[Congressional Record Volume 147, Number 134 (Tuesday, October 9, 2001)]
[Senate]
[Pages S10395-S10396]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
By Mr. HARKIN (for himself, Mr. Lugar, Mr. Kerry, Mr. Crapo, Mr.
McConnell, Mr. Helms, Mr. Dayton, Mr. Leahy, Mr. Hutchinson,
Mr. Miller, Mrs. Lincoln, Mr. Baucus, Mr. Roberts, Mr. Conrad,
and Mr. Nelson of Nebraska):
S. 1519. A bill to amend the Consolidated Farm and Rural Development
Act to provide farm credit assistance for activated reservists; to the
Committee on Agriculture, Nutrition, and Forestry.
Mr. HARKIN. Madam President, I am proud to be joined by Senators
Lugar, Kerry, Crapo, McConnell, Helms, Dayton, Leahy, Hutchinson,
Miller, Lincoln, Baucus, Roberts, Conrad, and Nelson today as we
introduce legislation in support of those men and women who voluntarily
leave their communities, leave their jobs, and leave their families to
serve our country. In the past few weeks, thousands of men and women
have been called to duty as reservists and members of the National
Guard. Many of these people have volunteered to leave their farms to
respond to the call. Some of these people borrow money from the USDA to
sustain their farms. Because these reservists and members of the
National Guard have been called up, they may find it difficult to
continue to meet the terms of these loans. The bill offered today would
alleviate some of the financial stress caused by the activation.
The bill directs the USDA to use its lending authority to minimize
the financial impact of a reservist being activated. The Secretary of
Agriculture is directed to take actions to help keep the farm of an
activated reservist in operation, including deferring scheduled
payments, reducing interest rates, reamortizing or consolidating loans,
or taking other restructuring actions. The bill also provides the USDA
new authority to provide emergency loan assistance to farms financially
injured because of the activation of a reservist.
I thank Senator Kerry for this idea. He introduced legislation in
1999, of which I was a cosponsor, that provided similar relief to
borrowers from the Small Business Administration who are called up.
Just as small businesses can be greatly affected by the absence of one
person, farms many times rely entirely on the labor and ingenuity of
just one or two key people.
At this time, when these men and women are sacrificing so much, the
least we can do is alleviate the financial strain at home caused by
their willingness to serve. By enacting this modest measure, we can
help lift worries about the farm at home from the minds of the
individuals and families directly affected by activation.
Madam President, I ask unanimous consent that the bill be printed in
the Record.
There being no objection, the bill was ordered to be printed in the
Record, as follows:
S. 1519
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. FARM CREDIT ASSISTANCE FOR ACTIVATED RESERVISTS.
Subtitle D of the Consolidated Farm and Rural Development
Act (7 U.S.C. 1981 et seq.) is amended by adding at the end
the following:
``SEC. 376. FARM CREDIT ASSISTANCE FOR ACTIVATED RESERVISTS.
``(a) Definitions.--In this section:
``(1) Activated reservist.--The term `activated reservist'
means--
``(A) a member of a reserve component of any of the Armed
Forces of the United States who is serving on active duty in
support of a contingency operation (as defined in section
101(a)(13) of title 10, United States Code) pursuant to a
call or order issued on or after September 11, 2001, under a
provision of law referred to in subparagraph (B) of that
section; and
``(B) a member of the National Guard of a State not in
Federal service who is ordered to duty under the laws of the
State in support of any operation to protect persons or
property from an act of terrorism or a threat of attack by a
hostile force during the period of a national emergency
declared by the President or Congress on or after September
11, 2001.
``(2) Eligible person.--The term `eligible person' means--
``(A) an activated reservist who owns or operates a farm or
ranch;
``(B) an owner or operator of the farm or ranch who is a
member of the family of the activated reservist; and
``(C) an owner or operator of a farm or ranch on which an
activated reservist is employed.
``(b) Program.--The Secretary shall establish a program to
provide assistance to any borrower of a farmer program loan
who is an eligible person.
``(c) Modification of Loan Terms.--The Secretary shall
modify the terms and conditions of a farmer program loan
(including a loan in which any participant in the loan is an
eligible person) made to an eligible person for a farm or
ranch under this title, or purchased under section 309B, to
the extent necessary, as determined by the Secretary, to
alleviate conditions of distress related to the activation of
the activated reservist and to assist in maintaining the farm
or ranch for such period of time as the Secretary determines
is fair and equitable.
``(d) Debt Restructuring.--The Secretary may modify farmer
program loans, including delinquent loans, by deferring
principal or interest scheduled payments, reducing interest
rates or accumulated interest charges, reamortizing or
consolidating loans, reducing the amount of scheduled
principal or interest payments, releasing additional income,
reducing collateral requirements, or taking any other
restructuring actions determined appropriate by the
Secretary, to alleviate conditions of distress related to the
activation of the activated reservist and to assist in
maintaining the farm or ranch for such period of time as the
Secretary determines is fair and equitable.
``(e) Emergency Loans.--
``(1) In general.--The Secretary shall make an emergency
loan under subtitle C to an eligible person for a farm or
ranch that has suffered, or that is likely to suffer,
substantial economic injury as the result of the activation
of an activated reservist, as determined by the Secretary.
``(2) Administration.--
``(A) In general.--Except as provided in subparagraph (B),
an emergency loan made under this subsection shall be made
under the terms and conditions of subtitle C.
``(B) Exceptions.--An emergency loan made under this
subsection shall not be subject to--
``(i) the requirements of section 321(a) for a finding by
the Secretary that the applicants' farming, ranching, or
aquaculture operations have been substantially affected by a
natural disaster in the United States or by a major disaster
or emergency designated by the President;
``(ii) section 321(b); or
``(iii) any other requirement of subtitle C that the
Secretary waives to carry out this subsection.
``(3) Period of eligibility.--To obtain an emergency loan
under this subsection, an eligible person shall apply for the
emergency loan during the period--
``(A) beginning on the date on which the activated
reservist is activated; and
[[Page S10396]]
``(B) ending 180 days after the date on which the activated
reservist is discharged or released from active duty.
``(f) Notice.--The Secretary shall develop a program to
notify eligible persons of assistance that is available under
this section.
``(g) Spouses or Relatives.--
``(1) In general.--The Secretary may provide for procedures
under which the spouse or other close relative (as determined
by the Secretary) of an activated reservist may participate
in, or make decisions related to, a program administered by
the Secretary under this title.
``(2) Representation.--The Secretary may rely on the
representation of the spouse or close relative (even in the
absence of a power of attorney) made under the procedures
described in paragraph (1) if the Secretary--
``(A) determines that the reliance is appropriate in order
to prevent undue hardship and to provide equitable treatment
for the activated reservist; and
``(B) has no reason to believe that the representation of
the spouse or close relative is not in accordance with the
intent and interests of the activated reservist.''.
SEC. 2. REGULATIONS.
(a) In General.--As soon as practicable after the date of
enactment of this Act, the Secretary of Agriculture shall
promulgate such regulations as are necessary to implement the
amendment made by section 1.
(b) Procedure.--The promulgation of the regulations and
administration of the amendment made by section 1 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'').
(c) 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.
______