[Congressional Record Volume 146, Number 33 (Wednesday, March 22, 2000)]
[Senate]
[Pages S1612-S1615]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                          AMENDMENTS SUBMITTED

                                 ______
                                 

         LEGISLATION TO IMPROVE THE FEDERAL CROP INSURANCE ACT

                                 ______
                                 

                 LUGAR (AND OTHERS) AMENDMENT NO. 2887

  Mr. LUGAR (for himself, Mr. Harkin, Mr. Roberts, Mr. Kerrey, and Mr. 
Grams) proposed an amendment to the bill (S. 2251) to amend the Federal 
Crop Insurance Act to improve crop insurance coverage, to provide 
agriculture producers with choices to manage risk, and for other 
purposes; as follows:)

       On page 2, strike the table of contents and insert the 
     following:

Sec. 1. Short title; table of contents.

                    TITLE I--CROP INSURANCE COVERAGE

Sec. 101. Quality adjustment.
Sec. 102. Prevented planting.
Sec. 103. Payment of portion of premium by Corporation.
Sec. 104. Assigned yields.
Sec. 105. Multiyear disaster actual production history adjustment.
Sec. 106. Noninsured crop disaster assistance program.
Sec. 107. Crop insurance coverage for rice.

                 TITLE II--RESEARCH AND PILOT PROGRAMS

Sec. 201. Research and pilot programs.
Sec. 202. Research and development contracting authority.
Sec. 203. Choice of risk management options.
Sec. 204. Risk management innovation and competition pilot program.
Sec. 205. Education and research.
Sec. 206. Conforming amendments.

                       TITLE III--ADMINISTRATION

Sec. 301. Board of Directors of Corporation.
Sec. 302. Good farming practices.
Sec. 303. Sanctions for program noncompliance and fraud.
Sec. 304. Oversight of agents and loss adjusters.
Sec. 305. Adequate coverage for States.
Sec. 306. Records and reporting.
Sec. 307. Fees for plans of insurance.
Sec. 308. Limitation on double insurance.
Sec. 309. Specialty crops.
Sec. 310. Federal Crop Insurance Improvement Commission.
Sec. 311. Highly erodible land and wetland conservation.
Sec. 312. Projected loss ratio.
Sec. 313. Compliance with State licensing requirements.

                   TITLE IV--MISCELLANEOUS PROVISIONS

Sec. 401. Improved risk management education.
Sec. 402. Sense of the Senate regarding the Federal crop insurance 
              program.

           TITLE V--EFFECTIVE DATES; TERMINATION OF AUTHORITY

Sec. 501. Effective dates.
Sec. 502. Termination of authority.

       On page 7, strike lines 13 through 15 and insert the 
     following:
       ``(F) Crop years.--This paragraph shall apply to each of 
     the 2001 through 2004 crop years.''.
       On page 10, line 2, strike ``or greater than 75 percent'' 
     and insert ``75, 80, or 85 percent''.
       On page 13, line 5, strike ``or greater than''.
       On page 13, strike lines 20 through 22 and insert the 
     following:
       ``(F) In the case of additional coverage equal to 80 
     percent of the recorded or appraised average yield 
     indemnified at 100 percent of the expected market price, or a 
     comparable coverage for a plan of insurance that is not based 
     on yield, the amount shall be equal to the sum of--
       ``(i) 38 percent of the amount of the premium established 
     for coverage at 80 percent of the recorded or appraised 
     average yield indemnified at 100 percent of the expected 
     market price under subsection (d)(2)(D)(i); and
       ``(ii) the amount of operating and administrative expenses 
     determined under subsection (d)(2)(D)(ii).
       ``(G) In the case of additional coverage equal to 85 
     percent of the recorded or appraised average yield 
     indemnified at 100 percent of the expected market price, or a 
     comparable coverage for a plan of insurance that is not based 
     on yield, the amount shall be equal to the sum of--
       ``(i) 28 percent of the amount of the premium established 
     for coverage at 85 percent of the recorded or appraised 
     average yield indemnified at 100 percent of the expected 
     market price under subsection (d)(2)(D)(i); and
       ``(ii) the amount of operating and administrative expenses 
     determined under subsection (d)(2)(D)(ii).
       ``(H) Subparagraphs (A) through (G) shall apply to each of 
     fiscal years 2001 through 2004.''.
       On page 23, after line 25, add the following:

     SEC. 107. CROP INSURANCE COVERAGE FOR RICE.

       Section 508(a) of the Federal Crop Insurance Act (7 U.S.C. 
     1508(a)) (as amended by section 102(a)) is amended by adding 
     at the end the following:
       ``(8) Special provisions for rice.--Notwithstanding any 
     other provision of this title, beginning with the 2001 crop 
     of rice, the Corporation shall offer plans of insurance, 
     including prevented planting coverage and replanting 
     coverage, under this title that cover losses of rice 
     resulting from failure of irrigation water supplies due to 
     drought and saltwater intrusion.''.
       On page 25, line 13, strike ``and''.
       On page 25, line 15, strike the period at the end and 
     insert a semicolon.
       On page 25, between lines 15 and 16, insert the following:
       ``(H) subject to paragraph (7), after October 1, 2000, 
     salmon; and
       ``(I) subject to paragraph (7), after October 1, 2000, loss 
     of or damage to trees or fruit affected by plum pox virus 
     (commonly known as `sharka'), including quarantined trees or 
     fruit.
       On page 27, line 2, strike ``$20,000,000'' and insert 
     ``$10,000,000''.
       On page 27, line 4, strike ``$40,000,000'' and insert 
     ``$30,000,000''.
       On page 27, line 6, strike ``$60,000,000'' and insert 
     ``$50,000,000''.
       On page 27, line 8, strike ``$80,000,000'' and insert 
     ``$60,000,000''.
       On page 27, line 10, insert ``(3)(H),'' after ``(3)(G),''.

[[Page S1613]]

       On page 32, line 17, strike ``and''.
       On page 32, line 20, strike the period and insert ``; 
     and''.
       On page 32, between lines 20 and 21, insert the following:

       ``(IV) results in not less than 10 percent of payments 
     being made to producers in States with significant 
     agricultural sectors and traditionally low rates of 
     participation in the Federal crop insurance program.

       On page 41, line 17, strike ``516(b)(2)(C)'' and insert 
     ``516(a)(2)(C)''.
       On page 44, strike line 19 and insert the following:
     period at the end and inserting ``; and''; and
       On page 45, strike line 2 and insert the following:
     fiscal year.''.
       On page 45, strike line 3 and insert the following:

     SEC. 204. RISK MANAGEMENT INNOVATION AND COMPETITION PILOT 
                   PROGRAM.

       Section 522 of the Federal Crop Insurance Act (as amended 
     by section 203(a)) is amended by adding at the end the 
     following:
       ``(d) Risk Management Innovation and Competition.--
       ``(1) Purpose.--The purpose of the pilot program 
     established under this subsection is to determine what 
     incentives are necessary to encourage approved insurance 
     providers to--
       ``(A) develop and offer innovative risk management products 
     to producers;
       ``(B) rate premiums for risk management products; and
       ``(C) competitively market the risk management products.
       ``(2) Establishment.--
       ``(A) In general.--The Corporation shall establish a pilot 
     program under which approved insurance providers may propose 
     for approval by the Board risk management products 
     involving--
       ``(i) loss of yield or revenue insurance coverage for 1 or 
     more commodities (including commodities that are not 
     insurable under this title as of the date of enactment of 
     this section, but excluding livestock);
       ``(ii) rates of premium for the risk management product; or
       ``(iii) underwriting systems for the risk management 
     product.
       ``(B) Submission to board.--The Board shall review and 
     approve a risk management product before the risk management 
     product may be marketed under this subsection.
       ``(C) Determination by board.--The Board may approve a risk 
     management product for subsidy and reinsurance under this 
     title if the Board determines that--
       ``(i) the interests of producers of commodities are 
     adequately protected by the risk management product;
       ``(ii) premium rates charged to producers are actuarially 
     appropriate (within the meaning of section 508(h)(3)(E));
       ``(iii) the underwriting system of the risk management 
     product is appropriate and adequate;
       ``(iv) the proposed risk management product is reinsured 
     under this title, is reinsured through private reinsurance, 
     or is self-insured;
       ``(v) the size of the proposed pilot area is adequate;
       ``(vi) insurance protection against the risk covered by the 
     proposed risk management product is not generally available 
     from private plans of insurance that are not covered by this 
     title; and
       ``(vii) such other requirements of this title as the Board 
     determines should apply to the risk management product are 
     met.
       ``(D) Confidentiality.--
       ``(i) In general.--All information concerning a risk 
     management product shall be considered to be confidential 
     commercial or financial information for the purposes of 
     section 552(b)(4) of title 5, United States Code.
       ``(ii) Standard.--If information concerning a risk 
     management product of an approved insurance provider could be 
     withheld by the Secretary under the standard for privileged 
     or confidential information pertaining to trade secrets and 
     commercial or financial information under section 552(b)(4) 
     of title 5, United States Code, the information shall not be 
     released to the public.
       ``(3) Marketing of risk management products.--
       ``(A) Definition of original provider.--In this paragraph, 
     the term `original provider' means an approved insurance 
     provider that submits a risk management product to the Board 
     for approval under paragraph (2).
       ``(B) Authority to market.--If the Board approves a risk 
     management product under paragraph (2), subject to 
     subparagraph (C), only the original provider may market the 
     risk management product.
       ``(C) Fee.--
       ``(i) In general.--An approved insurance provider (other 
     than the original provider) that desires to market a risk 
     management product shall pay a fee to the original provider 
     for the right to market the risk management product.
       ``(ii) Amount.--The original provider shall determine the 
     amount of the fee under clause (i).''.

     SEC. 205. EDUCATION AND RESEARCH.

       Section 522 of the Federal Crop Insurance Act (as amended 
     by section 204) is amended by adding at the end the 
     following:
       ``(e) Education and Research.--
       ``(1) In general.--Subject to the amounts made available 
     under paragraph (4), the Corporation shall establish the 
     programs described in paragraphs (2) and (3), respectively, 
     for each of fiscal years 2002 through 2004.
       ``(2) Education and information program.--The Corporation 
     shall establish a program of education and information for 
     producers in States with traditionally low rates of 
     participation in the Federal crop insurance program.
       ``(3) Research and development program.--The Corporation 
     shall establish a program of research and development to 
     develop new approaches to increasing participation by 
     producers in States with traditionally low rates of 
     participation in the Federal crop insurance program.
       ``(4) Funding.--From amounts made available under section 
     516(a)(2)(C) for the choice of risk management options pilot 
     program, the Corporation shall transfer to--
       ``(A) the education and information program established 
     under paragraph (2)--
       ``(i) $5,000,000 for fiscal year 2002;
       ``(ii) $6,000,000 for fiscal year 2003; and
       ``(iii) $7,000,000 for fiscal year 2004; and
       ``(B) the research and development program established 
     under paragraph (3), $3,000,000 for each of fiscal years 2002 
     through 2004.''.

     SEC. 206. CONFORMING AMENDMENTS.

       On page 65, line 23, strike ``section 102(a)'' and insert 
     ``section 107''.
       On page 65, line 25, strike ``(8)'' and insert ``(9)''.
       On page 72, lines 18 and 19, strike ``section 204(a)(2)'' 
     and insert ``section 206(a)(2)''.
       On page 77, strike lines 1 through 7 and insert the 
     following:
       ``(2) Purchase during insurance period.--A producer of a 
     specialty crop may purchase new coverage or increase coverage 
     levels for the specialty crop at any time during the 
     insurance period, subject to a 30-day waiting period and an 
     inspection by the insurance provider to verify acceptability 
     by the insurance provider, if the Corporation determines that 
     the risk associated with the crop can be adequately rated.
       On page 79, strike line 8 and all that follows through page 
     91, line 11, and insert the following:

     SEC. 310. FEDERAL CROP INSURANCE IMPROVEMENT COMMISSION.

       Section 515 of the Federal Crop Insurance Act (7 U.S.C. 
     1515) is amended to read as follows:

     ``SEC. 515. FEDERAL CROP INSURANCE IMPROVEMENT COMMISSION.

       ``(a) Definitions.--In this section:
       ``(1) Commission.--The term `Commission' means the Federal 
     Crop Insurance Improvement Commission established by 
     subsection (b).
       ``(b) Establishment of Commission.--There is established a 
     Commission to be known as the `Federal Crop Insurance 
     Improvement Commission'.
       ``(c) Membership.--
       ``(1) In general.--The Commission shall be composed of the 
     following 13 members:
       ``(A) The Under Secretary for Farm and Foreign Agricultural 
     Services of the Department.
       ``(B) The manager of the Corporation.
       ``(C) The Chief Economist of the Department or a person 
     appointed by the Chief Economist.
       ``(D) An employee of the Office of Management and Budget, 
     appointed by the Director of the Office of Management and 
     Budget.
       ``(E) A representative of the National Association of 
     Insurance Commissioners, experienced in insurance regulation, 
     appointed by the Secretary.
       ``(F) Representatives of 4 approved insurance providers or 
     related organizations that provide advisory or analytical 
     support to the crop insurance industry, appointed by the 
     Secretary.
       ``(G) 2 agricultural economists from academia, appointed by 
     the Secretary.
       ``(H) 2 representatives of major farm organizations and 
     farmer-owned cooperatives, appointed by the Secretary.
       ``(2) Time of appointment.--The members of the Commission 
     shall be appointed not later than 60 days after the date of 
     enactment of the Risk Management for the 21st Century Act.
       ``(3) Term.--A member of the Commission shall serve for the 
     life of the Commission.
       ``(d) Duties.--The Commission shall review and make 
     recommendations concerning the following issues:
       ``(1) The extent to which approved insurance providers 
     should bear the risk of loss for federally subsidized crop 
     insurance.
       ``(2) Whether the Corporation should--
       ``(A) continue to provide financial assistance for the 
     benefit of agricultural producers by reinsuring coverage 
     written by approved insurance providers; or
       ``(B) provide assistance in another form, such as by acting 
     as an excess insurer.
       ``(3) The extent to which development of new insurance 
     products should be undertaken by the private sector, and how 
     to encourage such development.
       ``(4) How to focus research and development of new 
     insurance products to include the development of--
       ``(A) new types of products such as combined area and yield 
     and whole farm revenue coverages; and
       ``(B) insurance products for specialty crops.
       ``(5) The use by the Corporation of private sector 
     resources under section 507(c).
       ``(6) The progress of the Corporation in reducing 
     administrative and operating costs of approved insurance 
     providers under section 508(k)(5).

[[Page S1614]]

       ``(7) The identification of methods, and of organizational, 
     statutory, and structural changes, to enhance and improve--
       ``(A) delivery of reasonably priced crop insurance products 
     to agricultural producers;
       ``(B) loss adjustment procedures;
       ``(C) good farming practices;
       ``(D) the establishment of premiums; and
       ``(E) compliance with this title (including regulations 
     issued under this title, the terms and conditions of 
     insurance coverage, and adjustments of losses).
       ``(e) Commission Operations.--
       ``(1) Chairperson; voting.--The Under Secretary for Farm 
     and Foreign Agricultural Services of the Department of 
     Agriculture shall--
       ``(A) serve as Chairperson of the Commission; and
       ``(B) vote in the case of a tie.
       ``(2) Meetings.--The Commission shall meet regularly, but 
     not less than 6 times per year.
       ``(3) Disclosure.--To the extent that the records, papers, 
     or other documents received, prepared, or maintained by the 
     Commission are subject to public disclosure, the documents 
     shall be available for public inspection and copying at the 
     Office of Risk Management.
       ``(f) Final Report.--
       ``(1) In general.--Not later than 2 years after the date of 
     enactment of the Risk Management for the 21st Century Act, 
     the Commission shall submit to the Committee on Agriculture 
     of the House of Representatives and the Committee on 
     Agriculture, Nutrition, and Forestry of the Senate a final 
     report on the review under subsection (d).
       ``(2) Copies.--The Commission shall provide copies of the 
     final report to--
       ``(A) the Secretary; and
       ``(B) the Board.
       ``(3) Interim reports.--To expedite completion of the work 
     of the Commission, the Commission may submit 1 or more 
     interim reports or reports on 1 or more of the issues to be 
     reviewed.
       ``(g) Termination.--The Commission shall terminate on the 
     earlier of--
       ``(1) 60 days after the date on which the Commission 
     submits the final report under subsection (f); or
       ``(2) September 30, 2004.
       ``(h) Authorization of Appropriations.--There are 
     authorized to be appropriated such sums as are necessary to 
     carry out this section.''.
       On page 92, strike lines 7 through 13 and insert the 
     following:

     SEC. 312. PROJECTED LOSS RATIO.

       Section 506(o) of the Federal Crop Insurance Act (7 U.S.C. 
     1506(o)) is amended by striking paragraph (2) and inserting 
     the following:
       ``(2) Projected loss ratio.--The Corporation shall take 
     such actions, including the establishment of adequate 
     premiums, as are necessary to improve the actuarial soundness 
     of Federal multiperil crop insurance made available under 
     this title to achieve--
       ``(A) during the period beginning on October 1, 1998, and 
     ending with the 2001 crop year, an overall projected loss 
     ratio of not greater than 1.075; and
       ``(B) beginning with the 2002 crop year, an overall 
     projected loss ratio of not greater than 1.0.''.

     SEC. 313. COMPLIANCE WITH STATE LICENSING REQUIREMENTS.

       Section 508 of the Federal Crop Insurance Act (7 U.S.C. 
     1508) (as amended by section 206(a)(1)) is amended by adding 
     at the end the following:
       ``(n) Compliance With State Licensing Requirements.--Any 
     person that sells or solicits the purchase of a policy or 
     plan of insurance or adjusts losses under this title, 
     including catastrophic risk protection, in any State shall be 
     licensed and otherwise qualified to do business in that 
     State, and shall comply with all State regulation of such 
     sales and solicitation activities (including commission and 
     anti-rebating regulations), as required by the appropriate 
     insurance regulator of the State in accordance with the 
     relevant insurance laws of the State.''.

                   TITLE IV--MISCELLANEOUS PROVISIONS

     SEC. 401. IMPROVED RISK MANAGEMENT EDUCATION.

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

     ``SEC. 409. IMPROVED RISK MANAGEMENT EDUCATION FOR 
                   AGRICULTURAL PRODUCERS.

       ``(a) Definitions.--In this section:
       ``(1) Center.--The term `Center' means a Risk Management 
     Education Coordinating Center established under subsection 
     (c)(1).
       ``(2) Land-grant college.--The term `land-grant college' 
     means any 1862 Institution, 1890 Institution, or 1994 
     Institution.
       ``(b) Program.--
       ``(1) In general.--The Secretary shall carry out a program 
     to improve the risk management skills of agricultural 
     producers, including the owners and operators of small farms, 
     limited resource producers, and other targeted audiences, to 
     make informed risk management decisions.
       ``(2) Purpose.--The program shall be designed to assist a 
     producer to develop the skills necessary--
       ``(A) to understand the financial health and capability of 
     the producer's operation to withstand price fluctuations, 
     adverse weather, environmental impacts, diseases, family 
     crises, and other risks;
       ``(B) to understand marketing alternatives, how various 
     commodity markets work, the use of crop insurance products, 
     and the price risk inherent in various markets; and
       ``(C) to understand legal, governmental, environmental, and 
     human resource issues that impact the producer's operation.
       ``(c) Coordinating Centers.--
       ``(1) Establishment and purpose.--The Secretary shall 
     establish a Risk Management Education Coordinating Center in 
     each of 5 regions of the United States (as determined by the 
     Secretary) to administer and coordinate the provision of risk 
     management education to producers and their families under 
     the program in that region.
       ``(2) Site selection.--
       ``(A) In general.--The Secretary shall locate the Center 
     for a region at--
       ``(i) a risk management education coordinating office of 
     the Cooperative State Research, Education, and Extension 
     Service that is in existence at a land-grant college on the 
     date of enactment of this section; or
       ``(ii) an appropriate alternative land-grant college in the 
     region approved by the Secretary.
       ``(B) Land-grant colleges.--To be selected as the location 
     for a Center, a land-grant college must have the demonstrated 
     capability and capacity to carry out the priorities, funding 
     distribution requirements, and reporting requirements of the 
     program.
       ``(d) Coordinating Council.--
       ``(1) Establishment.--Each Center shall establish a 
     coordinating council to assist in establishing the funding 
     and program priorities for the region for which the Center 
     was established.
       ``(2) Membership.--Each council shall consist of a minimum 
     of 5 members, including representatives from--
       ``(A) public organizations;
       ``(B) private organizations;
       ``(C) agricultural producers; and
       ``(D) the Regional Service Offices of the Risk Management 
     Agency in that region.
       ``(e) Center Activities.--
       ``(1) Instruction for risk management professionals.--Each 
     Center shall coordinate the offering of intensive risk 
     management instructional programs, involving classroom 
     learning, distant learning, and field training work, for 
     professionals who work with agricultural producers, including 
     professionals who are--
       ``(A) extension specialists;
       ``(B) county extension faculty members;
       ``(C) private service providers; and
       ``(D) other individuals involved in providing risk 
     management education.
       ``(2) Education programs for producers.--Each Center shall 
     coordinate the provision of educational programs, including 
     workshops, short courses, seminars, and distant-learning 
     modules, to improve the risk management skills of 
     agricultural producers and their families.
       ``(3) Development and dissemination of materials.--Each 
     Center shall coordinate the efforts to develop new risk 
     management education materials and the dissemination of such 
     materials.
       ``(4) Coordination of resources.--
       ``(A) In general.--Each Center shall make use of available 
     and emerging risk management information, materials, and 
     delivery systems, after careful evaluation of the content and 
     suitability of the information, materials, and delivery 
     systems for producers and their families.
       ``(B) Use of available expertise.--To assist in conducting 
     the evaluation under subparagraph (A), each Center shall use 
     available expertise from land-grant colleges, nongovernmental 
     organizations, government agencies, and the private sector.
       ``(f) Grants.--
       ``(1) Special grants.--Each Center shall reserve a portion 
     of the funds provided under this section to make special 
     grants to land-grant colleges and private entities in the 
     region to conduct 1 or more of the activities described in 
     subsection (e).
       ``(2) Competitive grants.--Each Center shall reserve a 
     portion of the funds provided under this section to conduct a 
     competitive grant program to award grants to both public and 
     private entities that have a demonstrated capability to 
     conduct 1 or more of the activities described in subsection 
     (e).
       ``(g) National Agriculture Risk Education Library.--The 
     National Agriculture Risk Education Library shall--
       ``(1) serve as a central agency for the coordination and 
     distribution of risk management educational materials; and
       ``(2) provide a means for the electronic delivery of risk 
     management information and materials.
       ``(h) Funding Provisions.--
       ``(1) Authorization of appropriations.--There is authorized 
     to be appropriated to carry out this section $30,000,000 for 
     fiscal year 2001 and each subsequent fiscal year.
       ``(2) Distribution.--
       ``(A) National agriculture risk education library.--For 
     each fiscal year, of the funds made available to carry out 
     this section, 2.5 percent shall be distributed to the 
     National Agriculture Risk Education Library.
       ``(B) Centers.--For each fiscal year, the remainder of the 
     funds made available to carry out this section shall be 
     distributed equally among the Centers.
       ``(C) Administration by land-grant colleges.--The land-
     grant college at which a Center is located shall be 
     responsible for administering and disbursing funds described

[[Page S1615]]

     in subparagraph (B), in accordance with applicable State and 
     Federal financial guidelines, for activities authorized by 
     this section.
       ``(3) Prohibition on construction.--
       ``(A) Location of centers.--Each Center shall be located in 
     a facility in existence on the date of enactment of this 
     section.
       ``(B) Prohibition.--Funds provided under this section shall 
     not be used to carry out construction of any facility.
       ``(i) Evaluation.--The Secretary, acting through the 
     Cooperative State Research, Education, and Extension Service, 
     shall evaluate the activities of each Center to determine 
     whether the risk management skills of agricultural producers 
     and their families are improved as a result of their 
     participation in educational activities financed using funds 
     made available under subsection (h).''.

     SEC. 402. SENSE OF THE SENATE REGARDING THE FEDERAL CROP 
                   INSURANCE PROGRAM.

       It is the sense of the Senate that--
       (1) farmer-owned cooperatives play a valuable role in 
     achieving the purposes of the Federal Crop Insurance Act (7 
     U.S.C. 1501 et seq.) by--
       (A) encouraging producer participation in the Federal crop 
     insurance program;
       (B) improving the delivery system for crop insurance; and
       (C) helping to develop new and improved insurance products;
       (2) the Risk Management Agency, through its regulatory 
     activities, should encourage efforts by farmer-owned 
     cooperatives to promote appropriate risk management 
     strategies among their membership;
       (3) partnerships between approved insurance providers and 
     farmer-owned cooperatives provide opportunity for 
     agricultural producers to obtain needed insurance coverage on 
     a more competitive basis and at a lower cost;
       (4) the Risk Management Agency is following an appropriate 
     regulatory process to ensure the continued participation by 
     farmer-owned cooperatives in the delivery of crop insurance;
       (5) efforts by the Risk Management Agency to finalize 
     regulations that would incorporate the currently approved 
     business practices of cooperatives participating in the 
     Federal crop insurance program should be commended; and
       (6) not later than 180 days after the date of enactment of 
     this Act, the Federal Crop Insurance Corporation should 
     complete promulgation of the proposed rule entitled ``General 
     Administrative Regulations; Premium Reductions; Payment of 
     Rebates, Dividends, and Patronage Refunds; and Payments to 
     Insured-Owned and Record-Controlling Entities'', published by 
     the Federal Crop Insurance Corporation on May 12, 1999 (64 
     Fed. Reg. 25464), in a manner that--
       (A) effectively responds to comments received from the 
     public during the rulemaking process;
       (B) provides an effective opportunity for farmer-owned 
     cooperatives to assist the members of the cooperatives to 
     obtain crop insurance and participate most effectively in the 
     Federal crop insurance program;
       (C) incorporates the currently approved business practices 
     of farmer-owned cooperatives participating in the Federal 
     crop insurance program; and
       (D) protects the interests of agricultural producers.

           TITLE V--EFFECTIVE DATES; TERMINATION OF AUTHORITY

     SEC. 501. EFFECTIVE DATES.

       (a) In General.--Except as provided in subsections (b) and 
     (c)(2) and section 502(a), this Act and the amendments made 
     by this Act take effect on the date of enactment of this Act.
       On page 92, line 15, insert ``subsection (c)(2) and'' after 
     ``carry out''.
       On page 92, line 17, strike ``204'' and insert ``206''.
       Beginning on page 92, strike line 23 and all that follows 
     through page 93, line 9, and insert the following:
       (2) Indemnity payments for certain producers of durum 
     wheat.--
       (A) In general.--Except as otherwise provided in this 
     paragraph, notwithstanding section 508(c)(5) of the Federal 
     Crop Insurance Act (7 U.S.C. 1508(c)(5)), a producer of durum 
     wheat that purchased a 1999 Crop Revenue Coverage wheat 
     policy by the sales closing date prescribed in the actuarial 
     documents in the county where the policy was sold shall 
     receive an indemnity payment in accordance with the policy.
       (B) Base and harvest prices.--The base price and harvest 
     price under the policy shall be determined in accordance with 
     the Commodity Exchange Endorsement for wheat published by the 
     Federal Crop Insurance Corporation on July 14, 1998 (63 Fed. 
     Reg. 37829).
       (C) Reinsurance.--Subject to subparagraph (B), 
     notwithstanding section 508(c)(5) of the Federal Crop 
     Insurance Act (7 U.S.C. 1508(c)(5)), the Corporation shall 
     provide reinsurance with respect to the policy in accordance 
     with the Standard Reinsurance Agreement.
       (D) Voiding of bulletin.--Bulletin MGR-99-004, issued by 
     the Administrator of the Risk Management Agency of the 
     Department of Agriculture, is void.
       (E) Effective date.--This paragraph takes effect on October 
     1, 2000.
       On page 93, line 10, strike ``sec. 402.'' and insert ``sec. 
     502.''.
       On page 94, strike lines 1 and 2 and insert the following:
     1508(a)) is amended by redesignating paragraph (8) (as added 
     by section 107) and paragraph (9) (as added by section 305) 
     as paragraph (7) and paragraph (8), respectively.

       On page 94, line 5, strike ``203'' and insert ``205''.
       On page 94, line 24, strike ``subsection (c)'' and insert 
     ``subsections (c), (d), and (e)''.
                                 ______
                                 

                      WELLSTONE AMENDMENT NO. 2888

  Mr. WELLSTONE proposed an amendment to the bill, S. 2251, supra; as 
follows:

       On page 92, strike lines 7 through 13 and insert the 
     following:

                   TITLE IV--MISCELLANEOUS PROVISIONS

     SEC. 401. SENSE OF CONGRESS ON RALLY FOR RURAL AMERICA AND 
                   RURAL CRISIS.

       (a) Findings.--Congress finds that--
       (1) on March 20-21, 2000, thousands of rural citizens, 
     working families, and those representing the environmental 
     and religious communities traveled to Washington, D.C., to 
     participate in the Rally for Rural America;
       (2) a broad coalition of over 30 farm, environmental, and 
     labor organizations that are concerned that rural America has 
     been left behind during this time of prosperity participated 
     in organizing the Rally for Rural America;
       (3) although the majority of America has reaped the 
     benefits of the strong economy, rural Americans are facing 
     their toughest times in recent memory;
       (4) the record low prices on farms and ranches of the 
     United States have rippled throughout rural America causing 
     rural communities to face numerous challenges, including--
       (A) a depressed farm economy;
       (B) an escalation of mergers and acquisitions;
       (C) a loss of businesses and jobs on rural main street;
       (D) erosion of health care and education;
       (E) a decline in infrastructure;
       (F) a reduction of capital investments; and
       (G) a loss of independent family farmers;
       (5) the Rally for Rural America urged Congress to reform 
     the Federal Agriculture Improvement and Reform Act of 1996 
     (Public Law 104-127) to formulate rural policies in a manner 
     that will alleviate the agricultural price crisis, ensure 
     fair and open markets, and encourage fair trade;
       (6) thousands of rural citizens have advocated farm 
     policies that include--
       (A) a strong safety net for all agricultural producers;
       (B) competitive markets;
       (C) an investment in rural education and health care;
       (D) protection of natural resources for the next 
     generation;
       (E) a safe and secure food supply;
       (F) revitalization of our farm families and rural 
     communities; and
       (G) fair and equitable implementation of government 
     programs;
       (7) because agricultural commodity prices are so far below 
     the costs of production, eventually family farmers will no 
     longer be able to pay their bills or provide for their 
     families;
       (8) anti-competitive practices and concentration are a 
     cause of concern for American agriculture;
       (9) rural America needs a fair and well reasoned farm 
     policy, not unpredictable and inequitable disaster payments;
       (10) disaster payments do not provide for real, meaningful 
     change; and
       (11) the economic conditions and pressures in rural America 
     require real change.
       (b) Sense of Congress.--It is the sense of Congress that--
       (1) the participants in the Rally for Rural America are 
     commended and their pleas have been heard; and
       (2) Congress should respond with a clear and strong message 
     to the participants and rural families that Congress is 
     committed to giving the crisis in agriculture, and all of 
     rural America, its full attention by reforming rural policies 
     in a manner that will--
       (A) alleviate the agricultural price crisis;
       (B) ensure competitive markets;
       (C) invest in rural education and health care;
       (D) protect our natural resources for future generations; 
     and
       (E) ensure a safe and secure food supply for all.

           TITLE V--EFFECTIVE DATES; TERMINATION OF AUTHORITY

     SEC. 501. EFFECTIVE DATES.

       (a) In General.--Except as provided in subsections (b) and 
     (c)(2) and section 502(a), this Act and the amendments made 
     by this Act take effect on the date of enactment of this Act.
       On page 93, line 10, strike ``Sec. 402.'' and insert ``Sec. 
     502.''.

                          ____________________