[Congressional Record Volume 143, Number 124 (Wednesday, September 17, 1997)]
[House]
[Pages H7509-H7526]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                     CONFERENCE REPORT ON H.R. 2160

  Mr. SKEEN submitted the following conference report and statement on 
the bill (H.R. 2160) making appropriations for Agriculture, Rural 
Development, Food and Drug Administration, and Related Agencies 
programs for the fiscal year ending September 30, 1998, and for other 
purposes:

                  Conference Report (H. Rept. 105-252)

       The committee of conference on the disagreeing votes of the 
     two Houses on the amendment of the Senate to the bill (H.R. 
     2160) ``making appropriations for Agriculture, Rural 
     Development, Food and Drug Administration, and Related 
     Agencies programs for the fiscal year ending September 30, 
     1998, and for other purposes,'' having met, after full and 
     free conference, have agreed to recommend and do recommend to 
     their respective Houses as follows:
       That the House recede from its disagreement to the 
     amendment of the Senate, and agree to the same with an 
     amendment, as follows:
       In lieu of the matter stricken and inserted by said 
     amendment, insert:
     That the following sums are appropriated, out of any money in 
     the Treasury not otherwise appropriated, for Agriculture, 
     Rural Development, Food and Drug Administration, and Related 
     Agencies programs for the fiscal year ending September 30, 
     1998, and for other purposes, namely:

                                TITLE I

                         AGRICULTURAL PROGRAMS

                 Production, Processing, and Marketing

                        Office of the Secretary


                     (including transfers of funds)

       For necessary expenses of the Office of the Secretary of 
     Agriculture, and not to exceed $75,000 for employment under 5 
     U.S.C. 3109, $2,836,000: Provided, That not to exceed $11,000 
     of this amount, along with any unobligated balances of 
     representation funds in the Foreign Agricultural Service, 
     shall be available for official reception and representation 
     expenses, not otherwise provided for, as determined by the 
     Secretary: Provided further, That none of the funds 
     appropriated or otherwise made available by this Act may be 
     used to pay the salaries and expenses of personnel of the 
     Department of Agriculture to carry out section 793(c)(1)(C) 
     of Public Law 104-127: Provided further, That none of the 
     funds made available by this Act may be used to enforce 
     section 793(d) of Public Law 104-127.

                          Executive Operations


                            chief economist

       For necessary expenses of the Chief Economist, including 
     economic analysis, risk assessment, cost-benefit analysis, 
     and the functions of the World Agricultural Outlook Board, as 
     authorized by the Agricultural Marketing Act of 1946 (7 
     U.S.C. 1622g), and including employment pursuant to the 
     second sentence of section 706(a) of the Organic Act of 1944 
     (7 U.S.C. 2225), of which not to exceed $5,000 is for 
     employment under 5 U.S.C. 3109, $5,048,000.


                       national appeals division

       For necessary expenses of the National Appeals Division, 
     including employment pursuant to the second sentence of 
     section 706(a) of the Organic Act of 1944 (7 U.S.C. 2225), of 
     which not to exceed $25,000 is for employment under 5 U.S.C. 
     3109, $11,718,000.


                 office of budget and program analysis

       For necessary expenses of the Office of Budget and Program 
     Analysis, including employment pursuant to the second 
     sentence of section 706(a) of the Organic Act of 1944 (7 
     U.S.C. 2225), of which not to exceed $5,000 is for employment 
     under 5 U.S.C. 3109, $5,986,000.


                office of the chief information officer

       For necessary expenses of the Office of the Chief 
     Information Officer, including employment pursuant to the 
     second sentence of section 706(a) of the Organic Act of 1944 
     (7 U.S.C. 2225), of which not to exceed $10,000 is for 
     employment under 5 U.S.C. 3109, $4,773,000.

                 Office of the Chief Financial Officer

       For necessary expenses of the Office of the Chief Financial 
     Officer, including employment pursuant to the second sentence 
     of section 706(a) of the Organic Act of 1944 (7 U.S.C. 2225), 
     of which not to exceed $10,000 is for employment under 5 
     U.S.C. 3109, $4,283,000: Provided, That the Chief Financial 
     Officer shall actively market cross-servicing activities of 
     the National Finance Center.

          Office of the Assistant Secretary for Administration

       For necessary salaries and expenses of the Office of the 
     Assistant Secretary for Administration to carry out the 
     programs funded in this Act, $613,000.

        Agriculture Buildings and Facilities and Rental Payments


                     (including transfers of funds)

       For payment of space rental and related costs pursuant to 
     Public Law 92-313, including authorities pursuant to the 1984 
     delegation of authority from the Administrator of General 
     Services to the Department of Agriculture under 40 U.S.C. 
     486, for programs and activities of the Department which are 
     included in this Act, and for the operation, maintenance, and 
     repair of Agriculture buildings, $123,385,000: Provided, That 
     in the event an agency within the Department should require 
     modification of space needs, the Secretary of Agriculture may 
     transfer a share of that agency's appropriation made 
     available by this Act to this appropriation, or may transfer 
     a share of this appropriation to that agency's appropriation, 
     but such transfers shall not exceed 5 percent of the funds 
     made available for space rental and related costs to or from 
     this account. In addition, for construction, repair, 
     improvement, extension, alteration, and purchase of fixed 
     equipment or facilities as necessary to carry out the 
     programs of the Department, where not otherwise provided, 
     $5,000,000, to remain available until expended; and in 
     addition, for necessary relocation expenses of the 
     Department's agencies, $2,700,000, to remain available until 
     expended; making a total appropriation of $131,085,000.

                       Hazardous Waste Management


                     (including transfers of funds)

       For necessary expenses of the Department of Agriculture, to 
     comply with the requirement of section 107(g) of the 
     Comprehensive Environmental Response, Compensation, and 
     Liability Act, 42 U.S.C. 9607(g), and section 6001 of the 
     Resource Conservation and Recovery Act, 42 U.S.C. 6961, 
     $15,700,000, to remain available until expended: Provided, 
     That appropriations and funds available herein to the 
     Department for Hazardous Waste Management may be transferred 
     to any agency of the Department for its use in meeting all 
     requirements pursuant to the above Acts on Federal and non-
     Federal lands.

                      Departmental Administration


                     (including transfers of funds)

       For Departmental Administration, $27,231,000, to provide 
     for necessary expenses for management support services to 
     offices of the Department and for general administration and 
     disaster management of the Department, repairs and 
     alterations, and other miscellaneous supplies and expenses 
     not otherwise provided for and necessary for the practical 
     and efficient work of the Department, including employment 
     pursuant to the second sentence of section 706(a) of the 
     Organic Act of 1944 (7 U.S.C. 2225), of which not to exceed 
     $10,000 is for employment under 5 U.S.C. 3109: Provided, That 
     this appropriation shall be reimbursed from applicable 
     appropriations in this Act for travel expenses incident to 
     the holding of hearings as required by 5 U.S.C. 551-558.

[[Page H7510]]

     Office of the Assistant Secretary for Congressional Relations


                     (including transfers of funds)

       For necessary salaries and expenses of the Office of the 
     Assistant Secretary for Congressional Relations to carry out 
     the programs funded in this Act, including programs involving 
     intergovernmental affairs and liaison within the executive 
     branch, $3,668,000: Provided, That no other funds 
     appropriated to the Department by this Act shall be 
     available to the Department for support of activities of 
     congressional relations: Provided further, That not less 
     than $2,241,000 shall be transferred to agencies funded in 
     this Act to maintain personnel at the agency level.

                        Office of Communications

       For necessary expenses to carry on services relating to the 
     coordination of programs involving public affairs, for the 
     dissemination of agricultural information, and the 
     coordination of information, work, and programs authorized by 
     Congress in the Department, $8,138,000, including employment 
     pursuant to the second sentence of section 706(a) of the 
     Organic Act of 1944 (7 U.S.C. 2225), of which not to exceed 
     $10,000 shall be available for employment under 5 U.S.C. 
     3109, and not to exceed $2,000,000 may be used for farmers' 
     bulletins.

                    Office of the Inspector General


                     (including transfers of funds)

       For necessary expenses of the Office of the Inspector 
     General, including employment pursuant to the second sentence 
     of section 706(a) of the Organic Act of 1944 (7 U.S.C. 2225), 
     and the Inspector General Act of 1978, $63,128,000, including 
     such sums as may be necessary for contracting and other 
     arrangements with public agencies and private persons 
     pursuant to section 6(a)(9) of the Inspector General Act of 
     1978, including a sum not to exceed $50,000 for employment 
     under 5 U.S.C. 3109; and including a sum not to exceed 
     $95,000 for certain confidential operational expenses 
     including the payment of informants, to be expended under the 
     direction of the Inspector General pursuant to Public Law 95-
     452 and section 1337 of Public Law 97-98: Provided, That 
     funds transferred to the Office of the Inspector General 
     through forfeiture proceedings or from the Department of 
     Justice Assets Forfeiture Fund or the Department of the 
     Treasury Forfeiture Fund, as a participating agency, as an 
     equitable share from the forfeiture of property in 
     investigations in which the Office of the Inspector General 
     participates, or through the granting of a Petition for 
     Remission or Mitigation, shall be deposited to the credit of 
     this account for law enforcement activities authorized under 
     the Inspector General Act of 1978, to remain available until 
     expended.

                     Office of the General Counsel

       For necessary expenses of the Office of the General 
     Counsel, $28,524,000.

  Office of the Under Secretary for Research, Education and Economics

       For necessary salaries and expenses of the Office of the 
     Under Secretary for Research, Education and Economics to 
     administer the laws enacted by the Congress for the Economic 
     Research Service, the National Agricultural Statistics 
     Service, the Agricultural Research Service, and the 
     Cooperative State Research, Education, and Extension Service, 
     $540,000.

                       Economic Research Service

       For necessary expenses of the Economic Research Service in 
     conducting economic research and analysis, as authorized by 
     the Agricultural Marketing Act of 1946 (7 U.S.C. 1621-1627) 
     and other laws, $71,604,000: Provided, That this 
     appropriation shall be available for employment pursuant to 
     the second sentence of section 706(a) of the Organic Act of 
     1944 (7 U.S.C. 2225).

                National Agricultural Statistics Service

       For necessary expenses of the National Agricultural 
     Statistics Service in conducting statistical reporting and 
     service work, including crop and livestock estimates, 
     statistical coordination and improvements, marketing surveys, 
     and the Census of Agriculture, as authorized by the 
     Agricultural Marketing Act of 1946 (7 U.S.C. 1621-1627) and 
     other laws, $118,048,000, of which up to $36,327,000 shall be 
     available until expended for the Census of Agriculture: 
     Provided, That this appropriation shall be available for 
     employment pursuant to the second sentence of section 706(a) 
     of the Organic Act of 1944 (7 U.S.C. 2225), and not to exceed 
     $40,000 shall be available for employment under 5 U.S.C. 
     3109: Provided further, That, notwithstanding any other 
     provision of law, the Secretary of Agriculture shall conduct 
     the 1997 Census of Agriculture, to the extent practicable, 
     pursuant to the provisions of title 13, United States Code.

                     Agricultural Research Service

       For necessary expenses to enable the Agricultural Research 
     Service to perform agricultural research and demonstration 
     relating to production, utilization, marketing, and 
     distribution (not otherwise provided for); home economics or 
     nutrition and consumer use including the acquisition, 
     preservation, and dissemination of agricultural information; 
     and for acquisition of lands by donation, exchange, or 
     purchase at a nominal cost not to exceed $100, $744,605,000: 
     Provided, That appropriations hereunder shall be available 
     for temporary employment pursuant to the second sentence of 
     section 706(a) of the Organic Act of 1944 (7 U.S.C. 2225), 
     and not to exceed $115,000 shall be available for employment 
     under 5 U.S.C. 3109: Provided further, That appropriations 
     hereunder shall be available for the operation and 
     maintenance of aircraft and the purchase of not to exceed 
     one for replacement only: Provided further, That 
     appropriations hereunder shall be available pursuant to 7 
     U.S.C. 2250 for the construction, alteration, and repair 
     of buildings and improvements, but unless otherwise 
     provided, the cost of constructing any one building shall 
     not exceed $250,000, except for headhouses or greenhouses 
     which shall each be limited to $1,000,000, and except for 
     ten buildings to be constructed or improved at a cost not 
     to exceed $500,000 each, and the cost of altering any one 
     building during the fiscal year shall not exceed 10 
     percent of the current replacement value of the building 
     or $250,000, whichever is greater: Provided further, That 
     the limitations on alterations contained in this Act shall 
     not apply to modernization or replacement of existing 
     facilities at Beltsville, Maryland: Provided further, That 
     the foregoing limitations shall not apply to replacement 
     of buildings needed to carry out the Act of April 24, 1948 
     (21 U.S.C. 113a): Provided further, That funds may be 
     received from any State, other political subdivision, 
     organization, or individual for the purpose of 
     establishing or operating any research facility or 
     research project of the Agricultural Research Service, as 
     authorized by law: Provided further, That the item under 
     the heading ``Agricultural Research Service'' in title I 
     of the Agriculture, Rural Development, Food and Drug 
     Administration, and Related Agencies Appropriations Act, 
     1996 (Public Law 104-37; 109 Stat. 304), is amended by 
     striking the penultimate proviso, relating to conveyance 
     of the Pecan Genetics and Improvement Research Laboratory.
       None of the funds in the foregoing paragraph shall be 
     available to carry out research related to the production, 
     processing or marketing of tobacco or tobacco products.


                        buildings and facilities

       For acquisition of land, construction, repair, improvement, 
     extension, alteration, and purchase of fixed equipment or 
     facilities as necessary to carry out the agricultural 
     research programs of the Department of Agriculture, where not 
     otherwise provided, $80,630,000, to remain available until 
     expended (7 U.S.C. 2209b): Provided, That funds may be 
     received from any State, other political subdivision, 
     organization, or individual for the purpose of establishing 
     any research facility of the Agricultural Research Service, 
     as authorized by law.

      Cooperative State Research, Education, and Extension Service


                   research and education activities

       For payments to agricultural experiment stations, for 
     cooperative forestry and other research, for facilities, and 
     for other expenses, including $168,734,000 to carry into 
     effect the provisions of the Hatch Act (7 U.S.C. 361a-i); 
     $20,497,000 for grants for cooperative forestry research (16 
     U.S.C. 582a-a7); $27,735,000 for payments to the 1890 land-
     grant colleges, including Tuskegee University (7 U.S.C. 
     3222); $51,495,000 for special grants for agricultural 
     research (7 U.S.C. 450i(c)); $15,048,000 for special grants 
     for agricultural research on improved pest control (7 U.S.C. 
     450i(c)); $97,200,000 for competitive research grants (7 
     U.S.C. 450i(b)); $4,775,000 for the support of animal health 
     and disease programs (7 U.S.C. 3195); $650,000 for 
     supplemental and alternative crops and products (7 U.S.C. 
     3319d); $550,000 for grants for research pursuant to the 
     Critical Agricultural Materials Act of 1984 (7 U.S.C. 178) 
     and section 1472 of the Food and Agriculture Act of 1977 (7 
     U.S.C. 3318), to remain available until expended; $3,000,000 
     for higher education graduate fellowships grants (7 U.S.C. 
     3152(b)(6)), to remain available until expended (7 U.S.C. 
     2209b); $4,350,000 for higher education challenge grants (7 
     U.S.C. 3152(b)(1)); $1,000,000 for a higher education 
     minority scholars program (7 U.S.C. 3152(b)(5)), to remain 
     available until expended (7 U.S.C. 2209b); $2,500,000 for an 
     education grants program for Hispanic-serving Institutions (7 
     U.S.C. 3241); $4,000,000 for aquaculture grants (7 U.S.C. 
     3322); $8,000,000 for sustainable agriculture research and 
     education (7 U.S.C. 5811); $9,200,000 for a program of 
     capacity building grants (7 U.S.C. 3152(b)(4)) to colleges 
     eligible to receive funds under the Act of August 30, 1890 (7 
     U.S.C. 321-326 and 328), including Tuskegee University, to 
     remain available until expended (7 U.S.C. 2209b); $1,450,000 
     for payments to the 1994 Institutions pursuant to section 
     534(a)(1) of Public Law 103-382; and $11,226,000 for 
     necessary expenses of Research and Education Activities, of 
     which not to exceed $100,000 shall be for employment under 5 
     U.S.C. 3109; in all, $431,410,000.
       None of the funds in the foregoing paragraph shall be 
     available to carry out research related to the production, 
     processing or marketing of tobacco or tobacco products.

              Native American Institutions Endowment Fund

       For establishment of a Native American institutions 
     endowment fund, as authorized by Public Law 103-382 (7 U.S.C. 
     301 note), $4,600,000.

                          Extension Activities

       Payments to States, the District of Columbia, Puerto Rico, 
     Guam, the Virgin Islands, Micronesia, Northern Marianas, and 
     American Samoa: For payments for cooperative extension work 
     under the Smith-Lever Act, to be distributed under sections 
     3(b) and 3(c) of said Act, and under section 208(c) of Public 
     Law 93-471, for retirement and employees' compensation costs 
     for extension agents and for costs of penalty mail for 
     cooperative extension agents and State extension directors, 
     $268,493,000; payments for extension work at the 1994 
     Institutions under the Smith-Lever Act (7 U.S.C. 343(b)(3)), 
     $2,000,000; payments for the nutrition and family education 
     program for low-income areas under section 3(d) of the Act, 
     $58,695,000; payments for the pest management program under 
     section 3(d) of the Act, $10,783,000; payments for the farm 
     safety program under section 3(d) of the Act, $2,855,000; 
     payments for the pesticide impact assessment program under 
     section 3(d) of the Act, $3,214,000; payments to upgrade 1890 
     land-grant college research, extension, and teaching 
     facilities as authorized by section 1447 of Public Law 95-113 
     (7 U.S.C. 3222b), $7,549,000,

[[Page H7511]]

     to remain available until expended; payments for the rural 
     development centers under section 3(d) of the Act, $908,000; 
     payments for a groundwater quality program under section 3(d) 
     of the Act, $9,061,000; payments for the agricultural 
     telecommunications program, as authorized by Public Law 101-
     624 (7 U.S.C. 5926), $900,000; payments for youth-at-risk 
     programs under section 3(d) of the Act, $9,554,000; payments 
     for a food safety program under section 3(d) of the Act, 
     $2,365,000; payments for carrying out the provisions of the 
     Renewable Resources Extension Act of 1978, $3,192,000; 
     payments for Indian reservation agents under section 3(d) of 
     the Act, $1,672,000; payments for sustainable agriculture 
     programs under section 3(d) of the Act, $3,309,000; payments 
     for rural health and safety education as authorized by 
     section 2390 of Public Law 101-624 (7 U.S.C. 2661 note, 
     2662), $2,628,000; payments for cooperative extension work by 
     the colleges receiving the benefits of the second Morrill Act 
     (7 U.S.C. 321-326 and 328) and Tuskegee University, 
     $25,090,000; and for Federal administration and coordination 
     including administration of the Smith-Lever Act, and the Act 
     of September 29, 1977 (7 U.S.C. 341-349), and section 1361(c) 
     of the Act of October 3, 1980 (7 U.S.C. 301 note), and to 
     coordinate and provide program leadership for the extension 
     work of the Department and the several States and insular 
     possessions, $11,108,000; in all, $423,376,000: Provided, 
     That funds hereby appropriated pursuant to section 3(c) of 
     the Act of June 26, 1953, and section 506 of the Act of June 
     23, 1972, shall not be paid to any State, the District of 
     Columbia, Puerto Rico, Guam, or the Virgin Islands, 
     Micronesia, Northern Marianas, and American Samoa prior to 
     availability of an equal sum from non-Federal sources for 
     expenditure during the current fiscal year.

Office of the Assistant Secretary for Marketing and Regulatory Programs

       For necessary salaries and expenses of the Office of the 
     Assistant Secretary for Marketing and Regulatory Programs to 
     administer programs under the laws enacted by the Congress 
     for the Animal and Plant Health Inspection Service, the 
     Agricultural Marketing Service, and the Grain Inspection, 
     Packers and Stockyards Administration, $618,000.

               Animal and Plant Health Inspection Service


                         salaries and expenses

                     (including transfers of funds)

       For expenses, not otherwise provided for, including those 
     pursuant to the Act of February 28, 1947 (21 U.S.C. 114b-c), 
     necessary to prevent, control, and eradicate pests and plant 
     and animal diseases; to carry out inspection, quarantine, and 
     regulatory activities; to discharge the authorities of the 
     Secretary of Agriculture under the Act of March 2, 1931 (46 
     Stat. 1468; 7 U.S.C. 426-426b); and to protect the 
     environment, as authorized by law, $426,282,000, of which 
     $4,500,000 shall be available for the control of outbreaks of 
     insects, plant diseases, animal diseases and for control of 
     pest animals and birds to the extent necessary to meet 
     emergency conditions: Provided, That no funds shall be used 
     to formulate or administer a brucellosis eradication program 
     for the current fiscal year that does not require minimum 
     matching by the States of at least 40 percent: Provided 
     further, That this appropriation shall be available for field 
     employment pursuant to the second sentence of section 706(a) 
     of the Organic Act of 1944 (7 U.S.C. 2225), and not to exceed 
     $40,000 shall be available for employment under 5 U.S.C. 
     3109: Provided further, That this appropriation shall be 
     available for the operation and maintenance of aircraft and 
     the purchase of not to exceed four, of which two shall be for 
     replacement only: Provided further, That, in addition, in 
     emergencies which threaten any segment of the agricultural 
     production industry of this country, the Secretary may 
     transfer from other appropriations or funds available to the 
     agencies or corporations of the Department such sums as he 
     may deem necessary, to be available only in such emergencies 
     for the arrest and eradication of contagious or infectious 
     disease or pests of animals, poultry, or plants, and for 
     expenses in accordance with the Act of February 28, 1947, and 
     section 102 of the Act of September 21, 1944, and any 
     unexpended balances of funds transferred for such emergency 
     purposes in the next preceding fiscal year shall be merged 
     with such transferred amounts: Provided further, That 
     appropriations hereunder shall be available pursuant to law 
     (7 U.S.C. 2250) for the repair and alteration of leased 
     buildings and improvements, but unless otherwise provided the 
     cost of altering any one building during the fiscal year 
     shall not exceed 10 percent of the current replacement value 
     of the building.
       In fiscal year 1998 the agency is authorized to collect 
     fees to cover the total costs of providing technical 
     assistance, goods, or services requested by States, other 
     political subdivisions, domestic and international 
     organizations, foreign governments, or individuals, provided 
     that such fees are structured such that any entity's 
     liability for such fees is reasonably based on the technical 
     assistance, goods, or services provided to the entity by the 
     agency, and such fees shall be credited to this account, to 
     remain available until expended, without further 
     appropriation, for providing such assistance, goods, or 
     services.
       Of the total amount available under this heading in fiscal 
     year 1998, $88,000,000 shall be derived from user fees 
     deposited in the Agricultural Quarantine Inspection User 
     Fee Account.


                        Buildings and Facilities

       For plans, construction, repair, preventive maintenance, 
     environmental support, improvement, extension, alteration, 
     and purchase of fixed equipment or facilities, as authorized 
     by 7 U.S.C. 2250, and acquisition of land as authorized by 7 
     U.S.C. 428a, $4,200,000, to remain available until expended.

                     Agricultural Marketing Service


                           marketing services

       For necessary expenses to carry on services related to 
     consumer protection, agricultural marketing and distribution, 
     transportation, and regulatory programs, as authorized by 
     law, and for administration and coordination of payments to 
     States; including field employment pursuant to the second 
     sentence of section 706(a) of the Organic Act of 1944 (7 
     U.S.C. 2225), and not to exceed $90,000 for employment under 
     5 U.S.C. 3109, $46,592,000, including funds for the wholesale 
     market development program for the design and development of 
     wholesale and farmer market facilities for the major 
     metropolitan areas of the country: Provided, That this 
     appropriation shall be available pursuant to law (7 U.S.C. 
     2250) for the alteration and repair of buildings and 
     improvements, but the cost of altering any one building 
     during the fiscal year shall not exceed 10 percent of the 
     current replacement value of the building.
       Fees may be collected for the cost of standardization 
     activities, as established by regulation pursuant to law (31 
     U.S.C. 9701).


                 limitation on administrative expenses

       Not to exceed $59,521,000 (from fees collected) shall be 
     obligated during the current fiscal year for administrative 
     expenses: Provided, That if crop size is understated and/or 
     other uncontrollable events occur, the agency may exceed this 
     limitation by up to 10 percent with notification to the 
     Appropriations Committees.


    funds for strengthening markets, income, and supply (section 32)

                     (including transfers of funds)

       Funds available under section 32 of the Act of August 24, 
     1935 (7 U.S.C. 612c) shall be used only for commodity program 
     expenses as authorized therein, and other related operating 
     expenses, except for: (1) transfers to the Department of 
     Commerce as authorized by the Fish and Wildlife Act of August 
     8, 1956; (2) transfers otherwise provided in this Act; and 
     (3) not more than $10,690,000 for formulation and 
     administration of marketing agreements and orders pursuant to 
     the Agricultural Marketing Agreement Act of 1937, and the 
     Agricultural Act of 1961.


                   payments to states and possessions

       For payments to departments of agriculture, bureaus and 
     departments of markets, and similar agencies for marketing 
     activities under section 204(b) of the Agricultural Marketing 
     Act of 1946 (7 U.S.C. 1623(b)), $1,200,000.

        Grain Inspection, Packers and Stockyards Administration


                         salaries and expenses

       For necessary expenses to carry out the provisions of the 
     United States Grain Standards Act, for the administration of 
     the Packers and Stockyards Act, for certifying procedures 
     used to protect purchasers of farm products, and the 
     standardization activities related to grain under the 
     Agricultural Marketing Act of 1946, including field 
     employment pursuant to the second sentence of section 706(a) 
     of the Organic Act of 1944 (7 U.S.C. 2225), and not to exceed 
     $25,000 for employment under 5 U.S.C. 3109, $23,928,000: 
     Provided, That this appropriation shall be available pursuant 
     to law (7 U.S.C. 2250) for the alteration and repair of 
     buildings and improvements, but the cost of altering any one 
     building during the fiscal year shall not exceed 10 percent 
     of the current replacement value of the building.


                    inspection and weighing services

         limitation on inspection and weighing service expenses

       Not to exceed $43,092,000 (from fees collected) shall be 
     obligated during the current fiscal year for inspection and 
     weighing services: Provided, That if grain export activities 
     require additional supervision and oversight, or other 
     uncontrollable factors occur, this limitation may be exceeded 
     by up to 10 percent with notification to the Appropriations 
     Committees.


             office of the under secretary for food safety

       For necessary salaries and expenses of the Office of the 
     Under Secretary for Food Safety to administer the laws 
     enacted by the Congress for the Food Safety and Inspection 
     Service, $446,000.


                   Food Safety and Inspection Service

       For necessary expenses to carry on services authorized by 
     the Federal Meat Inspection Act, the Poultry Products 
     Inspection Act, and the Egg Products Inspection Act, 
     $589,263,000, of which $5,000,000 shall be available for 
     obligation only after promulgation of a final rule to 
     implement the provisions of subsection (e) of section 5 of 
     the Egg Products Inspection Act (21 U.S.C. 1034(e)), and in 
     addition, $1,000,000 may be credited to this account from 
     fees collected for the cost of laboratory accreditation as 
     authorized by section 1017 of Public Law 102-237: Provided, 
     That this appropriation shall not be available for shell egg 
     surveillance under section 5(d) of the Egg Products 
     Inspection Act (21 U.S.C. 1034(d)): Provided further, That 
     this appropriation shall be available for field employment 
     pursuant to the second sentence of section 706(a) of the 
     Organic Act of 1944 (7 U.S.C. 2225), and not to exceed 
     $75,000 shall be available for employment under 5 U.S.C. 
     3109: Provided further, That this appropriation shall be 
     available pursuant to law (7 U.S.C. 2250) for the alteration 
     and repair of buildings and improvements, but the cost of 
     altering any one building during the fiscal year shall not 
     exceed 10 percent of the current replacement value of the 
     building.

    Office of the Under Secretary for Farm and Foreign Agricultural 
                                Services

       For necessary salaries and expenses of the Office of the 
     Under Secretary for Farm and Foreign Agricultural Services to 
     administer the laws enacted by Congress for the Farm Service 
     Agency, the Foreign Agricultural Service, the Risk Management 
     Agency, and the Commodity Credit Corporation, $572,000.

[[Page H7512]]

                          Farm Service Agency


                         salaries and expenses

                     (including transfers of funds)

       For necessary expenses for carrying out the administration 
     and implementation of programs administered by the Farm 
     Service Agency, $700,659,000: Provided, That the Secretary is 
     authorized to use the services, facilities, and authorities 
     (but not the funds) of the Commodity Credit Corporation to 
     make program payments for all programs administered by the 
     Agency: Provided further, That other funds made available to 
     the Agency for authorized activities may be advanced to and 
     merged with this account: Provided further, That these funds 
     shall be available for employment pursuant to the second 
     sentence of section 706(a) of the Organic Act of 1944 (7 
     U.S.C. 2225), and not to exceed $1,000,000 shall be available 
     for employment under 5 U.S.C. 3109.

                         state mediation grants

       For grants pursuant to section 502(b) of the Agricultural 
     Credit Act of 1987 (7 U.S.C. 5101-5106), $2,000,000.


                        dairy indemnity program

                     (including transfers of funds)

       For necessary expenses involved in making indemnity 
     payments to dairy farmers for milk or cows producing such 
     milk and manufacturers of dairy products who have been 
     directed to remove their milk or dairy products from 
     commercial markets because it contained residues of 
     chemicals registered and approved for use by the Federal 
     Government, and in making indemnity payments for milk, or 
     cows producing such milk, at a fair market value to any 
     dairy farmer who is directed to remove his milk from 
     commercial markets because of (1) the presence of products 
     of nuclear radiation or fallout if such contamination is 
     not due to the fault of the farmer, or (2) residues of 
     chemicals or toxic substances not included under the first 
     sentence of the Act of August 13, 1968 (7 U.S.C. 450j), if 
     such chemicals or toxic substances were not used in a 
     manner contrary to applicable regulations or labeling 
     instructions provided at the time of use and the 
     contamination is not due to the fault of the farmer, 
     $550,000, to remain available until expended (7 U.S.C. 
     2209b): Provided, That none of the funds contained in this 
     Act shall be used to make indemnity payments to any farmer 
     whose milk was removed from commercial markets as a result 
     of his willful failure to follow procedures prescribed by 
     the Federal Government: Provided further, That this amount 
     shall be transferred to the Commodity Credit Corporation: 
     Provided further, That the Secretary is authorized to 
     utilize the services, facilities, and authorities of the 
     Commodity Credit Corporation for the purpose of making 
     dairy indemnity disbursements.


           agricultural credit insurance fund program account

                     (including transfers of funds)

       For gross obligations for the principal amount of direct 
     and guaranteed loans as authorized by 7 U.S.C. 1928-1929, to 
     be available from funds in the Agricultural Credit Insurance 
     Fund, as follows: farm ownership loans, $460,000,000 of which 
     $400,000,000 shall be for guaranteed loans; operating loans, 
     $2,395,000,000 of which $1,700,000,000 shall be for 
     unsubsidized guaranteed loans and $200,000,000 shall be for 
     subsidized guaranteed loans; Indian tribe land acquisition 
     loans as authorized by 25 U.S.C. 488, $1,000,000; for 
     emergency insured loans, $25,000,000 to meet the needs 
     resulting from natural disasters; for boll weevil eradication 
     program loans as authorized by 7 U.S.C. 1989, $34,653,000; 
     and for credit sales of acquired property, $25,000,000.
       For the cost of direct and guaranteed loans, including the 
     cost of modifying loans as defined in section 502 of the 
     Congressional Budget Act of 1974, as follows: farm ownership 
     loans, $21,380,000 of which $15,440,000 shall be for 
     guaranteed loans; operating loans, $71,394,000 of which 
     $19,890,000 shall be for unsubsidized guaranteed loans and 
     $19,280,000 shall be for subsidized guaranteed loans; Indian 
     tribe land acquisition loans as authorized by 25 U.S.C. 488, 
     $132,000; for emergency insured loans, $6,008,000 to meet the 
     needs resulting from natural disasters; for boll weevil 
     eradication program loans as authorized by 7 U.S.C. 1989, 
     $250,000; and for credit sales of acquired property, 
     $3,255,000.
       In addition, for administrative expenses necessary to carry 
     out the direct and guaranteed loan programs, $219,861,000 of 
     which $209,861,000 shall be transferred to and merged with 
     the ``Farm Service Agency, Salaries and Expenses'' account.

                         Risk Management Agency

       For administrative and operating expenses, as authorized by 
     the Federal Agriculture Improvement and Reform Act of 1996 (7 
     U.S.C. 6933), $64,000,000: Provided, That not to exceed $700 
     shall be available for official reception and representation 
     expenses, as authorized by 7 U.S.C. 1506(i). In addition, 
     notwithstanding the provisions of section 516(a)(1)(B) of the 
     Federal Crop Insurance Act (7 U.S.C. 1516(a)(1)(B)), for 
     discretionary expenses, $188,571,000 for the payment of 
     administrative and operating expenses of approved insurance 
     providers.

                              CORPORATIONS

       The following corporations and agencies are hereby 
     authorized to make expenditures, within the limits of funds 
     and borrowing authority available to each such corporation 
     or agency and in accord with law, and to make contracts 
     and commitments without regard to fiscal year limitations 
     as provided by section 104 of the Government Corporation 
     Control Act as may be necessary in carrying out the 
     programs set forth in the budget for the current fiscal 
     year for such corporation or agency, except as hereinafter 
     provided.


                federal crop insurance corporation fund

       For payments as authorized by section 516 of the Federal 
     Crop Insurance Act, such sums as may be necessary, to remain 
     available until expended (7 U.S.C. 2209b).

                   Commodity Credit Corporation Fund


                 reimbursement for net realized losses

       For fiscal year 1998, such sums as may be necessary to 
     reimburse the Commodity Credit Corporation for net realized 
     losses sustained, but not previously reimbursed (estimated to 
     be $783,507,000 in the President's fiscal year 1998 Budget 
     Request (H. Doc. 105-3)), but not to exceed $783,507,000, 
     pursuant to section 2 of the Act of August 17, 1961 (15 
     U.S.C. 713a-11).


       operations and maintenance for hazardous waste management

       For fiscal year 1998, the Commodity Credit Corporation 
     shall not expend more than $5,000,000 for expenses to comply 
     with the requirement of section 107(g) of the Comprehensive 
     Environmental Response, Compensation, and Liability Act, 42 
     U.S.C. 9607(g), and section 6001 of the Resource Conservation 
     and Recovery Act, 42 U.S.C. 6961: Provided, That expenses 
     shall be for operations and maintenance costs only and that 
     other hazardous waste management costs shall be paid for by 
     the USDA Hazardous Waste Management appropriation in this 
     Act.

                                TITLE II

                         CONSERVATION PROGRAMS

  Office of the Under Secretary for Natural Resources and Environment

       For necessary salaries and expenses of the Office of the 
     Under Secretary for Natural Resources and Environment to 
     administer the laws enacted by the Congress for the Forest 
     Service and the Natural Resources Conservation Service, 
     $693,000.

                 Natural Resources Conservation Service


                        conservation operations

       For necessary expenses for carrying out the provisions of 
     the Act of April 27, 1935 (16 U.S.C. 590a-f) including 
     preparation of conservation plans and establishment of 
     measures to conserve soil and water (including farm 
     irrigation and land drainage and such special measures for 
     soil and water management as may be necessary to prevent 
     floods and the siltation of reservoirs and to control 
     agricultural related pollutants); operation of conservation 
     plant materials centers; classification and mapping of soil; 
     dissemination of information; acquisition of lands, water, 
     and interests therein for use in the plant materials program 
     by donation, exchange, or purchase at a nominal cost not to 
     exceed $100 pursuant to the Act of August 3, 1956 (7 U.S.C. 
     428a); purchase and erection or alteration or improvement of 
     permanent and temporary buildings; and operation and 
     maintenance of aircraft, $633,231,000, to remain available 
     until expended (7 U.S.C. 2209b), of which not less than 
     $5,835,000 is for snow survey and water forecasting and not 
     less than $8,825,000 is for operation and establishment of 
     the plant materials centers: Provided, That appropriations 
     hereunder shall be available pursuant to 7 U.S.C. 2250 for 
     construction and improvement of buildings and public 
     improvements at plant materials centers, except that the cost 
     of alterations and improvements to other buildings and other 
     public improvements shall not exceed $250,000: Provided 
     further, That when buildings or other structures are erected 
     on non-Federal land, that the right to use such land is 
     obtained as provided in 7 U.S.C. 2250a: Provided further, 
     That this appropriation shall be available for technical 
     assistance and related expenses to carry out programs 
     authorized by section 202(c) of title II of the Colorado 
     River Basin Salinity Control Act of 1974 (43 U.S.C. 1592(c)): 
     Provided further, That no part of this appropriation may be 
     expended for soil and water conservation operations under the 
     Act of April 27, 1935 (16 U.S.C. 590a-f) in demonstration 
     projects: Provided further, That this appropriation shall be 
     available for employment pursuant to the second sentence of 
     section 706(a) of the Organic Act of 1944 (7 U.S.C. 2225) and 
     not to exceed $25,000 shall be available for employment under 
     5 U.S.C. 3109: Provided further, That qualified local 
     engineers may be temporarily employed at per diem rates to 
     perform the technical planning work of the Service (16 U.S.C. 
     590e-2): Provided further, That the Secretary is authorized 
     to transfer ownership of land, buildings and related 
     improvements of the plant materials facilities located at 
     Bow, Washington, to the Skagit Conservation District.


                     watershed surveys and planning

       For necessary expenses to conduct research, investigation, 
     and surveys of watersheds of rivers and other waterways, and 
     for small watershed investigations and planning, in 
     accordance with the Watershed Protection and Flood Prevention 
     Act approved August 4, 1954 (16 U.S.C. 1001-1009), 
     $11,190,000: Provided, That this appropriation shall be 
     available for employment pursuant to the second sentence of 
     section 706(a) of the Organic Act of 1944 (7 U.S.C. 2225), 
     and not to exceed $110,000 shall be available for 
     employment under 5 U.S.C. 3109.


               watershed and flood prevention operations

       For necessary expenses to carry out preventive measures, 
     including but not limited to research, engineering 
     operations, methods of cultivation, the growing of 
     vegetation, rehabilitation of existing works and changes in 
     use of land, in accordance with the Watershed Protection and 
     Flood Prevention Act approved August 4, 1954 (16 U.S.C. 1001-
     1005, 1007-1009), the provisions of the Act of April 27, 1935 
     (16 U.S.C. 590a-f), and in accordance with the provisions of 
     laws relating to the activities of the Department, 
     $101,036,000, to remain available until expended (7 U.S.C. 
     2209b) (of which up to $15,000,000 may be available for the 
     watersheds authorized under the Flood Control Act approved 
     June 22, 1936 (33 U.S.C. 701, 16 U.S.C. 1006a): Provided, 
     That not to exceed $50,000,000 of this appropriation shall be 
     available for technical assistance:

[[Page H7513]]

     Provided further, That this appropriation shall be available 
     for employment pursuant to the second sentence of section 
     706(a) of the Organic Act of 1944 (7 U.S.C. 2225), and not to 
     exceed $200,000 shall be available for employment under 5 
     U.S.C. 3109: Provided further, That not to exceed $1,000,000 
     of this appropriation is available to carry out the purposes 
     of the Endangered Species Act of 1973 (Public Law 93-205), 
     including cooperative efforts as contemplated by that Act to 
     relocate endangered or threatened species to other suitable 
     habitats as may be necessary to expedite project 
     construction.


                 resource conservation and development

       For necessary expenses in planning and carrying out 
     projects for resource conservation and development and for 
     sound land use pursuant to the provisions of section 32(e) of 
     title III of the Bankhead-Jones Farm Tenant Act (7 U.S.C. 
     1010-1011; 76 Stat. 607), the Act of April 27, 1935 (16 
     U.S.C. 590a-f), and the Agriculture and Food Act of 1981 (16 
     U.S.C. 3451-3461), $34,377,000, to remain available until 
     expended (7 U.S.C. 2209b): Provided, That this appropriation 
     shall be available for employment pursuant to the second 
     sentence of section 706(a) of the Organic Act of 1944 (7 
     U.S.C. 2225), and not to exceed $50,000 shall be available 
     for employment under 5 U.S.C. 3109.


                      forestry incentives program

       For necessary expenses, not otherwise provided for, to 
     carry out the program of forestry incentives, as authorized 
     in the Cooperative Forestry Assistance Act of 1978 (16 U.S.C. 
     2101), including technical assistance and related expenses, 
     $6,325,000, to remain available until expended, as authorized 
     by that Act.


              outreach for socially disadvantaged farmers

       For grants and contracts pursuant to section 2501 of the 
     Food, Agriculture, Conservation, and Trade Act of 1990 (7 
     U.S.C. 2279), $3,000,000, to remain available until expended.

      TITLE III RURAL ECONOMIC AND COMMUNITY DEVELOPMENT PROGRAMS

          Office of the Under Secretary for Rural Development

       For necessary salaries and expenses of the Office of the 
     Under Secretary for Rural Development to administer programs 
     under the laws enacted by the Congress for the Rural Housing 
     Service, the Rural Business-Cooperative Service, and the 
     Rural Utilities Service of the Department of Agriculture, 
     $588,000.


                  rural community advancement program

                     (including transfers of funds)

       For the cost of direct loans, loan guarantees, and grants, 
     as authorized by 7 U.S.C. 1926, 1926a, 1926c, and 1932, 
     except for sections 381 E-H, 381N, and 381O of the 
     Consolidated Farm and Rural Development Act (7 U.S.C. 2009f), 
     $652,197,000, to remain available until expended, of which 
     $27,062,000 shall be for rural community programs described 
     in section 381E(d)(1) of the Consolidated Farm and Rural 
     Development Act; of which $577,242,000 shall be for the rural 
     utilities programs described in section 381E(d)(2) of such 
     Act; and of which $47,893,000 shall be for the rural business 
     and cooperative development programs described in section 
     381E(d)(3) of such Act: Provided, That section 381E(d)(3)(B) 
     of such Act is amended by inserting after the phrase, 
     ``business and industry'', the words, ``direct and'': 
     Provided further, That of the amount appropriated for the 
     rural business and cooperative development programs, not to 
     exceed $500,000 shall be made available for a grant to a 
     qualified national organization to provide technical 
     assistance for rural transportation in order to promote 
     economic development: Provided further, That of the amount 
     appropriated for rural utilities programs, not to exceed 
     $20,000,000 shall be for water and waste disposal systems to 
     benefit the Colonias along the United States/Mexico border, 
     including grants pursuant to section 306C of such Act; not to 
     exceed $15,000,000 shall be for water and waste disposal 
     systems for rural and native villages in Alaska pursuant to 
     section 306D of such Act; not to exceed $15,000,000 shall be 
     for technical assistance grants for rural waste systems 
     pursuant to section 306(a)(14) of such Act; and not to exceed 
     $5,200,000 shall be for contracting with qualified national 
     organizations for a circuit rider program to provide 
     technical assistance for rural water systems: Provided 
     further, That of the total amounts appropriated, not to 
     exceed $20,048,000 shall be available through June 30, 1998, 
     for empowerment zones and enterprise communities, as 
     authorized by Public Law 103-66, of which $1,200,000 shall be 
     for rural community programs described in section 381E(d)(1) 
     of such Act; of which $18,700,000 shall be for the rural 
     utilities programs described in section 381E(d)(2) of such 
     Act; of which $148,000 shall be for the rural business and 
     cooperative development programs described in section 
     381E(d)(3) of such Act: Provided further, That any obligated 
     and unobligated balances available for prior years for the 
     ``Rural Water and Waste Disposal Grants,'' ``Rural Water and 
     Waste Disposal Loans Program Account,'' ``Emergency Community 
     Water Assistance Grants,'' ``Solid Waste Management Grants,'' 
     the community facility grant program in the ``Rural Housing 
     Assistance Program'' Account, ``Community Facility Loans 
     Program Account,'' ``Rural Business Enterprise Grants,'' 
     ``Rural Business and Industry Loans Program Account,'' and 
     ``Local Technical Assistance and Planning Grants'' shall be 
     transferred to and merged with this account.

                         Rural Housing Service


              rural housing insurance fund program account

                     (including transfers of funds)

       For gross obligations for the principal amount of direct 
     and guaranteed loans as authorized by title V of the Housing 
     Act of 1949, to be available from funds in the rural housing 
     insurance fund, as follows: $4,000,000,000 for loans to 
     section 502 borrowers, as determined by the Secretary, of 
     which $3,000,000,000 shall be for unsubsidized guaranteed 
     loans; $30,000,000 for section 504 housing repair loans; 
     $19,700,000 for section 538 guaranteed multi-family housing 
     loans; $15,000,000 for section 514 farm labor housing; 
     $128,640,000 for section 515 rental housing; $600,000 for 
     section 524 site loans; $25,000,000 for credit sales of 
     acquired property; and $587,000 for section 523 self-help 
     housing land development loans.
       For the cost of direct and guaranteed loans, including the 
     cost of modifying loans, as defined in section 502 of the 
     Congressional Budget Act of 1974, as follows: section 502 
     loans, $135,000,000, of which $6,900,000 shall be for 
     unsubsidized guaranteed loans; section 504 housing repair 
     loans, $10,300,000; section 538 multi-family housing 
     guaranteed loans, $1,200,000; section 514 farm labor housing, 
     $7,388,000; section 515 rental housing, $68,745,000; credit 
     sales of acquired property, $3,492,000; and section 523 self-
     help housing land development loans, $17,000.
       In addition, for administrative expenses necessary to carry 
     out the direct and guaranteed loan programs, $354,785,000, 
     which shall be transferred to and merged with the 
     appropriation for ``Rural Housing Service, Salaries and 
     Expenses''.


                       rental assistance program

       For rental assistance agreements entered into or renewed 
     pursuant to the authority under section 521(a)(2) or 
     agreements entered into in lieu of debt forgiveness or 
     payments for eligible households as authorized by section 
     502(c)(5)(D) of the Housing Act of 1949, $541,397,000; and in 
     addition such sums as may be necessary, as authorized by 
     section 521(c) of the Act, to liquidate debt incurred prior 
     to fiscal year 1992 to carry out the rental assistance 
     program under section 521(a)(2) of the Act: Provided, That of 
     this amount not more than $5,900,000 shall be available for 
     debt forgiveness or payments for eligible households as 
     authorized by section 502(c)(5)(D) of the Act, and not to 
     exceed $10,000 per project for advances to nonprofit 
     organizations or public agencies to cover direct costs (other 
     than purchase price) incurred in purchasing projects pursuant 
     to section 502(c)(5)(C) of the Act: Provided further, That 
     agreements entered into or renewed during fiscal year 1998 
     shall be funded for a five-year period, although the life of 
     any such agreement may be extended to fully utilize amounts 
     obligated.


                  mutual and self-help housing grants

       For grants and contracts pursuant to section 523(b)(1)(A) 
     of the Housing Act of 1949 (42 U.S.C. 1490c), $26,000,000, to 
     remain available until expended (7 U.S.C. 2209b).


                 rural community fire protection grants

       For grants pursuant to section 7 of the Cooperative 
     Forestry Assistance Act of 1978 (Public Law 95-313), 
     $2,000,000 to fund up to 50 percent of the cost of 
     organizing, training, and equipping rural volunteer fire 
     departments.


                    rural housing assistance grants

                     (including transfer of funds)

       For grants and contracts for housing for domestic farm 
     labor, very low-income housing repair, supervisory and 
     technical assistance, compensation for construction defects, 
     and rural housing preservation made by the Rural Housing 
     Service as authorized by 42 U.S.C. 1474, 1479(c), 1486, 
     1490c, 1490e, and 1490m, $45,720,000, to remain available 
     until expended: Provided, That any obligated and unobligated 
     balances available from prior years in ``Rural Housing for 
     Domestic Farm Labor,'' ``Supervisory and Technical Assistance 
     Grants,'' ``Very Low-Income Housing Repair Grants,'' 
     ``Compensation for Construction Defects,'' and ``Rural 
     Housing Preservation Grants'' shall be transferred to and 
     merged with this account: Provided further, That of the total 
     amount appropriated, $1,200,000 shall be for empowerment 
     zones and enterprise communities, as authorized by Public Law 
     103-66: Provided further, That if such funds are not 
     obligated for empowerment zones and enterprise communities by 
     June 30, 1998, they shall remain available for other 
     authorized purposes under this head.


                         salaries and expenses

       For necessary expenses of the Rural Housing Service, 
     including administering the programs authorized by the 
     Consolidated Farm and Rural Development Act, title V of the 
     Housing Act of 1949, and cooperative agreements, $58,804,000: 
     Provided, That this appropriation shall be available for 
     employment pursuant to the second sentence of section 706(a) 
     of the Organic Act of 1944 (7 U.S.C. 2225), and not to exceed 
     $520,000 may be used for employment under 5 U.S.C. 3109.

                   Rural Business-Cooperative Service


              rural development loan fund program account

                     (INCLUDING TRANSFERS OF FUNDS)

       For the cost of direct loans, $16,888,000, as authorized by 
     the Rural Development Loan Fund (42 U.S.C. 9812(a)): 
     Provided, That such costs, including the cost of modifying 
     such loans, shall be as defined in section 502 of the 
     Congressional Budget Act of 1974: Provided further, That 
     these funds are available to subsidize gross obligations for 
     the principal amount of direct loans of $35,000,000: Provided 
     further, That through June 30, 1998, of the total amount 
     appropriated, $3,345,000 shall be available for the cost of 
     direct loans for empowerment zones and enterprise 
     communities, as authorized by title XIII of the Omnibus 
     Budget Reconciliation Act of 1993, to subsidize gross 
     obligations for the principal amount of direct loans, 
     $7,246,000.
       In addition, for administrative expenses to carry out the 
     direct loan programs, $3,482,000 shall be transferred to and 
     merged with the appropriation for ``Rural Business-
     Cooperative Service, Salaries and Expenses''.

[[Page H7514]]

            rural economic development loans program account

                     (including transfers of funds)

       For the principal amount of direct loans, as authorized 
     under section 313 of the Rural Electrification Act, for the 
     purpose of promoting rural economic development and job 
     creation projects, $25,000,000.
       For the cost of direct loans, including the cost of 
     modifying loans as defined in section 502 of the 
     Congressional Budget Act of 1974, $5,978,000.
       Of the funds derived from interest on the cushion of credit 
     payments in fiscal year 1998, as authorized by section 313 of 
     the Rural Electrification Act of 1936, $5,978,000 shall not 
     be obligated and $5,978,000 are rescinded.


 alternative agricultural research and commercialization revolving fund

       For necessary expenses to carry out the Alternative 
     Agricultural Research and Commercialization Act of 1990 (7 
     U.S.C. 5901-5908), $7,000,000 are appropriated to the 
     alternative agricultural research and commercialization 
     corporation revolving fund.


                  rural cooperative development grants

       For rural cooperative development grants authorized under 
     section 310B(e) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 1932), $3,000,000, of which up to 
     $1,300,000 may be available for cooperative agreements for 
     the appropriate technology transfer for rural areas program.


                         salaries and expenses

       For necessary expenses of the Rural Business-Cooperative 
     Service, including administering the programs authorized by 
     the Consolidated Farm and Rural Development Act; section 1323 
     of the Food Security Act of 1985; the Cooperative Marketing 
     Act of 1926; for activities relating to the marketing aspects 
     of cooperatives, including economic research findings, as 
     authorized by the Agricultural Marketing Act of 1946; for 
     activities with institutions concerning the development and 
     operation of agricultural cooperatives; and for cooperative 
     agreements; $25,680,000: Provided, That this appropriation 
     shall be available for employment pursuant to the second 
     sentence of section 706(a) of the Organic Act of 1944 (7 
     U.S.C. 2225), and not to exceed $260,000 may be used for 
     employment under 5 U.S.C. 3109.

                        Rural Utilities Service


   rural electrification and telecommunications loans program account

                     (including transfers of funds)

       Insured loans pursuant to the authority of section 305 of 
     the Rural Electrification Act of 1936 (7 U.S.C. 935), shall 
     be made as follows: 5 percent rural electrification loans, 
     $125,000,000; 5 percent rural telecommunications loans, 
     $75,000,000; cost of money rural telecommunications loans, 
     $300,000,000; municipal rate rural electric loans, 
     $500,000,000; and loans made pursuant to section 306 of that 
     Act, rural electric, $300,000,000 and rural 
     telecommunications, $120,000,000, to remain available until 
     expended.
       For the cost, as defined in section 502 of the 
     Congressional Budget Act of 1974, including the cost of 
     modifying loans, of direct and guaranteed loans authorized by 
     the Rural Electrification Act of 1936 (7 U.S.C. 935 and 936), 
     as follows: cost of direct loans, $12,265,000; cost of 
     municipal rate loans, $21,100,000; cost of money rural 
     telecommunications loans, $60,000; cost of loans guaranteed 
     pursuant to section 306, $2,760,000: Provided, That 
     notwithstanding section 305(d)(2) of the Rural 
     Electrification Act of 1936, borrower interest rates may 
     exceed 7 percent per year.
       In addition, for administrative expenses necessary to carry 
     out the direct and guaranteed loan programs, $29,982,000, 
     which shall be transferred to and merged with the 
     appropriation for ``Rural Utilities Service, Salaries and 
     Expenses''.


                  rural telephone bank program account

                     (including transfers of funds)

       The Rural Telephone Bank is hereby authorized to make such 
     expenditures, within the limits of funds available to such 
     corporation in accord with law, and to make such contracts 
     and commitments without regard to fiscal year limitations as 
     provided by section 104 of the Government Corporation Control 
     Act, as may be necessary in carrying out its authorized 
     programs for the current fiscal year. During fiscal year 1998 
     and within the resources and authority available, gross 
     obligations for the principal amount of direct loans shall be 
     $175,000,000.
       For the cost, as defined in section 502 of the 
     Congressional Budget Act of 1974, including the cost of 
     modifying loans, of direct loans authorized by the Rural 
     Electrification Act of 1936 (7 U.S.C. 935), $3,710,000.
       In addition, for administrative expenses necessary to carry 
     out the loan programs, $3,000,000, which shall be transferred 
     to and merged with the appropriation for ``Rural Utilities 
     Service, Salaries and Expenses''.


               distance learning and medical link program

       For the cost of direct loans and grants, as authorized by 7 
     U.S.C. 950aaa et seq., $12,530,000, to remain available until 
     expended, to be available for loans and grants for 
     telemedicine and distance learning services in rural areas: 
     Provided, That the costs of direct loans shall be as defined 
     in section 502 of the Congressional Budget Act of 1974.


                         salaries and expenses

       For necessary expenses of the Rural Utilities Service, 
     including administering the programs authorized by the Rural 
     Electrification Act of 1936, and the Consolidated Farm and 
     Rural Development Act, and for cooperative agreements, 
     $33,000,000: Provided, That this appropriation shall be 
     available for employment pursuant to the second sentence of 
     section 706(a) of the Organic Act of 1944 (7 U.S.C. 2225), 
     and not to exceed $105,000 may be used for employment under 5 
     U.S.C. 3109.

                                TITLE IV

                         DOMESTIC FOOD PROGRAMS

Office of the Under Secretary for Food, Nutrition and Consumer Services

       For necessary salaries and expenses of the Office of the 
     Under Secretary for Food, Nutrition and Consumer Services to 
     administer the laws enacted by the Congress for the Food and 
     Consumer Service, $554,000.


                        Child Nutrition Programs

                     (including transfers of funds)

       For necessary expenses to carry out the National School 
     Lunch Act (42 U.S.C. 1751 et seq.), except section 21, and 
     the Child Nutrition Act of 1966 (42 U.S.C. 1771 et seq.), 
     except sections 17 and 21; $7,767,816,000, to remain 
     available through September 30, 1999, of which $2,616,425,000 
     is hereby appropriated and $5,151,391,000 shall be derived by 
     transfer from funds available under section 32 of the Act of 
     August 24, 1935 (7 U.S.C. 612c): Provided, That none of the 
     funds made available under this heading shall be used for 
     studies and evaluations: Provided further, That up to 
     $4,124,000 shall be available for independent verification of 
     school food service claims.


Special Supplemental Nutrition Program for Women, Infants, and Children 
                                 (WIC)

       For necessary expenses to carry out the special 
     supplemental nutrition program as authorized by section 17 of 
     the Child Nutrition Act of 1966 (42 U.S.C. 1786), 
     $3,924,000,000, to remain available through September 30, 
     1999: Provided, That none of the funds made available under 
     this heading shall be used for studies and evaluations: 
     Provided further, That up to $12,000,000 may be used to carry 
     out the farmers' market nutrition program from any funds not 
     needed to maintain current caseload levels: Provided further, 
     That notwithstanding sections 17 (g), (h), and (i) of such 
     Act, the Secretary shall adjust fiscal year 1998 State 
     allocations to reflect food funds available to the State from 
     fiscal year 1997 under sections 17(i)(3)(A)(ii) and 
     17(i)(3)(D): Provided further, That the Secretary shall 
     allocate funds recovered from fiscal year 1997 first to 
     States to maintain stability funding levels, as defined by 
     regulations promulgated under section 17(g), and then to 
     give first priority for the allocation of any remaining 
     funds to States whose funding is less than their fair 
     share of funds, as defined by regulations promulgated 
     under section 17(g): Provided further, That none of the 
     funds in this Act shall be available to pay administrative 
     expenses of WIC clinics except those that have an 
     announced policy of prohibiting smoking within the space 
     used to carry out the program: Provided further, That none 
     of the funds provided in this account shall be available 
     for the purchase of infant formula except in accordance 
     with the cost containment and competitive bidding 
     requirements specified in section 17 of the Child 
     Nutrition Act of 1966: Provided further, That State 
     agencies required to procure infant formula using a 
     competitive bidding system may use funds appropriated by 
     this Act to purchase infant formula under a cost 
     containment contract entered into after September 30, 
     1996, only if the contract was awarded to the bidder 
     offering the lowest net price, as defined by section 
     17(b)(20) of the Child Nutrition Act of 1966, unless the 
     State agency demonstrates to the satisfaction of the 
     Secretary that the weighted average retail price for 
     different brands of infant formula in the State does not 
     vary by more than five percent.


                           food stamp program

       For necessary expenses to carry out the Food Stamp Act (7 
     U.S.C. 2011 et seq.), $25,140,479,000, of which $100,000,000 
     shall be placed in reserve for use only in such amounts and 
     at such times as may become necessary to carry out program 
     operations: Provided, That funds provided herein shall be 
     expended in accordance with section 16 of the Food Stamp Act: 
     Provided further, That this appropriation shall be subject to 
     any work registration or workfare requirements as may be 
     required by law.


                      Commodity Assistance Program

       For necessary expenses to carry out the commodity 
     supplemental food program as authorized by section 4(a) of 
     the Agriculture and Consumer Protection Act of 1973 (7 U.S.C. 
     612c note) and for administrative expenses pursuant to 
     section 204 of the Emergency Food Assistance Act of 1983, 
     $141,000,000, to remain available through September 30, 1999: 
     Provided, That none of these funds shall be available to 
     reimburse the Commodity Credit Corporation for commodities 
     donated to the program.


              food donations programs for selected groups

       For necessary expenses to carry out section 4(a) of the 
     Agriculture and Consumer Protection Act of 1973 (7 U.S.C. 
     612c note), and section 311 of the Older Americans Act of 
     1965 (42 U.S.C. 3030a), $141,165,000, to remain available 
     through September 30, 1999.


                      food program administration

       For necessary administrative expenses of the domestic food 
     programs funded under this Act, $107,619,000, of which 
     $5,000,000 shall be available only for simplifying 
     procedures, reducing overhead costs, tightening regulations, 
     improving food stamp coupon handling, and assistance in the 
     prevention, identification, and prosecution of fraud and 
     other violations of law: Provided, That this appropriation 
     shall be available for employment pursuant to the second 
     sentence of section 706(a) of the Organic Act of 1944 (7 
     U.S.C. 2225), and not to exceed $150,000 shall be available 
     for employment under 5 U.S.C. 3109.

[[Page H7515]]

                                TITLE V

                FOREIGN ASSISTANCE AND RELATED PROGRAMS


         Foreign Agricultural Service and General Sales Manager

                     (including transfers of funds)

       For necessary expenses of the Foreign Agricultural Service, 
     including carrying out title VI of the Agricultural Act of 
     1954 (7 U.S.C. 1761-1768), market development activities 
     abroad, and for enabling the Secretary to coordinate and 
     integrate activities of the Department in connection with 
     foreign agricultural work, including not to exceed $128,000 
     for representation allowances and for expenses pursuant to 
     section 8 of the Act approved August 3, 1956 (7 U.S.C. 1766), 
     $135,561,000, of which $3,231,000 may be transferred from the 
     Export Loan Program account in this Act, and $1,035,000 may 
     be transferred from the Public Law 480 program account in 
     this Act: Provided, That the Service may utilize advances of 
     funds, or reimburse this appropriation for expenditures made 
     on behalf of Federal agencies, public and private 
     organizations and institutions under agreements executed 
     pursuant to the agricultural food production assistance 
     programs (7 U.S.C. 1736) and the foreign assistance programs 
     of the International Development Cooperation Administration 
     (22 U.S.C. 2392).
       None of the funds in the foregoing paragraph shall be 
     available to promote the sale or export of tobacco or tobacco 
     products.


               public law 480 program and grant accounts

                     (including transfers of funds)

       For expenses during the current fiscal year, not otherwise 
     recoverable, and unrecovered prior years' costs, including 
     interest thereon, under the Agricultural Trade Development 
     and Assistance Act of 1954 (7 U.S.C. 1691, 1701-1715, 1721-
     1726, 1727-1727f, and 1731-1736g), as follows: (1) 
     $226,900,000 for Public Law 480 title I credit, including 
     Food for Progress programs; (2) $17,608,000 is hereby 
     appropriated for ocean freight differential costs for the 
     shipment of agricultural commodities pursuant to title I of 
     said Act and the Food for Progress Act of 1985; (3) 
     $837,000,000 is hereby appropriated for commodities supplied 
     in connection with dispositions abroad pursuant to title II 
     of said Act; and (4) $30,000,000 is hereby appropriated for 
     commodities supplied in connection with dispositions abroad 
     pursuant to title III of said Act: Provided, That not to 
     exceed 15 percent of the funds made available to carry out 
     any title of said Act may be used to carry out any other 
     title of said Act: Provided further, That such sums shall 
     remain available until expended (7 U.S.C. 2209b).
       For the cost, as defined in section 502 of the 
     Congressional Budget Act of 1974, of direct credit agreements 
     as authorized by the Agricultural Trade Development and 
     Assistance Act of 1954, and the Food for Progress Act of 
     1985, including the cost of modifying credit agreements under 
     said Act, $176,596,000.
       In addition, for administrative expenses to carry out the 
     Public Law 480 title I credit program, and the Food for 
     Progress Act of 1985, to the extent funds appropriated for 
     Public Law 480 are utilized, $1,850,000.


       commodity credit corporation export loans program account

                     (including transfers of funds)

       For administrative expenses to carry out the Commodity 
     Credit Corporation's export guarantee program, GSM 102 and 
     GSM 103, $3,820,000; to cover common overhead expenses as 
     permitted by section 11 of the Commodity Credit Corporation 
     Charter Act and in conformity with the Federal Credit Reform 
     Act of 1990, of which not to exceed $3,231,000 may be 
     transferred to and merged with the appropriation for the 
     salaries and expenses of the Foreign Agricultural Service, 
     and of which not to exceed $589,000 may be transferred to and 
     merged with the appropriation for the salaries and expenses 
     of the Farm Service Agency.


                             export credit

       The Commodity Credit Corporation shall make available not 
     less than $5,500,000,000 in credit guarantees under its 
     export credit guarantee program extended to finance the 
     export sales of United States agricultural commodities and 
     the products thereof, as authorized by section 202(a) and (b) 
     of the Agricultural Trade Act of 1978 (7 U.S.C. 5641).


                     emerging markets export credit

       The Commodity Credit Corporation shall make available not 
     less than $200,000,000 in credit guarantees under its export 
     guarantee program for credit expended to finance the export 
     sales of United States agricultural commodities and the 
     products thereof to emerging markets, as authorized by 
     section 1542 of Public Law 101-624 (7 U.S.C. 5622 note).

                                TITLE VI

           RELATED AGENCIES AND FOOD AND DRUG ADMINISTRATION

                DEPARTMENT OF HEALTH AND HUMAN SERVICES

                      Food and Drug Administration


                         salaries and expenses

       For necessary expenses of the Food and Drug Administration, 
     including hire and purchase of passenger motor vehicles; for 
     rental of special purpose space in the District of Columbia 
     or elsewhere; and for miscellaneous and emergency expenses of 
     enforcement activities, authorized and approved by the 
     Secretary and to be accounted for solely on the Secretary's 
     certificate, not to exceed $25,000; $948,705,000, of which 
     not to exceed $91,204,000 in fees pursuant to section 736 of 
     the Federal Food, Drug, and Cosmetic Act may be credited to 
     this appropriation and remain available until expended: 
     Provided, That fees derived from applications received during 
     fiscal year 1998 shall be subject to the fiscal year 1998 
     limitation: Provided further, That none of these funds shall 
     be used to develop, establish, or operate any program of user 
     fees authorized by 31 U.S.C. 9701.
       In addition, fees pursuant to section 354 of the Public 
     Health Service Act may be credited to this account, to remain 
     available until expended.
       In addition, fees pursuant to section 801 of the Federal 
     Food, Drug, and Cosmetic Act may be credited to this account, 
     to remain available until expended.


                        buildings and facilities

       For plans, construction, repair, improvement, extension, 
     alteration, and purchase of fixed equipment or facilities of 
     or used by the Food and Drug Administration, where not 
     otherwise provided, $21,350,000, to remain available until 
     expended (7 U.S.C. 2209b).


                         rental payments (fda)

                     (including transfers of funds)

       For payment of space rental and related costs pursuant to 
     Public Law 92-313 for programs and activities of the Food and 
     Drug Administration which are included in this Act, 
     $46,294,000: Provided, That in the event the Food and Drug 
     Administration should require modification of space needs, a 
     share of the salaries and expenses appropriation may be 
     transferred to this appropriation, or a share of this 
     appropriation may be transferred to the salaries and expenses 
     appropriation, but such transfers shall not exceed 5 percent 
     of the funds made available for rental payments (FDA) to or 
     from this account.

                       DEPARTMENT OF THE TREASURY

                      Financial Management Service


  Payments to the Farm Credit System Financial Assistance Corporation

       For necessary payments to the Farm Credit System Financial 
     Assistance Corporation by the Secretary of the Treasury, as 
     authorized by section 6.28(c) of the Farm Credit Act of 1971, 
     for reimbursement of interest expenses incurred by the 
     Financial Assistance Corporation on obligations issued 
     through 1994, as authorized, $7,728,000.

                          INDEPENDENT AGENCIES

                  Commodity Futures Trading Commission

       For necessary expenses to carry out the provisions of the 
     Commodity Exchange Act (7 U.S.C. 1 et seq.), including the 
     purchase and hire of passenger motor vehicles; the rental of 
     space (to include multiple year leases) in the District of 
     Columbia and elsewhere; and not to exceed $25,000 for 
     employment under 5 U.S.C. 3109; $58,101,000, including not to 
     exceed $1,000 for official reception and representation 
     expenses: Provided, That the Commission is authorized to 
     charge reasonable fees to attendees of Commission sponsored 
     educational events and symposia to cover the Commission's 
     costs of providing those events and symposia, and 
     notwithstanding 31 U.S.C. 3302, said fees shall be credited 
     to this account, to be available without further 
     appropriation.

                       Farm Credit Administration


                 Limitation on Administrative Expenses

       Not to exceed $34,423,000 (from assessments collected from 
     farm credit institutions and from the Federal Agricultural 
     Mortgage Corporation) shall be obligated during the current 
     fiscal year for administrative expenses as authorized under 
     12 U.S.C. 2249: Provided, That this limitation shall not 
     apply to expenses associated with receiverships.

                     TITLE VII--GENERAL PROVISIONS

       Sec. 701. Within the unit limit of cost fixed by law, 
     appropriations and authorizations made for the Department of 
     Agriculture for the fiscal year 1998 under this Act shall be 
     available for the purchase, in addition to those specifically 
     provided for, of not to exceed 394 passenger motor vehicles, 
     of which 391 shall be for replacement only, and for the hire 
     of such vehicles.
       Sec. 702. Funds in this Act available to the Department of 
     Agriculture shall be available for uniforms or allowances 
     therefor as authorized by law (5 U.S.C. 5901-5902).
       Sec. 703. Not less than $1,500,000 of the appropriations of 
     the Department of Agriculture in this Act for research and 
     service work authorized by the Acts of August 14, 1946, and 
     July 28, 1954 (7 U.S.C. 427, 1621-1629), and by chapter 63 of 
     title 31, United States Code, shall be available for 
     contracting in accordance with said Acts and chapter.
       Sec. 704. The cumulative total of transfers to the Working 
     Capital Fund for the purpose of accumulating growth capital 
     for data services and National Finance Center operations 
     shall not exceed $2,000,000: Provided, That no funds in this 
     Act appropriated to an agency of the Department shall be 
     transferred to the Working Capital Fund without the approval 
     of the agency administrator.
       Sec. 705. New obligational authority provided for the 
     following appropriation items in this Act shall remain 
     available until expended (7 U.S.C. 2209b): Animal and Plant 
     Health Inspection Service, the contingency fund to meet 
     emergency conditions, fruit fly program, and integrated 
     systems acquisition project; Farm Service Agency, salaries 
     and expenses funds made available to county committees; and 
     Foreign Agricultural Service, middle-income country training 
     program.
       New obligational authority for the boll weevil program; up 
     to 10 percent of the screwworm program of the Animal and 
     Plant Health Inspection Service; Food Safety and Inspection 
     Service, field automation and information management project; 
     funds appropriated for rental payments; funds for the Native 
     American Institutions Endowment Fund in the Cooperative State 
     Research, Education, and Extension Service; and funds for the 
     competitive research grants (7 U.S.C. 450i(b)), shall remain 
     available until expended.

[[Page H7516]]

       Sec. 706. No part of any appropriation contained in this 
     Act shall remain available for obligation beyond the current 
     fiscal year unless expressly so provided herein.
       Sec. 707. Not to exceed $50,000 of the appropriations 
     available to the Department of Agriculture in this Act shall 
     be available to provide appropriate orientation and language 
     training pursuant to Public Law 94-449.
       Sec. 708. No funds appropriated by this Act may be used to 
     pay negotiated indirect cost rates on cooperative agreements 
     or similar arrangements between the United States Department 
     of Agriculture and nonprofit institutions in excess of 10 
     percent of the total direct cost of the agreement when the 
     purpose of such cooperative arrangements is to carry out 
     programs of mutual interest between the two parties. This 
     does not preclude appropriate payment of indirect costs on 
     grants and contracts with such institutions when such 
     indirect costs are computed on a similar basis for all 
     agencies for which appropriations are provided in this Act.
       Sec. 709. Notwithstanding any other provision of this Act, 
     commodities acquired by the Department in connection with 
     Commodity Credit Corporation and section 32 price support 
     operations may be used, as authorized by law (15 U.S.C. 714c 
     and 7 U.S.C. 612c), to provide commodities to individuals in 
     cases of hardship as determined by the Secretary of 
     Agriculture.
       Sec. 710. None of the funds in this Act shall be available 
     to reimburse the General Services Administration for payment 
     of space rental and related costs in excess of the amounts 
     specified in this Act; nor shall this or any other provision 
     of law require a reduction in the level of rental space or 
     services below that of fiscal year 1997 or prohibit an 
     expansion of rental space or services with the use of funds 
     otherwise appropriated in this Act. Further, no agency of the 
     Department of Agriculture, from funds otherwise available, 
     shall reimburse the General Services Administration for 
     payment of space rental and related costs provided to such 
     agency at a percentage rate which is greater than is 
     available in the case of funds appropriated in this Act.
       Sec. 711. None of the funds in this Act shall be available 
     to restrict the authority of the Commodity Credit Corporation 
     to lease space for its own use or to lease space on behalf of 
     other agencies of the Department of Agriculture when such 
     space will be jointly occupied.
       Sec. 712. With the exception of grants awarded under the 
     Small Business Innovation Development Act of 1982, Public Law 
     97-219 (15 U.S.C. 638), none of the funds in this Act shall 
     be available to pay indirect costs on research grants awarded 
     competitively by the Cooperative State Research, Education, 
     and Extension Service that exceed 14 percent of total Federal 
     funds provided under each award.
       Sec. 713. Notwithstanding any other provisions of this Act, 
     all loan levels provided of this Act shall be considered 
     estimates, not limitations.
       Sec. 714. Appropriations to the Department of Agriculture 
     for the cost of direct and guaranteed loans made available in 
     fiscal year 1998 shall remain available until expended to 
     cover obligations made in fiscal year 1998 for the following 
     accounts: the rural development loan fund program account; 
     the Rural Telephone Bank program account; the rural 
     electrification and telecommunications loans program account; 
     and the rural economic development loans program account.
       Sec. 715. Such sums as may be necessary for fiscal year 
     1998 pay raises for programs funded by this Act shall be 
     absorbed within the levels appropriated in this Act.
       Sec. 716. Hereafter: (a) Compliance With Buy American 
     Act.--None of the funds made available in this Act may be 
     expended by an entity unless the entity agrees that in 
     expending the funds the entity will comply with sections 2 
     through 4 of the Act of March 3, 1933 (41 U.S.C. 10a-10c; 
     popularly known as the ``Buy American Act'').
       (b) Sense of Congress; Requirement Regarding Notice.--
       (1) Purchase of american-made equipment and products.--In 
     the case of any equipment or product that may be authorized 
     to be purchased with financial assistance provided using 
     funds made available in this Act, it is the sense of the 
     Congress that entities receiving the assistance should, in 
     expending the assistance, purchase only American-made 
     equipment and products.
       (2) Notice to recipients of assistance.--In providing 
     financial assistance using funds made available in this Act, 
     the head of each Federal agency shall provide to each 
     recipient of the assistance a notice describing the statement 
     made in paragraph (1) by the Congress.
       (c) Prohibition of Contracts With Persons Falsely Labeling 
     Products as Made in America.--If it has been finally 
     determined by a court or Federal agency that any person 
     intentionally affixed a label bearing a ``Made in America'' 
     inscription, or any inscription with the same meaning, to any 
     product sold in or shipped to the United States that is not 
     made in the United States, the person shall be ineligible to 
     receive any contract or subcontract made with funds made 
     available in this Act, pursuant to the debarment, suspension, 
     and ineligibility procedures described in sections 9.400 
     through 9.409 of title 48, Code of Federal Regulations.
       Sec. 717. Notwithstanding the Federal Grant and Cooperative 
     Agreement Act, marketing services of the Agricultural 
     Marketing Service and the Animal and Plant Health Inspection 
     Service may use cooperative agreements to reflect a 
     relationship between the Agricultural Marketing Service or 
     the Animal and Plant Health Inspection Service and a State or 
     Cooperator to carry out agricultural marketing programs or to 
     carry out programs to protect the Nation's animal and plant 
     resources.
       Sec. 718. None of the funds in this Act may be used to 
     retire more than 5 percent of the Class A stock of the Rural 
     Telephone Bank or to maintain any account or subaccount 
     within the accounting records of the Rural Telephone Bank the 
     creation of which has not specifically been authorized by 
     statute: Provided, That notwithstanding any other provision 
     of law, none of the funds appropriated or otherwise made 
     available in this Act may be used to transfer to the Treasury 
     or to the Federal Financing Bank any unobligated balance of 
     the Rural Telephone Bank telephone liquidating account which 
     is in excess of current requirements and such balance shall 
     receive interest as set forth for financial accounts in 
     section 505(c) of the Federal Credit Reform Act of 1990.
       Sec. 719. None of the funds made available in this Act may 
     be used to provide assistance to, or to pay the salaries of 
     personnel who carry out a market promotion/market access 
     program pursuant to section 203 of the Agricultural Trade Act 
     of 1978 (7 U.S.C. 5623) that provides assistance to the 
     United States Mink Export Development Council or any mink 
     industry trade association.
       Sec. 720. Of the funds made available by this Act, not more 
     than $1,000,000 shall be used to cover necessary expenses of 
     activities related to all advisory committees, panels, 
     commissions, and task forces of the Department of Agriculture 
     except for panels used to comply with negotiated rule makings 
     and panels used to evaluate competitively awarded grants.
       Sec. 721. None of the funds appropriated or otherwise made 
     available by this Act shall be used to pay the salaries and 
     expenses of personnel who carry out an export enhancement 
     program if the aggregate amount of funds and/or commodities 
     under such program exceeds $150,000,000.
       Sec. 722. None of the funds appropriated in this Act may be 
     used to carry out the provisions of section 918 of Public Law 
     104-127, the Federal Agriculture Improvement and Reform Act.
       Sec. 723. No employee of the Department of Agriculture may 
     be detailed or assigned from an agency or office funded by 
     this Act to any other agency or office of the Department for 
     more than 30 days unless the individual's employing agency or 
     office is fully reimbursed by the receiving agency or office 
     for the salary and expenses of the employee for the period of 
     assignment.
       Sec. 724. None of the funds appropriated or otherwise made 
     available to the Department of Agriculture shall be used to 
     transmit or otherwise make available to any non-Department of 
     Agriculture employee questions or responses to questions that 
     are a result of information requested for the appropriations 
     hearing process.
       Sec. 725. None of the funds appropriated or otherwise made 
     available in this Act may be expended or obligated to fund 
     the activities of the Western Director and Special Assistant 
     to the Secretary within the Office of the Secretary of 
     Agriculture or any similar position.
       Sec. 726. None of the funds made available to the 
     Department of Agriculture by this Act may be used to acquire 
     new information technology systems or significant upgrades, 
     as determined by the Office of the Chief Information Officer, 
     without the approval of the Chief Information Officer and the 
     concurrence of the Executive Information Technology 
     Investment Review Board.
       Sec. 727. (a) None of the funds provided by this Act, or 
     provided by previous Appropriations Acts to the agencies 
     funded by this Act that remain available for obligation or 
     expenditure in fiscal year 1998, or provided from any 
     accounts in the Treasury of the United States derived by the 
     collection of fees available to the agencies funded by this 
     Act, shall be available for obligation or expenditure through 
     a reprogramming of funds which (1) creates new programs; (2) 
     eliminates a program, project, or activity; (3) increases 
     funds or personnel by any means for any project or activity 
     for which funds have been denied or restricted; (4) relocates 
     an office or employees; (5) reorganizes offices, programs, or 
     activities; or (6) contracts out or privatizes any functions 
     or activities presently performed by Federal employees; 
     unless the Appropriations Committees of both Houses of 
     Congress are notified fifteen days in advance of such 
     reprogramming of funds.
       (b) None of the funds provided by this Act, or provided by 
     previous Appropriations Acts to the agencies funded by this 
     Act that remain available for obligation or expenditure in 
     fiscal year 1998, or provided from any accounts in the 
     Treasury of the United States derived by the collection of 
     fees available to the agencies funded by this Act, shall be 
     available for obligation or expenditure for activities, 
     programs, or projects through a reprogramming of funds in 
     excess of $500,000 or 10 percent, whichever is less, that (1) 
     augments existing programs, projects, or activities; (2) 
     reduces by 10 percent funding for any existing program, 
     project, or activity, or numbers of personnel by 10 percent 
     as approved by Congress; or (3) results from any general 
     savings from a reduction in personnel which would result in a 
     change in existing programs, activities, or projects as 
     approved by Congress; unless the Appropriations Committees of 
     both Houses of Congress are notified fifteen days in advance 
     of such reprogramming of funds.
       Sec. 728. Section 3(c) of the Federal Noxious Weed Act of 
     1974 (7 U.S.C. 2802 (c)) is amended by inserting before the 
     period at the end the following: ``, and includes kudzu 
     (Pueraria lobata Dc)''.
       Sec. 729. Notwithstanding section 520 of the Housing Act of 
     1949, (42 U.S.C. 1490) the Martin Luther King area of 
     Pawley's Island, South Carolina, located in Georgetown 
     County, shall be eligible for loans and grants under section 
     504 of the Housing Act of 1949.
       Sec. 730. None of the funds made available to the Food and 
     Drug Administration by this Act

[[Page H7517]]

     shall be used to close or relocate the Food and Drug 
     Administration Division of Drug Analysis in St. Louis, 
     Missouri.
       Sec. 731. Effective on October 1, 1998, section 136(a) of 
     the Agricultural Market Transition Act (7 U.S.C. 7236(a)) is 
     amended--
       (1) in paragraph (1)--
       (A) by striking ``Subject to paragraph (4), during'' and 
     inserting ``During''; and
       (B) in subparagraph (B), by striking ``130'' and inserting 
     ``134'';
       (2) by striking paragraph (4); and
       (3) by redesignating paragraph (5) as paragraph (4).
       Sec. 732. Study of Northeast Interstate Dairy Compact. (a) 
     Definitions.--In this section:
       (1) Child, senior, and low-income nutrition programs.--The 
     term ``child, senior, and low-income nutrition programs'' 
     includes--
       (A) the food stamp program established under the Food Stamp 
     Act of 1977 (7 U.S.C. 2011 et seq.);
       (B) the school lunch program established under the National 
     School Lunch Act (42 U.S.C. 1751 et seq.);
       (C) the summer food service program for children 
     established under section 13 of that Act (42 U.S.C. 1761);
       (D) the child and adult care food program established under 
     section 17 of that Act (42 U.S.C. 1766);
       (E) the special milk program established under section 3 of 
     the Child Nutrition Act of 1966 (42 U.S.C. 1772);
       (F) the school breakfast program established under section 
     4 of that Act (42 U.S.C. 1773);
       (G) the special supplemental nutrition program for women, 
     infants, and children authorized under section 17 of that Act 
     (42 U.S.C. 1786); and
       (H) the nutrition programs and projects carried out under 
     part C of title III of the Older Americans Act of 1965 (42 
     U.S.C. 3030e et seq.).
       (2) Compact.--The term ``Compact'' means the Northeast 
     Interstate Dairy Compact.
       (3) Northeast interstate dairy compact.--The term 
     ``Northeast Interstate Dairy Compact'' means the Northeast 
     Interstate Dairy Compact referred to in section 147 of the 
     Agricultural Market Transition Act (7 U.S.C. 7256).
       (4) Director.--The term ``Director'' means the Director of 
     the Office of Management and Budget.
       (b) Evaluation.--Not later than December 31, 1997, the 
     Director shall conduct, complete, and transmit to Congress a 
     comprehensive economic evaluation of the direct and indirect 
     effects of the Northeast Interstate Dairy Compact and other 
     factors which affect the price of fluid milk.
       (c) Components.--In conducting the evaluation, the Director 
     shall consider, among other factors, the effects of 
     implementation of the rules and regulations of the Northeast 
     Interstate Dairy Compact Commission, such as rules and 
     regulations relating to over-order Class I pricing and 
     pooling provisions. This evaluation shall consider such 
     effects prior to implementation of the Compact and that would 
     have occurred in the absence of the implementation of the 
     Compact. The evaluation shall include an analysis of the 
     impacts on--
       (1) child, senior, and low-income nutrition programs 
     including impacts on schools and institutions participating 
     in the programs, on program recipients, and other factors;
       (2) the wholesale and retail cost of fluid milk;
       (3) the level of milk production, the number of cows, the 
     number of dairy farms, and milk utilization in the Compact 
     region, including--
       (A) changes in the level of milk production, the number of 
     cows, and the number of dairy farms in the Compact region 
     relative to trends in the level of milk production and trends 
     in the number of cows and dairy farms prior to implementation 
     of the Compact;
       (B) changes in the disposition of bulk and packaged milk 
     for Class I, II, or III use produced in the Compact region to 
     areas outside the region relative to the milk disposition to 
     areas outside the region;
       (C) changes in--
       (i) the share of milk production for Class I use of the 
     total milk production in the Compact region; and
       (ii) the share of milk production for Class II and Class 
     III use of the total milk production in the Compact region;
       (4) dairy farmers and dairy product manufacturers in States 
     and regions outside the Compact region with respect to the 
     impact of changes in milk production, and the impact of any 
     changes in disposition of milk originating in the Compact 
     region, on national milk supply levels and farm level milk 
     prices nationally; and
       (5) the cost of carrying out the milk price support program 
     established under section 141 of the Agricultural Market 
     Transition Act (7 U.S.C. 7251).
       (d) Additional States and Compacts.--The Director shall 
     evaluate and incorporate into the evaluation required under 
     subsection (b) an evaluation of the economic impact of adding 
     additional States to the Compact for the purpose of 
     increasing prices paid to milk producers.
       Sec. 733. From proceeds earned from the sale of grain in 
     the disaster reserve established in the Agricultural Act of 
     1970, the Secretary may use up to an additional $2,000,000 to 
     implement a livestock indemnity program as established in 
     Public Law 105-18.
       Sec. 734. Planting of Wild Rice on Contract Acreage.--None 
     of the funds appropriated in this Act may be used to 
     administer the provision of contract payments to a producer 
     under the Agricultural Market Transition Act (7 U.S.C. 7201 
     et seq.) for contract acreage on which wild rice is planted 
     unless the contract payment is reduced by an acre for each 
     contract acre planted to wild rice.
       Sec. 735. Rural Housing Programs. (a) Housing in 
     Underserved Areas Program.--The first sentence of section 
     509(f)(4)(A) of the Housing Act of 1949 (42 U.S.C. 
     1479(f)(4)(A)) is amended by striking ``fiscal year 1997'' 
     and inserting ``fiscal year 1998''.
       (b) Housing and Related Facilities for Elderly Persons and 
     Families and Other Low-Income Persons and Families.--
       (1) Authority to make loans.--Section 515(b)(4) of the 
     Housing Act of 1949 (42 U.S.C. 1485(b)(4)) is amended by 
     striking ``September 30, 1997'' and inserting ``September 30, 
     1998''.
       (2) Set-aside for nonprofit entities.--The first sentence 
     of section 515(w)(1) of the Housing Act of 1949 (42 U.S.C. 
     1485(w)(1)) is amended by striking ``fiscal year 1997'' and 
     inserting ``fiscal year 1998''.
       (3) Loan term.--Section 515 of the Housing Act of 1949 (42 
     U.S.C. 1485) is amended--
       (A) in subsection (a)(2), by striking ``up to fifty'' and 
     inserting ``up to 30''; and
       (B) in subsection (b)--
       (i) by striking paragraph (2) and inserting the following:
       ``(2) such a loan may be made for a period of up to 30 
     years from the making of the loan, but the Secretary may 
     provide for periodic payments based on an amortization 
     schedule of 50 years with a final payment of the balance due 
     at the end of the term of the loan;'';
       (ii) in paragraph (5), by striking ``and'' at the end;
       (iii) in paragraph (6), by striking the period at the end 
     and inserting ``; and''; and
       (iv) by adding at the end the following:
       ``(7) the Secretary may make a new loan to the current 
     borrower to finance the final payment of the original loan 
     for an additional period not to exceed twenty years, if--
       ``(A) the Secretary determines--
       ``(i) it is more cost-efficient and serves the tenant base 
     more effectively to maintain the current property than to 
     build a new property in the same location; or
       ``(ii) the property has been maintained to such an extent 
     that it warrants retention in the current portfolio because 
     it can be expected to continue providing decent, safe, and 
     affordable rental units for the balance of the loan; and
       ``(B) the Secretary determines--
       ``(i) current market studies show that a need for low-
     income rural rental housing still exists for that area; and
       ``(ii) any other criteria established by the Secretary has 
     been met.''.
       (c) Loan Guarantees for Multifamily Rental Housing in Rural 
     Areas.--Section 538 of the Housing Act of 1949 (42 U.S.C. 
     1490p-2) is amended--
       (1) in subsection (q), by striking paragraph (2) and 
     inserting the following:
       ``(2) Annual limitation on amount of loan guarantee.--In 
     each fiscal year, the Secretary may enter into commitments to 
     guarantee loans under this section only to the extent that 
     the costs of the guarantees entered into in such fiscal year 
     do not exceed such amount as may be provided in appropriation 
     Acts for such fiscal year.'';
       (2) by striking subsection (t) and inserting the following:
       ``(t) Authorization of Appropriations.--There are 
     authorized to be appropriated for fiscal year 1998 for costs 
     (as such term is defined in section 502 of the Congressional 
     Budget Act of 1974) of loan guarantees made under this 
     section such sums as may be necessary for such fiscal 
     year.''; and
       (3) in subsection (u), by striking ``1996'' and inserting 
     ``1998''.
       This Act may be cited as the ``Agriculture, Rural 
     Development, Food and Drug Administration, and Related 
     Agencies Appropriations Act, 1998''.
       And the Senate agree to the same.
     Joe Skeen,
     James T. Walsh,
     Jay Dickey,
     Jack Kingston,
     George R. Nethercutt, Jr.,
     Henry Bonilla,
     Tom Latham,
     Bob Livingston,
     Marcy Kaptur,
     Vic Fazio,
     Jose E. Serrano,
     Rosa L. DeLauro,
     David R. Obey,
                                Managers on the Part of the House.

     Thad Cochran,
     Arlen Specter,
     Christopher Bond,
     Slade Gorton,
     Mitch M. McConnell,
     Conrad Burns,
     Ted Stevens,
     Dale Bumpers,
     Tom Harkin,
     Herb Kohl,
     Robert Byrd,
     Patrick J. Leahy,
     Daniel K. Inouye,
                               Managers on the Part of the Senate.

       JOINT EXPLANATORY STATEMENT OF THE COMMITTEE OF CONFERENCE

       The managers on the part of the House and Senate at the 
     conference on the disagreeing votes of the two Houses on the 
     amendment of the Senate to the bill (H.R. 2160) making 
     appropriations for Agriculture, Rural Development, Food and 
     Drug Administration, and Related Agencies programs for the 
     fiscal year ending September 30, 1998, and for other 
     purposes, submit the following joint statement to the House 
     and Senate in explanation of the effect of the action agreed 
     upon by the managers and recommended in the accompanying 
     conference report.


                        CONGRESSIONAL DIRECTIVES

       The statement of the managers remains silent on provisions 
     that were in both the

[[Page H7518]]

     House and Senate Bills that remain unchanged by this 
     conference agreement, except as noted in this statement of 
     the managers.
       The conferees agree that executive branch wishes cannot 
     substitute for Congress' own statements as to the best 
     evidence of congressional intent--that is, the official 
     reports of the Congress. The conferees further point out that 
     funds in this Act must be used for the purposes for which 
     appropriated, as required by section 1301 of title 31 of the 
     United States Code, which provides: ``Appropriations shall be 
     applied only to the objects for which the appropriations were 
     made except as otherwise provided by law.''
       The House and Senate report language which is not changed 
     by the conference are approved by the committee of 
     conference. The statement of the managers, while repeating 
     some report language for emphasis, does not intend to negate 
     the language referred to above unless expressly provided 
     herein.

                     TITLE I--AGRICULTURAL PROGRAMS

                 Production, Processing, and Marketing

                        Office of the Secretary

       The conference agreement adopts language as proposed by the 
     Senate to prohibit the use of salaries and expenses to carry 
     out section 793(c)(1)(C) of Public Law 104-127, a limitation 
     on housing assistance, and section 793(d) of Public Law 104-
     127, a limitation on program levels in the Fund for Rural 
     America. The House bill had no similar provisions.

                          Executive Operations


                     OFFICE OF THE CHIEF ECONOMIST

       The conference agreement provides $5,048,000 for the Office 
     of the Chief Economist instead of $4,844,000 as proposed by 
     the House and $5,252,000 as proposed by the Senate. Included 
     in this amount is $656,000 to enhance the Department's 
     weather information activities.


                       NATIONAL APPEALS DIVISION

       The conference agreement provides $11,718,000 for the 
     National Appeals Division as proposed by the House instead of 
     $12,360,000 as proposed by the Senate.


         OFFICE OF SMALL AND DISADVANTAGED BUSINESS UTILIZATION

       The conference agreement does not include a separate 
     appropriation of $783,000 for the Office of Small and 
     Disadvantaged Business Utilization as proposed by the Senate. 
     The funding for this office is included in the Departmental 
     Administration appropriation as proposed by the House.

        Agriculture Buildings and Facilities and Rental Payments

       The conference agreement provides $131,085,000 for 
     Agriculture Buildings and Facilities and Rental Payments as 
     proposed by the Senate instead of $141,085,000 as proposed by 
     the House. Included in this amount is $5,000,000 for repairs, 
     renovations, and construction as proposed by the Senate 
     instead of $15,000,000 as proposed by the House. The 
     conference agreement also deletes language proposed by the 
     Senate expanding the use of operation and maintenance funds.

                       Hazardous Waste Management

       The conference agreement provides $15,700,000 for Hazardous 
     Waste Management as proposed by the Senate instead of 
     $20,000,000 as proposed by the House.

                      Departmental Administration

       The conference agreement provides $27,231,000 for 
     Departmental Administration as proposed by the House instead 
     of $26,948,000 as proposed by the Senate. Included in this 
     amount is $783,000 for the Office of Small and Disadvantaged 
     Business Utilization. The conferees direct that not less than 
     $15,274,000 of the total amount appropriated be used for 
     civil rights enforcement activities. This amount includes 
     full funding for the establishment of an investigative unit 
     within the Office of Civil Rights.

                    Office of the Inspector General

       The conference agreement provides $63,128,000 for the 
     Office of the Inspector General as proposed by the House 
     instead of $63,728,000 as proposed by the Senate. Included in 
     this amount is $95,000 for confidential operational expenses 
     as proposed by the House instead of $125,000 as proposed by 
     the Senate.

                     Office of the General Counsel

       The conference agreement provides $28,524,000 for the 
     Office of the General Counsel instead of $27,949,000 as 
     proposed by the House and $29,098,000 as proposed by the 
     Senate.

                       Economic Research Service

       The conference agreement provides $71,604,000 for the 
     Economic Research Service as proposed by the House instead of 
     $53,109,000 as proposed by the Senate. Included in this 
     amount is $18,495,000 for studies and evaluations of food 
     stamp, child nutrition, and WIC programs to be coordinated 
     with the Food and Consumer Service and other Departmental 
     agencies. The conferees anticipate that minimum staff changes 
     will be needed to carry out these studies and direct the 
     agency to notify the House and Senate Committees on 
     Appropriations at least 15 days prior to the use of these 
     funds for any hiring of new employees.

                National Agricultural Statistics Service

       The conference agreement provides $118,048,000 for the 
     National Agricultural Statistics Service as proposed by the 
     Senate instead of $116,861,000 as proposed by the House. 
     Included in this amount is up to $36,327,000 for the Census 
     of Agriculture as proposed by the Senate instead of 
     $36,140,000 as proposed by the House. The conference 
     agreement also includes bill language giving USDA the 
     authority to conduct the 1997 Census of Agriculture.

                     Agricultural Research Service

       The conference agreement provides $744,605,000 for the 
     Agricultural Research Service instead of $725,059,000 as 
     proposed by the House and $738,000,000 as proposed by the 
     Senate.
       The following table reflects the conference agreement:

          
  Amount...............................................................
FY 1997 appropriation......................................$716,826,000
Transfer: Office of Chief Economist............................(29,000)
                                                       ________________
                                                       
Adjusted FY 1997 appropriation..............................716,797,000
Emerging Diseases and Exotic Pests...........................$3,050,000
  Vomitoxin in Wheat..........................................(500,000)
  Fusarium Head Blight, MN....................................(500,000)
  Karnal Bunt, KS.............................................(500,000)
  Citrus Tristeza.............................................(750,000)
  Ergot Disease in Sorghum....................................(300,000)
  Asian Long Horn Beetle......................................(500,000)
Food Safety...................................................4,000.000
  Apple E. Coli Research, PA..................................(250,000)
  Food Safety Agency Study....................................(420,000)
Genetic Resources.............................................1,500,000
Grazing Lands Utilization and Conservation....................1,000,000
  Logan, UT...................................................(250,000)
  El Reno, OK.................................................(250,000)
  Las Cruces, NM..............................................(250,000)
  University Park, PA.........................................(250,000)
Human Nutrition...............................................7,500,000
  Food Consumption Survey Infant/Children...................(5,000,000)
  Little Rock, AR...........................................(1,000,000)
  Houston, TX.................................................(500,000)
  Beltsville, MD..............................................(250,000)
  Boston, MA..................................................(250,000)
  San Francisco, CA...........................................(250,000)
Florida Everglades Restoration................................1,250,000
  Hydrology-Canal Point, FL...................................(500,000)
  Hydrologist-Dade County, FL.................................(250,000)
  Melaleuca...................................................(500,000)
  Integrated Pest Management and Biocontrol...................2,500,000
  Biological Control........................................(2,000,000)
  Host Plant Resistance.......................................(500,000)
Appalachian Soil and Water Conservation Lab, WV.................250,000
Arctic Germplasm Repository.....................................650,000
Coastal Wetlands & Erosion Control, LA........................1,000,000
Cotton Genetics, MS.............................................250,000
Cotton Ginning, TX..............................................500,000
Fish Disease, AL................................................250,000
Food Fermentation, NC...........................................250,000
Formosan Termite, Southern Regional Research Center...........5,000,000
Grain Legume, WA................................................250,000
Honeybee, TX....................................................500,000
Hops Research, OR...............................................100,000
Lyme Disease....................................................200,000
National Aquaculture Research Ctr., AR..........................500,000
National Ctr. for Cool and Cold Water Aquaculture., WV..........250,000
National Warmwater Aquaculture Ctr., MS.........................500,000
Natural Products, MS............................................700,000
NW Nursery Crops, OR............................................500,000
Organics Management Research....................................500,000
Plant Genetics Equip./Greenhouse, MO............................200,000
Poisonous Plant, UT.............................................100,000
Poult Enteritis Mortality Syndrome, GA..........................250,000
Reproductive Efficiency of Beef Cattle, MT......................250,000
Rice research:
  Beaumont, TX..................................................250,000
  Stuttgart, AR.................................................700,000
Small Fruits, MS................................................250,000
Small Grains, Raleigh, NC./Aberdeen, ID.........................450,000
Sugarcane Biotechnology Research, LA............................200,000
Termination of ongoing projects..............................-3,119,000
Evaluation studies.............................................-913,000
Administrative reductions....................................-3,760,000
                                                       ________________
                                                       
  Total.....................................................744,605,000

       The conference agreement concurs in the following project 
     terminations: improved cropping systems ($158,400), decision 
     support systems ($80,000), CO; composts and organic residuals 
     ($281,700), soybean inoculants ($171,800), populations of 
     Fungi ($182,300), MD; differential root development 
     ($221,100), NY; process modeling of soil and water 
     ($384,300), PA; transferring technology for improvements in 
     agriculture ($158,700), PR; biological control of horn flies 
     ($221,500), improved cultivars for kenaf ($343,900), TX; and 
     management savings ($550,000) headquarters and ($365,200), 
     GA.
       The agreement provides $420,000 for a study by the National 
     Academy of Sciences on the scientific and organizational 
     needs for an effective food safety system, including 
     functions overseen by the Food Safety and Inspection Service, 
     the Food and Drug Administration, and other Federal, state 
     and local

[[Page H7519]]

     agencies with responsibilities for food safety. The study 
     will be conducted in two phases. The first phase will examine 
     the current mechanisms in place for assuring a safe food 
     supply and the extent to which they are effective in 
     addressing food safety issues from the farm to the table. 
     It will also analyze the extent to which current functions 
     (i.e., inspection, surveillance, monitoring, research, 
     risk assessment, and education) should be assigned or 
     reassigned to existing food safety agencies or an 
     independent food safety agency. It should also identify 
     whether any functions would be compromised by such an 
     action. If an independent food safety agency is 
     recommended, the second phase will develop further 
     guidance to ensure that the food safety system protects 
     the public's health and is cost-effective. A report on the 
     first phase should be transmitted to the appropriate 
     Committees of Congress no later than August 15, 1998.
       The conferees support the food safety initiative and expect 
     the Agricultural Research Service to work with the Food and 
     Drug Administration, the National Institute of Diabetes and 
     Digestive and Kidney Diseases, the National Institute of 
     Allergy and Infectious Diseases, and the Centers for Disease 
     Control and Prevention to develop a biomedical research 
     agenda on food safety.
       The conferees expect the work on controlling root diseases 
     of wheat and barley in cereal-based production systems to 
     continue at the Pullman, WA, ARS research station at the 
     fiscal year 1997 level.
       The conferees support the addition of a new lettuce 
     geneticist/plant breeder position at the U.S. Agricultural 
     Research Station in Salinas, California.
       The USDA-ARS National Sedimentation Laboratory is directed 
     to initiate an integrated watershed research program of 
     monitoring, analyzing, and evaluating sediment production, 
     movement and deposition and their impacts with appropriate 
     solutions on stream degradation, flooding and management of 
     upland areas, environmental and ecological concerns in the 
     Yalobusha River Basin, stream estuaries, and Grenada Lake.
       The conferees expect the ARS to expand its work on 
     Meadowfoam research in Oregon and at the Peoria laboratory.
       The bill includes language proposed by the House that 
     returns ownership of the Pecan Genetics and Improvement 
     Research Laboratory to the Agricultural Research Service.


                        buildings and facilities

       The conference agreement provides $80,630,000 for 
     Agricultural Research Service, Buildings and Facilities 
     instead of $59,000,000 as proposed by the House and 
     $69,100,000 as proposed by the Senate.
        The following table reflects the conference agreement:

California:
  Western Human Nutrition Research Center, Davis.............$5,200,000
  U.S. Horticulture Crop and Water Mgt. Lab., Parlier........23,400,000
France:
  European Biological Control Lab.............................3,400,000
Illinois:
  National Center for Agriculture Utilization, Peoria.........8,000,000
Louisiana:
  Southern Regional Research Center, New Orleans..............1,100,000
Maryland:
  Agricultural Research Center, Beltsville....................3,200,000
  National Agricultural Library, Beltsville...................2,500,000
Michigan:
  Avian Disease Labs, East Lansing............................1,800,000
Mississippi:
  Biocontrol and Insect Rearing Lab., Stoneville................900,000
  National Center for Natural Products, Oxford................7,000,000
Montana:
  Pest Quarantine and Integrated Pest Management, Sidney........606,000
New York:
  Plum Island Animal Disease Center...........................2,000,000
New Mexico:
  Joranado Range Research Center, Las Cruces....................700,000
North Dakota:
  Human Nutrition Center, Grand Forks.........................4,400,000
Pennsylvania:
  Eastern Regional Lab........................................5,000,000
South Carolina:
  U.S. Vegetable Laboratory, Charleston.......................4,824,000
Utah:
  Poisonous Plant Lab., Logan...................................600,000
West Virginia:
  National Center for Cool and Cold Water Aquaculture, Leetown6,000,000
                                                       ________________
                                                       
    Total....................................................80,630,000

      Cooperative State Research, Education, and Extension Service


                   research and education activities

       The conference agreement provides $431,410,000 for research 
     and education activities instead of $421,223,000 as proposed 
     by the House and $427,526,000 as proposed by the Senate.
       The following table reflects the conference agreement:


                   Research and Education Activities

                       [In thousands of dollars]

                                                             Conference
                                                              agreement
Payments Under Hatch Act........................................168,734
Cooperative forestry research (McIntire-Stennis).................20,497
Payments to 1890 colleges and Tuskegee...........................27,735
Special Research Grants (P.L. 89-106):
  Aegilops cylindricum (WA).........................................346
  Aflatoxin (IL)....................................................113
  Agriculture-based industrial lubricants (IA)......................200
  Agricultural diversification (HI).................................131
  Agricultural diversity/Red River Corridor (MN/ND).................250
  Alliance for food protection (NE, GA).............................300
  Alternative crops (ND)............................................550
  Alternative marine and fresh water species (MS)...................308
  Alternative salmon products (AK)..................................400
  Animal science food safety consortium (AR, IA, KS)..............1,521
  Apple fire blight (NY, MI)........................................500
  Aquaculture (IL)..................................................158
  Aquaculture (LA)..................................................330
  Aquaculture (MS)..................................................642
  Aquaculture produce and marketing development (WV)................600
  Babcock Institute (WI)............................................312
  Binational agriculture research and development...................500
  Biodiesel research (MO)...........................................152
  Center for animal health and productivity (PA)....................113
  Center for innovative food technology (OH)........................281
  Center for rural studies (VT)..................................... 32
  Chesapeake Bay aquaculture........................................370
  Citrus decay fungus (AZ)..........................................250
  Coastal cultivars (GA)............................................250
  Competitiveness of agricultural products (WA).....................677
  Cool season legume research (ID, WA)..............................329
  Cotton research (TX)..............................................200
  Cranberry/blueberry disease and breeding (NJ).....................220
  Dairy (AK)........................................................250
  Dairy and meat goat research (TX)................................. 63
  Delta rural revitalization (MS)...................................148
  Drought mitigation (NE)...........................................200
  Ecosystems (AL)...................................................500
  Environmental research (NY).......................................486
  Environmental risk factors/cancer (NY)............................100
  Expanded wheat pasture (OK).......................................285
  Farm and rural business finance (IL).............................. 87
  Feed barley for rangeland cattle (MT).............................600
  Floriculture (HI).................................................250
  Food and Agriculture Policy Institute (IA, MO)....................800
  Food irradiation (IA).............................................200
  Food marketing policy center (CT).................................332
  Food processing center (NE)....................................... 42
  Food safety.....................................................2,000
  Food systems research group (WI)..................................221
  Forestry (AR).....................................................523
  Fruit and vegetable market analysis (AZ, MO)......................296
  Generic commodity promotion research and evaluation (NY)..........212
  Global change...................................................1,000
  Global marketing support service (AR).............................127
  Grain sorghum (KS)................................................106
  Grass seed cropping systems for a sustainable agriculture (WA, OR, 
    ID).............................................................423
  Human nutrition (IA)..............................................473
  Human nutrition (LA)..............................................752
  Human nutrition (NY)..............................................622
  Hydroponic tomato production (OH).................................140
  Illinois-Missouri Alliance for Biotechnology....................1,184
  Improved dairy management practices (PA)..........................296
  Improved fruit practices (MI).....................................445
  Institute for Food Science and Engineering (AR)...................950
  Integrated production systems (OK)................................161
  International arid lands consortium...............................329
  Iowa biotechnology consortium...................................1,564
  Landscaping for water quality (GA)................................300
  Livestock and dairy policy (NY, TX)...............................445
  Lowbush blueberry research (ME)...................................220
  Maple research (VT)...............................................100
  Michigan biotechnology consortium.................................675
  Midwest advanced food manufacturing alliance......................423
  Midwest agricultural products (IA)................................592
  Milk safety (PA)..................................................268
  Minor use animal drugs (IR-4).....................................550
  Molluscan shellfish (OR)..........................................400
  Multi-commodity research (OR).....................................364
  Multi-cropping strategies for aquaculture (HI)....................127
  National biological impact assessment.............................254

[[Page H7520]]

  Nematode resistance genetic engineering (NM)......................127
  Non-food uses of agricultural products (NE)....................... 64
  Oil resources from desert plants (NM).............................175
  Organic waste utilization (NM)....................................100
  Pasture and forage research (UT)..................................225
  Peach tree short life (SC)........................................162
  Pest control alternatives (SC)....................................106
  Phytophthora root rot (NM)........................................127
  Plant, drought, and disease resistance gene cataloging (NM).......150
  Plant genome research (OH)........................................ 50
  Postharvest rice straws (CA)......................................300
  Potato research.................................................1,214
  Poultry carcass removal (AL)......................................300
  Precision agriculture (MS)........................................600
  Preharvest food safety (KS).......................................212
  Preservation and processing research (OK).........................226
  Rangeland ecosystems (NM).........................................185
  Regional barley gene mapping project..............................348
  Regionalized implications of farm programs (MO, TX)...............294
  Rice Modeling (AR)................................................296
  Rural development centers (PA, IA, (ND), MS, OR)..................423
  Rural policies institute (NE, MO).................................644
  Russian wheat aphid (CO)..........................................200
  Seafood and aquaculture harvesting, processing, and marketing (MS)305
  Small fruit research (OR, WA, ID).................................212
  Southwest consortium for plant genetics and water resources.......338
  Soybean cyst nematode (MO)........................................450
  STEEP III--water quality in Northwest.............................500
  Sustainable agriculture (MI)......................................445
  Sustainable agriculture and natural resources (PA)................ 94
  Sustainable agriculture systems (NE).............................. 59
  Sustainable pest management for dryland wheat (MT)................400
  Swine waste management (NC).......................................300
  Tillage, silviculture, waste management (LA)......................212
  Tropical and subtropical........................................2,724
  Urban pests (GA).................................................. 64
  Vidalia onions (GA)............................................... 84
  Viticulture consortium (NY, CA)...................................800
  Water conservation (KS)........................................... 79
  Water quality...................................................2,461
  Weed control (ND).................................................423
  Wheat genetic research (KS).......................................261
  Wood utilization research (OR, MS, NC, MN, ME, MI)..............3,536
  Wool research (TX, MT, WY)........................................300
                                                             __________
                                                             
    Total, Special Research Grants...............................51,495
                                                               ==========
_______________________________________________________________________

Improved pest control:
  Critical issues...................................................200
  Emerging pest and disease issues................................1,623
  Expert IPM decision support issues................................177
  Integrated pest management......................................2,731
  Pesticide clearance (IR-4)......................................8,990
  Pesticide impact assessment.....................................1,327
                                                             __________
                                                             
    Total, Improved pest control.................................15,048
                                                               ==========
_______________________________________________________________________

Competitive research grants:
  Plant systems..................................................37,000
  Animal systems.................................................24,000
  Nutrition, food quality, and health.............................8,000
  Natural resources and the environment..........................17,500
  Processes and new products......................................6,800
  Markets, trade, and policy......................................3,900
                                                             __________
                                                             
    Total, Competitive research grants...........................97,200
                                                               ==========
_______________________________________________________________________

Animal Health and Disease (Sec. 1433).............................4,775
Critical Agricultural Materials Act.................................550
Aquaculture Centers (Sec. 1475)...................................4,000
Alternative Crops...................................................650
Sustainable agriculture...........................................8,000
Capacity building grants..........................................9,200
Payments to the 1994 Institutions.................................1,450
Graduate fellowship grants........................................3,000
Institution challenge grants......................................4,350
Multicultural scholars program....................................1,000
Hispanic-serving institutions.....................................2,500
Native American Institutions Endowment Fund.....................(4,600)
Federal Administration:
  Agriculture development in American Pacific.......................564
  Agriculture waste utilization (WV)................................360
  Alternative fuels characterization laboratory (ND)................218
  Animal waste management (OK)......................................250
  Center for Agricultural and Rural Development (IA)................355
  Center for Human Nutrition (MD)...................................150
  Center for North American Studies (TX)............................ 87
  Data information system...........................................800
  Geographic information system.....................................844
  Mariculture (NC)..................................................150
  Mississippi Valley State University...............................583
  National Education Center for Agricultural........................
  National Center for Peanut Competitiveness........................150
  Office of grants and program systems..............................310
  Pay costs and FERS (prior)........................................900
  Peer panels.......................................................350
  PM-10 study (CA, WA)..............................................873
  Shrimp aquaculture (AZ, HI, MS, MA, SC).........................3,354
  Water quality (IL)................................................492
  Water quality (ND)................................................436
                                                             __________
                                                             
    Total, Federal Administration................................11,226
                                                               ==========
_______________________________________________________________________

    Total, Research and Education Activities....................431,410

       For the geographic information system project, the 
     agreement provides $844,000 which includes funding for past 
     participating entities in Georgia, the Chesapeake Bay, 
     Arkansas, North Dakota, Washington, Wisconsin, and new 
     entities in New Mexico and Colorado.
       The conferees have provided the $2,000,000 requested for a 
     new competitive food safety initiative. The conferees urge 
     that a research proposal from Pennsylvania State University's 
     E. Coli Reference Center be considered for funding if judged 
     to be meritorious when subjected to the established review 
     process.
       Included in the funding for alternative crops is $500,000 
     for canola research and $150,000 for hesperaloe research.

                          Extension Activities

       The conference agreement provides $423,376,000 for 
     extension activities instead of $415,110,000 as proposed by 
     the House and $423,322,000 as proposed by the Senate. The 
     following table reflects the conference agreement:

                        [In thousands of dollars]                       
------------------------------------------------------------------------
                                                           Conference   
                                     FY 1997 enacted       agreement    
------------------------------------------------------------------------
Smith Lever 3(b) & 3(c)...........            268,493            268,493
Smith Lever 3(d):                                                       
    Pest management...............             10,783             10,783
    Water quality.................             10,733              9,061
    Farm safety...................              2,855              2,855
    Food and nutrition education                                        
     (EFNEP)......................             58,695             58,695
    Pesticide impact assessment...              3,214              3,214
    Rural development centers.....                908                908
    Sustainable agriculture.......              3,309              3,309
    Food safety...................              2,365              2,365
    Youth at risk.................              9,554              9,554
    Indian reservation agents.....              1,672              1,672
1890's Colleges and Tuskegee......             25,090             25,090
1890's facilities grants..........              7,549              7,549
Renewable Resources Extension Act.              3,192              3,192
Agricultural telecommunications...              1,167                900
Rural health and safety education.              2,628              2,628
Extension services at the 1994                                          
 institutions.....................              2,000              2,000
                                   -------------------------------------
      Subtotal....................            414,207            412,268
                                   =====================================
Federal Administration and special                                      
 grants:                                                                
    Beef producers' improvement                                         
     (AR).........................                197                197
    Delta teachers academy........              3,850              3,500
    Extension specialist (AR).....                 99                 99
    Extension specialist (MS).....                 50                 50
    General administration........              4,995              4,995
    Income enhancement                                                  
     demonstration (OH)...........                246                246
    Integrated cow/calf resources                                       
     management (IA)..............                345                300
    National Center for                                                 
     Agriculture Safety (IA)......  .................                195
    Pilot tech. transfer (OK, MS).                326                326

[[Page H7521]]

                                                                        
    Pilot tech. transfer (WI).....                163                163
    Range improvement (NM)........                197                197
    Rural center for the study and                                      
     promotion of HIV/STD                                               
     prevention (IN)..............                246  .................
    Rural development (NE)........                386  .................
    Rural development (OK)........                227                247
    Rural development (OK)........                296                150
    Rural rehabilitation (GA).....                246                246
    Wood biomass as an alternative                                      
     farm product (NY)............                197                197
                                   -------------------------------------
      Total, Federal                                                    
       Administration.............             12,066             11,108
                                   =====================================
      Total, Extension Activities.            426,273            423,376
------------------------------------------------------------------------

               Animal and Plant Health Inspection Service


                         SALARIES AND EXPENSES

       The conference agreement provides $426,282,000 for the 
     Animal and Plant Health Inspection Service instead of 
     $424,244,000 as proposed by the House and $437,183,000 as 
     proposed by the Senate. Included in this amount is $1,255,000 
     for rabies control activities in Ohio, Texas, New York, and 
     other states.
       The conferees are aware of the cooperative efforts of APHIS 
     in controlling boll weevils in New Mexico and that cotton 
     farmers in New Mexico are continuing a voluntary assessment 
     for eradication. The conferees urge APHIS to continue its 
     cooperative effort for boll weevil eradication in New Mexico.
       Included in the total amount provided for the boll weevil 
     eradication plan, the conferees provide not less than 
     $400,000 to continue the geographic information system 
     project to prepare for future expansion of the program into 
     remaining cotton production regions that have not eradicated 
     the boll weevil. The technology developed through this system 
     will be transferred to these regions as the program expands, 
     reducing overall program costs.
       The conferees direct that APHIS continue its efforts to 
     maximize cost sharing of control activities in all states to 
     the extent possible. However, the conferees recognize that 
     circumstances vary among states and do not support 
     implementation of the rigid cost sharing requirement proposed 
     in the budget.
       The following table reflects the conference agreement:

                        [In thousands of dollars]                       
------------------------------------------------------------------------
                                                           Conference   
                                     FY 1997 enacted       agreement    
------------------------------------------------------------------------
                       PEST AND DISEASE EXCLUSION                       
Agricultural guarantee inspection.             26,547             26,747
    User fees.....................             98,000             88,000
                                   -------------------------------------
      Subtotal, Agricultural                                            
       quarantine inspection......            124,547            114,747
Cattle ticks......................              4,537              4,627
Foot-and-mouth disease............              3,991              3,803
Import-export inspection..........              6,847              6,815
International programs............              6,643              6,630
Fruit fly exclusion and detection.             21,161             20,970
Screwworm.........................             31,713             31,713
Tropical bont tick................                452                444
                                   -------------------------------------
      Total, Pest and disease                                           
       exclusion..................            199,891            189,749
                                   =====================================
                   PLANT AND ANIMAL HEALTH MONITORING                   
Animal health monitoring and                                            
 surveillance.....................             60,831             61,464
Animal and plant health regulatory                                      
 enforcement......................              5,855              5,855
Pest detection....................              4,202              6,302
                                   -------------------------------------
      Total, Plant and animal                                           
       health monitoring..........             70,888             73,621
                                   -------------------------------------
                  PEST AND DISEASE MANAGEMENT PROGRAMS                  
Animal damage control--operations.             26,967             28,487
Aquaculture.......................                571                567
Biocontrol........................              6,290              6,275
Boll weevil.......................             16,209             16,209
Brucellosis eradication...........             21,661             19,818
Golden nematode...................                444                435
Gypsy moth........................              4,367              4,366
Imported fire ant.................              1,000              1,000
Miscellaneous plant diseases......              1,516              1,516
Noxious weeds.....................                404                454
Pink bollworm.....................              1,069              1,048
Pseudorabies......................              4,518              4,481
Scrapie...........................              2,967              2,931
Sweet potato whitefly.............              1,888              1,877
Tuberclosis.......................              4,948              4,920
Witchweed.........................              1,662              1,638
                                   -------------------------------------
      Total, Pest and disease                                           
       management programs........             96,481             96,022
                                   =====================================
                               ANIMAL CARE                              
Animal werlfare...................              9,185              9,175
Horse protection..................                360                353
                                   -------------------------------------
      Total, Animal care..........              9,545              9,528
                                   =====================================
                    SCIENTIFIC AND TECHNICAL SERVICES                   
ADC methods development...........             10,591             10,215
Biotechnical/environmental                                              
 protection.......................              8,132              8,132
Intregrated systems acquisition                                         
 project..........................              4,000              3,500
Plant methods development                                               
 laboratories.....................              5,048              5,048
Veterinary biologics..............             10,360             10,345
Veterinary disgnostics............             15,473             15,622
                                   =====================================
      Total, Scientific and                                             
       technical services.........             53,604             52,862
                                   =====================================
Contingency fund..................              4,500              4,500
                                   =====================================
      Total, Salaries and expenses            434,909            426,282
------------------------------------------------------------------------

                        buildings and facilities

       The conference agreement provides $4,200,000 for Animal and 
     Plant Health Inspection Service, Buildings and Facilities as 
     proposed by the Senate instead of $3,200,000 as proposed by 
     the House.

                     Agricultural Marketing Service


                           marketing services

       The conference agreement provides $46,592,000 for the 
     Agricultural Marketing Service instead of $45,592,000 as 
     proposed by the House and $49,627,000 as proposed by the 
     Senate. Included in this amount is $1,000,000 for marketing 
     assistance to Alaska.

[[Page H7522]]

        Grain Inspection, Packers and Stockyards Administration

       The conference agreement provides $23,928,000 for the Grain 
     Inspection, Packers and Stockyards Administration as proposed 
     by the House instead of $23,583,000 as proposed by the 
     Senate. Included in this amount is $800,000 for packer 
     concentration as proposed by the House.

                   Food Safety and Inspection Service

       The conference agreement provides $589,263,000 for the Food 
     Safety and Inspection Service as proposed by the House 
     instead of $590,614,000 as proposed by the Senate.
       The conference agreement amends House bill language 
     requiring that $5,000,000 shall be available for obligation 
     only after a final rule is implemented regarding subsection 
     (c) of Section 5 of the Egg Products Inspection Act (21 
     U.S.C. 1034 (c)). The conference agreement states that the 
     $5,000,000 shall be available for obligation only after 
     promulgation of a final rule to implement that provision. The 
     conferees direct that if a final rule is not promulgated, the 
     Department is not to take the reduction from any funds 
     appropriated for the Food Safety Initiative or any inspection 
     services. The conference agreement does not restrict the 
     Department from promulgating rules beyond the scope of 
     subsection (c) of Section 5 of the Egg Products Inspection 
     Act (21 U.S.C. 1034 (c)).

                          Farm Service Agency


                         salaries and expenses

       The conference agreement provides $700,659,000 for the Farm 
     Service Agency as proposed by the Senate instead of 
     $702,203,000 as proposed by the House. The agreement also 
     provides transfers to the Farm Service Agency of $589,000 
     from the export loan program, $815,000 from the P.L-480 
     program, and $209,861,000 from the Agricultural Credit 
     Insurance Fund for a total available of $911,924,000.
       The conferees expect USDA to execute its current office 
     streamlining in a manner that reflects differences among the 
     States and that uses criteria including workload, complexity, 
     and accessibility rather than an arbitrary process based 
     solely on distances between county offices.


                        dairy indemnity program

       The conference agreement provides $550,000 for the Dairy 
     Indemnity program as proposed by the Senate instead of 
     $350,000 as proposed by the House.


           agricultural credit insurance fund program account

       The conference agreement provides a total subsidy level of 
     $102,419,000 providing for an estimated loan level of 
     $2,940,653,000 for the activities under the Agricultural 
     Credit Insurance Fund.
       The following table reflects the conference agreement:

------------------------------------------------------------------------
                                     Fiscal year 1997                   
                                         enacted           Conference   
------------------------------------------------------------------------
Agricultural Credit Insurance Fund                                      
 Program Account:                                                       
    Loan authorization:                                                 
        Farm ownership loans:                                           
            Direct................       (50,000,000)       (60,000,000)
            Guaranteed............      (550,000,000)      (400,000,000)
                                   -------------------------------------
              Subtotal............      (600,000,000)      (460,000,000)
        Farm operating loans:                                           
            Direct................      (495,071,000)      (495,000,000)
            Guaranteed                                                  
             unsubsidized.........    (1,700,000,000)    (1,700,000,000)
            Guaranteed subsidized.      (200,000,000)      (200,000,000)
                                   -------------------------------------
              Subtotal............    (2,395,071,000)    (2,395,000,000)
        Indian tribe land                                               
         acquisition loans........        (1,000,000)        (1,000,000)
        Emergency disaster loans..       (25,000,000)       (25,000,000)
        Boll weevil eradication                                         
         loans....................       (34,653,000)       (34,653,000)
        Credit sales of acquired                                        
         property.................       (25,000,000)       (25,000,000)
                                   =====================================
          Total, Loan                                                   
           authorization..........    (3,080,724,000)    (2,940,653,000)
    Loan subsidies:                                                     
            Direct................          5,920,000          5,940,000
            Guaranteed............         22,055,000         15,440,000
                                   -------------------------------------
              Subtotal............         27,975,000         21,380,000
        Farm operating loans:                                           
            Direct................         65,450,000         32,224,000
            Guaranteed                                                  
             unsubsidized.........         19,210,000         19,890,000
            Guaranteed subsidized.         18,480,000         19,280,000
                                   -------------------------------------
              Subtotal............        103,140,000         71,394,000
        Indian tribe land                                               
         acquisition..............             54,000            132,000
        Emergency disaster loans..          6,365,000          6,008,000
        Boll weevil loans subsidy.            499,000            250,000
        Credit sales of acquired                                        
         property.................          2,530,000          3,255,000
                                   =====================================
          Total, Loan subsidies...        140,563,000        102,419,000
    ACIF expenses:                                                      
        Salaries and expense                                            
         (transfer to FSA)........        208,446,000        209,861,000
        Administrative expenses...         12,600,000         10,000,000
                                   =====================================
          Total, ACIF expenses....        221,046,000        219,861,000
                                   =====================================
      Total, Agricultural Credit                                        
       Insurance Fund.............        361,609,000        322.280,000
        (Loan authorization)......    (3,080,724,000)    (2,940,653,000)
------------------------------------------------------------------------

                         Risk Management Agency

       The conference agreement provides $252,571,000 for the Risk 
     Management Agency instead of $253,571,000 as proposed by the 
     House and $266,571,000 as proposed by the Senate. The 
     agreement includes $64,000,000 for administrative and 
     operating expenses of the agency and $188,571,000 for the 
     payment of administrative and operating expenses of approved 
     insurance providers.
       The conferees note the difficulty in providing funds for 
     the sales commissions for crop insurance agents. This problem 
     will continue without a change in permanent law. The 
     conferees expect the Department to submit legislation to 
     effect a change to permanent funding for this activity.

                    TITLE II--CONSERVATION PROGRAMS

                 Natural Resources Conservation Service


                        conservation operations

       The conference agreement continues funding conservation 
     operations, watershed surveys and planning, and watershed and 
     flood prevention operations as three separate accounts as 
     proposed by the House. The Senate proposed to fund watershed 
     surveys and planning and technical assistance of watershed 
     and flood prevention operations under the conservation 
     operations account and had a separate account for watershed 
     and flood prevention operations financial assistance.
       The conference agreement provides $633,231,000 for 
     conservation operations. Included in this amount are the 
     following: $350,000 for the Great Lakes Basin Program for 
     Soil and Erosion Sediment Control; a total of $3,000,000 for 
     technical assistance in Franklin County, Mississippi; 
     $15,000,000 for the grazing lands initiative; $100,000 for 
     the Trees Forever program in Iowa; and $750,000 for the Deer 
     Creek watershed in Oklahoma. The conferees also provide 
     $300,000, through the Environmental Quality Incentives 
     Program, for the project to assist farmers surrounding Lake 
     Otisco in central New York. The conferees do not provide 
     funding under this account for poultry waste energy recovery.
       The conference agreement includes language proposed by the 
     House to transfer ownership of the plant materials center 
     located at Bow, Washington to the Skagit Conservation 
     District. The Senate bill had no similar provision.
       The conferees encourage the Department to continue the 
     cooperative agreements it has established with private 
     conservation organizations to support the implementation of 
     the Wetlands Reserve Program.


                     watershed surveys and planning

       The conference agreement provides $11,190,000 for watershed 
     surveys and planning instead of $10,000,000 as proposed by 
     the House. The Senate proposed funding for this account under 
     Conservation Operations.


               watershed and flood prevention operations

       The conference agreement provides $101,036,000 for 
     watershed and flood prevention operations as proposed by the 
     House. The Senate proposed funding for this account under 
     Conservation Operations. The conference agreement includes 
     language as proposed by the Senate to provide that up to 
     $15,000,000 of the total may be available for P.L. 534 
     projects. The conference agreement

[[Page H7523]]

     also includes language as proposed by the House limiting the 
     amount available for technical assistance to not more than 
     $50,000,000.
       While conferees do not earmark $1,800,000 for the Potomac 
     Headwaters project as proposed by the Senate, they support 
     continuation of the project. The conferees note the 
     importance of reducing poultry and other waste load-related 
     problems in the South Branch of the Potomac River and 
     encourage the Department to work with the West Virginia 
     Department of Agriculture for further development of the 
     poultry waste energy recovery (POWER) project at Moorefield 
     and project implementation at Franklin.


                 resource conservation and development

       The conference agreement provides $34,377,000 for the 
     Resource Conservation and Development program instead of 
     $29,377,000 as proposed by the House and $44,700,000 as 
     proposed by the Senate. The conferees do not specifically 
     earmark this increase for any initiative, instead the 
     conferees expect that this increase will be used for approved 
     RC&D councils waiting for funding.
       The conferees expect the NRCS to submit a detailed 
     operating plan for the Resource Conservation and Development 
     program for fiscal year 1998 to the House and Senate 
     Committees on Appropriations no later than 30 days after 
     enactment of this Appropriations Act. This operating plan 
     should include a proposal for expenditure of available funds 
     for each RC&D area. The operating plan should compare 
     proposed funding levels to the initial fiscal year 1998 
     budget request and fiscal year 1997 current operating levels, 
     and should include narrative explanations as appropriate. The 
     conferees expect the NRCS to consult with the House and 
     Senate Appropriations Committees to develop this operating 
     plan, which will serve as the basis for reprogramming 
     notifications throughout the remainder of the fiscal year.


        outreach for socially disadvantaged farmers and ranchers

       The conference agreement provides $3,000,000 for the 
     Outreach for Socially Disadvantaged Farmers and Ranchers 
     Program instead of $2,000,000 as proposed by the House and 
     $4,000,000 as proposed by the Senate. The conferees note 
     that, in addition to the funding received through 
     appropriations bills, the program has also received 
     $4,500,000 from the Fund for Rural America.

      TITLE III--RURAL ECONOMIC AND COMMUNITY DEVELOPMENT PROGRAMS


                  RURAL COMMUNITY ADVANCEMENT PROGRAM

       The conference agreement provides $652,197,000 for the 
     Rural Community Advancement Program (RCAP) instead of 
     $644,259,000 as proposed by the Senate. The House bill did 
     not provide funds for the Rural Community Advancement 
     Program, but provided funding for its activities under three 
     separate accounts: the Rural Housing Assistance Program, the 
     Rural Business-Cooperative Assistance Program and the Rural 
     Utilities Assistance Program.
       The following table reflects the conference agreement:

                                                  RCAP ACCOUNTS                                                 
----------------------------------------------------------------------------------------------------------------
                                               Request            House            Senate           Proposed    
----------------------------------------------------------------------------------------------------------------
Water/Sewer.............................      $608,080,000      $577,242,000      $568,304,000      $577,242,000
Community/Housing.......................        30,037,000        86,488,000        27,562,000        27,062,000
Bus-Co-op...............................        50,453,000        51,400,000        48,393,000        47,893,000
                                         -----------------------------------------------------------------------
      Total.............................       688,570,000       715,130,000       644,259,000       652,197,000
                                         =======================================================================
Earmarks:                                                                                                       
    Colonias............................        25,000,000        18,700,000        24,500,000        20,000,000
    Tech. Asst. (water&sewer)...........        15,000,000        15,000,000        15,000,000        15,000,000
    Alaska..............................  ................         8,750,000        15,000,000        15,000,000
    Circuit Rider.......................         5,150,000         5,200,000         5,650,000         5,200,000
    EZ/EC...............................        32,163,000        20,048,000        32,163,000        20,048,000
    Tech. Asst. (transportation)........  ................           500,000  ................           500,000
                                         -----------------------------------------------------------------------
      Total.............................        77,313,000        67,698,000        92,313,000        75,748,000
----------------------------------------------------------------------------------------------------------------

       The conferees recognize the continuing problem of out 
     migration in rural counties across the country and the 
     efforts being made through the Rural Economic Area 
     Partnership (REAP) pilot program. The conferees recommend 
     that Rural Development, as the lead agency for this pilot 
     program, give priority assistance to the REAP zones.
       The conferees urge the Department to consider the following 
     projects which were not mentioned in the House and Senate 
     reports. The conferees expect the Department to apply the 
     same criteria of review to these projects as are used for 
     other applications.
       Under Rural Business Enterprise Grants:
       Rural Development and Finance Corporation, Raymondville, 
     Texas
       Renewable Resources Research Institute, Midwestern states
       University of Colorado Health Science Center
       Under Rural Utilities Programs:
       City of Fort Morgan, Colorado
       City of Taos, New Mexico

                         Rural Housing Service


              RURAL HOUSING INSURANCE FUND PROGRAM ACCOUNT

       The conference agreement provides a total subsidy level of 
     $226,142,000 (providing for an estimated loan program level 
     of $4,219,527,000) for the activities under the Rural Housing 
     Insurance Fund Program Account instead of $219,642,000 
     (providing for an estimated program level of $4,169,527,000) 
     as proposed by the House and $224,544,000 (providing for an 
     estimated program level of $3,519,532,000) as proposed by the 
     Senate.
       The following table reflects the conference agreement:

------------------------------------------------------------------------
                                     Fiscal year 1997                   
                                         enacted           Conference   
------------------------------------------------------------------------
Rural Housing Insurance Fund                                            
 Program Account:                                                       
    Loan authorizations:                                                
        Single family (sec. 502)..    (1,000,000,000)    (1,000,000,000)
            Unsubsidized                                                
             guaranteed...........    (2,300,000,000)    (3,000,000,000)
        Housing repair (sec. 504).       (35,000,000)       (30,000,000)
        Farm labor (sec. 514).....       (15,000,000)       (15,000,000)
        Rental housing (sec. 515).       (58,654,000)      (128,640,000)
        Multi-family housing                                            
         guarantees (sec. 538)....  .................       (19,700,000)
        Site loans (sec. 524).....          (600,000)          (600,000)
        Self-help housing land                                          
         development fund.........          (600,000)          (587,000)
        Credit sales of acquired                                        
         property.................       (50,000,000)       (25,000,000)
                                   =====================================
          Total, Loan                                                   
           authorizations.........    (3,459,854,000)    (4,219,527,000)
    Loan subsidies:                                                     
        Single family (sec. 502)..         83,000,000        128,100,000
            Unsubsidized                                                
             guaranteed...........          6,210,000          6,900,000
        Housing repair (sec. 504).         11,081,000         10,300,000
        Farm labor (sec. 514).....          6,885,000          7,388,000
        Rental housing (sec. 515).         28,987,000         68,745,000
        Multi-family housing                                            
         guarantees (sec. 538)....  .................          1,200,000
        Self-help housing land                                          
         development fund.........             17,000             17,000
        Credit sales of acquired                                        
         property.................          4,050,000          3,492,000
                                   =====================================
          Total, Loan subsidies...        140,230,000        226,142,000
    RHIF administrative expenses                                        
     (transfer to RHS)............        366,205,000        354,785,000
                                   =====================================
      Total, Rural Housing                                              
       Insurance Fund.............        506,435,000        580,927,000
        (Loan authorization)......    (3,459,854,000)    (4,219,527,000)
------------------------------------------------------------------------

                       RENTAL ASSISTANCE PROGRAM

       The conference agreement provides $541,397,000 for rental 
     assistance as proposed by the Senate instead of $493,870,000 
     as proposed by the House.


                 RURAL COMMUNITY FIRE PROTECTION GRANTS

       The conference agreement provides $2,000,000 for rural 
     community fire protection

[[Page H7524]]

     grants as proposed by the House instead of $1,285,000 as 
     proposed by the Senate.


                    RURAL HOUSING ASSISTANCE GRANTS

       The conference agreement provides $45,720,000 for rural 
     housing assistance grants as proposed by the Senate. The 
     House bill funded these activities under the Rural Housing 
     Assistance Program.

                  Rural Business--Cooperative Service


              RURAL DEVELOPMENT LOAN FUND PROGRAM ACCOUNT

       The conference agreement appropriates a subsidy level of 
     $16,888,000 (providing an estimated loan program level of 
     $35,000,000) for the Rural Development Loan Fund Program 
     Account as proposed by the House instead of $19,200,000 
     (providing an estimated loan program level of $40,000,000) as 
     proposed by the Senate.


            RURAL ECONOMIC DEVELOPMENT LOANS PROGRAM ACCOUNT

       The conference agreement rescinds $5,978,000 of funds 
     derived from interest on cushion of credit payments 
     established in the Rural Electrification Act (7 U.S.C. 901), 
     and further provides $5,978,000 for the cost of loans for the 
     Rural Economic Development Loans Program Account. This 
     subsidy level provides for an estimated program level of 
     $25,000,000.


 ALTERNATIVE AGRICULTURAL RESEARCH AND COMMERCIALIZATION REVOLVING FUND

       The conference agreement appropriates $7,000,000 for the 
     Alternative Agricultural Research and Commercialization 
     Corporation Revolving Fund instead of $10,000,000 as proposed 
     by the Senate. The House bill provided no funds for this 
     account. The House report proposed that the program operate 
     with repayments to its revolving fund.


                  RURAL COOPERATIVE DEVELOPMENT GRANTS

       The conference agreement appropriates $3,000,000 for rural 
     cooperative development grants as proposed by both House and 
     Senate and provides for an earmark of up to $1,300,000 for 
     cooperative agreements for the Appropriate Technology 
     Transfer for Rural Areas Program as proposed by the House 
     instead of up to $1,500,000 as proposed by the Senate.

                        Rural Utilities Service


   RURAL ELECTRIFICATION AND TELECOMMUNICATIONS LOANS PROGRAM ACCOUNT

       The conference agreement provides a total subsidy of 
     $36,185,000 (providing for an estimated loan program level of 
     $1,420,000,000) instead of $32,161,000 (providing for an 
     estimated loan program level of $1,320,000,000) as proposed 
     by the House and $35,313,000 (providing for an estimated loan 
     program level of $1,397,756,000) as proposed by the Senate.
       The following reflects the conference agreement:

------------------------------------------------------------------------
                                     Fiscal year 1997                   
                                         enacted           Conference   
------------------------------------------------------------------------
Rural Electrification and                                               
 Telecommunications Loans Program                                       
 Account:                                                               
    Loan authorizations:                                                
        Direct loans:                                                   
            Electric 5%...........      (125,000,000)      (125,000,000)
            Telecommunications 5%.       (75,000,000)       (75,000,000)
                                   -------------------------------------
              Subtotal............      (200,000,000)      (200,000,000)
        Treasury rates:                                                 
         Telecommunications.......      (300,000,000)      (300,000,000)
        Muni-rate: Electric.......      (525,000,000)      (500,000,000)
        FFB loans:                                                      
            Electric, regular.....      (300,000,000)      (300,000,000)
            Telecommunications....      (120,000,000)      (120,000,000)
                                   -------------------------------------
              Subtotal............      (420,000,000)      (420,000,000)
                                   =====================================
          Total, Loan                                                   
           authorizations.........    (1,445,000,000)    (1,420,000,000)
    Loan subsidies:                                                     
        Direct loans:                                                   
            Electric 5%...........          3,625,000          9,325,000
            Telecommunications 5%.          1,193,000          2,940,000
                                   -------------------------------------
              Subtotal............          4,818,000         12,265,000
        Treasury rates:                                                 
         Telecommunications.......             60,000             60,000
        Muni-rate: Electric.......         28,245,000         21,100,000
        FFB loans: Electric,                                            
         regular..................          2,790,000          2,760,000
                                   =====================================
          Total, Loan subsidies...         35,913,000         36,185,000
    RETLP administrative expenses                                       
     (transfer to RUS)............         29,982,000         29,982,000
                                   =====================================
      Total, Rural Electrification                                      
       and Telecommunications                                           
       Loans Program Account......         65,895,000         66,167,000
        (Loan authorization)......    (1,445,000,000)    (1,420,000,000)
------------------------------------------------------------------------

                  RURAL TELEPHONE BANK PROGRAM ACCOUNT

       The conference agreement provides that administrative 
     expenses of the Rural Telephone Program Bank Account shall be 
     transferred to and merged with ``Rural Utilities Salaries and 
     Expenses'' as proposed by the House. The Senate bill had no 
     similar provision.


      DISTANCE LEARNING AND MEDICAL LINK GRANTS AND LOANS PROGRAM

       The conference agreement appropriates $12,530,000 for the 
     distance learning medical link grants and loans program 
     instead of $15,030,000 as proposed by the House and 
     $12,030,000 as proposed by the Senate.
       The conference agreement provides $30,000 from the total 
     amount appropriated for the subsidy cost of distance learning 
     and medical link loan guarantees (providing an estimated 
     program level of $150,000,000) as proposed by both the House 
     and Senate.
       The conferees urge the Department to consider the State 
     University of New York Telecommunications Center for 
     Education project which was not mentioned in the House and 
     Senate reports. The conferees expect the Department to apply 
     the same criteria of review to this project as are used for 
     other applications.

                    TITLE IV--DOMESTIC FOOD PROGRAMS


                        CHILD NUTRITION PROGRAMS

       The conference agreement provides a total of $7,767,816,000 
     for Child Nutrition Programs instead of $7,766,966,000 as 
     proposed by the House and $7,769,066,000 as proposed by the 
     Senate. Included in this amount is an appropriated amount of 
     $2,616,425,000 and an amount transferred from section 32 of 
     $5,151,391,000. The conference agreement provides for the 
     Child Nutrition Programs at the following annual rates:

                                          TOTAL OBLIGATIONAL AUTHORITY                                          
                                            [In thousands of dollars]                                           
----------------------------------------------------------------------------------------------------------------
                                                                                                   Conference   
                                                               House              Senate           agreement    
----------------------------------------------------------------------------------------------------------------
Child Nutrition Programs:                                                                                       
    School Lunch Program...............................         $4,327,804         $4,327,804         $4,327,804
    School Breakfast Program...........................          1,265,507          1,265,507          1,265,507
    Child and adult care food program..................          1,411,590          1,411,590          1,411,590
    Commodity procurement/computer support.............            337,194            337,194            337,194
    Summer food service program........................            277,292            277,292            277,292
    State administrative expenses......................            112,808            112,808            112,808
    Special milk program...............................             19,747             19,747             19,747
    School meals initiative............................              5,900             10,000              8,000
    Coordinated review system..........................              4,124              4,124              4,124
    Nutrition studies and surveys......................  .................              3,000  .................
    Nutrition education and training...................              5,000  .................              3,750
                                                        --------------------------------------------------------
      Total............................................          7,766,966          7,769,066          7,767,816
----------------------------------------------------------------------------------------------------------------


[[Page H7525]]

       The conference agreement provides $8,000,000 for the school 
     meals initiative. Included in this amount is $4,000,000 for 
     food service training grants to states, $1,000,000 for 
     technical assistance materials, $500,000 for the National 
     Food Service Management Institute cooperative agreement for 
     food service, $400,000 for print and electronic resource 
     systems, and not more than $2,100,000 for other activities.


SPECIAL SUPPLEMENTAL NUTRITION PROGRAM FOR WOMEN, INFANTS, AND CHILDREN 
                                 (WIC)

       The conference agreement provides $3,924,000,000 for the 
     Special Supplemental Nutrition Program for Women, Infants, 
     and Children (WIC) as proposed by the House instead of 
     $3,927,600,000 as proposed by the Senate. The conference 
     agreement includes language as proposed by the Senate to 
     prohibit funds to be used for administrative expenses of WIC 
     clinics except those that have an announced policy of 
     prohibiting smoking within the space used to carry out the 
     program.
       The Secretary of Agriculture has proclaimed a WIC National 
     Breastfeeding Week in an effort to promote breastfeeding 
     among both WIC and non-WIC mothers. The breastfeeding 
     promotion project will be implemented initially in 10 pilot 
     WIC state agencies to encourage breastfeeding using a variety 
     of advertising methods such as radio, television, and 
     billboards. The conferees support this initiative and urge 
     all states to participate in this promotional effort.


                           FOOD STAMP PROGRAM

       The conference agreement provides $25,140,479,000 for the 
     Food Stamp Program as proposed by the House instead of 
     $26,051,479,000 as proposed by the Senate. Included in this 
     amount is a contingency reserve of $100,000,000 as proposed 
     by the House instead of $1,000,000,000 as proposed by the 
     Senate. Also included in this amount is $1,204,000,000 for 
     nutrition assistance for Puerto Rico and $100,000,000 for 
     TEFAP commodity purchases.


                      COMMODITY ASSISTANCE PROGRAM

       The conference agreement provides $141,000,000 for the 
     Commodity Assistance Program as proposed by the House instead 
     of $148,600,000 as proposed by the Senate. The conference 
     agreement includes language as proposed by the House to 
     provide funds from this account for administrative expenses 
     only to the Emergency Food Assistance Program.


               FOOD DONATIONS PROGAMS FOR SELECTED GROUPS

       The conference agreement provides $141,165,000 for the Food 
     Donations Programs for Selected Groups as proposed by the 
     Senate instead of $146,165,000 as proposed by the House. 
     Included in this amount is $140,000,000 for the Elderly 
     Feeding Program as proposed by the Senate instead of 
     $145,000,000 as proposed by the House.


                      FOOD PROGRAM ADMINISTRATION

       The conference agreement provides $107,619,000 for Food 
     Program Administration instead of $104,128,000 as proposed by 
     the House and $107,719,000 as proposed by the Senate. The 
     conference agreement also provides $554,000 for the Office of 
     the Under Secretary for Food, Nutrition and Consumer 
     Services.

            TITLE V--FOREIGN ASSISTANCE AND RELATED PROGRAMS

         Foreign Agricultural Service and General Sales Manager

       The conference agreement provides $135,561,000 for the 
     Foreign Agricultural Service and General Sales Manager as 
     proposed by the House instead of $136,664,000 as proposed by 
     the Senate.
       In the total amount provided, the conference agreement 
     includes a direct appropriation of $131,295,000 as proposed 
     by the House instead of $132,367,000 as proposed by the 
     Senate, a transfer from Public Law 480 of $1,035,000 as 
     proposed by the House instead of $1,066,000 as proposed by 
     the Senate and a transfer of $3,231,000 from the Export Loan 
     Program as proposed by both House and Senate.
       The conference agreement deletes Senate bill language 
     providing that up to $3,000,000 shall be available in fiscal 
     year 1999 for overseas inflation. The conferees direct the 
     Department to develop a plan for establishing an account to 
     manage currency fluctuation.
       The conference agreement provides $3,000,000 of the total 
     amount appropriated for the Cochran Fellowship Program as 
     provided by the Senate.
       The conference agreement deletes Senate report language 
     providing $500,000 for market barrier access identification 
     and adopts House report language recommending that the 
     Foreign Agricultural Service not spend appropriated funds for 
     market barrier access identification.

               public law 480 program and grant accounts

       The following table reflects the conference agreement for 
     Public Law 480 Program Accounts:

------------------------------------------------------------------------
                                                           Conference   
                                     FY 1997 enacted       agreement    
------------------------------------------------------------------------
Public Law 480 Program Account:                                         
    Title I--Credit sales:                                              
        Program level.............      (240,805,000)      (244,508,000)
            Direct loans..........      (226,900,000)      (226,900,000)
            Ocean freight                                               
             differential.........         13,905,000         17,608,000
    Title II--Commodities for                                           
     disposition abroad:                                                
        Program level.............      (837,000,000)      (837,000,000)
        Appropriation.............        837,000,000        837,000,000
    Title III--Commodity grants:                                        
        Program level.............       (29,500,000)       (30,000,000)
        Appropriation.............         29,500,000         30,000,000
    Loan subsidies................        185,589,000        176,596,000
    Salaries and expenses:                                              
        General Sales Manager                                           
         (transfer to FAS)........          1,035,000          1,035,000
        Farm Service Agency                                             
         (transfer to FSA)........            745,000            815,000
                                   -------------------------------------
          Subtotal................          1,780,000          1,850,000
                                   =====================================
        Total, Public Law 480:                                          
        Program level.............    (1,107,305,000)    (1,111,508,000)
        Appropriation.............      1,067,774,000      1,063,054,000
------------------------------------------------------------------

       The conferees support the use of Title II funds in fiscal 
     year 1998 to continue the fiscal year 1997 level for the 
     orphan feeding program in Haiti.
       The conferees direct that none of the funds appropriated in 
     this Act be made available to provide assistance to the 
     Democratic People's Republic of Korea except for assistance 
     that is provided directly to needy people by the United 
     Nations World Food Programme or private voluntary 
     organizations registered with the United States Agency for 
     International Development and not by the Government of the 
     Democratic People's Republic of Korea.

      TITLE VI--RELATED AGENCIES AND FOOD AND DRUG ADMINISTRATION

                DEPARTMENT OF HEALTH AND HUMAN SERVICES

                      Food and Drug Administration


                         SALARIES AND EXPENSES

       The conference agreement includes a direct appropriation of 
     $857,501,000 for salaries and expenses, instead of 
     $852,501,000 as proposed by the House and $873,057,000 as 
     proposed by the Senate. Also included is $91,204,000 in 
     prescription drug user fees as proposed by the Senate.
       Included within the amount available is $34,000,000 for the 
     children's tobacco prevention initiative and $24,000,000 for 
     the food safety initiative. The FDA should consider the use 
     of the National Sea Grant College Program to assist in 
     conjunction with its seafood safety activities.
       The conferees have not included a detailed table in this 
     statement of managers. Instead, the conferees expect the FDA 
     to submit a detailed operating plan for fiscal year 1998 to 
     the House and Senate Committees on Appropriations no later 
     than 30 days after enactment of this Appropriations Act. This 
     operating plan should include a proposal for expenditure of 
     available funds by Center, related field activities, and 
     other activities at a level of detail at least as great as 
     that included in the Senate report. The operating plan should 
     compare proposed funding levels to the initial fiscal year 
     1998 budget request and fiscal year 1997 current operating 
     levels, and should include narrative explanations as 
     appropriate. The conferees expect the FDA to consult with the 
     House and Senate Appropriations Committees to develop this 
     operating plan, which will serve as the basis for 
     reprogramming notifications throughout the remainder of the 
     fiscal year.
       The agreement includes $200,000 for a cooperative agreement 
     with the Interstate Shellfish Sanitation Commission to 
     continue research, safety rules, regulations, and education 
     activities.
       The conference agreement includes an increase for the 
     Office of Generic Drugs.


                        BUILDINGS AND FACILITIES

       The conference agreement provides $21,350,000 for Food and 
     Drug Administration, Buildings and Facilities as proposed by 
     the House instead of $22,900,000 as proposed by the Senate. 
     The agreement provides the budget request for the National 
     Center for Toxicological Research.

[[Page H7526]]

                          INDEPENDENT AGENCIES

                  Commodity Futures Trading Commission

       The conference agreement provides $58,101,000 for the 
     Commodity Futures Trading Commission instead of $57,101,000 
     as proposed by the House and $60,101,000 as proposed by the 
     Senate.

                     TITLE VII--GENERAL PROVISIONS

       House and Senate Section 705.--The conference agreement 
     includes language proposed by the House to allow the Food 
     Safety and Inspection Service, field automation and 
     information management project funds to remain available 
     until expended. The Senate proposed to prohibit these funds 
     from remaining available until expended.
       House Section 716.--The conference agreement includes and 
     amends language proposed by the House to make permanent 
     compliance with the Buy American Act. The Senate bill had no 
     similar provision.
       Senate Section 720.--The conference agreement includes 
     language (Section 722) proposed by the Senate to prohibit the 
     use of funds from this Act to carry out the provisions of 
     section 918 of Public Law 104-127, the establishment of a 
     permanent advisory panel known as the Safe Meat and Poultry 
     Inspection Panel. The House bill had no similar provision.
       House Section 721 and Senate Section 722.--The conference 
     agreement includes language (Section 721) to limit funding 
     for the Export Enhancement Program to $150,000,000 as 
     proposed by the Senate instead of $205,000,000 as proposed by 
     the House.
       House Section 723.--The conference agreement includes 
     language (Section 724) proposed by the House to prohibit USDA 
     from transmitting or otherwise making available to any non-
     Department employee questions or responses to questions that 
     are the result of information requested for the 
     appropriations hearing process. The Senate bill had no 
     similar provision.
       House Section 724.--The conference agreement includes 
     language (Section 725) proposed by the House to prohibit the 
     use of funds in this Act for the Western Director and 
     Special Assistant to the Secretary within the Office of 
     the Secretary. The Senate bill had no similar provision.
       House Section 726.--The conference agreement does not 
     include language proposed by the House to reduce the National 
     Agricultural Statistics Service budget by $1,500,000 and add 
     it to Departmental Administration for civil rights 
     enforcement. The Senate bill had no similar provision.
       House Section 727.--The conference agreement does not 
     include language proposed by the House to prohibit funds from 
     being used to provide assistance to North Korea except for 
     assistance provided directly to needy people by the United 
     Nations Food Programme or private voluntary organizations 
     registered with the United States Agency for International 
     Development. The Senate bill had no similar provision.
       House Section 728.--The conference agreement does not 
     include language proposed by the House relating to the City 
     of Galt, California. The Senate bill had no similar 
     provision.
       Senate Section 724.--The conference agreement includes 
     language (Section 728) proposed by the Senate to amend 
     section 3(c) of the Federal Noxious Weed Act of 1974 to 
     include kudzu. The House bill had no similar provision.
       Senate Section 725.--The conference agreement includes 
     language (Section 729) proposed by the Senate to make the 
     Martin Luther King area of Pawley's Island, South Carolina 
     eligible for loans and grants under section 504 of the 
     Housing Act of 1949. The House bill had no similar provision.
       Senate Section 726.--The conference agreement includes 
     language (Section 730) proposed by the Senate to prohibit the 
     Food and Drug Administration from closing or relocating the 
     FDA Division of Drug Analysis in St. Louis, Missouri. The 
     conference agreement does not include language proposed by 
     the Senate to prohibit the Food and Drug Administration from 
     proceeding with a plan to close or consolidate the laboratory 
     in Baltimore, Maryland. The House bill had no similar 
     provision.
       Senate Section 727.--The conference agreement does not 
     include language proposed by the Senate to require the 
     Secretary of Agriculture to submit a plan for reducing the 
     employee level in the Rural Development mission area below 
     the level described in the budget to the House and Senate 
     Committees on Appropriations. The House bill had no similar 
     provision.
       Senate Section 728.--The conference agreement includes 
     language (Section 731) proposed by the Senate to modify the 
     conditions for issuance of cotton user marketing 
     certificates. The House bill had no similar provision.
       Senate Section 729.--The conference agreement includes 
     language (Section 732) proposed by the Senate that requires 
     the Office of Management and Budget to conduct a 
     comprehensive economic evaluation of the direct and indirect 
     effects of the Northeast Dairy Compact. The House bill had no 
     similar provision.
       Senate Section 730.--The conference agreement includes and 
     amends language (Section 733) proposed by the Senate to allow 
     the Secretary of Agriculture to use up to $2,000,000 from 
     proceeds earned from the sale of grain in the disaster 
     reserve to implement a livestock indemnity program. The House 
     bill had no similar provision.
       Senate Section 731.--The conference agreement includes 
     language (Section 734) proposed by the Senate to prohibit 
     contract payments to a producer who plants wild rice on 
     contract acreage unless the contract payment is reduced by an 
     acre for each contract acre planted to wild rice. The House 
     bill had no similar provision.
       Senate Section 732.--The conference agreement does not 
     include language proposed by the Senate to prohibit the 
     inspection or certification of agricultural products unless 
     the Secretary of Agriculture inspects and certifies the 
     processing equipment and imposes a fee for the inspection and 
     certification. The House bill had no similar provision.
       Senate Section 733.--The conference agreement includes 
     language (Section 735) proposed by the Senate to change the 
     term for Section 515 multi-family rural housing loans from 50 
     years to 30 years and allow the Secretary of Agriculture to 
     structure loan repayments based on a 50-year amortization 
     schedule. The conference agreement also extends the 
     authorizations for the Section 515 Rural Rental Housing 
     Program and the Section 538 Multi-Family Guarantee Program 
     for one year. The House bill contained no similar provision.
       New Section 727.--The conferees have included language that 
     provides for reprogramming procedures for agencies funded by 
     this bill. The conferees are concerned about the lack of 
     formal reprogramming procedures for agencies funded by this 
     bill. Recent testimony before the Committees on 
     Appropriations has indicated many instances of funds being 
     used for purposes other than intended by Congress. 
     Accordingly, the conferees have instituted a formal process 
     and expect all agencies to implement the procedures 
     immediately.

                   Conference Total--With Comparisons

       The total new budget (obligational) authority for the 
     fiscal year 1998 recommended by the Committee of Conference, 
     with comparisons to the fiscal year 1997 amount, the 1998 
     budget estimates, and the House and Senate bills for 1998 
     follow:

New budget (obligational) authority, fiscal year 1997...$53,889,489,000
Budget estimates of new (obligational) authority, fiscal 52,302,190,000
House bill, fiscal year 1998.............................49,603,627,000
Senate bill, fiscal year 1998............................50,713,787,000
Conference agreement, fiscal year 1998...................49,749,679,000
Conference agreement compared with:
  New budget (obligational) authority, fiscal year 1997..-4,139,810,000
  Budget estimates of new (obligational) authority, fisca-2,552,511,000
  House bill, fiscal year 1998.............................+146,052,000
  Senate bill, fiscal year 1998............................-964,108,000

     Joe Skeen,
     James T. Walsh,
     Jay Dickey,
     Jack Kingston,
     George R. Nethercutt, Jr.,
     Henry Bonilla,
     Tom Latham,
     Bob Livingston,
     Marcy Kaptur,
     Vic Fazio,
     Jose E. Serrano,
     Rosa L. DeLauro,
     David R. Obey,
                                Managers on the Part of the House.
     Thad Cochran,
     Arlen Specter,
     Christopher Bond,
     Slade Gorton,
     Mitch M. McConnell,
     Conrad Burns,
     Ted Stevens,
     Dale Bumpers,
     Tom Harkin,
     Herb Kohl,
     Robert C. Byrd,
     Patrick J. Leahy,
     Daniel K. Inouye,
                               Managers on the Part of the Senate.

     

                          ____________________