II 112th CONGRESS 1st Session S. 25 IN THE SENATE OF THE UNITED STATES January 25 (legislative day, January 5), 2011 Mrs. Shaheen (for herself, Mr. Kirk, and Mr. Durbin) introduced the following bill; which was read twice and referred to the Committee on Agriculture, Nutrition, and Forestry A BILL To phase out the Federal sugar program, and for other purposes.

1.

Short title

This Act may be cited as the Stop Unfair Giveaways and Restrictions Act of 2011 or SUGAR Act of 2011.

2.

Sugar program

(a)

In general

Section 156 of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7272) is amended— (1)in subsection (d), by striking paragraph (1) and inserting the following: (1)

Loans

The Secretary shall carry out this section through the use of recourse loans. ; (2)by redesignating subsection (i) as subsection (j); (3)by inserting after subsection (h) the following: (i)

Phased reduction of loan rate

For each of the 2012, 2013, and 2014 crops of sugar beets and sugarcane, the Secretary shall lower the loan rate for each succeeding crop in a manner that progressively and uniformly lowers the loan rate for sugar beets and sugarcane to $0 for the 2015 crop. ; and (4)in subsection (j) (as redesignated), by striking 2012 and inserting 2014. (b)

Prospective repeal

Effective beginning with the 2015 crop of sugar beets and sugarcane, section 156 of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7272) is repealed.

3.

Elimination of sugar price support and production adjustment programs

(a)

In general

Notwithstanding any other provision of law— (1)a processor of any of the 2015 or subsequent crops of sugarcane or sugar beets shall not be eligible for a loan under any provision of law with respect to the crop; and (2)the Secretary of Agriculture may not make price support available, whether in the form of a loan, payment, purchase, or other operation, for any of the 2015 and subsequent crops of sugar beets and sugarcane by using the funds of the Commodity Credit Corporation or other funds available to the Secretary. (b)

Termination of marketing quotas and allotments

(1)

In general

Part VII of subtitle B of title III of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359aa et seq.) is repealed. (2)

Conforming amendment

Section 344(f)(2) of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1344(f)(2)) is amended by striking sugar cane for sugar, sugar beets for sugar,. (c)

General powers

(1)

Section 32 activities

Section 32 of the Act of August 24, 1935 (7 U.S.C. 612c), is amended in the second sentence of the first paragraph— (A)in paragraph (1), by inserting (other than sugar beets and sugarcane) after commodities; and (B)in paragraph (3), by inserting (other than sugar beets and sugarcane) after commodity. (2)

Powers of commodity credit corporation

Section 5(a) of the Commodity Credit Corporation Charter Act (15 U.S.C. 714c(a)) is amended by inserting , sugar beets, and sugarcane after tobacco. (3)

Price support for nonbasic agricultural commodities

Section 201(a) of the Agricultural Act of 1949 (7 U.S.C. 1446(a)) is amended by striking milk, sugar beets, and sugarcane and inserting , and milk. (4)

Commodity Credit Corporation storage payments

Section 167 of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7287) is repealed. (5)

Suspension and repeal of permanent price support authority

Section 171(a)(1) of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7301(a)(1)) is amended— (A)by striking subparagraph (E); and (B)by redesignating subparagraphs (F) through (I) as subparagraphs (E) through (H), respectively. (6)

Storage facility loans

Section 1402(c) of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7971) is repealed. (7)

Feedstock flexibility program for bioenergy producers

Effective beginning with the 2013 crop of sugar beets and sugarcane, section 9010 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 8110) is repealed. (d)

Transition provisions

This section and the amendments made by this section shall not affect the liability of any person under any provision of law as in effect before the application of this section and the amendments made by this section.

4.

Tariff-rate quotas

(a)

Establishment

Except as provided in subsection (c) and notwithstanding any other provision of law, not later than October 1, 2011, the Secretary of Agriculture shall develop and implement a program to increase the tariff-rate quotas for raw cane sugar and refined sugars for a quota year in a manner that ensures— (1)a robust and competitive sugar processing industry in the United States; and (2)an adequate supply of sugar at reasonable prices in the United States. (b)

Factors

In determining the tariff-rate quotas necessary to satisfy the requirements of subsection (a), the Secretary shall consider the following: (1)The quantity and quality of sugar that will be subject to human consumption in the United States during the quota year. (2)The quantity and quality of sugar that will be available from domestic processing of sugarcane, sugar beets, and in-process beet sugar. (3)The quantity of sugar that would provide for reasonable carryover stocks. (4)The quantity of sugar that will be available from carryover stocks for human consumption in the United States during the quota year. (5)Consistency with the obligations of the United States under international agreements. (c)

Exemption

Subsection (a) shall not include specialty sugar. (d)

Definitions

In this section, the terms quota year and human consumption have the meaning such terms had under section 359k of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359kk) (as in effect on the day before the date of the enactment of this Act).

5.

Application

Except as otherwise provided in this Act, this Act and the amendments made by this Act shall apply beginning with the 2012 crop of sugar beets and sugarcane.