[Congressional Record Volume 147, Number 109 (Tuesday, July 31, 2001)]
[Senate]
[Pages S8486-S8495]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                           TEXT OF AMENDMENTS

  SA 1190. Mr. LUGAR proposed an amendment to the bill S. 1246, to 
respond to the continuing economic crisis adversely affecting American 
agricultural producers; as follows:

       Strike everything after the enacting clause and insert the 
     following:

     SECTION 1. MARKET LOSS ASSISTANCE.

       (a) Assistance Authorized.--The Secretary of Agriculture 
     (referred to in this Act as the ``Secretary'') shall, to the 
     maximum extent practicable, use $4,622,240,000 of funds of 
     the Commodity Credit Corporation to make a market loss 
     assistance payment to owners and producers on a farm that are 
     eligible for a final payment for fiscal year 2001 under a 
     production flexibility contract for the farm under the 
     Agriculture Market Transition Act (7 U.S.C. 7201 et seq.).
       (b) Amount.--The amount of assistance made available to 
     owners and producers on a farm under this section shall be 
     proportionate to the amount of the total contract payments 
     received by the owners and producers for fiscal year 2001 
     under a production flexibility contract for the farm under 
     the Agricultural Market Transition Act.

     SEC. 2. SUPPLEMENTAL OILSEEDS PAYMENT.

       The Secretary shall use $423,510,000 of funds of the 
     Commodity Credit Corporation to make a supplemental payment 
     under section 202 of the Agricultural Risk Protection Act of 
     2000 (Public Law 106-224; 7 U.S.C. 1421 note) to producers of 
     the 2000 crop of oilseeds that previously received a payment 
     under such section.

     SEC. 3. SUPPLEMENTAL PEANUT PAYMENT.

       The Secretary shall use $54,210,000 of funds of the 
     Commodity Credit Corporation to provide a supplemental 
     payment under section 204(a) of the Agricultural Risk 
     Protection Act of 2000 (Public Law 106-224; 7 U.S.C. 1421 
     note) to producers of quota peanuts or additional peanuts for 
     the 2000 crop year that previously received a payment under 
     such section. The Secretary shall adjust the payment rate 
     specified in such section to reflect the amount made 
     available for payment under this section.

     SEC. 4. SUPPLEMENTAL TOBACCO PAYMENT.

       (a) Supplemental Payment.--The Secretary shall use 
     $129,000,000 of funds of the Commodity Credit Corporation to 
     provide a supplemental payment under section 204(b) of the 
     Agricultural Risk Protection Act of 2000 (Public Law 106-224; 
     7 U.S.C. 1421 note) to eligible persons (as defined in such 
     section) that previously received a payment under such 
     section.
       (b) Special Rule for Georgia.--The Secretary may make 
     payments under this section to eligible persons in Georgia 
     only if the State of Georgia agrees to use the sum of 
     $13,000,000 to make payments at the same time, or 
     subsequently, to the same persons in the same manner as 
     provided for the Federal payments under this section, as 
     required by section 204(b)(6) of the Agricultural Risk 
     Protection Act of 2000.

     SEC. 5. SUPPLEMENTAL WOOL AND MOHAIR PAYMENT.

       The Secretary shall use $16,940,000 of funds of the 
     Commodity Credit Corporation to provide a supplemental 
     payment under section 814 of the Agriculture, Rural 
     Development, Food and Drug Administration, and Related 
     Agencies Appropriations Act, 2001 (as enacted by Public Law 
     106-387), to producers of wool, and producers of mohair, for 
     the 2000 marketing year that previously received a payment 
     under such section. The Secretary shall adjust the payment 
     rate specified in such section to reflect the amount made 
     available for payments under this section.

     SEC. 6. SUPPLEMENTAL COTTONSEED ASSISTANCE.

       The Secretary shall use $84,700,000 of funds of the 
     Commodity Credit Corporation to provide supplemental 
     assistance under section 204(e) of the Agricultural Risk 
     Protection Act of 2000 (Public Law 106-224; 7 U.S.C. 1421 
     note) to producers and first-handlers of the 2000 crop of 
     cottonseed that previously received assistance under such 
     section.

     SEC. 7. SPECIALTY CROPS.

       (A) Base State Grants.--The Secretary shall use $26,000,000 
     of funds of the Commodity Credit Corporation to make grants 
     to the several States and the Commonwealth of Puerto Rico to 
     be used to support activities that promote agriculture. The 
     amount of the grant shall be--
       (1) $500,000 to each of the several States; and
       (2) $1,000,000 to the Commonwealth of Puerto Rico.
       (b) Grants for Value of Production.-- The Secretary shall 
     use $133,400,000 of funds of the Commodity Credit Corporation 
     to make a grant to each of the several States in an amount 
     that represents the proportion of the value of specialty crop 
     production in the State in relation to the national value of 
     specialty crop production, as follows:
       (1) California, $63,320,000.
       (2) Florida, $16,860,000.
       (3) Washington, $9,610,000.
       (4) Idaho, $43,670,000.
       (5) Arizona, $3,430,000
       (6) Michigan, $3,250,000.
       (7) Oregon, $3,220,000.
       (8) Georgia, $2,730,000.
       (9) Texas, $2,660,000.
       (10) New York, $2,660,000.
       (11) Wisconsin, $2,570,000.
       (12) North Carolina, $1,540,000.
       (13) Colorado, $41,510,000.
       (14) North Dakota, $1,380,000.
       (15) Minnesota, $1,320,000.
       (16) Hawaii, $1,150,000.
       (17) New Jersey, $1,100,000.
       (18) Pennsylvania, $980,000.
       (19) New Mexico, $900,000.
       (20) Maine, $880,000.
       (21) Ohio, $800,000.
       (22) Indiana, $660,000.
       (23) Nebraska, $640,000.
       (24) Massachusetts, $640,000.
       (25) Virginia, $620,000.
       (26) Maryland, $500,000.
       (27) Louisiana, $460,000.
       (28) South Carolina, $440,000.
       (29) Tennessee, $400,000.
       (30) Illinois, $400,000.
       (31) Oklahoma, $390,000.
       (32) Alabama, $300,000.

[[Page S8487]]

       (33) Delaware, $290,000.
       (34) Mississippi, $250,000.
       (35) Kansas, $210,000.
       (36) Arkansas, $210,000.
       (37) Missouri, $210,000.
       (38) Connecticut, $180,000.
       (39) Utah, $140,000.
       (40) Montana, $140,000.
       (41) New Hampshire, $120,000.
       (42) Nevada, $120,000.
       (43) Vermont, $120,000.
       (44) Iowa, $100,000.
       (45) West Virginia, $90,000.
       (46) Wyoming, $70,000.
       (47) Kentucky, $60,000.
       (48) South Dakota, $40,000.
       (49) Rhode Island, $40,000.
       (50) Alaska, $20,000.
       (c) Specialty Crop Priority.--As a condition on the receipt 
     of a grant under this section, a State shall agree to give 
     priority to the support of specialty crops in the use of the 
     grant funds.
       (d) Specialty Crop Defined.--In this section, the term 
     ``specialty crop'' means any agricultural crop, except wheat, 
     feed grains, oil-seeds, cotton, rice, peanuts, and tobacco.

     SEC. 8. COMMODITY ASSISTANCE PROGRAM.

       The Secretary shall use $10,000,000 of funds of the 
     Commodity Credit Corporation to make a grant to each of the 
     several States to be used by the States to cover direct and 
     indirect costs related to the processing, transportation, and 
     distribution of commodities to eligible recipient agencies. 
     The grants shall be allocated to States in the manner 
     provided under section 204(a) of the Emergency Food 
     Assistance Act of 1983 (7 U.S.C. 7508(a)).

     SEC. 9. TECHNICAL CORRECTION REGARDING INDEMNITY PAYMENTS FOR 
                   COTTON PRODUCERS.

       (a) Conditions on Payment to State.--Subsection (b) of 
     section 1121 of the Agriculture, Rural Development, Food and 
     Drug Administration, and Related Agencies Appropriations Act, 
     1999 (as contained in section 101(a) of division A of Public 
     Law 105-277 (7 U.S.C. 1421 note), and as amended by section 
     754 of the Agriculture, Rural Development, Food and Drug 
     Administration, and Related Agencies Appropriations Act, 2001 
     (as enacted by Public Law 106-387; 114 Stat. 1549A-42), is 
     amended to read as follows:
       ``(b) Conditions on Payment to State.--The Secretary of 
     Agriculture shall make the payment to the State of Georgia 
     under subsection (a) only if the State--
       ``(1) contributes $5,000,000 to the indemnity fund and 
     agrees to expend all amounts in the indemnity fund by not 
     later than January 1, 2001 (or as soon as administratively 
     practical thereafter), to provide compensation to cotton 
     producers as provided in such subsection;
       ``(2) requires the recipient of a payment from the 
     indemnity fund to repay the State, for deposit in the 
     indemnity fund, the amount of any duplicate payment the 
     recipient otherwise recovers for such loss of cotton, or the 
     loss of proceeds from the sale of cotton, up to the amount of 
     the payment from the indemnity fund; and
       ``(3) agrees to deposit in the indemnity fund the proceeds 
     of any bond collected by the State for the benefit of 
     recipients of payments from the indemnity fund, to the extent 
     of such payments.''.
       (b) Additional Disbursements From the Indemnity Fund.--
     Subsection (d) of such section is amended to read as follows:
       ``(d) Additional Disbursement to Cotton Ginners.--The State 
     of Georgia shall use funds remaining in the indemnity fund, 
     after the provision of compensation to cotton producers in 
     Georgia under subsection (a) (including cotton producers who 
     file a contingent claim, as defined and provided in section 
     5.1 of chapter 19 of title 2 of the Official Code of 
     Georgia), to compensate cotton ginners (as defined and 
     provided in such section) that--
       ``(1) incurred a loss as the result of--
       ``(A) the business failure of any cotton buyer doing 
     business in Georgia; or
       ``(B) the failure or refusal of any such cotton buyer to 
     pay the contracted price that had been agreed upon by the 
     ginner and the buyer for cotton grown in Georgia on or after 
     January 1, 1997, and had been purchased or contracted by the 
     ginner from cotton producers in Georgia;
       ``(2) paid cotton producers the amount which the cotton 
     ginner had agreed to pay for such cotton received from such 
     cotton producers in Georgia; and
       ``(3) satisfy the procedural requirements and deadlines 
     specified in chapter 19 of title 2 of the Official Code of 
     Georgia applicable to cotton ginner claims.''.
       (c) Conforming Amendment.--Subsection (c) of such section 
     is amended by striking ``Upon the establishment of the 
     indemnity fund, and not later than October 1, 1999, the'' and 
     inserting ``The''.

     SEC. 10. INCREASE IN PAYMENT LIMITATIONS REGARDING LOAN 
                   DEFICIENCY PAYMENTS AND MARKETING LOAN GAINS.

       Notwithstanding section 1001(2) of the Food Security Act of 
     1985 (7 U.S.C. 1308(1)), the total amount of the payments 
     specified in section 1001(3) of that Act that a person shall 
     be entitled to receive for one or more contract commodities 
     and oilseeds under the Agricultural Market Transition Act (7 
     U.S.C. 7201 et seq.) during the 2001 crop year may not exceed 
     $150,000.

     SEC. 11. TIMING OF, AND LIMITATION ON, EXPENDITURES.

       (a) Deadline for Expenditures.--All expenditures required 
     by this Act shall be made not later than September 30, 2001. 
     Any funds made available by this Act and remaining unexpended 
     by October 1, 2001, shall be deemed to be unexpendable, and 
     the authority provided by this Act to expend such funds is 
     rescinded effective on that date.
       (b) Total Amount of Expenditures.--The total amount 
     expended under this Act may not exceed $5,500,000,000. If the 
     payments required by this Act would result in expenditures in 
     excess of such amount, the Secretary shall reduce such 
     payments on a pro rata basis as necessary to ensure that such 
     expenditures do not exceed such amount.

     SEC. 12. REGULATIONS.

       (a) Promulgation.--As soon as practicable after the date of 
     the enactment of this Act, the Secretary and the Commodity 
     Credit Corporation, as appropriate, shall promulgate such 
     regulations as are necessary to implement this Act and the 
     amendments made by this Act. The promulgation of the 
     regulations and administration of this Act shall be made 
     without regard to--
       (1) the notice and comment provisions of section 553 of 
     title 5, United States Code;
       (2) the Statement of Policy of the Secretary of Agriculture 
     effective July 24, 1971 (36 Fed. Reg. 13804), relating to 
     notices of proposed rulemaking and public participation in 
     rulemaking; and
       (3) chapter 35 of title 44, United States Code (commonly 
     known as the ``Paperwork Reduction Act'').
       (b) Congressional Review of Agency Rulemaking.--In carrying 
     out this section, the Secretary shall use the authority 
     provided under section 808 of title 5, United States Code.

     
                                  ____
  SA 1191. Mr. SPECTER (for himself, Ms. Landrieu, Ms. Collins, Mr. 
Schumer, Ms. Snowe, Mr. Leahy, Mr. Allen, Mr. Biden, Mr. Bond, Mr. 
Breaux, Mrs. Carnahan, Mr. Carper, Mr. Chafee, Mr. Cleland, Mrs. 
Clinton, Mr. Cochran, Mr. Dodd, Mr. Edwards, Mr. Frist, Mr. Gregg, Mr. 
Helms, Mr. Hollings, Mr. Jeffords, Mr. Kennedy, Mr. Kerry, Mr. 
Lieberman, Mrs. Lincoln, Ms. Mikulski, Mr. Miller, Mr. Reed, Mr. 
Rockefeller, Mr. Sarbanes, Mr. Sessions, Mr. Shelby, Mr. Smith of New 
Hampshire, Mr. Thompson, Mr. Thurmond, Mr. Torricelli, and Mr. Warner) 
submitted an amendment intended to be proposed by him to the bill S. 
1246, to respond to the continuing economic crisis adversely affecting 
American agricultural producers; as follows:

       On page 45, after line 25, insert the following:

          TITLE VII--DAIRY CONSUMERS AND PRODUCERS PROTECTION

     SEC. 701. NORTHEAST INTERSTATE DAIRY COMPACT.

       Section 147 of the Agricultural Market Transition Act (7 
     U.S.C. 7256) is amended--
       (1) in the matter preceding paragraph (1), by striking 
     ``States'' and all that follows through ``Vermont'' and 
     inserting ``States of Connecticut, Delaware, Maine, Maryland, 
     Massachusetts, New Hampshire, New Jersey, New York, 
     Pennsylvania, Rhode Island, and Vermont'';
       (2) by striking paragraphs (1), (3), and (7);
       (3) in paragraph (2), by striking ``Class III-A'' and 
     inserting ``Class IV'';
       (4) by striking paragraph (4) and inserting the following:
       ``(4) Additional state.--Ohio is the only additional State 
     that may join the Northeast Interstate Dairy Compact.'';
       (5) in paragraph (5), by striking ``the projected rate of 
     increase'' and all that follows through ``Secretary'' and 
     inserting ``the operation of the Compact price regulation 
     during the fiscal year, as determined by the Secretary (in 
     consultation with the Commission) using notice and comment 
     procedures provided in section 553 of title 5, United States 
     Code''; and
       (6) by redesignating paragraphs (2), (4), (5), and (6) as 
     paragraphs (1), (2), (3), and (4), respectively.

     SEC. 702. SOUTHERN DAIRY COMPACT.

       (a) In General.--Congress consents to the Southern Dairy 
     Compact entered into among the States of Alabama, Arkansas, 
     Georgia, Kansas, Kentucky, Louisiana, Mississippi, Missouri, 
     North Carolina, Oklahoma, South Carolina, Tennessee, 
     Virginia, and West Virginia, subject to the following 
     conditions:
       (1) Limitation of manufacturing price regulation.--The 
     Southern Dairy Compact Commission may not regulate Class II, 
     Class III, or Class IV milk used for manufacturing purposes 
     or any other milk, other than Class I, or fluid milk, as 
     defined by a Federal milk marketing order issued under 
     section 8c of the Agricultural Adjustment Act (7 U.S.C. 
     608c), reenacted with amendments by the Agricultural 
     Marketing Act of 1937 (referred to in this section as a 
     ``Federal milk marketing order'') unless Congress has first 
     consented to and approved such authority by a law enacted 
     after the date of enactment of this joint resolution.
       (2) Additional states.--Florida, Nebraska, and Texas are 
     the only additional States that may join the Southern Dairy 
     Compact, individually or otherwise.
       (3) Compensation of commodity credit corporation.--Before 
     the end of each fiscal year in which a Compact price 
     regulation is in effect, the Southern Dairy Compact 
     Commission shall compensate the Commodity

[[Page S8488]]

     Credit Corporation for the cost of any purchases of milk and 
     milk products by the Corporation that result from the 
     operation of the Compact price regulation during the fiscal 
     year, as determined by the Secretary (in consultation with 
     the Commission) using notice and comment procedures provided 
     in section 553 of title 5, United States Code.
       (4) Milk marketing order administrator.--At the request of 
     the Southern Dairy Compact Commission, the Administrator of 
     the applicable Federal milk marketing order shall provide 
     technical assistance to the Compact Commission and be 
     compensated for that assistance.
       (b) Compact.--The Southern Dairy Compact is substantially 
     as follows:

 ``ARTICLE I. STATEMENT OF PURPOSE, FINDINGS AND DECLARATION OF POLICY

     ``Sec. 1. Statement of purpose, findings and declaration of 
       policy

       ``The purpose of this compact is to recognize the 
     interstate character of the southern dairy industry and the 
     prerogative of the states under the United States 
     Constitution to form an interstate commission for the 
     southern region. The mission of the commission is to take 
     such steps as are necessary to assure the continued viability 
     of dairy farming in the south, and to assure consumers of an 
     adequate, local supply of pure and wholesome milk.
       ``The participating states find and declare that the dairy 
     industry is an essential agricultural activity of the south. 
     Dairy farms, and associated suppliers, marketers, processors 
     and retailers are an integral component of the region's 
     economy. Their ability to provide a stable, local supply of 
     pure, wholesome milk is a matter of great importance to the 
     health and welfare of the region.
       ``The participating states further find that dairy farms 
     are essential and they are an integral part of the region's 
     rural communities. The farms preserve land for agricultural 
     purposes and provide needed economic stimuli for rural 
     communities.
       ``In establishing their constitutional regulatory authority 
     over the region's fluid milk market by this compact, the 
     participating states declare their purpose that this compact 
     neither displace the federal order system nor encourage the 
     merging of federal orders. Specific provisions of the compact 
     itself set forth this basic principle.
       ``Designed as a flexible mechanism able to adjust to 
     changes in a regulated marketplace, the compact also contains 
     a contingency provision should the federal order system be 
     discontinued. In that event, the interstate commission is 
     authorized to regulate the marketplace in replacement of the 
     order system. This contingent authority does not anticipate 
     such a change, however, and should not be so construed. It is 
     only provided should developments in the market other than 
     establishment of this compact result in discontinuance of the 
     order system.
       ``By entering into this compact, the participating states 
     affirm that their ability to regulate the price which 
     southern dairy farmers receive for their product is essential 
     to the public interest. Assurance of a fair and equitable 
     price for dairy farmers ensures their ability to provide milk 
     to the market and the vitality of the southern dairy 
     industry, with all the associated benefits.
       ``Recent, dramatic price fluctuations, with a pronounced 
     downward trend, threaten the viability and stability of the 
     southern dairy region. Historically, individual state 
     regulatory action had been an effective emergency remedy 
     available to farmers confronting a distressed market. The 
     federal order system, implemented by the Agricultural 
     Marketing Agreement Act of 1937, establishes only minimum 
     prices paid to producers for raw milk, without preempting the 
     power of states to regulate milk prices above the minimum 
     levels so established.
       ``In today's regional dairy marketplace, cooperative, 
     rather than individual state action is needed to more 
     effectively address the market disarray. Under our 
     constitutional system, properly authorized states acting 
     cooperatively may exercise more power to regulate interstate 
     commerce than they may assert individually without such 
     authority. For this reason, the participating states invoke 
     their authority to act in common agreement, with the consent 
     of Congress, under the compact clause of the Constitution.

          ``ARTICLE II. DEFINITIONS AND RULES OF CONSTRUCTION

     ``Sec. 2. Definitions

       ``For the purposes of this compact, and of any supplemental 
     or concurring legislation enacted pursuant thereto, except as 
     may be otherwise required by the context:
       ``(1) `Class I milk' means milk disposed of in fluid form 
     or as a fluid milk product, subject to further definition in 
     accordance with the principles expressed in subdivision (b) 
     of section three.
       ``(2) `Commission' means the Southern Dairy Compact 
     Commission established by this compact.
       ``(3) `Commission marketing order' means regulations 
     adopted by the commission pursuant to sections nine and ten 
     of this compact in place of a terminated federal marketing 
     order or state dairy regulation. Such order may apply 
     throughout the region or in any part or parts thereof as 
     defined in the regulations of the commission. Such order may 
     establish minimum prices for any or all classes of milk.
       ``(4) `Compact' means this interstate compact.
       ``(5) `Compact over-order price' means a minimum price 
     required to be paid to producers for Class I milk established 
     by the commission in regulations adopted pursuant to sections 
     nine and ten of this compact, which is above the price 
     established in federal marketing orders or by state farm 
     price regulations in the regulated area. Such price may apply 
     throughout the region or in any part or parts thereof as 
     defined in the regulations of the commission.
       ``(6) `Milk' means the lacteral secretion of cows and 
     includes all skim, butterfat, or other constituents obtained 
     from separation or any other process. The term is used in its 
     broadest sense and may be further defined by the commission 
     for regulatory purposes.
       ``(7) `Partially regulated plant' means a milk plant not 
     located in a regulated area but having Class I distribution 
     within such area. Commission regulations may exempt plants 
     having such distribution or receipts in amounts less than the 
     limits defined therein.
       ``(8) `Participating state' means a state which has become 
     a party to this compact by the enactment of concurring 
     legislation.
       ``(9) `Pool plant' means any milk plant located in a 
     regulated area.
       ``(10) `Region' means the territorial limits of the states 
     which are parties to this compact.
       ``(11) `Regulated area' means any area within the region 
     governed by and defined in regulations establishing a compact 
     over-order price or commission marketing order.
       ``(12) `State dairy regulation' means any state regulation 
     of dairy prices, and associated assessments, whether by 
     statute, marketing order or otherwise.

     ``Sec. 3. Rules of construction

       ``(a) This compact shall not be construed to displace 
     existing federal milk marketing orders or state dairy 
     regulation in the region but to supplement them. In the event 
     some or all federal orders in the region are discontinued, 
     the compact shall be construed to provide the commission the 
     option to replace them with one or more commission marketing 
     orders pursuant to this compact.
       ``(b) The compact shall be construed liberally in order to 
     achieve the purposes and intent enunciated in section one. It 
     is the intent of this compact to establish a basic structure 
     by which the commission may achieve those purposes through 
     the application, adaptation and development of the regulatory 
     techniques historically associated with milk marketing and to 
     afford the commission broad flexibility to devise regulatory 
     mechanisms to achieve the purposes of this compact. In 
     accordance with this intent, the technical terms which are 
     associated with market order regulation and which have 
     acquired commonly understood general meanings are not defined 
     herein but the commission may further define the terms used 
     in this compact and develop additional concepts and define 
     additional terms as it may find appropriate to achieve its 
     purposes.

                 ``ARTICLE III. COMMISSION ESTABLISHED

     ``Sec. 4. Commission established

       ``There is hereby created a commission to administer the 
     compact, composed of delegations from each state in the 
     region. The commission shall be known as the Southern Dairy 
     Compact Commission. A delegation shall include not less than 
     three nor more than five persons. Each delegation shall 
     include at least one dairy farmer who is engaged in the 
     production of milk at the time of appointment or 
     reappointment, and one consumer representative. Delegation 
     members shall be residents and voters of, and subject to such 
     confirmation process as is provided for in the appointing 
     state. Delegation members shall serve no more than three 
     consecutive terms with no single term of more than four 
     years, and be subject to removal for cause. In all other 
     respects, delegation members shall serve in accordance with 
     the laws of the state represented. The compensation, if any, 
     of the members of a state delegation shall be determined and 
     paid by each state, but their expenses shall be paid by the 
     commission.

     ``Sec. 5. Voting requirements

       ``All actions taken by the commission, except for the 
     establishment or termination of an over-order price or 
     commission marketing order, and the adoption, amendment or 
     rescission of the commission's by-laws, shall be by majority 
     vote of the delegations present. Each state delegation shall 
     be entitled to one vote in the conduct of the commission's 
     affairs. Establishment or termination of an over-order price 
     or commission marketing order shall require at least a two-
     thirds vote of the delegations present. The establishment of 
     a regulated area which covers all or part of a participating 
     state shall require also the affirmative vote of that state's 
     delegation. A majority of the delegations from the 
     participating states shall constitute a quorum for the 
     conduct of the commission's business.

     ``Sec. 6. Administration and management

       ``(a) The commission shall elect annually from among the 
     members of the participating state delegations a chairperson, 
     a vice-chairperson, and a treasurer. The commission shall 
     appoint an executive director and fix his or her duties and 
     compensation. The executive director shall serve at the 
     pleasure of the commission, and together with the treasurer, 
     shall be bonded in an amount determined by the commission. 
     The commission may establish through its by-laws an executive 
     committee composed of one member elected by each delegation.

[[Page S8489]]

       ``(b) The commission shall adopt by-laws for the conduct of 
     its business by a two-thirds vote, and shall have the power 
     by the same vote to amend and rescind these by-laws. The 
     commission shall publish its by-laws in convenient form with 
     the appropriate agency or officer in each of the 
     participating states. The by-laws shall provide for 
     appropriate notice to the delegations of all commission 
     meetings and hearings and of the business to be transacted at 
     such meetings or hearings. Notice also shall be given to 
     other agencies or officers of participating states as 
     provided by the laws of those states.
       ``(c) The commission shall file an annual report with the 
     Secretary of Agriculture of the United States, and with each 
     of the participating states by submitting copies to the 
     governor, both houses of the legislature, and the head of the 
     state department having responsibilities for agriculture.
       ``(d) In addition to the powers and duties elsewhere 
     prescribed in this compact, the commission shall have the 
     power:
       ``(1) To sue and be sued in any state or federal court;
       ``(2) To have a seal and alter the same at pleasure;
       ``(3) To acquire, hold, and dispose of real and personal 
     property by gift, purchase, lease, license, or other similar 
     manner, for its corporate purposes;
       ``(4) To borrow money and issue notes, to provide for the 
     rights of the holders thereof and to pledge the revenue of 
     the commission as security therefor, subject to the 
     provisions of section eighteen of this compact;
       ``(5) To appoint such officers, agents, and employees as it 
     may deem necessary, prescribe their powers, duties and 
     qualifications; and
       ``(6) To create and abolish such offices, employments and 
     positions as it deems necessary for the purposes of the 
     compact and provide for the removal, term, tenure, 
     compensation, fringe benefits, pension, and retirement rights 
     of its officers and employees. The commission may also retain 
     personal services on a contract basis.

     ``Sec. 7. Rulemaking power

       ``In addition to the power to promulgate a compact over-
     order price or commission marketing orders as provided by 
     this compact, the commission is further empowered to make and 
     enforce such additional rules and regulations as it deems 
     necessary to implement any provisions of this compact, or to 
     effectuate in any other respect the purposes of this compact.

                 ``ARTICLE IV. POWERS OF THE COMMISSION

     ``Sec. 8. Powers to promote regulatory uniformity, 
       simplicity, and interstate cooperation

       ``The commission is hereby empowered to:
       ``(1) Investigate or provide for investigations or research 
     projects designed to review the existing laws and regulations 
     of the participating states, to consider their administration 
     and costs, to measure their impact on the production and 
     marketing of milk and their effects on the shipment of milk 
     and milk products within the region.
       ``(2) Study and recommend to the participating states joint 
     or cooperative programs for the administration of the dairy 
     marketing laws and regulations and to prepare estimates of 
     cost savings and benefits of such programs.
       ``(3) Encourage the harmonious relationships between the 
     various elements in the industry for the solution of their 
     material problems. Conduct symposia or conferences designed 
     to improve industry relations, or a better understanding of 
     problems.
       ``(4) Prepare and release periodic reports on activities 
     and results of the commission's efforts to the participating 
     states.
       ``(5) Review the existing marketing system for milk and 
     milk products and recommend changes in the existing structure 
     for assembly and distribution of milk which may assist, 
     improve or promote more efficient assembly and distribution 
     of milk.
       ``(6) Investigate costs and charges for producing, hauling, 
     handling, processing, distributing, selling and for all other 
     services performed with respect to milk.
       ``(7) Examine current economic forces affecting producers, 
     probable trends in production and consumption, the level of 
     dairy farm prices in relation to costs, the financial 
     conditions of dairy farmers, and the need for an emergency 
     order to relieve critical conditions on dairy farms.

     ``Sec. 9. Equitable farm prices

       ``(a) The powers granted in this section and section ten 
     shall apply only to the establishment of a compact over-order 
     price, so long as federal milk marketing orders remain in 
     effect in the region. In the event that any or all such 
     orders are terminated, this article shall authorize the 
     commission to establish one or more commission marketing 
     orders, as herein provided, in the region or parts thereof as 
     defined in the order.
       ``(b) A compact over-order price established pursuant to 
     this section shall apply only to Class I milk. Such compact 
     over-order price shall not exceed one dollar and fifty cents 
     per gallon at Atlanta, Ga., however, this compact over-order 
     price shall be adjusted upward or downward at other locations 
     in the region to reflect differences in minimum federal order 
     prices. Beginning in nineteen hundred ninety, and using that 
     year as a base, the foregoing one dollar fifty cents per 
     gallon maximum shall be adjusted annually by the rate of 
     change in the Consumer Price Index as reported by the Bureau 
     of Labor Statistics of the United States Department of Labor. 
     For purposes of the pooling and equalization of an over-order 
     price, the value of milk used in other use classifications 
     shall be calculated at the appropriate class price 
     established pursuant to the applicable federal order or state 
     dairy regulation and the value of unregulated milk shall be 
     calculated in relation to the nearest prevailing class price 
     in accordance with and subject to such adjustments as the 
     commission may prescribe in regulations.
       ``(c) A commission marketing order shall apply to all 
     classes and uses of milk.
       ``(d) The commission is hereby empowered to establish a 
     compact over-order price for milk to be paid by pool plants 
     and partially regulated plants. The commission is also 
     empowered to establish a compact over-order price to be paid 
     by all other handlers receiving milk from producers located 
     in a regulated area. This price shall be established either 
     as a compact over-order price or by one or more commission 
     marketing orders. Whenever such a price has been established 
     by either type of regulation, the legal obligation to pay 
     such price shall be determined solely by the terms and 
     purpose of the regulation without regard to the situs of the 
     transfer of title, possession or any other factors not 
     related to the purposes of the regulation and this compact. 
     Producer-handlers as defined in an applicable federal market 
     order shall not be subject to a compact over-order price. The 
     commission shall provide for similar treatment of producer-
     handlers under commission marketing orders.
       ``(e) In determining the price, the commission shall 
     consider the balance between production and consumption of 
     milk and milk products in the regulated area, the costs of 
     production including, but not limited to the price of feed, 
     the cost of labor including the reasonable value of the 
     producer's own labor and management, machinery expense, and 
     interest expense, the prevailing price for milk outside the 
     regulated area, the purchasing power of the public and the 
     price necessary to yield a reasonable return to the producer 
     and distributor.
       ``(f) When establishing a compact over-order price, the 
     commission shall take such other action as is necessary and 
     feasible to help ensure that the over-order price does not 
     cause or compensate producers so as to generate local 
     production of milk in excess of those quantities necessary to 
     assure consumers of an adequate supply for fluid purposes.
       ``(g) The commission shall whenever possible enter into 
     agreements with state or federal agencies for exchange of 
     information or services for the purpose of reducing 
     regulatory burden and cost of administering the compact. The 
     commission may reimburse other agencies for the reasonable 
     cost of providing these services.

     ``Sec. 10. Optional provisions for pricing order

       ``Regulations establishing a compact over-order price or a 
     commission marketing order may contain, but shall not be 
     limited to any of the following:
       ``(1) Provisions classifying milk in accordance with the 
     form in which or purpose for which it is used, or creating a 
     flat pricing program.
       ``(2) With respect to a commission marketing order only, 
     provisions establishing or providing a method for 
     establishing separate minimum prices for each use 
     classification prescribed by the commission, or a single 
     minimum price for milk purchased from producers or 
     associations of producers.
       ``(3) With respect to an over-order minimum price, 
     provisions establishing or providing a method for 
     establishing such minimum price for Class I milk.
       ``(4) Provisions for establishing either an over-order 
     price or a commission marketing order may make use of any 
     reasonable method for establishing such price or prices 
     including flat pricing and formula pricing. Provision may 
     also be made for location adjustments, zone differentials and 
     for competitive credits with respect to regulated handlers 
     who market outside the regulated area.
       ``(5) Provisions for the payment to all producers and 
     associations of producers delivering milk to all handlers of 
     uniform prices for all milk so delivered, irrespective of the 
     uses made of such milk by the individual handler to whom it 
     is delivered, or for the payment of producers delivering milk 
     to the same handler of uniform prices for all milk delivered 
     by them.
       ``(A) With respect to regulations establishing a compact 
     over-order price, the commission may establish one 
     equalization pool within the regulated area for the sole 
     purpose of equalizing returns to producers throughout the 
     regulated area.
       ``(B) With respect to any commission marketing order, as 
     defined in section two, subdivision three, which replaces one 
     or more terminated federal orders or state dairy regulations, 
     the marketing area of now separate state or federal orders 
     shall not be merged without the affirmative consent of each 
     state, voting through its delegation, which is partly or 
     wholly included within any such new marketing area.
       ``(6) Provisions requiring persons who bring Class I milk 
     into the regulated area to make compensatory payments with 
     respect to all such milk to the extent necessary to equalize 
     the cost of milk purchased by handlers subject to a compact 
     over-order price or

[[Page S8490]]

     commission marketing order. No such provisions shall 
     discriminate against milk producers outside the regulated 
     area. The provisions for compensatory payments may require 
     payment of the difference between the Class I price required 
     to be paid for such milk in the state of production by a 
     federal milk marketing order or state dairy regulation and 
     the Class I price established by the compact over-order price 
     or commission marketing order.
       ``(7) Provisions specially governing the pricing and 
     pooling of milk handled by partially regulated plants.
       ``(8) Provisions requiring that the account of any person 
     regulated under the compact over-order price shall be 
     adjusted for any payments made to or received by such persons 
     with respect to a producer settlement fund of any federal or 
     state milk marketing order or other state dairy regulation 
     within the regulated area.
       ``(9) Provision requiring the payment by handlers of an 
     assessment to cover the costs of the administration and 
     enforcement of such order pursuant to Article VII, Section 
     18(a).
       ``(10) Provisions for reimbursement to participants of the 
     Women, Infants and Children Special Supplemental Food Program 
     of the United States Child Nutrition Act of 1966.
       ``(11) Other provisions and requirements as the commission 
     may find are necessary or appropriate to effectuate the 
     purposes of this compact and to provide for the payment of 
     fair and equitable minimum prices to producers.

                   ``ARTICLE V. RULEMAKING PROCEDURE

     ``Sec. 11. Rulemaking procedure

       ``Before promulgation of any regulations establishing a 
     compact over-order price or commission marketing order, 
     including any provision with respect to milk supply under 
     subsection 9(f), or amendment thereof, as provided in Article 
     IV, the commission shall conduct an informal rulemaking 
     proceeding to provide interested persons with an opportunity 
     to present data and views. Such rulemaking proceeding shall 
     be governed by section four of the Federal Administrative 
     Procedure Act, as amended (5 U.S.C. Sec. 553). In addition, 
     the commission shall, to the extent practicable, publish 
     notice of rulemaking proceedings in the official register of 
     each participating state. Before the initial adoption of 
     regulations establishing a compact over-order price or a 
     commission marketing order and thereafter before any 
     amendment with regard to prices or assessments, the 
     commission shall hold a public hearing. The commission may 
     commence a rulemaking proceeding on its own initiative or may 
     in its sole discretion act upon the petition of any person 
     including individual milk producers, any organization of milk 
     producers or handlers, general farm organizations, consumer 
     or public interest groups, and local, state or federal 
     officials.

     ``Sec. 12. Findings and referendum

       ``(a) In addition to the concise general statement of basis 
     and purpose required by section 4(b) of the Federal 
     Administrative Procedure Act, as amended (5 U.S.C. 
     Sec. 553(c)), the commission shall make findings of fact with 
     respect to:
       ``(1) Whether the public interest will be served by the 
     establishment of minimum milk prices to dairy farmers under 
     Article IV.
       ``(2) What level of prices will assure that producers 
     receive a price sufficient to cover their costs of production 
     and will elicit an adequate supply of milk for the 
     inhabitants of the regulated area and for manufacturing 
     purposes.
       ``(3) Whether the major provisions of the order, other than 
     those fixing minimum milk prices, are in the public interest 
     and are reasonably designed to achieve the purposes of the 
     order.
       ``(4) Whether the terms of the proposed regional order or 
     amendment are approved by producers as provided in section 
     thirteen.

     ``Sec. 13. Producer referendum

       ``(a) For the purpose of ascertaining whether the issuance 
     or amendment of regulations establishing a compact over-order 
     price or a commission marketing order, including any 
     provision with respect to milk supply under subsection 9(f), 
     is approved by producers, the commission shall conduct a 
     referendum among producers. The referendum shall be held in a 
     timely manner, as determined by regulation of the commission. 
     The terms and conditions of the proposed order or amendment 
     shall be described by the commission in the ballot used in 
     the conduct of the referendum, but the nature, content, or 
     extent of such description shall not be a basis for attacking 
     the legality of the order or any action relating thereto.
       ``(b) An order or amendment shall be deemed approved by 
     producers if the commission determines that it is approved by 
     at least two-thirds of the voting producers who, during a 
     representative period determined by the commission, have been 
     engaged in the production of milk the price of which would be 
     regulated under the proposed order or amendment.
       ``(c) For purposes of any referendum, the commission shall 
     consider the approval or disapproval by any cooperative 
     association of producers, qualified under the provisions of 
     the Act of Congress of February 18, 1922, as amended, known 
     as the Capper-Volstead Act, bona fide engaged in marketing 
     milk, or in rendering services for or advancing the interests 
     of producers of such commodity, as the approval or 
     disapproval of the producers who are members or stockholders 
     in, or under contract with, such cooperative association of 
     producers, except as provided in subdivision (1) hereof and 
     subject to the provisions of subdivision (2) through (5) 
     hereof.
       ``(1) No cooperative which has been formed to act as a 
     common marketing agency for both cooperatives and individual 
     producers shall be qualified to block vote for either.
       ``(2) Any cooperative which is qualified to block vote 
     shall, before submitting its approval or disapproval in any 
     referendum, give prior written notice to each of its members 
     as to whether and how it intends to cast its vote. The notice 
     shall be given in a timely manner as established, and in the 
     form prescribed, by the commission.
       ``(3) Any producer may obtain a ballot from the commission 
     in order to register approval or disapproval of the proposed 
     order.
       ``(4) A producer who is a member of a cooperative which has 
     provided notice of its intent to approve or not to approve a 
     proposed order, and who obtains a ballot and with such ballot 
     expresses his approval or disapproval of the proposed order, 
     shall notify the commission as to the name of the cooperative 
     of which he or she is a member, and the commission shall 
     remove such producer's name from the list certified by such 
     cooperative with its corporate vote.
       ``(5) In order to insure that all milk producers are 
     informed regarding the proposed order, the commission shall 
     notify all milk producers that an order is being considered 
     and that each producer may register his approval or 
     disapproval with the commission either directly or through 
     his or her cooperative.

     ``Sec. 14. Termination of over-order price or marketing order

       ``(a) The commission shall terminate any regulations 
     establishing an over-order price or commission marketing 
     order issued under this article whenever it finds that such 
     order or price obstructs or does not tend to effectuate the 
     declared policy of this compact.
       ``(b) The commission shall terminate any regulations 
     establishing an over-order price or a commission marketing 
     order issued under this article whenever it finds that such 
     termination is favored by a majority of the producers who, 
     during a representative period determined by the commission, 
     have been engaged in the production of milk the price of 
     which is regulated by such order; but such termination shall 
     be effective only if announced on or before such date as may 
     be specified in such marketing agreement or order.
       ``(c) The termination or suspension of any order or 
     provision thereof, shall not be considered an order within 
     the meaning of this article and shall require no hearing, but 
     shall comply with the requirements for informal rulemaking 
     prescribed by section four of the Federal Administrative 
     Procedure Act, as amended (5 U.S.C. Sec. 553).

                       ``ARTICLE VI. ENFORCEMENT

     ``Sec. 15. Records; reports; access to premises

       ``(a) The commission may by rule and regulation prescribe 
     record keeping and reporting requirements for all regulated 
     persons. For purposes of the administration and enforcement 
     of this compact, the commission is authorized to examine the 
     books and records of any regulated person relating to his or 
     her milk business and for that purpose, the commission's 
     properly designated officers, employees, or agents shall have 
     full access during normal business hours to the premises and 
     records of all regulated persons.
       ``(b) Information furnished to or acquired by the 
     commission officers, employees, or its agents pursuant to 
     this section shall be confidential and not subject to 
     disclosure except to the extent that the commission deems 
     disclosure to be necessary in any administrative or judicial 
     proceeding involving the administration or enforcement of 
     this compact, an over-order price, a compact marketing order, 
     or other regulations of the commission. The commission may 
     promulgate regulations further defining the confidentiality 
     of information pursuant to this section. Nothing in this 
     section shall be deemed to prohibit (i) the issuance of 
     general statements based upon the reports of a number of 
     handlers, which do not identify the information furnished by 
     any person, or (ii) the publication by direction of the 
     commission of the name of any person violating any regulation 
     of the commission, together with a statement of the 
     particular provisions violated by such person.
       ``(c) No officer, employee, or agent of the commission 
     shall intentionally disclose information, by inference or 
     otherwise, which is made confidential pursuant to this 
     section. Any person violating the provisions of this section 
     shall, upon conviction, be subject to a fine of not more than 
     one thousand dollars or to imprisonment for not more than one 
     year, or to both, and shall be removed from office. The 
     commission shall refer any allegation of a violation of this 
     section to the appropriate state enforcement authority or 
     United States Attorney.

     ``Sec. 16. Subpoena; hearings and judicial review

       ``(a) The commission is hereby authorized and empowered by 
     its members and its properly designated officers to 
     administer oaths and issue subpoenas throughout all signatory 
     states to compel the attendance of witnesses and the giving 
     of testimony and the production of other evidence.
       ``(b) Any handler subject to an order may file a written 
     petition with the commission stating that any such order or 
     any provision

[[Page S8491]]

     of any such order or any obligation imposed in connection 
     therewith is not in accordance with law and praying for a 
     modification thereof or to be exempted therefrom. He shall 
     thereupon be given an opportunity for a hearing upon such 
     petition, in accordance with regulations made by the 
     commission. After such hearing, the commission shall make a 
     ruling upon the prayer of such petition which shall be final, 
     if in accordance with law.
       ``(c) The district courts of the United States in any 
     district in which such handler is an inhabitant, or has his 
     principal place of business, are hereby vested with 
     jurisdiction to review such ruling, provided a complaint for 
     that purpose is filed within thirty days from the date of the 
     entry of such ruling. Service of process in such proceedings 
     may be had upon the commission by delivering to it a copy of 
     the complaint. If the court determines that such ruling is 
     not in accordance with law, it shall remand such proceedings 
     to the commission with directions either (1) to make such 
     ruling as the court shall determine to be in accordance with 
     law, or (2) to take such further proceedings as, in its 
     opinion, the law requires. The pendency of proceedings 
     instituted pursuant to this subdivision shall not impede, 
     hinder, or delay the commission from obtaining relief 
     pursuant to section seventeen. Any proceedings brought 
     pursuant to section seventeen, except where brought by way of 
     counterclaim in proceedings instituted pursuant to this 
     section, shall abate whenever a final decree has been 
     rendered in proceedings between the same parties, and 
     covering the same subject matter, instituted pursuant to this 
     section.

     ``Sec. 17. Enforcement with respect to handlers

       ``(a) Any violation by a handler of the provisions of 
     regulations establishing an over-order price or a commission 
     marketing order, or other regulations adopted pursuant to 
     this compact shall:
       ``(1) Constitute a violation of the laws of each of the 
     signatory states. Such violation shall render the violator 
     subject to a civil penalty in an amount as may be prescribed 
     by the laws of each of the participating states, recoverable 
     in any state or federal court of competent jurisdiction. Each 
     day such violation continues shall constitute a separate 
     violation.
       ``(2) Constitute grounds for the revocation of license or 
     permit to engage in the milk business under the applicable 
     laws of the participating states.
       ``(b) With respect to handlers, the commission shall 
     enforce the provisions of this compact, regulations 
     establishing an over-order price, a commission marketing 
     order or other regulations adopted hereunder by:
       ``(1) Commencing an action for legal or equitable relief 
     brought in the name of the commission of any state or federal 
     court of competent jurisdiction; or
       ``(2) Referral to the state agency for enforcement by 
     judicial or administrative remedy with the agreement of the 
     appropriate state agency of a participating state.
       ``(c) With respect to handlers, the commission may bring an 
     action for injunction to enforce the provisions of this 
     compact or the order or regulations adopted thereunder 
     without being compelled to allege or prove that an adequate 
     remedy of law does not exist.

                         ``ARTICLE VII. FINANCE

     ``Sec. 18. Finance of start-up and regular costs

       ``(a) To provide for its start-up costs, the commission may 
     borrow money pursuant to its general power under section six, 
     subdivision (d), paragraph four. In order to finance the 
     costs of administration and enforcement of this compact, 
     including payback of start-up costs, the commission is hereby 
     empowered to collect an assessment  from each handler who 
     purchases milk from producers within the region. If 
     imposed, this assessment shall be collected on a monthly 
     basis for up to one year from the date the commission 
     convenes, in an amount not to exceed $.015 per 
     hundredweight of milk purchased from producers during the 
     period of the assessment. The initial assessment may apply 
     to the projected purchases of handlers for the two-month 
     period following the date the commission convenes. In 
     addition, if regulations establishing an over-order price 
     or a compact marketing order are adopted, they may include 
     an assessment for the specific purpose of their 
     administration. These regulations shall provide for 
     establishment of a reserve for the commission's ongoing 
     operating expenses.
       ``(b) The commission shall not pledge the credit of any 
     participating state or of the United States. Notes issued by 
     the commission and all other financial obligations incurred 
     by it, shall be its sole responsibility and no participating 
     state or the United States shall be liable therefor.

     ``Sec. 19. Audit and accounts

       ``(a) The commission shall keep accurate accounts of all 
     receipts and disbursements, which shall be subject to the 
     audit and accounting procedures established under its rules. 
     In addition, all receipts and disbursements of funds handled 
     by the commission shall be audited yearly by a qualified 
     public accountant and the report of the audit shall be 
     included in and become part of the annual report of the 
     commission.
       ``(b) The accounts of the commission shall be open at any 
     reasonable time for inspection by duly constituted officers 
     of the participating states and by any persons authorized by 
     the commission.
       ``(c) Nothing contained in this article shall be construed 
     to prevent commission compliance with laws relating to audit 
     or inspection of accounts by or on behalf of any 
     participating state or of the United States.

  ``ARTICLE VIII. ENTRY INTO FORCE; ADDITIONAL MEMBERS AND WITHDRAWAL

     ``Sec. 20. Entry into force; additional members

       ``The compact shall enter into force effective when enacted 
     into law by any three states of the group of states composed 
     of Alabama, Arkansas, Florida, Georgia, Kentucky, Louisiana, 
     Maryland, Mississippi, North Carolina, Oklahoma, South 
     Carolina, Tennessee, Texas, Virginia and West Virginia and 
     when the consent of Congress has been obtained.

     ``Sec. 21. Withdrawal from compact

       ``Any participating state may withdraw from this compact by 
     enacting a statute repealing the same, but no such withdrawal 
     shall take effect until one year after notice in writing of 
     the withdrawal is given to the commission and the governors 
     of all other participating states. No withdrawal shall affect 
     any liability already incurred by or chargeable to a 
     participating state prior to the time of such withdrawal.

     ``Sec. 22. Severability

       ``If any part or provision of this compact is adjudged 
     invalid by any court, such judgment shall be confined in its 
     operation to the part or provision directly involved in the 
     controversy in which such judgment shall have been rendered 
     and shall not affect or impair the validity of the remainder 
     of this compact. In the event Congress consents to this 
     compact subject to conditions, said conditions shall not 
     impair the validity of this compact when said conditions are 
     accepted by three or more compacting states. A compacting 
     state may accept the conditions of Congress by implementation 
     of this compact.''.

     SEC. 703. PACIFIC NORTHWEST DAIRY COMPACT.

       Congress consents to a Pacific Northwest Dairy Compact 
     proposed for the States of California, Oregon, and 
     Washington, subject to the following conditions:
       (1) Text.--The text of the Pacific Northwest Dairy Compact 
     shall be identical to the text of the Southern Dairy Compact, 
     except as follows:
       (A) References to ``south'', ``southern'', and ``Southern'' 
     shall be changed to ``Pacific Northwest''.
       (B) In section 9(b), the reference to ``Atlanta, Georgia'' 
     shall be changed to ``Seattle, Washington''.
       (C) In section 20, the reference to ``any three'' and all 
     that follows shall be changed to ``California, Oregon, and 
     Washington.''.
       (2) Limitation of manufacturing price regulation.--The 
     Dairy Compact Commission established to administer the 
     Pacific Northwest Dairy Compact (referred to in this section 
     as the ``Commission'') may not regulate Class II, Class III, 
     or Class IV milk used for manufacturing purposes or any other 
     milk, other than Class I, or fluid milk, as defined by a 
     Federal milk marketing order issued under section 8c of the 
     Agricultural Adjustment Act (7 U.S.C. 608c), reenacted with 
     amendments by the Agricultural Marketing Act of 1937 
     (referred to in this section as a ``Federal milk marketing 
     order'').
       (3) Effective date.--Congressional consent under this 
     section takes effect on the date (not later than 3 year after 
     the date of enactment of this Act) on which the Pacific 
     Northwest Dairy Compact is entered into by the second of the 
     3 States specified in the matter preceding paragraph (1).
       (4) Compensation of commodity credit corporation.--Before 
     the end of each fiscal year in which a price regulation is in 
     effect under the Pacific Northwest Dairy Compact, the 
     Commission shall compensate the Commodity Credit Corporation 
     for the cost of any purchases of milk and milk products by 
     the Corporation that result from the operation of the Compact 
     price regulation during the fiscal year, as determined by the 
     Secretary (in consultation with the Commission) using notice 
     and comment procedures provided in section 553 of title 5, 
     United States Code.
       (5) Milk marketing order administrator.--At the request of 
     the Commission, the Administrator of the applicable Federal 
     milk marketing order shall provide technical assistance to 
     the Commission and be compensated for that assistance.

     SEC. 704. INTERMOUNTAIN DAIRY COMPACT.

       Congress consents to an Intermountain Dairy Compact 
     proposed for the States of Colorado, Nevada, and Utah, 
     subject to the following conditions:
       (1) Text.--The text of the Intermountain Dairy Compact 
     shall be identical to the text of the Southern Dairy Compact, 
     except as follows:
       (A) In section 1, the references to ``southern'' and 
     ``south'' shall be changed to ``Intermountain'' and 
     ``Intermountain region'', respectively.
       (B) References to ``Southern'' shall be changed to 
     ``Intermountain ''.
       (C) In section 9(b), the reference to ``Atlanta, Georgia'' 
     shall be changed to ``Salt Lake City, Utah''.
       (D) In section 20, the reference to ``any three'' and all 
     that follows shall be changed to ``Colorado, Nevada, and 
     Utah.''.
       (2) Limitation of manufacturing price regulation.--The 
     Dairy Compact Commission established to administer the 
     Intermountain Dairy Compact (referred to in this

[[Page S8492]]

     section as the ``Commission'') may not regulate Class II, 
     Class III, or Class IV milk used for manufacturing purposes 
     or any other milk, other than Class I, or fluid milk, as 
     defined by a Federal milk marketing order issued under 
     section 8c of the Agricultural Adjustment Act (7 U.S.C. 
     608c), reenacted with amendments by the Agricultural 
     Marketing Act of 1937 (referred to in this section as a 
     ``Federal milk marketing order'').
       (3) Effective date.--Congressional consent under this 
     section takes effect on the date (not later than 3 year after 
     the date of enactment of this Act) on which the Intermountain 
     Dairy Compact is entered into by the second of the 3 States 
     specified in the matter preceding paragraph (1).
       (4) Compensation of commodity credit corporation.--Before 
     the end of each fiscal year in which a price regulation is in 
     effect under the Intermountain Dairy Compact, the Commission 
     shall compensate the Commodity Credit Corporation for the 
     cost of any purchases of milk and milk products by the 
     Corporation that result from the operation of the Compact 
     price regulation during the fiscal year, as determined by the 
     Secretary (in consultation with the Commission) using notice 
     and comment procedures provided in section 553 of title 5, 
     United States Code.
       (5) Milk marketing order administrator.--At the request of 
     the Commission, the Administrator of the applicable Federal 
     milk marketing order shall provide technical assistance to 
     the Commission and be compensated for that assistance.
                                  ____

  SA 1192. Mr. SMITH of Oregon submitted an amendment intended to be 
proposed by him to the bill S. 1246, to respond to the continuing 
economic crisis adversely affecting American agricultural producers; 
which was ordered to lie on the table, as follows:

       In Title I, Section 108(b), strike ``particularly 
     agricultural production in the Northeast and Mid-Atlantic 
     States.''
                                  ____

  SA 1193. Mr. SMITH of Oregon submitted an amendment intended to be 
proposed by him to the bill S. 1246, to respond to the continuing 
economic crisis adversely affecting American agricultural producers; 
which was ordered to lie on the table; as follows:

       In Title IV, Section 401(a)(3)(A), strike ``or energy 
     emergency'' and insert ``energy emergency or major disaster 
     caused by direct federal action.''
                                  ____

  SA 1194. Mr. GREGG submitted an amendment intended to be proposed by 
him to the bill S. 1246, to respond to the continuing economic crisis 
adversely affecting American agricultural producers; which was ordered 
to lie on the table; as follows:

       In the appropriate place insert the following:

     SEC. 13. OMB CERTIFICATION THAT LEGISLATION WILL NOT AFFECT 
                   MEDICARE PART A TRUST FUND SURPLUS.

       The Secretary may not release the funds to carry out this 
     Act or an amendment made by this Act unless the Director of 
     the Office of Management and Budget certifies that this Act 
     and the amendments made by this Act, when taken together with 
     all other previously-enacted legislation, would not reduce 
     the on-budget surplus for fiscal year 2001 below the level of 
     the Federal Hospital Insurance Trust Fund surplus for the 
     fiscal year.
                                  ____

  SA 1195. Ms. SNOWE (for herself and Mrs. Feinstein) submitted an 
amendment intended to be proposed by her to the bill S. 1246, to 
respond to the continuing economic crisis adversely affecting American 
agricultural producers; which was ordered to lie on the table; as 
follows:

       On page 47, between lines 2 and 3, insert the following:

     SEC. 7  . CORPORATE AVERAGE FUEL ECONOMY STANDARDS.

       Section 320 of the Department of Transportation and Related 
     Agencies Appropriations Act, 2001 (114 Stat. 1356, 1356A-28), 
     is repealed.
                                  ____

  SA 1196. Mr. GREGG submitted an amendment intended to be proposed by 
him to the bill S. 1246, to respond to the continuing economic crisis 
adversely affecting American agricultural producers; which was ordered 
to lie on the table; as follows:

       On page 7, strike the entire following section:

     ``SEC. 103. PEANUTS.''
                                  ____


  SA 1197. Mr. GREGG submitted an amendment intended to be proposed by 
him to the bill S. 1246, to respond to the continuing economic crisis 
adversely affecting American agricultural producers; which was ordered 
to lie on the table; as follows:

       On page 7 and 8, strike the entire following section:

     ``SEC. 104. SUGAR.''
                                  ____


  SA 1198. Mr. GREGG submitted an amendment intended to be proposed by 
him to the bill S. 1246, to respond to the continuing economic crisis 
adversely affecting American agricultural producers; which was ordered 
to lie on the table; as follows:

       On page 13 through 19, strike the entire following section:

     ``SEC. 112. TOBACCO.''
                                  ____


  SA 1199. Mr. GREGG submitted an amendment intended to be proposed by 
him to the bill S. 1246, to respond to the continuing economic crisis 
adversely affecting American agricultural producers; which was ordered 
to lie on the table; as follows:

       On page 47, between lines 3 and 4, insert the following:

     SEC. 801. LIMITATIONS.

       (a) Income Limitation.--Notwithstanding any other provision 
     of this Act, a person that has qualifying gross revenues (as 
     defined in section 196(i)(1) of the Agricultural Market 
     Transition Act (7 U.S.C. 7333(i)(1))) in excess of $2,000,000 
     during a taxable year (as determined by the Secretary) shall 
     not be eligible to receive a payment, loan, or other 
     assistance under this Act.
       (b) Active Farmers.--Notwithstanding any other provision of 
     this Act, to be eligible for a payment, loan, or other 
     assistance under this Act with respect to a particular 
     farming operation, an individual of the farming operation 
     must be actively engaged in farming with respect to the 
     operation, as provided in paragraphs (2) through (6) of 
     section 1001A(b) of the Food Security Act of 1985 (7 U.S.C. 
     1308-1(b)).
                                  ____

  SA 1200. Mr. FITZGERALD submitted an amendment intended to be 
proposed by him to the bill S. 1246, to respond to the continuing 
economic crisis adversely affecting American agricultural producers; 
which was ordered to lie on the table; as follows:

       On page 47, between lines 2 and 3, insert the following:

     SEC. 703. BIENNIAL REPORTS ON RELATIVE PRICES OF FARM INPUTS.

       Subtitle A of the Agricultural Marketing Act of 1946 (7 
     U.S.C. 1621 et seq.) is amended by adding at the end the 
     following:

     ``SEC. 209. BIENNIAL REPORTS ON RELATIVE PRICES OF FARM 
                   INPUTS.

       ``Not later than 180 days after the date of enactment of 
     this section, and biennially thereafter, the Secretary of 
     Agriculture shall submit to the Committee on Agriculture of 
     the House of Representatives and the Committee on 
     Agriculture, Nutrition, and Forestry of the Senate a report 
     on--
       ``(1) the prices of farm inputs paid by agricultural 
     producers in countries that compete with United States 
     agricultural producers, as compared with the prices paid by 
     United States agricultural producers; and
       ``(2) the effect of any differences in those prices on 
     United States agricultural competitiveness and 
     profitability.''.
                                  ____

  SA 1201. Mr. FITZGERALD submitted an amendment intended to be 
proposed by him to the bill S. 1246, to respond to the continuing 
economic crisis adversely affecting American agricultural producers; 
which was ordered to lie on the table; as follows:

       On page 47, between lines 2 and 3, insert the following:

     SEC. 703. BIOBASED, BIODEGRADABLE CLEANERS AND SOLVENTS.

       In carrying out this Act and other provisions of law, the 
     Secretary shall purchase cleaners and solvents that are 
     biobased and biodegradable unless such cleaners and solvents 
     are not available at a cost that is not more than the cost 
     of, and of a quality that is not less than, cleaners or 
     solvents that are not biobased or biodegradable.
                                  ____

  SA 1202. Mr. FITZGERALD submitted an amendment intended to be 
proposed by him to the bill S. 1246, to respond to the continuing 
economic crisis adversely affecting American agricultural producers, 
which was ordered to lie on the table, as follows:

       Beginning on page 37, strike line 15 and all that follows 
     through page 42, line 5.
                                  ____

  SA 1203. Mr. FITZGERALD submitted an amendment intended to be 
proposed by him to the bill S. 1246, to respond to the continuing 
economic crisis adversely affecting American agricultural producers; 
which was ordered to lie on the table; as follows:

       Beginning on page 26, strike line 3 and all that follows 
     through page 27, line 17.
                                  ____

  SA 1204. Mr. FITZGERALD submitted an amendment intended to be 
proposed by him to the bill S. 1246, to respond to the continuing 
economic crisis adversely affecting American agricultural producers; 
which was ordered to lie on the table; as follows:

       Beginning on page 7, strike line 11 and all that follows 
     through page 8, line 16, and insert the following:

     SEC. 104. SUGAR.

       Section 156(f) of the Agricultural Market Transition Act (7 
     U.S.C. 7272(f)) shall not

[[Page S8493]]

     apply with respect to the 2001 crop of sugarcane and sugar 
     beets.
                                  ____

  SA 1205. Mr. FITZGERALD submitted an amendment intended to be 
proposed by him to the bill S. 1246, to respond to the continuing 
economic crisis adversely affecting American agricultural producers; 
which was ordered to lie on the table; as follows:

       On page 47, between lines 2 and 3, insert the following:

     SEC. 703. REPORT ON EFFECT OF HIGH ENERGY AND FERTILIZER 
                   PRICES.

       Not later than 180 days after the date of enactment of this 
     Act, the Secretary of Agriculture shall submit to the 
     Committee on Agriculture of the House of Representatives and 
     the Committee on Agriculture, Nutrition, and Forestry of the 
     Senate a report on the effect of high energy and fertilizer 
     prices on farm income and the cost of production of 
     agricultural commodities.
                                  ____

  SA 1206. Mr. FITZGERALD submitted an amendment intended to be 
proposed by him to the bill S. 1246, to respond to the continuing 
economic crisis adversely affecting American agricultural producers; 
which was ordered to lie on the table; as follows:

       On page 46, strike lines 2 through 21 and insert the 
     following:

     SEC. 701. RESEARCH ON HUMANE ALTERNATIVES TO FORCED MOLTING 
                   FOR EGG PRODUCTION.

       The Secretary shall use $3,500,000 of funds of the 
     Commodity Credit Corporation to provide grants to conduct 
     research on humane alternatives to the production of eggs 
     using forced molting.
                                  ____

  SA 1207. Mr. FITZGERALD submitted an amendment intended to be 
proposed by him to the bill S. 1246, to respond to the continuing 
economic crisis adversely affecting American agricultural producers; 
which was ordered to lie on the table; as follows:

       On page 37, strike lines 6 through 14 and insert the 
     following:

     SEC. 501. RESEARCH ON HUMANE ALTERNATIVES TO FORCED MOLTING 
                   FOR EGG PRODUCTION.

       The Secretary shall use $3,000,000 of funds of the 
     Commodity Credit Corporation to provide grants to conduct 
     research on humane alternatives to the production of eggs 
     using forced molting.
                                  ____

  SA 1208. Mr. FITZGERALD submitted an amendment intended to be 
proposed by him to the bill S. 1246, to respond to the continuing 
economic crisis adversely affecting American agricultural producers; 
which was ordered to lie on the table; as follows:

       On page 22, strike lines 13 through 25.
                                  ____

  SA 1209. Mr. VOINOVICH submitted an amendment intended to be proposed 
by him to the bill S. 1246, to respond to the continuing economic 
crisis adversely affecting American agricultural producers; as follows:

       At the appropriate place, insert the following:

     SEC. __. PROTECT SOCIAL SECURITY SURPLUSES ACT OF 2001.

       (a) Short Title.--This section may be cited as the 
     ``Protect Social Security Surpluses Act of 2001''.
       (b) Revision of Enforcing Deficit Targets.--Section 253 of 
     the Balanced Budget and Emergency Deficit Control Act of 1985 
     (2 U.S.C. 903) is amended--
       (1) by striking subsection (b) and inserting the following:
       ``(b) Excess Deficit; Margin.--The excess deficit is, if 
     greater than zero, the estimated deficit for the budget year, 
     minus the margin for that year. In this subsection, the 
     margin for each fiscal year is 0.5 percent of estimated total 
     outlays for that fiscal year.'';
       (2) by striking subsection (c) and inserting the following:
       ``(c) Eliminating Excess Deficit.--Each non-exempt account 
     shall be reduced by a dollar amount calculated by multiplying 
     the baseline level of sequesterable budgetary resources in 
     that account at that time by the uniform percentage necessary 
     to eliminate an excess deficit.''; and
       (3) by striking subsections (g) and (h).
       (c) Medicare Exempt.--The Balanced Budget and Emergency 
     Deficit Control Act of 1985 is amended--
       (1) in section 253(e)(3)(A), by striking clause (i); and
       (2) in section 256, by striking subsection (d).
       (d) Economic and Technical Assumptions.--Notwithstanding 
     section 254(j) of the Balanced Budget and Emergency Deficit 
     Control Act of 1985 (2 U.S.C. 904(j)), the Office of 
     Management and Budget shall use the economic and technical 
     assumptions underlying the report issued pursuant to section 
     1106 of title 31, United States Code, for purposes of 
     determining the excess deficit under section 253(b) of the 
     Balanced Budget and Emergency Deficit Control Act of 1985, as 
     added by subsection (b).
       (e) Application of Sequestration to Budget Accounts.--
     Section 256(k) of the Balanced Budget and Emergency Deficit 
     Control Act of 1985 (2 U.S.C. 906(k)) is amended by--
       (1) striking paragraph (2); and
       (2) redesignating paragraphs (3) through (6) as paragraphs 
     (2) through (5), respectively.
       (f) Strengthening Social Security Points of Order..--
       (1) In general.--Section 312 of the Congressional Budget 
     Act of 1974 (2 U.S.C. 643) is amended by inserting at the end 
     the following:
       ``(g) Strengthening Social Security Point of Order.--It 
     shall not be in order in the House of Representatives or the 
     Senate to consider a concurrent resolution on the budget (or 
     any amendment thereto or conference report thereon) or any 
     bill, joint resolution, amendment, motion, or conference 
     report that would violate or amend section 13301 of the 
     Budget Enforcement Act of 1990.''.
       (2) Super majority requirement.--
       (A) Point of order.--Section 904(c)(1) of the Congressional 
     Budget Act of 1974 is amended by inserting ``312(g),'' after 
     ``310(d)(2),''.
       (B) Waiver.--Section 904(d)(2) of the Congressional Budget 
     Act of 1974 is amended by inserting ``312(g),'' after 
     ``310(d)(2),''.
       (3) Enforcement in each fiscal year.--The Congressional 
     Budget Act of 1974 is amended in--
       (A) section 301(a)(7) (2 U.S.C. 632(a)(7)), by striking 
     ``for the fiscal year'' through the period and inserting 
     ``for each fiscal year covered by the resolution''; and
       (B) section 311(a)(3) (2 U.S.C. 642(a)(3)), by striking 
     beginning with ``for the first fiscal year'' through the 
     period and insert the following: ``for any of the fiscal 
     years covered by the concurrent resolution.''.
       (g) Effective Date.--This section and the amendments made 
     by this section shall apply to fiscal years 2002 through 
     2006.
                                  ____

  SA 1210. Mr. AKAKA (for himself, Mr. Graham, Mr. Smith of New 
Hampshire, Mr. Cleland, Mr. Schumer, Mr. Durbin, Mr. Levin, and Mrs. 
Feinstein) submitted an amendment intended to be proposed by him to the 
bill S. 1246, to respond to the continuing economic crisis adversely 
affecting American agricultural producers; which was ordered to lie on 
the table; as follows:

       At the end of title VII, add the following:

     SEC. 7__. UNLAWFUL STOCKYARD PRACTICES INVOLVING 
                   NONAMBULATORY LIVESTOCK.

       (a) In General.--Title III of the Packers and Stockyards 
     Act, 1921, (7 U.S.C. 201 et seq.) is amended by adding at the 
     end the following:

     ``SEC. 318. UNLAWFUL STOCKYARD PRACTICES INVOLVING 
                   NONAMBULATORY LIVESTOCK.

       ``(a) Definitions.--In this section:
       ``(1) Humanely euthanize.--The term `humanely euthanize' 
     means to kill an animal by mechanical, chemical, or other 
     means that immediately render the animal unconscious, with 
     this state remaining until the animal's death.
       ``(2) Nonambulatory livestock.--The term `nonambulatory 
     livestock' means any livestock that is unable to stand and 
     walk unassisted.
       ``(b) Unlawful Practices.--It shall be unlawful for any 
     stockyard owner, market agency, or dealer to buy, sell, give, 
     receive, transfer, market, hold, or drag any nonambulatory 
     livestock unless the nonambulatory livestock has been 
     humanely euthanized.''.
       (b) Effective Date.--
       (1) In general.--The amendment made by subsection (a) takes 
     effect 1 year after the date of enactment of this Act.
       (2) Regulations.--Not later than 1 year after the date of 
     enactment of this Act, the Secretary shall promulgate 
     regulations to carry out the amendment.
                                  ____

  SA 1211. Mr. McCAIN submitted an amendment intended to be proposed by 
him to the bill S. 1246, to respond to the continuing economic crisis 
adversely affecting American agricultural producers; which was ordered 
to lie on the table; as follows:

       On page 47, between lines 3 and 4, insert the following:

     SEC. 801. INCOME LIMITATION.

       Notwithstanding any other provision of this Act, a person 
     that has qualifying gross revenues (as defined in section 
     196(i)(1) of the Agricultural Market Transition Act (7 U.S.C. 
     7333(i)(1))) dervied from for-profit farming, ranching, and 
     forestry operations in excess of $1,000,000 during a taxable 
     year (as determined by the Secretary) shall not be eligible 
     to receive a payment, loan, or other assistance under this 
     Act.
                                  ____

  SA 1212. Mr. LUGAR proposed an amendment to the bill S. 1246, to 
respond to the continuing economic crisis adversely affecting American 
agricultural producers; as follows:

       Strike everything after the enacting clause and insert the 
     following:

     SECTION 1. MARKET LOSS ASSISTANCE.

       (a) Assistance Authorized.--The Secretary of Agriculture 
     (referred to in this Act as the ``Secretary'') shall, to the 
     maximum extent practicable, use $4,622,240,000 of funds of 
     the Commodity Credit Corporation to make a market loss 
     assistance payment to owners and producers on a farm that are 
     eligible for a final payment for fiscal year 2001 under a 
     production flexibility contract for the farm under the 
     Agriculture Market Transition Act (7 U.S.C. 7201 et seq.).

[[Page S8494]]

       (b) Amount.--The amount of assistance made available to 
     owners and producers on a farm under this section shall be 
     proportionate to the amount of the total contract payments 
     received by the owners and producers for fiscal year 2001 
     under a production flexibility contract for the farm under 
     the Agricultural Market Transition Act.

     SEC. 2. SUPPLEMENTAL OILSEEDS PAYMENT.

       The Secretary shall use $423,510,000 of funds of the 
     Commodity Credit Corporation to make a supplemental payment 
     under section 202 of the Agricultural Risk Protection Act of 
     2000 (Public Law 106-224; 7 U.S.C. 1421 note) to producers of 
     the 2000 crop of oilseeds that previously received a payment 
     under such section.

     SEC. 3. SUPPLEMENTAL PEANUT PAYMENT.

       The Secretary shall use $54,210,000 of funds of the 
     Commodity Credit Corporation to provide a supplemental 
     payment under section 204(a) of the Agricultural Risk 
     Protection Act of 2000 (Public Law 106-224; 7 U.S.C. 1421 
     note) to producers of quota peanuts or additional peanuts for 
     the 2000 crop year that previously received a payment under 
     such section. The Secretary shall adjust the payment rate 
     specified in such section to reflect the amount made 
     available for payments under this section.

     SEC. 4. SUPPLEMENTAL TOBACCO PAYMENT.

       (a) Supplemental Payment.--The Secretary shall sue 
     $129,000,000 of funds of the Commodity Credit Corporation to 
     provide a supplemental payment under section 204(b) of the 
     Agricultural Risk Protection Act of 2000 (Public Law 106-224; 
     7 U.S.C. 1421 note) to eligible persons (as defined in such 
     section) that previously received a payment under such 
     section.
       (b) Special Rule for Georgia.--The Secretary may make 
     payments under this section to eligible persons in Georgia 
     only if the State of Georgia agrees to use the sum of 
     $13,000,000 to make payments at the same time, or 
     subsequently, to the same persons in the same manner as 
     provided for the Federal payments under this section, as 
     required by section 204(b)(6) of the Agricultural Risk 
     Protection Act of 2000.

     SEC. 5. SUPPLEMENTAL WOOL AND MOHAIR PAYMENT.

       The Secretary shall use $16,940,000 of funds of the 
     Commodity Credit Corporation to provide a supplemental 
     payment under section 814 of the Agriculture, Rural 
     Development, Food and Drug Administration, and Related 
     Agencies Appropriations Act, 2001 (as enacted by Public Law 
     106-387), to producers of wool, and producers of mohair, for 
     the 2000 marketing year that previously received a payment 
     under such section. The Secretary shall adjust the payment 
     rate specified in such section to reflect the amount made 
     available for payments under this section.

     SEC. 6. SUPPLEMENTAL COTTONSEED ASSISTANCE.

       The Secretary shall use $84,700,000 of funds of the 
     Commodity Credit Corporation to provide supplemental 
     assistance under section 204(e) of the Agricultural Risk 
     Protection Act of 2000 (Public Law 106-224; 7 U.S.C. 1421 
     note) to producers and first-handlers of the 2000 crop of 
     cottonseed that previously received assistance under such 
     section.

     SEC. 7. SPECIALTY CROPS.

       (a) Base State Grants.--The Secretary shall use $26,000,000 
     of funds of the Commodity Credit Corporation to make grants 
     to the several States and the Commonwealth of Puerto Rico to 
     be used to support activities that promote agriculture. The 
     amount of the grant shall be--
       (1) $500,000,000 to each of the several States; and
       (2) $1,000,000 to the Commonwealth of Puerto Rico.
       (b) Grants for Value of Production.--The Secretary shall 
     use $133,400,000 of funds of the Commodity Credit Corporation 
     to make a grant to each of the several States in an amount 
     that represents the proportion of the value of specialty crop 
     production in the State in relation to the national value of 
     specialty crop production, as follows:
       (1) California, $63,320,000.
       (2) Florida, $16,860,000.
       (3) Washington, $9,610,000.
       (4) Idaho, $3,670,000.
       (5) Arizona, $3,430,000.
       (6) Michigan, $3,250,000.
       (7) Oregon, $3,220,000.
       (8) Georgia, $2,730,000.
       (9) Texas, $2,660,000.
       (10) New York, $2,660,000.
       (11) Wisconsin, $2,570,000.
       (12) North Carolina, $1,540,000.
       (13) Colorado, $1,510,000.
       (14) North Dakota, $1,380,000.
       (15) Minnesota, $1,320,000.
       (16) Hawaii, $1,150,000.
       (17) New Jersey, $1,100,000.
       (18) Pennsylvania, $980,000.
       (19) New Mexico, $900,000.
       (20) Maine, $880,000.
       (21) Ohio, $800,000.
       (22) Indiana, $660,000.
       (23) Nebraska, $640,000.
       (24) Massachusetts, $640,000.
       (25) Virginia, $620,000.
       (26) Maryland, $500,000.
       (27) Louisiana, $460,000.
       (28) South Carolina, $440,000.
       (29) Tennessee, $400,000.
       (30) Illinois, $400,000.
       (31) Oklahoma, $390,000.
       (32) Alabama, $300,000.
       (33) Delaware, $290,000.
       (34) Mississippi, $250,000.
       (35) Kansas, $210,000.
       (36) Arkansas, $210,000.
       (37) Missouri, $210,000.
       (38) Connecticut, $180,000.
       (39) Utah, $140,000.
       (40) Montana, $140,000.
       (41) New Hampshire, $120,000.
       (42) Nevada, $120,000.
       (43) Vermont, $120,000.
       (44) Iowa, $100,000.
       (45) West Virginia, $90,000.
       (46) Wyoming, $70,000.
       (47) Kentucky, $60,000.
       (48) South Dakota, $40,000.
       (49) Rhode Island, $40,000.
       (50) Alaska, $20,000.
       (c) Specialty Crop Priority.--As a condition on the receipt 
     of a grant under this section, a State shall agree to give 
     priority to the support of specialty crops in the use of the 
     grant funds.
       (d) Specialty Crop Defined.--In this section, the term 
     `specialty crop' means any agricultural crop, except wheat, 
     feed grains, oilseeds, cotton, rice, peanuts, and tobacco.

     SEC. 8. COMMODITY ASSISTANCE PROGRAM.

       The Secretary shall use $10,000,000 of funds of the 
     Commodity Credit Corporation to make a grant to each of the 
     several States to be used by the States to cover direct and 
     indirect costs related to the processing, transportation, and 
     distribution of commodities to eligible recipient agencies. 
     The grants shall be allocated to States in the manner 
     provided under section 204(a) of the Emergency Food 
     Assistance Act of 1983 (7 U.S.C. 7508(a)).

     SEC. 9. TECHNICAL CORRECTION REGARDING INDEMNITY PAYMENTS FOR 
                   COTTON PRODUCERS.

       (a) Conditions on Payment to State.--Subsection (b) of 
     section 1121 of the Agriculture, Rural Development, Food and 
     Drug Administration, and Related Agencies Appropriations Act, 
     1999 (as contained in section 101(a) of division A of Public 
     Law 105-277 (7 U.S.C. 1421 note), and as amended by section 
     754 of the Agriculture, Rural development, Food and Drug 
     Administration, and Related Agencies Appropriations Act, 2001 
     (as enacted by Public Law 106-387; 114 Stat. 1549A-42), is 
     amended to read as follows:
       ``(b) Conditions on Payment to State.--The Secretary of 
     Agriculture shall make the payment to the State of Georgia 
     under subsection (a) only if the State--
       ``(1) contributes $5,000,000 to the indemnity fund and 
     agrees to expend all amounts in the indemnity fund by not 
     later than January 1, 2002 (or as soon as administratively 
     practical thereafter), to provide compensation to cotton 
     producers as provided in such subsection;
       ``(2) requires the recipient of a payment from the 
     indemnity fund to repay the State, for deposit in the 
     indemnity fund, the amount of any duplicate payment the 
     recipient otherwise recovers for such loss of cotton, or the 
     loss of proceeds from the sale of cotton, up to the amount of 
     the payment from the indemnity fund; and
       ``(3) agrees to deposit in the indemnity fund the proceeds 
     of any bond collected by the State for the benefit of 
     recipients of payments from the indemnity fund, to the extent 
     of such payments''.
       (b) Additional Disbursements From the Indemnity Fund.--
     Subsection (d) of such section is amended to read as follows:
       ``(d) Additional Disbursement to Cotton Ginners.--The State 
     of Georgia shall use funds remaining in the indemnity fund, 
     after the provision of compensation to cotton producers in 
     Georgia under subsection (a) (including cotton producers who 
     file a contingent claim, as defined and provided in section 
     51 of chapter 19 of title 2 of the Official Code of Georgia), 
     to compensate cotton ginners (as defined as provided in such 
     section) that--
       ``(1) Incurred a loss as the result of--
       ``(A) the business failure of any cotton buyer doing 
     business in Georgia; or
       ``(B) the failure or refusal of any such cotton buyer to 
     pay the contracted price that had been agreed upon by the 
     ginner and the buyer for cotton grown in Georgia on or after 
     January 1, 1997, and had been purchased or contracted by the 
     ginner from cotton producers in Georgia;
       ``(2) paid cotton producers the amount which the cotton 
     ginner had agreed to pay for such cotton received from such 
     cotton producers in Georgia; and
       ``(3) satisfy the procedural requirements and deadlines 
     specified in chapter 19 of title 2 of the Official Code of 
     Georgia applicable to cotton ginner claims.''.
       (c) Conforming Amendment.--Subsection (c) of such section 
     is amended by striking ``Upon the establishment of the 
     indemnity fund, and not later than October 1, 1999, the'' and 
     inserting ``The''.

     SEC. 10. INCREASE IN PAYMENT LIMITATIONS REGARDING LOCAL 
                   DEFICIENCY PAYMENTS AND MARKETING LOAN GAINS.

       Notwithstanding section 1001(2) of the Food Security Act of 
     1985 (7 U.S.C. 1308(1)), the total amount of the payments 
     specified in section 1001(3) of that Act that a person shall 
     be entitled to receive for one on more contract commodities 
     and oilseeds under the Agricultural Market Transition Act (7 
     U.S.C. 7201 et seq.) during the 2001 crop year may not exceed 
     $150,000.

     SEC. 11. TIMING OF, AND LIMITATION ON, EXPENDITURES.

       (a) Deadline for Expenditures.--All expenditures required 
     by this Act shall be made not later than September 30, 2001. 
     Any funds made available by this Act and remaining unexpended 
     by October 1, 2001, shall be deemed to be unexpendable, and 
     the authority provided by this Act to expend such funds is 
     rescinded effective on that date.

[[Page S8495]]

       (b) Total Amount of Expenditures.-- The total amount 
     expended under this Act may not exceed $5,500,000,000. If the 
     payments required by this Act would result in expenditures in 
     excess of such amount, the Secretary shall reduce such 
     payments on a pro rata basis as necessary to ensure that such 
     expenditures do not exceed such amount.

     SEC. 12. REGULATIONS.

       (a) Promulgation.--As soon as practicable after the date of 
     the enactment of this Act, the Secretary and the Commodity 
     Credit Corporation, as appropriate, shall promulgate such 
     regulations as are necessary to implement this Act and the 
     amendments made by this Act. The promulgation of the 
     regulations and administration of this Act shall be made 
     without regard to--
       (1) the notice and comment provisions of section 553 of 
     title 5, United States Code;
       (2) the Statement of Policy of the Secretary of Agriculture 
     effective July 24, 1971 (36 Fed. Reg. 13804), relating to 
     notices of proposed rulemaking and public participation in 
     rulemaking; and
       (3) chapter 35 of title 44, United States Code (commonly 
     known as the ``Paperwork Reduction Act'').
       (b) Congressional Review of Agency Rulemaking.--In carrying 
     out this section, the Secretary shall use the authority 
     provided under section 808 of title 5, United States Code.
       (c) This section shall be effective one day after 
     enactment.

     

                          ____________________