National Board, but 
        shall be reimbursed for related travel and other expenses 
        incurred in carrying out the duties of the member of the 
        National Board in accordance with section 5702 and 5703 of 
        title 5, United States Code.
            ``(9) Chairperson.--The National Board shall select a 
        chairperson from among the members of the National Board.
            ``(10) Federal status.--For purposes of Federal law, a 
        member of the National Board shall be considered a special 
        Government employee (as defined in section 202(a) of title 18, 
        United States Code).
    ``(f) Administrative Support.--The Secretary, on a reimbursable 
basis from funds made available under section 385H(b)(3), may provide 
such administrative support to the National Board as the Secretary 
determines is necessary to carry out the duties of the National Board.

``SEC. 385D. REGIONAL RURAL INVESTMENT BOARDS.

    ``(a) In General.--A Regional Rural Investment Board shall be a 
multijurisdictional and multisectoral group that--
            ``(1) represents the long-term economic, community, and 
        cultural interests of a region;
            ``(2) is certified by the Secretary to establish a rural 
        investment strategy and compete for regional innovation grants;
            ``(3) is composed of residents of a region that are broadly 
        representative of diverse public, nonprofit, and private sector 
        interests in investment in the region, including (to the 
        maximum extent practicable) representatives of--
                    ``(A) units of local government (including 
                multijurisdictional units of local government);
                    ``(B) nonprofit community-based development 
                organizations, including community development 
                financial institutions and community development 
                corporations;
                    ``(C) agricultural, natural resource, and other 
                asset-based related industries;
                    ``(D) in the case of regions with federally 
                recognized Indian tribes, Indian tribes;
                    ``(E) regional development organizations;
                    ``(F) private business organizations, including 
                chambers of commerce;
                    ``(G)(i) institutions of higher education (as 
                defined in section 101(a) of the Higher Education Act 
                of 1965 (20 U.S.C. 1001(a)));
                    ``(ii) tribally controlled colleges or universities 
                (as defined in section 2(a) of Tribally Controlled 
                College or University Assistance Act of 1978 (25 U.S.C. 
                1801(a))); and
                    ``(iii) tribal technical institutions;
                    ``(H) workforce and job training organizations;
                    ``(I) other entities and organizations, as 
                determined by the Regional Board;
                    ``(J) cooperatives; and
                    ``(K) consortia of entities and organizations 
                described in subparagraphs (A) through (J);
            ``(4) represents a region inhabited by--
                    ``(A) more than 25,000 individuals, as determined 
                in the latest available decennial census conducted 
                under section 141(a) of title 13, United States Code; 
                or
                    ``(B) in the case of a region with a population 
                density of less than 2 individuals per square mile, at 
                least 10,000 individuals, as determined in that latest 
                available decennial census;
            ``(5) has a membership of which not less than 25 percent, 
        nor more than 40 percent, represents--
                    ``(A) units of local government and Indian tribes 
                described in subparagraphs (A) and (D) of paragraph 
                (3);
                    ``(B) nonprofit community and economic development 
                organizations and institutions of higher education 
                described in subparagraphs (B) and (G) of paragraph 
                (3); or
                    ``(C) private business (including chambers of 
                commerce and cooperatives) and agricultural, natural 
                resource, and other asset-based related industries 
                described in subparagraphs (C) and (F) of paragraph 
                (3);
            ``(6) has a membership that may include an officer or 
        employee of a Federal or State agency, serving as an ex-
        officio, nonvoting member of the Regional Board to represent 
        the agency; and
            ``(7) has organizational documents that demonstrate that 
        the Regional Board shall--
                    ``(A) create a collaborative, inclusive public-
                private strategy process;
                    ``(B) develop, and submit to the Secretary for 
                approval, a regional investment strategy that meets the 
                requirements of section 385E, with benchmarks--
                            ``(i) to promote investment in rural areas 
                        through the use of grants made available under 
                        this subtitle; and
                            ``(ii) to provide financial and technical 
                        assistance to promote a broad-based regional 
                        development program aimed at increasing and 
                        diversifying economic growth, improved 
                        community facilities, and improved quality of 
                        life;
                    ``(C) implement the approved regional investment 
                strategy;
                    ``(D) provide annual reports to the Secretary and 
                the National Board on progress made in achieving the 
                benchmarks of the regional investment strategy, 
                including an annual financial statement; and
                    ``(E) select a non-Federal organization (such as a 
                regional development organization) in the local area 
                served by the Regional Board that has previous 
                experience in the management of Federal funds to serve 
                as fiscal manager of any funds of the Regional Board.
    ``(b) Urban Areas.--A resident of an urban area may serve as an ex-
officio member of a Regional Board.
    ``(c) Duties.--A Regional Board shall--
            ``(1) create a collaborative and inclusive planning process 
        for public-private investment within a region;
            ``(2) develop, and submit to the Secretary for approval, a 
        regional investment strategy;
            ``(3) develop approaches that will create permanent 
        resources for philanthropic giving in the region, to the 
        maximum extent practicable;
            ``(4) implement an approved strategy; and
            ``(5) provide annual reports to the Secretary and the 
        National Board on progress made in achieving the strategy, 
        including an annual financial statement.

``SEC. 385E. REGIONAL INVESTMENT STRATEGY GRANTS.

    ``(a) In General.--The Secretary shall make regional investment 
strategy grants available to Regional Boards for use in developing, 
implementing, and maintaining regional investment strategies.
    ``(b) Regional Investment Strategy.--A regional investment strategy 
shall provide--
            ``(1) an assessment of the competitive advantage of a 
        region, including--
                    ``(A) an analysis of the economic conditions of the 
                region;
                    ``(B) an assessment of the current economic 
                performance of the region;
                    ``(C) a background overview of the population, 
                geography, workforce, transportation system, resources, 
                environment, and infrastructure needs of the region; 
                and
                    ``(D) such other pertinent information as the 
                Secretary may request;
            ``(2) an analysis of regional economic and community 
        development challenges and opportunities, including--
                    ``(A) incorporation of relevant material from other 
                government-sponsored or supported plans and consistency 
                with applicable State, regional, and local workforce 
                investment strategies or comprehensive economic 
                development plans; and
                    ``(B) an identification of past, present, and 
                projected Federal and State economic and community 
                development investments in the region;
            ``(3) a section describing goals and objectives necessary 
        to solve regional competitiveness challenges and meet the 
        potential of the region;
            ``(4) an overview of resources available in the region for 
        use in--
                    ``(A) establishing regional goals and objectives;
                    ``(B) developing and implementing a regional action 
                strategy;
                    ``(C) identifying investment priorities and funding 
                sources; and
                    ``(D) identifying lead organizations to execute 
                portions of the strategy;
            ``(5) an analysis of the current state of collaborative 
        public, private, and nonprofit participation and investment, 
        and of the strategic roles of public, private, and nonprofit 
        entities in the development and implementation of the regional 
        investment strategy;
            ``(6) a section identifying and prioritizing vital 
        projects, programs, and activities for consideration by the 
        Secretary, including--
                    ``(A) other potential funding sources; and
                    ``(B) recommendations for leveraging past and 
                potential investments;
            ``(7) a plan of action to implement the goals and 
        objectives of the regional investment strategy;
            ``(8) a list of performance measures to be used to evaluate 
        the implementation of the regional investment strategy, 
        including--
                    ``(A) the number and quality of jobs, including 
                self-employment, created during implementation of the 
                regional rural investment strategy;
                    ``(B) the number and types of investments made in 
                the region;
                    ``(C) the growth in public, private, and nonprofit 
                investment in the human, community, and economic assets 
                of the region;
                    ``(D) changes in per capita income and the rate of 
                unemployment; and
                    ``(E) other changes in the economic environment of 
                the region;
            ``(9) a section outlining the methodology for use in 
        integrating the regional investment strategy with the economic 
        priorities of the State; and
            ``(10) such other information as the Secretary determines 
        to be appropriate.
    ``(c) Maximum Amount of Grant.--A regional investment strategy 
grant shall not exceed $150,000.
    ``(d) Cost Sharing.--
            ``(1) In general.--Subject to paragraph (2), of the share 
        of the costs of developing, maintaining, evaluating, 
        implementing, and reporting with respect to a regional 
        investment strategy funded by a grant under this section--
                    ``(A) not more than 40 percent may be paid using 
                funds from the grant; and
                    ``(B) the remaining share shall be provided by the 
                applicable Regional Board or other eligible grantee.
            ``(2) Form.--A Regional Board or other eligible grantee 
        shall pay the share described in paragraph (1)(B) in the form 
        of cash, services, materials, or other in-kind contributions, 
        on the condition that not more than 50 percent of that share is 
        provided in the form of services, materials, and other in-kind 
        contributions.

``SEC. 385F. REGIONAL INNOVATION GRANTS PROGRAM.

    ``(a) Grants.--
            ``(1) In general.--The Secretary shall provide, on a 
        competitive basis, regional innovation grants to Regional 
        Boards for use in implementing projects and initiatives that 
        are identified in a regional rural investment strategy approved 
        under section 385E.
            ``(2) Timing.--After October 1, 2008, the Secretary shall 
        provide awards under this section on a quarterly funding cycle.
    ``(b) Eligibility.--For a Regional Board to receive a regional 
innovation grant, the Secretary shall determine that--
            ``(1) the regional rural investment strategy of a Regional 
        Board has been reviewed by the National Board prior to approval 
        by the Secretary;
            ``(2) the management and organizational structure of the 
        Regional Board is sufficient to oversee grant projects, 
        including management of Federal funds; and
            ``(3) the Regional Board has a plan to achieve, to the 
        maximum extent practicable, the performance-based benchmarks of 
        the project in the regional rural investment strategy of the 
        Regional Board.
    ``(c) Limitations.--
            ``(1) Amount received.--A Regional Board may not receive 
        more than $6,000,000 in regional innovation grants under this 
        section during any 5-year period.
            ``(2) Determination of amount.--The Secretary shall 
        determine the amount of a regional innovation grant based on--
                    ``(A) the needs of the region being addressed by 
                the applicable regional rural investment strategy 
                consistent with the purposes described in subsection 
                (f)(2); and
                    ``(B) the size of the geographical area of the 
                region.
            ``(3) Geographic diversity.--The Secretary shall ensure 
        that not more than 10 percent of funding made available under 
        this section is provided to Regional Boards in any State.
    ``(d) Cost-Sharing.--
            ``(1) Limitation.--Subject to paragraph (2), the amount of 
        a grant made under this section shall not exceed 50 percent of 
        the cost of the project.
            ``(2) Waiver of grantee share.--The Secretary may waive the 
        limitation in paragraph (1) under special circumstances, as 
        determined by the Secretary, including--
                    ``(A) a sudden or severe economic dislocation;
                    ``(B) significant chronic unemployment or poverty;
                    ``(C) a natural disaster; or
                    ``(D) other severe economic, social, or cultural 
                duress.
            ``(3) Other federal assistance.--For the purpose of 
        determining cost-share limitations for any other Federal 
        program, funds provided under this section shall be considered 
        to be non-Federal funds.
    ``(e) Preferences.--In providing regional innovation grants under 
this section, the Secretary shall give--
            ``(1) a high priority to strategies that demonstrate 
        significant leverage of capital and quality job creation; and
            ``(2) a preference to an application proposing projects and 
        initiatives that would--
                    ``(A) advance the overall regional competitiveness 
                of a region;
                    ``(B) address the priorities of a regional rural 
                investment strategy, including priorities that--
                            ``(i) promote cross-sector collaboration, 
                        public-private partnerships, or the provision 
                        of collaborative gap financing or seed capital 
                        for program implementation;
                            ``(ii) exhibit collaborative innovation and 
                        entrepreneurship, particularly within a public-
                        private partnership; and
                            ``(iii) represent a broad coalition of 
                        interests described in section 385D(a);
                    ``(C) include a strategy to leverage public non-
                Federal and private funds and existing assets, 
                including agricultural assets, natural assets, and 
                public infrastructure, with substantial emphasis placed 
                on the existence of real financial commitments to 
                leverage the available funds;
                    ``(D) create quality jobs;
                    ``(E) enhance the role, relevance, and leveraging 
                potential of community and regional foundations in 
                support of regional investment strategies;
                    ``(F) demonstrate a history, or involve 
                organizations with a history, of successful leveraging 
                of capital for economic development and public 
                purposes;
                    ``(G) address gaps in existing basic services, 
                including technology, within a region;
                    ``(H) address economic diversification, including 
                agricultural and non-agriculturally based economies, 
                within a regional framework;
                    ``(I) improve the overall quality of life in the 
                region (including with respect to education, health 
                care, housing, recreation, and arts and culture);
                    ``(J) enhance the potential to expand economic 
                development successes across diverse stakeholder groups 
                within the region;
                    ``(K) include an effective working relationship 
                with 1 or more institutions of higher education, 
                tribally controlled colleges or universities, or tribal 
                technical institutions; or
                    ``(L) help to meet the other regional 
                competitiveness needs identified by a Regional Board.
    ``(f) Uses.--
            ``(1) Leverage.--A Regional Board shall prioritize projects 
        and initiatives carried out using funds from a regional 
        innovation grant provided under this section, based in part on 
        the degree to which members of the Regional Board are able to 
        leverage additional funds for the implementation of the 
        projects.
            ``(2) Purposes.--A Regional Board may use a regional 
        innovation grant--
                    ``(A) to support the development of critical 
                infrastructure (including technology deployment and 
                services) necessary to facilitate the competitiveness 
                of a region;
                    ``(B) to provide assistance to entities within the 
                region that provide essential public and community 
                services;
                    ``(C) to enhance the value-added production, 
                marketing, and use of agricultural and natural 
                resources within the region, including activities 
                relating to renewable and alternative energy production 
                and usage;
                    ``(D) to assist with entrepreneurship, job 
                training, workforce development, housing, educational, 
                or other quality of life services or needs, relating to 
                the development and maintenance of strong local and 
                regional economies;
                    ``(E) to assist in the development of unique new 
                collaborations that link public, private, and 
                philanthropic resources, including community 
                foundations;
                    ``(F) to provide support for business and 
                entrepreneurial investment, strategy, expansion, and 
                development, including feasibility strategies, 
                technical assistance, peer networks, and business 
                development funds;
                    ``(G) to carry out other broad activities relating 
                to strengthening the economic competitiveness of the 
                region; and
                    ``(H) to provide matching funds to enable community 
                foundations located within the region to build 
                endowments which provide permanent philanthropic 
                resources to implement a regional investment strategy.
            ``(3) Availability of funds.--The funds made available to a 
        Regional Board or any other eligible grantee through a regional 
        innovation grant shall remain available for the 7-year period 
        beginning on the date on which the award is provided, on the 
        condition that the Regional Board or other grantee continues to 
        be certified by the Secretary as making adequate progress 
        toward achieving established benchmarks.
    ``(g) Cost Sharing.--
            ``(1) Waiver of grantee share.--The Secretary may waive the 
        share of a grantee of the costs of a project funded by a 
        regional innovation grant under this section if the Secretary 
        determines that such a waiver is appropriate, including with 
        respect to special circumstances within tribal regions, in the 
        event an area experiences--
                    ``(A) a sudden or severe economic dislocation;
                    ``(B) significant chronic unemployment or poverty;
                    ``(C) a natural disaster; or
                    ``(D) other severe economic, social, or cultural 
                duress.
            ``(2) Other federal programs.--For the purpose of 
        determining cost-sharing requirements for any other Federal 
        program, funds provided as a regional innovation grant under 
        this section shall be considered to be non-Federal funds.
    ``(h) Noncompliance.--If a Regional Board or other eligible grantee 
fails to comply with any requirement relating to the use of funds 
provided under this section, the Secretary may--
            ``(1) take such actions as are necessary to obtain 
        reimbursement of unused grant funds; and
            ``(2) reprogram the recaptured funds for purposes relating 
        to implementation of this subtitle.
    ``(i) Priority to Areas With Awards and Approved Strategies.--
            ``(1) In general.--Subject to paragraph (3), in providing 
        rural development assistance under other programs, the 
        Secretary shall give a high priority to areas that receive 
        innovation grants under this section.
            ``(2) Consultation.--The Secretary shall consult with the 
        heads of other Federal agencies to promote the development of 
        priorities similar to those described in paragraph (1).
            ``(3) Exclusion of certain programs.--Paragraph (1) shall 
        not apply to the provision of rural development assistance 
        under any program relating to basic health, safety, or 
        infrastructure, including broadband deployment or minimum 
        environmental needs.

``SEC. 385G. RURAL ENDOWMENT LOANS PROGRAM.

    ``(a) In General.--The Secretary may provide long-term loans to 
eligible community foundations to assist in the implementation of 
regional investment strategies.
    ``(b) Eligible Community Foundations.--To be eligible to receive a 
loan under this section, a community foundation shall--
            ``(1) be located in an area that is covered by a regional 
        investment strategy;
            ``(2) match the amount of the loan with an amount that is 
        at least 250 percent of the amount of the loan; and
            ``(3) use the loan and the matching amount to carry out the 
        regional investment strategy targeted to community and economic 
        development, including through the development of community 
        foundation endowments.
    ``(c) Terms.--A loan made under this section shall--
            ``(1) have a term of not less than 10, nor more than 20, 
        years;
            ``(2) bear an interest rate of 1 percent per annum; and
            ``(3) be subject to such other terms and conditions as are 
        determined appropriate by the Secretary.

``SEC. 385H. FUNDING.

    ``(a) In General.--Of the funds of the Commodity Credit 
Corporation, the Secretary shall use $135,000,000 to carry out this 
subtitle, to remain available until expended.
    ``(b) Use by Secretary.--Of the amounts made available to the 
Secretary under subsection (a), the Secretary shall use--
            ``(1) $15,000,000 to be provided for regional investment 
        strategy grants to Regional Boards under section 385E;
            ``(2) $110,000,000 to provide innovation grants to Regional 
        Boards under section 385F and for the cost of rural endowment 
        loans under section 385G;
            ``(3) $5,000,000 for fiscal year 2008 to administer the 
        duties of the National Board, to remain available until 
        expended; and
            ``(4) $5,000,000 for fiscal year 2008 to administer the 
        National Institute, to remain available until expended.
    ``(c) Authorization of Appropriations.--In addition to funds 
otherwise made available to carry out this subtitle, there are 
authorized to be appropriated to the Secretary such sums as are 
necessary to carry out this subtitle.''.

SEC. 6033. FUNDING OF PENDING RURAL DEVELOPMENT LOAN AND GRANT 
              APPLICATIONS.

    (a) Definition of Application.--In this section, the term 
``application'' does not include an application for a loan or grant 
that, as of the date of enactment of this Act, is in the preapplication 
phase of consideration under regulations of the Secretary in effect on 
the date of enactment of this Act.
    (b) Use of Funds.--Subject to subsection (c), the Secretary shall 
use funds made available under subsection (d) to provide funds for 
applications that are pending on the date of enactment of this Act 
for--
            (1) water or waste disposal grants or direct loans under 
        paragraph (1) or (2) of section 306(a) of the Consolidated Farm 
        and Rural Development Act (7 U.S.C. 1926(a)); and
            (2) emergency community water assistance grants under 
        section 306A of that Act (7 U.S.C. 1926a).
    (c) Limitations.--
            (1) Appropriated amounts.--Funds made available under this 
        section shall be available to the Secretary to provide funds 
        for applications for loans and grants described in subsection 
        (b) that are pending on the date of enactment of this Act only 
        to the extent that funds for the loans and grants appropriated 
        in the annual appropriations Act for fiscal year 2007 have been 
        exhausted.
            (2) Program requirements.--The Secretary may use funds made 
        available under this section to provide funds for a pending 
        application for a loan or grant described in subsection (b) 
        only if the Secretary processes, reviews, and approves the 
        application in accordance with regulations in effect on the 
        date of enactment of this Act.
            (3) Priority.--In providing funding under this section for 
        pending applications for loans or grants described in 
        subsection (b), the Secretary shall provide funding in the 
        following order of priority (until funds made available under 
        this section are exhausted):
                    (A) Pending applications for water systems.
                    (B) Pending applications for waste disposal 
                systems.
            (4) Individual states.--In allocating funds made available 
        under subsection (d), the Secretary shall use not more 5 
        percent of the funds for pending applications for loans or 
        grants described in subsection (b) that are made in any 
        individual State.
    (d) Funding.--Notwithstanding any other provision of law, of the 
funds of the Commodity Credit Corporation, the Secretary shall use to 
carry out this section $135,000,000, to remain available until 
expended.

             Subtitle B--Rural Electrification Act of 1936

SEC. 6101. ENERGY EFFICIENCY PROGRAMS.

    Sections 2(a) and 4 of the Rural Electrification Act of 1936 (7 
U.S.C. 902(a), 904) are amended by inserting ``efficiency and'' before 
``conservation'' each place it appears.

SEC. 6102. LOANS AND GRANTS FOR ELECTRIC GENERATION AND TRANSMISSION.

    (a) In General.--Section 4 of the Rural Electrification Act of 1936 
(7 U.S.C. 904) is amended in the first sentence by striking 
``authorized and empowered, from the sums hereinbefore authorized, to'' 
and inserting ``shall''.
    (b) Rural Communities With Extremely High Energy Costs.--Section 
19(a) of the Rural Electrification Act of 1936 (7 U.S.C. 918a(a)) is 
amended in the matter preceding paragraph (1) by striking ``may'' and 
inserting ``shall''.

SEC. 6103. FEES FOR ELECTRIFICATION BASELOAD GENERATION LOAN 
              GUARANTEES.

    The Rural Electrification Act of 1936 is amended by inserting after 
section 4 (7 U.S.C. 904) the following:

``SEC. 5. FEES FOR ELECTRIFICATION BASELOAD GENERATION LOAN GUARANTEES.

    ``(a) In General.--For electrification baseload generation loan 
guarantees, the Secretary shall, at the request of the borrower, charge 
an upfront fee to cover the costs of the loan guarantee.
    ``(b) Fee.--
            ``(1) In general.--The fee described in subsection (a) for 
        a loan guarantee shall be at least equal to the costs of the 
        loan guarantee (within the meaning of section 502(5)(C) of the 
        Federal Credit Reform Act of 1990 (2 U.S.C. 661a(5)(C)).
            ``(2) Separate fee.--The Secretary may establish a separate 
        fee for each loan.
    ``(c) Eligibility.--To be eligible for an electrification baseload 
generation loan guarantee under this section, a borrower shall--
            ``(1) provide a rating of the loan, exclusive of the 
        Federal guarantee, by an organization identified by the 
        Securities and Exchange Commission as a nationally recognized 
        statistical rating organization that determines that the loan 
        has at least a AA rating, or equivalent rating, as determined 
        by the Secretary; or
            ``(2) obtain insurance or a guarantee for the full and 
        timely repayment of principal and interest on the loan from an 
        entity that has at least an AA or equivalent rating by a 
        nationally recognized statistical rating organization.
    ``(d) Limitation.--Funds received from a borrower to pay for the 
fees described in this section shall not be derived from a loan or 
other debt obligation that is made or guaranteed by the Federal 
Government.''.

SEC. 6104. DEFERMENT OF PAYMENTS TO ALLOW LOANS FOR IMPROVED ENERGY 
              EFFICIENCY AND DEMAND REDUCTION.

    Section 12 of the Rural Electrification Act of 1936 (7 U.S.C. 912) 
is amended by adding at the end the following:
    ``(c) Deferment of Payments To Allow Loans for Improved Energy 
Efficiency and Demand Reduction.--
            ``(1) In general.--The Secretary shall allow borrowers to 
        defer payment of principal and interest on any direct loan made 
        under this Act to enable the borrower to make loans to 
        residential, commercial, and industrial consumers to install 
        energy efficient measures or devices that reduce the demand on 
        electric systems.
            ``(2) Amount.--The total amount of a deferment under this 
        subsection shall not exceed the sum of the principal and 
        interest on the loans made to a customer of the borrower, as 
        determined by the Secretary.
            ``(3) Term.--The term of a deferment under this subsection 
        shall not exceed 60 months.''.

SEC. 6105. RURAL ELECTRIFICATION ASSISTANCE.

    Section 13 of the Rural Electrification Act of 1936 (7 U.S.C. 913) 
is amended to read as follows:

``SEC. 13. DEFINITIONS.

    ``In this Act:
            ``(1) Farm.--The term `farm' means a farm, as defined by 
        the Bureau of the Census.
            ``(2) Indian tribe.--The term `Indian tribe' has the 
        meaning given the term in section 4 of the Indian Self-
        Determination and Education Assistance Act (25 U.S.C. 450b).
            ``(3) Rural area.--
                    ``(A) In general.--Except as provided otherwise in 
                this Act, the term `rural area' means the farm and 
                nonfarm population of--
                            ``(i) any area described in section 
                        343(a)(13)(A) of the Consolidated Farm and 
                        Rural Development Act (7 U.S.C. 
                        1991(a)(13)(A)); and
                            ``(ii) any area within a service area of a 
                        borrower for which a borrower has an 
                        outstanding loan made under titles I through V 
                        as of the date of enactment of this paragraph.
                    ``(B) Rural broadband access.--For the purpose of 
                loans and loan guarantees made under section 601, the 
                term `rural area' has the meaning given the term in 
                section 343(a)(13)(C) of the Consolidated Farm and 
                Rural Development Act (7 U.S.C. 1991(a)(13)(C)).
            ``(4) Territory.--The term `territory' includes any insular 
        possession of the United States.
            ``(5) Secretary.--The term `Secretary' means the Secretary 
        of Agriculture.''.

SEC. 6106. GUARANTEES FOR BONDS AND NOTES ISSUED FOR ELECTRIFICATION OR 
              TELEPHONE PURPOSES.

    Section 313A of the Rural Electrification Act of 1936 (7 U.S.C. 
940c-1) is amended--
            (1) in subsection (b)--
                    (A) in paragraph (1), by striking ``for 
                electrification'' and all that follows through the end 
                and inserting ``for eligible electrification or 
                telephone purposes consistent with this Act.''; and
                    (B) by striking paragraph (4) and inserting the 
                following:
            ``(4) Annual amount.--The total amount of guarantees 
        provided by the Secretary under this section during a fiscal 
        year shall not exceed $1,000,000,000, subject to the 
        availability of funds under subsection (e).'';
            (2) in subsection (c), by striking paragraphs (2) and (3) 
        and inserting the following:
            ``(2) Amount.--
                    ``(A) In general.--The amount of the annual fee 
                paid for the guarantee of a bond or note under this 
                section shall be equal to 30 basis points of the amount 
                of the unpaid principal of the bond or note guaranteed 
                under this section.
                    ``(B) Prohibition.--Except as otherwise provided in 
                this subsection and subsection (e)(2), no other fees 
                shall be assessed.
            ``(3) Payment.--
                    ``(A) In general.--A lender shall pay the fees 
                required under this subsection on a semiannual basis.
                    ``(B) Structured schedule.--The Secretary shall, 
                with the consent of the lender, structure the schedule 
                for payment of the fee to ensure that sufficient funds 
                are available to pay the subsidy costs for note or bond 
                guarantees as provided for in subsection (e)(2).''; and
            (3) in subsection (f), by striking ``2007'' and inserting 
        ``2012''.

SEC. 6107. EXPANSION OF 911 ACCESS.

    Section 315 of the Rural Electrification Act of 1936 (7 U.S.C. 
940e) is amended to read as follows:

``SEC. 315. EXPANSION OF 911 ACCESS.

    ``(a) In General.--Subject to such terms and conditions as the 
Secretary may prescribe, the Secretary may make loans under this title 
to entities eligible to borrow from the Rural Utilities Service, 
emergency communications equipment providers, State or local 
governments, Indian tribes (as defined in section 4 of the Indian Self-
Determination and Education Assistance Act (25 U.S.C. 450b)), or other 
public entities for facilities and equipment to expand or improve--
            ``(1) 911 access;
            ``(2) integrated interoperable emergency communications, 
        including multiuse networks that--
                    ``(A) serve rural areas; and
                    ``(B) provide commercial services or transportation 
                information services in addition to emergency 
                communications services;
            ``(3) homeland security communications;
            ``(4) transportation safety communications; or
            ``(5) location technologies used outside an urbanized area.
    ``(b) Loan Security.--Government-imposed fees related to emergency 
communications (including State or local 911 fees) may be considered to 
be security for a loan under this section.
    ``(c) Regulations.--The Secretary shall--
            ``(1) not later than 90 days after the date of enactment of 
        this subsection, promulgate proposed regulations to carry out 
        this section; and
            ``(2) not later than 90 days after the publication of 
        proposed rules to carry out this section, adopt final rules.
    ``(d) Authorization of Appropriations.--The Secretary shall use to 
make loans under this section any funds otherwise made available for 
telephone or broadband loans for each of fiscal years 2007 through 
2012.''.

SEC. 6108. ELECTRIC LOANS TO RURAL ELECTRIC COOPERATIVES.

    Title III of the Rural Electrification Act of 1936 is amended by 
inserting after section 316 (7 U.S.C. 940f) the following:

``SEC. 317. ELECTRIC LOANS TO RURAL ELECTRIC COOPERATIVES.

    ``(a) Definition of Renewable Energy Source.--In this section, the 
term `renewable energy source' has the meaning given the term 
`qualified energy resources' in section 45(c)(1) of the Internal 
Revenue Code of 1986.
    ``(b) Loans.--In addition to any other funds or authorities 
otherwise made available under this Act, the Secretary may make 
electric loans under this title for--
            ``(1) electric generation from renewable energy resources 
        for resale to rural and nonrural residents; and
            ``(2) transmission lines principally for the purpose of 
        wheeling power from 1 or more renewable energy sources.
    ``(c) Rate.--The rate of a loan under this section shall be equal 
to the average tax-exempt municipal bond rate of similar maturities.''.

SEC. 6109. AGENCY PROCEDURES.

    Title III of the Rural Electrification Act of 1936 is amended by 
inserting after section 317 (as added by section 6108) the following:

``SEC. 318. AGENCY PROCEDURES.

    ``(a) Customer Service.--The Secretary shall ensure that loan 
applicants under this Act are contacted at least once each month by the 
Rural Utilities Service regarding the status of any pending loan 
applications.
    ``(b) Financial Need.--The Secretary shall ensure that--
            ``(1) an applicant for any grant program administered by 
        the Rural Utilities Service has an opportunity to present 
        special economic circumstances in support of the grant, such as 
        the high cost of living, out migration, low levels of 
        employment, weather damage, or environmental loss; and
            ``(2) the special economic circumstances presented by the 
        applicant are considered in determining the financial need of 
        the applicant.
    ``(c) Mobile Digital Wireless.--To facilitate the transition from 
analog wireless service to digital mobile wireless service, the 
Secretary may adjust population limitations under this Act related to 
digital mobile wireless service up to the level permitted under section 
601.
    ``(d) Bonding Requirements.--The Secretary shall review the bonding 
requirements for all programs administered by the Rural Utilities 
Service under this Act to ensure that bonds are not required if--
            ``(1) the interests of the Secretary are adequately 
        protected by product warranties; or
            ``(2) the costs or conditions associated with a bond exceed 
        the benefit of the bond to the Secretary.''.

SEC. 6110. ACCESS TO BROADBAND TELECOMMUNICATIONS SERVICES IN RURAL 
              AREAS.

    (a) In General.--Section 601 of the Rural Electrification Act of 
1936 (7 U.S.C. 950bb) is amended to read as follows:

``SEC. 601. ACCESS TO BROADBAND TELECOMMUNICATIONS SERVICES IN RURAL 
              AREAS.

    ``(a) Purpose.--The purpose of this section is to provide loans and 
loan guarantees to provide funds for the costs of the construction, 
improvement, and acquisition of facilities and equipment for broadband 
service in rural areas.
    ``(b) Definition of Broadband Service.--In this section:
            ``(1) In general.--The term `broadband service' means any 
        technology identified by the Secretary as having the capacity 
        to transmit data to enable a subscriber to the service to 
        originate and receive high-quality voice, data, graphics, and 
        video.
            ``(2) Mobile broadband.--The term `broadband service' 
        includes any service described in paragraph (1) that is 
        provided over a licensed spectrum through the use of a mobile 
        station or receiver communicating with a land station or other 
        mobile stations communicating among themselves.
    ``(c) Loans and Loan Guarantees.--
            ``(1) In general.--The Secretary shall make or guarantee 
        loans to eligible entities described in subsection (d) to 
        provide funds for the construction, improvement, or acquisition 
        of facilities and equipment for the provision of broadband 
        service in rural areas.
            ``(2) Priority.--In making or guaranteeing loans under 
        paragraph (1), the Secretary shall give the highest priority to 
        applicants that offer to provide broadband service to the 
        greatest proportion of households that, prior to the provision 
        of the service, had no terrestrial broadband service provider.
            ``(3) Offer of service.--For purposes of this section, a 
        provider shall be considered to offer broadband service in a 
        rural area if the provider makes the broadband service 
        available to households in the rural area at not more than 
        average prices as compared to the prices at which similar 
        services are made available in the nearest urban area, as 
        determined by the Secretary.
    ``(d) Eligible Entities.--
            ``(1) Requirements.--
                    ``(A) In general.--To be eligible to obtain a loan 
                or loan guarantee under this section, an entity shall--
                            ``(i) have the ability to furnish, improve, 
                        or extend a broadband service to a rural area;
                            ``(ii) submit to the Secretary a proposal 
                        that meets the requirements of this section for 
                        a project to offer to provide service to at 
                        least 25 percent of households in a specified 
                        rural area that, as of the date on which the 
                        proposal is submitted, are not offered 
                        broadband service by a terrestrial broadband 
                        service provider; and
                            ``(iii) agree to complete buildout of the 
                        broadband service described in the proposal not 
                        later than 3 years after the date on which a 
                        loan or loan guarantee under this section is 
                        received.
                    ``(B) Prohibition.--In carrying out this section, 
                the Secretary may not make a loan or loan guarantee for 
                a project in any specific area in which broadband 
                service is offered by 3 or more terrestrial service 
                providers that offer services that are comparable to 
                the services proposed by the applicant.
                    ``(C) Equity and market survey requirements.--
                            ``(i) In general.--The Secretary may 
                        require an entity to provide a cost share in an 
                        amount not to exceed 10 percent of the amount 
                        of the loan or loan guarantee requested in the 
                        application of the entity.
                            ``(ii) Credit.--Recurring revenues of an 
                        entity, including broadband service client 
                        revenues, may be credited toward the cost share 
                        required under clause (i).
                            ``(iii) Market survey.--
                                    ``(I) In general.--The Secretary 
                                may require an entity that proposes to 
                                have a subscriber projection of more 
                                than 20 percent of the broadband 
                                service market in a rural area to 
                                submit to the Secretary a market 
                                survey.
                                    ``(II) Less than 20 percent.--The 
                                Secretary may not require an entity 
                                that proposes to have a subscriber 
                                projection of less than 20 percent of 
                                the broadband service market in a rural 
                                area to submit to the Secretary a 
                                market survey.
            ``(2) State and local governments and indian tribes.--
        Subject to paragraph (1), a State or local government 
        (including any agency, subdivision, or instrumentality thereof 
        (including consortia thereof)) and an Indian tribe shall be 
        eligible for a loan or loan guarantee under this section to 
        provide broadband services to a rural area.
            ``(3) Adequacy of security.--The Secretary shall ensure 
        that the type, amount, and method of security used to secure 
        any loan or loan guarantee provided under this section is 
        commensurate to the risk involved with the loan or loan 
        guarantee, particularly if the loan or loan guarantee is issued 
        to a financially-healthy, strong, and stable entity.
            ``(4) Limitation.--No entity (including subsidiaries of an 
        entity) may acquire more than 20 percent of the resources of 
        the program under this section in any fiscal year, as 
        determined by the Secretary.
            ``(5) Notice requirement.--The Secretary shall include a 
        notice of applications under this section on the website of the 
        Secretary for a period of not less than 90 days.
            ``(6) Proposal information.--
                    ``(A) Public access.--The Secretary shall make 
                available on the website of the Secretary during the 
                consideration of a loan by the Secretary--
                            ``(i) the name of the applicant;
                            ``(ii) a description and geographical 
                        representation of the proposed area of 
                        broadband service;
                            ``(iii) a geographical representation and 
                        numerical estimate of the households that have 
                        no terrestrial broadband service offered in the 
                        proposed service area of the project; and
                            ``(iv) such other relevant information that 
                        the Secretary determines to be appropriate.
                    ``(B) Proprietary information.--In making 
                information available relating to a loan proposal as 
                described in subparagraph (A), the Secretary shall not 
                make available information that is proprietary (within 
                the meaning of section 552(b)(4) of title 5, United 
                States Code) to the business interests of the loan 
                applicant.
            ``(7) Timeline.--The Secretary shall establish a timeline 
        on the website for the Secretary for tracking applications 
        received under this section.
            ``(8) Additional information and determination.--
                    ``(A) Prompt processing of applications.--
                            ``(i) In general.--The Secretary shall 
                        establish, by regulation, procedures to ensure 
                        prompt processing of loan and loan guarantee 
                        applications under this section.
                            ``(ii) Time limits.--Subject to clause 
                        (iii), the regulations shall establish general 
                        time limits for action by the Secretary and 
                        applicant response.
                            ``(iii) Extensions.--The Secretary may 
                        grant an extension for a time limit established 
                        under clause (ii).
                            ``(iv) Annual reports.--The Secretary shall 
                        publish an annual report that--
                                    ``(I) describes processing times 
                                for loan and loan guarantee 
                                applications under this section; and
                                    ``(II) provides an explanation for 
                                any processing time extensions required 
                                by the Secretary.
                    ``(B) Additional information.--Not later than 60 
                days after the date on which an applicant submits an 
                application, the Secretary shall request any additional 
                information required for the application to be 
                complete.
                    ``(C) Determination.--Not later than 180 days after 
                the date on which an applicant submits a completed 
                application, the Secretary shall make a determination 
                of whether to approve the application.
            ``(9) Loan closing.--Not later than 45 days after the date 
        on which the Secretary approves an application, documents 
        necessary for the closing of the loan or loan guarantee shall 
        be provided to applicant.
            ``(10) Fund disbursement.--Not later than 10 business days 
        after the date of the receipt of valid documentation requesting 
        disbursement of the approved, closed loan, the disbursement of 
        loan funds shall occur.
            ``(11) Preapplication process.--The Secretary shall 
        establish an optional preapplication process under which an 
        applicant may apply to the Rural Utilities Service for a 
        binding determination of area eligibility prior to preparing a 
        full loan application.
            ``(12) Pending applications.--An application for a loan or 
        loan guarantee under this section, or a petition for 
        reconsideration of a decision on such an application, that is 
        pending on the date of enactment of this paragraph shall be 
        considered under eligibility and feasibility criteria that are 
        no less favorable to the applicant than the criteria in effect 
        on the original date of submission of the application.
    ``(e) Broadband Service.--
            ``(1) In general.--The Secretary shall, from time to time 
        as advances in technology warrant, review and recommend 
        modifications of rate-of-data transmission criteria for 
        purposes of the identification of broadband service 
        technologies under subsection (b).
            ``(2) Prohibition.--The Secretary shall not establish 
        requirements for bandwidth or speed that have the effect of 
        precluding the use of evolving technologies appropriate for 
        rural areas outside rural communities.
    ``(f) Technological Neutrality.--For purposes of determining 
whether to make a loan or loan guarantee for a project under this 
section, the Secretary shall use criteria that are technologically 
neutral.
    ``(g) Terms and Conditions for Loans and Loan Guarantees.--
            ``(1) In general.--Notwithstanding any other provision of 
        law, a loan or loan guarantee under subsection (c) shall--
                    ``(A) bear interest at an annual rate of, as 
                determined by the Secretary--
                            ``(i) in the case of a direct loan, the 
                        lower of--
                                    ``(I) the cost of borrowing to the 
                                Department of the Treasury for 
                                obligations of comparable maturity; or
                                    ``(II) 4 percent; and
                            ``(ii) in the case of a guaranteed loan, 
                        the current applicable market rate for a loan 
                        of comparable maturity; and
                    ``(B) except as provided in paragraph (2), have a 
                term not to exceed the useful life of the assets 
                constructed, improved, or acquired with the proceeds of 
                the loan or extension of credit.
            ``(2) Term of loan exception.--A loan or loan guarantee 
        under subsection (c) may have a term not to exceed 30 years if 
        the Secretary determines that the loan security is sufficient.
            ``(3) Recurring revenue.--The Secretary shall consider the 
        recurring revenues of the entity at the time of application in 
        determining an adequate level of credit support.
    ``(h) Use of Loan Proceeds To Refinance Loans for Deployment of 
Broadband Service.--Notwithstanding any other provision of this Act, 
the proceeds of any loan made or guaranteed by the Secretary under this 
Act may be used by the recipient of the loan for the purpose of 
refinancing an outstanding obligation of the recipient on another 
telecommunications-related loan made under this Act if the use of the 
proceeds for that purpose will further the construction, improvement, 
or acquisition of facilities and equipment for the provision of 
broadband service in rural areas.
    ``(i) Reports.--Not later than 1 year after the date of enactment 
of the Food and Energy Security Act of 2007, and biennially thereafter, 
the Administrator shall submit to Congress a report that--
            ``(1) describes the ways in which the Administrator 
        determines under subsection (b)(1) that a service enables a 
        subscriber to originate and receive high-quality voice, data, 
        graphics, and video; and
            ``(2) provides a detailed list of services that have been 
        granted assistance under this section.
    ``(j) Funding.--
            ``(1) Authorization of appropriations.--There is authorized 
        to be appropriated to the Secretary to carry out this section 
        $25,000,000 for each of fiscal years 2008 through 2012.
            ``(2) Allocation of funds.--
                    ``(A) In general.--From amounts made available for 
                each fiscal year under this subsection, the Secretary 
                shall--
                            ``(i) establish a national reserve for 
                        loans and loan guarantees to eligible entities 
                        in States under this section; and
                            ``(ii) allocate amounts in the reserve to 
                        each State for each fiscal year for loans and 
                        loan guarantees to eligible entities in the 
                        State.
                    ``(B) Amount.--Based on information available from 
                the most recent decennial census, the amount of an 
                allocation made to a State for a fiscal year under 
                subparagraph (A) shall bear the same ratio to the 
                amount of allocations made for all States for the 
                fiscal year as--
                            ``(i) the number of communities with a 
                        population of 2,500 inhabitants or less in the 
                        State; bears to
                            ``(ii) the number of communities with a 
                        population of 2,500 inhabitants or less in all 
                        States.
                    ``(C) Unobligated amounts.--Any amounts in the 
                reserve established for a State for a fiscal year under 
                subparagraph (B) that are not obligated by April 1 of 
                the fiscal year shall be available to the Secretary to 
                make loans and loan guarantees under this section to 
                eligible entities in any State, as determined by the 
                Secretary.
    ``(k) Termination of Authority.--No loan or loan guarantee may be 
made under this section after September 30, 2012.''.
    (b) National Center for Rural Telecommunications Assessment.--Title 
VI of Rural Electrification Act of 1936 (7 U.S.C. 950bb et seq.) is 
amended by adding at the end the following:

``SEC. 602. NATIONAL CENTER FOR RURAL TELECOMMUNICATIONS ASSESSMENT.

    ``(a) Establishment of Center.--The Secretary shall designate a 
National Center for Rural Telecommunications Assessment (referred to in 
this section as the `Center').
    ``(b) Criteria.--In designating the Center, the Secretary shall 
ensure that--
            ``(1) the Center is an entity with a focus on rural policy 
        research and a minimum of 5 years experience in rural 
        telecommunications research and assessment;
            ``(2) the Center is capable of assessing broadband services 
        in rural areas; and
            ``(3) the Center has significant experience with other 
        rural economic development centers and organizations in the 
        assessment of rural policies and formulation of policy 
        solutions at the local, State, and Federal levels.
    ``(c) Duties.--The Center shall--
            ``(1) assess the effectiveness of programs under this 
        section in increasing broadband availability and use in rural 
        areas, especially in those rural communities identified by the 
        Secretary as having no service before award of a broadband loan 
        or loan guarantee under section 601(c);
            ``(2) develop assessments of broadband availability in 
        rural areas, working with existing rural development centers 
        selected by the Center;
            ``(3) identify policies and initiatives at the local, 
        State, and Federal level that have increased broadband 
        availability and use in rural areas;
            ``(4) conduct national studies of rural households and 
        businesses focusing on the adoption of, barriers to, and use of 
        broadband services, with specific attention addressing the 
        economic, social and educational consequences of 
        inaccessibility to affordable broadband services;
            ``(5) provide reports to the public on the activities 
        carried out and funded under this section; and
            ``(6) conduct studies and provide recommendations to local, 
        State, and Federal policymakers on effective strategies to 
        bring affordable broadband services to rural citizens residing 
        outside of the municipal boundaries of rural cities and towns.
    ``(d) Reporting Requirements.--Not later than December 1, 2008, and 
each year thereafter through December 1, 2012, the Center shall submit 
to the Secretary a report that--
            ``(1) describes the activities of the Center, the results 
        of research carried out by the Center, and any additional 
        information for the preceding fiscal year that the Secretary 
        may request; and
            ``(2) includes--
                    ``(A) assessments of the programs carried out under 
                this section and section 601;
                    ``(B) annual assessments on the effects of the 
                policy initiatives identified under subsection (c)(3); 
                and
                    ``(C) results from the national studies of rural 
                households and businesses conducted under subsection 
                (c)(4).
    ``(e) Authorization of Appropriations.--There is authorized to be 
appropriated to the Secretary to carry out this section $1,000,000 for 
each of fiscal years 2008 through 2012.''.
    (c) Regulations.--The Secretary may promulgate such regulations as 
are necessary to implement the amendments made by this section.

SEC. 6111. SUBSTANTIALLY UNDERSERVED TRUST AREAS.

    The Rural Electrification Act of 1936 is amended by inserting after 
section 306E (7 U.S.C. 936e) the following:

``SEC. 306F. SUBSTANTIALLY UNDERSERVED TRUST AREAS.

    ``(a) Definitions.--In this section:
            ``(1) Substantially underserved trust area.--The term 
        `substantially underserved trust area' means a community in 
        `trust land' (as defined in section 3765 of title 38, United 
        States Code) in which more than 20 percent of the residents do 
        not have modern, affordable, or reliable utility services, as 
        determined by the Secretary.
            ``(2) Utility service.--The term `utility service' means 
        electric, telecommunications, broadband, or water service.
    ``(b) Initiative.--The Secretary, in consultation with local 
governments and Federal agencies, may implement an initiative to 
identify and improve the availability and quality of utility services 
in communities in substantially underserved trust areas.
    ``(c) Authority of Secretary.--In carrying out subsection (b), the 
Secretary--
            ``(1) may make available from loan or loan guarantee 
        programs administered by the Rural Utilities Service to 
        qualified utilities or applicants financing with an interest 
        rate as low as 2 percent, and extended repayment terms, for use 
        in facilitating improved utility service in substantially 
        underserved trust areas;
            ``(2) may waive nonduplication restrictions, matching fund 
        requirements, credit support requirements, or other regulations 
        from any loan or grant program administered by the Rural 
        Utilities Service to facilitate the construction, acquisition, 
        or improvement of infrastructure used to deliver affordable 
        utility services to substantially underserved trust areas;
            ``(3) may assign the highest funding priority to projects 
        in substantially underserved trust areas;
            ``(4) shall make any loan or loan guarantee found to be 
        financially feasible to provide service to substantially 
        underserved trust areas; and
            ``(5) may conduct research and participate in regulatory 
        proceedings to recommend policy changes to enhance utility 
        service in substantially underserved trust areas.
    ``(d) Report.--Not later than 1 year after the date of enactment of 
this section and annually thereafter, the Secretary shall submit to 
Congress a report that describes--
            ``(1) the progress of the initiative implemented under 
        subsection (b); and
            ``(2) recommendations for any regulatory or legislative 
        changes that would be appropriate to improve services to 
        substantially underserved trust areas.''.

SEC. 6112. STUDY OF FEDERAL ASSISTANCE FOR BROADBAND INFRASTRUCTURE.

    (a) In General.--The Comptroller General of the United States shall 
conduct a study of--
            (1) how the Rural Utilities Service takes into account 
        economic factors in the decisionmaking process of the Service 
        in allocating Federal broadband benefits;
            (2) what other considerations the Rural Utilities Service 
        takes into account in making benefit awards;
            (3) what economic forces prompt Rural Utilities Service 
        broadband loan applicants to seek Federal funding rather than 
        relying on the private market alone;
            (4) how awards made by the Rural Utilities Service of 
        Federal benefits impact the expansion of broadband 
        infrastructure by the private sector; and
            (5) what changes to Federal policy are needed to further 
        encourage technology expansion by private broadband service 
        providers.
    (b) Report.--Not later than 30 months after the date of enactment 
of this Act, the Comptroller General of the United States shall submit 
to the Committee on Agriculture of the House of Representatives and the 
Committee on Agriculture, Nutrition, and Forestry of the Senate a 
report that describes the results of the study conducted under 
subsection (a), including any findings and recommendations.

                   Subtitle C--Connect the Nation Act

SEC. 6201. SHORT TITLE.

    This subtitle may be cited as the ``Connect the Nation Act''.

SEC. 6202. GRANTS TO ENCOURAGE STATE INITIATIVES TO IMPROVE BROADBAND 
              SERVICE.

    (a) Definitions.--In this section:
            (1)  Broadband service.--The term ``broadband service'' 
        means any service that connects the public to the Internet with 
        a data transmission-rate equivalent that is at least 200 
        kilobits per second or 200,000 bits per second, or any 
        successor transmission-rate established by the Federal 
        Communications Commission for broadband, in at least 1 
        direction.
            (2) Eligible entity.--The term ``eligible entity'' means a 
        nonprofit organization that, in conjunction with State agencies 
        and private sector partners, carries out an initiative under 
        the section to identify and track the availability and adoption 
        of broadband services within States.
            (3) Nonprofit organization.--The term ``nonprofit 
        organization'' means an organization that--
                    (A) is described in section 501(c)(3) of the 
                Internal Revenue Code of 1986 and exempt from tax under 
                section 501(a) of that Code;
                    (B) has net earnings that do not inure to the 
                benefit of any member, founder, contributor, or 
                individual associated with the organization;
                    (C) has an established record of competence and 
                working with public and private sectors to accomplish 
                widescale deployment and adoption of broadband services 
                and information technology; and
                    (D) has a board of directors that does not have a 
                majority of individuals who are employed by, or 
                otherwise associated with, any Federal, State, or local 
                government or agency.
            (4) Secretary.--The term ``Secretary'' means the Secretary 
        of Commerce.
    (b) Program.--The Secretary shall award grants to eligible entities 
to pay the Federal share of the cost of the development and 
implementation of statewide initiatives to identify and track the 
availability and adoption of broadband services within States.
    (c) Purposes.--The purpose of a grant made this section shall be--
            (1) to ensure, to the maximum extent practicable, that all 
        citizens and businesses in States have access to affordable and 
        reliable broadband service;
            (2) to promote improved technology literacy, increased 
        computer ownership, and home broadband use among those citizens 
        and businesses;
            (3) to establish and empower local grassroots technology 
        teams in States to plan for improved technology use across 
        multiple community sectors; and
            (4) to establish and sustain an environment that supports 
        broadband services and information technology investment.
    (d)  Eligibility.--To be eligible to receive a grant for an 
initiative under this section, an eligible entity shall--
            (1) submit an application to the Secretary at such time, in 
        such manner, and containing such information as the Secretary 
        may require; and
            (2) provide matching non-Federal funds in an amount that is 
        equal to not less than 20 percent of the total cost of the 
        initiative.
    (e) Competitive Basis.--Grants under this section shall be awarded 
on a competitive basis.
    (f) Peer Review.--
            (1) In general.--The Secretary shall require technical and 
        scientific peer review of applications for grants under this 
        section.
            (2) Review procedures.--The Secretary shall require that 
        any technical and scientific peer review group--
                    (A) be provided a written description of the grant 
                to be reviewed;
                    (B) provide the results of any review by the group 
                to the Secretary; and
                    (C) certify that the group will enter into such 
                voluntary nondisclosure agreements as are necessary to 
                prevent the unauthorized disclosure of confidential and 
                propriety information provided by broadband service 
                providers in connection with projects funded by a grant 
                under this section.
    (g) Use of Funds.--A grant awarded to an eligible entity under this 
section shall be used--
            (1) to provide a baseline assessment of broadband service 
        deployment in 1 or more participating States;
            (2) to identify and track--
                    (A) areas in the participating States that have low 
                levels of broadband service deployment;
                    (B) the rate at which individuals and businesses 
                adopt broadband service and other related information 
                technology services; and
                    (C) possible suppliers of the services;
            (3) to identify barriers to the adoption by individuals and 
        businesses of broadband service and related information 
        technology services, including whether--
                    (A) the demand for the services is absent; and
                    (B) the supply for the services is capable of 
                meeting the demand for the services;
            (4) to create and facilitate in each county or designated 
        region in the participating States a local technology planning 
        team--
                    (A) with members representing a cross section of 
                communities, including representatives of business, 
                telecommunications labor organizations, K-12 education, 
                health care, libraries, higher education, community-
                based organizations, local government, tourism, parks 
                and recreation, and agriculture; and
                    (B) that shall--
                            (i) benchmark technology use across 
                        relevant community sectors;
                            (ii) set goals for improved technology use 
                        within each sector; and
                            (iii) develop a tactical business plan for 
                        achieving the goals of the team, with specific 
                        recommendations for online application 
                        development and demand creation;
            (5) to work collaboratively with broadband service 
        providers and information technology companies to encourage 
        deployment and use, especially in unserved, underserved, and 
        rural areas, through the use of local demand aggregation, 
        mapping analysis, and the creation of market intelligence to 
        improve the business case for providers to deploy;
            (6) to establish programs to improve computer ownership and 
        Internet access for unserved, underserved, and rural 
        populations;
            (7) to collect and analyze detailed market data concerning 
        the use and demand for broadband service and related 
        information technology services;
            (8) to facilitate information exchange regarding the use 
        and demand for broadband services between public and private 
        sectors; and
            (9) to create within the participating States a geographic 
        inventory map of broadband service that shall--
                    (A) identify gaps in the service through a method 
                of geographic information system mapping of service 
                availability at the census block level; and
                    (B) provide a baseline assessment of statewide 
                broadband deployment in terms of households with high-
                speed availability.
    (h) Participation Limitation.--For each participating State, an 
eligible entity may not receive a new grant under this section to carry 
out the activities described in subsection (g) within the participating 
State if the eligible entity obtained prior grant awards under this 
section to carry out the same activities in the participating State for 
each of the previous 4 fiscal years.
    (i) Report.--Each recipient of a grant under this section shall 
submit to the Secretary a report describing the use of the funds 
provided by the grant.
    (j) No Regulatory Authority.--Nothing in this section provides any 
public or private entity with any regulatory jurisdiction or oversight 
authority over providers of broadband services or information 
technology.
    (k) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $40,000,000 for each of fiscal 
years 2008 through 2012.

   Subtitle D--Food, Agriculture, Conservation, and Trade Act of 1990

SEC. 6301. RURAL ELECTRONIC COMMERCE EXTENSION PROGRAM.

    Section 1670(e) of the Food, Agriculture, Conservation, and Trade 
Act of 1990 (7 U.S.C. 5923(e)) is amended by striking ``2007'' and 
inserting ``2012''.

SEC. 6302. TELEMEDICINE, LIBRARY CONNECTIVITY, PUBLIC TELEVISION, AND 
              DISTANCE LEARNING SERVICES IN RURAL AREAS.

    (a) In General.--Chapter 1 of subtitle D of title XXII of the Food, 
Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 950aaa et 
seq.) is amended in the chapter heading by striking ``AND DISTANCE 
LEARNING'' and inserting ``, LIBRARY CONNECTIVITY, PUBLIC TELEVISION, 
AND DISTANCE LEARNING''.
    (b) Purpose.--Section 2331 of the Food, Agriculture, Conservation, 
and Trade Act of 1990 (7 U.S.C. 950aaa) is amended by striking 
``telemedicine services and distance learning'' and inserting 
``telemedicine services, library connectivity, and distance learning''.
    (c) Definitions.--Section 2332 of the Food, Agriculture, 
Conservation, and Trade Act of 1990 (7 U.S.C. 950aaa-1) is amended--
            (1) by redesignating paragraphs (1) through (3) as 
        paragraphs (2) through (4), respectively; and
            (2) by inserting before paragraph (2) (as so redesignated) 
        the following:
            ``(1) Connectivity.--The term `connectivity' means the 
        ability to use a range of high-speed digital services or 
        networks.''.
    (d) Telemedicine, Library Connectivity, and Distance Learning 
Services in Rural Areas.--Section 2333 of the Food, Agriculture, 
Conservation, and Trade Act of 1990 (7 U.S.C. 950aaa-2) is amended--
            (1) in the section heading, by striking ``and distance 
        learning'' and inserting ``, library connectivity, public 
        television, and distance learning'';
            (2) in subsection (a), by striking ``construction of 
        facilities and systems to provide telemedicine services and 
        distance learning services'' and inserting ``construction and 
        use of facilities and systems to provide telemedicine services, 
        library connectivity, distance learning services, and public 
        television station digital conversion'';
            (3) in subsection (b), by striking paragraph (2) and 
        inserting the following:
            ``(2) Form.--The Secretary shall establish by notice the 
        amount of the financial assistance available to applicants in 
        the form of grants, costs of money loans, combinations of 
        grants and loans, or other financial assistance so as to--
                    ``(A)(i) further the purposes of this chapter; and
                    ``(ii) in the case of loans, result in the maximum 
                feasible repayment to the Federal Government of the 
                loan; and
                    ``(B) to ensure that funds made available to carry 
                out this chapter are used to the maximum extent 
                practicable to assist useful and needed projects.'';
            (4) in subsection (c)--
                    (A) in paragraph (1)--
                            (i) in the matter preceding subparagraph 
                        (A), by striking ``financial assistance'' and 
                        inserting ``assistance in the form of grants'';
                            (ii) in subparagraph (A), by striking 
                        ``and'' at the end;
                            (iii) in subparagraph (B)--
                                    (I) by striking ``service or 
                                distance'' and inserting ``services, 
                                library connectivity services, public 
                                television station digital conversion, 
                                or distance'';
                                    (II) by striking the period at the 
                                end and inserting a semicolon; and
                                    (III) by adding at the end the 
                                following:
                    ``(C) libraries or library support organizations;
                    ``(D) public television stations and the parent 
                organizations of public television stations; and
                    ``(E) schools, libraries, and other facilities 
                operated by the Bureau of Indian Affairs or the Indian 
                Health Service.'';
                    (B) in paragraph (4), by striking ``services or 
                distance'' and inserting ``service, library 
                connectivity, public television station digital 
                conversion, or distance''; and
                    (C) by adding at the end the following:
            ``(5) Public television grants.--The Secretary shall 
        establish a separate competitive process to determine the 
        allocation of grants under this chapter to public television 
        stations.'';
            (5) in subsection (d)--
                    (A) in the matter preceding paragraph (1), by 
                inserting ``1 or more of'' after ``considering'';
                    (B) in paragraph (12), by striking ``and'' at the 
                end;
                    (C) by redesignating paragraph (13) as paragraph 
                (14); and
                    (D) by inserting after paragraph (12) the 
                following:
            ``(13) the cost and availability of high-speed network 
        access; and'';
            (6) by striking subsection (f) and inserting the following:
    ``(f) Use of Funds.--Financial assistance provided under this 
chapter shall be used for--
            ``(1) the development, acquisition, and digital 
        distribution of instructional programming to rural users;
            ``(2) the development and acquisition, through lease or 
        purchase, of computer hardware and software, audio and visual 
        equipment, computer network components, telecommunications 
        terminal equipment, telecommunications transmission facilities, 
        data terminal equipment, or interactive video equipment, 
        teleconferencing equipment, or other facilities that would 
        further telemedicine services, library connectivity, or 
        distance learning services;
            ``(3) the provision of technical assistance and instruction 
        for the development or use of the programming, equipment, or 
        facilities referred to in paragraphs (1) and (2);
            ``(4) the acquisition of high-speed network transmission 
        equipment or services that would not otherwise be available or 
        affordable to the applicant;
            ``(5) costs relating to the coordination and collaboration 
        among and between libraries on connectivity and universal 
        service initiatives, or the development of multi-library 
        connectivity plans that benefit rural users; or
            ``(6) other uses that are consistent with this chapter, as 
        determined by the Secretary.''; and
            (7) in subsection (i)--
                    (A) in paragraph (1), by striking ``telemedicine or 
                distance'' and inserting ``telemedicine, library 
                connectivity, public television station digital 
                conversion, or distance''; and
                    (B) in paragraph (2)--
                            (i) in subparagraph (A), by striking 
                        ``telemedicine or distance'' and inserting 
                        ``telemedicine, library connectivity, or 
                        distance''; and
                            (ii) in subparagraph (B), by inserting 
                        ``nonproprietary information contained in'' 
                        before ``the applications''.
    (e) Administration.--Section 2334 of the Food, Agriculture, 
Conservation, and Trade Act of 1990 (7 U.S.C. 950aaa-3) is amended--
            (1) in subsection (a), by striking ``services or distance'' 
        and inserting ``services, library connectivity, or distance''; 
        and
            (2) in subsection (d), by striking ``or distance learning'' 
        and all that follows through the end of the subsection and 
        inserting ``, library connectivity, or distance learning 
        services through telecommunications in rural areas.''.
    (f) Authorization of Appropriations.--Section 2335A of the Food, 
Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 950aaa-5) is 
amended by striking ``2007'' and inserting ``2012''.
    (g) Conforming Amendment.--Section 1(b) of Public Law 102-551 (7 
U.S.C. 950aaa note; Public Law 102-551) is amended by striking ``2007'' 
and inserting ``2012''.

                       Subtitle E--Miscellaneous

SEC. 6401. VALUE-ADDED AGRICULTURAL PRODUCT MARKET DEVELOPMENT GRANTS.

    (a) Definitions.--Section 231 of the Agricultural Risk Protection 
Act of 2000 (7 U.S.C. 1621 note; Public Law 106-224) is amended by 
striking subsection (a) and inserting the following:
    ``(a) Definitions.--In this section:
            ``(1) Assisting organization.--The term `assisting 
        organization' means a nonprofit organization, institution of 
        higher education, or units of government with expertise, as 
        determined by the Secretary, to assist eligible producers and 
        entities described in subsection (b)(1) through--
                    ``(A) the provision of market research, training, 
                or technical assistance; or
                    ``(B) the development of supply networks for value-
                added products that strengthen the profitability of 
                small and mid-sized family farms.
            ``(2) Technical assistance.--The term `technical 
        assistance' means managerial, financial, operational, and 
        scientific analysis and consultation to assist an individual or 
        entity (including a recipient or potential recipient of a grant 
        under this section)--
                    ``(A) to identify and evaluate practices, 
                approaches, problems, opportunities, or solutions; and
                    ``(B) to assist in the planning, implementation, 
                management, operation, marketing, or maintenance of 
                projects authorized under this section.
            ``(3) Value-added agricultural product.--
                    ``(A) In general.--The term `value-added 
                agricultural product' means any agricultural commodity 
                or product that--
                            ``(i)(I) has undergone a change in physical 
                        state;
                            ``(II) was produced in a manner that 
                        enhances the value of the agricultural 
                        commodity or product, as demonstrated through a 
                        business plan that shows the enhanced value, as 
                        determined by the Secretary; or
                            ``(III) is physically segregated in a 
                        manner that results in the enhancement of the 
                        value of the agricultural commodity or product; 
                        and
                            ``(ii) as a result of the change in 
                        physical state or the manner in which the 
                        agricultural commodity or product was produced, 
                        marketed, or segregated--
                                    ``(I) the customer base for the 
                                agricultural commodity or product has 
                                been expanded; and
                                    ``(II) a greater portion of the 
                                revenue derived from the marketing, 
                                processing, or physical segregation of 
                                the agricultural commodity or product 
                                is available to the producer of the 
                                commodity or product.
                    ``(B) Inclusion.--The term `value-added 
                agricultural products' includes--
                            ``(i) farm- or ranch-based renewable 
                        energy, including the sale of E-85 fuel; and
                            ``(ii) the aggregation and marketing of 
                        locally-produced agricultural food products.''.
    (b) Grant Program.--Section 231(b) of the Agricultural Risk 
Protection Act of 2000 (7 U.S.C. 1621 note; Public Law 106-224) is 
amended--
            (1) in paragraph (2)--
                    (A) in subparagraph (A), by striking ``exceed 
                $500,000'' and inserting ``exceed--
                            ``(i) $300,000 in the case of grants 
                        including working capital; and
                            ``(ii) $100,000 in the case of all other 
                        grants.''; and
                    (B) by adding at the end the following:
                    ``(C) Research, training, technical assistance, and 
                outreach.--The amount of grant funds provided to an 
                assisting organization for a fiscal year may not exceed 
                10 percent of the total amount of funds that are used 
                to make grants for the fiscal year under this 
                subsection.'';
            (2) in paragraph (3)--
                    (A) in subparagraph (A), by striking ``or'' at the 
                end;
                    (B) in subparagraph (B), by striking the period at 
                the end and inserting ``; or''; and
                    (C) by adding at the end the following:
                    ``(C) to conduct market research, provide training 
                and technical assistance, develop supply networks, or 
                provide program outreach.''; and
            (3) by striking paragraph (4) and inserting the following:
            ``(4) Term.--A grant under this section shall have a term 
        that does not exceed 3 years.
            ``(5) Simplified application.--The Secretary shall offer a 
        simplified application form and process for project proposals 
        requesting less than $50,000.
            ``(6) Priority.--
                    ``(A) In general.--In awarding grants, the 
                Secretary shall give the priority to projects that--
                            ``(i) contribute to increasing 
                        opportunities for beginning farmers or 
                        ranchers, socially disadvantaged farmers or 
                        ranchers, and operators of small- and medium-
                        sized farms and ranches that are not larger 
                        than family farms; and
                            ``(ii) support new ventures that do not 
                        have well-established markets or product 
                        development staffs and budgets, including the 
                        development of local food systems and the 
                        development of infrastructure to support local 
                        food systems.
                    ``(B) Participation.--To the maximum extent 
                practicable, the Secretary shall provide grants to 
                projects that provide training and outreach activities 
                in areas that have, as determined by the Secretary, 
                received relatively fewer grants than other areas.
            ``(7) Authorization of appropriations.--There are 
        authorized to be appropriated such sums as are necessary to 
        carry out this subsection for each of fiscal years 2008 through 
        2012.''.

SEC. 6402. STUDY OF RAILROAD ISSUES.

    (a) In General.--The Secretary, in coordination with the Secretary 
of Transportation, shall conduct a study of railroad issues regarding 
the movement of agricultural products, domestically-produced renewable 
fuels, and domestically-produced resources for the production of 
electricity in rural areas of the United States and for economic 
development in rural areas of the United States.
    (b) Issue.--In conducting the study, the Secretary shall include an 
examination of--
            (1) the importance of freight railroads to--
                    (A) the delivery of equipment, seed, fertilizer, 
                and other products that are important to the 
                development of agricultural commodities and products;
                    (B) the movement of agricultural commodities and 
                products to market; and
                    (C) the delivery of ethanol and other renewable 
                fuels;
            (2) the sufficiency in rural areas of the United States 
        of--
                    (A) railroad capacity;
                    (B) competition in the railroad system; and
                    (C) the reliability of rail service; and
            (3) the accessibility to rail customers in rural areas of 
        the United States to Federal processes for the resolution of 
        rail customer grievances with the railroads.
    (c) Report.--Not later than 270 days after the date of enactment of 
this Act, the Secretary shall submit to Congress a report that 
describes--
            (1) the results of the study conducted under this section; 
        and
            (2) the recommendations of the Secretary for new Federal 
        policies to address any problems identified by the study.

SEC. 6403. INSURANCE OF LOANS FOR HOUSING AND RELATED FACILITIES FOR 
              DOMESTIC FARM LABOR.

    Section 514(f)(3) of the Housing Act of 1949 (42 U.S.C. 1484(f)(3)) 
is amended by striking ``or the handling of such commodities in the 
unprocessed stage'' and inserting ``, the handling of agricultural or 
aquacultural commodities in the unprocessed stage, or the processing of 
agricultural or aquacultural commodities''.

                TITLE VII--RESEARCH AND RELATED MATTERS

  Subtitle A--National Agricultural Research, Extension, and Teaching 
                           Policy Act of 1977

SEC. 7001. DEFINITIONS.

    Section 1404 of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3103) is amended--
            (1) in paragraph (4)--
                    (A) by redesignating subparagraphs (A) through (E) 
                as clauses (i) through (v), respectively;
                    (B) by striking ``(4) The terms'' and inserting the 
                following:
            ``(4) College and university.--
                    ``(A) In general.--The terms''; and
                    (C) by adding at the end the following:
                    ``(B) Inclusions.--The terms `college' and 
                `university' include a research foundation maintained 
                by a college or university described in subparagraph 
                (A).'';
            (2) by redesignating paragraphs (6) through (8), (9) 
        through (14), (15), and (16) as paragraphs (7) through (9), 
        (11) through (16), (19), and (6), respectively, and moving the 
        paragraphs so as to appear in alphabetical order;
            (3) by inserting after paragraph (9) (as redesignated by 
        paragraph (2)) the following:
            ``(10) Hispanic-serving agricultural colleges and 
        universities.--The term `Hispanic-serving agricultural colleges 
        and universities' means a college or university that--
                    ``(A) qualifies as a Hispanic-serving institution; 
                and
                    ``(B) offers associate, bachelor's, or other 
                accredited degree programs in agriculture-related 
                fields.''; and
            (4) by striking paragraph (11) (as so redesignated) and 
        inserting the following:
            ``(11) Hispanic-serving institution.--The term `Hispanic-
        serving institution' has the meaning given the term in section 
        502(a) of the Higher Education Act of 1965 (20 U.S.C. 
        1101a(a)).''.

SEC. 7002. 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 ``2007'' and inserting ``2012''.

SEC. 7003. VETERINARY MEDICINE LOAN REPAYMENT.

    Section 1415A of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3151a) is amended--
            (1) by redesignating subsection (d) as subsection (e); and
            (2) by inserting after subsection (c) the following:
    ``(d) Regulations.--Not later than 270 days after the date of 
enactment of the Food and Energy Security Act of 2007, the Secretary 
shall promulgate regulations to carry out this section.''.

SEC. 7004. ELIGIBILITY OF UNIVERSITY OF THE DISTRICT OF COLUMBIA FOR 
              GRANTS AND FELLOWSHIPS FOR FOOD AND AGRICULTURAL SCIENCES 
              EDUCATION.

    Section 1417 of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3152) is amended--
            (1) in the matter preceding paragraph (1) of subsection 
        (b), by inserting ``(including the University of the District 
        of Columbia)'' after ``land-grant colleges and universities''; 
        and
            (2) in subsection (d)(2), by inserting ``(including the 
        University of the District of Columbia)'' after 
        ``universities''.

SEC. 7005. GRANTS TO 1890 INSTITUTIONS TO EXPAND EXTENSION CAPACITY.

    Section 1417(b)(4) of the National Agricultural Research, 
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3152(b)(4)) is 
amended by striking ``teaching and research'' and inserting ``teaching, 
research, and extension''.

SEC. 7006. EXPANSION OF FOOD AND AGRICULTURAL SCIENCES AWARDS.

    Section 1417(i) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3152(i)) is amended--
            (1) in the subsection heading, by striking ``Teaching 
        Awards'' and ``Teaching, Extension, and Research Awards''; and
            (2) by striking paragraph (1) and inserting the following:
            ``(1) Establishment.--
                    ``(A) In general.--The Secretary shall establish a 
                National Food and Agricultural Sciences Teaching, 
                Extension, and Research Awards program to recognize and 
                promote excellence in teaching, extension, and research 
                in the food and agricultural sciences at a college or 
                university.
                    ``(B) Minimum requirement.--The Secretary shall 
                make at least 1 cash award in each fiscal year to a 
                nominee selected by the Secretary for excellence in 
                each of the areas of teaching, extension, and research 
                of food and agricultural science at a college or 
                university.''.

SEC. 7007. GRANTS AND FELLOWSHIPS FOR FOOD AND AGRICULTURAL SCIENCES 
              EDUCATION.

    (a) Education Teaching Programs.--Section 1417(j) of the National 
Agricultural Research, Extension and Teaching Policy Act of 1977 (7 
U.S.C. 3152(j)) is amended--
            (1) in the subsection heading, by striking ``and 2-Year 
        Postsecondary Education Teaching Programs'' and inserting ``, 
        2-Year Postsecondary Education, and Agriculture in the K-12 
        Classroom''; and
            (2) in paragraph (3)--
                    (A) in the matter preceding subparagraph (A), by 
                striking ``and institutions of higher education that 
                award an associate's degree'' and inserting ``, 
                institutions of higher education that award an 
                associate's degree, other institutions of higher 
                education, and nonprofit organizations'';
                    (B) in subparagraph (E), by striking ``and'' at the 
                end;
                    (C) in subparagraph (F), by striking the period at 
                the end and inserting ``; and''; and
                    (D) by adding at the end the following:
                    ``(G) to support current agriculture in the 
                classroom programs for grades K-12.''.
    (b) Authorization of Appropriations.--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 ``2007'' and inserting 
``2012''.
    (c) Report.--Section 1417 of the National Agricultural Research, 
Extension and Teaching Policy Act of 1977 (7 U.S.C. 3152) is amended--
            (1) by redesignating subsection (l) as subsection (m); and
            (2) by inserting after subsection (k) the following:
    ``(l) Report.--The Secretary shall submit an annual report to the 
Committee on Agriculture of the House of Representatives and the 
Committee on Agriculture, Nutrition, and Forestry of the Senate 
describing the distribution of funds used to implement teaching 
programs under subsection (j).''.

SEC. 7008. 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 ``2007'' and inserting ``2012''.

SEC. 7009. POLICY RESEARCH CENTERS.

    Section 1419A of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3155) is amended--
            (1) in subsection (b), by inserting ``(including the Food 
        Agricultural Policy Research Institute, the Agricultural and 
        Food Policy Center, the Rural Policy Research Institute, and 
        the Community Vitality Center)'' after ``research institutions 
        and organizations''; and
            (2) in subsection (d), by striking ``2007'' and inserting 
        ``2012''.

SEC. 7010. 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 ``2007'' and inserting ``2012''.

SEC. 7011. 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 ``2007'' and inserting ``2012''.

SEC. 7012. NUTRITION EDUCATION PROGRAM.

    (a) Definitions.--Section 1425 of the National Agricultural 
Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3175) is 
amended--
            (1) by redesignating subsections (a) through (c) as 
        subsections (b) through (d), respectively;
            (2) by striking the section heading and ``Sec. 1425.'' and 
        inserting the following:

``SEC. 1425. NUTRITION EDUCATION PROGRAM.

    ``(a) Definitions.--In this section, the terms `1862 Institution' 
and `1890 Institution' have the meaning given those terms in section 2 
of the Agricultural Research, Extension, and Education Reform Act of 
1998 (7 U.S.C. 7601).'';
            (3) in subsection (b) (as redesignated by paragraph (1)), 
        by striking ``The Secretary'' and inserting the following:
    ``(b) Establishment.--The Secretary''; and
            (4) in subsection (c) (as so redesignated), by striking 
        ``In order to enable'' and inserting the following:
    ``(c) Employment and Training.--To enable''.
    (b) Funding to 1862, 1890, and Insular Area Institutions.--
Subsection (d) of section 1425 of the National Agricultural Research, 
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3175) (as 
redesignated by subsection (a)(1)) is amended--
            (1) in the matter preceding paragraph (1), by striking 
        ``Beginning'' and inserting the following:
    ``(d) Allocation of Funding.--Beginning''; and
            (2) in paragraph (2), by striking subparagraph (B) and 
        inserting the following:
                    ``(B) Notwithstanding section 3(d)(2) of the Act of 
                May 8, 1914 (7 U.S.C. 343(d)(2)), the remainder shall 
                be allocated among the States as follows:
                            ``(i) $100,000 shall be distributed to each 
                        1862 and 1890 land-grant college and 
                        university.
                            ``(ii)(I) Subject to subclause (II), of the 
                        remainder, 10 percent for fiscal year 2008, 11 
                        percent for fiscal year 2009, 12 percent for 
                        fiscal year 2010, 13 percent for fiscal year 
                        2011, 14 percent for fiscal year 2012, and 15 
                        percent for each fiscal year thereafter, shall 
                        be distributed among the 1890 Institutions, to 
                        be allocated to each 1890 Institution in an 
                        amount that bears the same ratio to the total 
                        amount to be allocated under this clause as--
                                    ``(aa) the population living at or 
                                below 125 percent of the income poverty 
                                guidelines (as prescribed by the Office 
                                of Management and Budget and as 
                                adjusted pursuant to section 673(2) of 
                                the Community Services Block Grant Act 
                                (42 U.S.C. 9902(2))) in the State in 
                                which the 1890 Institution is located; 
                                bears to
                                    ``(bb) the total population living 
                                at or below 125 percent of the income 
                                poverty guidelines in all States that 
                                have 1890 Institutions, as determined 
                                by the last preceding decennial census 
                                at the time each such additional amount 
                                is first appropriated.
                            ``(II) The total amount allocated under 
                        this clause shall not exceed the amount of the 
                        funds appropriated for the conduct of the 
                        expanded food and nutrition education program 
                        for the fiscal year that are in excess of the 
                        amount appropriated for the conduct of the 
                        program for fiscal year 2007.
                            ``(iii)(I) Subject to subclauses (II) and 
                        (III), the remainder shall be allocated to the 
                        1860 institution in each State (including the 
                        appropriate insular area institution and the 
                        University of the District of Columbia) in an 
                        amount that bears the same ratio to the total 
                        amount to be allocated under this subparagraph 
                        as--
                                    ``(aa) the population of the State 
                                living at or below 125 percent of the 
                                income poverty guidelines prescribed by 
                                the Office of Management and Budget 
                                (adjusted pursuant to section 673(2) of 
                                the Omnibus Budget Reconciliation Act 
                                of 1981 (42 U.S.C. 9902(2))); bears to
                                    ``(bb) the total population of all 
                                the States living at or below 125 
                                percent of the income poverty 
                                guidelines, as determined by the last 
                                preceding decennial census at the time 
                                each such additional amount is first 
                                appropriated.
                            ``(II) The total amount allocated under 
                        this clause to the University of the District 
                        of Columbia shall not exceed the amount 
                        described in clause (ii)(II), reduced by the 
                        amount allocated to the University of the 
                        District of Columbia under clause (ii).
                            ``(III) Nothing in this clause precludes 
                        the Secretary from developing educational 
                        materials and programs for persons in income 
                        ranges above the level designated in this 
                        clause.''.
    (c) Authorization of Appropriations.--Subsection (d)(3) of section 
1425 of the National Agricultural Research, Extension, and Teaching 
Policy Act of 1977 (7 U.S.C. 3175) (as redesignated by subsection 
(a)(1)) is amended--
            (1) by striking ``There is'' and inserting the following:
            ``(3) Authorization of appropriations.--There is''; and
            (2) by striking ``$83,000,000 for each of fiscal years 1996 
        through 2007'' and inserting ``$90,000,000 for each of fiscal 
        years 2008 through 2012''.
    (d) Conforming Amendment.--Section 1588(b) of the Food Security Act 
of 1985 (7 U.S.C. 3175e(b)) is amended by striking ``section 
1425(c)(2)'' and inserting ``section 1425(d)(2)''.
    (e) Effective Date.--The amendments made by this section take 
effect on October 1, 2007.

SEC. 7013. 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 in the 
first sentence by striking ``2007'' and inserting ``2012''.

SEC. 7014. 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 ``2007'' and inserting ``2012''.

SEC. 7015. ANIMAL HEALTH AND DISEASE RESEARCH PROGRAM.

    Section 1434(b) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3196(b)) is amended by 
inserting after ``universities'' the following: ``(including 1890 
Institutions (as defined in section 2 of the Agricultural Research, 
Extension, and Education Reform Act of 1998 (7 U.S.C. 7601)))''.

SEC. 7016. AUTHORIZATION LEVEL FOR EXTENSION AT 1890 LAND-GRANT 
              COLLEGES.

    Section 1444(a)(2) of the National Agricultural Research, 
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3221(a)(2)) is 
amended by striking ``15 percent'' and inserting ``20 percent''.

SEC. 7017. AUTHORIZATION LEVEL FOR AGRICULTURAL RESEARCH AT 1890 LAND-
              GRANT COLLEGES.

    Section 1445(a)(2) of the National Agricultural Research, 
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3222(a)(2)) is 
amended by striking ``25 percent'' and inserting ``30 percent''.

SEC. 7018. 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 ``2007'' and inserting ``2012''.

SEC. 7019. GRANTS TO UPGRADE AGRICULTURE AND FOOD SCIENCES FACILITIES 
              AT THE DISTRICT OF COLUMBIA LAND GRANT UNIVERSITY.

    The National Agricultural Research, Extension, and Teaching Policy 
Act of 1977 is amended by inserting after section 1447 (7 U.S.C. 3222b) 
the following:

``SEC. 1447A. GRANTS TO UPGRADE AGRICULTURE AND FOOD SCIENCES 
              FACILITIES AT THE DISTRICT OF COLUMBIA LAND GRANT 
              UNIVERSITY.

    ``(a) Purpose.--It is the intent of Congress to assist the land 
grant university in the District of Columbia established under section 
208 of the District of Columbia Public Postsecondary Education 
Reorganization Act (Public Law 93-471; 88 Stat. 1428) in efforts to 
acquire, alter, or repair facilities or relevant equipment necessary 
for conducting agricultural research.
    ``(b) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section $750,000 for each of fiscal 
years 2008 through 2012.''.

SEC. 7020. NATIONAL RESEARCH AND TRAINING VIRTUAL CENTERS.

    Section 1448 of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3222c) is amended by striking 
``2007'' each place it appears in subsections (a)(1) and (f) and 
inserting ``2012''.

SEC. 7021. MATCHING FUNDS REQUIREMENT FOR RESEARCH AND EXTENSION 
              ACTIVITIES OF 1890 INSTITUTIONS.

    Section 1449(c) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3222d(c)) is amended in the 
first sentence by striking ``2007'' and inserting ``2012.''.

SEC. 7022. HISPANIC-SERVING INSTITUTIONS.

    Section 1455 of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3241) is amended--
            (1) in subsection (a) by striking ``(or grants without 
        regard to any requirement for competition)'';
            (2) in subsection (b)--
                    (A) in paragraph (1), by striking ``of consortia'';
                    (B) in paragraph (3), by striking ``, beginning 
                with the mentoring of students'' and all that follows 
                through ``doctoral degree''; and
                    (C) in paragraph (4)--
                            (i) by striking ``2 or more''; and
                            (ii) by striking ``, or between Hispanic-
                        serving'' and all that follows through ``the 
                        private sector,''; and
            (3) in subsection (c)--
                    (A) by striking ``$20,000,000'' and inserting 
                ``$40,000,000''; and
                    (B) by striking ``2007'' and inserting ``2012''.

SEC. 7023. HISPANIC-SERVING AGRICULTURAL COLLEGES AND UNIVERSITIES.

    (a) In General.--The National Agricultural Research, Extension and 
Teaching Policy Act of 1977 is amended by inserting after section 1455 
(7 U.S.C. 3241) the following:

``SEC. 1456. HISPANIC-SERVING AGRICULTURAL COLLEGES AND UNIVERSITIES.

    ``(a) Definition of Endowment Fund.--In this section, the term 
`endowment fund' means the Hispanic-Serving Agricultural Colleges and 
Universities Fund established under subsection (b).
    ``(b) Endowment.--
            ``(1) In general.--The Secretary of the Treasury shall 
        establish in accordance with this subsection a Hispanic-Serving 
        Agricultural Colleges and Universities Fund.
            ``(2) Agreements.--The Secretary of the Treasury may enter 
        into such agreements as are necessary to carry out this 
        subsection.
            ``(3) Deposit to the endowment fund.--The Secretary of the 
        Treasury shall deposit in the endowment fund any--
                    ``(A) amounts made available through Acts of 
                appropriations, which shall be the endowment fund 
                corpus; and
                    ``(B) interest earned on the endowment fund corpus.
            ``(4) Investments.--The Secretary of the Treasury shall 
        invest the endowment fund corpus and income in interest-bearing 
        obligations of the United States.
            ``(5) Withdrawals and expenditures.--
                    ``(A) Corpus.--The Secretary of the Treasury may 
                not make a withdrawal or expenditure from the endowment 
                fund corpus.
                    ``(B) Withdrawals.--On September 30, 2008, and each 
                September 30 thereafter, the Secretary of the Treasury 
                shall withdraw the amount of the income from the 
                endowment fund for the fiscal year and warrant the 
                funds to the Secretary of Agriculture who, after making 
                adjustments for the cost of administering the endowment 
                fund, shall distribute the adjusted income as follows:
                            ``(i) 60 percent shall be distributed among 
                        the Hispanic-serving agricultural colleges and 
                        universities on a pro rata basis based on the 
                        Hispanic enrollment count of each institution.
                            ``(ii) 40 percent shall be distributed in 
                        equal shares to the Hispanic-serving 
                        agricultural colleges and universities.
            ``(6) Endowments.--Amounts made available under this 
        subsection shall be held and considered to be granted to 
        Hispanic-serving agricultural colleges and universities to 
        establish an endowment in accordance with this subsection.
            ``(7) Authorization of appropriations.--There are 
        authorized to be appropriated to the Secretary such sums as are 
        necessary to carry out this subsection for fiscal year 2008 and 
        each fiscal year thereafter.
    ``(c) Authorization for Annual Payments.--
            ``(1) In general.--For fiscal year 2008 and each fiscal 
        year thereafter, there are authorized to be appropriated to the 
        Department of Agriculture to carry out this subsection an 
        amount equal to the product obtained by multiplying--
                    ``(A) $80,000; by
                    ``(B) the number of Hispanic-serving agricultural 
                colleges and universities.
            ``(2) Payments.--For fiscal year 2008 and each fiscal year 
        thereafter, the Secretary of the Treasury shall pay to the 
        treasurer of each Hispanic-Serving agricultural college and 
        university an amount equal to--
                    ``(A) the total amount made available by 
                appropriations under subparagraph (A); divided by
                    ``(B) the number of Hispanic-serving agricultural 
                colleges and universities.
            ``(3) Use of funds.--
                    ``(A) In general.--Amounts authorized to be 
                appropriated under this subsection shall be used in the 
                same manner as is prescribed for colleges under the Act 
                of August 30, 1890 (commonly known as the `Second 
                Morrill Act') (7 U.S.C. 321 et seq.).
                    ``(B) Relationship to other law.--Except as 
                otherwise provided in this subsection, the requirements 
                of that Act shall apply to Hispanic-serving 
                agricultural colleges and universities under this 
                section.
    ``(d) Institutional Capacity-Building Grants.--
            ``(1) In general.--For fiscal year 2008 and each fiscal 
        year thereafter, the Secretary shall make grants to assist 
        Hispanic-serving agricultural colleges and universities in 
        institutional capacity building (not including alteration, 
        repair, renovation, or construction of buildings).
            ``(2) Criteria for institutional capacity-building 
        grants.--
                    ``(A) Requirements for grants.--The Secretary shall 
                make grants under this subsection on the basis of a 
                competitive application process under which Hispanic-
                serving agricultural colleges and universities may 
                submit applications to the Secretary at such time, in 
                such manner, and containing such information as the 
                Secretary may require.
                    ``(B) Demonstration of need.--
                            ``(i) In general.--As part of an 
                        application for a grant under this subsection, 
                        the Secretary shall require the applicant to 
                        demonstrate need for the grant, as determined 
                        by the Secretary.
                            ``(ii) Other sources of funding.--The 
                        Secretary may award a grant under this 
                        subsection only to an applicant that 
                        demonstrates a failure to obtain funding for a 
                        project after making a reasonable effort to 
                        otherwise obtain the funding.
                    ``(C) Payment of non-federal share.--A grant 
                awarded under this subsection shall be made only if the 
                recipient of the grant pays a non-Federal share in an 
                amount that is specified by the Secretary and based on 
                assessed institutional needs.
            ``(3) Authorization of appropriations.--There are 
        authorized to be appropriated to the Secretary such sums as are 
        necessary to carry out this subsection for fiscal year 2008 and 
        each fiscal year thereafter.
    ``(e) Competitive Grants Program.--
            ``(1) In general.--The Secretary shall establish a 
        competitive grants program to fund fundamental and applied 
        research at Hispanic-serving agricultural colleges and 
        universities in agriculture, human nutrition, food science, 
        bioenergy, and environmental science.
            ``(2) Authorization of appropriations.--There are 
        authorized to be appropriated to the Secretary such sums as are 
        necessary to carry out this subsection for fiscal year 2008 and 
        each fiscal year thereafter.''.
    (b) Extension.--Section 3 of the Smith-Lever Act (7 U.S.C. 343) is 
amended--
            (1) in subsection (b), by adding at the end the following:
            ``(4) Annual appropriation for hispanic-serving 
        agricultural colleges and universities.--
                    ``(A) Authorization of appropriations.--There are 
                authorized to be appropriated to the Secretary such 
                sums as are necessary to carry out this paragraph for 
                fiscal year 2008 and each fiscal year thereafter.
                    ``(B) Additional amount.--Amounts made available 
                under this paragraph shall be in addition to any other 
                amounts made available under this section to States, 
                the Commonwealth of Puerto Rico, or any other territory 
                or possession of the United States.
                    ``(C) Administration.--Amounts made available under 
                this paragraph shall be--
                            ``(i) distributed on the basis of a 
                        competitive application process to be developed 
                        and implemented by the Secretary and paid by 
                        the Secretary to the State institutions 
                        established in accordance with the Act of July 
                        2, 1862 (commonly known as the `First Morrill 
                        Act') (7 U.S.C. 301 et seq.); and
                            ``(ii) administered by State institutions 
                        through cooperative agreements with the 
                        Hispanic-serving agricultural colleges and 
                        universities (as defined in section 1456 of the 
                        National Agricultural Research, Extension and 
                        Teaching Policy Act of 1977) in the State in 
                        accordance with regulations promulgated by the 
                        Secretary.''; and
            (2) in subsection (f)--
                    (A) in the subsection heading, by inserting ``and 
                Hispanic-Serving Agricultural Colleges and 
                Universities'' after ``1994 Institutions''; and
                    (B) by striking ``pursuant to subsection (b)(3)'' 
                and inserting ``or Hispanic-serving agricultural 
                colleges and universities in accordance with paragraphs 
                (3) and (4) of subsection (b)''.

SEC. 7024. INTERNATIONAL AGRICULTURAL RESEARCH, EXTENSION, AND 
              EDUCATION.

    Section 1458(a) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3291(a)) is amended--
            (1) in paragraph (1)--
                    (A) in subparagraph (A), by striking ``and'' after 
                the semicolon;
                    (B) in subparagraph (B), by adding ``and'' at the 
                end; and
                    (C) by adding at the end the following:
                    ``(C) giving priority to those institutions with 
                existing memoranda of understanding, agreements, or 
                other formal ties to United States institutions, or 
                Federal or State agencies;'';
            (2) in paragraph (3), by inserting ``Hispanic-serving 
        agricultural colleges and universities,'' after 
        ``universities,'';
            (3) in paragraph (7)(A), by striking ``and land-grant 
        colleges and universities'' and inserting ``, land-grant 
        colleges and universities, and Hispanic-serving agricultural 
        colleges and universities'';
            (4) in paragraph (9)--
                    (A) in subparagraph (A), by striking ``or other 
                colleges and universities'' and inserting ``, Hispanic-
                serving agricultural colleges and universities, or 
                other colleges and universities''; and
                    (B) in subparagraph (D), by striking ``and'' at the 
                end;
            (5) in paragraph (10), by striking the period at the end 
        and inserting ``; and''; and
            (6) by adding at the end the following:
            ``(11) establish a program for the purpose of providing 
        fellowships to United States or foreign students to study at 
        foreign agricultural colleges and universities working under 
        agreements provided for under paragraph (3).''.

SEC. 7025. 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 ``2007'' and inserting ``2012''.

SEC. 7026. INDIRECT COSTS.

    Section 1462(a) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3310(a)) is amended by 
striking ``shall not exceed 19 percent'' and inserting ``shall be the 
negotiated indirect rate of cost established for an institution by the 
appropriate Federal audit agency for the institution, not to exceed 30 
percent''.

SEC. 7027. RESEARCH EQUIPMENT GRANTS.

    Section 1462A(e) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3310a(e)) is amended by 
striking ``2007'' and inserting ``2012''.

SEC. 7028. UNIVERSITY RESEARCH.

    Section 1463 of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3311) is amended by striking 
``2007'' each place it appears in subsections (a) and (b) and inserting 
``2012''.

SEC. 7029. 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 
``2007'' and inserting ``2012''.

SEC. 7030. 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 ``2007'' and inserting ``2012''.

SEC. 7031. AQUACULTURE RESEARCH FACILITIES.

    (a) Fish Disease Program.--Section 1475(f) of the National 
Agricultural Research, Extension, and Teaching Policy Act of 1977 (7 
U.S.C. 3322(f)) is amended--
            (1) by striking ``The Secretary'' and inserting the 
        following:
            ``(1) In general.--The Secretary''; and
            (2) by adding at the end the following:
            ``(2) Viral hemorrhagic septicemia.--
                    ``(A) In general.--The study of viral hemorrhagic 
                septicemia (referred to in this paragraph as `VHS') and 
                VHS management shall be considered an area of priority 
                research under this subsection.
                    ``(B) Consultation.--
                            ``(i) In general.--The Secretary shall 
                        consult with appropriate directors of State 
                        natural resource management and agriculture 
                        agencies in areas that are VHS positive as of 
                        the date of enactment of this paragraph to 
                        develop and implement a comprehensive set of 
                        priorities for managing VHS, including 
                        providing funds for research into the spread 
                        and control of the disease, surveillance, 
                        monitoring, risk evaluation, enforcement, 
                        screening, education and outreach, and 
                        management.
                            ``(ii) Consideration.--The Secretary shall 
                        provide special consideration to the 
                        recommendations of the directors described in 
                        clause (i) in the development of the VHS 
                        priorities.''.
    (b) Authorization of Appropriations.--Section 1477 of the National 
Agricultural Research, Extension, and Teaching Policy Act of 1977 (7 
U.S.C. 3324) is amended by striking ``2007'' and inserting ``2012''.

SEC. 7032. RANGELAND RESEARCH.

    (a) Grants.--Section 1480(a) of the National Agricultural Research, 
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3333(a)) is 
amended--
            (1) in paragraph (1), by striking ``; and'' and inserting a 
        semicolon;
            (2) in paragraph (2), by striking the period at the end and 
        inserting ``; and''; and
            (3) by adding at the end the following:
            ``(3) pilot programs to coordinate and conduct 
        collaborative projects to address natural resources management 
        issues and facilitate the collection of information and 
        analysis to provide Federal and State agencies, private 
        landowners, and the public with information to allow for 
        improved management of public and private rangeland.''.
    (b) Matching Requirements.--Section 1480(b)(2) of the National 
Agricultural Research, Extension, and Teaching Policy Act of 1977 (7 
U.S.C. 3333(b)(2)) is amended by striking ``subsection (a)(2)'' and 
inserting ``paragraph (2) or (3) of subsection (a)''.
    (c) Authorization of Appropriations.--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 ``2007'' and inserting 
``2012''.

SEC. 7033. SPECIAL AUTHORIZATION FOR BIOSECURITY PLANNING AND RESPONSE.

    Section 1484(a) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3351(a)) is amended by 
striking ``2007'' and inserting ``2012''.

SEC. 7034. RESIDENT INSTRUCTION AND DISTANCE EDUCATION GRANTS PROGRAM 
              FOR INSULAR AREA INSTITUTIONS OF HIGHER EDUCATION.

    (a) Distance Education Grants for Insular Areas.--Section 1490(f) 
of the National Agricultural Research, Extension, and Teaching Policy 
Act of 1977 (7 U.S.C. 3362(f)) is amended by striking ``2007'' and 
inserting ``2012''.
    (b) Resident Instruction Grants for Insular Areas.--Section 1491 of 
the National Agricultural Research, Extension, and Teaching Policy Act 
of 1977 (7 U.S.C. 3363) is amended--
            (1) by redesignating subsection (e) as subsection (c); and
            (2) in subsection (c) (as so redesignated), by striking 
        ``2007'' and inserting ``2012''.

SEC. 7035. FARM MANAGEMENT TRAINING AND PUBLIC FARM BENCHMARKING 
              DATABASE.

    Subtitle K of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 is amended by inserting after section 1467 
(7 U.S.C. 3313) the following:

``SEC. 1468. FARM MANAGEMENT TRAINING AND PUBLIC FARM BENCHMARKING 
              DATABASE.

    ``(a) Definitions.--In this section:
            ``(1) Benchmark, benchmarking.--The term `benchmark' or 
        `benchmarking' means the process of comparing the performance 
        of an agricultural enterprise against the performance of other 
        similar enterprises, through the use of comparable and reliable 
        data, in order to identify business management strengths, 
        weaknesses, and steps necessary to improve management 
        performance and business profitability.
            ``(2) Farm management association.--The term `farm 
        management association' means a public or nonprofit 
        organization or educational program--
                    ``(A) the purpose of which is to assist farmers, 
                ranchers, and other agricultural operators to improve 
                financial management and business profitability by 
                providing training on farm financial planning and 
                analysis, record keeping, and other farm management 
                topics; and
                    ``(B) that is affiliated with a land-grant college 
                or university, other institution of higher education, 
                or nonprofit entity.
            ``(3) National farm management center.--The term `National 
        Farm Management Center' means a land-grant college or 
        university that, as determined by the Secretary--
                    ``(A) has collaborative partnerships with more than 
                5 farm management associations that are representative 
                of agricultural diversity in multiple regions of the 
                United States;
                    ``(B) has maintained and continues to maintain farm 
                financial analysis software applicable to the 
                production and management of a wide range of crop and 
                livestock agricultural commodities (including some 
                organic commodities);
                    ``(C) has established procedures that enable 
                producers--
                            ``(i) to benchmark the farms of the 
                        producers against peer groups; and
                            ``(ii) to query the benchmarking database 
                        by location, farm type, farm size, and 
                        commodity at the overall business and 
                        individual enterprise levels; and
                    ``(D) has provided and continues to provide public 
                online access to farm and ranch financial benchmarking 
                databases.
    ``(b) Establishment.--
            ``(1) In general.--The Secretary shall establish a National 
        Farm Management Center to improve the farm management knowledge 
        and skills of individuals directly involved in production 
        agriculture through--
                    ``(A) participation in a farm management education 
                and training program; and
                    ``(B) direct access to a public farm benchmarking 
                database.
            ``(2) Proposals.--The Secretary shall request proposals 
        from appropriate land-grant colleges and universities for the 
        establishment of a National Farm Management Center in 
        accordance with this section.
            ``(3) Requirements.--The National Farm Management Center 
        established under paragraph (1) shall--
                    ``(A) coordinate standardized financial analysis 
                methodologies for use by farmers, ranchers, other 
                agricultural operators, and farm management 
                associations;
                    ``(B) provide the software tools necessary for farm 
                management associations, farmers, ranchers, and other 
                agricultural operators to perform the necessary 
                financial analyses, including the benchmarking of 
                individual enterprises; and
                    ``(C) develop and maintain a national farm 
                financial database to facilitate those financial 
                analyses and benchmarking that is available online to 
                farmers, ranchers, other agricultural operators, farm 
                management associations, and the public.
    ``(c) Administrative Expenses.--Not more than 8 percent of the 
funds made available to carry out this section may be used for the 
payment of administrative expenses of the Department of Agriculture in 
carrying out this section.
    ``(d) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as are necessary to carry out this section.''.

SEC. 7036. TROPICAL AND SUBTROPICAL AGRICULTURAL RESEARCH.

    Subtitle K of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3310 et seq.) is amended by 
adding at the end the following:

``SEC. 1473E. TROPICAL AND SUBTROPICAL AGRICULTURAL RESEARCH.

    ``(a) Definition of Caribbean and Pacific Basins.--In this section, 
the term `Caribbean and Pacific basins', means--
            ``(1) the States of Florida and Hawaii;
            ``(2) the Commonwealth of Puerto Rico;
            ``(3) the United States Virgin Islands;
            ``(4) Guam;
            ``(5) American Samoa;
            ``(6) the Commonwealth of the Northern Mariana Islands;
            ``(7) the Federated States of Micronesia;
            ``(8) the Republic of the Marshall Islands; and
            ``(9) the Republic of Palau.
    ``(b) Establishment.--The Secretary shall establish a program, to 
be known as the `Tropical and Subtropical Agricultural Research 
Program', to sustain the agriculture and environment of the Caribbean 
and Pacific basins, by supporting the full range of research relating 
to food and agricultural sciences in the Caribbean and Pacific basins, 
with an emphasis on--
            ``(1) pest management;
            ``(2) deterring introduction and establishment of invasive 
        species;
            ``(3) enhancing existing and developing new tropical and 
        subtropical agricultural products; and
            ``(4) expanding value-added agriculture in tropical and 
        subtropical ecosystems.
    ``(c) Grants.--
            ``(1) In general.--In carrying out this section, the 
        Secretary shall provide grants to be awarded competitively to 
        support tropical and subtropical agricultural research in the 
        Caribbean and Pacific basins.
            ``(2) Eligible entities.--To be eligible to receive a 
        grant, an entity shall be a land-grant college or university, 
        or affiliated with a land-grant college or university, that is 
        located in any region of the Caribbean and Pacific basin.
            ``(3) Requirements.--
                    ``(A) Equal amounts.--The total amount of grants 
                provided under this subsection shall be equally divided 
                between the Caribbean and Pacific basins, as determined 
                by the Secretary.
                    ``(B) Research infrastructure and capability 
                priority.--In providing grants under this subsection, 
                the Secretary shall give priority to projects of 
                eligible entities that--
                            ``(i) expand the infrastructure and 
                        capability of the region of the eligible 
                        entity;
                            ``(ii) scientifically and culturally 
                        address regional agricultural and environmental 
                        challenges; and
                            ``(iii) sustain agriculture in the region 
                        of the eligible entity.
                    ``(C) Term.--The term of a grant provided under 
                this subsection shall not exceed 5 years.
                    ``(D) Prohibitions.--A grant provided under this 
                subsection shall not be used for the planning, repair, 
                rehabilitation, acquisition, or construction of any 
                building or facility.
    ``(d) Funding.--
            ``(1) Set-aside.--Not less than 25 percent of the funds 
        made available to carry out this section during a fiscal year 
        shall be used to support programs and services that--
                    ``(A) address the pest management needs of a region 
                in the Caribbean and Pacific basins; or
                    ``(B) minimize the impact to a region in the 
                Caribbean and Pacific basins of invasive species.
            ``(2) Administrative costs.--The Secretary shall use not 
        more than 4 percent of the funds made available under 
        subsection (e) for administrative costs incurred by the 
        Secretary in carrying out this section.
    ``(e) Authorization of Appropriations.--There are authorized to be 
appropriated to the Secretary to carry out this section such sums as 
are necessary for each of fiscal years 2008 through 2012.''.

SEC. 7037. REGIONAL CENTERS OF EXCELLENCE.

    Subtitle K of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3310 et seq.) (as amended by 
section 7036) is amended by adding at the end the following:

``SEC. 1473F. REGIONAL CENTERS OF EXCELLENCE.

    ``(a) Purposes.--The purposes of this section are--
            ``(1) to authorize regional centers of excellence for 
        specific agricultural commodities; and
            ``(2) to develop a national, coordinated program of 
        research, teaching, and extension for commodities that will--
                    ``(A) be cost effective by reducing duplicative 
                efforts regarding research, teaching, and extension;
                    ``(B) leverage available resources by using public/
                private partnerships among industry groups, 
                institutions of higher education, and the Federal 
                Government;
                    ``(C) increase the economic returns to agricultural 
                commodity industries by identifying, attracting, and 
                directing funds to high-priority industry issues; and
                    ``(D) more effectively disseminate industry issue 
                solutions to target audiences through web-based 
                extension information, instructional courses, and 
                educational or training modules.
    ``(b) Definitions.--In this section:
            ``(1) Agricultural commodity.--The term `agricultural 
        commodity' has the meaning given the term in section 513 of the 
        Commodity Promotion, Research, and Information Act of 1996 (7 
        U.S.C. 7412).
            ``(2) Land-grant colleges and universities.--The term 
        `land-grant colleges and universities' means--
                    ``(A) 1862 Institutions (as defined in section 2 of 
                the Agricultural Research, Extension, and Education 
                Reform Act of 1998 (7 U.S.C. 7601));
                    ``(B) 1890 Institutions (as defined in section 2 of 
                that Act); and
                    ``(C) 1994 Institutions (as defined in section 2 of 
                that Act).
    ``(c) Establishment.--
            ``(1) Original composition.--The Secretary shall establish 
        regional centers of excellence for specific agricultural 
        commodities that are each comprised of--
                    ``(A) a lead land-grant college or university; and
                    ``(B) 1 or more member land-grant colleges and 
                universities that provide financial support to the 
                regional center of excellence.
            ``(2) Board of directors.--Each regional center of 
        excellence shall be administered by a board of directors 
        consisting of 15 members, as determined by the lead and member 
        land-grant colleges and universities of the center.
            ``(3) Additional directors and institutions.--Each board of 
        directors of a regional center of excellence may--
                    ``(A) designate additional land-grant colleges and 
                universities as members of the center; and
                    ``(B) designate representatives of the additional 
                land-grant colleges and universities and agriculture 
                industry groups to be additional members of the board 
                of directors.
    ``(d) Programs.--Each regional center of excellence shall achieve 
the purposes of this section through--
            ``(1) research initiatives focused on issues pertaining to 
        the specific agricultural commodity;
            ``(2) teaching initiatives at lead and member land-grant 
        colleges and universities to provide intensive education 
        relating to the specific agricultural commodity; and
            ``(3) extension initiatives focusing on an internet-based 
        information gateway to provide for relevant information 
        development, warehousing, and delivery.
    ``(e) Funding.--
            ``(1) In general.--Each regional center of excellence shall 
        be funded through the use of--
                    ``(A) grants made by the Secretary; and
                    ``(B) matching funds provided by land-grant 
                colleges and universities and agriculture industry 
                groups.
            ``(2) Process.--The board of directors of each regional 
        center of excellence shall have the responsibility for 
        submitting grant proposals to the Secretary to carry out the 
        research, education, and extension program activities described 
        in subsection (d).
            ``(3) Term of grant.--The term of a grant under this 
        subsection may not exceed 5 years.
    ``(f) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section such sums as are necessary for 
each of fiscal years 2008 through 2012.''.

SEC. 7038. NATIONAL DROUGHT MITIGATION CENTER.

    Subtitle K of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3310 et seq.) (as amended by 
section 7037) is amended by adding at the end the following:

``SEC. 1473G. NATIONAL DROUGHT MITIGATION CENTER.

    ``(a) In General.--The Secretary shall offer to enter into an 
agreement with the National Drought Mitigation Center, under which the 
Center shall--
            ``(1) continue to produce the United States Drought 
        Monitor;
            ``(2) maintain a clearinghouse and internet portal on 
        drought; and
            ``(3) develop new drought mitigation and preparedness 
        strategies, responses, models, and methodologies for the 
        agricultural community.
    ``(b) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $5,000,000 for each fiscal 
year.''.

SEC. 7039. AGRICULTURAL DEVELOPMENT IN THE AMERICAN-PACIFIC REGION.

    Subtitle K of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3310 et seq.) (as amended by 
section 7038) is amended by adding at the end the following:

``SEC. 1473H. AGRICULTURAL DEVELOPMENT IN THE AMERICAN-PACIFIC REGION.

    ``(a) Definitions.--In this section:
            ``(1) American-pacific region.--The term `American-Pacific 
        region' means the region encompassing--
                    ``(A) American Samoa;
                    ``(B) Guam;
                    ``(C) the Commonwealth of the Northern Mariana 
                Islands;
                    ``(D) the Federated States of Micronesia;
                    ``(E) the Republic of the Marshall Islands;
                    ``(F) the Republic of Palau;
                    ``(G) the State of Hawaii; and
                    ``(H) the State of Alaska.
            ``(2) Consortium.--The term `consortium' means a 
        collaborative group that--
                    ``(A) is composed of each eligible institution; and
                    ``(B) submits to the Secretary an application for a 
                grant under subsection (b)(2).
            ``(3) Eligible institution.--The term `eligible 
        institution' means a land-grant college or university that is 
        located in the American-Pacific region.
    ``(b) Agricultural Development in the American Pacific Grants.--
            ``(1) In general.--The Secretary may make grants to a 
        consortium of eligible institutions to carry out integrated 
        research, extension, and instruction programs in support of 
        food and agricultural sciences.
            ``(2) Application.--To receive a grant under paragraph (1), 
        a consortium of eligible institutions shall submit to the 
        Secretary an application that includes--
                    ``(A) for each eligible institution, a description 
                of each objective, procedure, and proposed use of funds 
                relating to any funds provided by the Secretary to the 
                consortium under paragraph (1); and
                    ``(B) the method of allocation proposed by the 
                consortium to distribute to each eligible institution 
                any funds provided by the Secretary to the consortium 
                under paragraph (1).
            ``(3) Use of funds.--
                    ``(A) In general.--An eligible institution that 
                receives funds through a grant under paragraph (1) 
                shall use the funds--
                            ``(i) to acquire the equipment, 
                        instrumentation, networking capability, 
                        hardware and software, digital network 
                        technology, and infrastructure required to 
                        integrate research, extension, and instruction 
                        programs in the American-Pacific region;
                            ``(ii) to develop and provide support for 
                        conducting research, extension, and instruction 
                        programs in support of food and agricultural 
                        sciences relevant to the American-Pacific 
                        region, with special emphasis on--
                                    ``(I) the management of pests; and
                                    ``(II) the control of the spread of 
                                invasive alien species; and
                            ``(iii) to provide leadership development 
                        to administrators, faculty, and staff of the 
                        eligible institution with responsibility for 
                        programs relating to agricultural research, 
                        extension, and instruction.
                    ``(B) Prohibited uses.--An eligible institution 
                that receives funds through a grant under paragraph (1) 
                may not use the funds for any cost relating to the 
                planning, acquisition, construction, rehabilitation, or 
                repair of any building or facility of the eligible 
                institution.
            ``(4) Grant term.--A grant under paragraph (1) shall have a 
        term of not more than 5 years.
            ``(5) Administration.--
                    ``(A) Authority of secretary.--The Secretary may 
                carry out this section in a manner that recognizes the 
                different needs of, and opportunities for, each 
                eligible institution.
                    ``(B) Administrative costs.--The Secretary shall 
                use not more than 4 percent of the amount appropriated 
                under subsection (d) for a fiscal year to pay 
                administrative costs incurred in carrying out this 
                section.
    ``(c) No Effect on Distribution of Funds.--Nothing in this section 
affects any basis for distribution of funds by a formula in existence 
on the date of enactment of this section relating to--
            ``(1) the Federated States of Micronesia;
            ``(2) the Republic of the Marshall Islands; or
            ``(3) the Republic of Palau.
    ``(d) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as are necessary to carry out this section for 
each of fiscal years 2008 through 2012.''.

SEC. 7040. BORLAUG INTERNATIONAL AGRICULTURAL SCIENCE AND TECHNOLOGY 
              FELLOWSHIP PROGRAM.

    Subtitle K of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3310 et seq.) (as amended by 
section 7039) is amended by adding at the end the following:

``SEC. 1473I. BORLAUG INTERNATIONAL AGRICULTURAL SCIENCE AND TECHNOLOGY 
              FELLOWSHIP PROGRAM.

    ``(a) Fellowship Program.--
            ``(1) In general.--The Secretary shall establish a 
        fellowship program, to be known as the `Borlaug International 
        Agricultural Science and Technology Fellowship Program,' to 
        provide fellowships for scientific training and study in the 
        United States to individuals from eligible countries (as 
        described in subsection (b)) who specialize in agricultural 
        education, research, and extension.
            ``(2) Programs.--The Secretary shall carry out the 
        fellowship program by implementing 3 programs designed to 
        assist individual fellowship recipients, including--
                    ``(A) a graduate studies program in agriculture to 
                assist individuals who participate in graduate 
                agricultural degree training at a United States 
                institution;
                    ``(B) an individual career improvement program to 
                assist agricultural scientists from developing 
                countries in upgrading skills and understanding in 
                agricultural science and technology; and
                    ``(C) a Borlaug agricultural policy executive 
                leadership course to assist senior agricultural policy 
                makers from eligible countries, with an initial focus 
                on individuals from sub-Saharan Africa and the newly 
                independent states of the former Soviet Union.
    ``(b) Eligible Countries.--An eligible country is a developing 
country, as determined by the Secretary using a gross national income 
per capita test selected by the Secretary.
    ``(c) Purpose of Fellowships.--A fellowship provided under this 
section shall--
            ``(1) promote food security and economic growth in eligible 
        countries by--
                    ``(A) educating a new generation of agricultural 
                scientists;
                    ``(B) increasing scientific knowledge and 
                collaborative research to improve agricultural 
                productivity; and
                    ``(C) extending that knowledge to users and 
                intermediaries in the marketplace; and
            ``(2) shall support--
                    ``(A) training and collaborative research 
                opportunities through exchanges for entry level 
                international agricultural research scientists, 
                faculty, and policymakers from eligible countries;
                    ``(B) collaborative research to improve 
                agricultural productivity;
                    ``(C) the transfer of new science and agricultural 
                technologies to strengthen agricultural practice; and
                    ``(D) the reduction of barriers to technology 
                adoption.
    ``(d) Fellowship Recipients.--
            ``(1) Eligible candidates.--The Secretary may provide 
        fellowships under this section to individuals from eligible 
        countries who specialize in or have experience in agricultural 
        education, research, extension, or related fields, including--
                    ``(A) individuals from the public and private 
                sectors; and
                    ``(B) private agricultural producers.
            ``(2) Candidate identification.--The Secretary shall use 
        the expertise of United States land grant colleges and 
        universities and similar universities, international 
        organizations working in agricultural research and outreach, 
        and national agricultural research organizations to help 
        identify program candidates for fellowships under this section 
        from the public and private sectors of eligible countries.
    ``(e) Use of Fellowships.--A fellowship provided under this section 
shall be used--
            ``(1) to promote collaborative programs among agricultural 
        professionals of eligible countries, agricultural professionals 
        of the United States, the international agricultural research 
        system, and, as appropriate, United States entities conducting 
        research; and
            ``(2) to support fellowship recipients through programs 
        described in subsection (a)(2).
    ``(f) Program Implementation.--The Secretary shall provide for the 
management, coordination, evaluation, and monitoring of the overall 
Borlaug International Agricultural Science and Technology Fellowship 
Program and for the individual programs described in subsection (a)(2), 
except that the Secretary may contract out to 1 or more collaborating 
universities the management of 1 or more of the fellowship programs.
    ``(g) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as are necessary to carry out this section, to 
remain available until expended.''.

SEC. 7041. NEW ERA RURAL TECHNOLOGY PROGRAM.

    Subtitle K of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3310 et seq.) (as amended by 
section 7040) is amended by adding at the end the following:

``SEC. 1473J. NEW ERA RURAL TECHNOLOGY PROGRAM.

    ``(a) Definition of Rural Community College.--In this section, the 
term `rural community college' means an institution of higher education 
that--
            ``(1) admits as regular students individuals who--
                    ``(A) are beyond the age of compulsory school 
                attendance in the State in which the institution is 
                located; and
                    ``(B) have the ability to benefit from the training 
                offered by the institution, in accordance with criteria 
                established by the Secretary;
            ``(2) does not provide an educational program for which it 
        awards a bachelor's degree or an equivalent degree;
            ``(3)(A) provides an educational program of not less than 2 
        years that is acceptable for full credit toward such a degree; 
        or
            ``(B) offers a 2-year program in engineering, technology, 
        mathematics, or the physical, chemical or biological sciences 
        that is designed to prepare a student to work as a technician 
        or at the semiprofessional level in engineering, scientific, or 
        other technological fields requiring the understanding and 
        application of basic engineering, scientific, or mathematical 
        principles of knowledge; and
            ``(4) is located in a rural area (as defined in section 
        343(a) of the Consolidated Farm and Rural Development Act (7 
        U.S.C. 1991(a)).
    ``(b) Program.--
            ``(1) In general.--The Secretary shall establish a program, 
        to be known as the `New Era Rural Technology Program', under 
        which the Secretary shall make grants available for technology 
        development, applied research, and training to aid in the 
        development of an agriculture-based renewable energy workforce.
            ``(2) Fields.--In making grants under the program, the 
        Secretary shall support the fields of--
                    ``(A) bioenergy;
                    ``(B) pulp and paper manufacturing; and
                    ``(C) agriculture-based renewable energy resources.
    ``(c) Eligibility.--To be eligible to receive a grant under this 
section, an entity shall--
            ``(1) be a rural community college or advanced 
        technological center (as determined by the Secretary), in 
        existence on the date of the enactment of this section, that 
        participates in agricultural or bioenergy research and applied 
        research;
            ``(2) have a proven record of development and 
        implementation of programs to meet the needs of students, 
        educators, business, and industry to supply the agriculture-
        based, renewable energy, or pulp and paper manufacturing fields 
        with certified technicians, as determined by the Secretary; and
            ``(3) have the ability to leverage existing partnerships 
        and occupational outreach and training programs for secondary 
        schools, 4-year institutions, and relevant nonprofit 
        organizations.
    ``(d) Grant Priority.--In making grants under this section, the 
Secretary shall give preference to rural community colleges working in 
partnership--
            ``(1) to improve information sharing capacity; and
            ``(2) to maximize the ability of eligible recipients to 
        meet the purposes of this section.
    ``(e) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as are necessary to carry out this section for 
each of fiscal years 2008 through 2012.''.

SEC. 7042. FARM AND RANCH STRESS ASSISTANCE NETWORK.

    Subtitle K of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3310 et seq.) (as amended by 
section 7041) is amended by adding at the end the following:

``SEC. 1473K. FARM AND RANCH STRESS ASSISTANCE NETWORK.

    ``(a) In General.--The Secretary, in cooperation with the Secretary 
of Health and Human Services, shall establish a network, to be known as 
the `Farm and Ranch Stress Assistance Network' (referred to in this 
section as the `Network').
    ``(b) Purpose.--The purpose the network shall be to provide 
behavioral health programs to participants in the agricultural sector 
in the United States.
    ``(c) Grants.--The Secretary, in collaboration with the extension 
service at the National Institute of Food and Agriculture, shall 
provide grants on a competitive basis to States and nonprofit 
organizations for use in carrying out pilot projects to achieve the 
purpose of the Network.
    ``(d) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as are necessary to carry out this section for 
each of fiscal years 2008 through 2012.''.

SEC. 7043. RURAL ENTREPRENEURSHIP AND ENTERPRISE FACILITATION PROGRAM.

    Subtitle K of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3310 et seq.) (as amended by 
section 7042) is amended by adding at the end the following:

``SEC. 1473L. RURAL ENTREPRENEURSHIP AND ENTERPRISE FACILITATION 
              PROGRAM.

    ``(a) Definition of Regional Rural Development Center.--In this 
section, the term `regional rural development center' means--
            ``(1) the North Central Regional Center for Rural 
        Development (or a designee);
            ``(2) the Northeast Regional Center for Rural Development 
        (or a designee);
            ``(3) the Southern Rural Development Center (or a 
        designee); and
            ``(4) the Western Rural Development Center (or a designee).
    ``(b) Projects.--The Secretary shall carry out research, extension, 
and education projects to obtain data, convey knowledge, and develop 
skills through projects that--
            ``(1) transfer practical, reliable, and timely information 
        to rural entrepreneurs and rural entrepreneurial development 
        organizations concerning business management, business 
        planning, microenterprise, marketing, entrepreneurial education 
        and training, and the development of local and regional 
        entrepreneurial systems in rural areas and rural communities;
            ``(2) provide education, training, and technical assistance 
        to newly-operational and growing rural businesses;
            ``(3) improve access to diverse sources of capital, such as 
        microenterprise loans and venture capital;
            ``(4) determine the best methods to train entrepreneurs 
        with respect to preparing business plans, recordkeeping, tax 
        rules, financial management, and general business practices;
            ``(5) promote entrepreneurship among--
                    ``(A) rural youth, minority, and immigrant 
                populations;
                    ``(B) women; and
                    ``(C) low- and moderate-income rural residents;
            ``(6) create networks of entrepreneurial support through 
        partnerships among rural entrepreneurs, local business 
        communities, all levels of government, nonprofit organizations, 
        colleges and universities, and other sectors;
            ``(7) study and facilitate entrepreneurial development 
        systems that best align with the unique needs and strengths of 
        particular rural areas and communities; and
            ``(8) explore promising strategies for building an 
        integrated system of program delivery to rural entrepreneurs.
    ``(c) Agreements.--To carry out projects under subsection (b), the 
Secretary shall provide grants to--
            ``(1) land-grant colleges and universities, including 
        cooperative extension services, agricultural experiment 
        stations, and regional rural development centers;
            ``(2) other colleges and universities;
            ``(3) community, junior, technical, and vocational colleges 
        and other 2-year institutions of higher education, and post-
        secondary business and commerce schools;
            ``(4) elementary schools and secondary schools;
            ``(5) nonprofit organizations; and
            ``(6) Federal, State, local, and tribal governmental 
        entities.
    ``(d) Selection and Priority of Projects.--
            ``(1) In general.--In selecting projects to be carried out 
        under this section, the Secretary shall take into 
        consideration--
                    ``(A) the relevance of the project to the purposes 
                of this section;
                    ``(B) the appropriateness of the design of the 
                project;
                    ``(C) the likelihood of achieving the objectives of 
                the project; and
                    ``(D) the national or regional applicability of the 
                findings and outcomes of the project.
            ``(2) Priority.--In carrying out projects under this 
        section, the Secretary shall give priority to projects that--
                    ``(A) enhance widespread access to entrepreneurial 
                education, including access to such education in 
                community-based settings for low- and moderate-income 
                entrepreneurs and potential entrepreneurs;
                    ``(B) closely coordinate research and education 
                activities, including outreach education efforts;
                    ``(C) indicate the manner in which the findings of 
                the project will be made readily usable to rural 
                entrepreneurs and to rural community leaders;
                    ``(D) maximize the involvement and cooperation of 
                rural entrepreneurs; and
                    ``(E) involve cooperation and partnerships between 
                rural entrepreneurs, nonprofit organizations, 
                entrepreneurial development organizations, educational 
                institutions at all levels, and government agencies at 
                all levels.
    ``(e) Competitive Basis.--Grants under this section shall be 
awarded on a competitive basis, in accordance with such criteria as the 
national administrative council established under subsection (j)(1) may 
establish.
    ``(f) Term.--The term of a grant provided under this section shall 
be not more than 5 years.
    ``(g) Limitation.--Not more than 20 percent of the total amount of 
grants provided under this section shall be provided to projects in 
which cooperative extension services are involved as the sole or lead 
entity of the project.
    ``(h) Diversification of Research, Extension, and Education 
Projects.--The Secretary shall carry out projects under this section in 
areas that the Secretary determines to be broadly representative of the 
diversity of the rural areas of the United States, and of rural 
entrepreneurship in the United States, including entrepreneurship 
involving youth, minority populations, microenterprise, and women, with 
a focus on nonagricultural businesses or food and agriculturally-based 
businesses, but not direct agriculture production.
    ``(i) Administration.--The Secretary shall administer projects 
carried out under this section acting through the Administrator of the 
National Institute of Food and Agriculture.
    ``(j) National Administrative Council.--
            ``(1) Establishment.--The Secretary shall establish, in 
        accordance with this subsection, a national administrative 
        council to assist the Secretary in carrying out this section.
            ``(2) Membership.--The membership of the national 
        administrative council shall include--
                    ``(A) qualified representatives of entities with 
                demonstrable expertise relating to rural 
                entrepreneurship, including representatives of--
                            ``(i) the Cooperative State Research, 
                        Education, and Extension Service;
                            ``(ii) the Rural Business-Cooperative 
                        Service;
                            ``(iii) the Small Business Administration;
                            ``(iv) regional rural development centers;
                            ``(v) nonprofit organizations;
                            ``(vi) regional and State agencies;
                            ``(vii) cooperative extension services;
                            ``(viii) colleges and universities;
                            ``(ix) philanthropic organizations; and
                            ``(x) Indian tribal governments;
                    ``(B) self-employed rural entrepreneurs and owners 
                of rural small businesses;
                    ``(C) elementary and secondary educators that 
                demonstrate experience in rural entrepreneurship; and
                    ``(D) other persons with experience relating to 
                rural entrepreneurship and the impact of rural 
                entrepreneurship on rural communities.
            ``(3) Responsibilities.--In collaboration with the 
        Secretary, the national administrative council established 
        under this subsection shall--
                    ``(A) promote the projects carried out under this 
                section;
                    ``(B) establish goals and criteria for the 
                selection of projects under this section;
                    ``(C)(i) appoint a technical committee to evaluate 
                project proposals to be considered by the council; and
                    ``(ii) make recommendations of the technical 
                committee to the Secretary; and
                    ``(D) prepare and make publicly available an annual 
                report relating to each applicable project carried out 
                under this section, including a review of projects 
                carried out during the preceding year.
            ``(4) Conflict of interest.--A member of the national 
        administrative council or a technical committee shall not 
        participate in any determination relating to, or recommendation 
        of, a project proposed to be carried out under this section if 
        the member has had any business interest (including the 
        provision of consulting services) in the project or the 
        organization submitting the application.
    ``(k) Authorization for Appropriations.--There are authorized to be 
appropriated such sums as are necessary to carry out this section for 
each of the fiscal years 2008 through 2012.''.

SEC. 7044. SEED DISTRIBUTION.

    Subtitle K of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3310 et seq.) (as amended by 
section 7043) is amended by adding at the end the following:

``SEC. 1473M. SEED DISTRIBUTION.

    ``(a) Establishment.--The Secretary shall establish a program, to 
be known as the `seed distribution program', under which the Secretary 
shall provide a grant to a nonprofit organization selected under 
subsection (c) to carry out a seed distribution program to administer 
and maintain the distribution of vegetable seeds donated by commercial 
seed companies.
    ``(b) Purpose.--The purpose of the seed distribution program under 
this section shall be to distribute vegetable seeds donated by 
commercial seed companies.
    ``(c) Selection of Nonprofit Organizations.--
            ``(1) In general.--The nonprofit organization selected to 
        receive a grant under subsection (a) shall demonstrate to the 
        satisfaction of the Secretary that the organization--
                    ``(A) has expertise regarding distribution of 
                vegetable seeds donated by commercial seed companies; 
                and
                    ``(B) has the ability to achieve the purpose of the 
                seed distribution program.
            ``(2) Priority.--In selecting a nonprofit organization for 
        purposes of this section, the Secretary shall give priority to 
        a nonprofit organization that, as of the date of selection, 
        carries out an activity to benefit underserved communities, 
        such as communities that experience--
                    ``(A) limited access to affordable fresh 
                vegetables;
                    ``(B) a high rate of hunger or food insecurity; or
                    ``(C) severe or persistent poverty.
    ``(d) Requirement.--The nonprofit organization selected under this 
section shall ensure that seeds donated by commercial seed companies 
are distributed free-of-charge to appropriate--
            ``(1) individuals;
            ``(2) groups;
            ``(3) institutions;
            ``(4) governmental and nongovernmental organizations; and
            ``(5) such other entities as the Secretary may designate.
    ``(e) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as are necessary to carry out this section for 
each of fiscal years 2008 through 2012.''.

SEC. 7045. FARM AND RANCH SAFETY.

    Subtitle K of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3310 et seq.) (as amended by 
section 7044) is amended by adding at the end the following:

``SEC. 1473N. FARM AND RANCH SAFETY.

    ``(a) In General.--The Secretary shall establish a program, to be 
known as the `agricultural safety program', under which the Secretary 
shall provide grants to eligible entities to carry out projects to 
decrease the incidence of injury and death on farms and ranches.
    ``(b) Eligible Entities.--To be eligible to receive a grant under 
this section, an entity shall be--
            ``(1) a nonprofit organization;
            ``(2) a land-grant college or university (including a 
        cooperative extension service);
            ``(3) a minority-serving institution;
            ``(4) a 2-year or 4-year institution of higher education; 
        or
            ``(5) such other entity as the Secretary may designate.
    ``(c) Eligible Projects.--An eligible entity shall use a grant 
received under this section only to carry out--
            ``(1) a project at least 1 component of which emphasizes--
                    ``(A) preventative service through on-site farm or 
                ranch safety reviews;
                    ``(B) outreach and dissemination of farm safety 
                research and interventions to agricultural employers, 
                employees, youth, farm and ranch families, seasonal 
                workers, or other individuals; or
                    ``(C) agricultural safety education and training; 
                and
            ``(2) other appropriate activities, as determined by the 
        Secretary;
    ``(d) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as are necessary to carry out this section for 
each of fiscal years 2008 through 2012.''.

SEC. 7046. WOMEN AND MINORITIES IN STEM FIELDS.

    Subtitle K of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3310 et seq.) (as amended by 
section 7045) is amended by adding at the end the following:

``SEC. 1473O. WOMEN AND MINORITIES IN STEM FIELDS.

    ``(a) Establishment.--The Secretary shall establish a program under 
which the Secretary, in coordination with applicable Federal, State, 
and local programs, shall provide grants to eligible institutions to 
increase, to the maximum extent practicable, participation by women and 
underrepresented minorities from rural areas (as defined in section 
343(a) of the Consolidated Farm and Rural Development Act (7 U.S.C. 
1991(a))), in science, technology, engineering, and mathematics fields 
(referred to in this section as `STEM fields').
    ``(b) Activities.--In carrying out the program established under 
subsection (a), the Secretary shall--
            ``(1) implement multitrack technology career advancement 
        training programs and provide related services to engage, and 
        encourage participation by, women and underrepresented 
        minorities in STEM fields;
            ``(2) develop and administer training programs for 
        educators, career counselors, and industry representatives in 
        recruitment and retention strategies to increase and retain 
        women and underrepresented minority students and job entrants 
        into STEM fields; and
            ``(3) support education-to-workforce programs for women and 
        underrepresented minorities to provide counseling, job 
        shadowing, mentoring, and internship opportunities to guide 
        participants in the academic, training, and work experience 
        needed for STEM careers.
    ``(c) Institutions.--
            ``(1) Grants.--The Secretary shall carry out the program 
        under this section at such institutions as the Secretary 
        determines to be appropriate by providing grants, on a 
        competitive basis, to the institutions.
            ``(2) Priority.--In providing grants under paragraph (1), 
        the Secretary shall give priority, to the maximum extent 
        practicable, to institutions carrying out continuing programs 
        funded by the Secretary.
    ``(d) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as are necessary to carry out this section for 
each of fiscal years 2008 through 2012.''.

SEC. 7047. NATURAL PRODUCTS RESEARCH PROGRAM.

    Subtitle K of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3310 et seq.) (as amended by 
section 7046) is amended by adding at the end the following:

``SEC. 1473P. NATURAL PRODUCTS RESEARCH PROGRAM.

    ``(a) In General.--The Secretary shall establish a natural products 
research program.
    ``(b) Duties.--In carrying out the program established under 
subsection (a), the Secretary shall coordinate research relating to 
natural products, including--
            ``(1) research to improve human health and agricultural 
        productivity through the discovery, development, and 
        commercialization of pharmaceuticals and agrichemicals from 
        bioactive natural products, including products from plant, 
        marine, and microbial sources;
            ``(2) research to characterize the botanical sources, 
        production, chemistry, and biological properties of plant-
        derived natural products important for agriculture and 
        medicine; and
            ``(3) other research priorities identified by the 
        Secretary.
    ``(c) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section such sums as are necessary for 
each of fiscal years 2008 through 2012.''.

SEC. 7048. INTERNATIONAL ANTI-HUNGER AND NUTRITION PROGRAM.

    Subtitle K of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3310 et seq.) (as amended by 
section 7047) is amended by adding at the end the following:

``SEC. 1473Q. INTERNATIONAL ANTI-HUNGER AND NUTRITION.

    ``(a) In General.--The Secretary shall provide support to 
established nonprofit organizations that focus on promoting research 
concerning--
            ``(1) anti-hunger and improved nutrition efforts 
        internationally; and
            ``(2) increased quantity, quality, and availability of 
        food.
    ``(b) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $1,000,000 for each of fiscal 
years 2008 through 2012.''.

SEC. 7049. CONSORTIUM FOR AGRICULTURAL AND RURAL TRANSPORTATION 
              RESEARCH AND EDUCATION.

    Subtitle K of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3310 et seq.) (as amended by 
section 7048) is amended by adding at the end the following:

``SEC. 1473R. CONSORTIUM FOR AGRICULTURAL AND RURAL TRANSPORTATION 
              RESEARCH AND EDUCATION.

    ``(a) In General.--Subject to the availability of appropriations to 
carry out this section, the Secretary, acting through the Agricultural 
Marketing Service, shall award grants to the Consortium for 
Agricultural and Rural Transportation Research and Education for the 
purpose of funding prospective, independent research, education, and 
technology transfer activities.
    ``(b) Activities.--Activities funded with grants made under 
subsection (a) shall focus on critical rural and agricultural 
transportation and logistics issues facing agricultural producers and 
other rural businesses, including--
            ``(1) issues relating to the relationship between renewable 
        fuels and transportation;
            ``(2) export promotion issues based on transportation 
        strategies for rural areas;
            ``(3) transportation and rural business facility planning 
        and location issues;
            ``(4) transportation management and supply chain management 
        support issues;
            ``(5) rural road planning and finance issues;
            ``(6) advanced transportation technology applications in a 
        rural area; and
            ``(7) creation of a national agricultural marketing and 
        rural business transportation database.
    ``(c) Report.--Not later than September 30, 2011, the Secretary 
shall submit to the Committee on Agriculture of the House of 
Representatives and the Committee on Agriculture, Nutrition, and 
Forestry of the Senate a report that--
            ``(1) describes the activities of Consortium for 
        Agricultural and Rural Transportation Research and Education 
        that have been funded through grants made under this section; 
        and
            ``(2) contains recommendations about the grant program.
    ``(d) Authorization of Appropriations.--
            ``(1) In general.--There is authorized to be appropriated 
        to carry out this section $19,000,000 for each of fiscal years 
        2008 through 2012.
            ``(2) Administrative expenses.--Of the total amount made 
        available under paragraph (1), not more than $1,000,000 may be 
        used by the Agricultural Marketing Service for administrative 
        expenses incurred in carrying out this section.''.

   Subtitle B--Food, Agriculture, Conservation, and Trade Act of 1990

SEC. 7101. NATIONAL GENETIC RESOURCES PROGRAM.

    (a) In General.--Section 1632 of the Food, Agriculture, 
Conservation, and Trade Act of 1990 (7 U.S.C. 5841) is amended--
            (1) by striking subsection (b) and inserting the following:
    ``(b) Purpose.--The program is established for the purpose of--
            ``(1) maintaining and enhancing a program providing for the 
        collection, preservation, and dissemination of plant, animal, 
        and microbial genetic material of importance to food and 
        agriculture production in the United States; and
            ``(2) undertaking long-term research on plant and animal 
        breeding and disease resistance.''; and
            (2) in subsection (d)--
                    (A) in paragraph (5), by striking ``and'' at the 
                end;
                    (B) by redesignating paragraph (6) as paragraph 
                (7); and
                    (C) by inserting after paragraph (5) the following:
            ``(6) in conjunction with national programs for plant and 
        animal genetic resources, undertake long-term research on plant 
        and animal breeding, including the development of varieties 
        adapted to sustainable and organic farming systems, and disease 
        resistance; and''.
    (b) Authorization of Appropriations.--Section 1635(b) of the Food, 
Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 5844(b)) is 
amended by striking ``2007'' and inserting ``2012''.

SEC. 7102. HIGH-PRIORITY RESEARCH AND EXTENSION INITIATIVES.

    Section 1672 of the Food, Agriculture, Conservation, and Trade Act 
of 1990 (7 U.S.C. 5925) is amended--
            (1) in subsection (e), by adding at the end the following:
            ``(46) Colony collapse disorder and pollinator research 
        program.--Research and extension grants may be made to--
                    ``(A) survey and collect data on bee colony 
                production and health;
                    ``(B) investigate pollinator biology, immunology, 
                ecology, genomics, and bioinformatics;
                    ``(C) conduct research on various factors that may 
                be contributing to or associated with colony collapse 
                disorder, and other serious threats to the health of 
                honey bees and other pollinators, including--
                            ``(i) parasites and pathogens of 
                        pollinators; and
                            ``(ii) the sublethal effects of 
                        insecticides, herbicides, and fungicides on 
                        honey bees and native and managed pollinators;
                    ``(D) develop mitigative and preventative measures 
                to improve native and managed pollinator health; and
                    ``(E) promote the health of honey bees and native 
                pollinators through habitat conservation and best 
                management practices.
            ``(47) Marine shrimp farming program.--Research and 
        extension grants may be made to establish a research program to 
        advance and maintain a domestic shrimp farming industry in the 
        United States.
            ``(48) Cranberry research program.--Research and extension 
        grants may be made to study new technologies to assist 
        cranberry growers in complying with Federal and State 
        environmental regulations, increase cranberry production, 
        develop new growing techniques, establish more efficient 
        growing methodologies, and educate farmers about sustainable 
        growth practices.
            ``(49) Turfgrass research initiative.--Research and 
        extension grants may be made to study the production of 
        turfgrass (including the use of water, fertilizer, pesticides, 
        fossil fuels, and machinery for turf establishment and 
        maintenance) and environmental protection and enhancement 
        relating to turfgrass production.
            ``(50) Pesticide safety research initiative.--Research 
        grants may be made to study pesticide safety for migrant and 
        seasonal agricultural workers, including research on increased 
        risks of cancer or birth defects among migrant or seasonal 
        farmworkers and their children, identification of objective 
        biological indicators, and development of inexpensive clinical 
        tests to enable clinicians to diagnose overexposure to 
        pesticides, and development of field-level tests to determine 
        when pesticide-treated fields are safe to reenter to perform 
        hand labor activities.
            ``(51) Swine genome project.--Research grants may be made 
        under this section to conduct swine genome research and to map 
        the swine genome.
            ``(52) High plains aquifer region.--Research and extension 
        grants may be made to carry out interdisciplinary research 
        relating to diminishing water levels and increased demand for 
        water in the High Plains aquifer region encompassing the States 
        of Colorado, Kansas, Nebraska, New Mexico, Oklahoma, South 
        Dakota, Texas, and Wyoming.
            ``(53) Cellulosic feedstock transportation and delivery 
        initiative.--Research and extension grants may be made to study 
        new technologies for the economic post-harvest densification, 
        handling, transportation, and delivery of cellulosic feedstocks 
        for bioenergy conversion.
            ``(54) Deer initiative.--Research and extension grants may 
        be made to support collaborative research focusing on the 
        development of viable strategies for the prevention, diagnosis, 
        and treatment of infectious, parasitic, and toxic diseases of 
        farmed deer and the mapping of the deer genome.
            ``(55) Pasture-based beef systems for appalachia research 
        initiative.--Research and extension grants may be made to land-
        grant institutions--
                    ``(A) to study the development of forage sequences 
                and combinations for cow-calf, heifer development, 
                stocker, and finishing systems;
                    ``(B) to deliver optimal nutritive value for 
                efficient production of cattle for pasture finishing;
                    ``(C) to optimize forage systems to produce pasture 
                finished beef that is acceptable to consumers;
                    ``(D) to develop a 12-month production and 
                marketing model cycle for forage-fed beef; and
                    ``(E) to assess the effect of forage quality on 
                reproductive fitness and related measures.''; and
            (2) in subsection (h), by striking ``2007'' and inserting 
        ``2012, of which $20,000,000 shall be used for each fiscal year 
        to make grants described in subsection (e)(46)''.

SEC. 7103. NUTRIENT MANAGEMENT RESEARCH AND EXTENSION INITIATIVE.

    Section 1672A of the Food, Agriculture, Conservation, and Trade Act 
of 1990 (7 U.S.C. 5925a) is amended--
            (1) by redesignating subsection (g) as subsection (f); and
            (2) in subsection (f) (as so redesignated), by striking 
        ``2007'' and inserting ``2012''.

SEC. 7104. ORGANIC AGRICULTURE RESEARCH AND EXTENSION INITIATIVE.

    Section 1672B of the Food, Agriculture, Conservation, and Trade Act 
of 1990 (7 U.S.C. 5925b) is amended by striking subsection (e) and 
inserting the following:
    ``(e) Funding.--Of the funds of the Commodity Credit Corporation, 
the Secretary shall use to carry out this section $16,000,000 for each 
of fiscal years 2008 through 2012, to remain available until 
expended.''.

SEC. 7105. 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 ``2007'' and 
inserting ``2012''.

SEC. 7106. 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 ``2007'' 
and inserting ``2012''.

SEC. 7107. 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 ``2007'' and 
inserting ``2012''.

Subtitle C--Agricultural Research, Extension, and Education Reform Act 
                                of 1998

SEC. 7201. INITIATIVE FOR FUTURE AGRICULTURE AND FOOD SYSTEMS.

    (a) Funding.--Section 401(b) of the Agricultural Research, 
Extension, and Education Reform Act of 1998 (7 U.S.C. 7621(b)) is 
amended by striking paragraph (3) and inserting the following:
            ``(3) Other funding.--
                    ``(A) Authorization of appropriations.--There is 
                authorized to be appropriated to carry out this section 
                $200,000,000 for each of fiscal years 2008 through 
                2012.
                    ``(B) Shortage of funds.--Notwithstanding any other 
                provision of law, during any year for which funds are 
                not made available under this subsection, the Secretary 
                shall use not less than 80 percent of the funds made 
                available for competitive mission-linked systems 
                research grants under section 2(b)(10)(B) of the 
                Competitive, Special, and Facilities Research Grant Act 
                (7 U.S.C. 450i(b)(10)(B)) to carry out a competitive 
                grant program under the same terms and conditions as 
                are provided under this section.''.
    (b) Purposes.--Section 401(c) of the Agricultural Research, 
Extension, and Education Reform Act of 1998 (7 U.S.C. 7621(c)) is 
amended--
            (1) in paragraph (1)(D), by striking ``policy''; and
            (2) in paragraph (2)--
                    (A) by striking subparagraphs (A) and (D);
                    (B) by redesignating subparagraphs (B), (C), (E), 
                and (F) as subparagraphs (A), (B), (F), and (G), 
                respectively;
                    (C) by inserting after subparagraph (B) the 
                following:
                    ``(C) sustainable and renewable agriculture-based 
                energy production options and policies;
                    ``(D) environmental services and outcome-based 
                conservation programs and markets;
                    ``(E) agricultural and rural entrepreneurship and 
                business and community development, including farming 
                and ranching opportunities for beginning farmers or 
                ranchers;''; and
                    (D) in subparagraph (F) (as redesignated by 
                subparagraph (B))--
                            (i) by inserting ``and environmental'' 
                        after ``natural resource''; and
                            (ii) by inserting ``agro-ecosystems and'' 
                        after ``including''; and
                    (E) in subparagraph (G) (as redesignated by 
                subparagraph (B))--
                            (i) by striking ``including the viability'' 
                        and inserting the following: ``including--
                            ``(i) the viability''; and
                            (ii) by striking ``operations.'' and 
                        inserting the following: ``operations;
                            ``(ii) farm transition options for retiring 
                        farmers or ranchers; and
                            ``(iii) farm transfer and entry 
                        alternatives for beginning or socially-
                        disadvantaged farmers or ranchers.''.

SEC. 7202. 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 
``2007'' and inserting ``2012''.

SEC. 7203. PRECISION AGRICULTURE.

    Section 403(i)(1) of the Agricultural Research, Extension, and 
Education Reform Act of 1998 (7 U.S.C. 7623(i)(1)) is amended by 
striking ``2007'' and inserting ``2012''.

SEC. 7204. 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 ``2007'' and inserting ``2012''.
    (b) Authorization of Appropriations.--Section 404(h) of the 
Agricultural Research, Extension, and Education Reform Act of 1998 (7 
U.S.C. 7624(h)) is amended by striking ``2007'' and inserting ``2012''.

SEC. 7205. 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 
``2007'' and inserting ``2012''.

SEC. 7206. INTEGRATED RESEARCH, EDUCATION, AND EXTENSION COMPETITIVE 
              GRANTS PROGRAM.

    Section 406(f) of the Agricultural Research, Extension, and 
Education Reform Act of 1998 (7 U.S.C. 7626(f)) is amended by striking 
``2007'' and inserting ``2012''.

SEC. 7207. 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 
``2007'' and inserting ``2012''.

SEC. 7208. BOVINE JOHNE'S DISEASE CONTROL PROGRAM.

    Section 409(b) of the Agricultural Research, Extension, and 
Education Reform Act of 1998 (7 U.S.C. 7629(b)) is amended by striking 
``2007'' and inserting ``2012''.

SEC. 7209. GRANTS FOR YOUTH ORGANIZATIONS.

    Section 410(c) of the Agricultural Research, Extension, and 
Education Reform Act of 1998 (7 U.S.C. 7630(c)) is amended by striking 
``2007'' and inserting ``2012''.

SEC. 7210. AGRICULTURAL BIOTECHNOLOGY RESEARCH AND DEVELOPMENT FOR 
              DEVELOPING COUNTRIES.

    Section 411(c) of the Agricultural Research, Extension, and 
Education Reform Act of 1998 (7 U.S.C. 7631(c)) is amended by striking 
``2007'' and inserting ``2012''.

SEC. 7211. SPECIALTY CROP RESEARCH INITIATIVE.

    Title IV of the Agricultural Research, Extension, and Education 
Reform Act of 1998 (7 U.S.C. 7621 et seq.) is amended by adding at the 
end the following:

``SEC. 412. SPECIALTY CROP RESEARCH INITIATIVE.

    ``(a) Definitions.--In this section:
            ``(1) Initiative.--The term `Initiative' means the 
        specialty crop research initiative established by subsection 
        (b).
            ``(2) Specialty crop.--The term `specialty crop' has the 
        meaning given the term in section 3 of the Specialty Crops 
        Competitiveness Act of 2004 (7 U.S.C. 1621 note; Public Law 
        108-465).
    ``(b) Establishment.--There is established within the Department a 
specialty crop research initiative.
    ``(c) Purpose.--The purpose of the Initiative shall be to address 
the critical needs of the specialty crop industry by providing science-
based tools to address needs of specific crops and regions, including--
            ``(1) fundamental and applied work in plant breeding, 
        genetics, and genomics to improve crop characteristics, such 
        as--
                    ``(A) product appearance, quality, taste, yield, 
                and shelf life;
                    ``(B) environmental responses and tolerances;
                    ``(C) plant-nutrient uptake efficiency resulting in 
                improved nutrient management;
                    ``(D) pest and disease management, including 
                resilience to pests and diseases resulting in reduced 
                application management strategies; and
                    ``(E) enhanced phytonutrient content;
            ``(2) efforts to prevent, identify, control, or eradicate 
        invasive species;
            ``(3) methods of improving agricultural production by 
        developing more technologically-efficient and effective 
        applications of water, nutrients, and pesticides to reduce 
        energy use;
            ``(4) new innovations and technology to enhance 
        mechanization and reduce reliance on labor;
            ``(5) methods of improving production efficiency, 
        productivity, sustainability, and profitability over the long 
        term;
            ``(6) methods to prevent, control, and respond to human 
        pathogen contamination of specialty crops, including fresh-cut 
        produce; and
            ``(7) efforts relating to optimizing the production of 
        organic specialty crops.
    ``(d) Eligible Entities.--The Secretary may carry out the 
Initiative through--
            ``(1) Federal agencies;
            ``(2) national laboratories;
            ``(3) institutions of higher education;
            ``(4) research institutions and organizations;
            ``(5) private organizations and corporations;
            ``(6) State agricultural experiment stations; and
            ``(7) individuals.
    ``(e) Research Projects.--In carrying out this section, the 
Secretary may--
            ``(1) carry out research; and
            ``(2) award grants on a competitive basis.
    ``(f) Priorities.--In making grants under this section, the 
Secretary shall provide a higher priority to projects that--
            ``(1) are multistate, multi-institutional, or 
        multidisciplinary; and
            ``(2) include explicit mechanisms to communicate usable 
        results to producers and the public.
    ``(g) Funding.--Of the funds of the Commodity Credit Corporation, 
the Secretary shall use to carry out this section $16,000,000 for each 
of fiscal years 2008 through 2012, to remain available until 
expended.''.

SEC. 7212. OFFICE OF PEST MANAGEMENT POLICY.

    (a) In General.--Section 614(b) of the Agricultural Research, 
Extension, and Education Reform Act of 1998 (7 U.S.C. 7653(b)) is 
amended--
            (1) in the matter preceding paragraph (1), by striking 
        ``Department'' and inserting ``Office of the Chief Economist'';
            (2) in paragraph (1), by striking ``the development and 
        coordination'' and inserting ``the development, coordination, 
        and representation''; and
            (3) in paragraph (3), by striking ``assisting other 
        agencies of the Department in fulfilling their'' and inserting 
        ``enabling the Secretary to fulfill the statutory''.
    (b) Authorization of Appropriations.--Section 614(f) of the 
Agricultural Research, Extension, and Education Reform Act of 1998 (7 
U.S.C. 7653(f)) is amended by striking ``2007'' and inserting ``2012''.

SEC. 7213. FOOD ANIMAL RESIDUE AVOIDANCE DATABASE PROGRAM.

    Section 604 of the Agricultural Research, Extension, and Education 
Reform Act of 1998 (7 U.S.C. 7642) is amended by adding at the end the 
following:
    ``(e) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $2,500,000 for each of fiscal 
years 2008 through 2012.''.

                         Subtitle D--Other Laws

SEC. 7301. CRITICAL AGRICULTURAL MATERIALS ACT.

    Section 16(a) of the Critical Agricultural Materials Act (7 U.S.C. 
178n(a)) is amended by striking ``2007'' and inserting ``2012''.

SEC. 7302. EQUITY IN EDUCATIONAL LAND-GRANT STATUS ACT OF 1994.

    (a) Definition of 1994 Institutions.--Section 532 of the Equity in 
Educational Land-Grant Status Act of 1994 (7 U.S.C. 301 note; Public 
Law 103-382) is amended by adding at the end the following:
            ``(34) Ilisagvik College.''.
    (b) Endowment for 1994 Institutions.--Section 533(b) of the Equity 
in Educational Land-Grant Status Act of 1994 (7 U.S.C. 301 note; Public 
Law 103-382) is amended in the first sentence by striking ``2007'' and 
inserting ``2012''.
    (c) Institutional Capacity Building Grants.--Section 535 of the 
Equity in Educational Land-Grant Status Act of 1994 (7 U.S.C. 301 note; 
Public Law 103-382) is amended by striking ``2007'' each place it 
appears and inserting ``2012''.
    (d) Research Grants.--Section 536(c) of the Equity in Educational 
Land-Grant Status Act of 1994 (7 U.S.C. 301 note; Public Law 103-382) 
is amended in the first sentence by striking ``2007'' and inserting 
``2012''.

SEC. 7303. SMITH-LEVER ACT.

    (a) Children, Youth, and Families Education and Research Network 
Program.--Section 3 of the Smith-Lever Act (7 U.S.C. 343) is amended by 
adding at the end the following:
    ``(k) Children, Youth, and Families Education and Research Network 
Program.--Notwithstanding section 3(d)(2) of the Act of May 8, 1914 (7 
U.S.C. 343(d)(2)), in carrying out the children, youth, and families 
education and research network program using amounts made available 
under subsection (d), the Secretary shall include 1890 Institutions (as 
defined in section 2 of the Agricultural Research, Extension, and 
Education Reform Act of 1998 (7 U.S.C. 7601)) as eligible program 
applicants and participants.''.
    (b) Elimination of the Governor's Report Requirement for Extension 
Activities.--Section 5 of the Smith-Lever Act (7 U.S.C. 345) is amended 
by striking the third sentence.

SEC. 7304. HATCH ACT OF 1887.

    (a) District of Columbia.--Section 3(d)(4) of the Hatch Act of 1887 
(7 U.S.C. 361c(d)(4)) is amended--
            (1) in the paragraph heading, by inserting ``and the 
        district of columbia'' after ``areas'';
            (2) in subparagraph (A)--
                    (A) by inserting ``and the District of Columbia'' 
                after ``United States''; and
                    (B) by inserting ``and the District of Columbia'' 
                after ``respectively,''; and
            (3) in subparagraph (B), by inserting ``or the District of 
        Columbia'' after ``area''.
    (b) Elimination of Penalty Mail Authorities.--
            (1) In general.--Section 6 of the Hatch Act of 1887 (7 
        U.S.C. 361f) is amended in the first sentence by striking 
        ``under penalty indicia:'' and all that follows through the end 
        of the sentence and inserting a period.
            (2) Conforming amendments in other laws.--
                    (A) National agricultural research, extension, and 
                teaching policy act of 1977.--
                            (i) Section 1444(f) of the National 
                        Agricultural Research, Extension, and Teaching 
                        Policy Act of 1977 (7 U.S.C. 3221(f)) is 
                        amended by striking ``under penalty indicia:'' 
                        and all that follows through the end of the 
                        sentence and inserting a period.
                            (ii) Section 1445(e) of the National 
                        Agricultural Research, Extension, and Teaching 
                        Policy Act of 1977 (7 U.S.C. 3222(e)) is 
                        amended by striking ``under penalty indicia:'' 
                        and all that follows through the end of the 
                        sentence and inserting a period.
                    (B) Other provisions.--Section 3202(a) of title 39, 
                United States Code, is amended--
                            (i) in paragraph (1)--
                                    (I) in subparagraph (D), by adding 
                                ``and'' at the end;
                                    (II) in subparagraph (E), by 
                                striking ``sections; and'' and 
                                inserting ``sections.''; and
                                    (III) by striking subparagraph (F);
                            (ii) in paragraph (2), by adding ``and'' at 
                        the end;
                            (iii) in paragraph (3) by striking 
                        ``thereof; and'' and inserting ``thereof.''; 
                        and
                            (iv) by striking paragraph (4).

SEC. 7305. RESEARCH FACILITIES ACT.

    Section 6(a) of the Research Facilities Act (7 U.S.C. 390d(a)) is 
amended by striking ``2007'' and inserting ``2012''.

SEC. 7306. NATIONAL AGRICULTURAL RESEARCH, EXTENSION, AND TEACHING 
              POLICY ACT AMENDMENTS OF 1985.

    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 ``2007'' and inserting ``2012''.

SEC. 7307. COMPETITIVE, SPECIAL, AND FACILITIES RESEARCH GRANT ACT.

    The Competitive, Special, and Facilities Research Grant Act (7 
U.S.C. 450i) is amended in subsection (b)--
            (1) in paragraph (2)--
                    (A) in the matter preceding subparagraph (A)--
                            (i) by striking ``in the areas'' and all 
                        that follows through ``needs shall be'' and 
                        inserting ``, as''; and
                            (ii) by striking ``year.'' and inserting 
                        ``year, relating to--'';
                    (B) in subparagraph (E), by striking ``and'' at the 
                end and inserting ``; agricultural genomics and 
                biotechnology, including the application of genomics 
                and bioinformatics tools to develop traits in plants 
                and animals (translational genomics);'';
                    (C) in subparagraph (F), by striking the period at 
                the end and inserting ``, including areas of concern to 
                beginning farmers or ranchers; and''; and
                    (D) by adding at the end the following:
                    ``(G) classical plant and animal breeding, 
                including cultivar and breed development, selection 
                theory, applied quantitative genetics, breeding for 
                organic and sustainable systems, breeding for improved 
                nutritional and eating quality, breeding for improved 
                local adaptation to biotic stress, abiotic stress, and 
                climate change, and participatory breeding with farmers 
                and end users.'';
            (2) in paragraph (4)--
                    (A) by striking ``The'' and inserting the 
                following:
                    ``(A) In general.--Subject to subparagraph (B), 
                the''; and
                    (B) by adding at the end the following:
                    ``(B) Classical plant and animal breeding.--
                            ``(i) Term.--The term of a competitive 
                        grant relating to classical plant and animal 
                        breeding under paragraph (2)(G) shall not 
                        exceed 10 years.
                            ``(ii) Availability.--Funds made available 
                        for a fiscal year for a competitive grant 
                        relating to classical plant and animal breeding 
                        under paragraph (2)(G) shall remain available 
                        until expended to pay for obligations incurred 
                        in that fiscal year.''; and
            (3) in paragraph (10), by striking ``2007'' and inserting 
        ``2012''.

SEC. 7308. EDUCATION GRANTS TO ALASKA NATIVE SERVING INSTITUTIONS AND 
              NATIVE HAWAIIAN SERVING INSTITUTIONS.

    Section 759 of the Agriculture, Rural Development, Food and Drug 
Administration, and Related Agencies Appropriations Act, 2000 (7 U.S.C. 
3242) is amended--
            (1) in subsection (a)(3), by striking ``2006'' and 
        inserting ``2012''; and
            (2) in subsection (b)--
                    (A) in paragraph (2)(A), by inserting before the 
                semicolon at the end the following: ``, including 
                permitting consortia to designate fiscal agents for the 
                members of the consortia and to allocate among the 
                members funds made available under this section''; and
                    (B) in paragraph (3), by striking ``2006'' and 
                inserting ``2012''.

SEC. 7309. BEGINNING FARMER AND RANCHER DEVELOPMENT PROGRAM.

    (a) Grants.--Section 7405(c) of the Farm Security and Rural 
Investment Act of 2002 (7 U.S.C. 3319f(c)) is amended--
            (1) in paragraph (1)--
                    (A) in subparagraph (I), by inserting ``, including 
                energy conservation and efficiency'' after 
                ``assistance''; and
                    (B) in subparagraph (K), by inserting ``, including 
                transition to organic and other source-verified and 
                value-added alternative production and marketing 
                systems'' after ``strategies'';
            (2) by striking paragraph (3) and inserting the following:
            ``(3) Maximum term and size of grant.--
                    ``(A) In general.--A grant under this subsection 
                shall--
                            ``(i) have a term that is not more than 3 
                        years; and
                            ``(ii) be in an amount that is not more 
                        than $250,000 a year.
                    ``(B) Consecutive grants.--An eligible recipient 
                may receive consecutive grants under this 
                subsection.'';
            (3) by redesignating paragraphs (5) through (7) as 
        paragraphs (9) through (11), respectively;
            (4) by inserting after paragraph (4) the following:
            ``(5) Evaluation criteria.--In making grants under this 
        subsection, the Secretary shall evaluate--
                    ``(A) relevancy;
                    ``(B) technical merit;
                    ``(C) achievability;
                    ``(D) the expertise and track record of 1 or more 
                applicants;
                    ``(E) the adequacy of plans for the participatory 
                evaluation process, outcome-based reporting, and the 
                communication of findings and results beyond the 
                immediate target audience; and
                    ``(F) other appropriate factors, as determined by 
                the Secretary.
            ``(6) Regional balance.--In making grants under this 
        subsection, the Secretary shall, to the maximum extent 
        practicable, ensure geographic diversity.
            ``(7) Organic conversion.--The Secretary may make grants 
        under this subsection to support projects that provide 
        comprehensive technical assistance to beginning farmers or 
        ranchers who are in the process of converting to certified 
        organic production.
            ``(8) Priority.--In making grants under this subsection, 
        the Secretary shall give priority to partnerships and 
        collaborations that are led by or include non-governmental and 
        community-based organizations with expertise in new farmer 
        training and outreach.''; and
            (5) in paragraph (9) (as redesignated by paragraph (3))--
                    (A) in subparagraph (B), by striking ``and'' at the 
                end;
                    (B) in subparagraph (C), by striking the period and 
                adding ``; and''; and
                    (C) by adding at the end the following:
                    ``(D) refugee or immigrant beginning farmers or 
                ranchers''.
    (b) Education Teams.--Section 7405(d)(2) of the Farm Security and 
Rural Investment At of 2002 (7 U.S.C. 3319f(d)(2)) is amended by 
inserting ``, including sustainable and organic farming production and 
marketing methods'' before the period at the end.
    (c) Stakeholder Input.--Section 7405(f) of the Farm Security and 
Rural Investment At of 2002 (7 U.S.C. 3319f(f)) is amended--
            (1) by redesignating paragraphs (1) through (3) as 
        subparagraphs (A) through (C), respectively, and indenting 
        appropriately;
            (2) by striking ``In carrying out'' and inserting the 
        following:
            ``(1) In general.--In carrying out''; and
            (3) by adding at the end the following:
            ``(2) Review panels.--In forming review panels to evaluate 
        proposals submitted under this section, the Secretary shall 
        include individuals from the categories described in paragraph 
        (1).''.
    (d) Funding.--Section 7405 of the Farm Security and Rural 
Investment At of 2002 (7 U.S.C. 3319f) is amended by striking 
subsection (h) and inserting the following:
    ``(h) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $30,000,000 for each of fiscal 
years 2002 through 2012.''.

SEC. 7310. MCINTIRE-STENNIS COOPERATIVE FORESTRY ACT.

    Section 2 of Public Law 87-788 (commonly known as the ``McIntire-
Stennis Cooperative Forestry Act'') (16 U.S.C. 582a-1) is amended by 
inserting ``and 1890 Institutions (as defined in section 2 of the 
Agricultural Research, Extension, and Education Reform Act of 1998 (7 
U.S.C. 7601)),'' before ``and (b)''.

SEC. 7311. NATIONAL AQUACULTURE ACT OF 1980.

    Section 10 of the National Aquaculture Act of 1980 (16 U.S.C. 2809) 
is amended by striking ``2007'' each place it appears and inserting 
``2012''.

SEC. 7312. NATIONAL ARBORETUM.

    The Act of March 4, 1927 (20 U.S.C. 191 et seq.), is amended by 
adding at the end the following:

``SEC. 7. CONSTRUCTION OF A CHINESE GARDEN AT NATIONAL ARBORETUM.

    ``A Chinese Garden may be constructed at the National Arboretum 
established under this Act with--
            ``(1) funds accepted under section 5;
            ``(2) authorities provided to the Secretary of Agriculture 
        under section 6; and
            ``(3) appropriations made for this purpose.''.

SEC. 7313. ELIGIBILITY OF UNIVERSITY OF THE DISTRICT OF COLUMBIA FOR 
              CERTAIN LAND-GRANT UNIVERSITY ASSISTANCE.

    Section 208 of the District of Columbia Public Postsecondary 
Education Reorganization Act (Public Law 93-471; 88 Stat. 1428) is 
amended--
            (1) in subsection (b)(2), by striking ``, except'' and all 
        that follows through the period and inserting a period; and
            (2) in subsection (c)--
                    (A) by striking ``section 3'' each place it appears 
                and inserting ``section 3(c)''; and
                    (B) by striking ``Such sums may be used to pay'' 
                and all that follows through ``work.''.

SEC. 7314. EXCHANGE OR SALE AUTHORITY.

    Title III of the Department of Agriculture Reorganization Act of 
1994 is amended by adding after section 307 (7 U.S.C. 2204 note; Public 
Law 103-354) (as amended by section 2602) the following:

``SEC. 308. EXCHANGE OR SALE AUTHORITY.

    ``(a) Definition of Qualified Items of Personal Property.--In this 
section, the term `qualified items of personal property' means--
            ``(1) animals;
            ``(2) animal products;
            ``(3) plants; and
            ``(4) plant products.
    ``(b) General Authority.--Except as provided in subsection (c), 
notwithstanding chapter 5 of subtitle I of title 40, United States 
Code, the Secretary of Agriculture, acting through the Under Secretary 
for Research, Education, and Economics, in managing personal property 
for the purpose of carrying out the research functions of the 
Department of Agriculture, may exchange, sell, or otherwise dispose of 
any qualified items of personal property, including by way of public 
auction, and may retain and apply the sale or other proceeds, without 
further appropriation, in whole or in partial payment--
            ``(1) to acquire any qualified items of personal property; 
        or
            ``(2) to offset costs related to the maintenance, care, or 
        feeding of any qualified items of personal property.
    ``(c) Exception.--Subsection (b) does not apply to the free 
dissemination of new varieties of seeds and germ plasm in accordance 
with section 520 of the Revised Statutes (commonly known as the 
`Department of Agriculture Organic Act of 1862') (7 U.S.C. 2201).''.

SEC. 7315. CARBON CYCLE RESEARCH.

    (a) In General.--To the extent funds are made available, the 
Secretary shall provide a grant to the Consortium for Agricultural 
Soils Mitigation of Greenhouse Gases, acting through Kansas State 
University, to develop, analyze, and implement, through the land grant 
universities described in subsection (b), carbon cycle and greenhouse 
gas management research at the national, regional, and local levels.
    (b) Land Grant Universities.--The land grant universities referred 
to in subsection (a) are--
            (1) Colorado State University;
            (2) Iowa State University;
            (3) Kansas State University;
            (4) Michigan State University;
            (5) Montana State University;
            (6) Purdue University;
            (7) Ohio State University;
            (8) Texas A&M University; and
            (9) University of Nebraska.
    (c) Use.--Land grant universities described in subsection (b) shall 
use funds made available under this section--
            (1) to conduct research to improve the scientific basis of 
        using land management practices to increase soil carbon 
        sequestration, including research on the use of new 
        technologies to increase carbon cycle effectiveness, such as 
        biotechnology and nanotechnology;
            (2) to conduct research on management of other greenhouse 
        gases in the agricultural sector;
            (3) to enter into partnerships to identify, develop, and 
        evaluate agricultural best practices, including partnerships 
        between--
                    (A) Federal, State, or private entities; and
                    (B) the Department of Agriculture;
            (4) to develop necessary computer models to predict and 
        assess the carbon cycle;
            (5) to estimate and develop mechanisms to measure carbon 
        levels made available as a result of--
                    (A) voluntary Federal conservation programs;
                    (B) private and Federal forests; and
                    (C) other land uses;
            (6) to develop outreach programs, in coordination with 
        Extension Services, to share information on carbon cycle and 
        agricultural best practices that is useful to agricultural 
        producers; and
            (7) to collaborate with the Great Plains Regional Earth 
        Science Application Center to develop a space-based carbon 
        cycle remote sensing technology program--
                    (A) to provide, on a near-continual basis, a real-
                time and comprehensive view of vegetation conditions;
                    (B) to assess and model agricultural carbon 
                sequestration; and
                    (C) to develop commercial products.
    (d) Cooperative Research.--
            (1) In general.--Subject to the availability of 
        appropriations, the Secretary, in cooperation with departments 
        and agencies participating in the U.S. Global Change Research 
        Program and eligible entities, may carry out research to 
        promote understanding of--
                    (A) the flux of carbon in soils and plants 
                (including trees); and
                    (B) the exchange of other greenhouse gases from 
                agriculture.
            (2) Eligible entities.--Research under this subsection may 
        be carried out through the competitive awarding of grants and 
        cooperative agreements to colleges and universities (as defined 
        in section 1404 of the National Agricultural Research, 
        Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3103)).
            (3) Cooperative research purposes.--Research conducted 
        under this subsection shall encourage collaboration among 
        scientists with expertise in the areas of soil science, 
        agronomy, agricultural economics, forestry, and other 
        agricultural sciences to focus on--
                    (A) developing data addressing carbon losses and 
                gains in soils and plants (including trees) and the 
                exchange of methane and nitrous oxide from agriculture;
                    (B) understanding how agricultural and forestry 
                practices affect the sequestration of carbon in soils 
                and plants (including trees) and the exchange of other 
                greenhouse gases, including the effects of new 
                technologies such as biotechnology and nanotechnology;
                    (C) developing cost-effective means of measuring 
                and monitoring changes in carbon pools in soils and 
                plants (including trees), including computer models;
                    (D) evaluating the linkage between Federal 
                conservation programs and carbon sequestration;
                    (E) developing methods, including remote sensing, 
                to measure the exchange of carbon and other greenhouse 
                gases sequestered, and to evaluate leakage, 
                performance, and permanence issues; and
                    (F) assessing the applicability of the results of 
                research conducted under this subsection for developing 
                methods to account for the impact of agricultural 
                activities (including forestry) on the exchange of 
                greenhouse gases.
    (e) Extension Projects.--
            (1) In general.--The Secretary, in cooperation with 
        departments and agencies participating in the U.S. Global 
        Change Research Program and local extension agents, experts 
        from institutions of higher education that offer a curriculum 
        in agricultural and biological sciences, and other local 
        agricultural or conservation organizations, may implement 
        extension projects (including on-farm projects with direct 
        involvement of agricultural producers) that combine measurement 
        tools and modeling techniques into integrated packages to 
        monitor the carbon sequestering benefits of conservation 
        practices and the exchange of greenhouse gas emissions from 
        agriculture that demonstrate the feasibility of methods of 
        measuring and monitoring--
                    (A) changes in carbon content and other carbon 
                pools in soils and plants (including trees); and
                    (B) the exchange of other greenhouse gases.
            (2) Education and outreach.--The Secretary shall make 
        available to agricultural producers, private forest landowners, 
        and appropriate State agencies in each State information 
        concerning--
                    (A) the results of projects under this subsection;
                    (B) the manner in which the methods used in the 
                projects might be applicable to the operations of the 
                agricultural producers, private forest landowners, and 
                State agencies; and
                    (C) information on how agricultural producers and 
                private forest landowners can participate in carbon 
                credit and greenhouse gas trading system.
    (f) Repeal.--Section 221 of the Agricultural Risk Protection Act of 
2000 (7 U.S.C. 6711) is repealed.
    (g) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $15,000,000 for each of fiscal 
years 2008 through 2012.

         Subtitle E--National Institute of Food and Agriculture

SEC. 7401. NATIONAL INSTITUTE OF FOOD AND AGRICULTURE.

    (a) In General.--Subtitle F of the Department of Agriculture 
Reorganization Act of 1994 is amended by adding after section 252 (7 
U.S.C. 6972) the following:

``SEC. 253. NATIONAL INSTITUTE OF FOOD AND AGRICULTURE.

    ``(a) Definitions.--In this section:
            ``(1) Advisory board.--The term `Advisory Board' means the 
        National Agricultural Research, Extension, Education, and 
        Economics Advisory Board established under section 1408 of the 
        National Agricultural Research, Extension, and Teaching Policy 
        Act of 1977 (7 U.S.C. 3123).
            ``(2) Competitive program.--The term `competitive program' 
        means each of the following agricultural research, extension, 
        education, and related programs for which the Secretary has 
        administrative or other authority as of the day before the date 
        of enactment of this section:
                    ``(A) The competitive grant program established 
                under section 2(b) of the Competitive, Special, and 
                Facilities Research Grant Act (7 U.S.C. 450i(b)), 
                commonly known as the `National Research Initiative 
                Competitive Grants Program'.
                    ``(B) The program providing competitive grants for 
                risk management education established under section 
                524(a)(3) of the Federal Crop Insurance Act (7 U.S.C. 
                1524(a)(3)).
                    ``(C) The program providing community food project 
                competitive grants established under section 25 of the 
                Food Stamp Act of 1977 (7 U.S.C. 2034).
                    ``(D) Each grant program established under section 
                2501 of the Food, Agriculture, Conservation, and Trade 
                Act of 1990 (7 U.S.C. 2279) providing outreach and 
                assistance for socially disadvantaged farmers and 
                ranchers.
                    ``(E) The program providing grants under section 
                1417(b)(1) of the National Agricultural Research, 
                Extension, and Teaching Policy Act of 1977 (7 U.S.C. 
                3152(b)(1)), commonly known as `Higher Education 
                Challenge Grants'.
                    ``(F) The program providing grants and related 
                assistance established under section 1417(b)(5) of the 
                National Agricultural Research, Extension, and Teaching 
                Policy Act of 1977 (7 U.S.C. 3152(b)(5)) commonly known 
                as the `Higher Education Multicultural Scholars 
                Program'.
                    ``(G) The program providing food and agricultural 
                sciences national needs graduate and postgraduate 
                fellowship grants established under section 1417(b)(6) 
                of the National Agricultural Research, Extension, and 
                Teaching Policy Act of 1977 (7 U.S.C. 3152(b)(6)).
                    ``(H) The program providing grants under section 
                1417(j) of the National Agricultural Research, 
                Extension, and Teaching Policy Act of 1977 (7 U.S.C. 
                3152(j)), commonly known as `Institution Challenge 
                Grants'.
                    ``(I) The program providing grants for Hispanic-
                serving institutions established under section 1455 of 
                the National Agricultural Research, Extension, and 
                Teaching Policy Act of 1977 (7 U.S.C. 3241).
                    ``(J) The program providing competitive grants for 
                international agricultural science and education 
                programs under section 1459A of the National 
                Agricultural Research, Extension, and Teaching Policy 
                Act of 1977 (7 U.S.C. 3292b).
                    ``(K) The program of agricultural development in 
                the American-Pacific region established under section 
                1473H of the National Agricultural Research, Extension, 
                and Teaching Policy Act of 1977.
                    ``(L) The research and extension projects carried 
                out under section 1621 of the Food, Agriculture, 
                Conservation, and Trade Act of 1990 (7 U.S.C. 5811), 
                commonly known as the `Sustainable Agriculture Research 
                and Education program'.
                    ``(M) The biotechnology risk assessment research 
                program established under section 1668 of the Food, 
                Agriculture, Conservation, and Trade Act of 1990 (7 
                U.S.C. 5921).
                    ``(N) The organic agriculture research and 
                extension initiative established under section 1672B of 
                the Food, Agriculture, Conservation, and Trade Act of 
                1990 (7 U.S.C. 5925b).
                    ``(O) The Initiative for Future Agriculture and 
                Food Systems established under section 401 of the 
                Agricultural Research, Extension, and Education Reform 
                Act of 1998 (7 U.S.C. 7621).
                    ``(P) The integrated research, education, and 
                extension competitive grants program established under 
                section 406 of the Agricultural Research, Extension, 
                and Education Reform Act of 1998 (7 U.S.C. 7626).
                    ``(Q) The Small Business Innovation Research 
                Program established under section 9 of the Small 
                Business Act (15 U.S.C. 638).
                    ``(R) The specialty crop research initiative under 
                section 412 of the Agricultural Research, Extension, 
                and Education Reform Act of 1998.
                    ``(S) The administration and management of the 
                regional bioenergy crop research program carried out 
                under section 9012 of the Farm Security and Rural 
                Investment Act of 2002.
                    ``(T) Other programs, including any programs added 
                by amendments made by title VII of the Food and Energy 
                Security Act of 2007 that are competitive programs, as 
                determined by the Secretary.
            ``(3) Director.--The term `Director' means the Director of 
        the Institute.
            ``(4) Infrastructure program.--The term `infrastructure 
        program' means each of the following agricultural research, 
        extension, education, and related programs for which the 
        Secretary has administrative or other authority as of the day 
        before the date of enactment of this section:
                    ``(A) Each program providing funding to any of the 
                1994 Institutions under sections 533, 534(a), and 535 
                of the Equity in Educational Land-Grant Status Act of 
                1994 (7 U.S.C. 301 note; Public Law 103-382) (commonly 
                known as `financial assistance, technical assistance, 
                and endowments to tribal colleges and Navajo Community 
                College').
                    ``(B) The program established under section 536 of 
                the Equity in Educational Land-Grant Status Act of 1994 
                (7 U.S.C. 301 note; Public Law 103-382) providing 
                research grants for 1994 institutions.
                    ``(C) Each program established under subsections 
                (b), (c), and (d) of section 3 of the Smith-Lever Act 
                (7 U.S.C. 343).
                    ``(D) Each program established under the Hatch Act 
                of 1887 (7 U.S.C. 361a et seq.).
                    ``(E) Each program established under section 
                1417(b)(4) of the National Agricultural Research, 
                Extension, and Teaching Policy Act of 1977 (7 U.S.C. 
                3152(b)(4)), including grant programs under that 
                section (commonly known as the `1890 Institution 
                Teaching and Research Capacity Building Grants 
                Program').
                    ``(F) The animal health and disease research 
                program established under subtitle E of the National 
                Agricultural Research, Extension, and Teaching Policy 
                Act of 1977 (7 U.S.C. 3191 et seq.).
                    ``(G) Each extension program available to 1890 
                Institutions established under sections 1444 and 1464 
                of the National Agricultural Research, Extension, and 
                Teaching Policy Act of 1977 (7 U.S.C. 3221, 3312).
                    ``(H) The program established under section 1445 of 
                the National Agricultural Research, Extension, and 
                Teaching Policy Act of 1977 (7 U.S.C. 3222) (commonly 
                known as the `Evans-Allen Program').
                    ``(I) The program providing grants to upgrade 
                agricultural and food sciences facilities at 1890 
                Institutions established under section 1447 of the 
                National Agricultural Research, Extension, and Teaching 
                Policy Act of 1977 (7 U.S.C. 3222b).
                    ``(J) The program providing distance education 
                grants for insular areas established under section 1490 
                of the National Agricultural Research, Extension, and 
                Teaching Policy Act of 1977 (7 U.S.C. 3362).
                    ``(K) The program providing resident instruction 
                grants for insular areas established under section 1491 
                of the National Agricultural Research, Extension, and 
                Teaching Policy Act of 1977 (7 U.S.C. 3363).
                    ``(L) Each program available to 1890 Institutions 
                established under section 406 of the Agricultural 
                Research, Extension, and Education Reform Act of 1998 
                (7 U.S.C. 7626).
                    ``(M) The program providing competitive extension 
                grants to eligible 1994 Institutions under section 1464 
                of National Agricultural Research, Extension, and 
                Teaching Policy Act of 1977 (7 U.S.C. 3312) and the 
                Equity in Educational Land-Grant Status Act of 1994 
                (Public Law 103-382; 7 U.S.C. 301 note) established 
                under section 406 of the Agricultural Research, 
                Extension, and Education Reform Act of 1998 (7 U.S.C. 
                7626).
                    ``(N) Each research and development and related 
                program established under Public Law 87-788 (commonly 
                known as the `McIntire-Stennis Cooperative Forestry 
                Act') (16 U.S.C. 582a et seq.).
                    ``(O) Each program established under the Renewable 
                Resources Extension Act of 1978 (16 U.S.C. 1671 et 
                seq.).
                    ``(P) Each program providing funding to Hispanic-
                serving agricultural colleges under section 1456 of the 
                National Agricultural Research, Extension and Teaching 
                Policy Act of 1977.
                    ``(Q) The administration and management of the farm 
                energy education and technical assistance program 
                carried out under section 9005 of the Farm Security and 
                Rural Investment Act of 2002.
                    ``(R) Other programs, including any programs added 
                by amendments made by title VII of the Food and Energy 
                Security Act of 2007 that are infrastructure programs, 
                as determined by the Secretary.
            ``(5) Institute.--The term `Institute' means the National 
        Institute of Food and Agriculture established by subsection 
        (b)(1)(A).
    ``(b) Establishment of National Institute for Food and 
Agriculture.--
            ``(1) Establishment.--
                    ``(A) In general.--There is established within the 
                Department an agency to be known as the `National 
                Institute of Food and Agriculture'.
                    ``(B) Location.--The location of the Institute 
                shall be in Washington, District of Columbia, as 
                determined by the Secretary.
                    ``(C) Members.--The Institute shall consist of--
                            ``(i) the Director;
                            ``(ii) the individual offices established 
                        under subsection (e); and
                            ``(iii) the staff and employees of National 
                        Institute for Food and Agriculture.
            ``(2) Transfer of authorities.--There are transferred to 
        the Institute the authorities (including all budget authorities 
        and personnel), duties, obligations, and related legal and 
        administrative functions prescribed by law or otherwise granted 
        to the Secretary, the Department, or any other agency or 
        official of the Department under--
                    ``(A) the infrastructure programs;
                    ``(B) the competitive programs;
                    ``(C) the research, education, economic, 
                cooperative State research programs, cooperative 
                extension and education programs, international 
                programs, and other functions and authorities delegated 
                by the Secretary to the Administrator of the 
                Cooperative State Research, Education, and Extension 
                Service pursuant to section 2.66 of title 7, Code of 
                Federal Regulations (or successor regulations); and
                    ``(D) any and all other authorities administered by 
                the Administrator of the Cooperative State Research, 
                Education, and Extension Service.
            ``(3) Consolidation of authorities.--To carry out this Act, 
        in accordance with the transfer and continuation of the 
        authorities, budgetary functions, and personnel resources under 
        this subsection, the administrative entity within the 
        Department known as the Cooperative State Research, Education, 
        and Extension Service shall terminate on the earlier of--
                    ``(A) October 1, 2008; or
                    ``(B) such earlier date as the Director determines 
                to be appropriate.
    ``(c) Director.--
            ``(1) In general.--The Institute shall be headed by a 
        Director, who shall be an individual who is--
                    ``(A) a distinguished scientist; and
                    ``(B) appointed by the President, by and with the 
                advice and consent of the Senate.
            ``(2) Term.--The Director shall serve for a single, 6-year 
        term.
            ``(3) Supervision.--The Director shall report directly to 
        the Secretary.
            ``(4) Compensation.--The Director shall receive basic pay 
        at the rate provided for level II of the Executive Schedule 
        under section 5513 of title 5, United States Code.
            ``(5) Authority and responsibilities of director.--
                    ``(A) In general.--Except as otherwise specifically 
                provided in this section, the Director shall--
                            ``(i) exercise all of the authority 
                        provided to the Institute by this section;
                            ``(ii) formulate programs in accordance 
                        with policies adopted by the Institute;
                            ``(iii) establish offices within the 
                        Institute;
                            ``(iv) establish procedures for the peer 
                        review of research funded by the Institute;
                            ``(v) establish procedures for the 
                        provision and administration of grants by the 
                        Institute in accordance with this section;
                            ``(vi) assess the personnel needs of 
                        agricultural research in the areas supported by 
                        the Institute, and, if determined to be 
                        appropriate by the Director, for other areas of 
                        food and agricultural research;
                            ``(vii) plan programs that will help meet 
                        agricultural personnel needs in the future, 
                        including portable fellowship and training 
                        programs in fundamental agricultural research 
                        and fundamental science; and
                            ``(viii) consult regularly with the 
                        National Agricultural Research, Extension, 
                        Education, and Economics Advisory Board.
                    ``(B) Finality of actions.--An action taken by the 
                Director in accordance with this section shall be final 
                and binding upon the Institute.
                    ``(C) Delegation and redelegation of functions.--
                            ``(i) In general.--Except as provided in 
                        clause (ii), the Director may, from time to 
                        time and as the Director considers to be 
                        appropriate, authorize the performance by any 
                        other officer, agency, or employee of the 
                        Institute of any of the functions of the 
                        Director under this section.
                            ``(ii) Contracts, grants, and other 
                        arrangements.--The Director may enter into 
                        contracts and other arrangements, and provide 
                        grants, in accordance with this section.
                            ``(iii) Formulation of programs.--The 
                        formulation of programs in accordance with the 
                        policies of the Institute shall be carried out 
                        by the Director.
            ``(6) Staff.--The Director shall recruit and hire such 
        senior staff and other personnel as are necessary to assist the 
        Director in carrying out this section.
            ``(7) Reporting and consultation.--The Director shall--
                    ``(A) periodically report to the Secretary with 
                respect to activities carried out by the Institute; and
                    ``(B) consult regularly with the Secretary to 
                ensure, to the maximum extent practicable, that--
                            ``(i) research of the Institute is relevant 
                        to agriculture in the United States and 
                        otherwise serves the national interest; and
                            ``(ii) the research of the Institute 
                        supplements and enhances, and does not replace, 
                        research conducted or funded by--
                                    ``(I) other agencies of the 
                                Department;
                                    ``(II) the National Science 
                                Foundation; or
                                    ``(III) the National Institutes of 
                                Health.
    ``(d) Powers.--
            ``(1) In general.--The Institute shall have such authority 
        as is necessary to carry out this section, including the 
        authority--
                    ``(A) to promulgate such regulations as the 
                Institute considers to be necessary for governance of 
                operations, organization, and personnel;
                    ``(B) to make such expenditures as are necessary to 
                carry out this section;
                    ``(C) to enter into contracts or other 
                arrangements, or modifications of contracts or other 
                arrangements--
                            ``(i) to provide for the conduct, by 
                        organizations or individuals in the United 
                        States (including other agencies of the 
                        Department, Federal agencies, and agencies of 
                        foreign countries), of such agricultural 
                        research or related activities as the Institute 
                        considers to be necessary to carry out this 
                        section; and
                            ``(ii) for the conduct of such specific 
                        agricultural research as is in the national 
                        interest or is otherwise of critical 
                        importance, as determined by the Secretary, 
                        with the concurrence of the Institute;
                    ``(D) to make advance, progress, and other payments 
                relating to research and scientific activities without 
                regard to subsections (a) and (b) of section 3324 of 
                title 31, United States Code;
                    ``(E) to receive and use donated funds, if the 
                funds are donated without restriction other than that 
                the funds be used in furtherance of 1 or more of the 
                purposes of the Institute;
                    ``(F) to publish or arrange for the publication of 
                research and scientific information to further the full 
                dissemination of information of scientific value 
                consistent with the national interest, without regard 
                to section 501 of title 44, United States Code;
                    ``(G)(i) to accept and use the services of 
                voluntary and uncompensated personnel; and
                    ``(ii) to provide such transportation and 
                subsistence as are authorized by section 5703 of title 
                5, United States Code, for individuals serving without 
                compensation;
                    ``(H) to prescribe, with the approval of the 
                Comptroller General of the United States, the extent to 
                which vouchers for funds expended under contracts for 
                scientific or engineering research shall be subject to 
                itemization or substantiation prior to payment, without 
                regard to the limitations of other laws relating to the 
                expenditure and accounting of public funds;
                    ``(I) to reimburse the Secretary, and the heads of 
                other Federal agencies, for the performance of any 
                activity that the Institute is authorized to conduct; 
                and
                    ``(J) to enter into contracts, at the request of 
                the Secretary, for the carrying out of such specific 
                agricultural research as is in the national interest or 
                otherwise of critical importance, as determined by the 
                Secretary, with the consent of the Institute.
            ``(2) Transfer of research funds of other departments or 
        agencies.--Funds available to the Secretary, or any other 
        department or agency of the Federal Government, for 
        agricultural or scientific research shall be--
                    ``(A) available for transfer, with the approval of 
                the Secretary or the head of the other appropriate 
                department or agency involved, in whole or in part, to 
                the Institute for use in providing grants in accordance 
                with the purposes for which the funds were made 
                available; and
                    ``(B) if so transferred, expendable by the 
                Institute for those purposes.
    ``(e) Offices.--
            ``(1) Establishment of offices.--
                    ``(A) Office of the agricultural research, 
                extension, and education network.--
                            ``(i) Establishment.--The Director shall 
                        establish within the Institute an Office of the 
                        Agricultural Research, Extension, and Education 
                        Network (referred to in this subparagraph as 
                        the `Office').
                            ``(ii) Duties.--At the discretion of the 
                        Director, the Office shall have responsibility 
                        for all infrastructure programs.
                    ``(B) Office of competitive programs for 
                fundamental research.--
                            ``(i) Definition of fundamental research.--
                        In this subparagraph, the term `fundamental 
                        research' means research that--
                                    ``(I) is directed toward greater 
                                knowledge or understanding of the 
                                fundamental aspects of phenomena and 
                                has the potential for broad, rather 
                                than specific, application; and
                                    ``(II) has an effect on 
                                agriculture, food, nutrition, human 
                                health, or another purpose of this 
                                section.
                            ``(ii) Establishment.--The Director shall 
                        establish within the Institute an Office of 
                        Competitive Programs for Fundamental Research 
                        (referred to in this subparagraph as the 
                        `Office').
                            ``(iii) Duties.--At the discretion of the 
                        Director, the Office shall have responsibility 
                        for all competitive programs relating to 
                        fundamental research.
                    ``(C) Office of competitive programs for applied 
                research.--
                            ``(i) Definition of applied research.--In 
                        this subparagraph, the term `applied research' 
                        means research that expands on the findings of 
                        fundamental research to uncover practical ways 
                        in which new knowledge can be advanced to 
                        benefit individuals and society.
                            ``(ii) Establishment.--The Director shall 
                        establish within the Institute an Office of 
                        Competitive Programs for Applied Research 
                        (referred to in this subparagraph as the 
                        `Office').
                            ``(iii) Duties.--At the discretion of the 
                        Director, the Office shall have responsibility 
                        for all competitive programs relating to 
                        applied research.
                    ``(D) Office of competitive programs for education 
                and other purposes.--
                            ``(i) Establishment.--The Director shall 
                        establish within the Institute an Office of 
                        Competitive Programs for Education and Other 
                        Purposes (referred to in this subparagraph as 
                        the `Office').
                            ``(ii) Duties.--At the discretion of the 
                        Director, the Office shall have responsibility 
                        for all competitive programs that provide 
                        education fellowships and other education-
                        related grants.
            ``(2) Competitive programs for fundamental and applied 
        research.--
                    ``(A) Definition of a competitive program for 
                fundamental and applied research.--In this paragraph, 
                the term `competitive program for fundamental and 
                applied research' means--
                            ``(i) the competitive grant program 
                        established under section 2 of the Competitive, 
                        Special, and Facilities Research Grant Act (7 
                        U.S.C. 450i), commonly known as the `National 
                        Research Initiative Competitive Grants 
                        Program'; and
                            ``(ii) any other competitive program within 
                        the Institute that funds both fundamental and 
                        applied research, as determined by the 
                        Director.
                    ``(B) Program allocations.--For purposes of 
                determining which Office established under paragraph 
                (1) should have primary responsibility for 
                administering grants under a competitive program for 
                fundamental and applied research, the Director shall--
                            ``(i) determine whether the grant under the 
                        competitive program for fundamental and applied 
                        research is principally related to fundamental 
                        or applied research; and
                            ``(ii) assign the grant to the appropriate 
                        Office.
            ``(3) Responsibility of the director.--The Director shall 
        ensure that the Offices established under paragraph (1) 
        coordinate with each other Office for maximum efficiency.
    ``(f) Reporting.--The Director shall submit to the Secretary, the 
Committee on Agriculture and the Committee on Appropriations of the 
House of Representatives, and the Committee on Agriculture, Nutrition, 
and Forestry and the Committee on Appropriations of the Senate--
            ``(1) not later than 1 year after the date of establishment 
        of the Institute, and biennially thereafter, a comprehensive 
        report that--
                    ``(A) describes the research funded and other 
                activities carried out by the Institute during the 
                period covered by the report; and
                    ``(B) describes each contract or other arrangement 
                that the Institute has entered into, each grant awarded 
                to the Institute, and each other action of the Director 
                taken, under subsection (c)(5)(C)(ii); and
            ``(2) not later than 1 year after the date of establishment 
        of the Institute, and annually thereafter, a report that 
        describes the allocation and use of funds under subsection 
        (g)(2) of section 401 of the Agricultural Research, Extension, 
        and Education Reform Act of 1998 (7 U.S.C. 7621).
    ``(g) Funding.--
            ``(1) In general.--In addition to funds otherwise 
        appropriated to carry out each program administered by the 
        Institute, there are authorized to be appropriated such sums as 
        are necessary to carry out this section for each fiscal year.
            ``(2) Allocation.--Funding made available under paragraph 
        (1) shall be allocated according to recommendations contained 
        in the roadmap described in section 309(c)(1)(A).''.
    (b) National Agricultural Research, Extension, and Teaching Policy 
Act of 1977.--Section 1408(b) of the National Agricultural Research, 
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3123(b)) is 
amended--
            (1) in paragraph (1), by striking ``31 members'' and 
        inserting ``24 members'';
            (2) by striking paragraph (3) and inserting the following:
            ``(3) Membership categories.--The Advisory Board shall 
        consist of members from each of the following categories:
                    ``(A) 1 member representing a national farm 
                organization.
                    ``(B) 1 member representing farm cooperatives.
                    ``(C) 1 member actively engaged in the production 
                of a food animal commodity.
                    ``(D) 1 member actively engaged in the production 
                of a plant commodity.
                    ``(E) 1 member actively engaged in aquaculture.
                    ``(F) 1 member representing a national food animal 
                science society.
                    ``(G) 1 member representing a national crop, soil, 
                agronomy, horticulture, plant pathology, or weed 
                science society.
                    ``(H) 1 member representing a national food science 
                organization.
                    ``(I) 1 member representing a national human health 
                association.
                    ``(J) 1 member representing a national nutritional 
                science society.
                    ``(K) 1 member representing the land-grant colleges 
                and universities eligible to receive funds under the 
                Act of July 2, 1862 (7 U.S.C. 301 et seq.).
                    ``(L) 1 member representing the land-grant colleges 
                and universities eligible to receive funds under the 
                Act of August 30, 1890 (7 U.S.C. 321 et seq.), 
                including Tuskegee University.
                    ``(M) 1 member representing the 1994 Institutions 
                (as defined in section 532 of the Equity in Educational 
                Land-Grant Status Act of 1994 (Public Law 103-382; 7 
                U.S.C. 301 note)).
                    ``(N) 1 member representing Hispanic-serving 
                institutions.
                    ``(O) 1 member representing the American Colleges 
                of Veterinary Medicine.
                    ``(P) 1 member engaged in the transportation of 
                food and agricultural products to domestic and foreign 
                markets.
                    ``(Q) 1 member representing food retailing and 
                marketing interests.
                    ``(R) 1 member representing food and fiber 
                processors.
                    ``(S) 1 member actively engaged in rural economic 
                development.
                    ``(T) 1 member representing a national consumer 
                interest group.
                    ``(U) 1 member representing a national forestry 
                group.
                    ``(V) 1 member representing a national conservation 
                or natural resource group.
                    ``(W) 1 member representing private sector 
                organizations involved in international development.
                    ``(X) 1 member representing a national social 
                science association.''; and
            (3) in paragraph (4), by striking ``the Administrator of 
        the Cooperative State Research, Education, and Extension 
        Service'' and inserting ``the Director of the National 
        Institute of Food and Agriculture''.
    (c) Conforming Amendments.--
            (1) Section 296(b) of the Department of Agriculture 
        Reorganization Act of 1994 (7 U.S.C. 7014(b)) is amended--
                    (A) in paragraph (4), by striking ``or'' at the 
                end;
                    (B) in paragraph (5), by striking the period at the 
                end and inserting a semicolon; and
                    (C) by adding at the end the following:
            ``(6) the authority of the Secretary relating to the 
        National Institute of Food and Agriculture under section 253; 
        or''.
            (2) The National Agricultural Research, Extension, and 
        Teaching Policy Act of 1977 is amended--
                    (A) in section 1424A(b) (7 U.S.C. 3174a(b)), by 
                striking ``the Cooperative State Research, Education, 
                and Extension Service'' and inserting ``the National 
                Institute of Food and Agriculture''; and
                    (B) in section 1458(a)(10) (7 U.S.C. 3291(a)(10)), 
                by striking ``the Cooperative State Research, 
                Education, and Extension Service'' and inserting ``the 
                National Institute of Food and Agriculture''.
            (3) Section 522(d)(2) of the Federal Crop Insurance Act (7 
        U.S.C. 1522(d)(2)) is amended by striking ``the Cooperative 
        State Research, Education, and Extension Service'' and 
        inserting ``the National Institute of Food and Agriculture''.
            (4) Section 524(a) of the Federal Crop Insurance Act (7 
        U.S.C. 1524(a)) is amended in each of paragraphs (1)(B) and 
        (3)(A) by striking ``the Cooperative State Research, Education, 
        and Extension Service'' each place it appears and inserting 
        ``the National Institute of Food and Agriculture''.
            (5) Section 306(a)(11)(C) of the Consolidated Farm and 
        Rural Development Act (7 U.S.C. 1926(a)(11)(C)) is amended by 
        striking ``the Cooperative State Research, Education, and 
        Extension Service'' and inserting ``the National Institute of 
        Food and Agriculture''.
            (6) Section 704 of the Agriculture, Rural Development, Food 
        and Drug Administration, and Related Agencies Appropriations 
        Act, 2006 (7 U.S.C. 2209b), is amended by striking 
        ``Cooperative State Research, Education, and Extension 
        Service'' and inserting ``the National Institute of Food and 
        Agriculture''.
            (7) Section 7404(b)(1)(B) of the Farm Security and Rural 
        Investment Act of 2002 (7 U.S.C. 3101 note; Public Law 107-171) 
        is amended by striking clause (vi) and inserting the following:
                            ``(vi) the National Institute of Food and 
                        Agriculture.''.
            (8) Section 1499(c) of the Food, Agriculture, Conservation, 
        and Trade Act of 1990 (7 U.S.C. 5506(c)) is amended by striking 
        ``the Cooperative State Research Service'' and inserting ``the 
        National Institute of Food and Agriculture''.
            (9) Section 1622 of the Food, Agriculture, Conservation, 
        and Trade Act of 1990 (7 U.S.C. 5812) is amended--
                    (A) in subsection (a)(1), by striking ``the 
                Cooperative State Research Service'' and inserting 
                ``the National Institute of Food and Agriculture''; and
                    (B) in subsection (b)(1), by striking subparagraph 
                (B) and inserting the following:
                    ``(B) the National Institute of Food and 
                Agriculture;''.
            (10) Section 1668(b) of the Food, Agriculture, 
        Conservation, and Trade Act of 1990 (7 U.S.C. 5921(b)) is 
        amended by striking ``Cooperative State Research, Education, 
        and Extension Service and the Agricultural Research Service'' 
        and inserting ``the National Institute of Food and 
        Agriculture''.
            (11) Section 1670(a)(4) of the Food, Agriculture, 
        Conservation, and Trade Act of 1990 (7 U.S.C. 5923(a)(4)) is 
        amended by striking ``the Administrator of the Cooperative 
        State Research, Education, and Extension Service'' and 
        inserting ``the Director of the National Institute of Food and 
        Agriculture''.
            (12) Section 537 of the Federal Agriculture Improvement and 
        Reform Act of 1996 (7 U.S.C. 7446) is amended in each of 
        subsections (a)(2) and (b)(3)(B)(i) by striking ``Cooperative 
        State Research, Education, and Extension Service'' and 
        inserting ``the National Institute of Food and Agriculture''.
            (13) Section 103(a) of the Agricultural Research, 
        Extension, and Education Reform Act of 1998 (7 U.S.C. 7613(a)) 
        is amended--
                    (A) in the subsection heading, by striking 
                ``Cooperative State Research, Education, and Extension 
                Service'' and inserting ``National Institute of Food 
                and Agriculture''; and
                    (B) in each of paragraphs (1) and (2)(A), by 
                striking ``the Cooperative State Research, Education, 
                and Extension Service'' and inserting ``the National 
                Institute of Food and Agriculture''.
            (14) Section 401(f)(5) of the Agricultural Research, 
        Extension, and Education Reform Act of 1998 (7 U.S.C. 
        7621(f)(5)) is amended by striking ``the Cooperative State 
        Research, Education, and Extension Service'' and inserting 
        ``the National Institute of Food and Agriculture''.
            (15) Section 407(c) of the Agricultural Research, 
        Extension, and Education Reform Act of 1998 (7 U.S.C. 7627(c)) 
        is amended by striking ``the Cooperative State Research, 
        Education, and Extension Service'' and inserting ``the National 
        Institute of Food and Agriculture''.
            (16) Section 410(a) of the Agricultural Research, 
        Extension, and Education Reform Act of 1998 (7 U.S.C. 7630(a)) 
        is amended by striking ``the Administrator of the Cooperative 
        State Research, Education, and Extension Service'' and 
        inserting ``the Director of the National Institute of Food and 
        Agriculture''.
            (17) Section 307(g)(5) of the Agricultural Risk Protection 
        Act of 2000 (7 U.S.C. 8606(g)(5)) is amended by striking 
        ``Administrator of the Cooperative State Research, Education, 
        and Extension Service'' and inserting ``the Director of the 
        National Institute of Food and Agriculture''.
            (18) Section 6(b) of the Cooperative Forestry Assistance 
        Act of 1978 (16 U.S.C. 2103b(b)) is amended by striking ``the 
        Cooperative State Research, Education, and Extension Service, 
        may provide technical, financial, and related assistance to 
        State foresters, equivalent State officials, or Cooperative 
        Extension officials'' and inserting ``the National Institute of 
        Food and Agriculture, may provide technical, financial and 
        related assistance to State foresters, equivalent State 
        officials, and Institute officials''.
            (19) Section 19 of the Cooperative Forestry Assistance Act 
        of 1978 (16 U.S.C. 2113) is amended in subsections (a)(2) and 
        (b)(1)(B)(i), by striking ``Extension Service,'' each place it 
        appears and inserting ``National Institute of Food and 
        Agriculture,''.
            (20) Section 105(a) of the Africa: Seeds of Hope Act of 
        1998 (22 U.S.C. 2293 note; Public Law 105-385) is amended by 
        striking ``the Cooperative State Research, Education, and 
        Extension Service (CSREES)'' and inserting ``the National 
        Institute of Food and Agriculture''.
            (21) Section 307(a)(4) of the National Aeronautic and Space 
        Administration Authorization Act of 2005 (42 U.S.C. 
        16657(a)(4)) is amended by striking subparagraph (B) and 
        inserting the following:
                    ``(B) the program and structure of, peer review 
                process of, management of conflicts of interest by, 
                compensation of reviewers of, and the effects of 
                compensation on reviewer efficiency and quality within, 
                the National Institute of Food and Agriculture of the 
                Department of Agriculture;''.

SEC. 7402. COORDINATION OF AGRICULTURAL RESEARCH SERVICE AND NATIONAL 
              INSTITUTE OF FOOD AND AGRICULTURE.

    Title III of the Department of Agriculture Reorganization Act of 
1994 is amended by adding after section 308 (as added by section 7314) 
the following:

``SEC. 309. COORDINATION OF AGRICULTURAL RESEARCH SERVICE AND NATIONAL 
              INSTITUTE OF FOOD AND AGRICULTURE.

    ``(a) In General.--The Undersecretary for Research, Education, and 
Economics shall coordinate the programs under the authority of the 
Administrator of the Agricultural Research Service and the Director of 
the National Institute of Food and Agriculture, and the staff of the 
Administrator and the Director, including national program leaders, 
shall meet on a regular basis to--
            ``(1) increase coordination and integration of research 
        programs at the Agricultural Research Service and the research, 
        extension, and education programs of the National Institute of 
        Food and Agriculture;
            ``(2) coordinate responses to emerging issues;
            ``(3) minimize duplication of work and resources at the 
        staff level of each agency;
            ``(4) use the extension and education program to deliver 
        knowledge to stakeholders;
            ``(5) address critical needs facing agriculture; and
            ``(6) focus the research, extension, and education funding 
        strategy of the Department.
    ``(b) Reports.--Not later than 270 days after the date of enactment 
of this section, and annually thereafter, the Secretary shall submit to 
the Committee on Agriculture of the House of Representatives and the 
Committee on Agriculture, Nutrition, and Forestry of the Senate a 
report describing efforts to increase coordination between the 
Agricultural Research Service and the National Institute for Food and 
Agriculture.
    ``(c) Roadmap.--
            ``(1) In general.--Not later than 180 days after the date 
        of enactment of this section, the Secretary, acting through the 
        Under Secretary for Research, Education, and Economics shall--
                    ``(A) prepare a roadmap for agricultural research, 
                extension, and education that--
                            ``(i) identifies major opportunities and 
                        gaps in agricultural research, extension, and 
                        education that no single entity in the 
                        Department would be able to carry out 
                        individually, but that is necessary to carry 
                        out agricultural research;
                            ``(ii) involves--
                                    ``(I) stakeholders from across the 
                                Federal Government;
                                    ``(II) stakeholders from across the 
                                full array of nongovernmental entities; 
                                and
                                    ``(III) the National Agricultural 
                                Research, Extension, Education, and 
                                Economics Advisory Board established 
                                under section 1408 of the National 
                                Agricultural Research, Extension, and 
                                Teaching Policy Act of 1977 (7 U.S.C. 
                                3123);
                            ``(iii) incorporates roadmaps for 
                        agricultural research made publicly available 
                        by other Federal entities, agencies, or 
                        offices; and
                            ``(iv) describes recommended funding levels 
                        for areas of agricultural research, extension, 
                        and education, including--
                                    ``(I) competitive programs; and
                                    ``(II) infrastructure programs, 
                                with attention to the future growth 
                                needs of small 1862 Institutions, 1890 
                                Institutions, and 1994 Institutions (as 
                                those terms are defined in section 2 of 
                                the Agricultural Research, Extension, 
                                and Education Reform Act of 1998 (7 
                                U.S.C. 7601)), Hispanic-serving 
                                agricultural colleges (as defined in 
                                section 1456(a) of the National 
                                Agricultural Research, Extension and 
                                Teaching Policy Act of 1977), and any 
                                other public college or university that 
                                is not such an institution or college 
                                but that offers a baccalaureate or 
                                higher degree in the study of 
                                agriculture;
                    ``(B) use the roadmap to set the research, 
                extension, and education agenda of the Department; and
                    ``(C) submit a description of the roadmap to the 
                Committee on Agriculture of the House of 
                Representatives and the Committee on Agriculture, 
                Nutrition, and Forestry of the Senate.
            ``(2) Implementation.--The Secretary, acting through the 
        Under Secretary, shall implement, to the maximum extent 
        practicable, the roadmap.
            ``(3) Funding.--There are authorized to be appropriated 
        such sums as are necessary to carry out this subsection.''.

                       Subtitle F--Miscellaneous

SEC. 7501. JOINT NUTRITION MONITORING AND RELATED RESEARCH ACTIVITIES.

    The Secretary and the Secretary of Health and Human Services shall 
continue to provide jointly for national nutrition monitoring and 
related research activities carried out as of the date of enactment of 
this Act--
            (1) to collect continuous data relating to diet, health, 
        physical activity, and knowledge about diet and health, using a 
        nationally-representative sample;
            (2) to periodically collect data described in paragraph (1) 
        on special at-risk populations, as identified by the 
        Secretaries;
            (3) to distribute information on health, nutrition, the 
        environment, and physical activity to the public in a timely 
        manner;
            (4) to analyze new data as the data becomes available;
            (5) to continuously update food composition tables; and
            (6) to research and develop data collection methods and 
        standards.

SEC. 7502. DEMONSTRATION PROJECT AUTHORITY FOR TEMPORARY POSITIONS.

    Notwithstanding section 4703(d)(1) of title 5, United States Code, 
the amendment to the personnel management demonstration project 
established in the Department of Agriculture (67 Fed. Reg. 70776 
(2002)), shall become effective upon the date of enactment of this Act 
and shall remain in effect unless modified by law.

SEC. 7503. REVIEW OF PLAN OF WORK REQUIREMENTS.

    (a) Review.--The Secretary of Agriculture (referred to in this 
section as the ``Secretary'') shall work with university partners in 
extension and research to review and identify measures to streamline 
the submission, reporting under, and implementation of plan of work 
requirements including requirements under--
            (1) sections 1444(d) and 1445(c) of the National 
        Agricultural Research, Extension, and Teaching Policy Act of 
        1977 (7 U.S.C. 3221(d), 3222(c));
            (2) section 7 of the Hatch Act of 1887 (7 U.S.C. 361g); and
            (3) section 4 of the Smith-Lever Act (7 U.S.C. 344).
    (b) Report.--
            (1) In general.--Not later than 180 days after the date of 
        enactment of this Act, the Secretary shall submit to the 
        Committee on Agriculture of the House of Representatives and 
        the Committee on Agriculture, Nutrition, and Forestry of the 
        Senate a report describing the results of the review conducted 
        under subsection (a).
            (2) Inclusions.--The report shall include recommendations--
                    (A) to reduce the administrative burden and 
                workload on institutions associated with plan of work 
                compliance while meeting the reporting needs of the 
                Department of Agriculture for input, output, and 
                outcome indicators;
                    (B) to streamline the submission and reporting 
                requirements of the plan of work so that the plan of 
                work is of practical utility to both the Department of 
                Agriculture and the institutions; and
                    (C) for any legislative changes necessary to carry 
                out the plan of work improvements.
    (c) Consultation.--In carrying out this section, the Secretary 
shall consult with land-grant colleges and universities (as defined in 
section 1404 of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3103)).

SEC. 7504. STUDY AND REPORT ON ACCESS TO NUTRITIOUS FOODS.

    (a) In General.--The Secretary shall carry out a study of, and 
prepare a report on, areas in the United States with limited access to 
affordable and nutritious food, with a particular focus on 
predominantly lower-income neighborhoods and communities.
    (b) Contents.--The study and report shall--
            (1) assess the incidence and prevalence of areas with 
        limited access to affordable and nutritious food in the United 
        States;
            (2) identify--
                    (A) characteristics and factors causing and 
                influencing those areas; and
                    (B) the effect on local populations of limited 
                access to affordable and nutritious food; and
            (3) develop recommendations for addressing the causes and 
        influences of those areas through measures including--
                    (A) community and economic development initiatives;
                    (B) incentives for retail food market development, 
                including supermarkets, small grocery stores, and 
                farmers' markets; and
                    (C) improvements to Federal food assistance and 
                nutrition education programs.
    (c) Coordination With Other Agencies and Organizations.--The 
Secretary shall conduct the study under this section in coordination 
and consultation with--
            (1) the Secretary of Health and Human Services;
            (2) the Administrator of the Small Business Administration;
            (3) the Institute of Medicine; and
            (4) representatives of appropriate businesses, academic 
        institutions, and nonprofit and faith-based organizations.
    (d) Report to Congress.--Not later than 1 year after the date of 
enactment of this Act, the Secretary shall submit the report prepared 
under this section, including the findings and recommendations 
described in subsection (b), to--
            (1) the Committee on Agriculture of the House of 
        Representatives; and
            (2) the Committee on Agriculture, Nutrition, and Forestry 
        of the Senate.

                          TITLE VIII--FORESTRY

        Subtitle A--Cooperative Forestry Assistance Act of 1978

SEC. 8001. NATIONAL PRIORITIES FOR PRIVATE FOREST CONSERVATION.

    Section 2 of the Cooperative Forestry Assistance Act of 1978 (16 
U.S.C. 2101) is amended--
            (1) by redesignating subsections (c) and (d) as subsections 
        (e) and (f), respectively; and
            (2) by inserting after subsection (b) the following:
    ``(c) Priorities.--In allocating funds appropriated or otherwise 
made available under this Act, the Secretary shall focus on the 
following national private forest conservation priorities:
            ``(1) Conserving and managing working forest landscapes for 
        multiple values and uses.
            ``(2) Protecting forests from threats to forest and forest 
        health, including unnaturally large wildfires, hurricanes, 
        tornadoes, windstorms, snow or ice storms, flooding, drought, 
        invasive species, insect or disease outbreak, or development, 
        and restoring appropriate forest structures and ecological 
        processes in response to such threats.
            ``(3) Enhancing public benefits from private forests, 
        including air and water quality, forest products, forestry-
        related jobs, production of renewable energy, wildlife, 
        enhanced biodiversity, the establishment or maintenance of 
        wildlife corridors and wildlife habitat, and recreation.
    ``(d) Reporting Requirement.--Not later than September 30, 2011, 
the Secretary shall submit to Congress a report describing how funding 
was used under this Act to address the national priorities specified in 
subsection (c) and the outcomes achieved in meeting the national 
priorities.''.

SEC. 8002. COMMUNITY FOREST AND OPEN SPACE CONSERVATION PROGRAM.

    (a) Findings.--Congress finds that--
            (1) the Forest Service projects that, by calendar year 
        2030, approximately 44,000,000 acres of privately-owned forest 
        land will be developed throughout the United States;
            (2) public access to parcels of privately-owned forest land 
        for outdoor recreational activities, including hunting, 
        fishing, and trapping, has declined and, as a result, 
        participation in those activities has also declined in cases in 
        which public access is not secured;
            (3) rising rates of obesity and other public health 
        problems relating to the inactivity of the citizens of the 
        United States have been shown to be ameliorated by improving 
        public access to safe and attractive areas for outdoor 
        recreation;
            (4) in rapidly-growing communities of all sizes throughout 
        the United States, remaining parcels of forest land play an 
        essential role in protecting public water supplies;
            (5) forest parcels owned by local governmental entities and 
        nonprofit organizations are providing important demonstration 
        sites for private landowners to learn forest management 
        techniques;
            (6) throughout the United States, communities of diverse 
        types and sizes are deriving significant financial and 
        community benefits from managing forest land owned by local 
        governmental entities for timber and other forest products; and
            (7) there is an urgent need for local governmental entities 
        to be able to leverage financial resources in order to purchase 
        important parcels of privately-owned forest land as the parcels 
        are offered for sale.
    (b) Community Forest and Open Space Conservation Program.--The 
Cooperative Forestry Assistance Act of 1978 is amended by inserting 
after section 7 (16 U.S.C. 2103c) the following:

``SEC. 7A. COMMUNITY FOREST AND OPEN SPACE CONSERVATION PROGRAM.

    ``(a) Definitions.--In this section:
            ``(1) Eligible entity.--The term `eligible entity' means a 
        local governmental entity, Indian tribe, or nonprofit 
        organization that owns or acquires a parcel under the program.
            ``(2) Indian tribe.--The term `Indian tribe' has the 
        meaning given the term in section 4 of the Indian Self-
        Determination and Education Assistance Act (25 U.S.C. 450b).
            ``(3) Local governmental entity.--The term `local 
        governmental entity' includes any municipal government, county 
        government, or other local government body with jurisdiction 
        over local land use decisions.
            ``(4) Nonprofit organization.--The term `nonprofit 
        organization' means any organization that--
                    ``(A) is described in section 170(h)(3) of the 
                Internal Revenue Code of 1986; and
                    ``(B) operates in accordance with 1 or more of the 
                purposes specified in section 170(h)(4)(A) of that 
                Code.
            ``(5) Program.--The term `Program' means the community 
        forest and open space conservation program established under 
        subsection (b).
            ``(6) Secretary.--The term `Secretary' means the Secretary 
        of Agriculture, acting through the Chief of the Forest Service.
    ``(b) Establishment.--The Secretary shall establish a program, to 
be known as the `community forest and open space conservation program'.
    ``(c) Grant Program.--
            ``(1) In general.--The Secretary may award grants to 
        eligible entities to acquire private forest land, to be owned 
        in fee simple, that--
                    ``(A) are threatened by conversion to nonforest 
                uses; and
                    ``(B) provide public benefits to communities, 
                including--
                            ``(i) economic benefits through sustainable 
                        forest management;
                            ``(ii) environmental benefits, including 
                        clean water and wildlife habitat;
                            ``(iii) benefits from forest-based 
                        educational programs, including vocational 
                        education programs in forestry;
                            ``(iv) benefits from serving as models of 
                        effectively-managed effective forest 
                        stewardship for private landowners; and
                            ``(v) recreational benefits, including 
                        hunting and fishing.
            ``(2) Federal cost share.--An eligible entity may receive a 
        grant under the Program in an amount equal to not more than 50 
        percent of the cost of acquiring 1 or more parcels, as 
        determined by the Secretary.
            ``(3) Non-federal share.--As a condition of receipt of the 
        grant, an eligible entity that receives a grant under the 
        Program shall provide, in cash, donation, or in kind, a non-
        Federal matching share in an amount that is at least equal to 
        the amount of the grant received.
            ``(4) Appraisal of parcels.--To determine the non-Federal 
        share of the cost of a parcel of privately-owned forest land 
        under paragraph (2), an eligible entity shall require 
        appraisals of the land that comply with the Uniform Appraisal 
        Standards for Federal Land Acquisitions developed by the 
        Interagency Land Acquisition Conference.
            ``(5) Application.--An eligible entity that seeks to 
        receive a grant under the Program shall submit to the State 
        forester or equivalent official (or in the case of an eligible 
        entity that is an Indian tribe, an equivalent official of the 
        Indian tribe) an application that includes--
                    ``(A) a description of the land to be acquired;
                    ``(B) a forest plan that provides--
                            ``(i) a description of community benefits 
                        to be achieved from the acquisition of the 
                        private forest land; and
                            ``(ii) an explanation of the manner in 
                        which any private forest land to be acquired 
                        using funds from the grant will be managed; and
                    ``(C) such other relevant information as the 
                Secretary may require.
            ``(6) Effect on trust land.--
                    ``(A) Ineligibility.--The Secretary shall not 
                provide a grant under the Program for any project on 
                land held in trust by the United States (including 
                Indian reservations and allotment land).
                    ``(B) Acquired land.--No land acquired using a 
                grant provided under the Program shall be converted to 
                land held in trust by the United States on behalf of 
                any Indian tribe.
            ``(7) Applications to secretary.--The State forester or 
        equivalent official (or in the case of an eligible entity that 
        is an Indian tribe, an equivalent official of the Indian tribe) 
        shall submit to the Secretary a list that includes a 
        description of each project submitted by an eligible entity at 
        such times and in such form as the Secretary shall prescribe.
    ``(d) Duties of Eligible Entity.--An eligible entity--
            ``(1) shall provide public access to, and manage, forest 
        land acquired with a grant under this section in a manner that 
        is consistent with the purposes for which the land was acquired 
        under the Program; and
            ``(2) shall not convert the property to other uses.
    ``(e) Prohibited Uses.--
            ``(1) In general.--Subject to paragraphs (2) and (3), an 
        eligible entity that acquires a parcel under the Program shall 
        not sell the parcel or convert the parcel to nonforest use.
            ``(2) Reimbursement of funds.--An eligible entity that 
        sells or converts to nonforest use a parcel acquired under the 
        Program shall pay to the Federal Government an amount equal to 
        the greater of the current sale price, or current appraised 
        value, of the parcel.
            ``(3) Loss of eligibility.--An eligible entity that sells 
        or converts a parcel acquired under the Program shall not be 
        eligible for additional grants under the Program.
    ``(f) State Administration and Technical Assistance.--To assist 
model stewardship of parcels acquired under the Program, the Secretary 
may allocate not more than 10 percent of all funds made available to 
carry out the Program for each fiscal year to State foresters or 
equivalent officials (including an equivalent official of an Indian 
tribe) for Program administration and technical assistance.
    ``(g) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as are necessary to carry out this section.''.

SEC. 8003. FEDERAL, STATE, AND LOCAL COORDINATION AND COOPERATION.

    Section 19(b)(2)(D) of the Cooperative Forestry Assistance Act of 
1978 (16 U.S.C. 2113(b)(2)(D)) is amended by inserting ``except for 
projects submitted by an Indian tribe,'' before ``make 
recommendations''.

SEC. 8004. COMPREHENSIVE STATEWIDE FOREST PLANNING.

    The Cooperative Forestry Assistance Act of 1978 is amended--
            (1) by redesignating section 20 (16 U.S.C. 2114) as section 
        22; and
            (2) by inserting after section 19 (16 U.S.C. 2113) the 
        following:

``SEC. 20. COMPREHENSIVE STATEWIDE FOREST PLANNING.

    ``(a) Establishment.--The Secretary shall establish a comprehensive 
statewide forest planning program under which the Secretary shall 
provide financial and technical assistance to States for use in the 
development and implementation of statewide forest resource assessments 
and plans.
    ``(b) Statewide Forest Resource Assessment and Plan.--For a State 
to be eligible to receive funds under this Act, not later than 2 years 
after the date of enactment of the Food and Energy Security Act of 
2007, the State Forester of the State, or an equivalent State official, 
shall develop a statewide forest resource assessment and plan that, at 
a minimum--
            ``(1) identifies each critical forest resource area in the 
        State described in section 2(c);
            ``(2) to the maximum extent practicable--
                    ``(A) incorporates any forest management plan of 
                the State in existence on the date of enactment of this 
                section;
                    ``(B) addresses the needs of the region, without 
                regard to the borders of each State of the region (or 
                the political subdivisions of each State of the 
                region);
                    ``(C) provides a comprehensive statewide plan 
                (including the opportunity for public participation in 
                the development of the statewide plan) for--
                            ``(i) managing the forest land in the 
                        State;
                            ``(ii) achieving the national priorities 
                        specified in section 2(c)(2);
                            ``(iii) monitoring the forest land in the 
                        State; and
                            ``(iv) administering any forestry-related 
                        Federal, State, or private grants awarded to 
                        the State under this section or any other 
                        provisions of law; and
                    ``(D) includes a multiyear, integrated forest 
                management strategy that provides a management 
                framework for--
                            ``(i) the administration of each applicable 
                        program of the State; and
                            ``(ii) the use of any funds made available 
                        for the management of the forest land in the 
                        State; and
            ``(3) is determined by the Secretary to be sufficient to 
        satisfy all relevant State planning and assessment requirements 
        under this Act.
    ``(c) Coordination.--In developing the statewide assessment and 
plan under subsection (b), the State Forester or equivalent State 
official shall--
            ``(1) coordinate with--
                    ``(A) the State Forest Stewardship Coordination 
                Committee established for the State under section 
                19(b);
                    ``(B) the State wildlife agency, with respect to 
                strategies contained in the State wildlife action 
                plans;
                    ``(C) the State Technical Committee; and
                    ``(D) applicable Federal land management agencies; 
                and
            ``(2) for purposes of the Forest Legacy Program under 
        section 7, work cooperatively with the State lead agency 
        designated by the Governor.
    ``(d) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $10,000,000 for each fiscal 
year.''.

SEC. 8005. ASSISTANCE TO THE FEDERATED STATES OF MICRONESIA, THE 
              REPUBLIC OF THE MARSHALL ISLANDS, AND THE REPUBLIC OF 
              PALAU.

    Section 13(d)(1) of the Cooperative Forestry Assistance Act of 1978 
(16 U.S.C. 2109(d)(1)) is amended by striking ``the Trust Territory of 
the Pacific Islands,'' and inserting ``the Federated States of 
Micronesia, the Republic of the Marshall Islands, the Republic of 
Palau,''.

        Subtitle B--Tribal-Forest Service Cooperative Relations

SEC. 8101. DEFINITIONS.

    In this subtitle:
            (1) Indian.--The term ``Indian'' means an individual who is 
        a member of an Indian tribe.
            (2) Indian tribe.--The term ``Indian tribe''--
                    (A) for purposes of title I, has the meaning given 
                the term in section 4 of the Indian Self-Determination 
                and Education Assistance Act (25 U.S.C. 450b); and
                    (B) for purposes of title II, means any Indian or 
                Alaska Native tribe, band, nation, pueblo, village, or 
                other community the name of which is included on a list 
                published by the Secretary of the Interior pursuant to 
                section 104 of the Federally Recognized Indian Tribe 
                List Act of 1994 (25 U.S.C. 479a-1).
            (3) National forest system.--The term ``National Forest 
        System'' has the meaning given the term in section 11(a) of the 
        Forest and Rangeland Renewable Resources Planning Act of 1974 
        (16 U.S.C. 1609(a)).

     PART I--COLLABORATION BETWEEN INDIAN TRIBES AND FOREST SERVICE

SEC. 8111. FOREST LEGACY PROGRAM.

    (a) Participation by Indian Tribes.--Section 7 of the Cooperative 
Forestry Assistance Act of 1978 (16 U.S.C. 2103c) is amended--
            (1) in subsection (a), in the first sentence, by inserting 
        ``, including Indian tribes,'' after ``government'';
            (2) in subsection (b), by inserting ``or programs of Indian 
        tribes'' after ``regional programs'';
            (3) in subsection (f), in the second sentence, by striking 
        ``other appropriate State or regional natural resource 
        management agency'' and inserting ``other appropriate natural 
        resource management agency of a State, region, or Indian 
        tribe'';
            (4) in subsection (h)(2), by inserting ``, including an 
        Indian tribe'' before the period at the end; and
            (5) in subsection (j)(2), in the first sentence, by 
        inserting ``including Indian tribes,'' after ``governmental 
        units,''.
    (b) Optional State and Tribal Grants.--Section 7(l) of the 
Cooperative Forestry Assistance Act of 1978 (16 U.S.C. 2103c(l)) is 
amended--
            (1) in the subsection heading, by inserting ``and Tribal'' 
        after ``State'';
            (2) by redesignating paragraph (3) as paragraph (4); and
            (3) by striking paragraphs (1) and (2) and inserting the 
        following:
            ``(1) Definition of indian tribe.--In this subsection, the 
        term `Indian tribe' has the meaning given the term in section 4 
        of the Indian Self-Determination and Education Assistance Act 
        (25 U.S.C. 450b).
            ``(2) Grants.--On request of a participating State or 
        Indian tribe, the Secretary shall provide a grant to the State 
        or Indian tribe to carry out the Forest Legacy Program in the 
        State or with the Indian tribe.
            ``(3) Administration.--If a State or Indian tribe elects to 
        receive a grant under this subsection--
                    ``(A) the Secretary shall use a portion of the 
                funds made available under subsection (m), as 
                determined by the Secretary, to provide a grant to the 
                State or Indian tribe; and
                    ``(B) the State or Indian tribe shall use the grant 
                to carry out the Forest Legacy Program in the State or 
                with the Indian tribe, including through acquisition by 
                the State or Indian tribe of land and interests in 
                land.
            ``(4) Effect on trust land.--
                    ``(A) Ineligibility.--The Secretary shall not 
                provide a grant under this subsection for any project 
                on land held in trust by the United States (including 
                Indian reservations and allotment land).
                    ``(B) Acquired land.--No land acquired using a 
                grant provided under this subsection shall be converted 
                to land held in trust by the United States on behalf of 
                any Indian tribe.''.
    (c) Conforming Amendments.--Section 7(j)(1) of the Cooperative 
Forestry Assistance Act of 1978 (16 U.S.C. 2103c(j)(1)) is amended by 
striking the first sentence and inserting the following: ``Fair market 
value shall be paid for any property interest acquired (other than by 
donation) under this section.''.

SEC. 8112. FORESTRY AND RESOURCE MANAGEMENT ASSISTANCE FOR INDIAN 
              TRIBES.

    (a) Definition of Eligible Indian Land.--In this section, the term 
``eligible Indian land'' means, with respect to each participating 
Indian tribe--
            (1) trust land located within the boundaries of the 
        reservation of the Indian tribe;
            (2) land owned in fee by the Indian tribe; and
            (3) trust land located outside the boundaries of the 
        reservation of the Indian tribe that is eligible for use for 
        land programs of the Indian tribe.
    (b) Authority to Provide Assistance.--The Secretary may provide 
financial, technical, educational, and related assistance to any Indian 
tribe for--
            (1) tribal consultation and coordination with the Forest 
        Service on issues relating to--
                    (A) access and use by members of the Indian tribe 
                to National Forest System land and resources for 
                traditional, religious, and cultural purposes;
                    (B) coordinated or cooperative management of 
                resources shared by the Forest Service and the Indian 
                tribe; or
                    (C) the provision of tribal traditional, cultural, 
                or other expertise or knowledge;
            (2) projects and activities for conservation education and 
        awareness with respect to forest land or grassland that is 
        eligible Indian land; and
            (3) technical assistance for forest resources planning, 
        management, and conservation on eligible Indian land.
    (c) Requirements.--
            (1) In general.--During any fiscal year, an Indian tribe 
        may participate in only 1 approved activity that receives 
        assistance under--
                    (A) subsection (b)(3); or
                    (B) the forest stewardship program under section 5 
                of the Cooperative Forestry Assistance Act of 1978 (16 
                U.S.C. 2103a).
    (d) Implementation.--
            (1) In general.--Not later than 18 months after the date of 
        enactment of this Act, the Secretary shall promulgate 
        regulations to implement subsection (b), including rules for 
        determining the distribution of assistance under that 
        subsection.
            (2) Consultation.--In developing regulations pursuant to 
        paragraph (1), the Secretary shall conduct full, open, and 
        substantive consultation with Indian tribal governments and 
        other representatives of Indian tribes.
    (e) Coordination With Secretary of Interior.--In carrying out this 
section, the Secretary shall coordinate with the Secretary of the 
Interior to ensure that activities under subsection (b)--
            (1) do not conflict with Indian tribal programs provided by 
        the Department of the Interior; and
            (2) achieve the goals established by the affected Indian 
        tribes.
    (f) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as are necessary to carry out this section.

          PART II--CULTURAL AND HERITAGE COOPERATION AUTHORITY

SEC. 8121. PURPOSES.

    The purposes of this part are--
            (1) to authorize the reburial of human remains and cultural 
        items, including human remains and cultural items repatriated 
        under the Native American Graves Protection and Repatriation 
        Act (25 U.S.C. 3001 et seq.), on National Forest System land;
            (2) to prevent the unauthorized disclosure of information 
        regarding reburial sites, including--
                    (A) the quantity and identity of human remains and 
                cultural items on the sites; and
                    (B) the location of the sites;
            (3) to authorize the Secretary to ensure access to National 
        Forest System land, to the maximum extent practicable, by 
        Indians and Indian tribes for traditional and cultural 
        purposes;
            (4) to authorize the Secretary to provide forest products 
        free of charge to Indian tribes for traditional and cultural 
        purposes;
            (5) to authorize the Secretary to protect the 
        confidentiality of certain information, including information 
        that is culturally sensitive to Indian tribes;
            (6) to increase the availability of Forest Service programs 
        and resources to Indian tribes in support of the policy of the 
        United States to promote tribal sovereignty and self-
        determination; and
            (7) to strengthen support for the policy of the United 
        States of protecting and preserving the traditional, cultural, 
        and ceremonial rites and practices of Indian tribes, in 
        accordance with Public Law 95-341 (commonly known as the 
        ``American Indian Religious Freedom Act'') (42 U.S.C. 1996).

SEC. 8122. DEFINITIONS.

    In this part:
            (1) Adjacent site.--The term ``adjacent site'' means a site 
        that borders a boundary line of National Forest system land.
            (2) Cultural items.--
                    (A) In general.--The term ``cultural items'' has 
                the meaning given the term in section 2 of the Native 
                American Graves Protection and Repatriation Act (25 
                U.S.C. 3001).
                    (B) Exception.--The term ``cultural items'' does 
                not include human remains.
            (3) Human remains.--The term ``human remains'' means the 
        physical remains of the body of a person of Indian ancestry.
            (4) Lineal descendant.--The term ``lineal descendant'' 
        means an individual that can trace, directly and without 
        interruption, the ancestry of the individual through the 
        traditional kinship system of an Indian tribe, or through the 
        common law system of descent, to a known Indian, the human 
        remains, funerary objects, or other sacred objects of whom are 
        claimed by the individual.
            (5) Reburial site.--The term ``reburial site'' means a 
        discrete physical location at which cultural items or human 
        remains are reburied.
            (6) Traditional and cultural purpose.--The term 
        ``traditional and cultural purpose'', with respect to a 
        definable use, area, or practice, means that the use, area, or 
        practice is identified by an Indian tribe as traditional or 
        cultural because of the long-established significance or 
        ceremonial nature of the use, area, or practice to the Indian 
        tribe.

SEC. 8123. REBURIAL OF HUMAN REMAINS AND CULTURAL ITEMS.

    (a) Reburial Sites.--In consultation with an affected Indian tribe 
or lineal descendant, the Secretary may authorize the use of National 
Forest System land by the Indian tribe or lineal descendant for the 
reburial of human remains or cultural items in the possession of the 
Indian tribe or lineal descendant that have been disinterred from 
National Forest System land or an adjacent site.
    (b) Reburial.--With the consent of the affected Indian tribe or 
lineal descendent, the Secretary may recover and rebury, at Federal 
expense or using other available funds, human remains and cultural 
items described in subsection (a) at the National Forest System land 
identified under that subsection.
    (c) Authorization of Use.--
            (1) In general.--Subject to paragraph (2), the Secretary 
        may authorize such uses on reburial sites or adjacent sites as 
        the Secretary determines to be necessary for management of the 
        National Forest System.
            (2) Avoidance of adverse impacts.--In carrying out 
        paragraph (1), the Secretary shall avoid adverse impacts to 
        cultural items and human remains, to the maximum extent 
        practicable.

SEC. 8124. TEMPORARY CLOSURE FOR TRADITIONAL AND CULTURAL PURPOSES.

    (a) Recognition of Historic Use.--The Secretary shall, to the 
maximum extent practicable, ensure access to National Forest System 
land by Indians for traditional and cultural purposes, in accordance 
with subsection (b), in recognition of the historic use by Indians of 
National Forest System land.
    (b) Closing Land From Public Access.--
            (1) In general.--On receipt of a request from an Indian 
        tribe, the Secretary may temporarily close from public access 
        specifically designated National Forest System land to protect 
        the privacy of tribal activities for traditional and cultural 
        purposes.
            (2) Limitation.--A closure of National Forest System land 
        under paragraph (1) shall affect the smallest practicable area 
        for the minimum period necessary for activities of the 
        applicable Indian tribe.
            (3) Consistency.--Access by Indian tribes to National 
        Forest System land under this subsection shall be consistent 
        with the purposes of Public Law 95-341 (commonly known as the 
        ``American Indian Religious Freedom Act'') (42 U.S.C. 1996).

SEC. 8125. FOREST PRODUCTS FOR TRADITIONAL AND CULTURAL PURPOSES.

    (a) In General.--Notwithstanding section 14 of the National Forest 
Management Act of 1976 (16 U.S.C. 472a), the Secretary may provide free 
of charge to Indian tribes any trees, portions of trees, or forest 
products from National Forest System land for traditional and cultural 
purposes.
    (b) Prohibition.--Trees, portions of trees, or forest products 
provided under subsection (a) may not be used for commercial purposes.

SEC. 8126. PROHIBITION ON DISCLOSURE.

    (a) Nondisclosure of Information.--
            (1) In general.--The Secretary shall not disclose under 
        section 552 of title 5, United States Code (commonly known as 
        the ``Freedom of Information Act''), any information relating 
        to--
                    (A) subject to subsection (b)(l), human remains or 
                cultural items reburied on National Forest System land 
                under section 8123; or
                    (B) subject to subsection (b)(2), resources, 
                cultural items, uses, or activities that--
                            (i) have a traditional and cultural 
                        purpose; and
                            (ii) are provided to the Secretary by an 
                        Indian or Indian tribe under an express 
                        expectation of confidentiality in the context 
                        of forest and rangeland research activities 
                        carried out under the authority of the Forest 
                        Service.
            (2) Limitations on disclosure.--Subject to subsection 
        (b)(2), the Secretary shall not be required to disclose 
        information under section 552 of title 5, United States Code 
        (commonly known as the ``Freedom of Information Act''), 
        concerning the identity, use, or specific location in the 
        National Forest System of--
                    (A) a site or resource used for traditional and 
                cultural purposes by an Indian tribe; or
                    (B) any cultural items not covered under section 
                8123.
    (b) Limited Release of Information.--
            (1) Reburial.--The Secretary may disclose information 
        described in subsection (a)(l)(A) if, before the disclosure, 
        the Secretary--
                    (A) consults with an affected Indian tribe or 
                lineal descendent;
                    (B) determines that disclosure of the information--
                            (i) would advance the purposes of this 
                        part; and
                            (ii) is necessary to protect the human 
                        remains or cultural items from harm, theft, or 
                        destruction; and
                    (C) attempts to mitigate any adverse impacts 
                identified by an Indian tribe or lineal descendant that 
                reasonably could be expected to result from disclosure 
                of the information.
            (2) Other information.--The Secretary may disclose 
        information described under paragraph (1)(B) or (2) of 
        subsection if the Secretary determines that disclosure of the 
        information to the public--
                    (A) would advance the purposes of this part;
                    (B) would not create an unreasonable risk of harm, 
                theft, or destruction of the resource, site, or object, 
                including individual organic or inorganic specimens; 
                and
                    (C) would be consistent with other applicable laws.

SEC. 8127. SEVERABILITY AND SAVINGS PROVISIONS.

    (a) Severability.--If any provision of this part, or the 
application of any provision of this part to any person or 
circumstance, is held invalid, the application of such provision or 
circumstance and the remainder of this part shall not be affected 
thereby.
    (b) Savings.--Nothing in this part--
            (1) diminishes or expands the trust responsibility of the 
        United States to Indian tribes, or any legal obligation or 
        remedy resulting from that responsibility;
            (2) alters, abridges, repeals, or affects any valid 
        agreement between the Forest Service and an Indian tribe;
            (3) alters, abridges, diminishes, repeals, or affects any 
        reserved or other right of an Indian tribe; or
            (4) alters, abridges, diminishes, repeals, or affects any 
        other valid existing right relating to National Forest System 
        land or other public land.

                  Subtitle C--Amendments to Other Laws

SEC. 8201. RENEWABLE RESOURCES EXTENSION ACTIVITIES.

    (a) Authorization of Appropriations.--Section 6 of the Renewable 
Resources Extension Act of 1978 (16 U.S.C. 1675) is amended in the 
first sentence by striking ``2007'' and inserting ``2012''.
    (b) Termination Date.--Section 8 of the Renewable Resources 
Extension Act of 1978 (16 U.S.C. 1671 note; Public Law 95-306) is 
amended by striking ``2007'' and inserting ``2012''.

SEC. 8202. OFFICE OF INTERNATIONAL FORESTRY.

    Section 2405(d) of the Global Climate Change Prevention Act of 1990 
(7 U.S.C. 6704(d)) is amended by striking ``2007'' and inserting 
``2012''.

                            TITLE IX--ENERGY

SEC. 9001. ENERGY.

    Title IX of the Farm Security and Rural Investment Act of 2002 (7 
U.S.C. 8101 et seq.) is amended to read as follows:

                           ``TITLE IX--ENERGY

``SEC. 9001. DEFINITIONS.

    ``Except as otherwise provided, in this title:
            ``(1) Administrator.--The term `Administrator' means the 
        Administrator of the Environmental Protection Agency.
            ``(2) Advisory committee.--The term `Advisory Committee' 
        means the Biomass Research and Development Technical Advisory 
        Committee established by section 9008(d)(1).
            ``(3) Advanced biofuel.--
                    ``(A) In general.--The term `advanced biofuel' 
                means fuel derived from renewable biomass other than 
                corn starch.
                    ``(B) Inclusions.--The term `advanced biofuel' 
                includes--
                            ``(i) biofuel derived from cellulose, 
                        hemicellulose, or lignin;
                            ``(ii) biofuel derived from sugar and 
                        starch (other than ethanol derived from corn 
                        starch);
                            ``(iii) biofuel derived from waste 
                        material, including crop residue, other 
                        vegetative waste material, animal waste, food 
                        waste, and yard waste;
                            ``(iv) diesel-equivalent fuel derived from 
                        renewable biomass, including vegetable oil and 
                        animal fat;
                            ``(v) biogas (including landfill gas and 
                        sewage waste treatment gas) produced through 
                        the conversion of organic matter from renewable 
                        biomass;
                            ``(vi) butanol or other alcohols produced 
                        through the conversion of organic matter from 
                        renewable biomass; and
                            ``(vii) other fuel derived from cellulosic 
                        biomass.
            ``(4) Biobased product.--The term `biobased product' means 
        a product determined by the Secretary to be a commercial or 
        industrial product (other than food or feed) that is--
                    ``(A) composed, in whole or in significant part, of 
                biological products, including renewable domestic 
                agricultural materials and forestry materials; or
                    ``(B) an intermediate ingredient or feedstock.
            ``(5) Biofuel.--The term `biofuel' means a fuel derived 
        from renewable biomass.
            ``(6) Biomass conversion facility.--The term `biomass 
        conversion facility' means a facility that converts or proposes 
        to convert renewable biomass into--
                    ``(A) heat;
                    ``(B) power;
                    ``(C) biobased products; or
                    ``(D) advanced biofuels.
            ``(7) Biorefinery.--The term `biorefinery' means equipment 
        and processes that--
                    ``(A) convert renewable biomass into biofuels and 
                biobased products; and
                    ``(B) may produce electricity.
            ``(8) Board.--The term `Board' means the Biomass Research 
        and Development Board established by section 9008(c).
            ``(9) Indian tribe.--The term `Indian tribe' has the 
        meaning given the term in section 4 of the Indian Self-
        Determination and Education Assistance Act (25 U.S.C. 450b).
            ``(10) Institution of higher education.--The term 
        `institution of higher education' has the meaning given the 
        term in section 102(a) of the Higher Education Act of 1965 (20 
        U.S.C. 1002(a)).
            ``(11) Intermediate ingredient or feedstock.--The term 
        `intermediate ingredient or feedstock' means a material or 
        compound made in whole or in significant part from biological 
        products, including renewable agricultural materials (including 
        plant, animal, and marine materials) or forestry materials, 
        that are subsequently used to make a more complex compound or 
        product.
            ``(12) Renewable biomass.--The term `renewable biomass' 
        means--
                    ``(A) materials, pre-commercial thinnings, or 
                removed exotic species that--
                            ``(i) are byproducts of preventive 
                        treatments (such as trees, wood, brush, 
                        thinnings, chips, and slash), that are 
                        removed--
                                    ``(I) to reduce hazardous fuels;
                                    ``(II) to reduce or contain disease 
                                or insect infestation; or
                                    ``(III) to restore ecosystem 
                                health;
                            ``(ii) would not otherwise be used for 
                        higher-value products; and
                            ``(iii) are harvested from National Forest 
                        System land or public lands (as defined in 
                        section 103 of the Federal Land Policy and 
                        Management Act of 1976 (43 U.S.C. 1702)), in 
                        accordance with--
                                    ``(I) Federal and State law;
                                    ``(II) applicable land management 
                                plans; and
                                    ``(III) the requirements for old-
                                growth maintenance, restoration, and 
                                management direction of paragraphs (2), 
                                (3), and (4) of subsection (e) of 
                                section 102 of the Healthy Forests 
                                Restoration Act of 2003 (16 U.S.C. 
                                6512) and the requirements for large-
                                tree retention of subsection (f) of 
                                that section; or
                    ``(B) any organic matter that is available on a 
                renewable or recurring basis from non-Federal land or 
                land belonging to an Indian or Indian tribe that is 
                held in trust by the United States or subject to a 
                restriction against alienation imposed by the United 
                States, including--
                            ``(i) renewable plant material, including--
                                    ``(I) feed grains;
                                    ``(II) other agricultural 
                                commodities;
                                    ``(III) other plants and trees; and
                                    ``(IV) algae; and
                            ``(ii) waste material, including--
                                    ``(I) crop residue;
                                    ``(II) other vegetative waste 
                                material (including wood waste and wood 
                                residues);
                                    ``(III) animal waste and byproducts 
                                (including fats, oils, greases, and 
                                manure);
                                    ``(IV) construction waste; and
                                    ``(V) food waste and yard waste.
            ``(13) Renewable energy.--The term `renewable energy' means 
        energy derived from--
                    ``(A) a wind, solar, renewable biomass, ocean 
                (including tidal, wave, current, and thermal), 
                geothermal, or hydroelectric source; or
                    ``(B) hydrogen derived from renewable biomass or 
                water using an energy source described in subparagraph 
                (A).
            ``(14) Rural area.--Except as otherwise provided in this 
        title, the term `rural area' has the meaning given the term in 
        section 343(a)(13)(A) of the Consolidated Farm and Rural 
        Development Act (7 U.S.C. 1991(a)(13)(A)).
            ``(15) Secretary.--The term `Secretary' means the Secretary 
        of Agriculture.

``SEC. 9002. BIOBASED MARKETS PROGRAM.

    ``(a) Federal Procurement of Biobased Products.--
            ``(1) Definition of procuring agency.--In this subsection, 
        the term `procuring agency' means--
                    ``(A) any Federal agency that is using Federal 
                funds for procurement; or
                    ``(B) a person that is a party to a contract with 
                any Federal agency, with respect to work performed 
                under such a contract.
            ``(2) Application of section.--Except as provided in 
        paragraph (3), each procuring agency shall comply with this 
        subsection (including any regulations issued under this 
        subsection), with respect to any purchase or acquisition of a 
        procurement item for which--
                    ``(A) the purchase price of the item exceeds 
                $10,000; or
                    ``(B) the quantity of the items or of functionally-
                equivalent items purchased or acquired during the 
                preceding fiscal year was at least $10,000.
            ``(3) Procurement preference.--
                    ``(A) In general.--Except as provided in 
                subparagraph (B), after the date specified in 
                applicable guidelines prepared pursuant to paragraph 
                (5), each procuring agency that procures any items 
                designated in the guidelines and items containing 
                designated biobased intermediate ingredients and 
                feedstocks shall, in making procurement decisions 
                (consistent with maintaining a satisfactory level of 
                competition, considering the guidelines), give 
                preference to items that--
                            ``(i) are composed of the highest 
                        percentage of biobased products practicable;
                            ``(ii) are composed of at least 5 percent 
                        of intermediate ingredients and feedstocks (or 
                        a lesser percentage that the Secretary 
                        determines to be appropriate) as designated by 
                        the Secretary; or
                            ``(iii) comply with the regulations issued 
                        under section 103 of Public Law 100-556 (42 
                        U.S.C. 6914b-1).
                    ``(B) Flexibility.--Notwithstanding subparagraph 
                (A), a procuring agency may decide not to procure items 
                described in that subparagraph if the procuring agency 
                determines that the items--
                            ``(i) are not reasonably available within a 
                        reasonable period of time;
                            ``(ii) fail to meet--
                                    ``(I) the performance standards set 
                                forth in the applicable specifications; 
                                or
                                    ``(II) the reasonable performance 
                                standards of the procuring agencies; or
                            ``(iii) are available only at an 
                        unreasonable price.
                    ``(C) Certification.--After the date specified in 
                any applicable guidelines prepared pursuant to 
                paragraph (5), contracting offices shall require that, 
                with respect to biobased products, vendors certify that 
                the biobased products to be used in the performance of 
                the contract will comply with the applicable 
                specifications or other contractual requirements.
            ``(4) Specifications.--Each Federal agency that has the 
        responsibility for drafting or reviewing procurement 
        specifications shall, not later than 1 year after the date of 
        publication of applicable guidelines under paragraph (5), or as 
        otherwise specified in the guidelines, ensure that the 
        specifications require the use of biobased products consistent 
        with this subsection.
            ``(5) Guidelines.--
                    ``(A) In general.--The Secretary, after 
                consultation with the Administrator, the Administrator 
                of General Services, and the Secretary of Commerce 
                (acting through the Director of the National Institute 
                of Standards and Technology), shall prepare, and from 
                time to time revise, guidelines for the use of 
                procuring agencies in complying with the requirements 
                of this subsection.
                    ``(B) Requirements.--The guidelines under this 
                paragraph shall--
                            ``(i) designate those items that are or can 
                        be produced with biobased products (including 
                        biobased products for which there is only a 
                        single product or manufacturer in the category) 
                        and the procurement of which by procuring 
                        agencies will carry out the objectives of this 
                        subsection;
                            ``(ii) designate those intermediate 
                        ingredients and feedstocks and finished 
                        products that contain significant portions of 
                        biobased materials or components the 
                        procurement of which by procuring agencies will 
                        carry out the objectives of this subsection;
                            ``(iii) set forth recommended practices 
                        with respect to the procurement of biobased 
                        products and items containing such materials 
                        and with respect to certification by vendors of 
                        the percentage of biobased products used;
                            ``(iv) provide information as to the 
                        availability, relative price, performance, and 
                        environmental and public health benefits, of 
                        such materials and items; and
                            ``(v) automatically designate those items 
                        that are composed of materials and items 
                        designated pursuant to paragraph (3), if the 
                        content of the final product exceeds 50 percent 
                        (unless the Secretary determines a different 
                        composition percentage).
                    ``(C) Information provided.--Information provided 
                pursuant to subparagraph (B)(iv) with respect to a 
                material or item shall be considered to be provided for 
                another item made with the same material or item.
                    ``(D) Prohibition.--Guidelines issued under this 
                paragraph may not require a manufacturer or vendor of 
                biobased products, as a condition of the purchase of 
                biobased products from the manufacturer or vendor, to 
                provide to procuring agencies more data than would be 
                required to be provided by other manufacturers or 
                vendors offering products for sale to a procuring 
                agency, other than data confirming the biobased content 
                of a product.
                    ``(E) State procurement.--Not later than 180 days 
                after the date of enactment of this section, the 
                Secretary shall offer procurement system models that 
                States may use for the procurement of biobased products 
                by the States.
            ``(6) Administration.--
                    ``(A) Office of federal procurement policy.--The 
                Office of Federal Procurement Policy, in cooperation 
                with the Secretary, shall--
                            ``(i) coordinate the implementation of this 
                        subsection with other policies for Federal 
                        procurement;
                            ``(ii) annually collect the information 
                        required to be reported under subparagraph (B) 
                        and make the information publicly available;
                            ``(iii) take a leading role in conducting 
                        proactive research to inform and promote the 
                        adoption of and compliance with procurement 
                        requirements for biobased products by Federal 
                        agencies; and
                            ``(iv) not less than once every 2 years, 
                        submit to Congress a report that--
                                    ``(I) describes the progress made 
                                in carrying out this subsection, 
                                including agency compliance with 
                                paragraph (4); and
                                    ``(II) contains a summary of the 
                                information reported pursuant to 
                                subparagraph (B).
                    ``(B) Other agencies.--To assist the Office of 
                Federal Procurement Policy in carrying out subparagraph 
                (A)--
                            ``(i) each procuring agency shall submit 
                        each year to the Office of Federal Procurement 
                        Policy, to the maximum extent practicable, 
                        information concerning--
                                    ``(I) actions taken to implement 
                                paragraphs (3), (4), and (7);
                                    ``(II) the results of the annual 
                                review and monitoring program 
                                established under paragraph 
                                (7)(B)(iii);
                                    ``(III) the number and dollar value 
                                of contracts entered into during the 
                                year that include the direct 
                                procurement of biobased products;
                                    ``(IV) the number of service and 
                                construction (including renovations and 
                                modernizations) contracts entered into 
                                during the year that include language 
                                on the use of biobased products; and
                                    ``(V) the types and dollar value of 
                                biobased products actually used by 
                                contractors in carrying out service and 
                                construction (including renovations and 
                                modernizations) contracts during the 
                                previous year; and
                            ``(ii) the General Services Administration 
                        and the Defense Logistics Agency shall submit 
                        each year to the Office of Federal Procurement 
                        Policy, to the maximum extent practicable, 
                        information concerning the types and dollar 
                        value of biobased products purchased by 
                        procuring agencies through GSA Advantage!, the 
                        Federal Supply Schedule, and the Defense 
                        Logistic Agency (including the DoD EMall).
            ``(7) Procurement program.--
                    ``(A) In general.--Not later than 1 year after the 
                date of publication of applicable guidelines under 
                paragraph (5), each Federal agency shall develop a 
                procurement program that--
                            ``(i) will ensure that items composed of 
                        biobased products will be purchased to the 
                        maximum extent practicable; and
                            ``(ii) is consistent with applicable 
                        provisions of Federal procurement law.
                    ``(B) Minimum requirements.--Each procurement 
                program required under this paragraph shall, at a 
                minimum, contain--
                            ``(i) a biobased products preference 
                        program;
                            ``(ii) an agency promotion program to 
                        promote the preference program adopted under 
                        clause (i); and
                            ``(iii) annual review and monitoring of the 
                        effectiveness of the procurement program of the 
                        agency.
                    ``(C) Consideration.--
                            ``(i) In general.--In developing a 
                        preference program, an agency shall--
                                    ``(I) consider the options 
                                described in clauses (ii) and (iii); 
                                and
                                    ``(II) adopt 1 of the options, or a 
                                substantially equivalent alternative, 
                                for inclusion in the procurement 
                                program.
                            ``(ii) Case-by-case policy development.--
                                    ``(I) In general.--Subject to 
                                paragraph (3)(B), except as provided in 
                                subclause (II), in developing a 
                                preference program, an agency shall 
                                consider a policy of awarding contracts 
                                to the vendor offering an item composed 
                                of the highest percentage of biobased 
                                products practicable.
                                    ``(II) Certain contracts allowed.--
                                Subject to paragraph (3)(B), an agency 
                                may make an award to a vendor offering 
                                items with less than the maximum 
                                biobased products content.
                            ``(iii) Minimum content standards.--In 
                        developing a preference program, an agency 
                        shall consider minimum biobased products 
                        content specifications that are established in 
                        a manner that ensures that the biobased 
                        products content required is consistent with 
                        this subsection, without violating paragraph 
                        (3)(B).
    ``(b) Labeling.--
            ``(1) In general.--The Secretary, in consultation with the 
        Administrator, shall establish a voluntary program under which 
        the Secretary authorizes producers of biobased products to use 
        the label `USDA Certified Biobased Product'.
            ``(2) Eligibility criteria.--
                    ``(A) Criteria.--
                            ``(i) In general.--Not later than 90 days 
                        after the date of the enactment of this 
                        section, except as provided in clause (ii), the 
                        Secretary, in consultation with the 
                        Administrator and representatives from small 
                        and large businesses, academia, other Federal 
                        agencies, and such other persons as the 
                        Secretary considers appropriate, shall issue 
                        criteria (as of the date of enactment of this 
                        section) for determining which products may 
                        qualify to receive the label under paragraph 
                        (1).
                            ``(ii) Exception.--Clause (i) shall not 
                        apply to final criteria that have been issued 
                        (as of the date of enactment of this section) 
                        by the Secretary.
                    ``(B) Requirements.--Criteria issued under 
                subparagraph (A)--
                            ``(i) shall encourage the purchase of 
                        products with the maximum biobased content;
                            ``(ii) shall provide that the Secretary may 
                        designate as biobased for the purposes of the 
                        voluntary program established under this 
                        subsection finished products that contain 
                        significant portions of biobased materials or 
                        components; and
                            ``(iii) to the maximum extent practicable, 
                        should be consistent with the guidelines issued 
                        under subsection (a)(5).
            ``(3) Use of label.--The Secretary shall ensure that the 
        label referred to in paragraph (1) is used only on products 
        that meet the criteria issued pursuant to paragraph (2).
            ``(4) Recognition.--The Secretary shall--
                    ``(A) establish a voluntary program to recognize 
                Federal agencies and private entities that use a 
                substantial amount of biobased products; and
                    ``(B) encourage Federal agencies to establish 
                incentives programs to recognize Federal employees or 
                contractors that make exceptional contributions to the 
                expanded use of biobased products.
    ``(c) Limitation.--Nothing in this section (other than subsections 
(f), (g), and (h)) shall apply to the procurement of motor vehicle 
fuels, heating oil, or electricity.
    ``(d) Inclusion.--
            ``(1) In general.--Not later than 90 days after the date of 
        enactment of the Food and Energy Security Act of 2007, the 
        Architect of the Capitol, the Sergeant at Arms of the Senate, 
        and the Chief Administrative Officer of the House of 
        Representatives shall establish procedures that apply the 
        requirements of this section to procurement for the Capitol 
        Complex.
            ``(2) Annual showcase.--Beginning in calendar year 2008, 
        the Secretary shall sponsor or otherwise support, consistent 
        with applicable Federal laws (including regulations), an annual 
        exposition at which entities may display and demonstrate 
        biobased products.
    ``(e) Testing of Biobased Products.--
            ``(1) In general.--The Secretary may establish 1 or more 
        national testing centers for biobased products to verify 
        performance standards, biobased contents, and other product 
        characteristics.
            ``(2) Requirement.--In establishing 1 or more national 
        testing centers under paragraph (1), the Secretary shall give 
        preference to entities that have established capabilities and 
        experience in the testing of biobased materials and products.
    ``(f) Bioenergy and Other Biobased Products Education and Awareness 
Campaign.--
            ``(1) In general.--The Secretary in consultation with the 
        Secretary of Energy, shall establish a program to make 
        competitive grants to eligible entities to carry out broad-
        based education and public awareness campaigns relating to 
        bioenergy (including biofuels but excluding biodiesel) and 
        other biobased products.
            ``(2) Eligible entities.--An entity eligible to receive a 
        grant described in paragraph (1) is an entity that has 
        demonstrated a knowledge of bioenergy (including biofuels but 
        excluding biodiesel) and other biobased products and is--
                    ``(A) a State energy or agricultural office;
                    ``(B) a regional, State-based, or tribal energy 
                organization;
                    ``(C) a land-grant college or university (as 
                defined in section 1404 of the National Agricultural 
                Research, Extension, and Teaching Policy Act of 1977 (7 
                U.S.C. 3103)) or other institution of higher education;
                    ``(D) a rural electric cooperative or utility;
                    ``(E) a nonprofit organization, including an 
                agricultural trade association, resource conservation 
                and development district, and energy service provider;
                    ``(F) a State environmental quality office; or
                    ``(G) any other similar entity, other than a 
                Federal agency or for-profit entity, as determined by 
                the Secretary.
    ``(g) Reports.--
            ``(1) In general.--Not later than 180 days after the date 
        of enactment of this section and each year thereafter, the 
        Secretary shall submit to Congress a report on the 
        implementation of this section.
            ``(2) Contents.--The report shall include--
                    ``(A) a comprehensive management plan that 
                establishes tasks, milestones, and timelines, 
                organizational roles and responsibilities, and funding 
                allocations for fully implementing this section; and
                    ``(B) information on the status of implementation 
                of--
                            ``(i) item designations (including 
                        designation of intermediate ingredients and 
                        feedstocks); and
                            ``(ii) the voluntary labeling program 
                        established under subsection (b).
    ``(h) Funding.--
            ``(1) In general.--Of the funds of the Commodity Credit 
        Corporation, the Secretary shall use, to the maximum extent 
        practicable, $3,000,000 for each of fiscal years 2008 through 
        2012--
                    ``(A) to continue mandatory funding for biobased 
                products testing as required to carry out this section; 
                and
                    ``(B) to carry out the bioenergy education and 
                awareness campaign under subsection (f).
            ``(2) Authorization of appropriations.--In addition to any 
        other funds made available to carry out this section, there are 
        authorized to be appropriated to carry out this section such 
        sums as are necessary for each of fiscal years 2008 through 
        2012.
            ``(3) Priority.--At the discretion of the Secretary, the 
        Secretary may give priority to the testing of products for 
        which private sector firms provide cost sharing for the 
        testing.

``SEC. 9003. BIODIESEL FUEL EDUCATION.

    ``(a) Purpose.--The purpose of this section is to educate potential 
users about the proper use and benefits of biodiesel.
    ``(b) Establishment.--The Secretary shall, under such terms and 
conditions as are appropriate, make grants to eligible entities to 
educate governmental and private entities that operate vehicle fleets, 
oil refiners, automotive companies, owners and operators of watercraft 
fleets, other interested entities (as determined by the Secretary), and 
the public about the benefits of biodiesel fuel use.
    ``(c) Eligible Entities.--To receive a grant under subsection (b), 
an entity shall--
            ``(1) be a nonprofit organization or institution of higher 
        education (as defined in section 101 of the Higher Education 
        Act of 1965 (20 U.S.C. 1001));
            ``(2) have demonstrated knowledge of biodiesel fuel 
        production, use, or distribution; and
            ``(3) have demonstrated the ability to conduct educational 
        and technical support programs.
    ``(d) Consultation.--In carrying out this section, the Secretary 
shall consult with the Secretary of Energy.
    ``(e) Funding.--Of the funds of the Commodity Credit Corporation, 
the Secretary shall use to carry out this section, to the maximum 
extent practicable, $2,000,000 for each of fiscal years 2008 through 
2012.

``SEC. 9004. BIOMASS CROP TRANSITION.

    ``(a) Definitions.--In this section:
            ``(1) Eligible crop.--The term `eligible crop' means a crop 
        of renewable biomass.
            ``(2) Eligible participant.--The term `eligible 
        participant' means an agricultural producer or forest land 
        owner--
                    ``(A) that is establishing 1 or more eligible crops 
                on private land to be used in the production of 
                advanced biofuels, other biobased products, heat, or 
                power from a biomass conversion facility;
                    ``(B) that has a financial commitment from a 
                biomass conversion facility, including a proposed 
                biomass conversion facility that is economically 
                viable, as determined by the Secretary, to purchase the 
                eligible crops; and
                    ``(C) the production operation of which is in such 
                proximity to the biomass conversion facility described 
                in subparagraph (B) as to make delivery of the eligible 
                crops to that location economically practicable.
    ``(b) Biomass Crop Transition Assistance.--
            ``(1) Establishment of program.--The Secretary shall 
        establish a program to provide transitional assistance for the 
        establishment and production of eligible crops to be used in 
        the production of advanced biofuels, other biobased products, 
        heat, or power from a biomass conversion facility.
            ``(2) Exclusion.--An agricultural producer shall not be 
        eligible for assistance under paragraph (1) for the 
        establishment and production of--
                    ``(A) any crop that is eligible for benefits under 
                title I of the Food and Energy Security Act of 2007; or
                    ``(B) an annual crop.
            ``(3) Contracts.--
                    ``(A) In general.--The Secretary shall enter into 
                contracts with eligible participants and entities 
                described in subparagraph (B) to provide transitional 
                assistance payments to eligible participants.
                    ``(B) Contracts with member entities.--The 
                Secretary may enter into 1 or more contracts with 
                farmer-owned cooperatives, agricultural trade 
                associations, or other similar entities on behalf of 
                producer members that meet the requirements of, and 
                elect to be treated as, eligible participants if the 
                contract would offer greater efficiency in 
                administration of the program.
                    ``(C) Requirements.--Under a contract described in 
                subparagraph (A), an eligible participant shall be 
                required, as determined by the Secretary--
                            ``(i) to produce 1 or more eligible crops;
                            ``(ii) to develop and actively apply a 
                        conservation plan that meets the requirements 
                        for highly erodible land conservation and 
                        wetlands conservation as established under 
                        subtitles B and C of title XII of the Food 
                        Security Act of 1985 (16 U.S.C. 3811 et seq.); 
                        and
                            ``(iii) to use such conservation practices 
                        as are necessary, where appropriate--
                                    ``(I) to advance the goals and 
                                objectives of State, regional, and 
                                national fish and wildlife conservation 
                                plans and initiatives; and
                                    ``(II) to comply with mandatory 
                                environmental requirements for a 
                                producer under Federal, State, and 
                                local law.
            ``(4) Payments.--
                    ``(A) First year.--During the first year of the 
                contract, the Secretary shall make a payment to an 
                eligible participant in an amount that covers the cost 
                of establishing 1 or more eligible crops.
                    ``(B) Subsequent years.--During any subsequent year 
                of the contract, the Secretary shall make incentive 
                payments to an eligible participant in an amount 
                determined by the Secretary to encourage the eligible 
                participant to produce renewable biomass.
    ``(c) Assistance for Production of Annual Crop of Renewable 
Biomass.--
            ``(1) In general.--The Secretary may provide assistance to 
        eligible participants to plant an annual crop of renewable 
        biomass for use in a biomass conversion facility in the form 
        of--
                    ``(A) technical assistance; and
                    ``(B) cost-share assistance for the cost of 
                establishing an annual crop of renewable biomass.
            ``(2) Exclusion.--An agricultural producer shall not be 
        eligible for assistance under paragraph (1) for the 
        establishment of any crop that is eligible for benefits under 
        title I of the Food and Energy Security Act of 2007.
            ``(3) Compliance.--Eligible participants receiving 
        assistance under paragraph (1)(B) shall develop and actively 
        apply a conservation plan that meets the requirements for 
        highly erodible land conservation and wetlands conservation as 
        established under subtitles B and C of title XII of the Food 
        Security Act of 1985 (16 U.S.C. 3811 et seq.).
    ``(d) Assistance for Collection, Harvest, Storage, and Transport of 
Renewable Biomass.--
            ``(1) Establishment of program.--The Secretary shall 
        establish a program to provide assistance to eligible 
        participants for collecting, harvesting, storing, and 
        transporting eligible crops to be used in the production of 
        advanced biofuels, biobased products, heat, or power from a 
        biomass conversion facility.
            ``(2) Payments.--
                    ``(A) In general.--An eligible participant shall 
                receive payments under this subsection for each ton of 
                eligible crop delivered to a biomass conversion 
                facility, based on a fixed rate to be established by 
                the Secretary in accordance with subparagraph (B).
                    ``(B) Fixed rate.--The Secretary shall establish a 
                fixed payment rate for purposes of subparagraph (A) to 
                reflect--
                            ``(i) the estimated cost of collecting, 
                        harvesting, storing, and transporting the 
                        applicable eligible crop; and
                            ``(ii) such other factors as the Secretary 
                        determines to be appropriate.
    ``(e) Best Practices.--
            ``(1) Recordkeeping.--Each eligible participant, and each 
        biomass conversion facility contracting with the eligible 
        participant, shall maintain and make available to the 
        Secretary, at such times as the Secretary may request, 
        appropriate records of methods used for activities for which 
        payment is received under this section.
            ``(2) Information sharing.--From the records maintained 
        under subparagraph (A), the Secretary shall maintain, and make 
        available to the public, information regarding--
                    ``(A) the production potential (including 
                evaluation of the environmental benefits) of a variety 
                of eligible crops; and
                    ``(B) best practices for producing, collecting, 
                harvesting, storing, and transporting eligible crops to 
                be used in the production of advanced biofuels.
    ``(f) Funding.--
            ``(1) Biomass crop transition assistance.--Of the funds of 
        the Commodity Credit Corporation, the Secretary shall use to 
        carry out subsections (b) and (c) $130,000,000 for fiscal year 
        2008, to remain available until expended.
            ``(2) Assistance for collection, harvest, storage, and 
        transport of renewable biomass.--Of the funds of the Commodity 
        Credit Corporation, the Secretary shall make available to carry 
        out subsection (d) $10,000,000 for each of fiscal years 2009 
        through 2011, to remain available until expended.

``SEC. 9005. BIOREFINERY AND REPOWERING ASSISTANCE.

    ``(a) Purpose.--The purpose of this section is to assist in the 
development of new or emerging technologies for the use of renewable 
biomass or other sources of renewable energy--
            ``(1) to develop advanced biofuels;
            ``(2) to increase the energy independence of the United 
        States by promoting the replacement of energy generated from 
        fossil fuels with energy generated from a renewable energy 
        source;
            ``(3) to promote resource conservation, public health, and 
        the environment;
            ``(4) to diversify markets for raw agricultural and 
        forestry products, and agriculture waste material; and
            ``(5) to create jobs and enhance the economic development 
        of the rural economy.
    ``(b) Definition of Repower.--In this section, the term `repower' 
means to substitute the production of heat or power from a fossil fuel 
source with heat or power from sources of renewable energy.
    ``(c) Assistance.--
            ``(1) In general.--The Secretary shall make available to 
        eligible entities described in subsection (d)--
                    ``(A) grants to assist in paying the costs of--
                            ``(i) development and construction of 
                        pilot- and demonstration-scale biorefineries 
                        intended to demonstrate the commercial 
                        viability of 1 or more processes for converting 
                        renewable biomass to advanced biofuels;
                            ``(ii) repowering a biomass conversion 
                        facility, power plant, or manufacturing 
                        facility, in whole or in part; or
                            ``(iii) conducting a study to determine the 
                        feasibility of repowering a biomass conversion 
                        facility, power plant, or manufacturing 
                        facility, in whole or in part; and
                    ``(B) guarantees for loans made to fund--
                            ``(i) the development and construction of 
                        commercial-scale biorefineries; or
                            ``(ii) the repowering of a biomass 
                        conversion facility, power plant, or 
                        manufacturing facility, in whole or in part.
            ``(2) Preference.--In selecting projects to receive grants 
        and loan guarantees under this section, the Secretary shall 
        give preference to projects that receive or will receive 
        financial support from the State in which the project is 
        carried out.
    ``(d) Eligible Entities.--An eligible entity under this section 
is--
            ``(1) an individual;
            ``(2) a corporation;
            ``(3) a farm cooperative;
            ``(4) a rural electric cooperative or public power entity;
            ``(5) an association of agricultural producers;
            ``(6) a State or local energy agency or office;
            ``(7) an Indian tribe;
            ``(8) a consortium comprised of any individuals or entities 
        described in any of paragraphs (1) through (7); or
            ``(9) any other similar entity, as determined by the 
        Secretary.
    ``(e) Grants.--
            ``(1) In general.--The Secretary shall award grants under 
        subsection (c)(1)(A) on a competitive basis.
            ``(2) Selection criteria.--
                    ``(A) Grants for development and construction of 
                pilot and demonstration scale biorefineries.--
                            ``(i) In general.--In awarding grants for 
                        development and construction of pilot and 
                        demonstration scale biorefineries under 
                        subsection (c)(1)(A)(i), the Secretary shall 
                        select projects based on the likelihood that 
                        the projects will demonstrate the commercial 
                        viability of a new or emerging process for 
                        converting renewable biomass into advanced 
                        biofuels.
                            ``(ii) Factors.--The factors to be 
                        considered under clause (i) may include--
                                    ``(I) the potential market for 1 or 
                                more products;
                                    ``(II) the level of financial 
                                participation by the applicants;
                                    ``(III) the availability of 
                                adequate funding from other sources;
                                    ``(IV) the participation of 
                                producer associations and cooperatives;
                                    ``(V) the beneficial impact on 
                                resource conservation, public health, 
                                and the environment;
                                    ``(VI) the timeframe in which the 
                                project will be operational;
                                    ``(VII) the potential for rural 
                                economic development;
                                    ``(VIII) the participation of 
                                multiple eligible entities; and
                                    ``(IX) the potential for developing 
                                advanced industrial biotechnology 
                                approaches.
                    ``(B) Grants for repowering.--In selecting projects 
                to receive grants for repowering under clauses (ii) and 
                (iii) of subsection (c)(1)(A), the Secretary shall 
                consider--
                            ``(i) the change in energy efficiency that 
                        would result from the proposed repowering of 
                        the eligible entity;
                            ``(ii) the reduction in fossil fuel use 
                        that would result from the proposed repowering; 
                        and
                            ``(iii) the volume of renewable biomass 
                        located in such proximity to the eligible 
                        entity as to make local sourcing of feedstock 
                        economically practicable.
            ``(3) Cost sharing.--
                    ``(A) Limits.--
                            ``(i) Development and construction of pilot 
                        and demonstration scale biorefineries.--The 
                        amount of a grant awarded for development and 
                        construction of a biorefinery under subsection 
                        (c)(1)(A)(i) shall not exceed 50 percent of the 
                        cost of the project.
                            ``(ii) Repowering.--The amount of a grant 
                        awarded for repowering under subsection 
                        (c)(1)(A)(ii) shall not exceed 20 percent of 
                        the cost of the project.
                            ``(iii) Feasibility study for repowering.--
                        The amount of a grant awarded for a feasibility 
                        study for repowering under subsection 
                        (c)(1)(A)(iii) shall not exceed an amount equal 
                        to the lesser of--
                                    ``(I) an amount equal to 50 percent 
                                of the total cost of conducting the 
                                feasibility study; and
                                    ``(II) $150,000.
                    ``(B) Form of grantee share.--
                            ``(i) In general.--The grantee share of the 
                        cost of a project may be made in the form of 
                        cash or the provision of services, material, or 
                        other in-kind contributions.
                            ``(ii) Limitation.--The amount of the 
                        grantee share of the cost of a project that is 
                        made in the form of the provision of services, 
                        material, or other in-kind contributions shall 
                        not exceed 15 percent of the amount of the 
                        grantee share determined under subparagraph 
                        (A).
    ``(f) Loan Guarantees.--
            ``(1) Conditions.--As a condition of making a loan 
        guarantee under subsection (c)(1)(B), the Secretary shall 
        require--
                    ``(A) demonstration of binding commitments to 
                cover, from sources other than Federal funds, at least 
                20 percent of the total cost of the project described 
                in the application;
                    ``(B) in the case of a new or emerging technology, 
                demonstration that the project design has been 
                validated through a technical review and subsequent 
                operation of a pilot or demonstration scale facility 
                that can be scaled up to commercial size; and
                    ``(C) demonstration that the applicant provided 
                opportunities to local investors (as determined by the 
                Secretary) to participate in the financing or ownership 
                of the biorefinery.
            ``(2) Local ownership.--The Secretary shall give preference 
        under subsection (c)(1)(B) to applications for projects with 
        significant local ownership.
            ``(3) Approval.--Not later than 90 days after the Secretary 
        receives an application for a loan guarantee under subsection 
        (c)(1)(B), the Secretary shall approve or disapprove the 
        application.
            ``(4) Limitations.--
                    ``(A) Maximum amount of loan guaranteed.--
                            ``(i) Commercial-scale biorefineries.--
                        Subject to clause (iii), the principal amount 
                        of a loan guaranteed under subsection 
                        (c)(1)(B)(i) may not exceed $250,000,000.
                            ``(ii) Repowering.--Subject to clause 
                        (iii), the principal amount of a loan 
                        guaranteed under subsection (c)(1)(B)(ii) may 
                        not exceed $70,000,000.
                            ``(iii) Relationship to other federal 
                        funding.--The amount of a loan guaranteed under 
                        subsection (c)(1)(B) shall be reduced by the 
                        amount of other Federal funding that the entity 
                        receives for the same project.
                    ``(B) Maximum percentage of loan guaranteed.--A 
                loan guaranteed under subsection (c)(1)(B) shall be in 
                an amount not to exceed 80 percent of the project 
                costs, as determined by the Secretary.
                    ``(C) Authority to guarantee entire amount of the 
                loan.--The Secretary may guarantee up to 100 percent of 
                the principal and interest due on a loan guaranteed 
                under subsection (c)(1)(B).
    ``(g) Consultation.--In carrying out this section, the Secretary 
shall consult with the Secretary of Energy.
    ``(h) Funding.--Of the funds of the Commodity Credit Corporation, 
the Secretary shall use for the cost of grants and loan guarantees to 
carry out this section $300,000,000 for fiscal year 2008, to remain 
available until expended.

``SEC. 9006. BIOENERGY PROGRAM FOR ADVANCED BIOFUELS.

    ``(a) Definition of Eligible Producer.--In this section, the term 
`eligible producer' means a producer of advanced biofuels.
    ``(b) Payments.--The Secretary shall make payments to eligible 
producers to encourage increased purchases of renewable biomass for the 
purpose of expanding production of, and supporting new production 
capacity for, advanced biofuels.
    ``(c) Contracts.--To receive a payment, an eligible producer 
shall--
            ``(1) enter into a contract with the Secretary to increase 
        production of advanced biofuels for 1 or more fiscal years; and
            ``(2) submit to the Secretary such records as the Secretary 
        may require as evidence of increased purchase and use of 
        renewable biomass for the production of advanced biofuels.
    ``(d) Basis for Payments.--The Secretary shall make payments under 
this section to eligible producers based on--
            ``(1) the level of production by the eligible producer of 
        an advanced biofuel;
            ``(2) the price of each renewable biomass feedstock used 
        for production of the advanced biofuel;
            ``(3) the net nonrenewable energy content of the advanced 
        biofuel, if sufficient data is available, as determined by the 
        Secretary; and
            ``(4) other appropriate factors, as determined by the 
        Secretary.
    ``(e) Overpayments.--If the total amount of payments that an 
eligible producer receives for a fiscal year under this section exceeds 
the amount that the eligible producer should have received, the 
eligible producer shall repay the amount of the overpayment to the 
Secretary, with interest (as determined by the Secretary).
    ``(f) Limitations.--
            ``(1) Equitable distribution.--The Secretary may limit the 
        amount of payments that may be received by a single eligible 
        producer under this section in order to distribute the total 
        amount of funding available in an equitable manner.
            ``(2) Ineligibility.--An eligible producer that claims a 
        credit allowed under section 40(a)(3) or 40A(a)(3) of the 
        Internal Revenue Code of 1986 shall not be eligible to receive 
        payments under subsection (d).
            ``(3) Refining capacity.--An eligible producer may not use 
        any funds received under this section for an advanced biofuel 
        production facility or other fuel refinery the total refining 
        capacity of which is more than 150,000,000 gallons per year.
    ``(g) Other Requirements.--To receive a payment under this section, 
an eligible producer shall meet any other requirements of Federal and 
State law (including regulations) applicable to the production of 
advanced biofuels.
    ``(h) Funding.--Of the funds of the Commodity Credit Corporation, 
the Secretary shall use to carry out this section $245,000,000 for the 
period of fiscal years 2008 through 2012, to remain available until 
expended.

``SEC. 9007. RURAL ENERGY FOR AMERICA PROGRAM.

    ``(a) Establishment.--The Secretary, in consultation with the 
Secretary of Energy, shall establish a Rural Energy for America Program 
to promote energy efficiency and renewable energy development for 
agricultural producers, cooperatives, rural small businesses, and other 
similar entities through--
            ``(1) grants for energy audits and renewable energy 
        development assistance;
            ``(2) financial assistance for energy efficiency 
        improvements and renewable energy systems; and
            ``(3) financial assistance for facilities to convert animal 
        manure to energy.
    ``(b) Energy Audits and Renewable Energy Development Assistance.--
            ``(1) In general.--The Secretary shall make competitive 
        grants to eligible entities to provide assistance to 
        agricultural producers and rural small businesses--
                    ``(A) to become more energy efficient; and
                    ``(B) to use renewable energy technology and 
                resources.
            ``(2) Eligible entities.--An eligible entity under this 
        subsection is--
                    ``(A) a State agency;
                    ``(B) a regional, State-based, or tribal energy 
                organization;
                    ``(C) a land-grant college or university or other 
                institution of higher education;
                    ``(D) a rural electric cooperative or public power 
                entity;
                    ``(E) a nonprofit organization; and
                    ``(F) any other similar entity, as determined by 
                the Secretary.
            ``(3) Merit review.--
                    ``(A) Merit review process.--The Secretary shall 
                establish a merit review process to review applications 
                for grants under paragraph (1) that uses the expertise 
                of other Federal agencies, industry, and 
                nongovernmental organizations.
                    ``(B) Selection criteria.--In reviewing 
                applications of eligible entities to receive grants 
                under paragraph (1), the Secretary shall consider--
                            ``(i) the ability and expertise of the 
                        eligible entity in providing professional 
                        energy audits and renewable energy assessments;
                            ``(ii) the geographic scope of the program 
                        proposed by the eligible entity in relation to 
                        the identified need;
                            ``(iii) the number of agricultural 
                        producers and rural small businesses to be 
                        assisted by the program;
                            ``(iv) the potential for energy savings and 
                        environmental and public health benefits 
                        resulting from the program; and
                            ``(v) the plan of the eligible entity for 
                        providing information to agricultural producers 
                        and rural small businesses on the benefits of 
                        energy efficiency and renewable energy 
                        development.
            ``(4) Use of grant funds.--
                    ``(A) Required uses.--A recipient of a grant under 
                paragraph (1) shall use the grant funds to conduct and 
                promote energy audits for agricultural producers and 
                rural small businesses to provide recommendations on 
                how to improve energy efficiency and use renewable 
                energy technology and resources.
                    ``(B) Permitted uses.--In addition to the uses 
                described in subparagraph (A), a recipient of a grant 
                may use the grant funds to make agricultural producers 
                and rural small businesses aware of--
                            ``(i) financial assistance under subsection 
                        (c); and
                            ``(ii) other Federal, State, and local 
                        financial assistance programs for which the 
                        agricultural producers and rural small 
                        businesses may be eligible.
            ``(5) Cost sharing.--A recipient of a grant under paragraph 
        (1) that conducts an energy audit for an agricultural producer 
        or rural small business under paragraph (4)(A) shall require 
        that, as a condition of the energy audit, the agricultural 
        producer or rural small business pay at least 25 percent of the 
        cost of the energy audit, which shall be retained by the 
        eligible entity for the cost of the energy audit.
    ``(c) Financial Assistance for Energy Efficiency Improvements and 
Renewable Energy Systems.--
            ``(1) In general.--In addition to any similar authority, 
        the Secretary shall provide loan guarantees, grants, and 
        production-based incentives to agricultural producers and rural 
        small businesses--
                    ``(A) to purchase renewable energy systems, 
                including systems that may be used to produce and sell 
                electricity; and
                    ``(B) to make energy efficiency improvements.
            ``(2) Award considerations.--In determining the amount of a 
        grant, loan guarantee, or production-based incentive provided 
        under this section, the Secretary shall take into 
        consideration, as applicable--
                    ``(A) the type of renewable energy system to be 
                purchased;
                    ``(B) the estimated quantity of energy to be 
                generated by the renewable energy system;
                    ``(C) the expected environmental benefits of the 
                renewable energy system;
                    ``(D) the quantity of energy savings expected to be 
                derived from the activity, as demonstrated by an energy 
                audit comparable to an energy audit under subsection 
                (b);
                    ``(E) the estimated period of time for the energy 
                savings generated by the activity to equal the cost of 
                the activity;
                    ``(F) the expected energy efficiency of the 
                renewable energy system; and
                    ``(G) other appropriate factors.
            ``(3) Feasibility studies.--
                    ``(A) In general.--The Secretary may provide 
                assistance in the form of grants to an agricultural 
                producer or rural small business to conduct a 
                feasibility study for a project for which assistance 
                may be provided under this subsection.
                    ``(B) Limitation.--The Secretary shall use not more 
                than 10 percent of the funds made available to carry 
                out this subsection to provide assistance described in 
                subparagraph (A).
                    ``(C) Avoidance of duplicative assistance.--An 
                entity shall be ineligible to receive assistance to 
                carry out a feasibility study for a project under this 
                paragraph if the entity has received Federal or State 
                assistance for a feasibility study for the project.
            ``(4) Limits.--
                    ``(A) Grants.--The amount of a grant under this 
                subsection shall not exceed 25 percent of the cost of 
                the activity carried out using funds from the grant.
                    ``(B) Loan guarantees.--
                            ``(i) Maximum amount.--The amount of a loan 
                        guaranteed under this subsection shall not 
                        exceed $25,000,000.
                            ``(ii) Maximum percentage.--A loan 
                        guaranteed under this subsection shall not 
                        exceed 75 percent of the cost of the activity 
                        carried out using funds from the loan.
            ``(5) Production-based incentive payments in lieu of 
        grants.--
                    ``(A) In general.--In addition to the authority 
                under subsection (b), to encourage the production of 
                electricity from renewable energy systems, the 
                Secretary, on receipt of a request of an eligible 
                applicant under this section, shall make production-
                based incentive payments to the applicant in lieu of a 
                grant.
                    ``(B) Contingency.--A payment under subparagraph 
                (A) shall be contingent on documented energy production 
                and sales by the renewable energy system of the 
                eligible applicant to a third party.
                    ``(C) Limitation.--The total net present value of a 
                production-based incentive payment under this paragraph 
                shall not exceed the lesser of--
                            ``(i) an amount equal to 25 percent of the 
                        eligible project costs, as determined by the 
                        Secretary; and
                            ``(ii) such other limit as the Secretary 
                        may establish, by rule or guidance.
    ``(d) Financial Assistance for Facilities To Convert Animal Manure 
to Energy.--
            ``(1) Definition of animal manure.--In this subsection, the 
        term `animal manure' means agricultural livestock excrement, 
        including litter, wood shavings, straw, rice hulls, bedding 
        material, and other materials incidentally collected with the 
        manure.
            ``(2) Grants and loan guarantees.--The Secretary shall make 
        grants and loan guarantees to eligible entities on a 
        competitive basis for the installation, operation, and 
        evaluation of facilities described in paragraph (4).
            ``(3) Eligible entities.--To be eligible to receive a grant 
        or loan guarantee under this subsection, an entity shall be--
                    ``(A) an agricultural producer;
                    ``(B) a rural small business;
                    ``(C) a rural cooperative; or
                    ``(D) any other similar entity, as determined by 
                the Secretary.
            ``(4) Eligible facilities.--
                    ``(A) In general.--Subject to subparagraphs (B) 
                through (E), an eligible entity may receive a grant or 
                loan guarantee under this subsection for the 
                installation, first-year operation, and evaluation of 
                an on-farm or community facility (such as a digester or 
                power generator using manure for fuel) the primary 
                function of which is to convert animal manure into a 
                useful form of energy (including gaseous or liquid fuel 
                or electricity).
                    ``(B) Subsystems included.--Funds from a grant and 
                loan guarantee under subparagraph (A) may be used for 
                systems that support an on-farm or community facility 
                described in that subparagraph, which may include 
                feedstock gathering systems and gas piping systems.
                    ``(C) Conversion of renewable biomass.--An eligible 
                entity may use a grant or loan guarantee provided under 
                this subsection to convert renewable biomass other than 
                animal manure (such as waste materials from food 
                processing facilities and other green wastes) into 
                energy at a facility if the majority of materials 
                converted into energy at the facility is animal manure.
                    ``(D) Development and demonstration of new 
                technologies.--An eligible entity may use a grant or 
                loan guarantee provided under this subsection for the 
                installation, demonstration, and first 2 years of 
                operation of an on-farm or community facility that uses 
                manure-to-energy technologies--
                            ``(i) that are not in commercial use, as 
                        determined by the Secretary; and
                            ``(ii) for which sufficient research has 
                        been conducted for the Secretary to determine 
                        that the technology is commercially viable.
            ``(5) Selection of eligible entities.--In selecting 
        applications for grants and loan guarantees under this 
        subsection, the Secretary shall consider--
                    ``(A) the quality of energy produced; and
                    ``(B) the projected net energy conversion 
                efficiency, which shall be equal to the quotient 
                obtained by dividing--
                            ``(i) the energy output of the eligible 
                        facility; by
                            ``(ii) the sum of--
                                    ``(I) the energy content of animal 
                                manure at the point of collection; and
                                    ``(II) the energy consumed in 
                                facility operations, including 
                                feedstock transportation;
                    ``(C) environmental issues, including potential 
                positive and negative impacts on water quality, air 
                quality, odor emissions, pathogens, and soil quality 
                resulting from--
                            ``(i) the use and conversion of animal 
                        manure into energy;
                            ``(ii) the installation and operation of 
                        the facility; and
                            ``(iii) the disposal of any waste products 
                        (including effluent) from the facility;
                    ``(D) the net impact of the facility and any waste 
                from the facility on greenhouse gas emissions, based on 
                the estimated emissions from manure storage systems in 
                use before the installation of the manure-to-energy 
                facility;
                    ``(E) diversity factors, including diversity of--
                            ``(i) sizes of projects supported; and
                            ``(ii) geographic locations; and
                    ``(F) the proposed project costs and levels of 
                grants or loan guarantees requested.
            ``(6) Amount.--
                    ``(A) Grants.--
                            ``(i) Smaller projects.--In the case of a 
                        project with a total eligible cost (as 
                        described in paragraph (4)) of not more than 
                        $500,000, the amount of a grant made under this 
                        subsection shall not exceed 50 percent of the 
                        total eligible cost.
                            ``(ii) Larger projects.--In the case of a 
                        project with a total eligible cost (as 
                        described in paragraph (4)) of more than 
                        $500,000, the amount of a grant made under this 
                        subsection shall not exceed the greater of--
                                    ``(I) $250,000; or
                                    ``(II) 25 percent of the total 
                                eligible cost.
                            ``(iii) Maximum.--In no case shall the 
                        amount of a grant made under this section 
                        exceed $2,000,000.
                    ``(B) Loan guarantees.--The principal amount and 
                interest of a loan guaranteed under this subsection may 
                not exceed the lesser of--
                            ``(i) 80 percent of the difference 
                        between--
                                    ``(I) the total cost to install and 
                                operate the eligible facility for the 
                                first year, as determined by the 
                                Secretary; and
                                    ``(II) the amount of any Federal, 
                                State, and local funds received to 
                                support the eligible facility; and
                            ``(ii) $25,000,000.
            ``(7) Prohibition.--A grant or loan guarantee may not be 
        provided for a project under this subsection that also receives 
        assistance under subsection (b) or (c).
    ``(e) Role of State Rural Development Director.--
            ``(1) Outreach and availability of information.--
                    ``(A) Outreach.--A State rural development 
                director, acting through local rural development 
                offices, shall provide outreach regarding the 
                availability of financial assistance under this 
                section.
                    ``(B) Availability of information.--A State rural 
                development director shall make available information 
                relating to the availability of financial assistance 
                under this section at all local rural development, Farm 
                Service Agency, and Natural Resources Conservation 
                Service offices.
            ``(2) Application review.--Applications for assistance 
        under this section shall be reviewed by the appropriate State 
        rural development director.
    ``(f) Small Projects.--
            ``(1) Application and review process.--The Secretary shall 
        develop a streamlined application and expedited review process 
        for project applicants seeking less than $20,000 under this 
        section.
            ``(2) Percentage of funds.--Not less than 20 percent of the 
        funds made available under subsection (k)(1) shall be made 
        available to make grants under this section in an amount of 
        less than $20,000.
    ``(g) Preference.--In selecting projects to receive grants under 
this section, the Secretary shall give preference to projects that 
receive or will receive financial support from the State in which the 
project is carried out.
    ``(h) Rural Energy Star.--The Secretary, in coordination with the 
Administrator and the Secretary of Energy, shall extend the Energy Star 
program established by section 324A of the Energy Policy and 
Conservation Act (42 U.S.C. 6294a) to include a Rural Energy Star 
component to promote the development and use of energy-efficient 
equipment and facilities in the agricultural sector.
    ``(i) Reports.--Not later than 4 years after the date of enactment 
of the Food and Energy Security Act of 2007, the Secretary shall submit 
to Congress a report on the implementation of this section, including 
the outcomes achieved by projects funded under this section.
    ``(j) Funding.--
            ``(1) Commodity credit corporation.--Of the funds of the 
        Commodity Credit Corporation, the Secretary shall make 
        available $230,000,000 to carry out subsections (c) and (d) for 
        fiscal year 2008, to remain available until expended, of which 
        not less than 15 percent shall be used to carry out subsection 
        (d).
            ``(2) Authorization of appropriations.--In addition to any 
        other funds made available to carry out this section, there are 
        authorized to be appropriated such sums as are necessary to 
        carry out this section for each of fiscal years 2008 through 
        2012.

``SEC. 9008. BIOMASS RESEARCH AND DEVELOPMENT ACT OF 2000.

    ``(a) Definitions.--In this section:
            ``(1) Biobased product.--The term `biobased product' 
        means--
                    ``(A) an industrial product (including chemicals, 
                materials, and polymers) produced from biomass; and
                    ``(B) a commercial or industrial product (including 
                animal feed and electric power) derived in connection 
                with the conversion of biomass to fuel.
            ``(2) Demonstration.--The term `demonstration' means 
        demonstration of technology in a pilot plant or semi-works 
        scale facility.
            ``(3) Initiative.--The term `Initiative' means the Biomass 
        Research and Development Initiative established under 
        subsection (e).
            ``(4) National laboratory.--The term `National Laboratory' 
        has the meaning given that term in section 2 of the Energy 
        Policy Act of 2005 (42 U.S.C. 15801).
            ``(5) Point of contact.--The term `point of contact' means 
        a point of contact designated under this section.
    ``(b) Cooperation and Coordination in Biomass Research and 
Development.--
            ``(1) In general.--The Secretary of Agriculture and the 
        Secretary of Energy shall cooperate with respect to, and 
        coordinate, policies and procedures that promote research and 
        development leading to the production of biofuels and biobased 
        products.
            ``(2) Points of contact.--
                    ``(A) In general.--To coordinate research and 
                development programs and activities relating to 
                biofuels and biobased products that are carried out by 
                their respective departments--
                            ``(i) the Secretary of Agriculture shall 
                        designate, as the point of contact for the 
                        Department of Agriculture, an officer of the 
                        Department of Agriculture appointed by the 
                        President to a position in the Department 
                        before the date of the designation, by and with 
                        the advice and consent of the Senate; and
                            ``(ii) the Secretary of Energy shall 
                        designate, as the point of contact for the 
                        Department of Energy, an officer of the 
                        Department of Energy appointed by the President 
                        to a position in the Department before the date 
                        of the designation, by and with the advice and 
                        consent of the Senate.
                    ``(B) Duties.--The points of contact shall 
                jointly--
                            ``(i) assist in arranging interlaboratory 
                        and site-specific supplemental agreements for 
                        research and development projects relating to 
                        biofuels and biobased products;
                            ``(ii) serve as cochairpersons of the 
                        Board;
                            ``(iii) administer the Initiative; and
                            ``(iv) respond in writing to each 
                        recommendation of the Advisory Committee made 
                        under subsection (d).
    ``(c) Biomass Research and Development Board.--
            ``(1) Establishment.--There is established the Biomass 
        Research and Development Board, which shall supersede the 
        Interagency Council on Biobased Products and Bioenergy 
        established by Executive Order No. 13134 (7 U.S.C. 8101 note), 
        to coordinate programs within and among departments and 
        agencies of the Federal Government for the purpose of promoting 
        the use of biofuels and biobased products by--
                    ``(A) maximizing the benefits deriving from Federal 
                grants and assistance; and
                    ``(B) bringing coherence to Federal strategic 
                planning.
            ``(2) Membership.--The Board shall consist of--
                    ``(A) the point of contact of the Department of 
                Energy designated under subsection (b)(2)(A)(ii), who 
                shall serve as cochairperson of the Board;
                    ``(B) the point of contact of the Department of 
                Agriculture designated under subsection (b)(2)(A)(i), 
                who shall serve as cochairperson of the Board;
                    ``(C) a senior officer of each of the Department of 
                the Interior, the Environmental Protection Agency, the 
                National Science Foundation, and the Office of Science 
                and Technology Policy, each of whom shall--
                            ``(i) be appointed by the head of the 
                        respective agency; and
                            ``(ii) have a rank that is equivalent to 
                        the rank of the points of contact; and
                    ``(D) at the option of the Secretary of Agriculture 
                and the Secretary of Energy, other members appointed by 
                the Secretaries (after consultation with the members 
                described in subparagraphs (A) through (C)).
            ``(3) Duties.--The Board shall--
                    ``(A) coordinate research and development 
                activities relating to biofuels and biobased products--
                            ``(i) between the Department of Agriculture 
                        and the Department of Energy; and
                            ``(ii) with other departments and agencies 
                        of the Federal Government;
                    ``(B) provide recommendations to the points of 
                contact concerning administration of this title;
                    ``(C) ensure that--
                            ``(i) solicitations are open and 
                        competitive with awards made annually; and
                            ``(ii) objectives and evaluation criteria 
                        of the solicitations are clearly stated and 
                        minimally prescriptive, with no areas of 
                        special interest; and
                    ``(D) ensure that the panel of scientific and 
                technical peers assembled under subsection (e) to 
                review proposals is composed predominantly of 
                independent experts selected from outside the 
                Departments of Agriculture and Energy.
            ``(4) Funding.--Each agency represented on the Board is 
        encouraged to provide funds for any purpose under this section.
            ``(5) Meetings.--The Board shall meet at least quarterly to 
        enable the Board to carry out the duties of the Board under 
        paragraph (3).
    ``(d) Biomass Research and Development Technical Advisory 
Committee.--
            ``(1) Establishment.--There is established the Biomass 
        Research and Development Technical Advisory Committee, which 
        shall supersede the Advisory Committee on Biobased Products and 
        Bioenergy established by Executive Order No. 13134 (7 U.S.C. 
        8101 note)--
                    ``(A) to advise the Secretary of Energy, the 
                Secretary of Agriculture, and the points of contact 
                concerning--
                            ``(i) the distribution of funding;
                            ``(ii) the technical focus and direction of 
                        requests for proposals issued under the 
                        Initiative; and
                            ``(iii) procedures for reviewing and 
                        evaluating the proposals;
                    ``(B) to facilitate consultations and partnerships 
                among Federal and State agencies, agricultural 
                producers, industry, consumers, the research community, 
                and other interested groups to carry out program 
                activities relating to the Initiative; and
                    ``(C) to evaluate and perform strategic planning on 
                program activities relating to the Initiative.
            ``(2) Membership.--
                    ``(A) In general.--The Advisory Committee shall 
                consist of--
                            ``(i) an individual affiliated with the 
                        biofuels industry;
                            ``(ii) an individual affiliated with the 
                        biobased industrial and commercial products 
                        industry;
                            ``(iii) an individual affiliated with an 
                        institution of higher education who has 
                        expertise in biofuels and biobased products;
                            ``(iv) 2 prominent engineers or scientists 
                        from government or academia who have expertise 
                        in biofuels and biobased products;
                            ``(v) an individual affiliated with a 
                        commodity trade association;
                            ``(vi) 2 individuals affiliated with an 
                        environmental or conservation organization;
                            ``(vii) an individual associated with State 
                        government who has expertise in biofuels and 
                        biobased products;
                            ``(viii) an individual with expertise in 
                        energy and environmental analysis;
                            ``(ix) an individual with expertise in the 
                        economics of biofuels and biobased products;
                            ``(x) an individual with expertise in 
                        agricultural economics;
                            ``(xi) an individual with expertise in 
                        plant biology and biomass feedstock 
                        development; and
                            ``(xii) at the option of the points of 
                        contact, other members.
                    ``(B) Appointment.--The members of the Advisory 
                Committee shall be appointed by the points of contact.
            ``(3) Duties.--The Advisory Committee shall--
                    ``(A) advise the points of contact with respect to 
                the Initiative; and
                    ``(B) evaluate whether, and make recommendations in 
                writing to the Board to ensure that--
                            ``(i) funds authorized for the Initiative 
                        are distributed and used in a manner that is 
                        consistent with the objectives, purposes, and 
                        considerations of the Initiative;
                            ``(ii) solicitations are open and 
                        competitive with awards made annually and that 
                        objectives and evaluation criteria of the 
                        solicitations are clearly stated and minimally 
                        prescriptive, with no areas of special 
                        interest;
                            ``(iii) the points of contact are funding 
                        proposals under this title that are selected on 
                        the basis of merit, as determined by an 
                        independent panel of scientific and technical 
                        peers predominantly from outside the 
                        Departments of Agriculture and Energy; and
                            ``(iv) activities under this section are 
                        carried out in accordance with this section.
            ``(4) Coordination.--To avoid duplication of effort, the 
        Advisory Committee shall coordinate the activities of the 
        Advisory Committee with activities of other Federal advisory 
        committees working in related areas.
            ``(5) Meetings.--The Advisory Committee shall meet at least 
        quarterly to enable the Advisory Committee to carry out the 
        duties of the Advisory Committee.
            ``(6) Terms.--Members of the Advisory Committee shall be 
        appointed for a term of 3 years.
    ``(e) Biomass Research and Development Initiative.--
            ``(1) In general.--The Secretary of Agriculture and the 
        Secretary of Energy, acting through their respective points of 
        contact and in consultation with the Board, shall establish and 
        carry out a Biomass Research and Development Initiative under 
        which competitively awarded grants, contracts, and financial 
        assistance are provided to, or entered into with, eligible 
        entities to carry out research on, and development and 
        demonstration of, biofuels and biobased products, and the 
        methods, practices, and technologies, for the production of the 
        fuels and product.
            ``(2) Objectives.--The objectives of the Initiative are to 
        develop--
                    ``(A) technologies and processes necessary for 
                abundant commercial production of biofuels at prices 
                competitive with fossil fuels;
                    ``(B) high-value biobased products--
                            ``(i) to enhance the economic viability of 
                        biofuels and bioenergy;
                            ``(ii) as substitutes for petroleum-based 
                        feedstocks and products; and
                            ``(iii) to enhance the value of coproducts 
                        produced using the technologies and processes; 
                        and
                    ``(C) a diversity of sustainable domestic sources 
                of renewable biomass for conversion to biofuels, 
                bioenergy, and biobased products.
            ``(3) Purposes.--The purposes of the Initiative are--
                    ``(A) to increase the energy security of the United 
                States;
                    ``(B) to create jobs and enhance the economic 
                development of the rural economy;
                    ``(C) to enhance the environment and public health; 
                and
                    ``(D) to diversify markets for raw agricultural and 
                forestry products.
            ``(4) Technical areas.--To advance the objectives and 
        purposes of the Initiative, the Secretary of Agriculture and 
        the Secretary of Energy, in consultation with the Administrator 
        of the Environmental Protection Agency and heads of other 
        appropriate departments and agencies (referred to in this 
        subsection as the `Secretaries'), shall direct research, 
        development, and demonstration toward--
                    ``(A) feedstocks and feedstock systems relevant to 
                production of raw materials for conversion to biofuels 
                and biobased products, including--
                            ``(i) development of advanced and dedicated 
                        crops with desired features, including enhanced 
                        productivity, broader site range, low 
                        requirements for chemical inputs, and enhanced 
                        processing;
                            ``(ii) advanced crop production methods to 
                        achieve the features described in clause (i) 
                        and suitable assay techniques for those 
                        features;
                            ``(iii) feedstock harvest, handling, 
                        transport, and storage;
                            ``(iv) strategies for integrating feedstock 
                        production into existing managed land; and
                            ``(v) improving the value and quality of 
                        coproducts, including material used for animal 
                        feeding;
                    ``(B) development of cost-effective technologies 
                for the use of cellulosic biomass in the production of 
                biofuels and biobased products, including--
                            ``(i) pretreatment in combination with 
                        enzymatic or microbial hydrolysis;
                            ``(ii) thermochemical approaches, including 
                        gasification and pyrolysis; and
                            ``(iii) self-processing crops that express 
                        enzymes capable of degrading cellulosic 
                        biomass;
                    ``(C) product diversification through technologies 
                relevant to production of a range of biobased products 
                (including chemicals, animal feeds, and cogenerated 
                power) that eventually can increase the feasibility of 
                fuel production in a biorefinery, including--
                            ``(i) catalytic processing, including 
                        thermochemical fuel production;
                            ``(ii) metabolic engineering, enzyme 
                        engineering, and fermentation systems for 
                        biological production of desired products, 
                        coproducts, or cogeneration of power;
                            ``(iii) product recovery;
                            ``(iv) power production technologies;
                            ``(v) integration into existing renewable 
                        biomass processing facilities, including starch 
                        ethanol plants, sugar processing or refining 
                        plants, paper mills, and power plants;
                            ``(vi) enhancement of products and 
                        coproducts, including dried distillers grains; 
                        and
                            ``(vii) technologies that allow for cost-
                        effective harvest, handling, transport, and 
                        storage; and
                    ``(D) analysis that provides strategic guidance for 
                the application of renewable biomass technologies in 
                accordance with realization of improved sustainability 
                and environmental quality, cost effectiveness, 
                security, and rural economic development, usually 
                featuring system-wide approaches, including the 
                harvest, handling, transport, and storage of renewable 
                biomass.
            ``(5) Additional considerations.--Within the technical 
        areas described in paragraph (4), and in addition to advancing 
        the purposes described in paragraph (3) and the objectives 
        described in paragraph (2), the Secretaries shall support 
        research and development--
                    ``(A) to create continuously expanding 
                opportunities for participants in existing biofuels 
                production by seeking synergies and continuity with 
                current technologies and practices, such as 
                improvements in dried distillers grains and other 
                biofuel production coproducts for use as bridge 
                feedstocks;
                    ``(B) to maximize the environmental, economic, and 
                social benefits of production of biofuels and biobased 
                products on a large scale through life-cycle economic 
                and environmental analysis and other means; and
                    ``(C) to assess the potential of Federal land and 
                land management programs as feedstock resources for 
                biofuels and biobased products, consistent with the 
                integrity of soil and water resources and with other 
                environmental considerations.
            ``(6) Eligible entities.--To be eligible for a grant, 
        contract, or assistance under this subsection, an applicant 
        shall be--
                    ``(A) an institution of higher education;
                    ``(B) a National Laboratory;
                    ``(C) a Federal research agency;
                    ``(D) a State research agency;
                    ``(E) a private sector entity;
                    ``(F) a nonprofit organization; or
                    ``(G) a consortium of 2 or more entities described 
                in subparagraphs (A) through (F).
            ``(7) Administration.--
                    ``(A) In general.--After consultation with the 
                Board, the points of contact shall--
                            ``(i) publish annually 1 or more joint 
                        requests for proposals for grants, contracts, 
                        and assistance under this subsection;
                            ``(ii) require that grants, contracts, and 
                        assistance under this section be awarded 
                        competitively, on the basis of merit, after the 
                        establishment of procedures that provide for 
                        scientific peer review by an independent panel 
                        of scientific and technical peers;
                            ``(iii) give partial preference to 
                        applications that--
                                    ``(I) involve a consortia of 
                                experts from multiple institutions;
                                    ``(II) encourage the integration of 
                                disciplines and application of the best 
                                technical resources; and
                                    ``(III) increase the geographic 
                                diversity of demonstration projects; 
                                and
                            ``(iv) require that not less than 15 
                        percent of funds made available to carry out 
                        this section is used for research and 
                        development relating to each of the technical 
                        areas described in paragraph (4).
                    ``(B) Matching funds.--
                            ``(i) In general.--The non-Federal share of 
                        the cost of a demonstration project under this 
                        section shall be not less than 20 percent.
                            ``(ii) Commercial applications.--The non-
                        Federal share of the cost of a commercial 
                        application project under this section shall be 
                        not less than 50 percent.
                    ``(C) Technology and information transfer to 
                agricultural users.--The Administrator of the National 
                Institute of Food and Agriculture and the Chief of the 
                Natural Resources Conservation Service shall ensure 
                that applicable research results and technologies from 
                the Initiative are--
                            ``(i) adapted, made available, and 
                        disseminated through those services, as 
                        appropriate; and
                            ``(ii) included in the best practices 
                        database established under section 220 of the 
                        Department of Agriculture Reorganization Act of 
                        1994 (7 U.S.C. 6920).
    ``(f) Administrative Support and Funds.--
            ``(1) In general.--To the extent administrative support and 
        funds are not provided by other agencies under paragraph (2), 
        the Secretary of Energy and the Secretary of Agriculture may 
        provide such administrative support and funds of the Department 
        of Energy and the Department of Agriculture to the Board and 
        the Advisory Committee as are necessary to enable the Board and 
        the Advisory Committee to carry out their duties under this 
        section.
            ``(2) Other agencies.--The heads of the agencies referred 
        to in subsection (c)(2)(C), and the other members of the Board 
        appointed under subsection (c)(2)(D), may, and are encouraged 
        to, provide administrative support and funds of their 
        respective agencies to the Board and the Advisory Committee.
            ``(3) Limitation.--Not more than 4 percent of the amount 
        made available for each fiscal year under subsection (h) may be 
        used to pay the administrative costs of carrying out this 
        section.
    ``(g) Reports.--
            ``(1) Annual reports.--For each fiscal year for which funds 
        are made available to carry out this section, the Secretary of 
        Energy and the Secretary of Agriculture shall jointly submit to 
        Congress a detailed report on--
                    ``(A) the status and progress of the Initiative, 
                including a report from the Advisory Committee on 
                whether funds appropriated for the Initiative have been 
                distributed and used in a manner that--
                            ``(i) is consistent with the objectives, 
                        purposes, and additional considerations 
                        described in paragraphs (2) through (5) of 
                        subsection (e);
                            ``(ii) uses the set of criteria established 
                        in the initial report submitted under title III 
                        of the Agricultural Risk Protection Act of 2000 
                        (7 U.S.C. 7624 note; Public Law 106-224) (as in 
                        effect on the date before the date of enactment 
                        of the Food and Energy Security Act of 2007); 
                        and
                            ``(iii) takes into account any 
                        recommendations that have been made by the 
                        Advisory Committee;
                    ``(B) the general status of cooperation and 
                research and development efforts carried out at each 
                agency with respect to biofuels and biobased products, 
                including a report from the Advisory Committee on 
                whether the points of contact are funding proposals 
                that are selected under subsection (d)(3)(B)(iii); and
                    ``(C) the plans of the Secretary of Energy and the 
                Secretary of Agriculture for addressing concerns raised 
                in the report, including concerns raised by the 
                Advisory Committee.
            ``(2) Updates.--The Secretary of Agriculture and the 
        Secretary of Energy shall update the Vision and Roadmap 
        documents prepared for Federal biomass research and development 
        activities.
    ``(h) Funding.--
            ``(1) Commodity credit corporation funds.--Of the funds of 
        the Commodity Credit Corporation, the Secretary of Agriculture, 
        to the maximum extent practicable, shall use to carry out this 
        section, to remain available until expended--
                    ``(A) $15,000,000 for fiscal year 2008;
                    ``(B) $25,000,000 for fiscal year 2009; and
                    ``(C) $35,000,000 for fiscal year 2010.
            ``(2) Additional funding.--In addition to amounts described 
        in paragraph (1), there is authorized to be appropriated to 
        carry out this section $85,000,000 for each of fiscal years 
        2008 through 2012.

``SEC. 9009. SUN GRANT PROGRAM.

    ``(a) Purposes.--The purposes of the programs established under 
this section are--
            ``(1) to enhance national energy security through the 
        development, distribution, and implementation of biobased 
        energy technologies;
            ``(2) to promote diversification in, and the environmental 
        sustainability of, agricultural production in the United States 
        through biobased energy and product technologies;
            ``(3) to promote economic diversification in rural areas of 
        the United States through biobased energy and product 
        technologies; and
            ``(4) to enhance the efficiency of bioenergy and biomass 
        research and development programs through improved coordination 
        and collaboration between the Department of Agriculture, the 
        Department of Energy, and the land-grant colleges and 
        universities.
    ``(b) Definition of Land-Grant Colleges and Universities.--The term 
`land-grant colleges and universities' means--
            ``(1) 1862 Institutions (as defined in section 2 of the 
        Agricultural Research, Extension, and Education Reform Act of 
        1998 (7 U.S.C. 7601));
            ``(2) 1890 Institutions (as defined in section 2 of that 
        Act) and West Virginia State College; and
            ``(3) 1994 Institutions (as defined in section 2 of that 
        Act).
    ``(c) Establishment.--To carry out the purposes described in 
subsection (a), the Secretary shall provide grants to sun grant centers 
specified in subsection (d).
    ``(d) Grants to Centers.--The Secretary shall use amounts made 
available for a fiscal year under subsection (j) to provide a grants in 
equal amounts to each of the following sun grant centers:
            ``(1) North-central center.--A north-central sun grant 
        center at South Dakota State University for the region composed 
        of the States of Illinois, Indiana, Iowa, Minnesota, Montana, 
        Nebraska, North Dakota, South Dakota, Wisconsin, and Wyoming.
            ``(2) Southeastern center.--A southeastern sun grant center 
        at the University of Tennessee at Knoxville for the region 
        composed of--
                    ``(A) the States of Alabama, Florida, Georgia, 
                Kentucky, Mississippi, North Carolina, South Carolina, 
                Tennessee, and Virginia;
                    ``(B) the Commonwealth of Puerto Rico; and
                    ``(C) the United States Virgin Islands.
            ``(3) South-central center.--A south-central sun grant 
        center at Oklahoma State University for the region composed of 
        the States of Arkansas, Colorado, Kansas, Louisiana, Missouri, 
        New Mexico, Oklahoma, and Texas.
            ``(4) Western center.--A western sun grant center at Oregon 
        State University for the region composed of--
                    ``(A) the States of Alaska, Arizona, California, 
                Hawaii, Idaho, Nevada, Oregon, Utah, and Washington; 
                and
                    ``(B) territories and possessions of the United 
                States (other than the territories referred to in 
                subparagraphs (B) and (C) of paragraph (2)).
            ``(5) Northeastern center.--A northeastern sun grant center 
        at Cornell University for the region composed of the States of 
        Connecticut, Delaware, Massachusetts, Maryland, Maine, 
        Michigan, New Hampshire, New Jersey, New York, Ohio, 
        Pennsylvania, Rhode Island, Vermont, and West Virginia.
            ``(6) Western insular pacific subcenter.--A western insular 
        Pacific subcenter at the University of Hawaii for the region 
        composed of the State of Alaska, Guam, American Samoa, the 
        Commonwealth of the Northern Mariana Islands, the Federated 
        States of Micronesia, the Republic of the Marshall Islands, and 
        the Republic of Palau.
    ``(e) Use of Funds.--
            ``(1) Centers of excellence.--Of the amount of funds that 
        are made available for a fiscal year to a sun grant center 
        under subsection (d), the center shall use not more than 25 
        percent of the amount to support excellence in science, 
        engineering, and economics at the center to promote the 
        purposes described in subsection (a) through the State 
        agricultural experiment station, cooperative extension 
        services, and relevant educational programs of the university.
            ``(2) Grants to land-grant colleges and universities.--
                    ``(A) In general.--The sun grant center established 
                for a region shall use the funds that remain available 
                for a fiscal year after expenditures made under 
                paragraph (1) to provide competitive grants to land-
                grant colleges and universities in the region of the 
                sun grant center to conduct, consistent with the 
                purposes described in subsection (a), multi-
                institutional and multistate--
                            ``(i) research, extension, and educational 
                        programs on technology development; and
                            ``(ii) integrated research, extension, and 
                        educational programs on technology 
                        implementation.
                    ``(B) Programs.--Of the amount of funds that are 
                used to provide grants for a fiscal year under 
                subparagraph (A), the center shall use--
                            ``(i) not less than 30 percent of the funds 
                        to carry out programs described in subparagraph 
                        (A)(i); and
                            ``(ii) not less than 30 percent of the 
                        funds to carry out programs described in 
                        subparagraph (A)(ii).
            ``(3) Indirect costs.--A sun grant center may not recover 
        the indirect costs of making grants under paragraph (2) to 
        other land-grant colleges and universities.
    ``(f) Plan.--
            ``(1) In general.--Subject to the availability of funds 
        under subsection (j), in cooperation with other land-grant 
        colleges and universities and private industry in accordance 
        with paragraph (2), the sun grant centers shall jointly develop 
        and submit to the Secretary, for approval, a plan for 
        addressing at the State and regional levels the bioenergy, 
        biomass, and gasification research priorities of the Department 
        of Agriculture and the Department of Energy for the making of 
        grants under paragraphs (1) and (2) of subsection (e).
            ``(2) Gasification coordination.--
                    ``(A) In general.--In developing the plan under 
                paragraph (1) with respect to gasification research, 
                the sun grant centers identified in paragraphs (1) and 
                (2) of subsection (d) shall coordinate with land grant 
                colleges and universities in their respective regions 
                that have ongoing research activities with respect to 
                the research.
                    ``(B) Funding.--Funds made available under 
                subsection (d) to the sun grant center identified in 
                subsection (e)(2) shall be available to carry out 
                planning coordination under paragraph (1) of this 
                subsection.
    ``(g) Grants to Other Land-Grant Colleges and Universities.--
            ``(1) Priority for grants.--In making grants under 
        subsection (e)(2), a sun grant center shall give a higher 
        priority to programs that are consistent with the plan approved 
        by the Secretary under subsection (f).
            ``(2) Term of grants.--The term of a grant provided by a 
        sun grant center under subsection (e)(2) shall not exceed 5 
        years.
    ``(h) Grant Information Analysis Center.--The sun grant centers 
shall maintain a Sun Grant Information Analysis Center at the sun grant 
center specified in subsection (d)(1) to provide sun grant centers 
analysis and data management support.
    ``(i) Annual Reports.--Not later than 90 days after the end of a 
year for which a sun grant center receives a grant under subsection 
(d), the sun grant center shall submit to the Secretary a report that 
describes the policies, priorities, and operations of the program 
carried out by the center during the year, including a description of 
progress made in facilitating the priorities described in subsection 
(f).
    ``(j) Funding.--
            ``(1) Commodity credit corporation.--Of the funds of the 
        Commodity Credit Corporation, the Secretary shall use to carry 
        out this section, to remain available until expended--
                    ``(A) $5,000,000 for fiscal year 2008;
                    ``(B) $10,000,000 for fiscal year 2009; and
                    ``(C) $10,000,000 for fiscal year 2010.
            ``(2) Authorization of appropriations.--
                    ``(A) In general.--In addition to any other funds 
                made available to carry out this section, there is 
                authorized to be appropriated to carry out this section 
                $70,000,000 for each of fiscal years 2008 through 2012.
                    ``(B) Grant information analysis center.--Of 
                amounts made available under subparagraph (A), not more 
                than $4,000,000 for each fiscal year shall be made 
                available to carry out subsection (h).

``SEC. 9010. REGIONAL BIOMASS CROP EXPERIMENTS.

    ``(a) Purpose.--The purpose of this section is to initiate multi-
region side-by-side crop experiments to provide a sound knowledge base 
on all aspects of the production of biomass energy crops, including 
crop species, nutrient requirements, management practices, 
environmental impacts, greenhouse gas implications, and economics.
    ``(b) Crop Experiments.--
            ``(1) In general.--The Secretary, in consultation with the 
        Board, based on the recommendations of the Advisory Committee, 
        shall award 10 competitive grants to land-grant colleges and 
        universities (as defined in section 1404 of the National 
        Agricultural Research, Extension, and Teaching Policy Act of 
        1977 (7 U.S.C. 3103)) to establish regional biomass crop 
        research experiments (including experiments involving annuals, 
        perennials, and woody biomass species).
            ``(2) Selection of grant recipients.--Grant recipients 
        shall be selected on the basis of applications submitted in 
        accordance with guidelines issued by the Secretary.
            ``(3) Selection criteria.--In selecting grant recipients, 
        the Secretary shall consider--
                    ``(A) the capabilities and experience of the 
                applicant in conducting side-by-side crop experiments;
                    ``(B) the range of species types and cropping 
                practices proposed for study;
                    ``(C) the quality of the proposed crop experiment 
                plan;
                    ``(D) the commitment of the applicant of adequate 
                acreage and necessary resources for, and continued 
                participation in, the crop experiments;
                    ``(E) the need for regional diversity among the 10 
                institutions selected; and
                    ``(F) such other factors as the Secretary may 
                determine.
    ``(c) Grants.--The Secretary shall make a grant to each land-grant 
college or university selected under subsection (b) in the amount of--
            ``(1) $1,000,000 for fiscal year 2008;
            ``(2) $2,000,000 for fiscal year 2009; and
            ``(3) $1,000,000 for fiscal year 2010.
    ``(d) Coordination.--The Secretary shall coordinate with 
participants under this section--
            ``(1) to provide coordination regarding biomass crop 
        research approaches; and
            ``(2) to ensure coordination between biomass crop research 
        activities carried out by land-grant colleges and universities 
        under this section and by sun grant centers under section 9009.
    ``(e) Funding.--
            ``(1) Commodity credit corporation.--Of the funds of the 
        Commodity Credit Corporation, the Secretary shall use to carry 
        out this section, to remain available until expended--
                    ``(A) $10,000,000 for fiscal year 2008;
                    ``(B) $20,000,000 for fiscal year 2009; and
                    ``(C) $10,000,000 for fiscal year 2010.
            ``(2) Authorization of appropriations.--In addition to any 
        other funds made available to carry out this section, there are 
        authorized to be appropriated such sums are necessary to carry 
        out this section for each of fiscal years 2008 through 2012.

``SEC. 9011. BIOCHAR RESEARCH, DEVELOPMENT, AND DEMONSTRATION.

    ``(a) Purpose.--The purpose of this section is to support research, 
development, and demonstration of biochar as a coproduct of bioenergy 
production, as a soil enhancement practice, and as a carbon management 
strategy.
    ``(b) Definition of Biochar.--In this section, the term `biochar' 
means charcoal or biomass-derived black carbon that is added to soil to 
improve soil fertility, nutrient retention, and carbon content.
    ``(c) Grants.--The Secretary shall award competitive grants to 
eligible entities to support biochar research, development, and 
demonstration projects on multiple scales, including laboratory biochar 
research and field trials, and biochar systems on a single farm scale, 
local community scale, and agricultural cooperative scale.
    ``(d) Eligible Entities.--To be eligible to receive a grant under 
this section, an entity shall be an eligible entity described in 
section 9005(d).
    ``(e) Areas of Biochar Research, Development, and Demonstration.--
In carrying out this section, the Secretary shall solicit proposals for 
activities that include--
            ``(1) the installation and use of biochar production 
        systems, including pyrolysis and thermocombustion systems, and 
        the integration of biochar production with bioenergy and 
        bioproducts production;
            ``(2) the study of agronomic effects of biochar usage in 
        soils, including plant growth and yield effects for different 
        application rates and soil types, and implications for water 
        and fertilizer needs;
            ``(3) biochar characterization, including analysis of 
        physical properties, chemical structure, product consistency 
        and quality, and the impacts of those properties on the soil-
        conditioning effects of biochar in different soil types;
            ``(4) the study of effects of the use of biochar on the 
        carbon content of soils, with an emphasis on the potential for 
        biochar applications to sequester carbon;
            ``(5) the study of effects of biochar on greenhouse gas 
        emissions relating to crop production, including nitrous oxide 
        and carbon dioxide emissions from cropland;
            ``(6) the study of the integration of renewable energy and 
        bioenergy production with biochar production;
            ``(7) the study of the economics of biochar production and 
        use, including considerations of feedstock competition, 
        synergies of coproduction with bioenergy, the value of soil 
        enhancements, and the value of soil carbon sequestration; and
            ``(8) such other topics as are identified by the Secretary.
    ``(f) Funding.--There is authorized to be appropriated to carry out 
this section $3,000,000 for each of fiscal years 2008 through 2012.

``SEC. 9012. RENEWABLE WOODY BIOMASS FOR ENERGY.

    ``(a) In General.--The Secretary, acting through the Chief of the 
Forest Service (referred to in this section as the `Secretary'), shall 
conduct a competitive research, technology development, and technology 
application program to encourage the use of renewable woody biomass for 
energy.
    ``(b) Eligible Entities.--Entities eligible to compete under the 
program shall include--
            ``(1) the Forest Service (through Research and 
        Development);
            ``(2) other Federal agencies;
            ``(3) State and local governments;
            ``(4) federally recognized Indian tribes;
            ``(5) colleges and universities; and
            ``(6) private entities.
    ``(c) Priority for Project Selection.--The Secretary shall give 
priority under the program to projects that--
            ``(1) develop technology and techniques to use low-value 
        woody biomass sources, such as byproducts of forest health 
        treatments and hazardous fuels reduction, for the production of 
        energy;
            ``(2) develop processes that integrate production of energy 
        from woody biomass into biorefineries or other existing 
        manufacturing streams;
            ``(3) develop new transportation fuels from woody biomass; 
        and
            ``(4) improve the growth and yield of trees intended for 
        renewable energy production.
    ``(d) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $5,000,000 for each of fiscal 
years 2008 through 2012.

``SEC. 9013. COMMUNITY WOOD ENERGY PROGRAM.

    ``(a) Definitions.--In this section:
            ``(1) Community wood energy plan.--The term `community wood 
        energy plan' means a plan that identifies how local forests can 
        be accessed in a sustainable manner to help meet the wood 
        supply needs of a community wood energy system.
            ``(2) Community wood energy system.--
                    ``(A) In general.--The term `community wood energy 
                system' means an energy system that--
                            ``(i) services schools, town halls, 
                        libraries, and other public buildings; and
                            ``(ii) uses woody biomass as the primary 
                        fuel.
                    ``(B) Inclusions.--The term `community wood energy 
                system' includes single facility central heating, 
                district heating, combined heat and energy systems, and 
                other related biomass energy systems.
    ``(b) Grant Program.--
            ``(1) In general.--The Secretary, acting through the Chief 
        of the Forest Service, shall establish a program to be known as 
        the `Community Wood Energy Program' to provide--
                    ``(A) grants of up to $50,000 to State and local 
                governments (or designees)--
                            ``(i) to conduct feasibility studies 
                        related to community wood energy plans; and
                            ``(ii) to develop community wood energy 
                        plans; and
                    ``(B) competitive grants to State and local 
                governments--
                            ``(i) to acquire or upgrade community wood 
                        energy systems for public buildings; and
                            ``(ii) to implement a community wood energy 
                        plan.
            ``(2) Considerations.--In selecting applicants for grants 
        under paragraph (1)(B), the Secretary shall consider--
                    ``(A) the energy efficiency of the proposed system; 
                and
                    ``(B) other conservation and environmental criteria 
                that the Secretary considers appropriate.
    ``(c) Community Wood Energy Plan.--
            ``(1) In general.--A State or local government that 
        receives a grant under subsection (b)(1)(A), shall use the 
        grant, and the technical assistance of the State forester, to 
        create a community wood energy plan to meet the wood supply 
        needs of the community wood energy system, in a sustainable 
        manner, that the State or local government proposes to purchase 
        under this section.
            ``(2) Use of plan.--A State or local government applying to 
        receive a competitive grant described in subsection (b)(1)(B) 
        shall submit to the Secretary as part of the grant application 
        the applicable community wood energy plan described in 
        paragraph (1).
            ``(3) Requirement.--To be included in a community wood 
        energy plan, property shall be subject to a forest management 
        plan.
    ``(d) Use in Public Buildings.--A State or local government that 
receives a grant under subsection (b)(1)(B) shall use a community wood 
energy system acquired, in whole or in part, with the use of the grant 
funds for primary use in a public facility owned by the State or local 
government.
    ``(e) Limitation.--A community wood energy system acquired with 
grant funds provided under subsection (b)(1)(B) shall not exceed an 
output of--
            ``(1) 50,000,000 Btu per hour for heating; and
            ``(2) 2 megawatts for electric power production.
    ``(f) Matching Funds.--A State or local government that receives a 
grant under subsection (b) shall contribute an amount of non-Federal 
funds towards the feasibility study, development of the community wood 
energy plan, or acquisition of the community wood energy systems that 
is at least equal to the amount of grant funds received by the State or 
local government under that subsection.
    ``(g) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $5,000,000 for each of fiscal 
years 2008 through 2012.

``SEC. 9014. RURAL ENERGY SYSTEMS RENEWAL.

    ``(a) Purpose.--The purpose of this section is to establish a 
Federal program--
            ``(1) to encourage communities in rural areas of the United 
        States to establish energy systems renewal strategies for their 
        communities;
            ``(2) to provide the information, analysis assistance, and 
        guidance that the communities need; and
            ``(3) to provide financial resources to partially fund the 
        costs of carrying out community energy systems renewal 
        projects.
    ``(b) Program Authority.--The Secretary shall establish and carry 
out a program of competitive grants to support communities in rural 
areas in carrying out rural energy systems renewal projects.
    ``(c) Use of Grants.--A community may use a grant provided under 
this section to carry out a project--
            ``(1) to conduct an energy assessment that assesses total 
        energy usage by all members and activities of the community, 
        including an assessment of--
                    ``(A) energy used in community facilities, 
                including energy for heating, cooling, lighting, and 
                all other building and facility uses;
                    ``(B) energy used in transportation by community 
                members;
                    ``(C) current sources and types of energy used;
                    ``(D) energy embedded in other materials and 
                products;
                    ``(E) the major impacts of the energy usage 
                (including the impact on the quantity of oil imported, 
                total costs, the environment, and greenhouse gas 
                emissions); and
                    ``(F) such other activities as are determined 
                appropriate by the community, consistent with the 
                purposes described in subsection (a);
            ``(2) to formulate and analyze ideas for reducing 
        conventional energy usage and greenhouse gas emissions by the 
        community, including reduction of energy usage through--
                    ``(A) housing insulation, automatic controls on 
                lighting and electronics, zone energy usage, and home 
                energy conservation practices;
                    ``(B) transportation alternatives, vehicle options, 
                transit options, transportation conservation, and walk- 
                and bike-to-school programs;
                    ``(C) community configuration alternatives to 
                provide pedestrian access to regular services; and
                    ``(D) community options for alternative energy 
                systems (including alternative fuels, photovoltaic 
                electricity, wind energy, geothermal heat pump systems, 
                and combined heat and power);
            ``(3) to formulate and implement community strategies for 
        reducing conventional energy usage and greenhouse gas emissions 
        by the community;
            ``(4) to conduct assessments and to track and record the 
        results of energy system changes; and
            ``(5) to train rural community energy professionals to 
        provide expert support to community energy systems renewal 
        projects.
    ``(d) Federal Share.--The Federal cost of carrying out a project 
under this section shall be 50 percent of the total cost of the 
project.
    ``(e) Administration.--The Secretary shall--
            ``(1) issue, an annual basis, requests for proposals from 
        communities in rural areas for energy systems renewal projects; 
        and
            ``(2) establish criteria for program participation and 
        evaluation of projects carried out under this section, 
        including criteria based on--
                    ``(A) the quality of the renewal projects proposed;
                    ``(B) the probability of success of the community 
                in meeting the energy systems renewal goals of the 
                community;
                    ``(C) the projected energy savings (including oil 
                savings) resulting from the proposed projects; and
                    ``(D) projected greenhouse gas emission reductions 
                resulting from the proposed projects.
    ``(f) Technical Assistance.--The Secretary, in consultation with 
the Secretary of Energy, shall--
            ``(1) develop, and provide through the National Institute 
        of Food and Agriculture or State Energy Offices, information 
        and tools that communities in rural areas can use--
                    ``(A) to assess the current energy systems of the 
                communities, including sources, uses, and impacts;
                    ``(B) to identify and evaluate options for changes;
                    ``(C) to develop strategies and plans for changes; 
                and
                    ``(D) to implement changes and assess the impact of 
                the changes; and
            ``(2) provide technical assistance and support to 
        communities in rural areas that receive grants under this 
        section to assist the communities in carrying out projects 
        under this section.
    ``(g) Report.--Not later than December 31, 2011, and biennially 
thereafter, the Secretary shall submit to the Committee on Agriculture 
of the House of Representatives and the Committee on Agriculture, 
Nutrition, and Forestry of the Senate a report that documents the best 
practices and approaches used by communities in rural areas that 
receive funds under this section.
    ``(h) Authorization of Appropriations.--There is authorized to be 
appropriated to the Secretary to make grants under this section 
$5,000,000 for each of fiscal years 2008 through 2012.

``SEC. 9015. VOLUNTARY RENEWABLE BIOMASS CERTIFICATION PROGRAM.

    ``(a) Establishment.--The Secretary, in consultation with 
Administrator, shall establish a voluntary program to certify renewable 
biomass that meets sustainable growing standards designed--
            ``(1) to reduce greenhouse gases and improve soil carbon 
        content;
            ``(2) to protect wildlife habitat, and
            ``(3) to protect air, soil, and water quality.
    ``(b) Voluntary Certification Requirements.--To qualify for 
certification under the program established under subsection (a), a 
biomass crop shall be inspected and certified as meeting the standards 
adopted under subsection (c) by an inspector designated under 
subsection (d).
    ``(c) Production Standards.--
            ``(1) In general.--The Secretary shall adopt standards for 
        the certification of renewable biomass under subsection (b) 
        that will apply to those producers who elect to participate in 
        the voluntary certification program.
            ``(2) Requirement.--The standards under paragraph (1) shall 
        provide measurement of a numerical reduction in greenhouse 
        gases, improvement to soil carbon content, and reduction in 
        soil and water pollutants, based on the recommendations of an 
        advisory committee jointly established by the Secretary and the 
        Administrator.
    ``(d) Inspectors.--The Secretary shall designate inspectors that 
the Secretary determines are qualified to carry out inspections and 
certifications under subsection (b) in order to certify renewable 
biomass under this section.
    ``(e) Designation.--A product produced from renewable biomass that 
is certified under this section may be designated as having been 
produced from certified renewable biomass if--
            ``(1) the producer of the product verifies that the product 
        was produced from renewable biomass; and
            ``(2) the verification includes a copy of the certification 
        obtained in accordance with subsection (b).

``SEC. 9016. ADMINISTRATION.

    ``The Secretary shall designate an entity within the Department of 
Agriculture to--
            ``(1) provide oversight and coordination of all activities 
        relating to renewable energy and biobased product development 
        within the Department;
            ``(2) act as a liaison between the Department and other 
        Federal, State, and local agencies to ensure coordination among 
        activities relating to renewable energy and biobased product 
        development;
            ``(3) assist agriculture researchers by evaluating the 
        market potential of new biobased products in the initial phase 
        of development;
            ``(4) collect and disseminate information relating to 
        renewable energy and biobased product development programs, 
        including research, within the Federal Government; and
            ``(5) establish and maintain a public database of best 
        practices to facilitate information sharing relating to--
                    ``(A) renewable energy and biobased product 
                development from programs under this title and other 
                programs; and
                    ``(B) best practices for producing, collecting, 
                harvesting, storing, and transporting crops of 
                renewable biomass, as described under section 
                9004(d)(3)(B) of the Farm Security and Rural Investment 
                Act of 2002.

``SEC. 9017. BIOFUELS INFRASTRUCTURE STUDY.

    ``(a) In General.--The Secretary, in collaboration with the 
Secretary of Energy, the Administrator, and the Secretary of 
Transportation, shall--
            ``(1) conduct an assessment of the infrastructure needs for 
        expanding the domestic production, transport, and marketing of 
        biofuels and bioenergy;
            ``(2) formulate recommendations for infrastructure 
        development needs and approaches; and
            ``(3) submit to the appropriate committees of Congress a 
        report describing the assessment and recommendations.
    ``(b) Infrastructure Areas.--In carrying out subsection (a), the 
Secretary shall consider--
            ``(1) biofuel transport and delivery infrastructure issues, 
        including shipment by rail or pipeline or barge;
            ``(2) biofuel storage needs;
            ``(3) biomass feedstock delivery needs, including adequacy 
        of rural roads;
            ``(4) biomass feedstock storage needs;
            ``(5) water resource needs, including water requirements 
        for biorefineries; and
            ``(6) such other infrastructure issues as the Secretary may 
        determine.
    ``(c) Considerations.--In carrying out subsection (a), the 
Secretary shall consider--
            ``(1) estimated future biofuels production levels of--
                    ``(A) 20,000,000,000 gallons per year to 
                40,000,000,000 gallons per year by 2020; and
                    ``(B) 50,000,000,000 gallons per year to 
                75,000,000,000 gallons per year by 2030;
            ``(2) the feasibility of shipping biofuels through existing 
        pipelines;
            ``(3) the development of new biofuels pipelines, including 
        siting, financing, timing, and other economic issues;
            ``(4) the environmental implications of alternative 
        approaches to infrastructure development; and
            ``(5) the resource use and conservation characteristics of 
        alternative approaches to infrastructure development.
    ``(d) Implementation.--In carrying out this section, the 
Secretary--
            ``(1) shall consult with individuals and entities with 
        interest or expertise in the areas described in subsections (b) 
        and (c); and
            ``(2) may issue a solicitation for a competition to select 
        a contractor to support the Secretary.
    ``(e) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $1,000,000 for each of fiscal 
years 2008 and 2009.

``SEC. 9018. RURAL NITROGEN FERTILIZER STUDY.

    ``(a) Purposes.--The purposes of this section are--
            ``(1) to assess the feasibility of producing nitrogen 
        fertilizer from renewable energy resources in rural areas; and
            ``(2) to formulate recommendations for a program to promote 
        rural nitrogen fertilizer production from renewable energy 
        resources in the future.
    ``(b) Study.--The Secretary shall--
            ``(1) conduct a study to assess and summarize the current 
        state of knowledge regarding the potential for the production 
        of nitrogen fertilizer from renewable energy sources in rural 
        areas;
            ``(2) identify the critical challenges to commercialization 
        of rural production of nitrogen fertilizer from renewables; and
            ``(3) not later than 270 days after the date of enactment 
        of this section, submit to the Committee on Agriculture of the 
        House of Representatives and the Committee on Agriculture, 
        Nutrition, and Forestry of the Senate a report that summarizes 
        the results of the activities described in paragraphs (1) and 
        (2).
    ``(c) Needs.--
            ``(1) In general.--Based on the results of the study 
        described in subsection (b), the Secretary shall identify the 
        critical needs to commercializing the rural production of 
        nitrogen fertilizer from renewables, including--
                    ``(A) identifying alternative processes for 
                renewables-to-nitrogen fertilizer production;
                    ``(B) identifying efficiency improvements that are 
                necessary for each component of renewables-to-nitrogen 
                fertilizer production processes to produce cost-
                competitive nitrogen fertilizer;
                    ``(C) identifying research and technology 
                priorities for the most promising technologies;
                    ``(D) identifying economic analyses needed to 
                better understand the commercial potential of rural 
                nitrogen production from renewables;
                    ``(E) identifying additional challenges impeding 
                commercialization, including--
                            ``(i) cost competition from nitrogen 
                        fertilizer produced using natural gas and coal;
                            ``(ii) modifications or expansion needed to 
                        the currently-installed nitrogen fertilizer 
                        (anhydrous ammonia) pipeline and storage tank 
                        system to enable interconnection of on-farm or 
                        rural renewables-to-nitrogen fertilizer 
                        systems;
                            ``(iii) impact on nitrogen fertilizer 
                        (anhydrous ammonia) transportation 
                        infrastructure and safety regulations;
                            ``(iv) supply of competitively-priced 
                        renewable electricity; and
                            ``(v) impacts on domestic water supplies; 
                        and
                    ``(F) determining greenhouse gas reduction benefits 
                of producing nitrogen fertilizer from renewable energy.
    ``(d) Program Recommendations.--As part of the report described in 
subsection (b)(3) and based on the needs identified in subsection (c), 
the Secretary shall provide recommendations on--
            ``(1) the establishment of a research, development, and 
        demonstration program to support commercialization of rural 
        nitrogen production using renewables;
            ``(2) the appropriate contents of the program;
            ``(3) the appropriate approach to implementing the program, 
        including participants and funding plans; and
            ``(4) legislation to support commercialization of rural 
        nitrogen production using renewables.
    ``(e) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $1,000,000 for fiscal year 2008.

``SEC. 9019. STUDY OF LIFE-CYCLE ANALYSIS OF BIOFUELS.

    ``(a) In General.--The Secretary, in consultation with the 
Secretary of Energy and the Administrator, shall conduct a study of--
            ``(1) published methods for evaluating the lifecycle 
        greenhouse gas emissions of conventional fuels and biofuels; 
        and
            ``(2) methods for performing simplified, streamlined 
        lifecycle analyses of the greenhouse gas emissions of 
        conventional fuels and biofuels.
    ``(b) Report.--Not later than 1 year after the date of enactment of 
this section, the Secretary shall submit to the Committee on 
Agriculture of the House of Representatives and the Committee on 
Agriculture, Nutrition, and Forestry of the Senate a report that 
describes the results of the study conducted under subsection (a), 
including recommendations for a method for performing a simplified, 
streamlined lifecycle analysis of the greenhouse gas emissions of 
biofuels and fossil fuels that includes--
            ``(1) greenhouse gas emissions relating to the production, 
        extraction, transportation, storage, and waste disposal of the 
        fuels and the feedstocks of the fuels, including the greenhouse 
        gases associated with electrical and thermal energy inputs;
            ``(2) greenhouse gas emissions relating to the 
        distribution, marketing, and use of the fuels; and
            ``(3) to the maximum extent practicable, direct and 
        indirect greenhouse gas emissions from changes in land use and 
        land cover that occur domestically or internationally as a 
        result of biofuel feedstock production.
    ``(c) Update.--Not later than 2 years after the date on which the 
Secretary submits the report under subsection (b), the Secretary shall 
submit to the Committee on Agriculture of the House of Representatives 
and the Committee on Agriculture, Nutrition, and Forestry of the Senate 
an update containing recommendations for an improved method for 
conducting lifecycle analysis of the greenhouse gas emissions of 
biofuels and fossil fuels that takes into account advances in the 
understanding of the emissions.

``SEC. 9020. E-85 FUEL PROGRAM.

    ``(a) Definitions.--In this section:
            ``(1) E-85 fuel.--The term `E-85 fuel' means a blend of 
        gasoline at least 85 percent (or any other percentage, but not 
        less than 70 percent, as determined by the Secretary, by rule, 
        to provide for requirements relating to cold start, safety, or 
        vehicle functions) of the content of which is derived from 
        ethanol.
            ``(2) Eligible facility.--The term `eligible facility' 
        means an ethanol production facility, the majority ownership of 
        which is comprised of agricultural producers.
    ``(b) Program.--The Secretary shall make grants under this section 
to eligible facilities--
            ``(1) to install E-85 fuel infrastructure, including 
        infrastructure necessary--
                    ``(A) for the direct retail sale of E-85 fuel, 
                including E-85 fuel pumps and storage tanks; and
                    ``(B) to directly market E-85 fuel to gas 
                retailers, including in-line blending equipment, pumps, 
                storage tanks, and load-out equipment; and
            ``(2) to provide subgrants to direct retailers of E-85 fuel 
        that are located in a rural area (as defined in section 343(a) 
        of the Consolidated Farm and Rural Development Act (7 U.S.C. 
        1991(a))) for the purpose of installing E-85 fuel 
        infrastructure for the direct retail sale of E-85 fuel, 
        including E-85 fuel pumps and storage tanks.
    ``(c) Cost Sharing.--
            ``(1) Grants.--The amount of a grant under this section 
        shall be equal to 20 percent of the total costs of the 
        installation of the E-85 fuel infrastructure, as determined by 
        the Secretary.
            ``(2) Relationship to other federal funding.--The amount of 
        a grant that an eligible facility receives under this section 
        shall be reduced by the amount of other Federal funding that 
        the eligible facility receives for the same purpose, as 
        determined by the Secretary.
            ``(3) Limitation.--Not more than 70 percent of the total 
        costs of E-85 fuel infrastructure provided assistance under 
        this section shall be provided by the Federal Government and 
        State and local governments.
    ``(d) Authorization of Appropriations.--Subject to the availability 
of appropriations, there is authorized to be appropriated to carry out 
this section $20,000,000 for the period of fiscal years 2008 through 
2012, to remain available until expended.

``SEC. 9021. RESEARCH AND DEVELOPMENT OF RENEWABLE ENERGY.

    ``(a) In General.--The Secretary, in conjunction with the Colorado 
Renewable Energy Collaboratory, shall carry out a research and 
development program relating to renewable energy--
            ``(1) to conduct research on and develop high-quality 
        energy crops that--
                    ``(A) have high energy production values;
                    ``(B) are cost efficient for producers and 
                refiners;
                    ``(C) are well suited to high yields with minimal 
                inputs in arid and semiarid regions; and
                    ``(D) are regionally appropriate;
            ``(2) to conduct research on and develop biorefining and 
        biofuels through multidisciplinary research, including research 
        relating to--
                    ``(A) biochemical engineering;
                    ``(B) process engineering;
                    ``(C) thermochemical engineering;
                    ``(D) product engineering; and
                    ``(E) systems engineering;
            ``(3) to develop cost-effective methods for the harvesting, 
        handling, transport, and storage of cellulosic biomass 
        feedstocks;
            ``(4) to conduct research on and develop fertilizers from 
        biobased sources other than hydrocarbon fuels;
            ``(5) to develop energy- and water-efficient irrigation 
        systems;
            ``(6) to research and develop water-efficient biofuel 
        production technologies;
            ``(7) to research and develop additional biobased products;
            ``(8) in cooperation with the Department of Energy and the 
        Department of Defense, to develop storage and conversion 
        technologies for wind- and solar-generated power for small-
        scale and utility-scale generation facilities; and
            ``(9) in cooperation with the Department of Energy, to 
        research fuel cell technologies for use in farm, ranch, and 
        rural applications.
    ``(b) Authorization of Appropriations.--
            ``(1) In general.--There is authorized to be appropriated 
        to carry out this section $5,000,000 for each of fiscal years 
        2008 through 2012, to remain available until expended.
            ``(2) Additional funds.--In addition to funds made 
        available under paragraph (1), there are authorized to be 
        appropriated--
                    ``(A) $110,000,000 to the Under Secretary for 
                Research, Education, and Economics, acting through the 
                Agricultural Research Service, for cellulosic biofuel 
                research for each of fiscal years 2008 through 2012; 
                and
                    ``(B) $110,000,000 to the Secretary and the 
                Secretary of Energy for the development of smaller-
                scale biorefineries and biofuel plants for each of 
                fiscal years 2008 through 2012.

``SEC. 9022. NORTHEAST DAIRY NUTRIENT MANAGEMENT AND ENERGY DEVELOPMENT 
              PROGRAM.

    ``(a) Definitions.--In this section:
            ``(1) Consortium.--The term `consortium' means a 
        collaboration of land-grant colleges or universities in the 
        Northeast region that have programs devoted to dairy manure 
        nutrient management and energy conversion from dairy manure.
            ``(2) Land-grant colleges and universities.--The term 
        `land-grant colleges and universities' has the meaning given 
        the term in section 1404 of the National Agricultural Research, 
        Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3103)).
            ``(3) Northeast region.--The term `Northeast region' means 
        the States of Connecticut, Delaware, Massachusetts, Maryland, 
        Maine, New Hampshire, New Jersey, New York, Pennsylvania, Rhode 
        Island, Vermont, and West Virginia.
            ``(4) Program.--The term `program' means the dairy nutrient 
        management and energy development program established under 
        subsection (b).
    ``(b) Establishment.--The Secretary shall establish a dairy 
nutrient management and energy development program under which the 
Secretary shall provide funds to the consortium to carry out 
multistate, integrated research, extension, and demonstration projects 
for nutrient management and energy development in the Northeast Region.
    ``(c) Steering Committee.--
            ``(1) In general.--The consortium shall establish a 
        steering committee to administer the program.
            ``(2) Chairperson.--For each calendar year, or for such 
        other period as the consortium determines to be appropriate, 
        the consortium shall select a chairperson of the steering 
        committee in a manner that ensures that each member of the 
        consortium is represented by a chairperson on a rotating basis.
            ``(3) Board.--
                    ``(A) In general.--The steering committee shall 
                establish a board of directors to assist in the 
                administration of the program.
                    ``(B) Composition.--The board shall consist of 
                representatives of--
                            ``(i) dairy cooperatives and other producer 
                        groups;
                            ``(ii) State departments of agriculture;
                            ``(iii) conservation organizations; and
                            ``(iv) other appropriate Federal and State 
                        agencies.
    ``(d) Use of Funds.--
            ``(1) Administrative costs.--The consortium may use not 
        more than 10 percent of the total amount of funds provided to 
        the consortium under this section to pay the administrative 
        costs of the program.
            ``(2) Grant program.--
                    ``(A) In general.--The consortium shall use the 
                amounts provided under this section to provide grants 
                to applicants, including dairy cooperatives, producers 
                and producer groups, State departments of agriculture 
                and other appropriate State agencies, and institutions 
                of higher education, to carry out integrated research, 
                extension, and demonstration projects in the Northeast 
                region to address manure nutrient management and energy 
                development.
                    ``(B) Applications.--The steering committee 
                established under subsection (c)(1), in coordination 
                with the board established by the steering committee, 
                shall annually publish 1 or more requests to receive 
                applications for grants under this paragraph.
                    ``(C) Selection.--
                            ``(i) In general.--The board of the 
                        steering committee shall select applications 
                        submitted under subparagraph (B) for grants 
                        under this paragraph--
                                    ``(I) on a competitive basis;
                                    ``(II) in accordance with such 
                                priority technical areas and 
                                distribution requirements as the 
                                steering committee may establish; and
                                    ``(III) in a manner that ensures, 
                                to the maximum extent practicable, that 
                                an equal quantity of resources is 
                                provided to each member of the 
                                consortium.
                            ``(ii) Review.--Before selecting any 
                        application under clause (i), the board shall 
                        ensure that the program proposed in the 
                        application is subject to a merit review by an 
                        independent panel of scientific experts with 
                        experience relating to the program.
                            ``(iii) Priority.--In selecting 
                        applications under clause (i), the board shall 
                        give priority to applications for programs 
                        that--
                                    ``(I) include multiorganizational 
                                partnerships, especially partnerships 
                                that include producers; and
                                    ``(II) attract the most current and 
                                applicable science for nutrient 
                                management and energy development that 
                                can be applied in the Northeast region.
                    ``(D) Cost sharing.--An applicant that receives a 
                grant under this paragraph shall provide not less than 
                20 percent of the cost of the project carried out by 
                the applicant.
    ``(e) Availability of Results.--The consortium shall ensure that 
the results of each project carried out pursuant to the program are 
made publicly available.
    ``(f) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as are necessary to carry out this section.

``SEC. 9023. FUTURE FARMSTEADS PROGRAM.

    ``(a) Establishment.--The Secretary shall establish a program to 
equip, in each of 5 regions of the United States chosen to represent 
different farming practices, a farm house and its surrounding fields, 
facilities, and forested areas with technologies to--
            ``(1) improve farm energy production and energy use 
        efficiencies;
            ``(2) provide working examples to farmers; and
            ``(3) serve as an education, demonstration, and research 
        facility that will teach graduate students whose focus of 
        research is related to either renewable energy or energy 
        conservation technologies.
    ``(b) Goals.--The goals of the program established under subsection 
(a) shall be to--
            ``(1) advance farm energy use efficiencies and the on-farm 
        production of renewable energies, along with advanced 
        communication and control technologies with the latest in 
        energy capture and conversion techniques, thereby enhancing 
        rural energy independence and creating new revenues for rural 
        economies;
            ``(2) accelerate private sector and university research 
        into the efficient on-farm production of renewable fuels and 
        help educate the farming industry, students, and the general 
        public; and
            ``(3) accelerate energy independence, including the 
        production and the conservation of renewable energies on farms.
    ``(c) Collaboration Partners.--The program under this section shall 
be carried out in partnership with regional land grant institutions, 
agricultural commodity commissions, biofuels companies, sensor and 
controls companies, and internet technology companies.
    ``(d) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as are necessary to carry out this section.''.

SEC. 9002. SENSE OF THE SENATE CONCERNING HIGHER LEVELS OF ETHANOL 
              BLENDED GASOLINE.

    (a) Findings.--The Senate finds that, as of the date of enactment 
of this Act--
            (1) annual ethanol production capacity totals 6,800,000,000 
        gallons;
            (2) current and planned construction of ethanol refineries 
        will likely increase annual ethanol production capacity to 
        12,000,000,000 to 13,000,000,000 gallons by December 31, 2009;
            (3) under existing regulations, only gasoline blended with 
        up to 10 percent ethanol (commonly known as ``E-10'') may be 
        consumed by nonflexible fuel vehicles;
            (4) the total market demand for E-10--
                    (A) is limited to 10 percent of domestic motor fuel 
                consumption; and
                    (B) is further constrained by State-administered 
                reformulated gasoline regulations and regional 
                infrastructure constraints;
            (5) beyond the market demand for E-10, insufficient E-85 
        infrastructure exists to absorb the increased ethanol 
        production beyond 12,000,000,000 to 13,000,000,000 gallons in 
        the short term;
            (6) the approval of intermediate blends of ethanol-blended 
        gasoline, such as E-13, E-15, E-20, and higher blends, is 
        critical to the uninterrupted growth of the United States 
        biofuels industry; and
            (7) maintaining the growth of the United States biofuels 
        industry is a matter of national security and sustainable 
        economic growth.
    (b) Sense of the Senate.--It is the sense of the Senate that the 
Secretary should--
            (1) collaborate with the Secretary of Energy, the Secretary 
        of Transportation, and the Administrator of the Environmental 
        Protection Agency in conducting a study of the economic and 
        environmental effects of intermediate blends of ethanol in 
        United States fuel supply;
            (2) ensure that the approval of intermediate blends of 
        ethanol occurs after the appropriate tests have successfully 
        concluded proving the drivability, compatibility, emissions, 
        durability, and health effects of higher blends of ethanol-
        blended gasoline; and
            (3) ensure that the approval of intermediate blends of 
        ethanol-blended gasoline occurs by not later than 1 year after 
        the date of enactment of this Act.

SEC. 9003. CONFORMING AMENDMENTS.

    (a) Biomass Research and Development Act of 2000.--Title III of the 
Agricultural Risk Protection Act of 2000 (7 U.S.C. 7624 note; Public 
Law 106-224) is repealed.
    (b) Marketing Program for Biobased Products.--
            (1) Implementation.--
                    (A) In general.--The Secretary shall continue to 
                carry out the designation and labeling of biobased 
                products in accordance with section 9002 of the Farm 
                Security and Rural Investment Act of 2002 (7 U.S.C. 
                8102) as in effect on the day before the date of 
                enactment of this Act until the date on which the 
                Secretary is able to begin carrying out section 9002(a) 
                of that Act (as amended by section 9001), which shall 
                begin not later than 90 days after the date of 
                enactment of this Act.
                    (B) Existing listings.--Biobased products 
                designated and labeled under section 9002 of the Farm 
                Security and Rural Investment Act of 2002 (7 U.S.C. 
                8102) as in effect on the day before the date of 
                enactment of this Act shall continue to be considered 
                designated and labeled biobased products after the date 
                of enactment of this Act.
                    (C) Proposed item designations.--Notwithstanding 
                any other provision of this Act or an amendment made by 
                this Act, the Secretary shall have the authority to 
                finalize the listings of any item proposed (prior to 
                the date of enactment of this Act) to be designated in 
                accordance with section 9002 of the Farm Security and 
                Rural Investment Act of 2002 (7 U.S.C. 8102) as in 
                effect on the day before the date of enactment of this 
                Act.
            (2) Bioenergy education and awareness campaign.--Section 
        947 of the Energy Policy Act of 2005 (42 U.S.C. 16256) is 
        repealed.

     TITLE X--LIVESTOCK MARKETING, REGULATORY, AND RELATED PROGRAMS

                         Subtitle A--Marketing

SEC. 10001. LIVESTOCK MANDATORY REPORTING.

    (a) Mandatory Reporting for Swine.--Section 232(c)(3) of the 
Agricultural Marketing Act of 1946 (7 U.S.C. 1635j(c)(3)) is amended--
            (1) in subparagraph (A), by striking ``2:00 p.m.'' and 
        inserting ``3:00 p.m.''; and
            (2) in subparagraph (B), by striking ``3:00 p.m.'' and 
        inserting ``4:00 p.m.''.
    (b) Mandatory Packer Reporting of Pork Products Sales.--
            (1) In general.--Section 232 of the Agricultural Marketing 
        Act of 1946 (7 U.S.C. 1635j) is amended by adding at the end 
        the following:
    ``(f) Mandatory Packer Reporting of Pork Products Sales.--
            ``(1) In general.--Beginning not earlier than the date on 
        which the report under section 10001(b)(2)(C) of the Food and 
        Energy Security Act of 2007 is submitted, the Secretary may 
        require the corporate officers or officially designated 
        representative of each packer processing plant to report to the 
        Secretary at least twice each reporting day (not less than once 
        before, and once after, 12:00 noon Central Time) information on 
        total pork products sales, including price and volume 
        information as specified by the Secretary.
            ``(2) Publication.--The Secretary shall make available to 
        the public any information required to be reported under 
        subparagraph (A) (including information on pork cuts and 
        retail-ready pork products) not less than twice each reporting 
        day.''.
            (2) Study and report.--
                    (A) Study.--The Secretary shall conduct a study on 
                the effects of requiring packer processing plants to 
                report to the Secretary information on total pork 
                products sales (including price and volume 
                information), including--
                            (i) the positive or negative economic 
                        effects on producers and consumers; and
                            (ii) the effects of a confidentiality 
                        requirement on mandatory reporting.
                    (B) Information.--The Secretary may collect such 
                information as is necessary to enable the Secretary to 
                conduct the study required under subparagraph (A).
                    (C) Report.--Not later than 180 days after the date 
                of enactment of this Act, the Secretary shall submit to 
                the Committee on Agriculture of the House of 
                Representatives and the Committee on Agriculture, 
                Nutrition, and Forestry of the Senate a report on the 
                results of the study conducted under subparagraph (A).
    (c) Publication of Information on Retail Purchase Prices for 
Representative Meat Products.--Section 257(a) of the Agricultural 
Marketing Act of 1946 (7 U.S.C. 1636f(a)) is amended by inserting ``and 
continuing not less than each month thereafter'' after ``this 
subtitle''.

SEC. 10002. GRADING AND INSPECTION.

    (a) Grading.--Section 203 of the Agricultural Marketing Act of 1946 
(7 U.S.C. 1622) is amended--
            (1) by redesignating subsection (n) as subsection (o); and
            (2) by inserting after subsection (m) the following:
    ``(n) Grading Program.--To establish, within the Agricultural 
Marketing Service, a voluntary grading program for farm-raised animals 
described in section 10806(a)(1) of the Farm Security and Rural 
Investment Act of 2002 (21 U.S.C. 321d(a)(1)).''.
    (b) Amenable Species.--Section 1(w) of the Federal Meat Inspection 
Act (21 U.S.C. 601(w)) is amended--
            (1) in paragraph (1), by striking ``and'' at the end;
            (2) by redesignating paragraph (2) as paragraph (3); and
            (3) by inserting after paragraph (1) the following:
            ``(2) farm-raised animals described in section 10806(a)(1) 
        of the Farm Security and Rural Investment Act of 2002 (21 
        U.S.C. 321d(a)(1)); and''.
    (c) Existing Activities.--The Secretary shall ensure, to the 
maximum extent practicable, that nothing in an amendment made by this 
section duplicates or impedes any of the food safety activities 
conducted by the Department of Commerce or the Food and Drug 
Administration.

SEC. 10003. COUNTRY OF ORIGIN LABELING.

    Subtitle D of the Agricultural Marketing Act of 1946 (7 U.S.C. 1638 
et seq.) is amended--
            (1) in section 281(2)(A)--
                    (A) in clause (v), by striking ``and'';
                    (B) in clause (vi), by striking the period at the 
                end and inserting ``; and''; and
                    (C) by adding at the end the following:
                            ``(vii) meat produced from goats; and
                            ``(viii) macadamia nuts.'';
            (2) in section 282--
                    (A) in subsection (a), by striking paragraphs (2) 
                and (3) and inserting the following:
            ``(2) Designation of country of origin for beef, lamb, 
        pork, and goat meat.--
                    ``(A) United states country of origin.--A retailer 
                of a covered commodity that is beef, lamb, pork, or 
                goat meat may designate the covered commodity as 
                exclusively having a United States country of origin 
                only if the covered commodity is derived from an animal 
                that was--
                            ``(i) exclusively born, raised, and 
                        slaughtered in the United States;
                            ``(ii) born and raised in Alaska or Hawaii 
                        and transported for a period of not more than 
                        60 days through Canada to the United States and 
                        slaughtered in the United States; or
                            ``(iii) present in the United States on or 
                        before January 1, 2008, and once present in the 
                        United States, remained continuously in the 
                        United States.
                    ``(B) Multiple countries of origin.--
                            ``(i) In general.--A retailer of a covered 
                        commodity that is beef, lamb, pork, or goat 
                        meat that is derived from an animal that is--
                                    ``(I) not exclusively born, raised, 
                                and slaughtered in the United States,
                                    ``(II) born, raised, or slaughtered 
                                in the United States, and
                                    ``(III) not imported into the 
                                United States for immediate slaughter,
                        may designate the country of origin of such 
                        covered commodity as all of the countries in 
                        which the animal may have been born, raised, or 
                        slaughtered.
                            ``(ii) Relation to general requirement.--
                        Nothing in this subparagraph alters the 
                        mandatory requirement to inform consumers of 
                        the country of origin of covered commodities 
                        under paragraph (1).
                    ``(C) Imported for immediate slaughter.--A retailer 
                of a covered commodity that is beef, lamb, pork, or 
                goat meat that is derived from an animal that is 
                imported into the United States for immediate slaughter 
                shall designate the origin of such covered commodity 
                as--
                            ``(i) the country from which the animal was 
                        imported; and
                            ``(ii) the United States.
                    ``(D) Foreign country of origin.--A retailer of a 
                covered commodity that is beef, lamb, pork, or goat 
                meat that is derived from an animal that is not born, 
                raised, or slaughtered in the United States shall 
                designate a country other than the United States as the 
                country of origin of such commodity.
                    ``(E) Ground beef, pork, lamb, and goat.--The 
                notice of country of origin for ground beef, ground 
                pork, ground lamb, or ground goat shall include--
                            ``(i) a list of all countries of origin of 
                        such ground beef, ground pork, ground lamb, or 
                        ground goat; or
                            ``(ii) a list of all reasonably possible 
                        countries of origin of such ground beef, ground 
                        pork, ground lamb, or ground goat.
            ``(3) Designation of country of origin for fish.--
                    ``(A) In general.--A retailer of a covered 
                commodity that is farm-raised fish or wild fish may 
                designate the covered commodity as having a United 
                States country of origin only if the covered 
                commodity--
                            ``(i) in the case of farm-raised fish, is 
                        hatched, raised, harvested, and processed in 
                        the United States; and
                            ``(ii) in the case of wild fish, is--
                                    ``(I) harvested in the United 
                                States, a territory of the United 
                                States, or a State, or by a vessel that 
                                is documented under chapter 121 of 
                                title 46, United States Code, or 
                                registered in the United States; and
                                    ``(II) processed in the United 
                                States, a territory of the United 
                                States, or a State, including the 
                                waters thereof.
                    ``(B) Designation of wild fish and farm-raised 
                fish.--The notice of country of origin for wild fish 
                and farm-raised fish shall distinguish between wild 
                fish and farm-raised fish.
            ``(4) Designation of country of origin for perishable 
        agricultural commodities, peanuts, and macadamia nuts.--
                    ``(A) In general.--A retailer of a covered 
                commodity that is a perishable agricultural commodity, 
                peanut, or macadamia nut may designate the covered 
                commodity as having a United States country of origin 
                only if the covered commodity is exclusively produced 
                in the United States.
                    ``(B) State, region, locality of the united 
                states.--With respect to a covered commodity that is a 
                perishable agricultural commodity produced exclusively 
                in the United States, designation by a retailer of the 
                State, region, or locality of the United States where 
                such commodity was produced shall be sufficient to 
                identify the United States as the country of origin.''; 
                and
                    (B) by striking subsection (d) and inserting the 
                following:
    ``(d) Audit Verification System.--
            ``(1) In general.--The Secretary may conduct an audit of 
        any person that prepares, stores, handles, or distributes a 
        covered commodity for retail sale to verify compliance with 
        this subtitle (including the regulations promulgated under 
        section 284(b)).
            ``(2) Record requirements.--
                    ``(A) In general.--A person subject to an audit 
                under paragraph (1) shall provide the Secretary with 
                verification of the country of origin of covered 
                commodities. Records maintained in the course of the 
                normal conduct of the business of such person, 
                including animal health papers, import or customs 
                documents, or producer affidavits, may serve as such 
                verification.
                    ``(B) Prohibition on requirement of additional 
                records.--The Secretary may not require a person that 
                prepares, stores, handles, or distributes a covered 
                commodity to maintain a record of the country of origin 
                of a covered commodity other than those maintained in 
                the course of the normal conduct of the business of 
                such person.'';
            (3) in section 283--
                    (A) by striking subsections (a) and (c);
                    (B) by redesignating subsection (b) as subsection 
                (a);
                    (C) in subsection (a) (as so redesignated), by 
                striking ``retailer'' and inserting ``retailer or 
                person engaged in the business of supplying a covered 
                commodity to a retailer''; and
                    (D) by adding at the end the following new 
                subsection:
    ``(b) Fines.--If, on completion of the 30-day period described in 
subsection (a)(2), the Secretary determines that the retailer or person 
engaged in the business of supplying a covered commodity to a retailer 
has--
            ``(1) not made a good faith effort to comply with section 
        282, and
            ``(2) continues to willfully violate section 282 with 
        respect to the violation about which the retailer or person 
        received notification under subsection (a)(1),
after providing notice and an opportunity for a hearing before the 
Secretary with respect to the violation, the Secretary may fine the 
retailer or person in an amount of not more than $1,000 for each 
violation.''.

                Subtitle B--Agricultural Fair Practices

SEC. 10101. DEFINITIONS.

    Section 3 of the Agricultural Fair Practices Act of 1967 (7 U.S.C. 
2302) is amended--
            (1) by striking ``When used in this Act--'' and inserting 
        ``In this Act:'';
            (2) in subsection (a)--
                    (A) by redesignating paragraphs (1) through (4) as 
                subparagraphs (A) through (D), respectively; and
                    (B) in subparagraph (D) (as so redesignated), by 
                striking ``clause (1), (2), or (3) of this paragraph'' 
                and inserting ``subparagraphs (A), (B), or (C)'';
            (3) by striking subsection (d);
            (4) by redesignating subsections (a), (b), (c), and (e) as 
        paragraphs (3), (4), (2), (1), respectively, indenting 
        appropriately, and moving those paragraphs so as to appear in 
        numerical order;
            (5) in each paragraph (as so redesignated) that does not 
        have a heading, by inserting a heading, in the same style as 
        the heading in the amendment made by paragraph (6), the text of 
        which is comprised of the term defined in the paragraph;
            (6) in paragraph (2) (as so redesignated)--
                    (A) by striking ``The term `association of 
                producers' means'' and inserting the following:
            ``(2) Association of producers.--
                    ``(A) In general.--The term `association of 
                producers' means''; and
                    (B) by adding at the end the following:
                    ``(B) Inclusion.--The term `association of 
                producers' includes an organization of agricultural 
                producers dedicated to promoting the common interest 
                and general welfare of producers of agricultural 
                products.''; and
            (7) by adding at the end the following:
            ``(5) Secretary.--The term `Secretary' means the Secretary 
        of Agriculture.''.

SEC. 10102. PROHIBITED PRACTICES.

    Section 4 of the Agricultural Fair Practices of 1967 (7 U.S.C. 
2303) is amended--
            (1) by redesignating subsections (a), (b), (c), (d), (e), 
        and (f) as paragraphs (1), (2), (3), (4), (5), and (7), 
        respectively, and indenting appropriately;
            (2) in paragraph (1) (as so redesignated)--
                    (A) by striking ``join and belong'' each place it 
                appears and inserting ``form, join, and belong''; and
                    (B) by striking ``joining or belonging'' and 
                inserting ``forming, joining, or belonging''; and
            (3) by inserting after paragraph (5) (as so redesignated) 
        the following:
            ``(6) To fail to bargain in good faith with an association 
        of producers; or''.

SEC. 10103. ENFORCEMENT.

    The Agricultural Fair Practices Act of 1967 is amended--
            (1) by striking sections 5 and 6 (7 U.S.C. 2304, 2305); and
            (2) by inserting after section 4 the following:

``SEC. 5. ENFORCEMENT.

    ``(a) Civil Actions by the Secretary Against Handlers.--In any case 
in which the Secretary has reasonable cause to believe that a handler 
or group of handlers has engaged in any act or practice that violates 
this Act, the Secretary may bring a civil action in United States 
district court by filing a complaint requesting preventive relief, 
including an application for a permanent or temporary injunction, 
restraining order, or other order, against the handler.
    ``(b) Civil Actions Against Handlers.--
            ``(1) Preventive relief.--
                    ``(A) In general.--In any case in which any handler 
                has engaged, or there are reasonable grounds to believe 
                that any handler is about to engage, in any act or 
                practice prohibited by this Act, a civil action for 
                preventive relief, including an application for a 
                permanent or temporary injunction, restraining order, 
                or other order, may be instituted by the person 
                aggrieved in United States district court.
                    ``(B) Security.--The court may provide that no 
                restraining order or preliminary injunction shall issue 
                unless security is provided by the applicant, in such 
                sum as the court determines to be appropriate, for the 
                payment of such costs and damages as may be incurred or 
                suffered by any party that is found to have been 
                wrongfully enjoined or restrained.
            ``(2) Damages.--
                    ``(A) In general.--Any person injured in the 
                business or property of the person by reason of any 
                violation of, or combination or conspiracy to violate, 
                this Act may bring a civil action in United States 
                district court to recover--
                            ``(i) damages sustained by the person as a 
                        result of the violation; and
                            ``(ii) any additional penalty that the 
                        court may allow, but not more than $1,000 per 
                        violation.
                    ``(B) Limitation on actions.--A civil action under 
                subparagraph (A) shall be barred unless commenced 
                within 4 years after the cause of action accrues.
            ``(3) Attorneys' fees.--In any action commenced under 
        paragraph (1) or (2), any person that has violated this Act 
        shall be liable to any person injured as a result of the 
        violation for the full amount of the damages sustained as a 
        result of the violation, including costs of the litigation and 
        reasonable attorneys' fees.
    ``(c) Jurisdiction of District Courts.--The district courts of the 
United States shall--
            ``(1) have jurisdiction of proceedings instituted pursuant 
        to this section; and
            ``(2) exercise that jurisdiction without regard to whether 
        the aggrieved party shall have exhausted any administrative or 
        other remedies that may be provided by law.
    ``(d) Liability for Acts of Agents.--In the construction and 
enforcement of this Act, the act, omission, or failure of any officer, 
agent, or person acting for or employed by any other person within the 
scope of the employment or office of the officer, agent, or person, 
shall be considered to be the act, omission, or failure of the other 
person.
    ``(e) Relationship to State Law.--Nothing in this Act--
            ``(1) changes or modifies State law in effect on the date 
        of enactment of this subsection; or
            ``(2) deprives a State court of jurisdiction.''.

SEC. 10104. RULES AND REGULATIONS.

    The Agricultural Fair Practices Act of 1967 is amended by inserting 
after section 5 (as added by section 10103) the following:

``SEC. 6. RULES AND REGULATIONS.

    ``The Secretary may promulgate such rules and regulations as are 
necessary to carry out this Act, including rules or regulations 
necessary to clarify what constitutes fair and normal dealing for 
purposes of the selection of customers by handlers.''.

                   Subtitle C--Packers and Stockyards

SEC. 10201. SPECIAL COUNSEL FOR AGRICULTURAL COMPETITION.

    (a) In General.--The Packers and Stockyards Act, 1921 (7 U.S.C. 181 
et seq.) is amended--
            (1) by striking the title I heading and all that follows 
        through ``This Act'' and inserting the following:

                     ``TITLE I--GENERAL PROVISIONS

                       ``Subtitle A--Definitions

``SEC. 1. SHORT TITLE.

    ``This Act''; and
            (2) by inserting after section 2 (7 U.S.C. 183) the 
        following:

       ``Subtitle B--Special Counsel for Agricultural Competition

``SEC. 11. SPECIAL COUNSEL FOR AGRICULTURAL COMPETITION.

    ``(a) Establishment.--
            ``(1) In general.--There is established within the 
        Department of Agriculture an office to be known as the `Office 
        of Special Counsel for Agricultural Competition' (referred to 
        in this section as the `Office').
            ``(2) Duties.--The Office shall--
                    ``(A) have responsibility for all duties and 
                functions of the Packers and Stockyards programs of the 
                Department of Agriculture;
                    ``(B) investigate and prosecute violations of this 
                Act and the Agricultural Fair Practices Act of 1967 (7 
                U.S.C. 2301 et seq.);
                    ``(C) serve as a liaison between, and act in 
                consultation with, the Department of Agriculture, the 
                Department of Justice, and the Federal Trade Commission 
                with respect to competition and trade practices in the 
                food and agricultural sector; and
                    ``(D) maintain a staff of attorneys and other 
                professionals with the appropriate expertise.
    ``(b) Special Counsel for Agricultural Competition.--
            ``(1) In general.--The Office shall be headed by the 
        Special Counsel for Agricultural Competition (referred to in 
        this section as the `Special Counsel'), who shall be appointed 
        by the President, by and with the advice and consent of the 
        Senate.
            ``(2) Independence of special authority.--
                    ``(A) In general.--The Special Counsel shall report 
                to and be under the general supervision of the 
                Secretary.
                    ``(B) Direction, control, and support.--The Special 
                Counsel shall be free from the direction and control of 
                any person in the Department of Agriculture other than 
                the Secretary.
                    ``(C) Prohibition on delegation.--The Secretary may 
                not delegate any duty described in subsection (a)(2) to 
                any other officer or employee of the Department other 
                than the Special Counsel.
                    ``(D) Reporting requirement.--
                            ``(i) In general.--Twice each year, the 
                        Special Counsel shall submit to the Committee 
                        on Agriculture of the House of Representatives 
                        and the Committee on Agriculture, Nutrition, 
                        and Forestry of the Senate a report that shall 
                        include, for the relevant reporting period, a 
                        description of--
                                    ``(I) the number of complaints that 
                                the Special Counsel has received and 
                                closed;
                                    ``(II)(aa) the number of 
                                investigations and civil and 
                                administrative actions that the Special 
                                Counsel has initiated, carried out, and 
                                completed, including the number of 
                                notices given to regulated entities for 
                                violations of this Act or the 
                                Agricultural Fair Practices Act of 1967 
                                (7 U.S.C. 2301 et seq.);
                                    ``(bb) the number and types of 
                                decisions agreed to; and
                                    ``(cc) the number of stipulation 
                                agreements; and
                                    ``(III) the number of 
                                investigations and civil and 
                                administrative actions that the 
                                Secretary objected to or prohibited 
                                from being carried out, and the stated 
                                purpose of the Secretary for each 
                                objection or prohibition.
                            ``(ii) Requirement.--The basis for each 
                        complaint, investigation, or civil or 
                        administrative action described in a report 
                        under clause (i) shall--
                                    ``(I) be organized by species; and
                                    ``(II) indicate if the complaint, 
                                investigation, or civil or 
                                administration action was for anti-
                                competitive, unfair, or deceptive 
                                practices under this Act or was a 
                                violation of the Agricultural Fair 
                                Practices Act of 1967 (7 U.S.C. 2301 et 
                                seq.).
                    ``(E) Removal.--
                            ``(i) In general.--The Special Counsel may 
                        be removed from office by the President.
                            ``(ii) Communication.--The President shall 
                        communicate the reasons for any such removal to 
                        both Houses of Congress.
            ``(3) Prosecutorial authority.--Subject to paragraph (4), 
        the Special Counsel may commence, defend, or intervene in, and 
        supervise the litigation of, any civil or administrative action 
        authorized under this Act or the Agricultural Fair Practices 
        Act of 1967 (7 U.S.C. 2301 et seq.).
            ``(4) Procedure for exercise of authority to litigate or 
        appeal.--
                    ``(A) In general.--Prior to commencing, defending, 
                or intervening in any civil action under this Act or 
                the Agricultural Fair Practices Act of 1967 (7 U.S.C. 
                2301 et seq.), the Special Counsel shall give written 
                notification to, and attempt to consult with, the 
                Attorney General with respect to the proposed action.
                    ``(B) Failure to respond.--If, not later than 45 
                days after the date of provision of notification under 
                subparagraph (A), the Attorney General has failed to 
                commence, defend, or intervene in the proposed action, 
                the Special Counsel may commence, defend, or intervene 
                in, and supervise the litigation of, the action and any 
                appeal of the action in the name of the Special 
                Counsel.
                    ``(C) Authority of attorney general to intervene.--
                Nothing in this paragraph precludes the Attorney 
                General from intervening on behalf of the United States 
                in any civil action under this Act or the Agricultural 
                Fair Practices Act of 1967 (7 U.S.C. 2301 et seq.), or 
                in any appeal of such action, as may be otherwise 
                provided by law.
    ``(c) Relationship to Other Provisions.--Nothing in this section 
modifies or otherwise effects subsections (a) and (b) of section 
406.''.
    (b) Conforming Amendment.--Section 5315 of title 5, United States 
Code, is amended by adding at the end the following:
            ``Special Counsel for Agricultural Competition.''.

SEC. 10202. INVESTIGATION OF LIVE POULTRY DEALERS.

    (a) Removal of Poultry Slaughter Requirement From Definitions.--
Section 2(a) of the Packers and Stockyards Act, 1921 (7 U.S.C. 182(a)), 
is amended--
            (1) by striking paragraph (8) and inserting the following:
            ``(8) Poultry grower.--
                    ``(A) In general.--The term `poultry grower' means 
                any person engaged in the business of raising or caring 
                for live poultry under a poultry growing arrangement, 
                regardless of whether the poultry is owned by the 
                person or by another person.
                    ``(B) Exclusion.--The term `poultry grower' does 
                not include an employee of the owner of live poultry 
                described in subparagraph (A).'';
            (2) in paragraph (9), by striking ``and cares for live 
        poultry for delivery, in accord with another's instructions, 
        for slaughter'' and inserting ``or cares for live poultry in 
        accordance with the instructions of another person''; and
            (3) in paragraph (10), by striking ``for the purpose of 
        either slaughtering it or selling it for slaughter by 
        another''.
    (b) Administrative Enforcement Authority Over Live Poultry 
Dealers.--Sections 203, 204, and 205 of the Packers and Stockyards Act, 
1921 (7 U.S.C. 193, 194, 195), are amended by inserting ``or live 
poultry dealer'' after ``packer'' each place it appears.
    (c) Authority To Request Temporary Injunction or Restraining 
Order.--Section 408 of the Packers and Stockyards Act, 1921 (7 U.S.C. 
228a), is amended in the first sentence by striking ``on account of 
poultry'' and inserting ``on account of poultry or poultry care''.
    (d) Violations by Live Poultry Dealers.--
            (1) Penalty.--Section 203(b) of the Packers and Stockyards 
        Act, 1921 (7 U.S.C. 193(b)) is amended in the third sentence by 
        striking ``$10,000'' and inserting ``$22,000''.
            (2) Repeals.--Sections 411, 412, and 413 of the Packers and 
        Stockyards Act, 1921 (7 U.S.C. 228b-2, 228b-3, 228b-4)), are 
        repealed.

SEC. 10203. PRODUCTION CONTRACTS.

    (a) Definitions.--Section 2(a) of the Packers and Stockyards Act, 
1921 (7 U.S.C. 182(a)) is amended--
            (1) by striking ``When used in this Act--'' and inserting 
        ``In this Act:'';
            (2) by striking paragraph (1);
            (3) by redesignating paragraphs (2), (3), (4), (5), (6), 
        (7), (8), (9), (10), (11), (12), (13), and (14) as paragraphs 
        (15), (6), (8), (9), (10), (13), (11), (12), (7), (2), (16), 
        (17), and (18), respectively, indenting appropriately, and 
        moving those paragraphs so as to appear in numerical order;
            (4) in each paragraph (as so redesignated) that does not 
        have a heading, by inserting a heading, in the same style as 
        the heading in the amendment made by paragraph (5), the text of 
        which is comprised of the term defined in the paragraph;
            (5) by inserting before paragraph (2) (as so designated) 
        the following:
            ``(1) Capital investment.--The term `capital investment' 
        means an investment in--
                    ``(A) a structure, such as a building or manure 
                storage structure; or
                    ``(B) machinery or equipment associated with 
                producing livestock or poultry that has a useful life 
                of more than 1 year.'';
            (6) by inserting after paragraph (2) (as so redesignated) 
        the following:
            ``(3) Contractor.--
                    ``(A) In general.--The term `contractor' means a 
                person that, in accordance with a production contract, 
                obtains livestock or poultry that is produced by a 
                contract producer.
                    ``(B) Inclusions.--The term `contractor' includes--
                            ``(i) a live poultry dealer; and
                            ``(ii) a swine contractor.
            ``(4) Contract producer.--
                    ``(A) In general.--The term `contract producer' 
                means a producer that produces livestock or poultry 
                under a production contract.
                    ``(B) Inclusions.--The term `contract producer' 
                includes--
                            ``(i) a poultry grower; and
                            ``(ii) a swine production contract grower.
            ``(5) Investment requirement.--The term `investment 
        requirement' means--
                    ``(A) a provision in a production contract that 
                requires a contract producer to make a capital 
                investment associated with producing livestock or 
                poultry that, but for the production contract, the 
                contract producer would not have made; or
                    ``(B) a representation by a contractor that results 
                in a contract producer making a capital investment.''; 
                and
            (7) by inserting after paragraph (13) (as so redesignated) 
        the following:
            ``(14) Production contract.--
                    ``(A) In general.--The term `production contract' 
                means a written agreement that provides for--
                            ``(i) the production of livestock or 
                        poultry by a contract producer; or
                            ``(ii) the provision of a management 
                        service relating to the production of livestock 
                        or poultry by a contract producer.
                    ``(B) Inclusions.--The term `production contract' 
                includes--
                            ``(i) a poultry growing arrangement;
                            ``(ii) a swine production contract;
                            ``(iii) any other contract between a 
                        contractor and a contract producer for the 
                        production of livestock or poultry; and
                            ``(iv) a contract between a live poultry 
                        dealer and poultry grower, swine contractor and 
                        swine production contract grower, or contractor 
                        and contract producer for the provision of a 
                        management service in the production of 
                        livestock or poultry.''.
    (b) Prohibitions Involving Production Contracts.--Title II of the 
Packers and Stockyards Act, 1921 (7 U.S.C. 198 et seq.), is amended by 
adding at the end the following:

``SEC. 208. PRODUCTION CONTRACTS.

    ``(a) Right of Contract Producers To Cancel Production Contracts.--
            ``(1) In general.--A contract producer may cancel a 
        production contract by mailing a cancellation notice to the 
        contractor not later than the later of--
                    ``(A) the date that is 3 business days after the 
                date on which the production contract is executed; or
                    ``(B) any cancellation date specified in the 
                production contract.
            ``(2) Disclosure.--A production contract shall clearly 
        disclose--
                    ``(A) the right of the contract producer to cancel 
                the production contract;
                    ``(B) the method by which the contract producer may 
                cancel the production contract; and
                    ``(C) the deadline for canceling the production 
                contract.
    ``(b) Production Contracts Involving Investment Requirements.--
            ``(1) Applicability.--This subsection applies only to a 
        production contract between a contract producer and a 
        contractor if the contract producer detrimentally relied on a 
        representation by the contractor or a provision in the 
        production contract that resulted in the contract producer 
        making a capital investment of $100,000 or more.
            ``(2) Restrictions on contract termination.--
                    ``(A) Notice of termination.--Except as provided in 
                subparagraph (C), a contractor shall not terminate or 
                cancel a production contract unless the contractor 
                provides the contract producer with written notice of 
                the intention of the contractor to terminate or cancel 
                the production contract at least 90 days before the 
                effective date of the termination or cancellation.
                    ``(B) Requirements.--The written notice required 
                under subparagraph (A) shall include alleged causes of 
                the termination.
                    ``(C) Exceptions.--A contractor may terminate or 
                cancel a production contract at any time without notice 
                as required under subparagraph (A) if the basis for the 
                termination or cancellation is--
                            ``(i) a voluntary abandonment of the 
                        contractual relationship by the contract 
                        producer, such as a failure of the contract 
                        producer to substantially perform under the 
                        production contract;
                            ``(ii) the conviction of the contract 
                        producer of an offense of fraud or theft 
                        committed against the contractor;
                            ``(iii) the natural end of the production 
                        contract in accordance with the terms of the 
                        production contract; or
                            ``(iv) because the well-being of the 
                        livestock or poultry subject to the contract is 
                        in jeopardy once under the care of the contract 
                        producer.
                    ``(D) Right to cure.--
                            ``(i) In general.--If, not later than 90 
                        days after the date on which the contract 
                        producer receives written notice under 
                        subparagraph (A), the contract producer 
                        remedies each cause of the breach of contract 
                        alleged in the written notice, the contractor 
                        may not terminate or cancel a production 
                        contract under this paragraph.
                            ``(ii) No admission of breach.--The remedy 
                        or attempt to remedy the causes for the breach 
                        of contract by the contract producer under 
                        clause (i) does not constitute an admission of 
                        breach of contract.
    ``(c) Additional Capital Investments in Production Contracts.--
            ``(1) In general.--A contractor shall not require a 
        contract producer to make additional capital investments in 
        connection with a production contract that exceed the initial 
        investment requirements of the production contract.
            ``(2) Exceptions.--Notwithstanding paragraph (1), a 
        contractor may require additional capital investments if--
                    ``(A)(i) the additional capital investments are 
                offset by reasonable additional consideration, 
                including compensation or a modification to the terms 
                of the production contract; and
                    ``(ii) the contract producer agrees in writing that 
                there is acceptable and satisfactory consideration for 
                the additional capital investment; or
                    ``(B) without the additional capital investments 
                the well-being of the livestock or poultry subject to 
                the contract would be in jeopardy.
    ``(d) No Effect on State Law.--Nothing in this section preempts or 
otherwise affects any State law relating to production contracts that 
establishes a requirement or standard that is more stringent than a 
requirement or standard under this section.

``SEC. 209. CHOICE OF LAW, JURISDICTION, AND VENUE.

    ``(a) Choice of Law.--Any provision in a livestock or poultry 
production or marketing contract requiring the application of the law 
of a State other than the State in which the production occurs is void 
and unenforceable.
    ``(b) Jurisdiction.--A packer, live poultry dealer, or swine 
contractor that enters into a production or marketing contract with a 
producer shall be subject to personal jurisdiction in the State in 
which the production occurs.
    ``(c) Venue.--Venue shall be determined on the basis of the 
location of the production, unless the producer selects a venue that is 
otherwise permitted by law.
    ``(d) Application.--This section shall apply to any production or 
marketing contract entered into, amended, altered, modified, renewed, 
or extended after the date of enactment of this section.

``SEC. 210. ARBITRATION.

    ``(a) In General.--If a livestock or poultry contract provides for 
the use of arbitration to resolve a controversy under the livestock or 
poultry contract, arbitration may be used to settle the controversy 
only if, after the controversy arises, both parties consent in writing 
to use arbitration to settle the controversy.
    ``(b) Application.--Subsection (a) shall apply to any contract 
entered into, amended, altered, modified, renewed, or extended after 
the date of enactment of this section.''.

SEC. 10204. RIGHT TO DISCUSS TERMS OF CONTRACT.

    Section 10503(b) of the Farm Security and Rural Investment Act of 
2002 (7 U.S.C. 229b(b)) is amended--
            (1) in paragraph (6), by striking ``or'' at the end;
            (2) in paragraph (7), by striking the period at the end and 
        inserting a semicolon; and
            (3) by adding at the end the following:
            ``(8) a business associate of the party; or
            ``(9) a neighbor of the party or other producer.''.

SEC. 10205. ATTORNEYS' FEES.

    Section 308(a) of the Packers and Stockyards Act, 1921 (7 U.S.C. 
209(a)) is amended by inserting before the period at the end the 
following: ``and for the costs of the litigation, including reasonable 
attorneys' fees''.

SEC. 10206. APPOINTMENT OF OUTSIDE COUNSEL.

    Section 407 of the Packers and Stockyards Act, 1921 (7 U.S.C. 228), 
is amended--
            (1) in subsection (a), by inserting ``obtain the services 
        of attorneys who are not employees of the Federal Government,'' 
        before ``and make such expenditures''; and
            (2) in subsection (c), by striking ``Senate Committee on 
        Agriculture and Forestry'' and inserting ``the Committee on 
        Agriculture, Nutrition, and Forestry of the Senate''.

SEC. 10207. PROHIBITION ON PACKERS OWNING, FEEDING, OR CONTROLLING 
              LIVESTOCK.

    (a) In General.--Section 202 of the Packers and Stockyards Act, 
1921 (7 U.S.C. 192), is amended--
            (1) by redesignating subsections (f) and (g) as subsections 
        (g) and (h), respectively; and
            (2) by inserting after subsection (e) the following:
    ``(f) Own or feed livestock directly, through a subsidiary, or 
through an arrangement that gives the packer operational, managerial, 
or supervisory control over the livestock, or over the farming 
operation that produces the livestock, to such an extent that the 
producer is no longer materially participating in the management of the 
operation with respect to the production of the livestock, except that 
this subsection shall not apply to--
            ``(1) an arrangement entered into within 14 days (excluding 
        any Saturday or Sunday) before slaughter of the livestock by a 
        packer, a person acting through the packer, or a person that 
        directly or indirectly controls, or is controlled by or under 
        common control with, the packer;
            ``(2) a cooperative or entity owned by a cooperative, if a 
        majority of the ownership interest in the cooperative is held 
        by active cooperative members that--
                    ``(A) own, feed, or control livestock; and
                    ``(B) provide the livestock to the cooperative for 
                slaughter;
            ``(3) a packer that is not required to report to the 
        Secretary on each reporting day (as defined in section 212 of 
        the Agricultural Marketing Act of 1946 (7 U.S.C. 1635a)) 
        information on the price and quantity of livestock purchased by 
        the packer; or
            ``(4) a packer that owns 1 livestock processing plant; 
        or''.
    (b) Effective Date.--
            (1) In general.--Subject to paragraph (2), the amendments 
        made by subsection (a) take effect on the date of enactment of 
        this Act.
            (2) Transition rules.--In the case of a packer that on the 
        date of enactment of this Act owns, feeds, or controls 
        livestock intended for slaughter in violation of section 202(f) 
        of the Packers and Stockyards Act, 1921 (as amended by 
        subsection (a)), the amendments made by subsection (a) apply to 
        the packer--
                    (A) in the case of a packer of swine, beginning on 
                the date that is 18 months after the date of enactment 
                of this Act; and
                    (B) in the case of a packer of any other type of 
                livestock, beginning as soon as practicable, but not 
                later than 180 days, after the date of enactment of 
                this Act, as determined by the Secretary.

SEC. 10208. REGULATIONS.

    (a) In General.--Not later than 180 days after the date of 
enactment of this Act, the Secretary of Agriculture shall promulgate 
regulations to implement the amendments made by this title, including--
            (1) regulations providing a definition of the term 
        ``unreasonable preference or advantage'' for purposes of 
        section 202(b) of the Packers and Stockyards Act, 1921 (7 
        U.S.C. 192(b)); and
            (2) regulations requiring live poultry dealers to provide 
        written notice to poultry growers if the live poultry dealer 
        imposes an extended layout period in excess of 30 days, prior 
        to removal of the previous flock.
    (b) Requirements.--Regulations promulgated pursuant to subsection 
(a)(1) relating to unreasonable preference or advantage shall strictly 
prohibit any preferences or advantages based on the volume of business, 
except for preferences or advantages that reflect actual, verifiable 
lower costs (including transportation or other costs), as determined by 
the Secretary, of procuring livestock from larger-volume producers.

                      Subtitle D--Related Programs

SEC. 10301. SENSE OF CONGRESS REGARDING PSEUDORABIES ERADICATION 
              PROGRAM.

    It is the sense of Congress that--
            (1) the Secretary should recognize the threat that feral 
        swine pose to the domestic swine population and the entire 
        livestock industry;
            (2) keeping the United States commercial swine herd free of 
        pseudorabies is essential to maintaining and growing pork 
        export markets;
            (3) pseudorabies surveillance funding is necessary to 
        assist the swine industry in the monitoring, surveillance, and 
        eradication of pseudorabies, including the monitoring and 
        surveillance of other diseases effecting swine production and 
        trade; and
            (4) pseudorabies eradication is a high priority that the 
        Secretary should carry out under the Animal Health Protection 
        Act (7 U.S.C. 8301 et seq.).

SEC. 10302. SENSE OF CONGRESS REGARDING CATTLE FEVER TICK ERADICATION 
              PROGRAM.

    It is the sense of Congress that--
            (1) the cattle fever tick and the southern cattle tick are 
        vectors of the causal agent of babesiosis, a severe and often 
        fatal disease of cattle; and
            (2) implementing a national strategic plan for the cattle 
        fever tick eradication program is a high priority that the 
        Secretary should carry out--
                    (A) to prevent the entry of cattle fever ticks into 
                the United States;
                    (B) to enhance and maintain an effective 
                surveillance program to rapidly detect any fever tick 
                incursions; and
                    (C) to research, identify, and procure the tools 
                and knowledge necessary to prevent and eradicate cattle 
                ticks in the United States.

SEC. 10303. NATIONAL SHEEP AND GOAT INDUSTRY IMPROVEMENT CENTER.

    (a) Name Change.--Section 375 of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 2008j) is amended--
            (1) in the section heading, by inserting ``and goat'' after 
        ``national sheep''; and
            (2) by inserting ``and Goat'' after ``National Sheep'' each 
        place it appears.
    (b) Funding.--Section 375(e)(6) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 2008j(e)(6)) is amended by striking 
subparagraphs (B) and (C) and inserting the following:
                    ``(B) Mandatory funding.--Of the funds of the 
                Commodity Credit Corporation, the Secretary shall use 
                to carry out this section $1,000,000 for fiscal year 
                2008, to remain available until expended.
                    ``(C) Authorization of appropriations.--There is 
                authorized to be appropriated to the Secretary to carry 
                out this section $10,000,000 for each of fiscal years 
                2008 through 2012.''.
    (c) Repeal of Requirement to Privatize Revolving Fund.--
            (1) In general.--Section 375 of the Consolidated Farm and 
        Rural Development Act (7 U.S.C. 2008j) is amended by striking 
        subsection (j).
            (2) Effective date.--The amendment made by paragraph (1) 
        takes effect on May 1, 2007.

SEC. 10304. TRICHINAE CERTIFICATION PROGRAM.

    Section 10409 of the Animal Health Protection Act (7 U.S.C. 8308) 
is amended by adding at the end the following:
    ``(c) Trichinae Certification Program.--
            ``(1) Establishment.--Not later than 60 days after the date 
        of enactment of this subsection, the Secretary shall issue 
        final regulations to implement a trichinae certification 
        program.
            ``(2) Authorization of appropriations.--There is authorized 
        to be appropriated to the Secretary to carry out the program 
        $1,250,000 for each of fiscal years 2008 through 2012.''.

SEC. 10305. PROTECTION OF INFORMATION IN THE ANIMAL IDENTIFICATION 
              SYSTEM.

    The Animal Health Protection Act (7 U.S.C. 8301 et seq.) is 
amended--
            (1) by redesignating sections 10416 through 10418 as 
        sections 10417 through 10419, respectively; and
            (2) by inserting after section 10415 the following:

``SEC. 10416. DISCLOSURE OF INFORMATION UNDER A NATIONAL ANIMAL 
              IDENTIFICATION SYSTEM.

    ``(a) Definition of National Animal Identification System.--In this 
section, the term `national animal identification system' means a 
system for identifying or tracing animals that is established by the 
Secretary.
    ``(b) Protection From Disclosure.--
            ``(1) In general.--Information obtained through a national 
        animal identification system shall not be disclosed except as 
        provided in this section.
            ``(2) Use.--Use of information described in paragraph (1) 
        by any individual or entity except as otherwise provided in 
        this section shall be considered a violation of this Act.
            ``(3) Waiver of privilege of protection.--The provision of 
        information to a national animal identification system under 
        this section or the disclosure of information pursuant to this 
        section shall not constitute a waiver of any applicable 
        privilege or protection under Federal law, including protection 
        of trade secrets.
    ``(c) Limited Release of Information.--The Secretary may disclose 
information obtained through a national animal identification system 
if--
            ``(1) the Secretary determines that livestock may be 
        threatened by a disease or pest;
            ``(2) the release of the information is related to an 
        action the Secretary may take under this subtitle; and
            ``(3) the Secretary determines that the disclosure of the 
        information to a government entity or person is necessary to 
        assist the Secretary in carrying out this subtitle or a 
        national animal identification system.
    ``(d) Required Disclosure of Information.--The Secretary shall 
disclose information obtained through a national animal identification 
system regarding particular animals to--
            ``(1) the person that owns or controls the animals, if the 
        person requests the information in writing;
            ``(2) the State Department of Agriculture for the purpose 
        of protection of animal health;
            ``(3) the Attorney General for the purpose of law 
        enforcement;
            ``(4) the Secretary of Homeland Security for the purpose of 
        homeland security;
            ``(5) the Secretary of Health and Human Services for the 
        purpose of protecting public health;
            ``(6) an entity pursuant to an order of a court of 
        competent jurisdiction; and
            ``(7) the government of a foreign country if disclosure of 
        the information is necessary to trace animals that pose a 
        disease or pest threat to livestock or a danger to human 
        health, as determined by the Secretary.
    ``(e) Disclosure Under State or Local Law.--Any information 
relating to animal identification that a State or local government 
obtains from the Secretary shall not be made available by the State or 
local government pursuant to any State or local law requiring 
disclosure of information or records to the public.
    ``(f) Reporting Requirement.--To disclose information under this 
section, the Secretary shall--
            ``(1) certify that the disclosure was necessary under this 
        section; and
            ``(2) submit to the Committee on Agriculture of the House 
        of Representatives and the Committee on Agriculture, Nutrition, 
        and Forestry of the Senate a copy of the certification.''.

SEC. 10306. LOW PATHOGENIC AVIAN INFLUENZA.

    Sec. 10407(d)(2) of the Animal Health Protection Act (7 U.S.C. 
8306(d)(2)) is amended--
            (1) in subparagraph (A), by striking ``subparagraphs (B) 
        and (C),'' and inserting ``subparagraphs (B), (C), and (D),'';
            (2) by redesignating subparagraph (C) as subparagraph (D); 
        and
            (3) by inserting after subparagraph (B) the following:
                    ``(C) Low pathogenic avian influenza.--
                            ``(i) Definition of eligible costs.--In 
                        this subparagraph, the term `eligible costs' 
                        means costs determined eligible for indemnity 
                        under part 56 of title 9, Code of Federal 
                        Regulations, as in effect on the date of 
                        enactment of this clause.
                            ``(ii) Indemnities.--Subject to 
                        subparagraphs (B) and (D), compensation to any 
                        owner or contract grower of poultry 
                        participating in the voluntary control program 
                        for low pathogenic avian influenza under the 
                        National Poultry Improvement Plan, and payments 
                        to cooperating State agencies, shall be made in 
                        an amount equal to 100 percent of the eligible 
                        costs.''.

SEC. 10307. STUDY ON BIOENERGY OPERATIONS.

    Not later than 180 days after the date of enactment of this Act, 
the Secretary, acting through the Office of the Chief Economist, shall 
submit to the Committee on Agriculture of the House of Representatives 
and the Committee on Agriculture, Nutrition, and Forestry of the Senate 
a report describing the potential economic issues (including potential 
costs) associated with animal manure used in normal agricultural 
operations and as a feedstock in bioenergy production.

SEC. 10308. SENSE OF THE SENATE ON INDEMNIFICATION OF LIVESTOCK 
              PRODUCERS.

    It is the sense of the Senate that the Secretary should partner 
with the private insurance industry to implement an approach for 
expediting the indemnification of livestock producers in the case of 
catastrophic disease outbreaks.

                        TITLE XI--MISCELLANEOUS

                   Subtitle A--Agricultural Security

SEC. 11011. DEFINITIONS.

    In this subtitle:
            (1) Agent.--The term ``agent'' means a nuclear, biological, 
        or chemical substance that causes an agricultural disease.
            (2) Agricultural biosecurity.--The term ``agricultural 
        biosecurity'' means protection from an agent that poses a 
        threat to--
                    (A) plant or animal health;
                    (B) public health, with respect to direct exposure 
                to an agricultural disease; or
                    (C) the environment, with respect to agriculture 
                facilities, farmland, air, and water in the immediate 
                vicinity of an area associated with an agricultural 
                disease or outbreak.
            (3) Agricultural countermeasure.--
                    (A) In general.--The term ``agricultural 
                countermeasure'' means a product, practice, or 
                technology that is intended to enhance or maintain the 
                agricultural biosecurity of the United States.
                    (B) Exclusions.--The term ``agricultural 
                countermeasure'' does not include any product, 
                practice, or technology used solely for human medical 
                incidents or public health emergencies not related to 
                agriculture.
            (4) Agricultural disease.--The term ``agricultural 
        disease'' has the meaning given the term by the Secretary.
            (5) Agricultural disease emergency.--The term 
        ``agricultural disease emergency'' means an incident of 
        agricultural disease in which the Secretary, the Secretary of 
        Homeland Security, the Secretary of Health and Human Services, 
        the Administrator of the Environmental Protection Agency (or 
        the heads of other applicable Federal departments or agencies), 
        as appropriate, determines that prompt action is needed to 
        prevent significant damage to people, plants, or animals.
            (6) Agriculture.--The term ``agriculture'' means--
                    (A) the science and practice of activities relating 
                to food, feed, fiber, and energy production, 
                processing, marketing, distribution, use, and trade;
                    (B) nutrition, food science and engineering, and 
                agricultural economics;
                    (C) forestry, wildlife science, fishery science, 
                aquaculture, floriculture, veterinary medicine, and 
                other related natural resource sciences; and
                    (D) research and development activities relating to 
                plant- and animal-based products.
            (7) Agroterrorist act.--The term ``agroterrorist act'' 
        means an act that--
                    (A) causes or attempts to cause--
                            (i) damage to agriculture; or
                            (ii) injury to a person associated with 
                        agriculture; and
                    (B) is committed--
                            (i) to intimidate or coerce; or
                            (ii) to disrupt the agricultural industry.
            (8) Animal.--The term ``animal'' means any member of the 
        animal kingdom (except a human).
            (9) Department.--The term ``Department'' means the 
        Department of Agriculture.
            (10) Development.--The term ``development'' means--
                    (A) research leading to the identification of 
                products or technologies intended for use as 
                agricultural countermeasures;
                    (B) the formulation, production, and subsequent 
                modification of those products or technologies;
                    (C) the conduct of preclinical and clinical 
                studies;
                    (D) the conduct of field, efficacy, and safety 
                studies;
                    (E) the preparation of an application for marketing 
                approval for submission to applicable agencies; and
                    (F) other actions taken by an applicable agency in 
                a case in which an agricultural countermeasure is 
                procured or used prior to issuance of a license or 
                other form of approval.
            (11) Director.--The term ``Director'' means the Director 
        for Homeland Security of the Department appointed under section 
        11022(d)(2).
            (12) HSPD-5.--The term ``HSPD-5'' means the Homeland 
        Security Presidential Directive 5, dated February 28, 2003 
        (relating to a comprehensive national incident management 
        system).
            (13) HSPD-7.--The term ``HSPD-7'' means the Homeland 
        Security Presidential Directive 7, dated December 17, 2003 
        (relating to a national policy for Federal departments and 
        agencies to identify and prioritize critical infrastructure and 
        key resources and to protect the infrastructure and resources 
        from terrorist attacks).
            (14) HSPD-8.--The term ``HSPD-8'' means the Homeland 
        Security Presidential Directive 8, dated December 17, 2003 
        (relating to the establishment of a national policy to 
        strengthen the preparedness of the United States to prevent and 
        respond to domestic terrorist attacks, major disasters, and 
        other emergencies).
            (15) HSPD-9.--The term ``HSPD-9'' means the Homeland 
        Security Presidential Directive 9, dated January 30, 2004 
        (relating to the establishment of a national policy to defend 
        the agriculture and food system against terrorist attacks, 
        major disasters, and other emergencies).
            (16) HSPD-10.--The term ``HSPD-10'' means the Homeland 
        Security Presidential Directive 10, dated April 28, 2004 
        (relating to the establishment of a national policy relating to 
        the biodefense of the United States).
            (17) Office.--The term ``Office'' means the Office of 
        Homeland Security of the Department established by section 
        11022(d)(1).
            (18) Other applicable federal departments or agencies.--The 
        term ``other applicable Federal departments or agencies'' means 
        Federal departments or agencies that have a role, as determined 
        by the Secretary of Homeland Security, in determining the need 
        for prompt action against an agricultural disease emergency, 
        including--
                    (A) the Executive departments identified in section 
                101 of title 5, United States Code;
                    (B) government corporations (as defined in section 
                103 of title 5, United States Code); and
                    (C) independent establishments (as defined in 
                section 104(1) of title 5, United States Code).
            (19) Plant.--
                    (A) In general.--The term ``plant'' means any plant 
                (including any plant part) for or capable of 
                propagation.
                    (B) Inclusions.--The term ``plant'' includes--
                            (i) a tree;
                            (ii) a tissue culture;
                            (iii) a plantlet culture;
                            (iv) pollen;
                            (v) a shrub;
                            (vi) a vine;
                            (vii) a cutting;
                            (viii) a graft;
                            (ix) a scion;
                            (x) a bud;
                            (xi) a bulb;
                            (xii) a root; and
                            (xiii) a seed.
            (20) Qualified agricultural countermeasure.--The term 
        ``qualified agricultural countermeasure'' means an agricultural 
        countermeasure that the Secretary, in consultation with the 
        Secretary of Homeland Security, determines to be a priority in 
        order to address an agricultural biosecurity threat from--
                    (A) an agent placed on the Select Agents and Toxins 
                list of the Department;
                    (B) an agent placed on the Plant Protection and 
                Quarantine Select Agents and Toxins list of the 
                Department; or
                    (C) an applicable agent placed on the Overlap 
                Select Agents and Toxins list of the Department and the 
                Department of Health and Human Services, in accordance 
                with--
                            (i) part 331 of title 7, Code of Federal 
                        Regulations; and
                            (ii) part 121 of title 9, Code of Federal 
                        Regulations.
            (21) Routine agricultural disease event.--The term 
        ``routine agricultural disease event'' has the meaning given 
        the term by the Secretary.

         PART I--GENERAL AUTHORITY AND INTERAGENCY COORDINATION

SEC. 11021. POLICY.

    (a) Effect of Part.--Nothing in this part alters or otherwise 
impedes--
            (1) any authority of the Department or other applicable 
        Federal departments and agencies to perform the 
        responsibilities provided to the Department or other applicable 
        Federal departments and agencies pursuant to Federal law; or
            (2) the ability of the Secretary to carry out this part.
    (b) Cooperation.--The Secretary shall cooperate with the Secretary 
of Homeland Security with respect to the responsibilities of the 
Secretary of Homeland Security and applicable presidential guidance, 
including HSPD-5, HSPD-7, HSPD-8, HSPD-9, and HSPD-10.

SEC. 11022. INTERAGENCY COORDINATION.

    (a) Leadership.--The Secretary of Homeland Security shall serve as 
the principal Federal official to lead, coordinate, and integrate, to 
the maximum extent practicable, efforts by Federal departments and 
agencies, State, local, and tribal governments, and the private sector 
to enhance the protection of critical infrastructure and key resources 
of the agriculture and food system.
    (b) Sector-Specific Agency.--
            (1) In general.--In accordance with guidance provided by 
        the Secretary of Homeland Security under subsection (a)--
                    (A) the Secretary shall serve as the sector-
                specific lead official on efforts described in 
                subsection (a) relating to agriculture, agricultural 
                disease, meat, poultry, and egg food products, and for 
                efforts relating to authorities pursuant to the Animal 
                Health Protection Act (7 U.S.C. 8301 et seq.) and the 
                Plant Protection Act (7 U.S.C. 7701 et seq.); and
                    (B) the Secretary shall work in coordination with 
                the Secretary of Health and Human Services during any 
                incident relating to a zoonotic disease in which the 
                applicable agent originated--
                            (i) as an agricultural disease; or
                            (ii) from a plant or animal population 
                        directly related to agriculture.
            (2) Effect of subsection.--Nothing in this subsection 
        impedes any authority of the Secretary of Homeland Security as 
        the principal Federal official for domestic incident management 
        pursuant to HSPD-5.
    (c) Coordination of Response.--
            (1) Routine agricultural disease events.--To the maximum 
        extent practicable, the Secretary shall work in consultation 
        with the Secretary of Homeland Security in response to any 
        routine domestic incident relating to a potential or actual 
        agricultural disease.
            (2) Agricultural biosecurity threats.--If a routine 
        domestic incident of agricultural disease is determined by the 
        Secretary or the Secretary of Homeland Security to pose a 
        significant threat to the agricultural biosecurity of the 
        United States, the Secretary of Homeland Security shall serve 
        as the principal Federal official to lead and coordinate the 
        appropriate Federal response to the incident.
    (d) Office of Homeland Security.--
            (1) Establishment.--There is established in the Department 
        the Office of Homeland Security.
            (2) Director.--The Secretary shall appoint as the head of 
        the Office a Director for Homeland Security.
            (3) Responsibilities.--The Director shall be responsible 
        for--
                    (A) coordinating all homeland security activities 
                of the Department, including integration and 
                coordination, in consultation with the Office of 
                Emergency Management and Homeland Security of the 
                Animal and Plant Health Inspection Service and the 
                Office of Food Defense and Emergency Response of the 
                Food Safety and Inspection Service, of interagency 
                emergency response plans for--
                            (i) agricultural disease emergencies;
                            (ii) agroterrorist acts; or
                            (iii) other threats to agricultural 
                        biosecurity;
                    (B) acting as the primary liaison on behalf of the 
                Department with other Federal agencies on coordination 
                efforts and interagency activities pertaining to 
                agricultural biosecurity;
                    (C) advising the Secretary on policies, 
                regulations, processes, budget, and actions pertaining 
                to homeland security; and
                    (D) providing to State and local government 
                officials timely updates and actionable information 
                about threats, incidents, potential protective 
                measures, and best practices relevant to homeland 
                security issues in agriculture.
            (4) Agricultural biosecurity communication center.--
                    (A) Establishment.--The Secretary shall establish 
                in the Department a central communication center--
                            (i) to collect and disseminate information 
                        regarding, and prepare for, agricultural 
                        disease emergencies, agroterrorist acts, and 
                        other threats to agricultural biosecurity; and
                            (ii) to coordinate the activities described 
                        in clause (i) among agencies and offices within 
                        the Department.
                    (B) Response.--Any response by the Secretary to an 
                agricultural threat to agricultural biosecurity shall 
                be carried out under the direction of the Secretary of 
                Homeland Security, in accordance with subsection (c).
                    (C) Authority of the secretary.--In establishing 
                the central communication center under subparagraph 
                (A), the Secretary may use the existing resources and 
                infrastructure of the Emergency Operations Center of 
                the Animal and Plant Health Inspection Service located 
                in Riverdale, Maryland.
                    (D) Relation to existing department of homeland 
                security communication systems.--
                            (i) Consistency and coordination.--The 
                        center established under subparagraph (A) 
                        shall, to the maximum extent practicable, share 
                        and coordinate the dissemination of timely 
                        information with--
                                    (I) the National Operations Center 
                                and the National Coordinating Center of 
                                the Department of Homeland Security; 
                                and
                                    (II) other appropriate Federal 
                                communication systems, as determined by 
                                the Secretary of Homeland Security.
                            (ii) Avoiding redundancies.--Nothing in 
                        this paragraph impedes, conflicts with, or 
                        duplicates any activity carried out by--
                                    (I) the National Biosurveillance 
                                Integration Center of the Department of 
                                Homeland Security;
                                    (II) the National Response 
                                Coordination Center of the Department 
                                of Homeland Security;
                                    (III) the National Infrastructure 
                                Coordination Center of the Department 
                                of Homeland Security; or
                                    (IV) any other communication system 
                                under the authority of the Secretary of 
                                Homeland Security.
                    (E) Authorization of appropriations.--There are 
                authorized to be appropriated to the Secretary such 
                sums as are necessary to carry out this subsection for 
                each of fiscal years 2008 through 2012.

SEC. 11023. SUBMISSION OF INTEGRATED FOOD DEFENSE PLAN.

    Consistent with HSPD-9, the Secretary, the Secretary of Homeland 
Security, and the Secretary of Health and Human Services shall submit 
to the President and Congress an integrated plan for the defense of the 
food system of the United States.

SEC. 11024. TRANSFER OF CERTAIN AGRICULTURAL INSPECTION FUNCTIONS OF 
              DEPARTMENT.

    (a) Definition of Function.--In this section, the term ``function'' 
does not include any quarantine activity carried out under the laws 
specified in subsection (c).
    (b) Transfer of Agricultural Import and Entry Inspection 
Functions.--There shall be transferred to the Secretary of Homeland 
Security the functions of the Secretary relating to agricultural import 
and entry inspection activities under the laws specified in subsection 
(c).
    (c) Covered Animal and Plant Protection Laws.--The laws referred to 
in subsection (a) are the following:
            (1) The eighth paragraph under the heading ``Bureau of 
        animal industry'' in the Act of March 4, 1913 (commonly known 
        as the ``Virus-Serum-Toxin Act'') (21 U.S.C. 151 et seq.).
            (2) Section 1 of the Act of August 31, 1922 (commonly known 
        as the ``Honeybee Act'') (7 U.S.C. 281).
            (3) Title III of the Federal Seed Act (7 U.S.C. 1581 et 
        seq.).
            (4) The Plant Protection Act (7 U.S.C. 7701 et seq.).
            (5) The Animal Health Protection Act (7 U.S.C. 8301 et 
        seq.).
            (6) The Lacey Act Amendments of 1981 (16 U.S.C. 3371 et 
        seq.).
            (7) Section 11 of the Endangered Species Act of 1973 (16 
        U.S.C. 1540).
    (d) Coordination of Regulations.--
            (1) Compliance with department regulations.--The authority 
        transferred pursuant to subsection (b) shall be exercised by 
        the Secretary of Homeland Security in accordance with the 
        regulations, policies, and procedures issued by the Secretary 
        regarding the administration of the laws specified in 
        subsection (c).
            (2) Rulemaking coordination.--The Secretary shall 
        coordinate with the Secretary of Homeland Security in any case 
        in which the Secretary prescribes regulations, policies, or 
        procedures for administering the functions transferred under 
        subsection (b) under a law specified in subsection (c).
            (3) Effective administration.--The Secretary of Homeland 
        Security, in consultation with the Secretary, may issue such 
        directives and guidelines as are necessary to ensure the 
        effective use of personnel of the Department of Homeland 
        Security to carry out the functions transferred pursuant to 
        subsection (b).
    (e) Transfer Agreement.--
            (1) Agreement.--
                    (A) In general.--Before the end of the transition 
                period (as defined in section 1501 of the Homeland 
                Security Act of 2002 (6 U.S.C. 541)), the Secretary and 
                the Secretary of Homeland Security shall enter into an 
                agreement to effectuate the transfer of functions 
                required by subsection (b).
                    (B) Revision.--The Secretary and the Secretary of 
                Homeland Security may jointly revise the agreement as 
                necessary after that transition period.
            (2) Required terms.--The agreement required by this 
        subsection shall specifically address the following:
                    (A) The supervision by the Secretary of the 
                training of employees of the Secretary of Homeland 
                Security to carry out the functions transferred 
                pursuant to subsection (b).
                    (B) The transfer of funds to the Secretary of 
                Homeland Security under subsection (f).
            (3) Cooperation and reciprocity.--The Secretary and the 
        Secretary of Homeland Security may include as part of the 
        agreement the following:
                    (A) Authority for the Secretary of Homeland 
                Security to perform functions delegated to the Animal 
                and Plant Health Inspection Service of the Department 
                regarding the protection of domestic livestock and 
                plants, but not transferred to the Secretary of 
                Homeland Security pursuant to subsection (b).
                    (B) Authority for the Secretary to use employees of 
                the Department of Homeland Security to carry out 
                authorities delegated to the Animal and Plant Health 
                Inspection Service regarding the protection of domestic 
                livestock and plants.
    (f) Periodic Transfer of Funds to Department of Homeland 
Security.--
            (1) Transfer of funds.--Out of funds collected by fees 
        authorized under sections 2508 and 2509 of the Food, 
        Agriculture, Conservation, and Trade Act of 1990 (21 U.S.C. 
        136, 136a), the Secretary shall transfer, from time to time in 
        accordance with the agreement under subsection (e), to the 
        Secretary of Homeland Security funds for activities carried out 
        by the Secretary of Homeland Security for which the fees were 
        collected.
            (2) Limitation.--The proportion of fees collected pursuant 
        to those sections that are transferred to the Secretary of 
        Homeland Security under this subsection may not exceed the 
        proportion of the costs incurred by the Secretary of Homeland 
        Security to all costs incurred to carry out activities funded 
        by the fees.
    (g) Transfer of Department Employees.--Not later than the 
completion of the transition period (as defined in section 1501 of the 
Homeland Security Act of 2002 (6 U.S.C. 541)), the Secretary shall 
transfer to the Secretary of Homeland Security not more than 3,200 
full-time equivalent positions of the Department.
    (h) Effect of Transfer.--
            (1) Existing authority.--Nothing in the transfer of 
        functions under subsection (b) preempts any authority of the 
        Department as described in section 11022(b)(1).
            (2) Limitation on transfer.--
                    (A) Imports.--The Secretary shall retain 
                responsibility for all other activities of the 
                Agricultural Quarantine and Inspection Program 
                regarding imports, including activities relating to--
                            (i) preclearance of commodities;
                            (ii) trade protocol verification;
                            (iii) fumigation;
                            (iv) quarantine;
                            (v) diagnosis;
                            (vi) eradication;
                            (vii) indemnification; and
                            (viii) other sanitary and phytosanitary 
                        measures carried out pursuant to the Animal 
                        Health Protection Act (7 U.S.C. 8301 et seq.) 
                        and the Plant Protection Act (7 U.S.C. 7701 et 
                        seq.).
                    (B) Export, interstate, and intrastate 
                activities.--The Department shall retain responsibility 
                for all functions regarding export, interstate, and 
                intrastate activities.
                    (C) Training.--The Department shall retain 
                responsibility for all agricultural inspection 
                training.
    (i) Conforming Amendment.--Section 421 of the Homeland Security Act 
of 2002 (6 U.S.C. 231) is amended by striking ``sec. 421'' and all that 
follows through ``(h) Protection of Inspection Animals.--Title V'' and 
inserting the following:

``SEC. 421. PROTECTION OF INSPECTION ANIMALS.

    ``Title V''.

    PART II--AGRICULTURAL QUARANTINE INSPECTION PROGRAM IMPROVEMENT

SEC. 11031. DEFINITIONS.

    In this part:
            (1) Program.--The term ``program'' means the agricultural 
        quarantine inspection program.
            (2) Secretary.--The term ``Secretary'' means the Secretary 
        of Agriculture, acting through the Administrator of the Animal 
        and Plant Health Inspection Service.

SEC. 11032. JOINT TASK FORCE.

    (a) Establishment.--Not later than 30 days after the date of 
enactment of this Act, the Secretary and the Secretary of Homeland 
Security shall establish a Joint Task Force to provide coordinated 
central planning for the program.
    (b) Composition.--The Joint Task Force shall be composed of 
employees of the Animal and Plant Health Inspection Service and Customs 
and Border Protection of the Department of Homeland Security, appointed 
by the Secretary and the Secretary of Homeland Security, respectively.
    (c) Duties.--The Joint Task Force shall--
            (1) prepare, and not less than biannually revise as 
        necessary, a strategic plan for the program;
            (2) establish performance measures that accurately gauge 
        the success of the program;
            (3) establish annual operating goals and plans for the 
        program at national, regional, and port levels;
            (4) establish and regularly revise as necessary a training 
        program to ensure that all employees of Customs and Border 
        Protection involved in agricultural inspection and quarantine 
        activities have the skills, knowledge, and abilities necessary 
        to protect the agricultural biosecurity of the United States;
            (5) ensure effective and regular communications with all 
        stakeholders under the program;
            (6) maintain effective and regular communication between 
        the Animal and Plant Health Inspection Service and Customs and 
        Border Protection in carrying out the program;
            (7) establish and carry out mechanisms to collect data to 
        inform program planning and decisionmaking under the program;
            (8) ensure access for employees of the Animal and Plant 
        Health Inspection Service who, as determined by the Secretary, 
        in consultation with the Secretary of Homeland Security--
                    (A) have met all applicable Customs and Border 
                Protection security-related requirements; and
                    (B) to adequately perform the duties of the 
                employees, require access to--
                            (i) each secure area of any terminal for 
                        screening passengers or cargo; and
                            (ii) each database relating to cargo 
                        manifests or any databases that may relate to 
                        the program;
            (9) ensure the ability of the program to operate in case of 
        emergencies; and
            (10) establish a quality assurance program for the program, 
        with performance standards and regular reviews of each port of 
        entry to determine compliance with the quality standards.

SEC. 11033. ADVISORY BOARD.

    (a) Establishment.--Not later than 180 days after the date of 
enactment of this Act, the Secretary and the Secretary of Homeland 
Security shall establish a board to be known as the ``Agricultural 
Quarantine Inspection Program Advisory Board'' (referred to in this 
section as the ``Advisory Board'').
    (b) Membership.--
            (1) In general.--The Advisory Board shall consist of 11 
        members representing the Federal Government, State governments, 
        and stakeholders, including--
                    (A) 2 members representing the Department, 
                appointed by the Secretary, who shall serve as 
                cochairperson of the Advisory Board;
                    (B) 1 member representing the Department of 
                Homeland Security, appointed by the Secretary of 
                Homeland Security, who shall serve as cochairperson of 
                the Advisory Board;
                    (C) 1 member representing Customs and Border 
                Protection agriculture specialists, appointed by the 
                Secretary of Homeland Security, who shall serve as 
                cochairperson of the Advisory Board;
                    (D) 1 member representing the National Plant Board, 
                appointed by the Secretary based on nominations 
                submitted by the Board;
                    (E) 1 member representing the United States Animal 
                Health Association, appointed by the Secretary based on 
                1 or more nominations submitted by the Association;
                    (F) 1 member representing the National Association 
                of State Departments of Agriculture, appointed by the 
                Secretary based on 1 or more nominations submitted by 
                the Association;
                    (G) 2 members representing stakeholders of 
                organizations, associations, societies, councils, 
                federations, groups, and companies, appointed by the 
                Secretary from 2 or more nominations submitted by the 
                stakeholders; and
                    (H) 2 members representing stakeholders of 
                organizations, associations, societies, councils, 
                federations, groups, and companies, appointed by the 
                Secretary of Homeland Security from 2 or more 
                nominations submitted by the stakeholders.
            (2) Terms of service.--The term of a member of the Advisory 
        Board shall be 2 years, except that, of the members initially 
        appointed to the Board, the term of \1/2\ of the members (as 
        determined jointly by the Secretary and the Secretary of 
        Homeland Security) shall be 1 year.
    (c) Duties.--The Advisory Board shall--
            (1) advise the Secretary and the Secretary of Homeland 
        Security--
                    (A) on policies and other issues related to the 
                mission of the program; and
                    (B) on appropriate mechanisms to ensure that 
                interested stakeholders in the agriculture industry, 
                State and local governments, and the general public 
                have formal opportunities to provide comments on the 
                program; and
            (2) in the case of the cochairpersons of the Advisory 
        Board--
                    (A) coordinate the advice and concerns of the 
                members of the Advisory Board; and
                    (B) at least twice a year, submit the views of the 
                Advisory Board to the Secretary and the Secretary of 
                Homeland Security.
    (d) Meetings.--The meetings of the Advisory Board shall take place 
at least twice a year, with the option of conducting the meetings in 
Washington, District of Columbia, and a Customs and Border Protection 
port on an alternating basis.

SEC. 11034. REPORTS TO CONGRESS.

    (a) In General.--Not later than 180 days after the date of 
enactment of this Act, and annually thereafter through September 30, 
2012, the Administrator of the Animal and Plant Health Inspection 
Service and the Commissioner of Customs and Border Protection, shall 
jointly submit to the committees described in subsection (b) a report 
on--
            (1) the resource needs for import and entry agricultural 
        inspections, including the number of inspectors required;
            (2) the adequacy of inspection and monitoring procedures 
        and facilities in the United States;
            (3) new and emerging technologies and practices, including 
        recommendations regarding the technologies and practices, to 
        improve import and entry agricultural inspections; and
            (4) questions or concerns raised by the Joint Task Force 
        established under section 11032 and by the Agricultural 
        Quarantine Inspection Program Advisory Board established under 
        section 11033.
    (b) Committees.--The Secretary and the Secretary of Homeland 
Security shall jointly submit the report required under subsection (a) 
to--
            (1) the Committee on Agriculture, Nutrition, and Forestry 
        of the Senate;
            (2) the Committee on Agriculture of the House of 
        Representatives;
            (3) the Committee on Homeland Security and Governmental 
        Affairs of the Senate; and
            (4) the Committee on Homeland Security of the House of 
        Representatives.
    (c) Satisfaction of Requirement.--The Administrator of the Animal 
and Plant Health Inspection Service and the Commissioner of Customs and 
Border Protection may satisfy the reporting requirement described in 
subsection (a) by submitting to the Committee on Agriculture of the 
House of Representatives and the Committee on Agriculture, Nutrition, 
and Forestry of the Senate a copy of each relevant provision relating 
to appropriations or authorization requests for the applicable fiscal 
year.

SEC. 11035. PORT RISK COMMITTEES.

    (a) In General.--Not later than 1 year after the date of enactment 
of this Act, the Secretary and the Secretary of Homeland Security shall 
jointly create Port Risk Committees to service the agriculture mission 
for each port of entry into the United States that the Secretary of 
Homeland Security, in consultation with the Secretary, determines to be 
appropriate.
    (b) Membership.--Each Committee may include representatives from--
            (1) the Animal and Plant Health Inspection Service, 
        appointed by the Secretary;
            (2) Customs and Border Protection, appointed by the 
        Secretary of Homeland Security;
            (3) the Department of Health and Human Services, appointed 
        by the Secretary of Health and Human Services;
            (4) State and local governments, appointed jointly by the 
        Secretary, the Secretary of Homeland Security, and the 
        Secretary of Health and Human Services; and
            (5) other stakeholders, appointed jointly by the Secretary, 
        the Secretary of Homeland Security, and the Secretary of Health 
        and Human Services, who shall--
                    (A) act as nonvoting members of the Committee; and
                    (B) only observe and provide information and 
                comments with respect to activities of the Committee.
    (c) Duties.--Each Committee shall examine issues affecting the 
local port of entry of the Committee to determine actions necessary to 
mitigate risks of threats to the agricultural biosecurity of the United 
States.
    (d) Report.--The Committees shall report regularly to regional-
level officials of the Animal and Plant Health Inspection Service and 
to field office officials of Customs and Border Protection.

SEC. 11036. EMERGENCY RESPONSE PLANNING AT PORTS OF ENTRY.

    (a) In General.--Not later than 1 year after the date of enactment 
of this Act, the Secretary and the Secretary of Homeland Security shall 
develop a comprehensive plan to identify and deploy trained and 
certified personnel in emergency response activities.
    (b) Plan.--The plan shall include a strategy for rapid 
identification and deployment of resources and a standard operating 
procedure to implement when significant agricultural pests and diseases 
are detected at ports of entry.
    (c) Continuity of Operations Plans.--The Secretary and the 
Secretary of Homeland Security, acting through Customs and Border 
Protection, shall coordinate and share national continuity of 
operations plans and plans for ports of entry.

SEC. 11037. PLANT PEST IDENTIFICATION JOINT PLAN.

    (a) In General.--Not later than 1 year after the date of enactment 
of this Act, the Secretary and the Secretary of Homeland Security shall 
prepare a joint plan to establish standards of service for--
            (1) plant pest and disease identification;
            (2) inspection techniques training; and
            (3) discard authority.
    (b) Contents.--The plan shall--
            (1) formalize plant pest and disease identification and 
        inspection training of Customs and Border Protection 
        agriculture specialists for all pathways, including 
        conveyances, passengers, cargo, mail, and rail; and
            (2) establish performance-related criteria for the 
        appropriate Department of Homeland Security personnel to enable 
        enhanced discard authority and improve plant pest and disease 
        interception.

SEC. 11038. LIAISON OFFICER POSITIONS.

    (a) Customs and Border Protection.--
            (1) In general.--The Secretary shall establish a program 
        liaison officer position who is physically located in the same 
        building as the highest ranking Customs and Border Protection 
        official with primary responsibility for the agricultural 
        inspection functions of Customs and Border Protection.
            (2) Employee.--The liaison officer shall be an employee of 
        the Animal and Plant Health Inspection Service.
            (3) Space and staff.--Customs and Border Protection shall 
        provide appropriate space for the liaison officer and 
        commensurate support staff.
            (4) Expenses.--The Secretary shall bear all costs for 
        salary, benefits, and other expenses of the liaison officer.
    (b) Animal and Plant Health Inspection Service.--
            (1) In general.--The Secretary, acting through Customs and 
        Border Protection, shall establish a program liaison officer 
        position who is physically located in the same building as the 
        highest ranking Animal and Plant Health Inspection Service 
        official with primary responsibility for the agricultural 
        inspection functions of the Service.
            (2) Employee.--The liaison officer shall be an employee of 
        Customs and Border Protection.
            (3) Space and staff.--The Animal and Plant Health 
        Inspection Service shall provide appropriate space for the 
        liaison officer and commensurate support staff.
            (4) Expenses.--Customs and Border Protection shall bear all 
        costs for salary, benefits, and other expenses of the liaison 
        officer.
    (c) Communications.--The liaison officers shall ensure daily 
communication between designated officials of the Animal and Plant 
Health Inspection Service and Customs and Border Protection.

                        PART III--MISCELLANEOUS

SEC. 11041. DESIGNATION AND EXPEDITED REVIEW AND APPROVAL OF QUALIFIED 
              AGRICULTURAL COUNTERMEASURES.

    (a) Designation of Certain Agricultural Countermeasures.--The 
Secretary and the Secretary of Homeland Security, in coordination with 
the Secretary of Health and Human Services, the Administrator of the 
Environmental Protection Agency, and the heads of other applicable 
Federal departments or agencies, and in consultation with the Director 
of the Office of Science and Technology Policy in the Executive Office 
of the President, shall designate a list of qualified agricultural 
countermeasures to protect against the intentional introduction or 
natural occurrence of agricultural disease emergencies.
    (b) Expedited Review and Approval of Qualified Countermeasures.--A 
qualified agricultural countermeasure designated under subsection (a) 
shall be--
            (1) granted expedited review for approval; and
            (2) if the qualified agricultural countermeasure meets the 
        requirements for approval under that expedited review process, 
        promptly approved by the appropriate Federal department or 
        agency for use or further testing.
    (c) Delisting of Agriculture Countermeasures.--The Secretary and 
the Secretary of Homeland Security, in coordination with the Secretary 
of Health and Human Services, the Administrator of the Environmental 
Protection Agency, and the heads of other applicable Federal 
departments or agencies, and in consultation with the Director of the 
Office of Science and Technology Policy in the Executive Office of the 
President, may delist qualified agricultural countermeasures that are 
no longer effective in maintaining or enhancing the agricultural 
biosecurity of the United States.

SEC. 11042. AGRICULTURAL DISEASE EMERGENCY DETECTION AND RESPONSE.

    (a) Emergency Determination.--
            (1) In general.--The Secretary of Homeland Security, in 
        consultation with the Secretary and the Secretary of Health and 
        Human Services, shall--
                    (A) assess potential vulnerabilities to the 
                agricultural biosecurity of the United States; and
                    (B) determine the incidence or outbreak of which 
                agricultural diseases would constitute an emergency--
                            (i) to identify respective interagency 
                        priorities; and
                            (ii) to assist the Department of Homeland 
                        Security to establish biological threat 
                        awareness capacities pursuant to HSPD-9 and 
                        HSPD-10.
            (2) Notification by other federal entities.--On a 
        determination by the Secretary of Homeland Security under 
        paragraph (1)(B), each Federal department and agency shall 
        notify the Secretary of Homeland Security, the Secretary, and 
        the Secretary of Health and Human Services of specific 
        emergency procedures to be deployed in the event of an outbreak 
        of an agricultural disease, including--
                    (A) any regulations promulgated to address the 
                outbreak; and
                    (B) a timetable for implementation of the 
                regulations.
            (3) Information sharing.--The Secretary of Homeland 
        Security may make notifications under paragraph (2) available 
        to the Secretary, in order for the Secretary to meet the 
        incident management activities and goals set forth in the Food 
        and Agriculture Incident Annex of the National Response Plan.
            (4) State and local coordination.--On receipt by the 
        Secretary of Homeland Security of notification of special 
        emergency procedures required by other Federal departments or 
        agencies, the Secretary of Homeland Security, in consultation 
        with the Secretary and the Secretary of Health and Human 
        Services, shall--
                    (A) notify State, local, and tribal governments, as 
                appropriate, of the emergency procedures; and
                    (B) institute test exercises to determine the 
                effectiveness of the emergency procedures in 
                geographical areas of significance, as determined by 
                the Secretary of Homeland Security, in consultation 
                with Secretary.
    (b) Disease Detection.--The Secretary and the Secretary of Homeland 
Security shall--
            (1) develop and deploy an advanced surveillance system to 
        detect entry into the United States of agricultural biological 
        threat agents that are likely to cause an agricultural disease 
        emergency;
            (2) develop national and international standards and 
        implementation guidelines to be used in monitoring those 
        agricultural biological threat agents;
            (3) enhance animal and plant health laboratory networks in 
        existence as of the date of enactment of this Act to increase 
        the diagnostic capability for detecting those biological threat 
        agents; and
            (4) integrate the data and information obtained through the 
        activities carried out under paragraphs (1) through (3) with 
        the National Biosurveillance Integration Center of the 
        Department of Homeland Security.
    (c) Onsite Rapid Diagnostic Tools.--
            (1) Development.--The Secretary, in consultation with the 
        Secretary of Homeland Security and the Secretary of Health and 
        Human Services, shall develop onsite rapid diagnostic tools to 
        enable rapid diagnosis of incidents of agricultural diseases 
        that would constitute an agricultural disease emergency at the 
        site of the incident or outbreak.
            (2) Validation testing of tools.--In developing on-site 
        rapid diagnostic tools under paragraph (1), the Secretary, in 
        consultation with the Secretary of Homeland Security and the 
        Secretary of Health and Human Services, shall conduct 
        validation testing to ensure that each tool--
                    (A) identifies the agent for which the tool was 
                developed; and
                    (B) will function properly if administered in the 
                field by persons with varying levels of expertise in 
                diagnostic testing, zoonotic disease surveillance, or 
                agricultural disease emergencies.
    (d) Emergency Response.--
            (1) In general.--The Secretary shall work with State 
        agriculture departments to ensure a coordinated response with 
        State and local agencies responsible for early agricultural 
        disease detection and control.
            (2) Evaluation.--Not later than 180 days after the date of 
        enactment of this Act, the Secretary shall prepare and submit 
        to the appropriate committees of Congress an evaluation of the 
        current staff, budgets, and capabilities of regional 
        coordinators of the Animal and Plant Health Inspection Service 
        to identify areas of potential vulnerability or additional 
        resource needs for emergency response capabilities in specific 
        geographical areas.
    (e) Best Practices.--
            (1) Agricultural biosecurity task force.--The Secretary 
        shall establish in the Department an agricultural biosecurity 
        task force to identify best practices for use in carrying out a 
        State or regional agricultural biosecurity program.
            (2) Information available.--The Secretary, in coordination 
        with the Secretary of Homeland Security, shall make available 
        information regarding best practices for use in implementing a 
        State or regional agricultural biosecurity program, including 
        training exercises for emergency response providers and animal 
        and plant disease specialists.
    (f) Foreign Animal Disease as Prerequisite for Veterinarian 
Accreditation.--The Secretary shall require candidates for veterinarian 
accreditation from the Department to receive training in foreign animal 
disease detection and response.

SEC. 11043. NATIONAL PLANT DISEASE RECOVERY SYSTEM AND NATIONAL 
              VETERINARY STOCKPILE.

    (a) National Plant Disease Recovery System.--
            (1) Establishment.--The Secretary, in coordination with the 
        Secretary of Homeland Security, and in consultation with the 
        Secretary of Health and Human Services and the Administrator of 
        the Environmental Protection Agency, shall work with State and 
        local governments and the private sector to establish a 
        national plant disease recovery system to be used to respond to 
        an outbreak of plant disease that poses a significant threat to 
        agricultural biosecurity.
            (2) Requirements.--The national plant disease recovery 
        system shall include agricultural countermeasures to be made 
        available within a single growing season for crops of 
        particular economic significance, as determined by the 
        Secretary, in coordination with the Secretary of Homeland 
        Security.
    (b) National Veterinary Stockpile.--The Secretary, in coordination 
with the Secretary of Homeland Security, and in consultation with the 
Secretary of Health and Human Services and the Administrator of the 
Environmental Protection Agency, shall work with State and local 
governments and the private sector to establish a national veterinary 
stockpile, which shall be used by the Secretary, in coordination with 
the Secretary of Homeland Security--
            (1) to make agricultural countermeasures available to any 
        State veterinarian not later than 24 hours after submission of 
        an official request for assistance by the State veterinarian, 
        unless the Secretary and the Secretary of Homeland Security 
        cannot accommodate such a request due to an emergency; and
            (2) to leverage, where appropriate, the mechanisms and 
        infrastructure of the Strategic National Stockpile.

SEC. 11044. RESEARCH AND DEVELOPMENT OF AGRICULTURAL COUNTERMEASURES.

    (a) Grant Program.--
            (1) In general.--The Secretary shall establish a grant 
        program to stimulate basic and applied research and development 
        activity for qualified agricultural countermeasures.
            (2) Competitive grants.--In carrying out this section, the 
        Secretary shall develop a process through which to award grants 
        on a competitive basis.
            (3) Waiver in emergencies.--The Secretary may waive the 
        requirement in paragraph (2), if--
                    (A) the Secretary has declared a plant or animal 
                disease emergency under the Plant Protection Act (7 
                U.S.C. 7701 et seq.) or the Animal Health Protection 
                Act (7 U.S.C. 8301 et seq.); and
                    (B) the waiver would lead to the rapid development 
                of a qualified agricultural countermeasure, as 
                determined by the Secretary.
    (b) Use of Foreign Disease Permissible.--The Secretary shall permit 
the use of foreign animal and plant disease agents, and accompanying 
data, in research and development activities funded under this section 
if the Secretary determines that the diseases or data are necessary to 
demonstrate the safety and efficacy of an agricultural countermeasure 
in development.
    (c) Coordination on Advanced Development.--The Secretary shall 
ensure that the Secretary of Homeland Security is provided information, 
on a quarterly basis, describing each grant provided by the Secretary 
for the purpose of facilitating the acceleration and expansion of the 
advanced development of agricultural countermeasures.
    (d) Scope.--Nothing in this section impedes the ability of the 
Secretary of Homeland Security to administer grants for basic and 
applied research and advanced development activities for qualified 
agricultural countermeasures.
    (e) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $50,000,000 for each of fiscal 
years 2008 through 2012.

SEC. 11045. VETERINARY WORKFORCE GRANT PROGRAM.

    (a) In General.--The Secretary shall establish a grant program to 
increase the number of veterinarians trained in agricultural 
biosecurity.
    (b) Considerations for Funding Awarded.--The Secretary shall 
establish procedures to ensure that grants are competitively awarded 
under the program based on--
            (1) the ability of an applicant to increase the number of 
        veterinarians who are trained in agricultural biosecurity 
        practice areas determined by the Secretary;
            (2) the ability of an applicant to increase research 
        capacity in areas of agricultural biosecurity determined by the 
        Secretary to be a priority; or
            (3) any other consideration the Secretary determines to be 
        appropriate.
    (c) Use of Funds.--Amounts received under this section may be used 
by a grantee to pay--
            (1) costs associated with construction and the acquisition 
        of equipment, and other capital costs relating to the expansion 
        of schools of veterinary medicine, departments of comparative 
        medicine, departments of veterinary science, or entities 
        offering residency training programs; or
            (2) capital costs associated with the expansion of academic 
        programs that offer postgraduate training for veterinarians or 
        concurrent training for veterinary students in specific areas 
        of specialization.
    (d) Authorization of Appropriations.--There are authorized to be 
appropriated to the Secretary such sums as are necessary to carry out 
this section for each of fiscal years 2008 through 2012.

SEC. 11046. ASSISTANCE TO BUILD LOCAL CAPACITY IN AGRICULTURAL 
              BIOSECURITY PLANNING, PREPAREDNESS, AND RESPONSE.

    (a) Advanced Training Programs.--
            (1) Grant assistance.--The Secretary shall provide grant 
        assistance to support the development and expansion of advanced 
        training programs in agricultural biosecurity planning and 
        response for food science professionals and veterinarians.
            (2) Authorization of appropriations.--There are authorized 
        to be appropriated to the Secretary such sums as are necessary 
        to carry out this subsection for each of fiscal years 2008 
        through 2012.
    (b) Assessment of Response Capability.--
            (1) Grant and loan assistance.--The Secretary shall provide 
        grant and low-interest loan assistance to States for use in 
        assessing agricultural disease response capability.
            (2) Authorization of appropriations.--There is authorized 
        to be appropriated to carry out this subsection $25,000,000 for 
        each of fiscal years 2008 through 2012.

SEC. 11047. BORDER INSPECTIONS OF AGRICULTURAL PRODUCTS.

    (a) Inspection.--
            (1) In general.--The Secretary of Homeland Security, in 
        consultation with the Secretary and the Secretary of Health and 
        Human Services, shall coordinate with Federal intelligence 
        officials to identify agricultural products that are imported 
        from countries that have known capabilities to carry out an 
        agroterrorist act.
            (2) Priority.--
                    (A) In general.--Agricultural products imported 
                from countries described in paragraph (1) shall be 
                given priority status in the inspection process.
                    (B) Effect of threats.--If a credible and specific 
                threat of an intended agroterrorist act is identified 
                by Federal intelligence officials, each border 
                inspection of a product that could be a pathway for the 
                agroterrorist act shall be intensified.
    (b) Coordination in Border Inspection.--In conducting inspections 
of agricultural products at the border, the Secretary, the Secretary of 
Homeland Security, and the Secretary of Health and Human Services shall 
use a compatible communication system in order to better coordinate the 
inspection process.

SEC. 11048. LIVE VIRUS OF FOOT AND MOUTH DISEASE RESEARCH.

    (a) In General.--The Secretary shall issue a permit required under 
section 12 of the Act of May 29, 1884 (21 U.S.C. 113a) to the Secretary 
of Homeland Security for work on the live virus of foot and mouth 
disease at the National Bio and Agro-Defense Laboratory (referred to in 
this section as the ``NBAF'').
    (b) Limitation.--The permit shall be valid unless the Secretary 
finds that the study of live foot and mouth disease virus at the NBAF 
is not being carried out in accordance with the regulations issued by 
the Secretary pursuant to the Agricultural Bioterrorism Protection Act 
of 2002 (7 U.S.C. 8401 et seq.).
    (c) Authority.--The suspension, revocation, or other impairment of 
the permit issued under this section--
            (1) shall be made by the Secretary; and
            (2) is a nondelegable function.

                       Subtitle B--Other Programs

SEC. 11051. FORECLOSURE.

    (a) In General.--Section 307 of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1927) is amended by adding at the end the 
following:
    ``(f) Moratorium.--
            ``(1) In general.--Effective beginning on the date of 
        enactment of this subsection, there shall be in effect a 
        moratorium on all loan acceleration and foreclosure proceedings 
        instituted by the Department for any case in which--
                    ``(A) there is pending against the Department a 
                claim of discrimination by a farmer or rancher related 
                to a loan acceleration or foreclosure; or
                    ``(B) a farmer or rancher files a claim of 
                discrimination against the Department related to a loan 
                acceleration or foreclosure.
            ``(2) Waiver of interest and offsets.--During the period of 
        the moratorium, the Secretary shall waive the accrual of 
        interest and offsets on all loans made under this subtitle for 
        which loan acceleration or foreclosure proceedings have been 
        instituted as described in paragraph (1).
            ``(3) Termination of moratorium.--The moratorium shall 
        terminate with respect to a claim of discrimination by a farmer 
        or rancher on the earlier of--
                    ``(A) the date the Secretary resolves the claim; or
                    ``(B) if the farmer or rancher appeals the decision 
                of the Secretary on the claim to a court of competent 
                jurisdiction, the date that the court renders a final 
                decision on the claim.
            ``(4) Failure to prevail.--If a farmer or rancher does not 
        prevail on a claim of discrimination described in paragraph 
        (1), the farmer or rancher shall be liable for any interest and 
        offsets that accrued during the period that the loan was in 
        abeyance.''.
    (b) Foreclosure Report.--
            (1) In general.--Not later than 1 year after the date of 
        enactment of this Act, the Inspector General of the Department 
        of Agriculture (referred to in this subsection as the 
        ``Inspector General'') shall determine whether decisions of the 
        Department to implement foreclosure proceedings with respect to 
        loans made under subtitle A of the Consolidated Farm and Rural 
        Development Act (7 U.S.C. 1922 et seq.) to socially 
        disadvantaged farmers or ranchers during the 5-year period 
        preceding the date of enactment of this Act were consistent and 
        in conformity with the applicable laws (including regulations) 
        governing loan foreclosures.
            (2) Report.--Not later than 1 year after the date of 
        enactment of this Act, the Inspector General shall submit to 
        the Committee on Agriculture of the House of Representatives 
        and the Committee on Agriculture, Nutrition, and Forestry of 
        the Senate a report that describes the determination of the 
        Inspector General under paragraph (1).

SEC. 11052. OUTREACH AND TECHNICAL ASSISTANCE FOR SOCIALLY 
              DISADVANTAGED FARMERS AND RANCHERS.

    (a) In General.--Section 2501 of the Food, Agriculture, 
Conservation, and Trade Act of 1990 (7 U.S.C. 2279)) is amended--
            (1) in subsection (a)--
                    (A) by striking paragraph (2) and inserting the 
                following:
            ``(2) Requirements.--The outreach and technical assistance 
        program under paragraph (1) shall be used exclusively--
                    ``(A) to enhance coordination of the outreach, 
                technical assistance, and education efforts authorized 
                under agriculture programs; and
                    ``(B) to assist the Secretary in--
                            ``(i) reaching socially disadvantaged 
                        farmers and ranchers and prospective socially 
                        disadvantaged farmers and ranchers in a 
                        culturally and linguistically appropriate 
                        manner; and
                            ``(ii) improving the participation of those 
                        farmers and ranchers in Department programs, as 
                        determined under section 2501A.'';
                    (B) in paragraph (3)--
                            (i) in subparagraph (A), by striking 
                        ``entity to provide information'' and inserting 
                        ``entity that has demonstrated an ability to 
                        carry out the requirements described in 
                        paragraph (2) to provide outreach''; and
                            (ii) by adding at the end the following:
                    ``(D) Renewal of contracts.--The Secretary may 
                provide for renewal of a grant, contract, or other 
                agreement under this section with an eligible entity 
                that--
                            ``(i) has previously received funding under 
                        this section;
                            ``(ii) has demonstrated an ability to carry 
                        out the requirements described in paragraph 
                        (2); and
                            ``(iii) demonstrates to the satisfaction of 
                        the Secretary that the entity will continue to 
                        fulfill the purposes of this section.
                    ``(E) Review of proposals.--Notwithstanding 
                subparagraph (D), the Secretary shall promulgate a 
                regulation to establish criteria for the review process 
                for grants and cooperative agreements (including 
                multiyear grants), which shall include a review 
                eligible entities on an individual basis.
                    ``(F) Report.--The Secretary shall submit to 
                Congress, and make publically available, an annual 
                report that describes--
                            ``(i) the accomplishments of the program 
                        under this section; and
                            ``(ii) any gaps or problems in service 
                        delivery as reported by grantees.''; and
                    (C) in paragraph (4)--
                            (i) by striking subparagraph (A), and 
                        inserting the following:
                    ``(A) Authorization of appropriations.--There is 
                authorized to be appropriated to carry out this 
                subsection $50,000,000 for each of fiscal years 2008 
                through 2012.''; and
                            (ii) by adding at the end the following:
                    ``(C) Limitation on use of funds for administrative 
                expenses.--Not more than 5 percent of the amounts made 
                available under this paragraph for a fiscal year may be 
                used for expenses related to administering the program 
                under this section.''; and
            (2) in subsection (e)(5)(A)--
                    (A) in clause (i), by striking ``has demonstrated 
                experience in'' and inserting ``has a reputation for, 
                and has demonstrated experience in,''; and
                    (B) in clause (ii)--
                            (i) by inserting ``and on behalf of'' 
                        before ``socially''; and
                            (ii) by striking ``2-year'' and inserting 
                        ``3-year''.
    (b) Coordination With Outreach.--
            (1) In general.--Not later than 18 months after the date of 
        enactment of this Act, the Secretary shall develop a plan to 
        join and relocate--
                    (A) the outreach and technical assistance program 
                established under section 2501 of the Food, 
                Agriculture, Conservation, and Trade Act of 1990 (7 
                U.S.C. 2279); and
                    (B) the Office of Outreach of the Department of 
                Agriculture.
            (2) Consultation.--In preparing the plan under paragraph 
        (1), the Secretary shall, in consultation with eligible 
        entities under section 2501 of the Food, Agriculture, 
        Conservation, and Trade Act of 1990 (7 U.S.C. 2279)--
                    (A) decide the most appropriate permanent location 
                for the programs described in paragraph (1); and
                    (B) locate both programs together at that location.
            (3) Report.--After the relocation described in this 
        subsection is completed, the Secretary shall submit to Congress 
        a report that includes information describing the new location 
        of the programs.

SEC. 11053. ADDITIONAL CONTRACTING AUTHORITY.

    Section 2501(a)(3) of the Food, Agriculture, Conservation, and 
Trade Act of 1990 (7 U.S.C. 2279(a)(3)) (as amended by section 
11052(a)(1)(B)(ii)) is amended by adding at the end the following:
                    ``(G) Additional contracting authority.--
                            ``(i) In general.--The Secretary shall 
                        provide to the Office of Outreach of the 
                        Department of Agriculture, the Natural 
                        Resources Conservation Service, the Farm 
                        Service Agency, the Risk Management Agency, the 
                        Forest Service, the Food Safety and Inspection 
                        Service, and such other agencies and programs 
                        as the Secretary determines to be necessary, 
                        the authority to make grants and enter into 
                        contracts and cooperative agreements with 
                        community-based organizations that meet the 
                        definition of an eligible entity under 
                        subsection (e).
                            ``(ii) Matching funds.--The Secretary is 
                        not required to require matching funds for a 
                        grant made, or a contract or cooperative 
                        agreement entered into, under this 
                        subparagraph.
                            ``(iii) Interagency funding.--
                        Notwithstanding any other provision of law 
                        (including regulations), any Federal agency may 
                        participate in any grant made, or contract or 
                        cooperative agreement entered into, under this 
                        subsection by contributing funds, if the head 
                        of the agency determines that the objectives of 
                        the grant, contract, or cooperative agreement 
                        will further the authorized programs of the 
                        contributing agency.''.

SEC. 11054. IMPROVED PROGRAM DELIVERY BY THE DEPARTMENT OF AGRICULTURE 
              ON INDIAN RESERVATIONS.

    Section 2501(g)(1) of the Food, Agriculture, Conservation, and 
Trade Act of 1990 (7 U.S.C. 2279(g)(1)) is amended by striking the 
second sentence.

SEC. 11055. ACCURATE DOCUMENTATION IN THE CENSUS OF AGRICULTURE AND 
              CERTAIN STUDIES.

    Section 2501 of the Food, Agriculture, Conservation, and Trade Act 
of 1990 (7 U.S.C. 2279) is amended by adding at the end the following:
    ``(h) Accurate Documentation.--The Secretary shall ensure, to the 
maximum extent practicable, that the Census of Agriculture and studies 
carried out by the Economic Research Service accurately document the 
number, location, and economic contributions of socially disadvantaged 
farmers and ranchers in agricultural production.''.

SEC. 11056. IMPROVED DATA REQUIREMENTS.

    Section 2501A of the Food, Agriculture, Conservation, and Trade Act 
of 1990 (7 U.S.C. 2279-1) is amended by striking subsection (c) and 
inserting the following:
    ``(c) Compilation of Program Participation Data.--
            ``(1) Annual requirement.--For each county and State in the 
        United States, the Secretary of Agriculture (referred to in 
        this section as the `Secretary') shall annually compile program 
        application and participation rate data regarding socially 
        disadvantaged farmers and ranchers by computing for each 
        program of the Department of Agriculture that serves 
        agricultural producers or landowners--
                    ``(A) raw numbers of applicants and participants by 
                race, ethnicity, and gender, subject to appropriate 
                privacy protections, as determined by the Secretary; 
                and
                    ``(B) the application and participation rate, by 
                race, ethnicity, and gender, as a percentage of the 
                total participation rate of all agricultural producers 
                and landowners.
            ``(2) Authority to collect data.--The heads of the agencies 
        of the Department of Agriculture shall collect and transmit to 
        the Secretary any data, including data on race, gender, and 
        ethnicity, that the Secretary determines to be necessary to 
        carry out paragraph (1).
            ``(3) Report.--Using the technologies and systems of the 
        National Agricultural Statistics Service, the Secretary shall 
        compile and present the data required under paragraph (1) for 
        each program described in that paragraph in a manner that 
        includes the raw numbers and participation rates for--
                    ``(A) the entire United States;
                    ``(B) each State; and
                    ``(C) each county in each State.
    ``(d) Limitations on Use of Data.--
            ``(1) In general.--In carrying out this section, the 
        Secretary shall not disclose the names or individual data of 
        any program participant.
            ``(2) Authorized uses.--The data under this section shall 
        be used exclusively for the purposes described in subsection 
        (a).
            ``(3) Limitation.--Except as otherwise provided, the data 
        under this section shall not be used for the evaluation of 
        individual applications for assistance.''.

SEC. 11057. RECEIPT FOR SERVICE OR DENIAL OF SERVICE.

    Section 2501A of the Food, Agriculture, Conservation, and Trade Act 
of 1990 (7 U.S.C. 2279-1) (as amended by section 11056) is amended by 
adding at the end the following:
    ``(e) Receipt for Service or Denial of Service.--In any case in 
which a farmer or rancher, or a prospective farmer or rancher, in 
person or in writing, requests from the Farm Service Agency or the 
Natural Resources Conservation Service of the Department of Agriculture 
any benefit or service offered by the Department to agricultural 
producers or landowners, and at the time of the request requests a 
receipt, the Secretary of Agriculture shall issue, on the date of the 
request, a receipt to the farmer or rancher, or prospective farmer or 
rancher, that contains--
            ``(1) the date, place, and subject of the request; and
            ``(2) the action taken, not taken, or recommended to the 
        farmer or rancher or prospective farmer or rancher.''.

SEC. 11058. NATIONAL APPEALS DIVISION.

    Section 280 of the Department of Agriculture Reorganization Act of 
1994 (7 U.S.C. 7000) is amended--
            (1) by striking ``On the return'' and inserting the 
        following:
    ``(a) In General.--On the return''; and
            (2) by adding at the end the following:
    ``(b) Reports.--
            ``(1) In general.--Not later than 180 days after the date 
        of enactment of this subsection, and every 180 days thereafter, 
        the head of each agency shall submit to the Committee on 
        Agriculture of the House of Representatives and the Committee 
        on Agriculture, Nutrition, and Forestry of the Senate, and 
        publish on the website of the Department, a report that 
        includes--
                    ``(A) a description of all cases returned to the 
                agency during the period covered by the report pursuant 
                to a final determination of the Division;
                    ``(B) the status of implementation of each final 
                determination; and
                    ``(C) if the final determination has not been 
                implemented--
                            ``(i) the reason that the final 
                        determination has not been implemented; and
                            ``(ii) the projected date of implementation 
                        of the final determination.
            ``(2) Updates.--Each month, the head of each agency shall 
        publish on the website of the Department any updates to the 
        reports submitted under paragraph (1).''.

SEC. 11059. FARMWORKER COORDINATOR.

    (a) In General.--Subtitle B of title II of the Department of 
Agriculture Reorganization Act of 1994 is amended by inserting after 
section 226A (7 U.S.C. 6933) the following:

``SEC. 226B. FARMWORKER COORDINATOR.

    ``(a) Establishment.--The Secretary shall establish within the 
Department the position of Farmworker Coordinator (referred to in this 
section as the `Coordinator').
    ``(b) Duties.--The Secretary shall delegate to the Coordinator 
responsibility for--
            ``(1) assisting in administering the program established by 
        section 2281 of the Food, Agriculture, Conservation, and Trade 
        Act of 1990 (42 U.S.C. 5177a);
            ``(2) serving as a liaison to community-based nonprofit 
        organizations that represent and have demonstrated experience 
        serving low-income migrant and seasonal farmworkers;
            ``(3) coordinating with the Department, other Federal 
        agencies, and State and local governments to ensure that 
        farmworker needs are assessed and met during declared disasters 
        and other emergencies;
            ``(4) consulting with the Office of Small Farm 
        Coordination, Office of Outreach, Outreach Coordinators, and 
        other entities to better integrate farmworker perspectives, 
        concerns, and interests into the ongoing programs of the 
        Department;
            ``(5) consulting with appropriate institutions on research, 
        program improvements, or agricultural education opportunities 
        that assist low-income and migrant seasonal farmworkers; and
            ``(6) ensuring that farmworkers have access to services and 
        support to enter agriculture as producers.
    ``(c) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as are necessary to carry out this section.''.
    (b) Conforming Amendment.--Section 296(b) of the Department of 
Agriculture Reorganization Act of 1994 (7 U.S.C. 7014(b)) (as amended 
by section 7401(c)(1)) is amended by adding at the end the following:
            ``(7) the authority of the Secretary to establish in the 
        Department a position of Farmworker Coordinator in accordance 
        with section 226B.''.

SEC. 11060. CONGRESSIONAL BIPARTISAN FOOD SAFETY COMMISSION.

    (a) Commission.--
            (1) Establishment.--
                    (A) In general.--There is established a commission 
                to be known as the ``Congressional Bipartisan Food 
                Safety Commission'' (referred to in this section as the 
                ``Commission'').
                    (B) Purpose.--The purpose of the Commission shall 
                be to act in a bipartisan, consensus-driven fashion--
                            (i) to review the food safety system of the 
                        United States;
                            (ii) to prepare a report that--
                                    (I) summarizes information about 
                                the food safety system as in effect as 
                                of the date of enactment of this Act; 
                                and
                                    (II) makes recommendations on 
                                ways--
                                            (aa) to modernize the food 
                                        safety system of the United 
                                        States;
                                            (bb) to harmonize and 
                                        update food safety statutes;
                                            (cc) to improve Federal, 
                                        State, local, and interagency 
                                        coordination of food safety 
                                        personnel, activities, budgets, 
                                        and leadership;
                                            (dd) to best allocate 
                                        scarce resources according to 
                                        risk;
                                            (ee) to ensure that 
                                        regulations, directives, 
                                        guidance, and other standards 
                                        and requirements are based on 
                                        best-available science and 
                                        technology;
                                            (ff) to emphasize 
                                        preventative rather than 
                                        reactive strategies; and
                                            (gg) to provide to Federal 
                                        agencies funding mechanisms 
                                        necessary to effectively carry 
                                        out food safety 
                                        responsibilities; and
                            (iii) to draft specific statutory language, 
                        including detailed summaries of the language 
                        and budget recommendations, that would 
                        implement the recommendations of the 
                        Commission.
            (2) Membership.--
                    (A) Composition.--The Commission shall be composed 
                of 19 members.
                    (B) Eligibility.--Members of the Commission shall--
                            (i) have specialized training, education, 
                        or significant experience in at least 1 of the 
                        areas of--
                                    (I) food safety research;
                                    (II) food safety law and policy; 
                                and
                                    (III) program design and 
                                implementation;
                            (ii) consist of--
                                    (I) the Secretary of Agriculture 
                                (or a designee);
                                    (II) the Secretary of Health and 
                                Human Services (or a designee);
                                    (III) 1 Member of the House of 
                                Representatives; and
                                    (IV) 1 Member of the Senate; and
                                    (V) 15 additional members that 
                                include, to the maximum extent 
                                practicable, representatives of--
                                            (aa) consumer 
                                        organizations;
                                            (bb) agricultural and 
                                        livestock production;
                                            (cc) public health 
                                        professionals;
                                            (dd) State regulators;
                                            (ee) Federal employees; and
                                            (ff) the livestock and food 
                                        manufacturing and processing 
                                        industry.
                    (C) Appointments.--
                            (i) In general.--The appointment of the 
                        members of the Commission shall be made not 
                        later than 60 days after the date of enactment 
                        of this Act.
                            (ii) Certain appointments.--Of the members 
                        of the Commission described in subparagraph 
                        (B)(ii)(V)--
                                    (I) 2 shall be appointed by the 
                                President;
                                    (II) 7 shall be appointed by a 
                                working group consisting of--
                                            (aa) the Chairman of each 
                                        of the Committee on 
                                        Agriculture, Nutrition, and 
                                        Forestry and the Committee on 
                                        Health, Education, Labor, and 
                                        Pensions of the Senate;
                                            (bb) the Chairman of each 
                                        of the Committee on Agriculture 
                                        and the Committee on Energy and 
                                        Commerce of the House of 
                                        Representatives;
                                            (cc) the Speaker of the 
                                        House of Representatives; and
                                            (dd) the Majority Leader of 
                                        the Senate; and
                                    (III) 6 shall be appointed by a 
                                working group consisting of--
                                            (aa) the Ranking Member of 
                                        each of the Committees 
                                        described in items (aa) and 
                                        (bb) of subclause (II);
                                            (bb) the Minority Leader of 
                                        the House of Representatives; 
                                        and
                                            (cc) the Minority Leader of 
                                        the Senate.
                    (D) Term.--A member of the Commission shall be 
                appointed for the life of the Commission.
                    (E) Vacancies.--A vacancy on the Commission--
                            (i) shall not affect the powers of the 
                        Commission; and
                            (ii) shall be filled in the same manner as 
                        the original appointment was made.
            (3) Meetings.--
                    (A) Initial meeting.--Except as provided in 
                subparagraph (B), the initial meeting of the Commission 
                shall be conducted in Washington, District of Columbia, 
                not later than 30 days after the date of appointment of 
                the final member of the Commission under paragraph 
                (2)(C).
                    (B) Meeting for partial appointment.--If, as of the 
                date that is 90 days after the date of enactment of 
                this Act, all members of the Commission have not been 
                appointed under paragraph (2)(C), but at least 8 
                members have been appointed, the Commission may hold 
                the initial meeting of the Commission.
                    (C) Other meetings.--The Commission shall--
                            (i) hold a series of at least 5 stakeholder 
                        meetings to solicit public comment, including--
                                    (I) at least 1 stakeholder meeting, 
                                to be held in Washington, District of 
                                Columbia; and
                                    (II) at least 4 stakeholder 
                                meetings, to be held in various regions 
                                of the United States; and
                            (ii) meet at the call of--
                                    (I) the Chairperson;
                                    (II) the Vice-Chairperson; or
                                    (III) a majority of the members of 
                                the Commission.
                    (D) Public participation; information.--To the 
                maximum extent practicable--
                            (i) each meeting of the Commission shall be 
                        open to the public; and
                            (ii) all information from a meeting of the 
                        Commission shall be recorded and made available 
                        to the public.
                    (E) Quorum.--With respect to meetings of the 
                Commission--
                            (i) a majority of the members of the 
                        Commission shall constitute a quorum for the 
                        conduct of business of the Commission; but
                            (ii) for the purpose of a stakeholder 
                        meeting described in subparagraph (C)(i), 4 or 
                        more members of the Commission shall constitute 
                        a quorum.
                    (F) Facilitator.--The Commission shall contract 
                with a nonpolitical, disinterested third-party entity 
                to serve as a meeting facilitator.
            (4) Chairperson and vice-chairperson.--At the initial 
        meeting of the Commission, the members of the Commission shall 
        select from among the members a Chairperson and Vice-
        Chairperson of the Commission.
    (b) Duties.--
            (1) Recommendations.--The Commission shall review and 
        consider the statutes, studies, and reports described in 
        paragraph (2) for the purpose of understanding the food safety 
        system of the United States in existence as of the date of 
        enactment of this Act.
            (2) Statutes, studies, and reports.--The statutes, studies, 
        and reports referred to in paragraph (1) are--
                    (A) with respect with respect to laws administered 
                by the Secretary of Agriculture--
                            (i) the Federal Seed Act (7 U.S.C. 1551 et 
                        seq.);
                            (ii) the Agricultural Marketing Act of 1946 
                        (7 U.S.C. 1621 et seq.);
                            (iii) the Animal Health Protection Act (7 
                        U.S.C. 8301 et seq.);
                            (iv) the Lacey Act Amendments of 1981 (16 
                        U.S.C. 3371 et seq.);
                            (v) the Poultry Products Inspection Act (21 
                        U.S.C. 451 et seq.);
                            (vi) the Federal Meat Inspection Act (21 
                        U.S.C. 601 et seq.); and
                            (vii) the Egg Products Inspection Act (21 
                        U.S.C. 1031 et seq.);
                    (B) with respect to laws administered by the 
                Secretary of the Treasury, the Federal Alcohol 
                Administration Act (27 U.S.C. 201 et seq.);
                    (C) with respect to laws administered by the 
                Federal Trade Commission, the Act of September 26, 1914 
                (15 U.S.C. 41 et seq.);
                    (D) with respect to laws administered by the 
                Secretary of Health and Human Services--
                            (i) chapters I through IV of the Federal 
                        Food, Drug, and Cosmetic Act (21 U.S.C. 301 et 
                        seq.);
                            (ii) the Public Health Service Act (42 
                        U.S.C. 201 et seq.);
                            (iii) the Import Milk Act (21 U.S.C. 141 et 
                        seq.);
                            (iv) the Food Additives Amendment of 1958 
                        (Public Law 85-929; 52 Stat. 1041);
                            (v) the Fair Packaging and Labeling Act 
                        (Public Law 89-755; 80 Stat. 1296);
                            (vi) the Infant Formula Act of 1980 (21 
                        U.S.C. 301 note; Public Law 96-359);
                            (vii) the Pesticide Monitoring Improvements 
                        Act of 1988 (Public Law 100-418; 102 Stat. 
                        1411);
                            (viii) the Nutrition Labeling and Education 
                        Act of 1990 (21 U.S.C. 301 note; Public Law 
                        101-535);
                            (ix) the Food and Drug Administration 
                        Modernization Act of 1997 (21 U.S.C. 301 note; 
                        Public Law 105-115); and
                            (x) the Public Health Security and 
                        Bioterrorism Preparedness and Response Act of 
                        2002 (21 U.S.C. 201 note; Public Law 107-188);
                    (E) with respect to laws administered by the 
                Attorney General, the Federal Anti-Tampering Act (18 
                U.S.C. 1365 note; Public Law 98-127);
                    (F) with respect to laws administered by the 
                Administrator of the Environmental Protection Agency--
                            (i) the Federal Insecticide, Fungicide, and 
                        Rodenticide Act (7 U.S.C. 136 et seq.);
                            (ii) the Food Quality Protection Act of 
                        1996 (7 U.S.C. 136 note; Public Law 104-170);
                            (iii) the Toxic Substances Control Act (15 
                        U.S.C. 2601 et seq.); and
                            (iv) the Safe Drinking Water Act of 1974 
                        (42 U.S.C. 201 note; Public Law 93-523); and
                    (G) with respect to laws administered by the 
                Secretary of Transportation, chapter 57 of subtitle II 
                of title 49, United States Code (relating to sanitary 
                food transportation); and
                    (H) with respect to Government studies on food 
                safety--
                            (i) the report of the National Academies of 
                        Science entitled ``Ensuring Safe Food from 
                        Production to Consumption'' and dated 1998;
                            (ii) the report of the National Academies 
                        of Science entitled ``Scientific Criteria to 
                        Ensure Safe Food'' and dated 2003;
                            (iii) reports of the Office of the 
                        Inspector General of the Department of 
                        Agriculture, including--
                                    (I) report 24601-0008-CH, entitled 
                                ``Egg Products Processing Inspection'' 
                                and dated September 18, 2007;
                                    (II) report 24005-1-AT, entitled 
                                ``Food Safety and Inspection Service--
                                State Meat and Poultry Inspection 
                                Programs'' and dated September 27, 
                                2006;
                                    (III) report 24601-06-CH, entitled 
                                ``Food Safety and Inspection Service's 
                                In-Plant Performance System'' and dated 
                                March 28, 2006;
                                    (IV) report 24601-05-AT, entitled 
                                ``Hazard Analysis and Critical Control 
                                Point Implementation at Very Small 
                                Plants'' and dated June 24, 2005;
                                    (V) report 24601-04-HY, entitled 
                                ``Food Safety and Inspection Service 
                                Oversight of the 2004 Recall by Quaker 
                                Maid Meats, Inc.'' and dated May 18, 
                                2005;
                                    (VI) report 24501-01-FM, entitled 
                                ``Food Safety and Inspection Service 
                                Application Controls--Performance Based 
                                Inspection System'' and dated November 
                                24, 2004;
                                    (VII) report 24601-03-CH, entitled 
                                ``Food Safety and Inspection Service 
                                Use of Food Safety Information'' and 
                                dated September 30, 2004;
                                    (VIII) report 24601-03-HY, entitled 
                                ``Food Safety and Inspection Service 
                                Effectiveness Checks for the 2002 
                                Pilgrim's Pride Recall'' and dated June 
                                29, 2004;
                                    (IX) report 24601-02-HY, entitled 
                                ``Food Safety and Inspection Service 
                                Oversight of the Listeria Outbreak in 
                                the Northeastern United States'' and 
                                dated June 9, 2004;
                                    (X) report 24099-05-HY, entitled 
                                ``Food Safety and Inspection Service 
                                Imported Meat and Poultry Equivalence 
                                Determinations Phase III'' and dated 
                                December 29, 2003;
                                    (XI) report 24601-2-KC, entitled 
                                ``Food Safety and Inspection Service--
                                Oversight of Production Process and 
                                Recall at Conagra Plant (Establishment 
                                969)'' and dated September 30, 2003;
                                    (XII) report 24601-1-Ch, entitled 
                                ``Laboratory Testing Of Meat And 
                                Poultry Products'' and dated June 21, 
                                2000;
                                    (XIII) report 24001-3-At, 24601-1-
                                Ch, 24099-3-Hy, 24601-4-At, entitled 
                                ``Food Safety and Inspection Service: 
                                HACCP Implementation, Pathogen Testing 
                                Program, Foreign Country Equivalency, 
                                Compliance Activities'' and dated June 
                                21, 2000; and
                                    (XIV) report 24001-3-At, entitled 
                                ``Implementation of the Hazard Analysis 
                                and Critical Control Point System'' and 
                                dated June 21, 2000; and
                    (I) with respect to reports prepared by the 
                Government Accountability Office, the reports 
                designated--
                            (i) GAO-05-212;
                            (ii) GAO-02-47T;
                            (iii) GAO/T-RCED-94-223;
                            (iv) GAO/RCED-99-80;
                            (v) GAO/T-RCED-98-191;
                            (vi) GAO/RCED-98-103;
                            (vii) GAO-07-785T;
                            (viii) GAO-05-51;
                            (ix) GAO/T-RCED-94-311;
                            (x) GAO/RCED-92-152;
                            (xi) GAO/T-RCED-99-232;
                            (xii) GAO/T-RCED-98-271;
                            (xiii) GAO-07-449T;
                            (xiv) GAO-05-213;
                            (xv) GAO-04-588T;
                            (xvi) GAO/RCED-00-255;
                            (xvii) GAO/RCED-00-195; and
                            (xviii) GAO/T-RCED-99-256.
            (3) Report.--Not later than 360 days after the date on 
        which the Commission first meets, the Commission shall submit 
        to the President and Congress a report that includes the report 
        and summaries, statutory language recommendations, and budget 
        recommendations described in clauses (ii) and (iii) of 
        subsection (a)(1)(B).
    (c) Powers of the Commission.--
            (1) Hearings.--The Commission or, at the direction of the 
        Commission, any member of the Commission, may, for the purpose 
        of carrying out this section--
                    (A) hold such hearings, meet and act at such times 
                and places, take such testimony, receive such evidence, 
                and administer such oaths; and
                    (B) require the attendance and testimony of such 
                witnesses and the production of such books, records, 
                correspondence, memoranda, papers, documents, tapes, 
                and materials;
        as the Commission or member considers advisable.
            (2) Information from federal agencies.--
                    (A) In general.--The Commission may secure 
                directly, from any Federal agency, such information as 
                the Commission considers necessary to carry out this 
                section.
                    (B) Provision of information.--
                            (i) In general.--Subject to subparagraph 
                        (C), on the request of the Commission, the head 
                        of a Federal agency described in subparagraph 
                        (A) shall expeditiously furnish information 
                        requested by the Commission to the Commission.
                            (ii) Administration.--The furnishing of 
                        information by a Federal agency to the 
                        Commission shall not be considered a waiver of 
                        any exemption available to the agency under 
                        section 552 of title 5, United States Code.
                    (C) Information to be kept confidential.--For 
                purposes of section 1905 of title 18, United States 
                Code--
                            (i) the Commission shall be considered an 
                        agency of the Federal Government; and
                            (ii) any individual employed by an 
                        individual, entity, or organization that is a 
                        party to a contract with the Commission under 
                        this section shall be considered an employee of 
                        the Commission.
    (d) Commission Personnel Matters.--
            (1) Members.--
                    (A) Non-federal employees.--A member of the 
                Commission who is not an officer or employee of the 
                Federal Government shall be compensated at a rate equal 
                to the daily equivalent of the annual rate of basic pay 
                prescribed for level IV of the Executive Schedule under 
                section 5315 of title 5, United States Code, for each 
                day (including travel time) during which the member is 
                engaged in the performance of the duties of the 
                Commission.
                    (B) Federal employees.--A member of the Commission 
                who is an officer or employee of the Federal Government 
                shall serve without compensation in addition to the 
                compensation received for the services of the member as 
                an officer or employee of the Federal Government.
                    (C) Travel expenses.--A member of the Commission 
                shall be allowed travel expenses, including per diem in 
                lieu of subsistence, at rates authorized for an 
                employee of an agency under subchapter I of chapter 57 
                of title 5, United States Code, while away from the 
                home or regular place of business of the member in the 
                performance of the duties of the Commission.
            (2) Staff.--
                    (A) Executive director.--Not later than 30 days 
                after the Chairperson and Vice-Chairperson of the 
                Commission are selected under subsection (a)(4), the 
                Chairperson and Vice-Chairperson shall jointly select 
                an individual to serve as executive director of the 
                Commission.
                    (B) Additional staff.--The Chairperson of the 
                Commission may, without regard to the civil service 
                laws (including regulations), appoint and terminate the 
                appointment of such other additional personnel as are 
                necessary to enable the Commission to perform the 
                duties of the Commission.
                    (C) Confirmation of executive director.--The 
                employment of an executive director under this 
                paragraph shall be subject to confirmation by the 
                Commission.
                    (D) Compensation.--
                            (i) In general.--Except as provided in 
                        clause (ii), the Chairperson of the Commission 
                        may fix the compensation of the executive 
                        director and other personnel without regard to 
                        the provisions of chapter 51 and subchapter III 
                        of chapter 53 of title 5, United States Code, 
                        relating to classification of positions and 
                        General Schedule pay rates.
                            (ii) Maximum rate of pay.--The rate of pay 
                        for the executive director and other personnel 
                        shall not exceed the rate payable for level II 
                        of the Executive Schedule under section 5316 of 
                        title 5, United States Code.
            (3) Detail of federal government employees.--
                    (A) In general.--An employee of the Federal 
                Government may be detailed to the Commission, without 
                reimbursement, for such period of time as is permitted 
                by law.
                    (B) Civil service status.--The detail of the 
                employee shall be without interruption or loss of civil 
                service status or privilege.
            (4) Procurement of temporary and intermittent services.--
        The Chairperson, Vice-Chairperson, and executive director of 
        the Commission may procure temporary and intermittent services 
        in accordance with section 3109(b) of title 5, United States 
        Code, at rates for individuals that do not exceed the daily 
        equivalent of the annual rate of basic pay prescribed for level 
        IV of the Executive Schedule under section 5316 of that title.
    (e) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as are necessary to carry out this section.
    (f) Termination.--The Commission shall terminate on the date that 
is 60 days after the date on which the Commission submits the report 
under subsection (b)(2).

SEC. 11061. EMERGENCY GRANTS TO ASSIST LOW-INCOME MIGRANT AND SEASONAL 
              FARMWORKERS.

    Section 2281 of the Food, Agriculture, Conservation, and Trade Act 
of 1990 (42 U.S.C. 5177a) is amended to read as follows:

``SEC. 2281. EMERGENCY GRANTS TO ASSIST LOW-INCOME MIGRANT AND SEASONAL 
              FARMWORKERS.

    ``(a) Definitions.--In this section:
            ``(1) Eligible entity.--The term `eligible entity' means a 
        public agency, community-based organization, or network of 
        community-based organizations with tax-exempt status under 
        section 501(c)(3) of the Internal Revenue Code of 1986, that 
        has at least 5 years of demonstrated experience in representing 
        and providing emergency services to low-income migrant or 
        seasonal farmworkers.
            ``(2) Low-income migrant or seasonal farmworker.--The term 
        `low-income migrant or seasonal farmworker' means an 
        individual--
                    ``(A) who has, during any consecutive 12-month 
                period within the preceding 24-month period, performed 
                farm work for wages;
                    ``(B) who has received not less than \1/2\ of the 
                total income of the individual from, or been employed 
                at least \1/2\ of total work time in, farm work; and
                    ``(C) whose annual family income during the 12-
                month period described in paragraph (1) does not exceed 
                the higher of, as determined by the Secretary--
                            ``(i) 185 percent of the most recent annual 
                        Federal Poverty Income Guidelines published by 
                        the Department of Health and Human Services; or
                            ``(ii) 70 percent of the lower living 
                        standard income level.
            ``(3) Secretary.--The term `Secretary' means the Secretary 
        of Agriculture.
    ``(b) Grants Available.--The Secretary may make grants to eligible 
entities if the Secretary determines that a local, State, or national 
emergency or disaster has caused low-income migrant or seasonal 
farmworkers--
            ``(1) to lose income;
            ``(2) to be unable to work; or
            ``(3) to stay home or return home in anticipation of work 
        shortages.
    ``(c) Use of Funds.--As a condition of receiving a grant under 
subsection (b), an eligible entity shall use the grant to provide 
emergency services to low-income migrant or seasonal farmworkers, with 
a focus on--
            ``(1) assistance that allows low-income migrant or seasonal 
        farmworkers to meet or access other resources to meet short-
        term emergency family needs for food, clothing, employment, 
        transportation, and housing;
            ``(2) assistance that allows low-income and migrant 
        seasonal farmworkers to remain in a disaster area; and
            ``(3) such other priorities that the Secretary determines 
        to be appropriate.
    ``(d) Disaster Fund.--
            ``(1) In general.--The Secretary shall maintain a disaster 
        fund of $2,000,000 to be used for immediate assistance for 
        events described in subsection (b).
            ``(2) Funding.--There are authorized to be appropriated to 
        the Secretary such sums as are necessary to maintain the 
        disaster fund at $2,000,000 for each of fiscal years 2008 
        through 2012.''.

SEC. 11062. GRANTS TO REDUCE PRODUCTION OF METHAMPHETAMINES FROM 
              ANHYDROUS AMMONIA.

    (a) Definitions.--In this section:
            (1) Eligible entity.--The term ``eligible entity'' means--
                    (A) a producer of agricultural commodities;
                    (B) a cooperative association, a majority of the 
                members of which produce or process agricultural 
                commodities; or
                    (C) a person in the trade or business of--
                            (i) selling an agricultural product 
                        (including an agricultural chemical) at retail, 
                        predominantly to farmers and ranchers; or
                            (ii) aerial and ground application of an 
                        agricultural chemical.
            (2) Nurse tank.--The term ``nurse tank'' shall be 
        considered to be a cargo tank (within the meaning of section 
        173.315(m) of title 49, Code of Federal Regulations, as in 
        effect as of the date of the enactment of this Act).
    (b) Grant Authority.--The Secretary may make a grant to an eligible 
entity to enable the eligible entity to obtain and add to an anhydrous 
ammonia fertilizer nurse tank a physical lock or a substance to reduce 
the amount of methamphetamine that can be produced from any anhydrous 
ammonia removed from the nurse tank.
    (c) Grant Amount.--The amount of a grant made under this section to 
an eligible entity shall be the product obtained by multiplying--
            (1) an amount not less than $40 and not more than $60, as 
        determined by the Secretary; and
            (2) the number of fertilizer nurse tanks of the eligible 
        entity.
    (d) Authorization of Appropriations.--There is authorized to be 
appropriated to the Secretary to make grants under this section 
$15,000,000 for the period of fiscal years 2008 through 2012.

SEC. 11063. INVASIVE SPECIES MANAGEMENT, HAWAII.

    (a) Definitions.--In this section:
            (1) Secretaries.--The term ``Secretaries'' means--
                    (A) the Secretary of the Interior;
                    (B) the Secretary of Agriculture; and
                    (C) the Secretary of Homeland Security.
            (2) Secretary concerned.--The term ``Secretary concerned'' 
        means--
                    (A) the Secretary of the Interior, with respect to 
                matters under the jurisdiction of the Department of the 
                Interior;
                    (B) the Secretary of Agriculture, with respect to 
                matters under the jurisdiction of the Department of 
                Agriculture; and
                    (C) the Secretary of Homeland Security, with 
                respect to matters under the jurisdiction of the 
                Department of Homeland Security.
            (3) State.--The term ``State'' means the State of Hawaii.
    (b) Controlling Introduction and Spread of Invasive Species and 
Diseases in the State.--
            (1) Consultation and cooperation.--The Secretaries 
        concerned shall--
                    (A) with respect to restricting the introduction or 
                movement of invasive species and diseases into the 
                State, consult and cooperate with the State; and
                    (B) in carrying out the activities described in 
                this subsection, consult and cooperate with appropriate 
                agencies and officers with experience relating to 
                quarantine procedures, natural resources, conservation, 
                and law enforcement of--
                            (i) the Department of Homeland Security;
                            (ii) the Department of Commerce;
                            (iii) the United States Treasury; and
                            (iv) the State.
            (2) Development of collaborative federal and state 
        procedures.--The Secretaries, in collaboration with the State, 
        shall--
                    (A) develop procedures to minimize the introduction 
                of invasive species into the State; and
                    (B) submit to Congress annual reports describing 
                progress made and results achieved in carrying out the 
                procedures.
            (3) Expedited consideration of state and local control 
        proposals.--
                    (A) Expedited process.--Not later than 1 year after 
                the date of enactment of this Act, the Secretaries 
                shall establish an expedited process for the State and 
                political subdivisions of the State under which the 
                State and political subdivisions may, through the 
                submission of an application, seek approval of the 
                Secretary concerned to impose a general or specific 
                prohibition or restriction on the introduction or 
                movement of invasive species or diseases from domestic 
                or foreign locations to the State that is in addition 
                to the applicable prohibition or restriction imposed by 
                the Secretary concerned.
                    (B) Review period.--Not later than 60 days after 
                the date of receipt by the Secretary concerned of an 
                application under subparagraph (A) that the Secretary 
                concerned determines to be a completed application, the 
                Secretary concerned shall--
                            (i) review the completed application;
                            (ii) assess each potential risk with 
                        respect to the completed application; and
                            (iii) approve or disapprove the completed 
                        application.
            (4) Response to emergency threats.--
                    (A) In general.--The State may carry out an 
                emergency action to impose a prohibition or restriction 
                on the entry of an invasive species or disease that is 
                in addition to the applicable prohibition or 
                restriction imposed by the Secretary concerned if--
                            (i) the State has submitted to the 
                        Secretary concerned a completed application 
                        under paragraph (3) that is pending approval by 
                        the Secretary concerned; and
                            (ii) an emergency or imminent threat from 
                        an invasive species or disease occurs in the 
                        State during the period in which the completed 
                        application described in clause (i) is pending 
                        approval by the Secretary concerned.
                    (B) Notice.--Before carrying out an emergency 
                action under subparagraph (A), the State shall provide 
                written notice to the Secretary concerned.
                    (C) Period of emergency action.--If, by the date 
                that is 10 days after the date of receipt of a written 
                notice under subparagraph (B), the Secretary concerned 
                does not object to the emergency action that is the 
                subject of the notice, the State may carry out the 
                emergency action during the 60-day period beginning on 
                that date.
    (c) Authorization of Appropriations.--There are authorized to be 
appropriated to the Secretaries such sums as are necessary to carry out 
this section for each of fiscal years 2008 through 2012.

SEC. 11064. OVERSIGHT AND COMPLIANCE.

    The Secretary, acting through the Assistant Secretary for Civil 
Rights of the Department of Agriculture, shall use the reports 
described in subsection (c) of section 2501A of the Food, Agriculture, 
Conservation, and Trade Act of 1990 (7 U.S.C. 2279-1) (as amended by 
section 11056) in the conduct of oversight and evaluation of civil 
rights compliance.

SEC. 11065. REPORT OF CIVIL RIGHTS COMPLAINTS, RESOLUTIONS, AND 
              ACTIONS.

    Each year, the Secretary shall--
            (1) prepare a report that describes, for each agency of the 
        Department of Agriculture--
                    (A) the number of civil rights complaints filed 
                that relate to the agency, including whether a 
                complaint is a program complaint or an employment 
                complaint;
                    (B) the length of time the agency took to process 
                each civil rights complaint;
                    (C) the number of proceedings brought against the 
                agency, including the number of complaints described in 
                paragraph (1) that were resolved with a finding of 
                discrimination; and
                    (D) the number and type of personnel actions taken 
                by the agency following resolution of civil rights 
                complaints;
            (2) submit to the Committee on Agriculture of the House of 
        Representatives and the Committee on Agriculture, Nutrition, 
        and Forestry of the Senate a copy of the report; and
            (3) make the report available to the public by posting the 
        report on the website of the Department.

SEC. 11066. GRANTS TO IMPROVE SUPPLY, STABILITY, SAFETY, AND TRAINING 
              OF AGRICULTURAL LABOR FORCE.

    (a) Definition of Eligible Entity.--In this section, the term 
``eligible entity'' means a nonprofit, community-based organization, or 
a consortium of nonprofit, community-based organizations, agricultural 
labor organizations, farmer or rancher cooperatives, and public 
entities, that has the capacity (including demonstrated experience in 
providing training, housing, or emergency services to migrant and 
seasonal farmworkers) to assist agricultural employers and farmworkers 
with improvements in the supply, stability, safety, and training of the 
agricultural labor force.
    (b) Grants.--
            (1) In general.--The Secretary may provide grants to 
        eligible entities for use in providing services to assist 
        farmworkers in securing, retaining, upgrading, or returning 
        from agricultural jobs.
            (2) Eligible services.--The services referred to in 
        paragraph (1) include--
                    (A) agricultural upgrading and cross training;
                    (B) the provision of agricultural labor market 
                information;
                    (C) transportation;
                    (D) short-term housing, including housing for 
                unaccompanied farmworkers and at migrant rest stops;
                    (E) travelers' aid;
                    (F) workplace literacy and assistance with English 
                as a second language;
                    (G) health and safety instruction, including ways 
                of safeguarding the food supply of the United States; 
                and
                    (H) limited emergency and financial assistance, in 
                cases in which the Secretary determines that a 
                national, State, or local emergency or disaster has 
                caused migrant or seasonal farmworkers to lose income 
                or employment.
            (3) Emergency assistance.--Any emergency services provided 
        using funds from a grant in accordance with paragraph (2)(H)--
                    (A) shall be consistent with section 2281 of the 
                Food, Agriculture, Conservation, and Trade Act of 1990 
                (as amended by section 11061);
                    (B) shall be focused on assistance to allow low-
                income farmworkers and their families to meet short-
                term needs for such food, clothing, employment, 
                transportation, and housing as are necessary to regain 
                employment or return home; and
                    (C) may include such other types of assistance as 
                the Secretary determines to be appropriate.
    (c) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as are necessary to carry out this section for 
each of fiscal years 2008 through 2012.

SEC. 11067. INTERSTATE SHIPMENT OF MEAT AND POULTRY INSPECTED BY 
              FEDERAL AND STATE AGENCIES FOR CERTAIN SMALL 
              ESTABLISHMENTS.

    (a) Meat and Meat Products.--The Federal Meat Inspection Act (21 
U.S.C. 601 et seq.) is amended by adding at the end the following:

          ``TITLE V--INSPECTIONS BY FEDERAL AND STATE AGENCIES

``SEC. 501. INTERSTATE SHIPMENT OF MEAT INSPECTED BY FEDERAL AND STATE 
              AGENCIES FOR CERTAIN SMALL ESTABLISHMENTS.

    ``(a) Definitions.--
            ``(1) Appropriate state agency.--The term `appropriate 
        State agency' means a State agency described in section 301(b).
            ``(2) Designated personnel.--The term `designated 
        personnel' means inspection personnel of a State agency that 
        have undergone all necessary inspection training and 
        certification to assist the Secretary in the administration and 
        enforcement of this Act, including regulations.
            ``(3) Eligible establishment.--The term `eligible 
        establishment' means an establishment that is in compliance 
        with--
                    ``(A) the State inspection program of the State in 
                which the establishment is located; and
                    ``(B) this Act.
            ``(4) Meat item.--The term `meat item' means--
                    ``(A) a portion of meat; and
                    ``(B) a meat food product.
            ``(5) Selected establishment.--The term `selected 
        establishment' means an eligible establishment that is selected 
        by the Secretary, in coordination with the appropriate State 
        agency of the State in which the eligible establishment is 
        located, under subsection (b) to ship carcasses, portions of 
        carcasses, and meat items in interstate commerce.
    ``(b) Authority of Secretary To Allow Shipments.--
            ``(1) In general.--Subject to paragraph (2), the Secretary, 
        in coordination with the appropriate State agency of the State 
        in which an establishment is located, may select the 
        establishment to ship carcasses, portions of carcasses, and 
        meat items in interstate commerce, and place on each carcass, 
        portion of a carcass, and meat item shipped in interstate 
        commerce a Federal mark, stamp, tag, or label of inspection, if 
        the establishment--
                    ``(A) is an eligible establishment; and
                    ``(B) is located in a State that has designated 
                personnel to inspect the eligible establishment.
            ``(2) Prohibited establishments.--In carrying out paragraph 
        (1), the Secretary, in coordination with an appropriate State 
        agency, shall not select an establishment that--
                    ``(A) on average, employs more than 25 employees 
                (including supervisory and nonsupervisory employees), 
                as defined by the Secretary;
                    ``(B) as of the date of enactment of this section, 
                ships in interstate commerce carcasses, portions of 
                carcasses, or meat items that are inspected by the 
                Secretary in accordance with this Act;
                    ``(C)(i) is a Federal establishment;
                    ``(ii) was a Federal establishment that was 
                reorganized on a later date under the same name or a 
                different name or person by the person, firm, or 
                corporation that controlled the establishment as of the 
                date of enactment of this section; or
                    ``(iii) was a State establishment as of the date of 
                enactment of this section that--
                            ``(I) as of the date of enactment of this 
                        section, employed more than 25 employees; and
                            ``(II) was reorganized on a later date by 
                        the person, firm, or corporation that 
                        controlled the establishment as of the date of 
                        enactment of this section;
                    ``(D) is in violation of this Act;
                    ``(E) is located in a State that does not have a 
                State inspection program; or
                    ``(F) is the subject of a transition carried out in 
                accordance with a procedure developed by the Secretary 
                under paragraph (3)(A).
            ``(3) Establishments that employ more than 25 employees.--
                    ``(A) Development of procedure.--The Secretary may 
                develop a procedure to transition to a Federal 
                establishment any establishment under this section 
                that, on average, consistently employs more than 25 
                employees.
                    ``(B) Eligibility of certain establishments.--
                            ``(i) In general.--A State establishment 
                        that employs more than 25 employees but less 
                        than 35 employees as of the date of enactment 
                        of this section may be selected as a selected 
                        establishment under this subsection.
                            ``(ii) Procedures.--A State establishment 
                        shall be subject to the procedures established 
                        under subparagraph (A) beginning on the date 
                        that is 3 years after the effective date 
                        described in subsection (j).
    ``(c) Reimbursement of State Costs.--
            ``(1) In general.--Except as provided in paragraph (2), the 
        Secretary shall reimburse a State for costs related to the 
        inspection of selected establishments in the State in 
        accordance with Federal requirements in an amount of not less 
        than 60 percent of eligible State costs.
            ``(2) Microbiological verification testing.--The Secretary 
        may reimburse a State for 100 percent of eligible State costs 
        relating to the inspection of selected establishments in the 
        State, if the State provides additional microbiological 
        verification testing of the selected establishments, using 
        standards under this Act, that is in excess of the typical 
        verification testing frequency of the Federal Government with 
        respect to Federal establishments.
    ``(d) Coordination Between Federal and State Agencies.--
            ``(1) In general.--The Secretary shall designate an 
        employee of the Federal Government as State coordinator for 
        each appropriate State agency--
                    ``(A) to provide oversight and enforcement of this 
                title; and
                    ``(B) to oversee the training and inspection 
                activities of designated personnel of the State agency.
            ``(2) Supervision.--A State coordinator shall be under the 
        direct supervision of the Secretary.
            ``(3) Duties of state coordinator.--
                    ``(A) In general.--A State coordinator shall visit 
                selected establishments with a frequency that is 
                appropriate to ensure that selected establishments are 
                operating in a manner that is consistent with this Act 
                (including regulations and policies under this Act).
                    ``(B) Quarterly reports.--A State coordinator 
                shall, on a quarterly basis, submit to the Secretary a 
                report that describes the status of each selected 
                establishment that is under the jurisdiction of the 
                State coordinator with respect to the level of 
                compliance of each selected establishment with the 
                requirements of this Act.
                    ``(C) Immediate notification requirement.--If a 
                State coordinator determines that any selected 
                establishment that is under the jurisdiction of the 
                State coordinator is in violation of any requirement of 
                this Act, the State coordinator shall--
                            ``(i) immediately notify the Secretary of 
                        the violation; and
                            ``(ii) deselect the selected establishment 
                        or suspend inspection at the selected 
                        establishment.
            ``(4) Performance evaluations.--Performance evaluations of 
        State coordinators designated under this subsection shall be 
        conducted by the Secretary as part of the Federal agency 
        management control system.
    ``(e) Audits.--
            ``(1) Periodic audits conducted by inspector general of the 
        department of agriculture.--Not later than 2 years after the 
        effective date described in subsection (j), and not less often 
        than every 2 years thereafter, the Inspector General of the 
        Department of Agriculture shall conduct an audit of each 
        activity taken by the Secretary under this section for the 
        period covered by the audit to determine compliance with this 
        section.
            ``(2) Audit conducted by comptroller general of the united 
        states.--Not earlier than 3 years, nor later than 5 years, 
        after the date of enactment of this section, the Comptroller 
        General of the United States shall conduct an audit of the 
        implementation of this section to determine--
                    ``(A) the effectiveness of the implementation of 
                this section; and
                    ``(B) the number of selected establishments 
                selected by the Secretary under this section.
    ``(f) Inspection Training Division.--
            ``(1) Establishment.--Not later than 180 days after the 
        effective date described in subsection (j), the Secretary shall 
        establish in the Food Safety and Inspection Service of the 
        Department of Agriculture an inspection training division to 
        coordinate the initiatives of any other appropriate agency of 
        the Department of Agriculture to provide--
                    ``(A) outreach, education, and training to very 
                small or certain small establishments (as defined by 
                the Secretary); and
                    ``(B) grants to appropriate State agencies to 
                provide outreach, technical assistance, education, and 
                training to very small or certain small establishments 
                (as defined by the Secretary).
            ``(2) Personnel.--The inspection training division shall be 
        comprised of individuals that, as determined by the Secretary--
                    ``(A) are of a quantity sufficient to carry out the 
                duties of the inspection training division; and
                    ``(B) possess appropriate qualifications and 
                expertise relating to the duties of the inspection 
                training division.
    ``(g) Transition Grants.--The Secretary may provide grants to 
appropriate State agencies to assist the appropriate State agencies in 
helping establishments covered by title III to transition to selected 
establishments.
    ``(h) Violations.--Any selected establishment that the Secretary 
determines to be in violation of any requirement of this Act shall be 
transitioned to a Federal establishment in accordance with a procedure 
developed by the Secretary under subsection (b)(3)(A).
    ``(i) Effect.--Nothing in this section limits the jurisdiction of 
the Secretary with respect to the regulation of meat and meat products 
under this Act.
    ``(j) Effective Date.--
            ``(1) In general.--This section takes effect on the date on 
        which the Secretary, after providing a period of public comment 
        (including through the conduct of public meetings or hearings), 
        promulgates final regulations to carry out this section.
            ``(2) Requirement.--Not later than 18 months after the date 
        of enactment of this section, the Secretary shall promulgate 
        final regulations in accordance with paragraph (1).''.
    (b) Poultry and Poultry Products.--The Poultry Products Inspection 
Act (21 U.S.C. 451 et seq.) is amended by adding at the end the 
following:

``SEC. 31. INTERSTATE SHIPMENT OF POULTRY INSPECTED BY FEDERAL AND 
              STATE AGENCIES FOR CERTAIN SMALL ESTABLISHMENTS.

    ``(a) Definitions.--
            ``(1) Appropriate state agency.--The term `appropriate 
        State agency' means a State agency described in section 
        5(a)(1).
            ``(2) Designated personnel.--The term `designated 
        personnel' means inspection personnel of a State agency that 
        have undergone all necessary inspection training and 
        certification to assist the Secretary in the administration and 
        enforcement of this Act, including regulations.
            ``(3) Eligible establishment.--The term `eligible 
        establishment' means an establishment that is in compliance 
        with--
                    ``(A) the State inspection program of the State in 
                which the establishment is located; and
                    ``(B) this Act.
            ``(4) Poultry item.--The term `poultry item' means--
                    ``(A) a portion of poultry; and
                    ``(B) a poultry product.
            ``(5) Selected establishment.--The term `selected 
        establishment' means an eligible establishment that is selected 
        by the Secretary, in coordination with the appropriate State 
        agency of the State in which the eligible establishment is 
        located, under subsection (b) to ship poultry items in 
        interstate commerce.
    ``(b) Authority of Secretary To Allow Shipments.--
            ``(1) In general.--Subject to paragraph (2), the Secretary, 
        in coordination with the appropriate State agency of the State 
        in which an establishment is located, may select the 
        establishment to ship poultry items in interstate commerce, and 
        place on each poultry item shipped in interstate commerce a 
        Federal mark, stamp, tag, or label of inspection, if the 
        establishment--
                    ``(A) is an eligible establishment; and
                    ``(B) is located in a State that has designated 
                personnel to inspect the eligible establishment.
            ``(2) Prohibited establishments.--In carrying out paragraph 
        (1), the Secretary, in coordination with an appropriate State 
        agency, shall not select an establishment that--
                    ``(A) on average, employs more than 25 employees 
                (including supervisory and nonsupervisory employees), 
                as defined by the Secretary;
                    ``(B) as of the date of enactment of this section, 
                ships in interstate commerce carcasses, poultry items 
                that are inspected by the Secretary in accordance with 
                this Act;
                    ``(C)(i) is a Federal establishment;
                    ``(ii) was a Federal establishment as of the date 
                of enactment of this section, and was reorganized on a 
                later date under the same name or a different name or 
                person by the person, firm, or corporation that 
                controlled the establishment as of the date of 
                enactment of this section; or
                    ``(iii) was a State establishment as of the date of 
                enactment of this section that--
                            ``(I) as of the date of enactment of this 
                        section, employed more than 25 employees; and
                            ``(II) was reorganized on a later date by 
                        the person, firm, or corporation that 
                        controlled the establishment as of the date of 
                        enactment of this section;
                    ``(D) is in violation of this Act;
                    ``(E) is located in a State that does not have a 
                State inspection program; or
                    ``(F) is the subject of a transition carried out in 
                accordance with a procedure developed by the Secretary 
                under paragraph (3)(A).
            ``(3) Establishments that employ more than 25 employees.--
                    ``(A) Development of procedure.--The Secretary may 
                develop a procedure to transition to a Federal 
                establishment any establishment under this section 
                that, on average, consistently employs more than 25 
                employees.
                    ``(B) Eligibility of certain establishments.--
                            ``(i) In general.--A State establishment 
                        that employs more than 25 employees but less 
                        than 35 employees as of the date of enactment 
                        of this section may be selected as a selected 
                        establishment under this subsection.
                            ``(ii) Procedures.--A State establishment 
                        shall be subject to the procedures established 
                        under subparagraph (A) beginning on the date 
                        that is 3 years after the effective date 
                        described in subsection (i).
    ``(c) Reimbursement of State Costs.--
            ``(1) In general.--Except as provided in paragraph (2), the 
        Secretary shall reimburse a State for costs related to the 
        inspection of selected establishments in the State in 
        accordance with Federal requirements in an amount of not less 
        than 60 percent of eligible State costs.
            ``(2) Microbiological verification testing.--The Secretary 
        may reimburse a State for 100 percent of eligible State costs 
        relating to the inspection of selected establishments in the 
        State, if the State provides additional microbiological 
        verification testing of the selected establishments, using 
        standards under this Act, that is in excess of the typical 
        verification testing frequency of the Federal Government with 
        respect to Federal establishments.
    ``(d) Coordination Between Federal and State Agencies.--
            ``(1) In general.--The Secretary shall designate an 
        employee of the Federal Government as State coordinator for 
        each appropriate State agency--
                    ``(A) to provide oversight and enforcement of this 
                section; and
                    ``(B) to oversee the training and inspection 
                activities of designated personnel of the State agency.
            ``(2) Supervision.--A State coordinator shall be under the 
        direct supervision of the Secretary.
            ``(3) Duties of state coordinator.--
                    ``(A) In general.--A State coordinator shall visit 
                selected establishments with a frequency that is 
                appropriate to ensure that selected establishments are 
                operating in a manner that is consistent with this Act 
                (including regulations and policies under this Act).
                    ``(B) Quarterly reports.--A State coordinator 
                shall, on a quarterly basis, submit to the Secretary a 
                report that describes the status of each selected 
                establishment that is under the jurisdiction of the 
                State coordinator with respect to the level of 
                compliance of each selected establishment with the 
                requirements of this Act.
                    ``(C) Immediate notification requirement.--If a 
                State coordinator determines that any selected 
                establishment that is under the jurisdiction of the 
                State coordinator is in violation of any requirement of 
                this Act, the State coordinator shall--
                            ``(i) immediately notify the Secretary of 
                        the violation; and
                            ``(ii) deselect the selected establishment 
                        or suspend inspection at the selected 
                        establishment.
            ``(4) Performance evaluations.--Performance evaluations of 
        State coordinators designated under this subsection shall be 
        conducted by the Secretary as part of the Federal agency 
        management control system.
    ``(e) Audits.--
            ``(1) Periodic audits conducted by inspector general of the 
        department of agriculture.--Not later than 2 years after the 
        effective date described in subsection (i), and not less often 
        than every 2 years thereafter, the Inspector General of the 
        Department of Agriculture shall conduct an audit of each 
        activity taken by the Secretary under this section for the 
        period covered by the audit to determine compliance with this 
        section.
            ``(2) Audit conducted by comptroller general of the united 
        states.--Not earlier than 3 years, nor later than 5 years, 
        after the date of enactment of this section, the Comptroller 
        General of the United States shall conduct an audit of the 
        implementation of this section to determine--
                    ``(A) the effectiveness of the implementation of 
                this section; and
                    ``(B) the number of selected establishments 
                selected by the Secretary under this section.
    ``(f) Transition Grants.--The Secretary may provide grants to 
appropriate State agencies to assist the appropriate State agencies in 
helping establishments covered by this Act to transition to selected 
establishments.
    ``(g) Violations.--Any selected establishment that the Secretary 
determines to be in violation of any requirement of this Act shall be 
transitioned to a Federal establishment in accordance with a procedure 
developed by the Secretary under subsection (b)(3)(A).
    ``(h) Effect.--Nothing in this section limits the jurisdiction of 
the Secretary with respect to the regulation of poultry and poultry 
products under this Act.
    ``(i) Effective Date.--
            ``(1) In general.--This section takes effect on the date on 
        which the Secretary, after providing a period of public comment 
        (including through the conduct of public meetings or hearings), 
        promulgates final regulations to carry out this section.
            ``(2) Requirement.--Not later than 18 months after the date 
        of enactment of this section, the Secretary shall promulgate 
        final regulations in accordance with paragraph (1).''.

SEC. 11068. PREVENTION AND INVESTIGATION OF PAYMENT AND FRAUD AND 
              ERROR.

    Section 1113 of the Right to Financial Privacy Act of 1978 (12 
U.S.C. 3413) is amended by striking subsection (k) and inserting the 
following:
    ``(k) Disclosure Necessary for Proper Administration of Programs of 
Certain Government Authorities.--
            ``(1) Disclosure to government authorities.--Nothing in 
        this title shall apply to the disclosure by the financial 
        institution of the financial records of any customer to the 
        Department of the Treasury, the Social Security Administration, 
        the Railroad Retirement Board, or any other Government 
        authority that certifies, disburses, or collects payments, when 
        the disclosure of such information is necessary to, and such 
        information is used solely for the purposes of--
                    ``(A) the proper administration of section 1441 of 
                the Internal Revenue Code of 1986 (26 U.S.C. 1441);
                    ``(B) the proper administration of title II of the 
                Social Security Act (42 U.S.C. 401 et seq.);
                    ``(C) the proper administration of the Railroad 
                Retirement Act of 1974 (45 U.S.C. 231 et seq.);
                    ``(D) the verification of the identify of any 
                person in connection with the issuance of a Federal 
                payment or collection of funds by a Government 
                authority; or
                    ``(E) the investigation or recovery of an improper 
                Federal payment or collection of funds, or an 
                improperly negotiated Treasury check.
            ``(2) Limitations on subsequent disclosure.--
        Notwithstanding any other provision of law, any request 
        authorized by paragraph (1), and the information contained 
        therein, may be used by the financial institution and its 
        agents solely for the purpose of providing the customer's 
        financial records to the Government authority requesting the 
        information and shall be barred from redisclosure by the 
        financial institution or its agents. Any Government authority 
        receiving information pursuant to paragraph (1) may not 
        disclose or use the information except for the purposes set 
        forth in such paragraph.''.

SEC. 11069. ELIMINATION OF STATUTE OF LIMITATIONS APPLICABLE TO 
              COLLECTION OF DEBT BY ADMINISTRATIVE OFFSET.

    (a) Elimination.--Section 3716 of title 31, United States Code, is 
amended by striking subsection (e) and inserting the following:
    ``(e)(1) Notwithstanding any other provision of law, regulation, or 
administrative limitation, no limitation on the period within which an 
offset may be initiated or taken pursuant to this section shall be 
effective.
    ``(2) This section does not apply when a statute explicitly 
prohibits using administrative offset or setoff to collect the claim or 
type of claim involved.''.
    (b) Application of Amendment.--The amendment made by subsection (a) 
shall apply to any debt outstanding on or after the date of the 
enactment of this Act.

SEC. 11070. STORED QUANTITIES OF PROPANE.

    Section 550(a) of the Department of Homeland Security 
Appropriations Act, 2007 (6 U.S.C. 121 note; Public Law 109-295), is 
amended by striking ``Commission.'' and inserting the following:
``Commission: Provided further, That the Secretary shall not apply 
interim or final regulations relating to stored threshold quantities of 
propane for sale, storage, or use on homestead property, agricultural 
operations, or small business concerns (as defined in section 3 of the 
Small Business Act (15 U.S.C. 632)) that are located in rural areas (as 
defined in section 520 of the Housing Act of 1949 (42 U.S.C. 1490)), 
unless the Secretary submits to Congress a report describing an 
immediate or imminent threat against such a stored quantity of propane: 
Provided further, That nothing in this section exempts the Secretary 
from implementing any interim or final regulation relating to stored 
threshold quantities of propane for sale, use, or storage in an area 
that is not a rural areas (as so defined).''.

SEC. 11071. CLOSURE OF CERTAIN COUNTY FSA OFFICES.

    (a) Definition of Critical Access County FSA Office.--
            (1) In general.--In this section, the term ``critical 
        access county FSA office'' means an office of the Farm Service 
        Agency that, during the period described in paragraph (2), is--
                    (A) proposed to be closed;
                    (B) proposed to be closed with the closure delayed 
                until after January 1, 2008, due to additional review 
                pursuant to the third proviso of matter under the 
                heading ``salaries and expenses'' under the heading 
                ``Farm Service Agency'' of the Agriculture, Rural 
                Development, Food and Drug Administration, and Related 
                Agencies Appropriations Act, 2006 (Public Law 109-97; 
                119 Stat. 2131); or
                    (C) included on a list of critical access county 
                FSA offices determined in accordance with that Act and 
                submitted to the Committee on Agriculture, Nutrition, 
                and Forestry of the Senate by the Secretary on October 
                24, 2007.
            (2) Description of period.--The period referred to in 
        paragraph (1) is the period beginning on November 10, 2005, and 
        ending on December 31, 2007.
            (3) Exception.--The term ``critical access county FSA 
        office'' does not include any office of the Farm Service Agency 
        that--
                    (A) is located not more than 20 miles from another 
                office of the Farm Service Agency, unless the office is 
                located within an identified limited-resource area 
                consisting of at least 4 contiguous high-poverty 
                counties; or
                    (B) employs no full-time equivalent employees as of 
                the date of enactment of this Act.
    (b) Extension of Period of Operation.--
            (1) In general.--Notwithstanding any other provision of 
        law, except as provided in paragraph (3), none of the funds 
        made available to the Secretary by any Act may be used to pay 
        the salaries or expenses of any officer or employee of the 
        Department of Agriculture to close any critical access county 
        FSA office during the period beginning on November 1, 2007, and 
        ending on September 30, 2012.
            (2) Number of employees.--
                    (A) In general.--Subject to subparagraphs (B) and 
                (C), the Secretary shall ensure that each critical 
                access county FSA office in each State maintains a 
                staff level of not less than 3 full-time equivalent 
                employees during the period described in paragraph (1).
                    (B) Staffing flexibility.--Notwithstanding 
                subparagraph (A) and subject to subparagraph (C), an 
                employee required to meet the staff level of a critical 
                access county FSA office in a State as described in 
                subparagraph (A) may be employed at any other county 
                office of the Farm Service Agency in that State, as the 
                Secretary determines to be appropriate.
                    (C) Minimum staffing level.--A critical access 
                county FSA office shall be staffed by not less than 1 
                full-time equivalent employee during the period 
                described in paragraph (1).
            (3) Exception.--The Secretary may close a critical access 
        county FSA office only on concurrence in the determination to 
        close the critical access county FSA office by--
                    (A) Congress; and
                    (B) the applicable State Farm Service Agency 
                committee.
                                                       Calendar No. 470

110th CONGRESS

  1st Session

                                S. 2302

                          [Report No. 110-220]

_______________________________________________________________________

                                 A BILL

To provide for the continuation of agricultural programs through fiscal 
                   year 2012, and for other purposes.

_______________________________________________________________________

                            November 2, 2007

                 Read twice and placed on the calendar