[Congressional Record (Bound Edition), Volume 160 (2014), Part 2]
[House]
[Pages 1854-2017]
[From the U.S. Government Publishing Office, www.gpo.gov]




  CONFERENCE REPORT ON H.R. 2642, FEDERAL AGRICULTURE REFORM AND RISK 
                         MANAGEMENT ACT OF 2013

  Mr. LUCAS (during the Special Order of Mr. Jeffries) submitted the 
following conference report and statement on the bill (H.R. 2642) to 
provide for the reform and continuation of agricultural and other 
programs of the Department of Agriculture through fiscal year 2018, and 
for other purposes:

                  Conference Report (H. Rept. 113-333)

       The committee of conference on the disagreeing votes of the 
     two Houses on the amendment of the House to the amendment of 
     the Senate to the bill (H.R. 2642), to provide for the reform 
     and continuation of agricultural and other programs of the 
     Department of Agriculture through fiscal year 2018, and for 
     other purposes, having met, after full and free conference, 
     have agreed to recommend and do recommend to their respective 
     Houses as follows:
       That the House recede from its amendment to the amendment 
     of the Senate and agree to the same with an amendment as 
     follows:
       In lieu of the matter proposed to be inserted by the Senate 
     amendment, insert the following:

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the 
     ``Agricultural Act of 2014''.
       (b) Table of Contents.--The table of contents of this Act 
     is as follows:

Sec. 1. Short title; table of contents.
Sec. 2. Definition of Secretary of Agriculture.

                          TITLE I--COMMODITIES

                    Subtitle A--Repeals and Reforms

                            Part I--Repeals

Sec. 1101. Repeal of direct payments.
Sec. 1102. Repeal of counter-cyclical payments.
Sec. 1103. Repeal of average crop revenue election program.

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                       Part II--Commodity Policy

Sec. 1111. Definitions.
Sec. 1112. Base acres.
Sec. 1113. Payment yields.
Sec. 1114. Payment acres.
Sec. 1115. Producer election.
Sec. 1116. Price loss coverage.
Sec. 1117. Agriculture risk coverage.
Sec. 1118. Producer agreements.
Sec. 1119. Transition assistance for producers of upland cotton.

                      Subtitle B--Marketing Loans

Sec. 1201. Availability of nonrecourse marketing assistance loans for 
              loan commodities.
Sec. 1202. Loan rates for nonrecourse marketing assistance loans.
Sec. 1203. Term of loans.
Sec. 1204. Repayment of loans.
Sec. 1205. Loan deficiency payments.
Sec. 1206. Payments in lieu of loan deficiency payments for grazed 
              acreage.
Sec. 1207. Special marketing loan provisions for upland cotton.
Sec. 1208. Special competitive provisions for extra long staple cotton.
Sec. 1209. Availability of recourse loans for high moisture feed grains 
              and seed cotton.
Sec. 1210. Adjustments of loans.

                           Subtitle C--Sugar

Sec. 1301. Sugar policy.

                           Subtitle D--Dairy

         Part I--Margin Protection Program for Dairy Producers

Sec. 1401. Definitions.
Sec. 1402. Calculation of average feed cost and actual dairy production 
              margins.
Sec. 1403. Establishment of margin protection program for dairy 
              producers.
Sec. 1404. Participation of dairy operations in margin protection 
              program.
Sec. 1405. Production history of participating dairy operations.
Sec. 1406. Margin protection payments.
Sec. 1407. Premiums for margin protection program.
Sec. 1408. Effect of failure to pay administrative fees or premiums.
Sec. 1409. Duration.
Sec. 1410. Administration and enforcement.

  Part II--Repeal or Reauthorization of Other Dairy-Related Provisions

Sec. 1421. Repeal of dairy product price support program.
Sec. 1422. Temporary continuation and eventual repeal of milk income 
              loss contract program.
Sec. 1423. Repeal of dairy export incentive program.
Sec. 1424. Extension of dairy forward pricing program.
Sec. 1425. Extension of dairy indemnity program.
Sec. 1426. Extension of dairy promotion and research program.
Sec. 1427. Repeal of Federal Milk Marketing Order Review Commission.

                Part III--Dairy Product Donation Program

Sec. 1431. Dairy product donation program.

   Subtitle E--Supplemental Agricultural Disaster Assistance Programs

Sec. 1501. Supplemental agricultural disaster assistance.

                       Subtitle F--Administration

Sec. 1601. Administration generally.
Sec. 1602. Suspension of permanent price support authority.
Sec. 1603. Payment limitations.
Sec. 1604. Rulemaking related to significant contribution for active 
              personal management.
Sec. 1605. Adjusted gross income limitation.
Sec. 1606. Geographically disadvantaged farmers and ranchers.
Sec. 1607. Personal liability of producers for deficiencies.
Sec. 1608. Prevention of deceased individuals receiving payments under 
              farm commodity programs.
Sec. 1609. Technical corrections.
Sec. 1610. Appeals.
Sec. 1611. Assignment of payments.
Sec. 1612. Tracking of benefits.
Sec. 1613. Signature authority.
Sec. 1614. Implementation.
Sec. 1615. Research option.

                         TITLE II--CONSERVATION

                Subtitle A--Conservation Reserve Program

Sec. 2001. Extension and enrollment requirements of conservation 
              reserve program.
Sec. 2002. Farmable wetland program.
Sec. 2003. Duties of owners and operators.
Sec. 2004. Duties of the Secretary.
Sec. 2005. Payments.
Sec. 2006. Contract requirements.
Sec. 2007. Conversion of land subject to contract to other conserving 
              uses.
Sec. 2008. Effect on existing contracts.

              Subtitle B--Conservation Stewardship Program

Sec. 2101. Conservation stewardship program.

          Subtitle C--Environmental Quality Incentives Program

Sec. 2201. Purposes.
Sec. 2202. Definitions.
Sec. 2203. Establishment and administration.
Sec. 2204. Evaluation of applications.
Sec. 2205. Duties of producers.
Sec. 2206. Limitation on payments.
Sec. 2207. Conservation innovation grants and payments.
Sec. 2208. Effect on existing contracts.

         Subtitle D--Agricultural Conservation Easement Program

Sec. 2301. Agricultural conservation easement program.

         Subtitle E--Regional Conservation Partnership Program

Sec. 2401. Regional conservation partnership program.

                Subtitle F--Other Conservation Programs

Sec. 2501. Conservation of private grazing land.
Sec. 2502. Grassroots source water protection program.
Sec. 2503. Voluntary public access and habitat incentive program.
Sec. 2504. Agriculture conservation experienced services program.
Sec. 2505. Small watershed rehabilitation program.
Sec. 2506. Emergency watershed protection program.
Sec. 2507. Terminal Lakes.
Sec. 2508. Soil and Water Resources Conservation.

                 Subtitle G--Funding and Administration

Sec. 2601. Funding.
Sec. 2602. Technical assistance.
Sec. 2603. Regional equity.
Sec. 2604. Reservation of funds to provide assistance to certain 
              farmers or ranchers for conservation access.
Sec. 2605. Annual report on program enrollments and assistance.
Sec. 2606. Administrative requirements applicable to all conservation 
              programs.
Sec. 2607. Standards for State technical committees.
Sec. 2608. Rulemaking authority.
Sec. 2609. Wetlands mitigation.
Sec. 2610. Lesser prairie-chicken conservation report.
Sec. 2611. Highly erodible land and wetland conservation for crop 
              insurance.

 Subtitle H--Repeal of Superseded Program Authorities and Transitional 
                    Provisions; Technical Amendments

Sec. 2701. Comprehensive conservation enhancement program.
Sec. 2702. Emergency forestry conservation reserve program.
Sec. 2703. Wetlands reserve program.
Sec. 2704. Farmland protection program and farm viability program.
Sec. 2705. Grassland reserve program.
Sec. 2706. Agricultural water enhancement program.
Sec. 2707. Wildlife habitat incentive program.
Sec. 2708. Great Lakes basin program.
Sec. 2709. Chesapeake Bay watershed program.
Sec. 2710. Cooperative conservation partnership initiative.
Sec. 2711. Environmental easement program.
Sec. 2712. Temporary administration of conservation programs.
Sec. 2713. Technical amendments.

                            TITLE III--TRADE

                     Subtitle A--Food for Peace Act

Sec. 3001. General authority.
Sec. 3002. Set-aside for support for organizations through which 
              nonemergency assistance is provided.
Sec. 3003. Food aid quality.
Sec. 3004. Minimum levels of assistance.
Sec. 3005. Food Aid Consultative Group.
Sec. 3006. Oversight, monitoring, and evaluation.
Sec. 3007. Assistance for stockpiling and rapid transportation, 
              delivery, and distribution of shelf-stable prepackaged 
              foods.
Sec. 3008. Impact on local farmers and economy and report on use of 
              funds.
Sec. 3009. Prepositioning of agricultural commodities.
Sec. 3010. Annual report regarding food aid programs and activities.
Sec. 3011. Deadline for agreements to finance sales or to provide other 
              assistance.
Sec. 3012. Minimum level of nonemergency food assistance.
Sec. 3013. Micronutrient fortification programs.
Sec. 3014. John Ogonowski and Doug Bereuter Farmer-to-Farmer Program.
Sec. 3015. Coordination of foreign assistance programs report.

               Subtitle B--Agricultural Trade Act of 1978

Sec. 3101. Export credit guarantee program.
Sec. 3102. Funding for market access program.
Sec. 3103. Foreign market development cooperator program.

               Subtitle C--Other Agricultural Trade Laws

Sec. 3201. Food for Progress Act of 1985.
Sec. 3202. Bill Emerson Humanitarian Trust Act.

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Sec. 3203. Promotion of agricultural exports to emerging markets.
Sec. 3204. McGovern-Dole International Food for Education and Child 
              Nutrition Program.
Sec. 3205. Technical assistance for specialty crops.
Sec. 3206. Global Crop Diversity Trust.
Sec. 3207. Local and regional food aid procurement projects.
Sec. 3208. Under Secretary of Agriculture for Trade and Foreign 
              Agricultural Affairs.

                          TITLE IV--NUTRITION

         Subtitle A--Supplemental Nutrition Assistance Program

Sec. 4001. Preventing payment of cash to recipients of supplemental 
              nutrition assistance benefits for the return of empty 
              bottles and cans used to contain food purchased with 
              benefits provided under the program.
Sec. 4002. Retail food stores.
Sec. 4003. Enhancing services to elderly and disabled supplemental 
              nutrition assistance program participants.
Sec. 4004. Food distribution program on Indian reservations.
Sec. 4005. Exclusion of medical marijuana from excess medical expense 
              deduction.
Sec. 4006. Standard utility allowances based on the receipt of energy 
              assistance payments.
Sec. 4007. Eligibility disqualifications.
Sec. 4008. Eligibility disqualifications for certain convicted felons.
Sec. 4009. Ending supplemental nutrition assistance program benefits 
              for lottery or gambling winners.
Sec. 4010. Improving security of food assistance.
Sec. 4011. Technology modernization for retail food stores.
Sec. 4012. Use of benefits for purchase of community-supported 
              agriculture share.
Sec. 4013. Improved wage verification using the National Directory of 
              New Hires.
Sec. 4014. Restaurant meals program.
Sec. 4015. Mandating State immigration verification.
Sec. 4016. Data exchange standardization for improved interoperability.
Sec. 4017. Pilot projects to improve Federal-State cooperation in 
              identifying and reducing fraud in the supplemental 
              nutrition assistance program.
Sec. 4018. Prohibiting government-sponsored recruitment activities.
Sec. 4019. Tolerance level for excluding small errors.
Sec. 4020. Quality control standards.
Sec. 4021. Performance bonus payments.
Sec. 4022. Pilot projects to reduce dependency and increase work 
              requirements and work effort under supplemental nutrition 
              assistance program.
Sec. 4023. Cooperation with program research and evaluation.
Sec. 4024. Authorization of appropriations.
Sec. 4025. Review, report, and regulation of cash nutrition assistance 
              program benefits provided in Puerto Rico.
Sec. 4026. Assistance for community food projects.
Sec. 4027. Emergency food assistance.
Sec. 4028. Nutrition education.
Sec. 4029. Retail food store and recipient trafficking.
Sec. 4030. Technical and conforming amendments.
Sec. 4031. Commonwealth of the Northern Mariana Islands pilot program.
Sec. 4032. Annual State report on verification of SNAP participation.
Sec. 4033. Service of traditional foods in public facilities.

              Subtitle B--Commodity Distribution Programs

Sec. 4101. Commodity distribution program.
Sec. 4102. Commodity supplemental food program.
Sec. 4103. Distribution of surplus commodities to special nutrition 
              projects.
Sec. 4104. Processing of commodities.

                       Subtitle C--Miscellaneous

Sec. 4201. Purchase of fresh fruits and vegetables for distribution to 
              schools and service institutions.
Sec. 4202. Pilot project for procurement of unprocessed fruits and 
              vegetables.
Sec. 4203. Seniors farmers' market nutrition program.
Sec. 4204. Dietary Guidelines for Americans.
Sec. 4205. Multiagency task force.
Sec. 4206. Healthy Food Financing Initiative.
Sec. 4207. Purchase of Halal and Kosher food for emergency food 
              assistance program.
Sec. 4208. Food insecurity nutrition incentive.
Sec. 4209. Food and agriculture service learning program.
Sec. 4210. Nutrition information and awareness pilot program.
Sec. 4211. Termination of existing agreement.
Sec. 4212. Review of sole-source contracts in Federal nutrition 
              programs.
Sec. 4213. Pulse crop products.
Sec. 4214. Pilot project for canned, frozen, or dried fruits and 
              vegetables.

                            TITLE V--CREDIT

                    Subtitle A--Farm Ownership Loans

Sec. 5001. Eligibility for farm ownership loans.
Sec. 5002. Conservation loan and loan guarantee program.
Sec. 5003. Joint financing arrangements.
Sec. 5004. Elimination of mineral rights appraisal requirement.
Sec. 5005. Down payment loan program.

                      Subtitle B--Operating Loans

Sec. 5101. Eligibility for farm operating loans.
Sec. 5102. Elimination of rural residency requirement for operating 
              loans to youth.
Sec. 5103. Defaults by youth loan borrowers.
Sec. 5104. Term limits on direct operating loans.
Sec. 5105. Valuation of local or regional crops.
Sec. 5106. Microloans.
Sec. 5107. Term limits on guaranteed operating loans.

                      Subtitle C--Emergency Loans

Sec. 5201. Eligibility for emergency loans.

                 Subtitle D--Administrative Provisions

Sec. 5301. Beginning farmer and rancher individual development accounts 
              pilot program.
Sec. 5302. Farmer loan pilot projects.
Sec. 5303. Definition of qualified beginning farmer or rancher.
Sec. 5304. Loan authorization levels.
Sec. 5305. Loan fund set-asides.
Sec. 5306. Borrower training.

                       Subtitle E--Miscellaneous

Sec. 5401. State agricultural mediation programs.
Sec. 5402. Loans to purchasers of highly fractionated land.
Sec. 5403. Removal of duplicative appraisals.
Sec. 5404. Compensation disclosure by Farm Credit System institutions.

                      TITLE VI--RURAL DEVELOPMENT

        Subtitle A--Consolidated Farm and Rural Development Act

Sec. 6001. Water, waste disposal, and wastewater facility grants.
Sec. 6002. Elimination of reservation of community facilities grant 
              program funds.
Sec. 6003. Rural water and wastewater circuit rider program.
Sec. 6004. Use of loan guarantees for community facilities.
Sec. 6005. Tribal college and university essential community 
              facilities.
Sec. 6006. Essential community facilities technical assistance and 
              training.
Sec. 6007. Emergency and imminent community water assistance grant 
              program.
Sec. 6008. Water systems for rural and native villages in Alaska.
Sec. 6009. Household water well systems.
Sec. 6010. Rural business and industry loan program.
Sec. 6011. Solid waste management grants.
Sec. 6012. Rural business development grants.
Sec. 6013. Rural cooperative development grants.
Sec. 6014. Locally or regionally produced agricultural food products.
Sec. 6015. Appropriate technology transfer for rural areas program.
Sec. 6016. Rural economic area partnership zones.
Sec. 6017. Intermediary relending program.
Sec. 6018. Rural college coordinated strategy.
Sec. 6019. Rural water and waste disposal infrastructure.
Sec. 6020. Simplified applications.
Sec. 6021. National Rural Development Partnership.
Sec. 6022. Grants for NOAA weather radio transmitters.
Sec. 6023. Rural microentrepreneur assistance program.
Sec. 6024. Health care services.
Sec. 6025. Strategic economic and community development.
Sec. 6026. Delta Regional Authority.
Sec. 6027. Northern Great Plains Regional Authority.
Sec. 6028. Rural business investment program.

             Subtitle B--Rural Electrification Act of 1936

Sec. 6101. Fees for certain loan guarantees.
Sec. 6102. Guarantees for bonds and notes issued for electrification or 
              telephone purposes.
Sec. 6103. Expansion of 911 access.
Sec. 6104. Access to broadband telecommunications services in rural 
              areas.
Sec. 6105. Rural Gigabit Network Pilot Program.

                       Subtitle C--Miscellaneous

Sec. 6201. Distance learning and telemedicine.

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Sec. 6202. Agricultural transportation.
Sec. 6203. Value-added agricultural product market development grants.
Sec. 6204. Agriculture innovation center demonstration program.
Sec. 6205. Rural energy savings program.
Sec. 6206. Study of rural transportation issues.
Sec. 6207. Regional economic and infrastructure development.
Sec. 6208. Definition of rural area for purposes of the Housing Act of 
              1949.
Sec. 6209. Program metrics.
Sec. 6210. Funding of pending rural development loan and grant 
              applications.

          TITLE VII--RESEARCH, EXTENSION, AND RELATED MATTERS

  Subtitle A--National Agricultural Research, Extension, and Teaching 
                           Policy Act of 1977

Sec. 7101. Option to be included as non-land-grant college of 
              agriculture.
Sec. 7102. National Agricultural Research, Extension, Education, and 
              Economics Advisory Board.
Sec. 7103. Specialty crop committee.
Sec. 7104. Veterinary services grant program.
Sec. 7105. Grants and fellowships for food and agriculture sciences 
              education.
Sec. 7106. Agricultural and food policy research centers.
Sec. 7107. Education grants to Alaska Native serving institutions and 
              Native Hawaiian serving institutions.
Sec. 7108. Repeal of human nutrition intervention and health promotion 
              research program.
Sec. 7109. Repeal of pilot research program to combine medical and 
              agricultural research.
Sec. 7110. Nutrition education program.
Sec. 7111. Continuing animal health and disease research programs.
Sec. 7112. Grants to upgrade agricultural and food sciences facilities 
              at 1890 land-grant colleges, including Tuskegee 
              University.
Sec. 7113. Grants to upgrade agriculture and food science facilities 
              and equipment at insular area land-grant institutions.
Sec. 7114. Repeal of national research and training virtual centers.
Sec. 7115. Hispanic-serving institutions.
Sec. 7116. Competitive Grants Program for Hispanic Agricultural Workers 
              and Youth.
Sec. 7117. Competitive grants for international agricultural science 
              and education programs.
Sec. 7118. Repeal of research equipment grants.
Sec. 7119. University research.
Sec. 7120. Extension service.
Sec. 7121. Auditing, reporting, bookkeeping, and administrative 
              requirements.
Sec. 7122. Supplemental and alternative crops.
Sec. 7123. Capacity building grants for NLGCA institutions.
Sec. 7124. Aquaculture assistance programs.
Sec. 7125. Rangeland research programs.
Sec. 7126. Special authorization for biosecurity planning and response.
Sec. 7127. Distance education and resident instruction grants program 
              for insular area institutions of higher education.
Sec. 7128. Matching funds requirement.
Sec. 7129. Designation of Central State University as 1890 institution.

   Subtitle B--Food, Agriculture, Conservation, and Trade Act of 1990

Sec. 7201. Best utilization of biological applications.
Sec. 7202. Integrated management systems.
Sec. 7203. Sustainable agriculture technology development and transfer 
              program.
Sec. 7204. National training program.
Sec. 7205. National Genetics Resources Program.
Sec. 7206. National Agricultural Weather Information System.
Sec. 7207. Repeal of rural electronic commerce extension program.
Sec. 7208. Agricultural Genome Initiative.
Sec. 7209. High-priority research and extension initiatives.
Sec. 7210. Repeal of nutrient management research and extension 
              initiative.
Sec. 7211. Organic agriculture research and extension initiative.
Sec. 7212. Repeal of agricultural bioenergy feedstock and energy 
              efficiency research and extension initiative.
Sec. 7213. Farm business management.
Sec. 7214. Centers of excellence.
Sec. 7215. Repeal of red meat safety research center.
Sec. 7216. Assistive technology program for farmers with disabilities.
Sec. 7217. National rural information center clearinghouse.

Subtitle C--Agricultural Research, Extension, and Education Reform Act 
                                of 1998

Sec. 7301. Relevance and merit of agricultural research, extension, and 
              education funded by the Department.
Sec. 7302. Integrated research, education, and extension competitive 
              grants program.
Sec. 7303. Support for research regarding diseases of wheat, triticale, 
              and barley caused by Fusarium graminearum or by Tilletia 
              indica.
Sec. 7304. Repeal of Bovine Johne's disease control program.
Sec. 7305. Grants for youth organizations.
Sec. 7306. Specialty crop research initiative.
Sec. 7307. Food animal residue avoidance database program.
Sec. 7308. Repeal of national swine research center.
Sec. 7309. Office of pest management policy.
Sec. 7310. Forestry products advanced utilization research.
Sec. 7311. Repeal of studies of agricultural research, extension, and 
              education.

                         Subtitle D--Other Laws

Sec. 7401. Critical Agricultural Materials Act.
Sec. 7402. Equity in Educational Land-Grant Status Act of 1994.
Sec. 7403. Research Facilities Act.
Sec. 7404. Competitive, Special, and Facilities Research Grant Act.
Sec. 7405. Renewable Resources Extension Act of 1978.
Sec. 7406. National Aquaculture Act of 1980.
Sec. 7407. Repeal of use of remote sensing data.
Sec. 7408. Repeal of reports under Farm Security and Rural Investment 
              Act of 2002.
Sec. 7409. Beginning farmer and rancher development program.
Sec. 7410. National Agricultural Research, Extension, and Teaching 
              Policy Act Amendments of 1985.

         Subtitle E--Food, Conservation, and Energy Act of 2008

                     Part I--Agricultural Security

Sec. 7501. Agricultural biosecurity communication center.
Sec. 7502. Assistance to build local capacity in agricultural 
              biosecurity planning, preparation, and response.
Sec. 7503. Research and development of agricultural countermeasures.
Sec. 7504. Agricultural biosecurity grant program.

                   Part II--Miscellaneous Provisions

Sec. 7511. Enhanced use lease authority pilot program.
Sec. 7512. Grazinglands research laboratory.
Sec. 7513. Budget submission and funding.
Sec. 7514. Repeal of seed distribution.
Sec. 7515. Natural products research program.
Sec. 7516. Sun grant program.
Sec. 7517. Repeal of study and report on food deserts.
Sec. 7518. Repeal of agricultural and rural transportation research and 
              education.

                  Subtitle F--Miscellaneous Provisions

Sec. 7601. Foundation for Food and Agriculture Research.
Sec. 7602. Concessions and agreements with nonprofit organizations for 
              National Arboretum.
Sec. 7603. Agricultural and food law research, legal tools, and 
              information.
Sec. 7604. Cotton Disease Research Report.
Sec. 7605. Miscellaneous technical corrections.
Sec. 7606. Legitimacy of industrial hemp research.

                          TITLE VIII--FORESTRY

            Subtitle A--Repeal of Certain Forestry Programs

Sec. 8001. Forest land enhancement program.
Sec. 8002. Watershed forestry assistance program.
Sec. 8003. Expired cooperative national forest products marketing 
              program.
Sec. 8004. Hispanic-serving institution agricultural land national 
              resources leadership program.
Sec. 8005. Tribal watershed forestry assistance program.
Sec. 8006. Separate Forest Service decisionmaking and appeals process.

 Subtitle B--Reauthorization of Cooperative Forestry Assistance Act of 
                             1978 Programs

Sec. 8101. State-wide assessment and strategies for forest resources.

       Subtitle C--Reauthorization of Other Forestry-related Laws

Sec. 8201. Rural revitalization technologies.
Sec. 8202. Office of International Forestry.
Sec. 8203. Healthy forests reserve program.
Sec. 8204. Insect and disease infestation.
Sec. 8205. Stewardship end result contracting projects.
Sec. 8206. Good neighbor authority.

                  Subtitle D--Miscellaneous Provisions

Sec. 8301. Revision of strategic plan for forest inventory and 
              analysis.
Sec. 8302. Forest service participation in ACES program.
Sec. 8303. Extension of stewardship contracts authority regarding use 
              of designation by prescription to all thinning sales 
              under National Forest Management Act of 1976.

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Sec. 8304. Reimbursement of fire funds.
Sec. 8305. Forest Service large airtanker and aerial asset firefighting 
              recapitalization pilot program.
Sec. 8306. Land conveyance, Jefferson National Forest in Wise County, 
              Virginia.

                            TITLE IX--ENERGY

Sec. 9001. Definitions.
Sec. 9002. Biobased markets program.
Sec. 9003. Biorefinery assistance.
Sec. 9004. Repowering assistance program.
Sec. 9005. Bioenergy program for advanced biofuels.
Sec. 9006. Biodiesel fuel education program.
Sec. 9007. Rural Energy for America Program.
Sec. 9008. Biomass research and development.
Sec. 9009. Feedstock Flexibility Program for Bioenergy Producers.
Sec. 9010. Biomass Crop Assistance Program.
Sec. 9011. Repeal of forest biomass for energy.
Sec. 9012. Community wood energy program.
Sec. 9013. Repeal of biofuels infrastructure study.
Sec. 9014. Repeal of renewable fertilizer study.
Sec. 9015. Energy efficiency report for USDA facilities.

                         TITLE X--HORTICULTURE

Sec. 10001. Specialty crops market news allocation.
Sec. 10002. Repeal of grant program to improve movement of specialty 
              crops.
Sec. 10003. Farmers' market and local food promotion program.
Sec. 10004. Organic agriculture.
Sec. 10005. Investigations and enforcement of the Organic Foods 
              Production Act of 1990.
Sec. 10006. Food safety education initiatives.
Sec. 10007. Consolidation of plant pest and disease management and 
              disaster prevention programs.
Sec. 10008. Importation of seed.
Sec. 10009. Bulk shipments of apples to Canada.
Sec. 10010. Specialty crop block grants.
Sec. 10011. Department of Agriculture consultation regarding 
              enforcement of certain labor law provisions.
Sec. 10012. Report on honey.
Sec. 10013. Reports to Congress.
Sec. 10014. Stay of regulations.
Sec. 10015. Regulation of sulfuryl fluoride.
Sec. 10016. Local food production and program evaluation.
Sec. 10017. Clarification of use of funds for technical assistance.

                        TITLE XI--CROP INSURANCE

Sec. 11001. Information sharing.
Sec. 11002. Publication of information on violations of prohibition on 
              premium adjustments.
Sec. 11003. Supplemental coverage option.
Sec. 11004. Crop margin coverage option.
Sec. 11005. Premium amounts for catastrophic risk protection.
Sec. 11006. Permanent enterprise unit subsidy.
Sec. 11007. Enterprise units for irrigated and nonirrigated crops.
Sec. 11008. Data collection.
Sec. 11009. Adjustment in actual production history to establish 
              insurable yields.
Sec. 11010. Submission of policies and Board review and approval.
Sec. 11011. Consultation.
Sec. 11012. Budget limitations on renegotiation of the standard 
              reinsurance agreement.
Sec. 11013. Test weight for corn.
Sec. 11014. Crop production on native sod.
Sec. 11015. Coverage levels by practice.
Sec. 11016. Beginning farmer and rancher provisions.
Sec. 11017. Stacked income protection plan for producers of upland 
              cotton.
Sec. 11018. Peanut revenue crop insurance.
Sec. 11019. Authority to correct errors.
Sec. 11020. Implementation.
Sec. 11021. Crop insurance fraud.
Sec. 11022. Research and development priorities.
Sec. 11023. Crop insurance for organic crops.
Sec. 11024. Program compliance partnerships.
Sec. 11025. Pilot programs.
Sec. 11026. Index-based weather insurance pilot program.
Sec. 11027. Enhancing producer self-help through farm financial 
              benchmarking.
Sec. 11028. Technical amendments.

                        TITLE XII--MISCELLANEOUS

                         Subtitle A--Livestock

Sec. 12101. Trichinae certification program.
Sec. 12102. Sheep production and marketing grant program.
Sec. 12103. National Aquatic Animal Health Plan.
Sec. 12104. Country of origin labeling.
Sec. 12105. National animal health laboratory network.
Sec. 12106. Food safety inspection.
Sec. 12107. National Poultry Improvement Plan.
Sec. 12108. Sense of Congress regarding feral swine eradication.

   Subtitle B--Socially Disadvantaged Producers and Limited Resource 
                               Producers

Sec. 12201. Outreach and assistance for socially disadvantaged farmers 
              and ranchers and veteran farmers and ranchers.
Sec. 12202. Office of Advocacy and Outreach.
Sec. 12203. Socially Disadvantaged Farmers and Ranchers Policy Research 
              Center.
Sec. 12204. Receipt for service or denial of service from certain 
              department of agriculture agencies.

               Subtitle C--Other Miscellaneous Provisions

Sec. 12301. Grants to improve supply, stability, safety, and training 
              of agricultural labor force.
Sec. 12302. Program benefit eligibility status for participants in high 
              plains water study.
Sec. 12303. Office of Tribal Relations.
Sec. 12304. Military Veterans Agricultural Liaison.
Sec. 12305. Noninsured crop assistance program.
Sec. 12306. Acer access and development program.
Sec. 12307. Science Advisory Board.
Sec. 12308. Amendments to Animal Welfare Act.
Sec. 12309. Produce represented as grown in the United States when it 
              is not in fact grown in the United States.
Sec. 12310. Report on water sharing.
Sec. 12311. Scientific and economic analysis of the FDA Food Safety 
              Modernization Act.
Sec. 12312. Payment in lieu of taxes.
Sec. 12313. Silvicultural activities.
Sec. 12314. Pima agriculture cotton trust fund.
Sec. 12315. Agriculture Wool Apparel Manufacturers Trust Fund.
Sec. 12316. Wool research and promotion.

   Subtitle D--Oilheat Efficiency, Renewable Fuel Research and Jobs 
                                Training

Sec. 12401. Short title.
Sec. 12402. Findings and purposes.
Sec. 12403. Definitions.
Sec. 12404. Membership.
Sec. 12405. Functions.
Sec. 12406. Assessments.
Sec. 12407. Market survey and consumer protection.
Sec. 12408. Lobbying restrictions.
Sec. 12409. Noncompliance.
Sec. 12410. Sunset.

     SEC. 2. DEFINITION OF SECRETARY OF AGRICULTURE.

       In this Act, the term ``Secretary'' means the Secretary of 
     Agriculture.

                          TITLE I--COMMODITIES

                    Subtitle A--Repeals and Reforms

                            PART I--REPEALS

     SEC. 1101. REPEAL OF DIRECT PAYMENTS.

       Sections 1103 and 1303 of the Food, Conservation, and 
     Energy Act of 2008 (7 U.S.C. 8713, 8753) are repealed.

     SEC. 1102. REPEAL OF COUNTER-CYCLICAL PAYMENTS.

       (a) Repeal.--Sections 1104 and 1304 of the Food, 
     Conservation, and Energy Act of 2008 (7 U.S.C. 8714, 8754) 
     are repealed.
       (b) Continued Application for 2013 Crop Year.--Sections 
     1104 and 1304 of the Food, Conservation, and Energy Act of 
     2008 (7 U.S.C. 8714, 8754), as in effect on the day before 
     the date of enactment of this Act, shall continue to apply 
     through the 2013 crop year with respect to all covered 
     commodities (as defined in section 1001 of that Act (7 U.S.C. 
     8702)) and peanuts on a farm.

     SEC. 1103. REPEAL OF AVERAGE CROP REVENUE ELECTION PROGRAM.

       (a) Repeal.--Section 1105 of the Food, Conservation, and 
     Energy Act of 2008 (7 U.S.C. 8715) is repealed.
       (b) Continued Application for 2013 Crop Year.--Section 1105 
     of the Food, Conservation, and Energy Act of 2008 (7 U.S.C. 
     8715), as in effect on the day before the date of enactment 
     of this Act, shall continue to apply through the 2013 crop 
     year with respect to all covered commodities (as defined in 
     section 1001 of that Act (7 U.S.C. 8702)) and peanuts on a 
     farm for which the irrevocable election under section 1105 of 
     that Act was made before the date of enactment of this Act.

                       PART II--COMMODITY POLICY

     SEC. 1111. DEFINITIONS.

       In this subtitle and subtitle B:
       (1) Actual crop revenue.--The term ``actual crop revenue'', 
     with respect to a covered commodity for a crop year, means 
     the amount determined by the Secretary under section 1117(b).
       (2) Agriculture risk coverage.--The term ``agriculture risk 
     coverage'' means coverage provided under section 1117.
       (3) Agriculture risk coverage guarantee.--The term 
     ``agriculture risk coverage guarantee'', with respect to a 
     covered commodity for a crop year, means the amount 
     determined by the Secretary under section 1117(c).
       (4) Base acres.--
       (A) In general.--The term ``base acres'', with respect to a 
     covered commodity on a farm, means the number of acres in 
     effect under sections 1001 and 1301 of the Food, 
     Conservation, and Energy Act of 2008 (7 U.S.C. 8702, 8751), 
     as adjusted pursuant to sections 1101, 1108, and 1302 of such 
     Act (7 U.S.C. 8711,

[[Page 1859]]

     8718, 8752), as in effect on September 30, 2013, subject to 
     any reallocation, adjustment, or reduction under section 1112 
     of this Act.
       (B) Inclusion of generic base acres.--The term ``base 
     acres'' includes any generic base acres planted to a covered 
     commodity as determined in section 1114(b).
       (5) County coverage.--The term ``county coverage'' means 
     agriculture risk coverage selected under section 1115(b)(1) 
     to be obtained at the county level.
       (6) Covered commodity.--The term ``covered commodity'' 
     means wheat, oats, and barley (including wheat, oats, and 
     barley used for haying and grazing), corn, grain sorghum, 
     long grain rice, medium grain rice, pulse crops, soybeans, 
     other oilseeds, and peanuts.
       (7) Effective price.--The term ``effective price'', with 
     respect to a covered commodity for a crop year, means the 
     price calculated by the Secretary under section 1116(b) to 
     determine whether price loss coverage payments are required 
     to be provided for that crop year.
       (8) Extra long staple cotton.--The term ``extra long staple 
     cotton'' means cotton that--
       (A) is produced from pure strain varieties of the 
     Barbadense species or any hybrid of the species, or other 
     similar types of extra long staple cotton, designated by the 
     Secretary, having characteristics needed for various end uses 
     for which United States upland cotton is not suitable and 
     grown in irrigated cotton-growing regions of the United 
     States designated by the Secretary or other areas designated 
     by the Secretary as suitable for the production of the 
     varieties or types; and
       (B) is ginned on a roller-type gin or, if authorized by the 
     Secretary, ginned on another type gin for experimental 
     purposes.
       (9) Generic base acres.--The term ``generic base acres'' 
     means the number of base acres for cotton in effect under 
     section 1001 of the Food, Conservation, and Energy Act of 
     2008 (7 U.S.C. 8702), as adjusted pursuant to section 1101 of 
     such Act (7 U.S.C. 8711), as in effect on September 30, 2013, 
     subject to any adjustment or reduction under section 1112 of 
     this Act.
       (10) Individual coverage.--The term ``individual coverage'' 
     means agriculture risk coverage selected under section 
     1115(b)(2) to be obtained at the farm level.
       (11) Medium grain rice.--The term ``medium grain rice'' 
     includes short grain rice and temperate japonica rice.
       (12) Other oilseed.--The term ``other oilseed'' means a 
     crop of sunflower seed, rapeseed, canola, safflower, 
     flaxseed, mustard seed, crambe, sesame seed, or any oilseed 
     designated by the Secretary.
       (13) Payment acres.--The term ``payment acres'', with 
     respect to the provision of price loss coverage payments and 
     agriculture risk coverage payments, means the number of acres 
     determined for a farm under section 1114.
       (14) Payment yield.--The term ``payment yield'', for a farm 
     for a covered commodity--
       (A) means the yield used to make payments pursuant to 
     section 1104 or 1304 of the Food, Conservation, and Energy 
     Act of 2008 (7 U.S.C. 8714, 8754), as in effect on September 
     30, 2013; or
       (B) means the yield established under section 1113 of this 
     Act.
       (15) Price loss coverage.--The term ``price loss coverage'' 
     means coverage provided under section 1116.
       (16) Producer.--
       (A) In general.--The term ``producer'' means an owner, 
     operator, landlord, tenant, or sharecropper that shares in 
     the risk of producing a crop and is entitled to share in the 
     crop available for marketing from the farm, or would have 
     shared had the crop been produced.
       (B) Hybrid seed.--In determining whether a grower of hybrid 
     seed is a producer, the Secretary shall--
       (i) not take into consideration the existence of a hybrid 
     seed contract; and
       (ii) ensure that program requirements do not adversely 
     affect the ability of the grower to receive a payment under 
     this title.
       (17) Pulse crop.--The term ``pulse crop'' means dry peas, 
     lentils, small chickpeas, and large chickpeas.
       (18) Reference price.--The term ``reference price'', with 
     respect to a covered commodity for a crop year, means the 
     following:
       (A) For wheat, $5.50 per bushel.
       (B) For corn, $3.70 per bushel.
       (C) For grain sorghum, $3.95 per bushel.
       (D) For barley, $4.95 per bushel.
       (E) For oats, $2.40 per bushel.
       (F) For long grain rice, $14.00 per hundredweight.
       (G) For medium grain rice, $14.00 per hundredweight.
       (H) For soybeans, $8.40 per bushel.
       (I) For other oilseeds, $20.15 per hundredweight.
       (J) For peanuts, $535.00 per ton.
       (K) For dry peas, $11.00 per hundredweight.
       (L) For lentils, $19.97 per hundredweight.
       (M) For small chickpeas, $19.04 per hundredweight.
       (N) For large chickpeas, $21.54 per hundredweight.
       (19) Secretary.--The term ``Secretary'' means the Secretary 
     of Agriculture.
       (20) State.--The term ``State'' means--
       (A) a State;
       (B) the District of Columbia;
       (C) the Commonwealth of Puerto Rico; and
       (D) any other territory or possession of the United States.
       (21) Temperate japonica rice.--The term ``temperate 
     japonica rice'' means rice that is grown in high altitudes or 
     temperate regions of high latitudes with cooler climate 
     conditions, in the Western United States, as determined by 
     the Secretary, for the purpose of--
       (A) the reallocation of base acres under section 1112;
       (B) the establishment of a reference price (as required 
     under section 1116(g)) and an effective price pursuant to 
     section 1116; and
       (C) the determination of the actual crop revenue and 
     agriculture risk coverage guarantee pursuant to section 1117.
       (22) Transitional yield.--The term ``transitional yield'' 
     has the meaning given the term in section 502(b) of the 
     Federal Crop Insurance Act (7 U.S.C. 1502(b)).
       (23) United states.--The term ``United States'', when used 
     in a geographical sense, means all of the States.
       (24) United states premium factor.--The term ``United 
     States Premium Factor'' means the percentage by which the 
     difference in the United States loan schedule premiums for 
     Strict Middling (SM) 1\1/8\-inch upland cotton and for 
     Middling (M) 1\3/32\-inch upland cotton exceeds the 
     difference in the applicable premiums for comparable 
     international qualities.

     SEC. 1112. BASE ACRES.

       (a) Retention or 1-time Reallocation of Base Acres.--
       (1) Election required.--
       (A) Notice of election opportunity.--As soon as practicable 
     after the date of enactment of this Act, the Secretary shall 
     provide notice to the owners of a farm regarding their 
     opportunity to make an election, in the manner provided in 
     this subsection--
       (i) to retain base acres, including any generic base acres, 
     as provided in paragraph (2); or
       (ii) in lieu of retaining base acres, to reallocate base 
     acres, other than any generic base acres, as provided in 
     paragraph (3).
       (B) Content of notice.--The notice under subparagraph (A) 
     shall include the following:
       (i) Information that the opportunity of an owner to make 
     the election is being provided only once.
       (ii) Information regarding the manner in which the owner 
     must make the election and the manner of notifying the 
     Secretary of the election.
       (iii) Information regarding the deadline before which the 
     owner must notify the Secretary of the election to be in 
     effect beginning with the 2014 crop year.
       (C) Effect of failure to make election.--If the owner of a 
     farm fails to make the election under this subsection, or 
     fails to timely notify the Secretary of the election as 
     required by subparagraph (B)(iii), the owner shall be deemed 
     to have elected to retain base acres, including generic base 
     acres, as provided in paragraph (2).
       (2) Retention of base acres.--
       (A) Election to retain.--For the purpose of applying this 
     part to a covered commodity, the Secretary shall give an 
     owner of a farm an opportunity to elect to retain all of the 
     base acres for each covered commodity on the farm.
       (B) Treatment of generic base acres.--Generic base acres 
     are automatically retained.
       (3) Reallocation of base acres.--
       (A) Election to reallocate.--For the purpose of applying 
     this part to covered commodities, the Secretary shall give an 
     owner of a farm an opportunity to elect to reallocate all of 
     the base acres for covered commodities on the farm, as in 
     effect on September 30, 2013, among those covered commodities 
     planted on the farm at any time during the 2009 through 2012 
     crop years.
       (B) Reallocation formula.--The reallocation of base acres 
     among covered commodities on a farm shall be in proportion to 
     the ratio of--
       (i) the 4-year average of--

       (I) the acreage planted on the farm to each covered 
     commodity for harvest, grazing, haying, silage, or other 
     similar purposes for the 2009 through 2012 crop years; and
       (II) any acreage on the farm that the producers were 
     prevented from planting during the 2009 through 2012 crop 
     years to that covered commodity because of drought, flood, or 
     other natural disaster, or other condition beyond the control 
     of the producers, as determined by the Secretary; to

       (ii) the 4-year average of--

       (I) the acreage planted on the farm to all covered 
     commodities for harvest, grazing, haying, silage, or other 
     similar purposes for such crop years; and
       (II) any acreage on the farm that the producers were 
     prevented from planting during such crop years to covered 
     commodities because of drought, flood, or other natural 
     disaster, or other condition beyond the control of the 
     producers, as determined by the Secretary.

       (C) Treatment of generic base acres.--Generic base acres 
     are retained and may not be reallocated under this paragraph.
       (D) Inclusion of all 4 years in average.--For the purpose 
     of determining a 4-year acreage average under subparagraph 
     (B) for a farm, the Secretary shall not exclude any

[[Page 1860]]

     crop year in which a covered commodity was not planted.
       (E) Treatment of multiple planting or prevented planting.--
     For the purpose of determining under subparagraph (B) the 
     acreage on a farm that producers planted or were prevented 
     from planting during the 2009 through 2012 crop years to 
     covered commodities, if the acreage that was planted or 
     prevented from being planted was devoted to another covered 
     commodity in the same crop year (other than a covered 
     commodity produced under an established practice of double 
     cropping), the owner may elect the commodity to be used for 
     that crop year in determining the 4-year average, but may not 
     include both the initial commodity and the subsequent 
     commodity.
       (F) Limitation.--The reallocation of base acres among 
     covered commodities on a farm under this paragraph may not 
     result in a total number of base acres (including generic 
     base acres) for the farm in excess of the number of base 
     acres in effect for the farm on September 30, 2013.
       (4) Application of election to all covered commodities.--
     The election made under this subsection, or deemed to be made 
     under paragraph (1)(C), with respect to a farm shall apply to 
     all of the covered commodities on the farm.
       (b) Adjustment of Base Acres.--
       (1) In general.--Notwithstanding the election made under 
     subsection (a), the Secretary shall provide for an 
     adjustment, as appropriate, in the base acres for covered 
     commodities for a farm and any generic base acres for the 
     farm whenever any of the following circumstances occur:
       (A) A conservation reserve contract entered into under 
     section 1231 of the Food Security Act of 1985 (16 U.S.C. 
     3831) with respect to the farm expires or is voluntarily 
     terminated.
       (B) Cropland is released from coverage under a conservation 
     reserve contract by the Secretary.
       (C) The producer has eligible oilseed acreage as the result 
     of the Secretary designating additional oilseeds, which shall 
     be determined in the same manner as eligible oilseed acreage 
     under section 1101(a)(1)(D) of the Food, Conservation, and 
     Energy Act of 2008 (7 U.S.C. 8711(a)(1)(D)).
       (2) Special conservation reserve acreage payment rules.--
     For the crop year in which a base acres adjustment under 
     subparagraph (A) or (B) of paragraph (1) is first made, the 
     owner of the farm shall elect to receive price loss coverage 
     or agriculture risk coverage with respect to the acreage 
     added to the farm under this subsection or a prorated payment 
     under the conservation reserve contract, but not both.
       (c) Prevention of Excess Base Acres.--
       (1) Required reduction.--Notwithstanding the election made 
     under subsection (a), if the sum of the base acres for a 
     farm, including generic base acres, and the acreage described 
     in paragraph (2) exceeds the actual cropland acreage of the 
     farm, the Secretary shall reduce the base acres for 1 or more 
     covered commodities or generic base acres for the farm so 
     that the sum of the base acres, including generic base acres, 
     and the acreage described in paragraph (2) does not exceed 
     the actual cropland acreage of the farm.
       (2) Other acreage.--For purposes of paragraph (1), the 
     Secretary shall include the following:
       (A) Any acreage on the farm enrolled in the conservation 
     reserve program or wetlands reserve program (or successor 
     programs) under chapter 1 of subtitle D of title XII of the 
     Food Security Act of 1985 (16 U.S.C. 3830 et seq.).
       (B) Any other acreage on the farm enrolled in a Federal 
     conservation program for which payments are made in exchange 
     for not producing an agricultural commodity on the acreage.
       (C) If the Secretary designates additional oilseeds, any 
     eligible oilseed acreage, which shall be determined in the 
     same manner as eligible oilseed acreage under subsection 
     (b)(1)(C).
       (3) Selection of acres.--The Secretary shall give the owner 
     of the farm the opportunity to select the base acres for a 
     covered commodity or generic base acres for the farm against 
     which the reduction required by paragraph (1) will be made.
       (4) Exception for double-cropped acreage.--In applying 
     paragraph (1), the Secretary shall make an exception in the 
     case of double cropping, as determined by the Secretary.
       (d) Reduction in Base Acres.--
       (1) Reduction at option of owner.--
       (A) In general.--The owner of a farm may reduce, at any 
     time, the base acres for any covered commodity or generic 
     base acres for the farm.
       (B) Effect of reduction.--A reduction under subparagraph 
     (A) shall be permanent and made in a manner prescribed by the 
     Secretary.
       (2) Required action by secretary.--
       (A) In general.--The Secretary shall proportionately reduce 
     base acres, including any generic base acres, on a farm for 
     land that has been subdivided and developed for multiple 
     residential units or other nonfarming uses if the size of the 
     tracts and the density of the subdivision is such that the 
     land is unlikely to return to the previous agricultural use, 
     unless the producers on the farm demonstrate that the land--
       (i) remains devoted to commercial agricultural production; 
     or
       (ii) is likely to be returned to the previous agricultural 
     use.
       (B) Requirement.--The Secretary shall establish procedures 
     to identify land described in subparagraph (A).

     SEC. 1113. PAYMENT YIELDS.

       (a) Establishment and Purpose.--For the purpose of making 
     price loss coverage payments under section 1116, the 
     Secretary shall provide for the establishment of a yield for 
     each farm for any designated oilseed for which a payment 
     yield was not established under section 1102 of the Food, 
     Conservation, and Energy Act of 2008 (7 U.S.C. 8712) in 
     accordance with this section.
       (b) Payment Yields for Designated Oilseeds.--
       (1) Determination of average yield.--In the case of 
     designated oilseeds, the Secretary shall determine the 
     average yield per planted acre for the designated oilseed on 
     a farm for the 1998 through 2001 crop years, excluding any 
     crop year in which the acreage planted to the designated 
     oilseed was zero.
       (2) Adjustment for payment yield.--
       (A) In general.--The payment yield for a farm for a 
     designated oilseed shall be equal to the product of the 
     following:
       (i) The average yield for the designated oilseed determined 
     under paragraph (1).
       (ii) The ratio resulting from dividing the national average 
     yield for the designated oilseed for the 1981 through 1985 
     crops by the national average yield for the designated 
     oilseed for the 1998 through 2001 crops.
       (B) No national average yield information available.--To 
     the extent that national average yield information for a 
     designated oilseed is not available, the Secretary shall use 
     such information as the Secretary determines to be fair and 
     equitable to establish a national average yield under this 
     section.
       (3) Use of county average yield.--If the yield per planted 
     acre for a crop of a designated oilseed for a farm for any of 
     the 1998 through 2001 crop years was less than 75 percent of 
     the county yield for that designated oilseed, the Secretary 
     shall assign a yield for that crop year equal to 75 percent 
     of the county yield for the purpose of determining the 
     average under paragraph (1).
       (c) Effect of Lack of Payment Yield.--
       (1) Establishment by secretary.--In the case of a covered 
     commodity on a farm for which base acres have been 
     established or that is planted on generic base acres, if no 
     payment yield is otherwise established for the covered 
     commodity on the farm, the Secretary shall establish an 
     appropriate payment yield for the covered commodity on the 
     farm under paragraph (2).
       (2) Use of similarly situated farms.--To establish an 
     appropriate payment yield for a covered commodity on a farm 
     as required by paragraph (1), the Secretary shall take into 
     consideration the farm program payment yields applicable to 
     that covered commodity for similarly situated farms. The use 
     of such data in an appeal, by the Secretary or by the 
     producer, shall not be subject to any other provision of law.
       (d) Single Opportunity To Update Yields Used To Determine 
     Price Loss Coverage Payments.--
       (1) Election to update.--At the sole discretion of the 
     owner of a farm, the owner of a farm shall have a 1-time 
     opportunity to update, on a covered commodity-by-covered-
     commodity basis, the payment yield that would otherwise be 
     used in calculating any price loss coverage payment for each 
     covered commodity on the farm for which the election is made.
       (2) Time for election.--The election under paragraph (1) 
     shall be made at a time and manner to be in effect beginning 
     with the 2014 crop year as determined by the Secretary.
       (3) Method of updating yields.--If the owner of a farm 
     elects to update yields under this subsection, the payment 
     yield for a covered commodity on the farm, for the purpose of 
     calculating price loss coverage payments only, shall be equal 
     to 90 percent of the average of the yield per planted acre 
     for the crop of the covered commodity on the farm for the 
     2008 through 2012 crop years, as determined by the Secretary, 
     excluding any crop year in which the acreage planted to the 
     crop of the covered commodity was zero.
       (4) Use of county average yield.--If the yield per planted 
     acre for a crop of the covered commodity for a farm for any 
     of the 2008 through 2012 crop years was less than 75 percent 
     of the average of the 2008 through 2012 county yield for that 
     commodity, the Secretary shall assign a yield for that crop 
     year equal to 75 percent of the average of the 2008 through 
     2012 county yield for the purposes of determining the average 
     yield under paragraph (3).

     SEC. 1114. PAYMENT ACRES.

       (a) Determination of Payment Acres.--
       (1) General rule.--For the purpose of price loss coverage 
     and agriculture risk coverage when county coverage has been 
     selected under section 1115(b)(1), but subject to subsection 
     (e), the payment acres for each covered commodity on a farm 
     shall be equal to 85 percent of the base acres for the 
     covered commodity on the farm.

[[Page 1861]]

       (2) Effect of individual coverage.--In the case of 
     agriculture risk coverage when individual coverage has been 
     selected under section 1115(b)(2), but subject to subsection 
     (e), the payment acres for a farm shall be equal to 65 
     percent of the base acres for all of the covered commodities 
     on the farm.
       (b) Treatment of Generic Base Acres.--
       (1) In general.--In the case of generic base acres, price 
     loss coverage payments and agriculture risk coverage payments 
     are made only with respect to generic base acres planted to a 
     covered commodity for the crop year.
       (2) Attribution.--With respect to a farm containing generic 
     base acres, for the purpose of applying paragraphs (1)(B) and 
     (2)(B) of subsection (a), generic base acres on the farm are 
     attributed to a covered commodity in the following manner:
       (A) If a single covered commodity is planted and the total 
     acreage planted exceeds the generic base acres on the farm, 
     the generic base acres are attributed to that covered 
     commodity in an amount equal to the total number of generic 
     base acres.
       (B) If multiple covered commodities are planted and the 
     total number of acres planted to all covered commodities on 
     the farm exceeds the generic base acres on the farm, the 
     generic base acres are attributed to each of the covered 
     commodities on the farm on a pro rata basis to reflect the 
     ratio of--
       (i) the acreage planted to a covered commodity on the farm; 
     to
       (ii) the total acreage planted to all covered commodities 
     on the farm.
       (C) If the total number of acres planted to all covered 
     commodities on the farm does not exceed the generic base 
     acres on the farm, the number of acres planted to a covered 
     commodity is attributed to that covered commodity.
       (3) Treated as additional acreage.--When generic base acres 
     are planted to a covered commodity or acreage planted to a 
     covered commodity is attributed to generic base acres, the 
     generic base acres are in addition to other base acres on the 
     farm.
       (c) Exclusion.--The quantity of payment acres determined 
     under subsection (a) may not include any crop subsequently 
     planted during the same crop year on the same land for which 
     the first crop is eligible for price loss coverage payments 
     or agriculture risk coverage payments, unless the crop was 
     approved for double cropping in the county, as determined by 
     the Secretary.
       (d) Effect of Minimal Payment Acres.--
       (1) Prohibition on payments.--Notwithstanding any other 
     provision of this title, a producer on a farm may not receive 
     price loss coverage payments or agriculture risk coverage 
     payments if the sum of the base acres on the farm is 10 acres 
     or less, as determined by the Secretary.
       (2) Exceptions.--Paragraph (1) does not apply to a producer 
     that is--
       (A) a socially disadvantaged farmer or rancher (as defined 
     in section 355(e) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 2003(e))); or
       (B) a limited resource farmer or rancher, as defined by the 
     Secretary.
       (e) Effect of Planting Fruits and Vegetables.--
       (1) Reduction required.--In the manner provided in this 
     subsection, payment acres on a farm shall be reduced in any 
     crop year in which fruits, vegetables (other than mung beans 
     and pulse crops), or wild rice have been planted on base 
     acres on a farm.
       (2) Price loss coverage and county coverage.--In the case 
     of price loss coverage payments and agricultural risk 
     coverage payments using county coverage, the reduction under 
     paragraph (1) shall be the amount equal to the base acres 
     planted to crops referred to in such paragraph in excess of 
     15 percent of base acres.
       (3) Individual coverage.--In the case of agricultural risk 
     coverage payments using individual coverage, the reduction 
     under paragraph (1) shall be the amount equal to the base 
     acres planted to crops referred to in such paragraph in 
     excess of 35 percent of base acres.
       (4) Reduction exceptions.--No reduction to payment acres 
     shall be made under this subsection if--
       (A) cover crops or crops referred to in paragraph (1) are 
     grown solely for conservation purposes and not harvested for 
     use or sale, as determined by the Secretary; or
       (B) in any region in which there is a history of double-
     cropping covered commodities with crops referred to in 
     paragraph (1) and such crops were so double-cropped on the 
     base acres, as determined by the Secretary.

     SEC. 1115. PRODUCER ELECTION.

       (a) Election Required.--For the 2014 through 2018 crop 
     years, all of the producers on a farm shall make a 1-time, 
     irrevocable election to obtain--
       (1) price loss coverage under section 1116 on a covered 
     commodity-by-covered-commodity basis; or
       (2) agriculture risk coverage under section 1117.
       (b) Coverage Options.--In the election under subsection 
     (a), the producers on a farm that elect under paragraph (2) 
     of such subsection to obtain agriculture risk coverage under 
     section 1117 shall unanimously select whether to receive 
     agriculture risk coverage payments based on--
       (1) county coverage applicable on a covered commodity-by-
     covered-commodity basis; or
       (2) individual coverage applicable to all of the covered 
     commodities on the farm.
       (c) Effect of Failure to Make Unanimous Election.--If all 
     the producers on a farm fail to make a unanimous election 
     under subsection (a) for the 2014 crop year--
       (1) the Secretary shall not make any payments with respect 
     to the farm for the 2014 crop year under section 1116 or 
     1117; and
       (2) the producers on the farm shall be deemed to have 
     elected price loss coverage under section 1116 for all 
     covered commodities on the farm for the 2015 through 2018 
     crop years.
       (d) Effect of Selection of County Coverage.--If all the 
     producers on a farm select county coverage for a covered 
     commodity under subsection (b)(1), the Secretary may not make 
     price loss coverage payments under section 1116 to the 
     producers on the farm with respect to that covered commodity.
       (e) Effect of Selection of Individual Coverage.--If all the 
     producers on a farm select individual coverage under 
     subsection (b)(2), in addition to the selection and election 
     under this section applying to each producer on the farm, the 
     Secretary shall consider, for purposes of making the 
     calculations required by subsections (b)(2) and (c)(3) of 
     section 1117, the producer's share of all farms in the same 
     State--
       (1) in which the producer has an interest; and
       (2) for which individual coverage has been selected.
       (f) Prohibition on Reconstitution.--The Secretary shall 
     ensure that producers on a farm do not reconstitute the farm 
     to void or change an election or selection made under this 
     section.

     SEC. 1116. PRICE LOSS COVERAGE.

       (a) Price Loss Coverage Payments.--If all of the producers 
     on a farm make the election under subsection (a) of section 
     1115 to obtain price loss coverage or, subject to subsection 
     (c)(1) of such section, are deemed to have made such election 
     under subsection (c)(2) of such section, the Secretary shall 
     make price loss coverage payments to producers on the farm on 
     a covered commodity-by-covered-commodity basis if the 
     Secretary determines that, for any of the 2014 through 2018 
     crop years--
       (1) the effective price for the covered commodity for the 
     crop year; is less than
       (2) the reference price for the covered commodity for the 
     crop year.
       (b) Effective Price.--The effective price for a covered 
     commodity for a crop year shall be the higher of--
       (1) the national average market price received by producers 
     during the 12-month marketing year for the covered commodity, 
     as determined by the Secretary; or
       (2) the national average loan rate for a marketing 
     assistance loan for the covered commodity in effect for such 
     crop year under subtitle B.
       (c) Payment Rate.--The payment rate shall be equal to the 
     difference between--
       (1) the reference price for the covered commodity; and
       (2) the effective price determined under subsection (b) for 
     the covered commodity.
       (d) Payment Amount.--If price loss coverage payments are 
     required to be provided under this section for any of the 
     2014 through 2018 crop years for a covered commodity, the 
     amount of the price loss coverage payment to be paid to the 
     producers on a farm for the crop year shall be equal to the 
     product obtained by multiplying--
       (1) the payment rate for the covered commodity under 
     subsection (c);
       (2) the payment yield for the covered commodity; and
       (3) the payment acres for the covered commodity.
       (e) Time for Payments.--If the Secretary determines under 
     this section that price loss coverage payments are required 
     to be provided for the covered commodity, the payments shall 
     be made beginning October 1, or as soon as practicable 
     thereafter, after the end of the applicable marketing year 
     for the covered commodity.
       (f) Effective Price for Barley.--In determining the 
     effective price for barley under subsection (b), the 
     Secretary shall use the all-barley price.
       (g) Reference Price for Temperate Japonica Rice.--The 
     Secretary shall provide a reference price with respect to 
     temperate japonica rice in an amount equal to 115 percent of 
     the amount established in subparagraphs (F) and (G) of 
     section 1111(18) in order to reflect price premiums.

     SEC. 1117. AGRICULTURE RISK COVERAGE.

       (a) Agriculture Risk Coverage Payments.--If all of the 
     producers on a farm make the election under section 1115(a) 
     to obtain agriculture risk coverage, the Secretary shall make 
     agriculture risk coverage payments to producers on the farm 
     if the Secretary determines that, for any of the 2014 through 
     2018 crop years--
       (1) the actual crop revenue determined under subsection (b) 
     for the crop year; is less than
       (2) the agriculture risk coverage guarantee determined 
     under subsection (c) for the crop year.
       (b) Actual Crop Revenue.--
       (1) County coverage.--In the case of county coverage, the 
     amount of the actual crop

[[Page 1862]]

     revenue for a county for a crop year of a covered commodity 
     shall be equal to the product obtained by multiplying--
       (A) the actual average county yield per planted acre for 
     the covered commodity, as determined by the Secretary; and
       (B) the higher of--
       (i) the national average market price received by producers 
     during the 12-month marketing year for the covered commodity, 
     as determined by the Secretary; or
       (ii) the national average loan rate for a marketing 
     assistance loan for the covered commodity in effect for such 
     crop year under subtitle B.
       (2) Individual coverage.--In the case of individual 
     coverage, the amount of the actual crop revenue for a 
     producer on a farm for a crop year shall be based on the 
     producer's share of all covered commodities planted on all 
     farms for which individual coverage has been selected and in 
     which the producer has an interest, to be determined by the 
     Secretary as follows:
       (A) For each covered commodity, the product obtained by 
     multiplying--
       (i) the total production of the covered commodity on such 
     farms, as determined by the Secretary; and
       (ii) the higher of--

       (I) the national average market price received by producers 
     during the 12-month marketing year, as determined by the 
     Secretary; or
       (II) the national average loan rate for a marketing 
     assistance loan for the covered commodity in effect for such 
     crop year under subtitle B.

       (B) The sum of the amounts determined under subparagraph 
     (A) for all covered commodities on such farms.
       (C) The quotient obtained by dividing the amount determined 
     under subparagraph (B) by the total planted acres of all 
     covered commodities on such farms.
       (c) Agriculture Risk Coverage Guarantee.--
       (1) In general.--The agriculture risk coverage guarantee 
     for a crop year for a covered commodity shall equal 86 
     percent of the benchmark revenue.
       (2) Benchmark revenue for county coverage.--In the case of 
     county coverage, the benchmark revenue shall be the product 
     obtained by multiplying--
       (A) subject to paragraph (4), the average historical county 
     yield as determined by the Secretary for the most recent 5 
     crop years, excluding each of the crop years with the highest 
     and lowest yields; and
       (B) subject to paragraph (5), the national average market 
     price received by producers during the 12-month marketing 
     year for the most recent 5 crop years, excluding each of the 
     crop years with the highest and lowest prices.
       (3) Benchmark revenue for individual coverage.--In the case 
     of individual coverage, the benchmark revenue for a producer 
     on a farm for a crop year shall be based on the producer's 
     share of all covered commodities planted on all farms for 
     which individual coverage has been selected and in which the 
     producer has an interest, to be determined by the Secretary 
     as follows:
       (A) For each covered commodity for each of the most recent 
     5 crop years, the product obtained by multiplying--
       (i) subject to paragraph (4), the yield per planted acre 
     for the covered commodity on such farms, as determined by the 
     Secretary; by
       (ii) subject to paragraph (5), the national average market 
     price received by producers during the 12-month marketing 
     year.
       (B) For each covered commodity, the average of the revenues 
     determined under subparagraph (A) for the most recent 5 crop 
     years, excluding each of the crop years with the highest and 
     lowest revenues.
       (C) For each of the 2014 through 2018 crop years, the sum 
     of the amounts determined under subparagraph (B) for all 
     covered commodities on such farms, but adjusted to reflect 
     the ratio between the total number of acres planted on such 
     farms to a covered commodity and the total acres of all 
     covered commodities planted on such farms.
       (4) Yield conditions.--If the yield per planted acre for 
     the covered commodity or historical county yield per planted 
     acre for the covered commodity for any of the 5 most recent 
     crop years, as determined by the Secretary, is less than 70 
     percent of the transitional yield, as determined by the 
     Secretary, the amounts used for any of those years in 
     paragraph (2)(A) or (3)(A)(i) shall be 70 percent of the 
     transitional yield.
       (5) Reference price.--If the national average market price 
     received by producers during the 12-month marketing year for 
     any of the 5 most recent crop years is lower than the 
     reference price for the covered commodity, the Secretary 
     shall use the reference price for any of those years for the 
     amounts in paragraph (2)(B) or (3)(A)(ii).
       (d) Payment Rate.--The payment rate for a covered 
     commodity, in the case of county coverage, or a farm, in the 
     case of individual coverage, shall be equal to the lesser 
     of--
       (1) the amount that--
       (A) the agriculture risk coverage guarantee for the crop 
     year applicable under subsection (c); exceeds
       (B) the actual crop revenue for the crop year applicable 
     under subsection (b); or
       (2) 10 percent of the benchmark revenue for the crop year 
     applicable under subsection (c).
       (e) Payment Amount.--If agriculture risk coverage payments 
     are required to be paid for any of the 2014 through 2018 crop 
     years, the amount of the agriculture risk coverage payment 
     for the crop year shall be determined by multiplying--
       (1) the payment rate determined under subsection (d); and
       (2) the payment acres determined under section 1114.
       (f) Time for Payments.--If the Secretary determines that 
     agriculture risk coverage payments are required to be 
     provided for the covered commodity, payments shall be made 
     beginning October 1, or as soon as practicable thereafter, 
     after the end of the applicable marketing year for the 
     covered commodity.
       (g) Additional Duties of the Secretary.--In providing 
     agriculture risk coverage, the Secretary shall--
       (1) to the maximum extent practicable, use all available 
     information and analysis, including data mining, to check for 
     anomalies in the determination of agriculture risk coverage 
     payments;
       (2) to the maximum extent practicable, calculate a separate 
     actual crop revenue and agriculture risk coverage guarantee 
     for irrigated and nonirrigated covered commodities;
       (3) in the case of individual coverage, assign an average 
     yield for a farm on the basis of the yield history of 
     representative farms in the State, region, or crop reporting 
     district, as determined by the Secretary, if the Secretary 
     determines that the farm has planted acreage in a quantity 
     that is insufficient to calculate a representative average 
     yield for the farm; and
       (4) in the case of county coverage, assign an actual or 
     benchmark county yield for each planted acre for the crop 
     year for the covered commodity on the basis of the yield 
     history of representative farms in the State, region, or crop 
     reporting district, as determined by the Secretary, if--
       (A) the Secretary cannot establish the actual or benchmark 
     county yield for each planted acre for a crop year for a 
     covered commodity in the county in accordance with subsection 
     (b)(1) or (c)(2); or
       (B) the yield determined under subsection (b)(1) or (c)(2) 
     is an unrepresentative average yield for the county, as 
     determined by the Secretary.

     SEC. 1118. PRODUCER AGREEMENTS.

       (a) Compliance With Certain Requirements.--
       (1) Requirements.--Before the producers on a farm may 
     receive payments under this subtitle with respect to the 
     farm, the producers shall agree, during the crop year for 
     which the payments are made and in exchange for the 
     payments--
       (A) to comply with applicable conservation requirements 
     under subtitle B of title XII of the Food Security Act of 
     1985 (16 U.S.C. 3811 et seq.);
       (B) to comply with applicable wetland protection 
     requirements under subtitle C of title XII of that Act (16 
     U.S.C. 3821 et seq.);
       (C) to effectively control noxious weeds and otherwise 
     maintain the land in accordance with sound agricultural 
     practices, as determined by the Secretary; and
       (D) to use the land on the farm, in a quantity equal to the 
     attributable base acres for the farm and any base acres for 
     an agricultural or conserving use, and not for a 
     nonagricultural commercial, industrial, or residential use, 
     as determined by the Secretary.
       (2) Compliance.--The Secretary may issue such rules as the 
     Secretary considers necessary to ensure producer compliance 
     with the requirements of paragraph (1).
       (3) Modification.--At the request of the transferee or 
     owner, the Secretary may modify the requirements of this 
     subsection if the modifications are consistent with the 
     objectives of this subsection, as determined by the 
     Secretary.
       (b) Transfer or Change of Interest in Farm.--
       (1) Termination.--
       (A) In general.--Except as provided in paragraph (2), a 
     transfer of (or change in) the interest of the producers on a 
     farm for which payments under this subtitle are provided 
     shall result in the termination of the payments, unless the 
     transferee or owner of the acreage agrees to assume all 
     obligations under subsection (a).
       (B) Effective date.--The termination shall take effect on 
     the date determined by the Secretary.
       (2) Exception.--If a producer entitled to a payment under 
     this subtitle dies, becomes incompetent, or is otherwise 
     unable to receive the payment, the Secretary shall make the 
     payment in accordance with rules issued by the Secretary.
       (c) Acreage Reports.--As a condition on the receipt of any 
     benefits under this subtitle or subtitle B, the Secretary 
     shall require producers on a farm to submit to the Secretary 
     annual acreage reports with respect to all cropland on the 
     farm.
       (d) Production Reports.--As an additional condition on 
     receiving agriculture risk coverage payments for individual 
     coverage, the Secretary shall require a producer on a farm to 
     submit to the Secretary annual production reports with 
     respect to all covered commodities produced on all farms in 
     the same State--

[[Page 1863]]

       (1) in which the producer has an interest; and
       (2) for which individual coverage has been selected.
       (e) Effect of Inaccurate Reports.--No penalty with respect 
     to benefits under this subtitle or subtitle B shall be 
     assessed against a producer on a farm for an inaccurate 
     acreage or production report unless the Secretary determines 
     that the producer on the farm knowingly and willfully 
     falsified the acreage or production report.
       (f) Tenants and Sharecroppers.--In carrying out this 
     subtitle, the Secretary shall provide adequate safeguards to 
     protect the interests of tenants and sharecroppers.
       (g) Sharing of Payments.--The Secretary shall provide for 
     the sharing of payments made under this subtitle among the 
     producers on a farm on a fair and equitable basis.

     SEC. 1119. TRANSITION ASSISTANCE FOR PRODUCERS OF UPLAND 
                   COTTON.

       (a) Availability.--
       (1) Purpose.--It is the purpose of this section to provide 
     transition assistance to producers of upland cotton in light 
     of the repeal of section 1103 of the Food, Conservation, and 
     Energy Act of 2008 (7 U.S.C. 8713), the inapplicability of 
     sections 1116 and 1117 to upland cotton, and the delayed 
     implementation of the Stacked Income Protection Plan required 
     by section 508B of the Federal Crop Insurance Act (7 U.S.C. 
     1508b), as added by section 11017 of this Act.
       (2) 2014 crop year.--For the 2014 crop of upland cotton, 
     the Secretary shall provide transition assistance, pursuant 
     to the terms and conditions of this section, to producers on 
     a farm for which cotton base acres were in existence for the 
     2013 crop year.
       (3) 2015 crop year.--For the 2015 crop of upland cotton, 
     the Secretary shall provide transition assistance, pursuant 
     to the terms and conditions of this section, to producers on 
     a farm--
       (A) for which cotton base acres were in existence for the 
     2013 crop year; and
       (B) that is located in a county in which the Stacked Income 
     Protection Plan required by section 508B of the Federal Crop 
     Insurance Act (7 U.S.C. 1508b) is not available to producers 
     of upland cotton for the 2015 crop year.
       (b) Transition Assistance Rate.--The transition assistance 
     rate shall be equal to the product obtained by multiplying--
       (1) the June 12, 2013, midpoint estimate for the marketing 
     year average price of upland cotton received by producers for 
     the marketing year beginning August 1, 2013, minus the 
     December 10, 2013, midpoint estimate for the marketing year 
     average price of upland cotton received by producers for the 
     marketing year beginning August 1, 2013, as contained in the 
     applicable World Agricultural Supply and Demand Estimates 
     report published by the Department of Agriculture; and
       (2) the national program yield for upland cotton of 597 
     pounds per acre.
       (c) Calculation of Transition Assistance Amount.--The 
     amount of transition assistance to be provided under this 
     section to producers on a farm for a crop year shall be equal 
     to the product obtained by multiplying--
       (1) for the 2014 crop year, 60 percent, and for the 2015 
     crop year, 36.5 percent, of the cotton base acres referred to 
     in subsection (a) for the farm, subject to adjustment or 
     reduction for conservation measures as provided in 
     subsections (b) and (c) of section 1112;
       (2) the transition assistance rate in effect for the crop 
     year under subsection (b); and
       (3) the payment yield for upland cotton for the farm 
     established for purposes of section 1103(c)(3) of the Food, 
     Conservation, and Energy Act of 2008 (7 U.S.C. 8713(c)(3)), 
     divided by the national program yield for upland cotton of 
     597 pounds per acre.
       (d) Time for Payment.--The Secretary may not make 
     transition assistance payments for a crop year under this 
     section before October 1 of the calendar year in which the 
     crop of upland cotton is harvested.
       (e) Payment Limitations.--Sections 1001 through 1001C of 
     the Food Security Act of 1985 (7 U.S.C. 1308 through 1308C), 
     as in effect on September 30, 2013, shall apply to the 
     receipt of transition assistance under this section in the 
     same manner as such sections applied to section 1103 of the 
     Food, Conservation, and Energy Act of 2008 (7 U.S.C. 8713).

                      Subtitle B--Marketing Loans

     SEC. 1201. AVAILABILITY OF NONRECOURSE MARKETING ASSISTANCE 
                   LOANS FOR LOAN COMMODITIES.

       (a) Definition of Loan Commodity.--In this subtitle, the 
     term ``loan commodity'' means wheat, corn, grain sorghum, 
     barley, oats, upland cotton, extra long staple cotton, long 
     grain rice, medium grain rice, peanuts, soybeans, other 
     oilseeds, graded wool, nongraded wool, mohair, honey, dry 
     peas, lentils, small chickpeas, and large chickpeas.
       (b) Nonrecourse Loans Available.--
       (1) In general.--For each of the 2014 through 2018 crops of 
     each loan commodity, the Secretary shall make available to 
     producers on a farm nonrecourse marketing assistance loans 
     for loan commodities produced on the farm.
       (2) Terms and conditions.--The marketing assistance loans 
     shall be made under terms and conditions that are prescribed 
     by the Secretary and at the loan rate established under 
     section 1202 for the loan commodity.
       (c) Eligible Production.--The producers on a farm shall be 
     eligible for a marketing assistance loan under subsection (b) 
     for any quantity of a loan commodity produced on the farm.
       (d) Compliance With Conservation and Wetlands 
     Requirements.--As a condition of the receipt of a marketing 
     assistance loan under subsection (b), the producer shall 
     comply with applicable conservation requirements under 
     subtitle B of title XII of the Food Security Act of 1985 (16 
     U.S.C. 3811 et seq.) and applicable wetland protection 
     requirements under subtitle C of title XII of that Act (16 
     U.S.C. 3821 et seq.) during the term of the loan.
       (e) Special Rules for Peanuts.--
       (1) In general.--This subsection shall apply only to 
     producers of peanuts.
       (2) Options for obtaining loan.--A marketing assistance 
     loan under this section, and loan deficiency payments under 
     section 1205, may be obtained at the option of the producers 
     on a farm through--
       (A) a designated marketing association or marketing 
     cooperative of producers that is approved by the Secretary; 
     or
       (B) the Farm Service Agency.
       (3) Storage of loan peanuts.--As a condition on the 
     approval by the Secretary of an individual or entity to 
     provide storage for peanuts for which a marketing assistance 
     loan is made under this section, the individual or entity 
     shall agree--
       (A) to provide the storage on a nondiscriminatory basis; 
     and
       (B) to comply with such additional requirements as the 
     Secretary considers appropriate to accomplish the purposes of 
     this section and promote fairness in the administration of 
     the benefits of this section.
       (4) Storage, handling, and associated costs.--
       (A) In general.--To ensure proper storage of peanuts for 
     which a loan is made under this section, the Secretary shall 
     pay handling and other associated costs (other than storage 
     costs) incurred at the time at which the peanuts are placed 
     under loan, as determined by the Secretary.
       (B) Redemption and forfeiture.--The Secretary shall--
       (i) require the repayment of handling and other associated 
     costs paid under subparagraph (A) for all peanuts pledged as 
     collateral for a loan that is redeemed under this section; 
     and
       (ii) pay storage, handling, and other associated costs for 
     all peanuts pledged as collateral that are forfeited under 
     this section.
       (5) Marketing.--A marketing association or cooperative may 
     market peanuts for which a loan is made under this section in 
     any manner that conforms to consumer needs, including the 
     separation of peanuts by type and quality.
       (6) Reimbursable agreements and payment of administrative 
     expenses.--The Secretary may implement any reimbursable 
     agreements or provide for the payment of administrative 
     expenses under this subsection only in a manner that is 
     consistent with those activities in regard to other loan 
     commodities.

     SEC. 1202. LOAN RATES FOR NONRECOURSE MARKETING ASSISTANCE 
                   LOANS.

       (a) In General.--For purposes of each of the 2014 through 
     2018 crop years, the loan rate for a marketing assistance 
     loan under section 1201 for a loan commodity shall be equal 
     to the following:
       (1) In the case of wheat, $2.94 per bushel.
       (2) In the case of corn, $1.95 per bushel.
       (3) In the case of grain sorghum, $1.95 per bushel.
       (4) In the case of barley, $1.95 per bushel.
       (5) In the case of oats, $1.39 per bushel.
       (6) In the case of base quality of upland cotton, for each 
     of the 2014 through 2018 crop years, the simple average of 
     the adjusted prevailing world price for the 2 immediately 
     preceding marketing years, as determined by the Secretary and 
     announced October 1 preceding the next domestic plantings, 
     but in no case less than $0.45 per pound or more than $0.52 
     per pound.
       (7) In the case of extra long staple cotton, $0.7977 per 
     pound.
       (8) In the case of long grain rice, $6.50 per 
     hundredweight.
       (9) In the case of medium grain rice, $6.50 per 
     hundredweight.
       (10) In the case of soybeans, $5.00 per bushel.
       (11) In the case of other oilseeds, $10.09 per 
     hundredweight for each of the following kinds of oilseeds:
       (A) Sunflower seed.
       (B) Rapeseed.
       (C) Canola.
       (D) Safflower.
       (E) Flaxseed.
       (F) Mustard seed.
       (G) Crambe.
       (H) Sesame seed.
       (I) Other oilseeds designated by the Secretary.
       (12) In the case of dry peas, $5.40 per hundredweight.
       (13) In the case of lentils, $11.28 per hundredweight.
       (14) In the case of small chickpeas, $7.43 per 
     hundredweight.
       (15) In the case of large chickpeas, $11.28 per 
     hundredweight.

[[Page 1864]]

       (16) In the case of graded wool, $1.15 per pound.
       (17) In the case of nongraded wool, $0.40 per pound.
       (18) In the case of mohair, $4.20 per pound.
       (19) In the case of honey, $0.69 per pound.
       (20) In the case of peanuts, $355 per ton.
       (b) Single County Loan Rate for Other Oilseeds.--The 
     Secretary shall establish a single loan rate in each county 
     for each kind of other oilseeds described in subsection 
     (a)(11).

     SEC. 1203. TERM OF LOANS.

       (a) Term of Loan.--In the case of each loan commodity, a 
     marketing assistance loan under section 1201 shall have a 
     term of 9 months beginning on the first day of the first 
     month after the month in which the loan is made.
       (b) Extensions Prohibited.--The Secretary may not extend 
     the term of a marketing assistance loan for any loan 
     commodity.

     SEC. 1204. REPAYMENT OF LOANS.

       (a) General Rule.--The Secretary shall permit the producers 
     on a farm to repay a marketing assistance loan under section 
     1201 for a loan commodity (other than upland cotton, long 
     grain rice, medium grain rice, extra long staple cotton, 
     peanuts and confectionery and each other kind of sunflower 
     seed (other than oil sunflower seed)) at a rate that is the 
     lesser of--
       (1) the loan rate established for the commodity under 
     section 1202, plus interest (determined in accordance with 
     section 163 of the Federal Agriculture Improvement and Reform 
     Act of 1996 (7 U.S.C. 7283));
       (2) a rate (as determined by the Secretary) that--
       (A) is calculated based on average market prices for the 
     loan commodity during the preceding 30-day period; and
       (B) will minimize discrepancies in marketing loan benefits 
     across State boundaries and across county boundaries; or
       (3) a rate that the Secretary may develop using alternative 
     methods for calculating a repayment rate for a loan commodity 
     that the Secretary determines will--
       (A) minimize potential loan forfeitures;
       (B) minimize the accumulation of stocks of the commodity by 
     the Federal Government;
       (C) minimize the cost incurred by the Federal Government in 
     storing the commodity;
       (D) allow the commodity produced in the United States to be 
     marketed freely and competitively, both domestically and 
     internationally; and
       (E) minimize discrepancies in marketing loan benefits 
     across State boundaries and across county boundaries.
       (b) Repayment Rates for Upland Cotton, Long Grain Rice, and 
     Medium Grain Rice.--The Secretary shall permit producers to 
     repay a marketing assistance loan under section 1201 for 
     upland cotton, long grain rice, and medium grain rice at a 
     rate that is the lesser of--
       (1) the loan rate established for the commodity under 
     section 1202, plus interest (determined in accordance with 
     section 163 of the Federal Agriculture Improvement and Reform 
     Act of 1996 (7 U.S.C. 7283)); or
       (2) the prevailing world market price for the commodity, as 
     determined and adjusted by the Secretary in accordance with 
     this section.
       (c) Repayment Rates for Extra Long Staple Cotton.--
     Repayment of a marketing assistance loan for extra long 
     staple cotton shall be at the loan rate established for the 
     commodity under section 1202, plus interest (determined in 
     accordance with section 163 of the Federal Agriculture 
     Improvement and Reform Act of 1996 (7 U.S.C. 7283)).
       (d) Prevailing World Market Price.--For purposes of this 
     section and section 1207, the Secretary shall prescribe by 
     regulation--
       (1) a formula to determine the prevailing world market 
     price for each of upland cotton, long grain rice, and medium 
     grain rice; and
       (2) a mechanism by which the Secretary shall announce 
     periodically those prevailing world market prices.
       (e) Adjustment of Prevailing World Market Price for Upland 
     Cotton, Long Grain Rice, and Medium Grain Rice.--
       (1) Rice.--The prevailing world market price for long grain 
     rice and medium grain rice determined under subsection (d) 
     shall be adjusted to United States quality and location.
       (2) Cotton.--The prevailing world market price for upland 
     cotton determined under subsection (d)--
       (A) shall be adjusted to United States quality and 
     location, with the adjustment to include--
       (i) a reduction equal to any United States Premium Factor 
     for upland cotton of a quality higher than Middling (M) 1\3/
     32\-inch; and
       (ii) the average costs to market the commodity, including 
     average transportation costs, as determined by the Secretary; 
     and
       (B) may be further adjusted, during the period beginning on 
     the date of enactment of this Act and ending on July 31, 
     2019, if the Secretary determines the adjustment is 
     necessary--
       (i) to minimize potential loan forfeitures;
       (ii) to minimize the accumulation of stocks of upland 
     cotton by the Federal Government;
       (iii) to ensure that upland cotton produced in the United 
     States can be marketed freely and competitively, both 
     domestically and internationally; and
       (iv) to ensure an appropriate transition between current-
     crop and forward-crop price quotations, except that the 
     Secretary may use forward-crop price quotations prior to July 
     31 of a marketing year only if--

       (I) there are insufficient current-crop price quotations; 
     and
       (II) the forward-crop price quotation is the lowest such 
     quotation available.

       (3) Guidelines for additional adjustments.--In making 
     adjustments under this subsection, the Secretary shall 
     establish a mechanism for determining and announcing the 
     adjustments in order to avoid undue disruption in the United 
     States market.
       (f) Repayment Rates for Confectionery and Other Kinds of 
     Sunflower Seeds.--The Secretary shall permit the producers on 
     a farm to repay a marketing assistance loan under section 
     1201 for confectionery and each other kind of sunflower seed 
     (other than oil sunflower seed) at a rate that is the lesser 
     of--
       (1) the loan rate established for the commodity under 
     section 1202, plus interest (determined in accordance with 
     section 163 of the Federal Agriculture Improvement and Reform 
     Act of 1996 (7 U.S.C. 7283)); or
       (2) the repayment rate established for oil sunflower seed.
       (g) Payment of Cotton Storage Costs.--Effective for each of 
     the 2014 through 2018 crop years, the Secretary shall make 
     cotton storage payments available in the same manner, and at 
     the same rates as the Secretary provided storage payments for 
     the 2006 crop of cotton, except that the rates shall be 
     reduced by 10 percent.
       (h) Repayment Rate for Peanuts.--The Secretary shall permit 
     producers on a farm to repay a marketing assistance loan for 
     peanuts under section 1201 at a rate that is the lesser of--
       (1) the loan rate established for peanuts under section 
     1202(a)(20), plus interest (determined in accordance with 
     section 163 of the Federal Agriculture Improvement and Reform 
     Act of 1996 (7 U.S.C. 7283)); or
       (2) a rate that the Secretary determines will--
       (A) minimize potential loan forfeitures;
       (B) minimize the accumulation of stocks of peanuts by the 
     Federal Government;
       (C) minimize the cost incurred by the Federal Government in 
     storing peanuts; and
       (D) allow peanuts produced in the United States to be 
     marketed freely and competitively, both domestically and 
     internationally.
       (i) Authority To Temporarily Adjust Repayment Rates.--
       (1) Adjustment authority.--In the event of a severe 
     disruption to marketing, transportation, or related 
     infrastructure, the Secretary may modify the repayment rate 
     otherwise applicable under this section for marketing 
     assistance loans under section 1201 for a loan commodity.
       (2) Duration.--Any adjustment made under paragraph (1) in 
     the repayment rate for marketing assistance loans for a loan 
     commodity shall be in effect on a short-term and temporary 
     basis, as determined by the Secretary.

     SEC. 1205. LOAN DEFICIENCY PAYMENTS.

       (a) Availability of Loan Deficiency Payments.--
       (1) In general.--Except as provided in subsection (d), the 
     Secretary may make loan deficiency payments available to 
     producers on a farm that, although eligible to obtain a 
     marketing assistance loan under section 1201 with respect to 
     a loan commodity, agree to forgo obtaining the loan for the 
     commodity in return for loan deficiency payments under this 
     section.
       (2) Unshorn pelts, hay, and silage.--
       (A) Marketing assistance loans.--Subject to subparagraph 
     (B), nongraded wool in the form of unshorn pelts and hay and 
     silage derived from a loan commodity are not eligible for a 
     marketing assistance loan under section 1201.
       (B) Loan deficiency payment.--Effective for each of the 
     2014 through 2018 crop years, the Secretary may make loan 
     deficiency payments available under this section to producers 
     on a farm that produce unshorn pelts or hay and silage 
     derived from a loan commodity.
       (b) Computation.--A loan deficiency payment for a loan 
     commodity or commodity referred to in subsection (a)(2) shall 
     be equal to the product obtained by multiplying--
       (1) the payment rate determined under subsection (c) for 
     the commodity; by
       (2) the quantity of the commodity produced by the eligible 
     producers, excluding any quantity for which the producers 
     obtain a marketing assistance loan under section 1201.
       (c) Payment Rate.--
       (1) In general.--In the case of a loan commodity, the 
     payment rate shall be the amount by which--
       (A) the loan rate established under section 1202 for the 
     loan commodity; exceeds
       (B) the rate at which a marketing assistance loan for the 
     loan commodity may be repaid under section 1204.
       (2) Unshorn pelts.--In the case of unshorn pelts, the 
     payment rate shall be the amount by which--
       (A) the loan rate established under section 1202 for 
     ungraded wool; exceeds

[[Page 1865]]

       (B) the rate at which a marketing assistance loan for 
     ungraded wool may be repaid under section 1204.
       (3) Hay and silage.--In the case of hay or silage derived 
     from a loan commodity, the payment rate shall be the amount 
     by which--
       (A) the loan rate established under section 1202 for the 
     loan commodity from which the hay or silage is derived; 
     exceeds
       (B) the rate at which a marketing assistance loan for the 
     loan commodity may be repaid under section 1204.
       (d) Exception for Extra Long Staple Cotton.--This section 
     shall not apply with respect to extra long staple cotton.
       (e) Effective Date for Payment Rate Determination.--The 
     Secretary shall determine the amount of the loan deficiency 
     payment to be made under this section to the producers on a 
     farm with respect to a quantity of a loan commodity or 
     commodity referred to in subsection (a)(2) using the payment 
     rate in effect under subsection (c) as of the date the 
     producers request the payment.

     SEC. 1206. PAYMENTS IN LIEU OF LOAN DEFICIENCY PAYMENTS FOR 
                   GRAZED ACREAGE.

       (a) Eligible Producers.--
       (1) In general.--Effective for each of the 2014 through 
     2018 crop years, in the case of a producer that would be 
     eligible for a loan deficiency payment under section 1205 for 
     wheat, barley, or oats, but that elects to use acreage 
     planted to the wheat, barley, or oats for the grazing of 
     livestock, the Secretary shall make a payment to the producer 
     under this section if the producer enters into an agreement 
     with the Secretary to forgo any other harvesting of the 
     wheat, barley, or oats on that acreage.
       (2) Grazing of triticale acreage.--Effective for each of 
     the 2014 through 2018 crop years, with respect to a producer 
     on a farm that uses acreage planted to triticale for the 
     grazing of livestock, the Secretary shall make a payment to 
     the producer under this section if the producer enters into 
     an agreement with the Secretary to forgo any other harvesting 
     of triticale on that acreage.
       (b) Payment Amount.--
       (1) In general.--The amount of a payment made under this 
     section to a producer on a farm described in subsection 
     (a)(1) shall be equal to the amount determined by 
     multiplying--
       (A) the loan deficiency payment rate determined under 
     section 1205(c) in effect, as of the date of the agreement, 
     for the county in which the farm is located; by
       (B) the payment quantity determined by multiplying--
       (i) the quantity of the grazed acreage on the farm with 
     respect to which the producer elects to forgo harvesting of 
     wheat, barley, or oats; and
       (ii)(I) the payment yield in effect for the calculation of 
     price loss coverage under section 1115 with respect to that 
     loan commodity on the farm;
       (II) in the case of a farm for which agriculture risk 
     coverage is elected under section 1116(a), the payment yield 
     that would otherwise be in effect with respect to that loan 
     commodity on the farm in the absence of such election; or
       (III) in the case of a farm for which no payment yield is 
     otherwise established for that loan commodity on the farm, an 
     appropriate yield established by the Secretary in a manner 
     consistent with section 1113(c).
       (2) Grazing of triticale acreage.--The amount of a payment 
     made under this section to a producer on a farm described in 
     subsection (a)(2) shall be equal to the amount determined by 
     multiplying--
       (A) the loan deficiency payment rate determined under 
     section 1205(c) in effect for wheat, as of the date of the 
     agreement, for the county in which the farm is located; by
       (B) the payment quantity determined by multiplying--
       (i) the quantity of the grazed acreage on the farm with 
     respect to which the producer elects to forgo harvesting of 
     triticale; and
       (ii)(I) the payment yield in effect for the calculation of 
     price loss coverage under subtitle A with respect to wheat on 
     the farm;
       (II) in the case of a farm for which agriculture risk 
     coverage is elected under section 1116(a), the payment yield 
     that would otherwise be in effect for wheat on the farm in 
     the absence of such election; or
       (III) in the case of a farm for which no payment yield is 
     otherwise established for wheat on the farm, an appropriate 
     yield established by the Secretary in a manner consistent 
     with section 1113(c).
       (c) Time, Manner, and Availability of Payment.--
       (1) Time and manner.--A payment under this section shall be 
     made at the same time and in the same manner as loan 
     deficiency payments are made under section 1205.
       (2) Availability.--
       (A) In general.--The Secretary shall establish an 
     availability period for the payments authorized by this 
     section.
       (B) Certain commodities.--In the case of wheat, barley, and 
     oats, the availability period shall be consistent with the 
     availability period for the commodity established by the 
     Secretary for marketing assistance loans authorized by this 
     subtitle.
       (d) Prohibition on Crop Insurance Indemnity or Noninsured 
     Crop Assistance.--A 2014 through 2018 crop of wheat, barley, 
     oats, or triticale planted on acreage that a producer elects, 
     in the agreement required by subsection (a), to use for the 
     grazing of livestock in lieu of any other harvesting of the 
     crop shall not be eligible for an indemnity under a policy or 
     plan of insurance authorized under the Federal Crop Insurance 
     Act (7 U.S.C. 1501 et seq.) or noninsured crop assistance 
     under section 196 of the Federal Agriculture Improvement and 
     Reform Act of 1996 (7 U.S.C. 7333).

     SEC. 1207. SPECIAL MARKETING LOAN PROVISIONS FOR UPLAND 
                   COTTON.

       (a) Special Import Quota.--
       (1) Definition of special import quota.--In this 
     subsection, the term ``special import quota'' means a 
     quantity of imports that is not subject to the over-quota 
     tariff rate of a tariff-rate quota.
       (2) Establishment.--
       (A) In general.--The President shall carry out an import 
     quota program beginning on August 1, 2014, as provided in 
     this subsection.
       (B) Program requirements.--Whenever the Secretary 
     determines and announces that for any consecutive 4-week 
     period, the Friday through Thursday average price quotation 
     for the lowest-priced United States growth, as quoted for 
     Middling (M) 1\3/32\-inch cotton, delivered to a definable 
     and significant international market, as determined by the 
     Secretary, exceeds the prevailing world market price, there 
     shall immediately be in effect a special import quota.
       (3) Quantity.--The quota shall be equal to the consumption 
     during a 1-week period of cotton by domestic mills at the 
     seasonally adjusted average rate of the most recent 3 months 
     for which official data of the Department of Agriculture are 
     available or, in the absence of sufficient data, as estimated 
     by the Secretary.
       (4) Application.--The quota shall apply to upland cotton 
     purchased not later than 90 days after the date of the 
     Secretary's announcement under paragraph (2) and entered into 
     the United States not later than 180 days after that date.
       (5) Overlap.--A special quota period may be established 
     that overlaps any existing quota period if required by 
     paragraph (2), except that a special quota period may not be 
     established under this subsection if a quota period has been 
     established under subsection (b).
       (6) Preferential tariff treatment.--The quantity under a 
     special import quota shall be considered to be an in-quota 
     quantity for purposes of--
       (A) section 213(d) of the Caribbean Basin Economic Recovery 
     Act (19 U.S.C. 2703(d));
       (B) section 204 of the Andean Trade Preference Act (19 
     U.S.C. 3203);
       (C) section 503(d) of the Trade Act of 1974 (19 U.S.C. 
     2463(d)); and
       (D) General Note 3(a)(iv) to the Harmonized Tariff 
     Schedule.
       (7) Limitation.--The quantity of cotton entered into the 
     United States during any marketing year under the special 
     import quota established under this subsection may not exceed 
     the equivalent of 10 weeks' consumption of upland cotton by 
     domestic mills at the seasonally adjusted average rate of the 
     3 months immediately preceding the first special import quota 
     established in any marketing year.
       (b) Limited Global Import Quota for Upland Cotton.--
       (1) Definitions.--In this subsection:
       (A) Demand.--The term ``demand'' means--
       (i) the average seasonally adjusted annual rate of domestic 
     mill consumption of cotton during the most recent 3 months 
     for which official data of the Department of Agriculture are 
     available or, in the absence of sufficient data, as estimated 
     by the Secretary; and
       (ii) the larger of--

       (I) average exports of upland cotton during the preceding 6 
     marketing years; or
       (II) cumulative exports of upland cotton plus outstanding 
     export sales for the marketing year in which the quota is 
     established.

       (B) Limited global import quota.--The term ``limited global 
     import quota'' means a quantity of imports that is not 
     subject to the over-quota tariff rate of a tariff-rate quota.
       (C) Supply.--The term ``supply'' means, using the latest 
     official data of the Department of Agriculture--
       (i) the carry-over of upland cotton at the beginning of the 
     marketing year (adjusted to 480-pound bales) in which the 
     quota is established;
       (ii) production of the current crop; and
       (iii) imports to the latest date available during the 
     marketing year.
       (2) Program.--The President shall carry out an import quota 
     program that provides that whenever the Secretary determines 
     and announces that the average price of the base quality of 
     upland cotton, as determined by the Secretary, in the 
     designated spot markets for a month exceeded 130 percent of 
     the average price of the quality of cotton in the markets for 
     the preceding 36 months, notwithstanding any other provision 
     of law, there shall immediately be in effect a limited global 
     import quota subject to the following conditions:
       (A) Quantity.--The quantity of the quota shall be equal to 
     21 days of domestic mill

[[Page 1866]]

     consumption of upland cotton at the seasonally adjusted 
     average rate of the most recent 3 months for which official 
     data of the Department of Agriculture are available or, in 
     the absence of sufficient data, as estimated by the 
     Secretary.
       (B) Quantity if prior quota.--If a quota has been 
     established under this subsection during the preceding 12 
     months, the quantity of the quota next established under this 
     subsection shall be the smaller of 21 days of domestic mill 
     consumption calculated under subparagraph (A) or the quantity 
     required to increase the supply to 130 percent of the demand.
       (C) Preferential tariff treatment.--The quantity under a 
     limited global import quota shall be considered to be an in-
     quota quantity for purposes of--
       (i) section 213(d) of the Caribbean Basin Economic Recovery 
     Act (19 U.S.C. 2703(d));
       (ii) section 204 of the Andean Trade Preference Act (19 
     U.S.C. 3203);
       (iii) section 503(d) of the Trade Act of 1974 (19 U.S.C. 
     2463(d)); and
       (iv) General Note 3(a)(iv) to the Harmonized Tariff 
     Schedule.
       (D) Quota entry period.--When a quota is established under 
     this subsection, cotton may be entered under the quota during 
     the 90-day period beginning on the date the quota is 
     established by the Secretary.
       (3) No overlap.--Notwithstanding paragraph (2), a quota 
     period may not be established that overlaps an existing quota 
     period or a special quota period established under subsection 
     (a).
       (c) Economic Adjustment Assistance to Users of Upland 
     Cotton.--
       (1) In general.--Subject to paragraph (2), the Secretary 
     shall, on a monthly basis, make economic adjustment 
     assistance available to domestic users of upland cotton in 
     the form of payments for all documented use of that upland 
     cotton during the previous monthly period regardless of the 
     origin of the upland cotton.
       (2) Value of assistance.--Effective beginning on August 1, 
     2013, the value of the assistance provided under paragraph 
     (1) shall be 3 cents per pound.
       (3) Allowable purposes.--Economic adjustment assistance 
     under this subsection shall be made available only to 
     domestic users of upland cotton that certify that the 
     assistance shall be used only to acquire, construct, install, 
     modernize, develop, convert, or expand land, plant, 
     buildings, equipment, facilities, or machinery.
       (4) Review or audit.--The Secretary may conduct such review 
     or audit of the records of a domestic user under this 
     subsection as the Secretary determines necessary to carry out 
     this subsection.
       (5) Improper use of assistance.--If the Secretary 
     determines, after a review or audit of the records of the 
     domestic user, that economic adjustment assistance under this 
     subsection was not used for the purposes specified in 
     paragraph (3), the domestic user shall be--
       (A) liable for the repayment of the assistance to the 
     Secretary, plus interest, as determined by the Secretary; and
       (B) ineligible to receive assistance under this subsection 
     for a period of 1 year following the determination of the 
     Secretary.

     SEC. 1208. SPECIAL COMPETITIVE PROVISIONS FOR EXTRA LONG 
                   STAPLE COTTON.

       (a) Competitiveness Program.--Notwithstanding any other 
     provision of law, during the period beginning on the date of 
     enactment of this Act through July 31, 2019, the Secretary 
     shall carry out a program--
       (1) to maintain and expand the domestic use of extra long 
     staple cotton produced in the United States;
       (2) to increase exports of extra long staple cotton 
     produced in the United States; and
       (3) to ensure that extra long staple cotton produced in the 
     United States remains competitive in world markets.
       (b) Payments Under Program; Trigger.--Under the program, 
     the Secretary shall make payments available under this 
     section whenever--
       (1) for a consecutive 4-week period, the world market price 
     for the lowest priced competing growth of extra long staple 
     cotton (adjusted to United States quality and location and 
     for other factors affecting the competitiveness of such 
     cotton), as determined by the Secretary, is below the 
     prevailing United States price for a competing growth of 
     extra long staple cotton; and
       (2) the lowest priced competing growth of extra long staple 
     cotton (adjusted to United States quality and location and 
     for other factors affecting the competitiveness of such 
     cotton), as determined by the Secretary, is less than 134 
     percent of the loan rate for extra long staple cotton.
       (c) Eligible Recipients.--The Secretary shall make payments 
     available under this section to domestic users of extra long 
     staple cotton produced in the United States and exporters of 
     extra long staple cotton produced in the United States that 
     enter into an agreement with the Commodity Credit Corporation 
     to participate in the program under this section.
       (d) Payment Amount.--Payments under this section shall be 
     based on the amount of the difference in the prices referred 
     to in subsection (b)(1) during the fourth week of the 
     consecutive 4-week period multiplied by the amount of 
     documented purchases by domestic users and sales for export 
     by exporters made in the week following such a consecutive 4-
     week period.

     SEC. 1209. AVAILABILITY OF RECOURSE LOANS FOR HIGH MOISTURE 
                   FEED GRAINS AND SEED COTTON.

       (a) High Moisture Feed Grains.--
       (1) Definition of high moisture state.--In this subsection, 
     the term ``high moisture state'' means corn or grain sorghum 
     having a moisture content in excess of Commodity Credit 
     Corporation standards for marketing assistance loans made by 
     the Secretary under section 1201.
       (2) Recourse loans available.--For each of the 2014 through 
     2018 crops of corn and grain sorghum, the Secretary shall 
     make available recourse loans, as determined by the 
     Secretary, to producers on a farm that--
       (A) normally harvest all or a portion of their crop of corn 
     or grain sorghum in a high moisture state;
       (B) present--
       (i) certified scale tickets from an inspected, certified 
     commercial scale, including a licensed warehouse, feedlot, 
     feed mill, distillery, or other similar entity approved by 
     the Secretary, pursuant to regulations issued by the 
     Secretary; or
       (ii) field or other physical measurements of the standing 
     or stored crop in regions of the United States, as determined 
     by the Secretary, that do not have certified commercial 
     scales from which certified scale tickets may be obtained 
     within reasonable proximity of harvest operation;
       (C) certify that the producers on the farm were the owners 
     of the feed grain at the time of delivery to, and that the 
     quantity to be placed under loan under this subsection was in 
     fact harvested on the farm and delivered to, a feedlot, feed 
     mill, or commercial or on-farm high-moisture storage 
     facility, or to a facility maintained by the users of corn 
     and grain sorghum in a high moisture state; and
       (D) comply with deadlines established by the Secretary for 
     harvesting the corn or grain sorghum and submit applications 
     for loans under this subsection within deadlines established 
     by the Secretary.
       (3) Eligibility of acquired feed grains.--A loan under this 
     subsection shall be made on a quantity of corn or grain 
     sorghum of the same crop acquired by the producer equivalent 
     to a quantity determined by multiplying--
       (A) the acreage of the corn or grain sorghum in a high 
     moisture state harvested on the farm of the producer; by
       (B) the lower of--
       (i) the payment yield in effect for the calculation of 
     price loss coverage under section 1115, or the payment yield 
     deemed to be in effect or established under subclause (II) or 
     (III) of section 1206(b)(1)(B)(ii), with respect to corn or 
     grain sorghum on a field that is similar to the field from 
     which the corn or grain sorghum referred to in subparagraph 
     (A) was obtained; or
       (ii) the actual yield of corn or grain sorghum on a field, 
     as determined by the Secretary, that is similar to the field 
     from which the corn or grain sorghum referred to in 
     subparagraph (A) was obtained.
       (b) Recourse Loans Available for Seed Cotton.--For each of 
     the 2014 through 2018 crops of upland cotton and extra long 
     staple cotton, the Secretary shall make available recourse 
     seed cotton loans, as determined by the Secretary, on any 
     production.
       (c) Repayment Rates.--Repayment of a recourse loan made 
     under this section shall be at the loan rate established for 
     the commodity by the Secretary, plus interest (determined in 
     accordance with section 163 of the Federal Agriculture 
     Improvement and Reform Act of 1996 (7 U.S.C. 7283)).

     SEC. 1210. ADJUSTMENTS OF LOANS.

       (a) Adjustment Authority.--Subject to subsection (e), the 
     Secretary may make appropriate adjustments in the loan rates 
     for any loan commodity (other than cotton) for differences in 
     grade, type, quality, location, and other factors.
       (b) Manner of Adjustment.--The adjustments under subsection 
     (a) shall, to the maximum extent practicable, be made in such 
     a manner that the average loan level for the commodity will, 
     on the basis of the anticipated incidence of the factors, be 
     equal to the level of support determined in accordance with 
     this subtitle and subtitle C.
       (c) Adjustment on County Basis.--
       (1) In general.--The Secretary may establish loan rates for 
     a crop for producers in individual counties in a manner that 
     results in the lowest loan rate being 95 percent of the 
     national average loan rate, if those loan rates do not result 
     in an increase in outlays.
       (2) Prohibition.--Adjustments under this subsection shall 
     not result in an increase in the national average loan rate 
     for any year.
       (d) Adjustment in Loan Rate for Cotton.--
       (1) In general.--The Secretary may make appropriate 
     adjustments in the loan rate for cotton for differences in 
     quality factors.
       (2) Types of adjustments.--Loan rate adjustments under 
     paragraph (1) may include--
       (A) the use of non-spot market price data, in addition to 
     spot market price data, that would enhance the accuracy of 
     the price information used in determining quality adjustments 
     under this subsection;
       (B) adjustments in the premiums or discounts associated 
     with upland cotton with a

[[Page 1867]]

     staple length of 33 or above due to micronaire with the goal 
     of eliminating any unnecessary artificial splits in the 
     calculations of the premiums or discounts; and
       (C) such other adjustments as the Secretary determines 
     appropriate, after consultations conducted in accordance with 
     paragraph (3).
       (3) Consultation with private sector.--
       (A) Prior to revision.--In making adjustments to the loan 
     rate for cotton (including any review of the adjustments) as 
     provided in this subsection, the Secretary shall consult with 
     representatives of the United States cotton industry.
       (B) Inapplicability of federal advisory committee act.--The 
     Federal Advisory Committee Act (5 U.S.C. App.) shall not 
     apply to consultations under this subsection.
       (4) Review of adjustments.--The Secretary may review the 
     operation of the upland cotton quality adjustments 
     implemented pursuant to this subsection and may make further 
     adjustments to the administration of the loan program for 
     upland cotton, by revoking or revising any adjustment taken 
     under paragraph (2).
       (e) Rice.--The Secretary shall not make adjustments in the 
     loan rates for long grain rice and medium grain rice, except 
     for differences in grade and quality (including milling 
     yields).

                           Subtitle C--Sugar

     SEC. 1301. SUGAR POLICY.

       (a) Continuation of Current Program and Loan Rates.--
       (1) Sugarcane.--Section 156(a) of the Federal Agriculture 
     Improvement and Reform Act of 1996 (7 U.S.C. 7272(a)) is 
     amended--
       (A) by inserting ``and'' at the end of paragraph (3);
       (B) in paragraph (4), by striking ``the 2011 crop year; 
     and'' and inserting ``each of the 2011 through 2018 crop 
     years.''; and
       (C) by striking paragraph (5).
       (2) Sugar beets.--Section 156(b)(2) of the Federal 
     Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 
     7272(b)(2)) is amended by striking ``2012'' and inserting 
     ``2018''.
       (3) Effective period.--Section 156(i) of the Federal 
     Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 
     7272(i)) is amended by striking ``2012'' and inserting 
     ``2018''.
       (b) Flexible Marketing Allotments for Sugar.--
       (1) Sugar estimates.--Section 359b(a)(1) of the 
     Agricultural Adjustment Act of 1938 (7 U.S.C. 1359bb(a)(1)) 
     is amended by striking ``2012'' and inserting ``2018''.
       (2) Effective period.--Section 359l(a) of the Agricultural 
     Adjustment Act of 1938 (7 U.S.C. 1359ll(a)) is amended by 
     striking ``2012'' and inserting ``2018''.

                           Subtitle D--Dairy

         PART I--MARGIN PROTECTION PROGRAM FOR DAIRY PRODUCERS

     SEC. 1401. DEFINITIONS.

       In this part and part III:
       (1) Actual dairy production margin.--The term ``actual 
     dairy production margin'' means the difference between the 
     all-milk price and the average feed cost, as calculated under 
     section 1402.
       (2) All-milk price.--The term ``all-milk price'' means the 
     average price received, per hundredweight of milk, by dairy 
     operations for all milk sold to plants and dealers in the 
     United States, as determined by the Secretary.
       (3) Average feed cost.--The term ``average feed cost'' 
     means the average cost of feed used by a dairy operation to 
     produce a hundredweight of milk, determined under section 
     1402 using the sum of the following:
       (A) The product determined by multiplying 1.0728 by the 
     price of corn per bushel.
       (B) The product determined by multiplying 0.00735 by the 
     price of soybean meal per ton.
       (C) The product determined by multiplying 0.0137 by the 
     price of alfalfa hay per ton.
       (4) Consecutive 2-month period.--The term ``consecutive 2-
     month period'' refers to the 2-month period consisting of the 
     months of January and February, March and April, May and 
     June, July and August, September and October, or November and 
     December, respectively.
       (5) Dairy operation.--
       (A) In general.--The term ``dairy operation'' means, as 
     determined by the Secretary, 1 or more dairy producers that 
     produce and market milk as a single dairy operation in which 
     each dairy producer--
       (i) shares in the risk of producing milk; and
       (ii) makes contributions (including land, labor, 
     management, equipment, or capital) to the dairy operation of 
     the individual or entity, which are at least commensurate 
     with the individual or entity's share of the proceeds of the 
     operation.
       (B) Additional ownership structures.--The Secretary shall 
     determine additional ownership structures to be covered by 
     the definition of dairy operation.
       (6) Margin protection program.--The term ``margin 
     protection program'' means the margin protection program 
     required by section 1403.
       (7) Margin protection program payment.--The term ``margin 
     protection program payment'' means a payment made to a 
     participating dairy operation under the margin protection 
     program pursuant to section 1406.
       (8) Participating dairy operation.--The term 
     ``participating dairy operation'' means a dairy operation 
     that registers under section 1404 to participate in the 
     margin protection program.
       (9) Production history.--The term ``production history'' 
     means the production history determined for a participating 
     dairy operation under subsection (a) or (b) of section 1405 
     when the participating dairy operation first registers to 
     participate in the margin protection program.
       (10) Secretary.--The term ``Secretary'' means the Secretary 
     of Agriculture.
       (11) United states.--The term ``United States'', in a 
     geographical sense, means the 50 States, the District of 
     Columbia, American Samoa, Guam, the Commonwealth of the 
     Northern Mariana Islands, the Commonwealth of Puerto Rico, 
     the Virgin Islands of the United States, and any other 
     territory or possession of the United States.

     SEC. 1402. CALCULATION OF AVERAGE FEED COST AND ACTUAL DAIRY 
                   PRODUCTION MARGINS.

       (a) Calculation of Average Feed Cost.--The Secretary shall 
     calculate the national average feed cost for each month using 
     the following data:
       (1) The price of corn for a month shall be the price 
     received during that month by farmers in the United States 
     for corn, as reported in the monthly Agricultural Prices 
     report by the Secretary.
       (2) The price of soybean meal for a month shall be the 
     central Illinois price for soybean meal, as reported in the 
     Market News-Monthly Soybean Meal Price Report by the 
     Secretary.
       (3) The price of alfalfa hay for a month shall be the price 
     received during that month by farmers in the United States 
     for alfalfa hay, as reported in the monthly Agricultural 
     Prices report by the Secretary.
       (b) Calculation of Actual Dairy Production Margin.--
       (1) In general.--For use in the margin protection program, 
     the Secretary shall calculate the actual dairy production 
     margin for each consecutive 2-month period by subtracting--
       (A) the average feed cost for that consecutive 2-month 
     period, determined in accordance with subsection (a); from
       (B) the all-milk price for that consecutive 2-month period.
       (2) Time for calculation.--The calculation required by this 
     subsection shall be made as soon as practicable using the 
     full-month price of the applicable reference month.

     SEC. 1403. ESTABLISHMENT OF MARGIN PROTECTION PROGRAM FOR 
                   DAIRY PRODUCERS.

       Not later than September 1, 2014, the Secretary shall 
     establish and administer a margin protection program for 
     dairy producers under which participating dairy operations 
     are paid a margin protection payment when actual dairy 
     production margins are less than the threshold levels for a 
     margin protection payment.

     SEC. 1404. PARTICIPATION OF DAIRY OPERATIONS IN MARGIN 
                   PROTECTION PROGRAM.

       (a) Eligibility.--All dairy operations in the United States 
     shall be eligible to participate in the margin protection 
     program to receive margin protection payments.
       (b) Registration Process.--
       (1) In general.--The Secretary shall specify the manner and 
     form by which a participating dairy operation may register to 
     participate in the margin protection program.
       (2) Treatment of multiproducer dairy operations.--If a 
     participating dairy operation is operated by more than 1 
     dairy producer, all of the dairy producers of the 
     participating dairy operation shall be treated as a single 
     dairy operation for purposes of participating in the margin 
     protection program.
       (3) Treatment of producers with multiple dairy 
     operations.--If a dairy producer operates 2 or more dairy 
     operations, each dairy operation of the producer shall 
     separately register to participate in the margin protection 
     program.
       (c) Annual Administrative Fee.--
       (1) Administrative fee required.--Each participating dairy 
     operation shall--
       (A) pay an administrative fee to register to participate in 
     the margin protection program; and
       (B) pay the administrative fee annually through the 
     duration of the margin protection program specified in 
     section 1409.
       (2) Amount of fee.--The administrative fee for a 
     participating dairy operation shall be $100.
       (3) Use of fees.--The Secretary shall use administrative 
     fees collected under this subsection to cover administrative 
     costs incurred to carry out the margin protection program.
       (d) Relation to Livestock Gross Margin for Dairy Program.--
     A dairy operation may participate in the margin protection 
     program or the livestock gross margin for dairy program under 
     the Federal Crop Insurance Act (7 U.S.C. 1501 et seq.), but 
     not both.

     SEC. 1405. PRODUCTION HISTORY OF PARTICIPATING DAIRY 
                   OPERATIONS.

       (a) Production History.--
       (1) In general.--Except as provided in subsection (b), when 
     a dairy operation first registers to participate in the 
     margin protection program, the production history of the

[[Page 1868]]

     dairy operation for the margin protection program is equal to 
     the highest annual milk marketings of the participating dairy 
     operation during any one of the 2011, 2012, or 2013 calendar 
     years.
       (2) Adjustment.--In subsequent years, the Secretary shall 
     adjust the production history of a participating dairy 
     operation determined under paragraph (1) to reflect any 
     increase in the national average milk production.
       (b) Election by New Dairy Operations.--In the case of a 
     participating dairy operation that has been in operation for 
     less than a year, the participating dairy operation shall 
     elect 1 of the following methods for the Secretary to 
     determine the production history of the participating dairy 
     operation:
       (1) The volume of the actual milk marketings for the months 
     the participating dairy operation has been in operation 
     extrapolated to a yearly amount.
       (2) An estimate of the actual milk marketings of the 
     participating dairy operation based on the herd size of the 
     participating dairy operation relative to the national 
     rolling herd average data published by the Secretary.
       (c) Required Information.--A participating dairy operation 
     shall provide all information that the Secretary may require 
     in order to establish the production history of the 
     participating dairy operation for purposes of participating 
     in the margin protection program.

     SEC. 1406. MARGIN PROTECTION PAYMENTS.

       (a) Coverage Level Threshold and Coverage Percentage.--For 
     purposes of receiving margin protection payments for a 
     consecutive 2-month period, a participating dairy operation 
     shall annually elect--
       (1) a coverage level threshold that is equal to $4.00, 
     $4.50, $5.00, $5.50, $6.00, $6.50, $7.00, $7.50, or $8.00; 
     and
       (2) a percentage of coverage, in 5-percent increments, 
     beginning with 25 percent and not exceeding 90 percent of the 
     production history of the participating dairy operation.
       (b) Payment Threshold.--A participating dairy operation 
     shall receive a margin protection payment whenever the 
     average actual dairy production margin for a consecutive 2-
     month period is less than the coverage level threshold 
     selected by the participating dairy operation.
       (c) Amount of Margin Protection Payment.--The margin 
     protection payment for the participating dairy operation 
     shall be determined as follows:
       (1) The Secretary shall calculate the amount by which the 
     coverage level threshold selected by the participating dairy 
     operation exceeds the average actual dairy production margin 
     for the consecutive 2-month period.
       (2) The amount determined under paragraph (1) shall be 
     multiplied by--
       (A) the coverage percentage selected by the participating 
     dairy operation; and
       (B) the production history of the participating dairy 
     operation divided by 6.

     SEC. 1407. PREMIUMS FOR MARGIN PROTECTION PROGRAM.

       (a) Calculation of Premiums.--For purposes of participating 
     in the margin protection program, a participating dairy 
     operation shall pay an annual premium equal to the product 
     obtained by multiplying--
       (1) the coverage percentage elected by the participating 
     dairy operation under section 1406(a)(2);
       (2) the production history of the participating dairy 
     operation; and
       (3) the premium per hundredweight of milk imposed by this 
     section for the coverage level selected.
       (b) Premium Per Hundredweight for First 4 Million Pounds of 
     Production.--
       (1) In general.--For the first 4,000,000 pounds of milk 
     marketings included in the production history of a 
     participating dairy operation, the premium per hundredweight 
     for each coverage level is specified in the table contained 
     in paragraph (2).
       (2) Producer premiums.--Except as provided in paragraph 
     (3), the following annual premiums apply:


------------------------------------------------------------------------
           Coverage Level                      Premium per Cwt.
------------------------------------------------------------------------
                       $4.00                                 None
                       $4.50                               $0.010
                       $5.00                               $0.025
                       $5.50                               $0.040
                       $6.00                               $0.055
                       $6.50                               $0.090
                       $7.00                               $0.217
                       $7.50                               $0.300
                       $8.00                               $0.475
------------------------------------------------------------------------

       (3) Special rule.--The premium per hundredweight specified 
     in the table contained in paragraph (2) for each coverage 
     level (except the $8.00 coverage level) shall be reduced by 
     25 percent for each of calendar years 2014 and 2015.
       (c) Premium Per Hundredweight for Production in Excess of 4 
     Million Pounds.--
       (1) In general.--For milk marketings in excess of 4,000,000 
     pounds included in the production history of a participating 
     dairy operation, the premium per hundredweight for each 
     coverage level is specified in the table contained in 
     paragraph (2).
       (2) Producer premiums.--The following annual premiums 
     apply:


------------------------------------------------------------------------
           Coverage Level                      Premium per Cwt.
------------------------------------------------------------------------
                       $4.00                                 None
                       $4.50                               $0.020
                       $5.00                               $0.040
                       $5.50                               $0.100
                       $6.00                               $0.155
                       $6.50                               $0.290
                       $7.00                               $0.830
                       $7.50                               $1.060
                       $8.00                               $1.360
------------------------------------------------------------------------

       (d) Time for Payment of Premium.--The Secretary shall 
     provide more than 1 method by which a participating dairy 
     operation may pay the premium required under this section in 
     any manner that maximizes participating dairy operation 
     payment flexibility and program integrity.
       (e) Premium Obligations.--
       (1) Pro-ration of premium for new participants.--In the 
     case of a participating dairy operation that first registers 
     to participate in the margin protection program for a 
     calendar year after the start of the calendar year, the 
     participating dairy operation shall pay a pro-rated premium 
     for that calendar year based on the portion of the calendar 
     year for which the participating dairy operation purchases 
     the coverage.
       (2) Legal obligation.--A participating dairy operation in 
     the margin protection program for a calendar year shall be 
     legally obligated to pay the applicable premium for that 
     calendar year, except that the Secretary may waive that 
     obligation, under terms and conditions determined by the 
     Secretary, for any participating dairy operation in the case 
     of death, retirement, permanent dissolution of a 
     participating dairy operation, or other circumstances as the 
     Secretary considers appropriate to ensure the integrity of 
     the program.

     SEC. 1408. EFFECT OF FAILURE TO PAY ADMINISTRATIVE FEES OR 
                   PREMIUMS.

       (a) Loss of Benefits.--A participating dairy operation that 
     fails to pay the required annual administrative fee under 
     section 1404 or is in arrears on premium payments under 
     section 1407--
       (1) remains legally obligated to pay the administrative fee 
     or premiums, as the case may be; and
       (2) may not receive margin protection payments until the 
     fees or premiums are fully paid.
       (b) Enforcement.--The Secretary may take such action as 
     necessary to collect administrative fees and premium payments 
     for participation in the margin protection program.

     SEC. 1409. DURATION.

       The margin protection program shall end on December 31, 
     2018.

     SEC. 1410. ADMINISTRATION AND ENFORCEMENT.

       (a) In General.--The Secretary shall promulgate regulations 
     to address administrative and enforcement issues involved in 
     carrying out the margin protection program.
       (b) Reconstitution.--The Secretary shall promulgate 
     regulations to prohibit a dairy producer from reconstituting 
     a dairy operation for the purpose of the dairy producer 
     receiving margin protection payments.
       (c) Administrative Appeals.--Using authorities under 
     section 1001(h) of the Food Security Act of 1985 (7 U.S.C. 
     1308(h)) and subtitle H of the Department of Agriculture 
     Reorganization Act (7 U.S.C. 6991 et seq.), the Secretary 
     shall promulgate regulations to provide for administrative 
     appeals of decisions of the Secretary that are adverse to 
     participants of the margin protection program.
       (d) Inclusion of Additional Order.--Section 143(a)(2) of 
     the Federal Agriculture Improvement and Reform Act of 1996 (7 
     U.S.C. 7253(a)(2)) is amended by adding at the end the 
     following new sentence: ``Subsection (b) does not apply to 
     the authority of the Secretary under this subsection.''.

  PART II--REPEAL OR REAUTHORIZATION OF OTHER DAIRY-RELATED PROVISIONS

     SEC. 1421. REPEAL OF DAIRY PRODUCT PRICE SUPPORT PROGRAM.

       Section 1501 of the Food, Conservation, and Energy Act of 
     2008 (7 U.S.C. 8771) is repealed.

     SEC. 1422. TEMPORARY CONTINUATION AND EVENTUAL REPEAL OF MILK 
                   INCOME LOSS CONTRACT PROGRAM.

       (a) Temporary Continuation of Payments Under Milk Income 
     Loss Contract Program.--Section 1506 of the Food, 
     Conservation, and Energy Act of 2008 (7 U.S.C. 8773) is 
     amended--
       (1) in subsection (a), by adding at the end the following 
     new paragraph:
       ``(6) Termination date.--The term `termination date' means 
     the earlier of the following:
       ``(A) The date on which the Secretary certifies to Congress 
     that the margin protection program required by section 1403 
     of the Agricultural Act of 2014 is operational.
       ``(B) September 1, 2014.'';
       (2) in subsection (c)(3)--
       (A) in subparagraph (B), by inserting after ``August 31, 
     2013,'' the following: ``and for the period beginning 
     February 1, 2014, and ending on the termination date,''; and
       (B) in subparagraph (C), by striking ``and thereafter,'' 
     and inserting ``and ending January 31, 2014,'';

[[Page 1869]]

       (3) in subsection (d)--
       (A) in paragraph (2), by striking ``For any month beginning 
     on or after September 1, 2013,'' and inserting ``During the 
     period beginning on September 1, 2013, and ending on January 
     31, 2014,'';
       (B) by redesignating paragraph (3) as paragraph (4); and
       (C) by inserting after paragraph (2) the following new 
     paragraph (3):
       ``(3) Final adjustment authority.--During the period 
     beginning on February 1, 2014, and ending on the termination 
     date, if the National Average Dairy Feed Ration Cost for a 
     month during that period is greater than $7.35 per 
     hundredweight, the amount specified in subsection (c)(2)(A) 
     used to determine the payment rate for that month shall be 
     increased by 45 percent of the percentage by which the 
     National Average Dairy Feed Ration Cost exceeds $7.35 per 
     hundredweight.'';
       (4) in subsection (e)(2)(A)--
       (A) in clause (ii), by inserting after ``August 31, 2013,'' 
     the following: ``and for the period beginning February 1, 
     2014, and ending on the termination date,''; and
       (B) in clause (iii), by striking ``effective beginning 
     September 1, 2013,'' and inserting ``for the period beginning 
     September 1, 2013, and ending January 31, 2014,'';
       (5) in subsection (g), by striking ``during the period 
     beginning on the date that is 90 days after the date of 
     enactment of this Act and ending on September 30, 2013'' and 
     inserting ``until the termination date''; and
       (6) in subsection (h)(1), by striking ``September 30, 
     2013'' and inserting ``the termination date''.
       (b) Repeal of Milk Income Loss Contract Program.--
       (1) Repeal.--Effective on the termination date, section 
     1506 of the Food, Conservation, and Energy Act of 2008 (7 
     U.S.C. 8773) is repealed.
       (2) Termination date defined.--In paragraph (1), the term 
     ``termination date'' means the earlier of the following:
       (A) The date on which the Secretary certifies to Congress 
     that the margin protection program required by section 1403 
     is operational.
       (B) September 1, 2014.

     SEC. 1423. REPEAL OF DAIRY EXPORT INCENTIVE PROGRAM.

       (a) Repeal.--Section 153 of the Food Security Act of 1985 
     (15 U.S.C. 713a-14) is repealed.
       (b) Conforming Amendments.--Section 902(2) of the Trade 
     Sanctions Reform and Export Enhancement Act of 2000 (22 
     U.S.C. 7201(2)) is amended--
       (1) by striking subparagraph (D); and
       (2) by redesignating subparagraphs (E) and (F) as 
     subparagraphs (D) and (E), respectively.

     SEC. 1424. EXTENSION OF DAIRY FORWARD PRICING PROGRAM.

       Section 1502(e) of the Food, Conservation, and Energy Act 
     of 2008 (7 U.S.C. 8772(e)) is amended--
       (1) in paragraph (1), by striking ``2012'' and inserting 
     ``2018''; and
       (2) in paragraph (2), by striking ``2015'' and inserting 
     ``2021''.

     SEC. 1425. EXTENSION OF DAIRY INDEMNITY PROGRAM.

       Section 3 of Public Law 90-484 (7 U.S.C. 450l) is amended 
     by striking ``2012'' and inserting ``2018''.

     SEC. 1426. EXTENSION OF DAIRY PROMOTION AND RESEARCH PROGRAM.

       Section 113(e)(2) of the Dairy Production Stabilization Act 
     of 1983 (7 U.S.C. 4504(e)(2)) is amended by striking ``2012'' 
     and inserting ``2018''.

     SEC. 1427. REPEAL OF FEDERAL MILK MARKETING ORDER REVIEW 
                   COMMISSION.

       Section 1509 of the Food, Conservation, and Energy Act of 
     2008 (Public Law 110-246; 122 Stat. 1726) is repealed.

                PART III--DAIRY PRODUCT DONATION PROGRAM

     SEC. 1431. DAIRY PRODUCT DONATION PROGRAM.

       (a) Program Required; Purpose.--Not later than 120 days 
     after the date on which the Secretary certifies to Congress 
     that the margin protection program is operational, the 
     Secretary shall establish and administer a dairy product 
     donation program for the purposes of--
       (1) addressing low operating margins experienced by 
     participating dairy operations; and
       (2) providing nutrition assistance to individuals in low-
     income groups.
       (b) Program Trigger.--The Secretary shall announce that the 
     dairy product donation program is in effect for a month, and 
     undertake activities under subsection (c) during the month, 
     whenever the actual dairy production margin has been $4.00 or 
     less per hundredweight of milk for each of the immediately 
     preceding 2 months.
       (c) Required Program Activities.--
       (1) In general.--Whenever the dairy product donation 
     program is in effect under subsection (b), the Secretary 
     shall immediately purchase dairy products, at prevailing 
     market prices, until such time as one of the termination 
     conditions specified in subsection (d)(1) is met.
       (2) Consultation.--To determine the types and quantities of 
     dairy products to purchase under the dairy product donation 
     program, the Secretary shall consult with public and private 
     nonprofit organizations organized to feed low-income 
     populations
       (d) Termination of Program Activities.--
       (1) Termination thresholds.--The Secretary shall cease 
     activities under the dairy product donation program, and 
     shall not reinitiate activities under the program until the 
     condition specified in subsection (b) is again met, whenever 
     any one of the following occurs:
       (A) The Secretary has made purchases under the dairy 
     product donation program for three consecutive months, even 
     if the actual dairy production margin remains $4.00 or less 
     per hundredweight of milk.
       (B) The actual dairy production margin has been greater 
     than $4.00 per hundredweight of milk for the immediately 
     preceding month.
       (C) The actual dairy production margin has been $4.00 or 
     less, but more than $3.00, per hundredweight of milk for the 
     immediately preceding month and during the same month--
       (i) the price in the United States for cheddar cheese was 
     more than 5 percent above the world price; or
       (ii) the price in the United States for non-fat dry milk 
     was more than 5 percent above the world price of skim milk 
     powder.
       (D) The actual dairy production margin has been $3.00 or 
     less per hundredweight of milk for the immediately preceding 
     month and during the same month--
       (i) the price in the United States for cheddar cheese was 
     more than 7 percent above the world price; or
       (ii) the price in the United States for non-fat dry milk 
     was more than 7 percent above the world price of skim milk 
     powder.
       (2) Determinations.--For purposes of this subsection, the 
     Secretary shall determine the price in the United States for 
     cheddar cheese and non-fat dry milk and the world price of 
     cheddar cheese and skim milk powder.
       (e) Distribution of Purchased Dairy Products.--
       (1) In general.--The Secretary of Agriculture shall 
     distribute, but not store, the dairy products purchased under 
     the dairy product donation program in a manner that 
     encourages the domestic consumption of such dairy products by 
     diverting them to persons in low-income groups, as determined 
     by the Secretary.
       (2) Use of public or private nonprofit organizations.--The 
     Secretary shall utilize the services of public and private 
     nonprofit organizations for the distribution of dairy 
     products purchased under the dairy product donation program. 
     A public or private nonprofit organization that receives 
     dairy products may transfer the products to another public or 
     private nonprofit organization that agrees to use the dairy 
     products to provide, without cost or waste, nutrition 
     assistance to individuals in low-income groups.
       (f) Prohibition on Resale of Products.--A public or private 
     nonprofit organization that receives dairy products under 
     subsection (e) may not sell the products back into commercial 
     markets.
       (g) Use of Commodity Credit Corporation Funds.--As 
     specified in section 1601(a), the funds, facilities, and 
     authorities of the Commodity Credit Corporation shall be 
     available to the Secretary for the purposes of implementing 
     and administering the dairy product donation program.
       (h) Duration.--In addition to the termination conditions 
     specified in subsection (d)(1), the dairy product donation 
     program shall end on December 31, 2018.

   Subtitle E--Supplemental Agricultural Disaster Assistance Programs

     SEC. 1501. SUPPLEMENTAL AGRICULTURAL DISASTER ASSISTANCE.

       (a) Definitions.--In this section:
       (1) Eligible producer on a farm.--
       (A) In general.--The term ``eligible producer on a farm'' 
     means an individual or entity described in subparagraph (B) 
     that, as determined by the Secretary, assumes the production 
     and market risks associated with the agricultural production 
     of crops or livestock.
       (B) Description.--An individual or entity referred to in 
     subparagraph (A) is--
       (i) a citizen of the United States;
       (ii) a resident alien;
       (iii) a partnership of citizens of the United States; or
       (iv) a corporation, limited liability corporation, or other 
     farm organizational structure organized under State law.
       (2) Farm-raised fish.--The term ``farm-raised fish'' means 
     any aquatic species that is propagated and reared in a 
     controlled environment.
       (3) Livestock.--The term ``livestock'' includes--
       (A) cattle (including dairy cattle);
       (B) bison;
       (C) poultry;
       (D) sheep;
       (E) swine;
       (F) horses; and
       (G) other livestock, as determined by the Secretary.
       (4) Secretary.--The term ``Secretary'' means the Secretary 
     of Agriculture.
       (b) Livestock Indemnity Payments.--
       (1) Payments.--For fiscal year 2012 and each succeeding 
     fiscal year, the Secretary shall use such sums as are 
     necessary of the

[[Page 1870]]

     funds of the Commodity Credit Corporation to make livestock 
     indemnity payments to eligible producers on farms that have 
     incurred livestock death losses in excess of the normal 
     mortality, as determined by the Secretary, due to--
       (A) attacks by animals reintroduced into the wild by the 
     Federal Government or protected by Federal law, including 
     wolves and avian predators; or
       (B) adverse weather, as determined by the Secretary, during 
     the calendar year, including losses due to hurricanes, 
     floods, blizzards, disease, wildfires, extreme heat, and 
     extreme cold.
       (2) Payment rates.--Indemnity payments to an eligible 
     producer on a farm under paragraph (1) shall be made at a 
     rate of 75 percent of the market value of the applicable 
     livestock on the day before the date of death of the 
     livestock, as determined by the Secretary.
       (3) Special rule for payments made due to disease.--The 
     Secretary shall ensure that payments made to an eligible 
     producer under paragraph (1) are not made for the same 
     livestock losses for which compensation is provided pursuant 
     to section 10407(d) of the Animal Health Protection Act (7 
     U.S.C. 8306(d)).
       (c) Livestock Forage Disaster Program.--
       (1) Definitions.--In this subsection:
       (A) Covered livestock.--
       (i) In general.--Except as provided in clause (ii), the 
     term ``covered livestock'' means livestock of an eligible 
     livestock producer that, during the 60 days prior to the 
     beginning date of a qualifying drought or fire condition, as 
     determined by the Secretary, the eligible livestock 
     producer--

       (I) owned;
       (II) leased;
       (III) purchased;
       (IV) entered into a contract to purchase;
       (V) is a contract grower; or
       (VI) sold or otherwise disposed of due to qualifying 
     drought conditions during--

       (aa) the current production year; or
       (bb) subject to paragraph (3)(B)(ii), 1 or both of the 2 
     production years immediately preceding the current production 
     year.
       (ii) Exclusion.--The term ``covered livestock'' does not 
     include livestock that were or would have been in a feedlot, 
     on the beginning date of the qualifying drought or fire 
     condition, as a part of the normal business operation of the 
     eligible livestock producer, as determined by the Secretary.
       (B) Drought monitor.--The term ``drought monitor'' means a 
     system for classifying drought severity according to a range 
     of abnormally dry to exceptional drought, as defined by the 
     Secretary.
       (C) Eligible livestock producer.--
       (i) In general.--The term ``eligible livestock producer'' 
     means an eligible producer on a farm that--

       (I) is an owner, cash or share lessee, or contract grower 
     of covered livestock that provides the pastureland or grazing 
     land, including cash-leased pastureland or grazing land, for 
     the livestock;
       (II) provides the pastureland or grazing land for covered 
     livestock, including cash-leased pastureland or grazing land 
     that is physically located in a county affected by drought;
       (III) certifies grazing loss; and
       (IV) meets all other eligibility requirements established 
     under this subsection.

       (ii) Exclusion.--The term ``eligible livestock producer'' 
     does not include an owner, cash or share lessee, or contract 
     grower of livestock that rents or leases pastureland or 
     grazing land owned by another person on a rate-of-gain basis.
       (D) Normal carrying capacity.--The term ``normal carrying 
     capacity'', with respect to each type of grazing land or 
     pastureland in a county, means the normal carrying capacity, 
     as determined under paragraph (3)(D)(i), that would be 
     expected from the grazing land or pastureland for livestock 
     during the normal grazing period, in the absence of a drought 
     or fire that diminishes the production of the grazing land or 
     pastureland.
       (E) Normal grazing period.--The term ``normal grazing 
     period'', with respect to a county, means the normal grazing 
     period during the calendar year for the county, as determined 
     under paragraph (3)(D)(i).
       (2) Program.--For fiscal year 2012 and each succeeding 
     fiscal year, the Secretary shall use such sums as are 
     necessary of the funds of the Commodity Credit Corporation to 
     provide compensation for losses to eligible livestock 
     producers due to grazing losses for covered livestock due 
     to--
       (A) a drought condition, as described in paragraph (3); or
       (B) fire, as described in paragraph (4).
       (3) Assistance for losses due to drought conditions.--
       (A) Eligible losses.--
       (i) In general.--An eligible livestock producer may receive 
     assistance under this subsection only for grazing losses for 
     covered livestock that occur on land that--

       (I) is native or improved pastureland with permanent 
     vegetative cover; or
       (II) is planted to a crop planted specifically for the 
     purpose of providing grazing for covered livestock.

       (ii) Exclusions.--An eligible livestock producer may not 
     receive assistance under this subsection for grazing losses 
     that occur on land used for haying or grazing under the 
     conservation reserve program established under subchapter B 
     of chapter 1 of subtitle D of title XII of the Food Security 
     Act of 1985 (16 U.S.C. 3831 et seq.).
       (B) Monthly payment rate.--
       (i) In general.--Except as provided in clause (ii), the 
     payment rate for assistance under this paragraph for 1 month 
     shall, in the case of drought, be equal to 60 percent of the 
     lesser of--

       (I) the monthly feed cost for all covered livestock owned 
     or leased by the eligible livestock producer, as determined 
     under subparagraph (C); or
       (II) the monthly feed cost calculated by using the normal 
     carrying capacity of the eligible grazing land of the 
     eligible livestock producer.

       (ii) Partial compensation.--In the case of an eligible 
     livestock producer that sold or otherwise disposed of covered 
     livestock due to drought conditions in 1 or both of the 2 
     production years immediately preceding the current production 
     year, as determined by the Secretary, the payment rate shall 
     be 80 percent of the payment rate otherwise calculated in 
     accordance with clause (i).
       (C) Monthly feed cost.--
       (i) In general.--The monthly feed cost shall equal the 
     product obtained by multiplying--

       (I) 30 days;
       (II) a payment quantity that is equal to the feed grain 
     equivalent, as determined under clause (ii); and
       (III) a payment rate that is equal to the corn price per 
     pound, as determined under clause (iii).

       (ii) Feed grain equivalent.--For purposes of clause 
     (i)(II), the feed grain equivalent shall equal--

       (I) in the case of an adult beef cow, 15.7 pounds of corn 
     per day; or
       (II) in the case of any other type of weight of livestock, 
     an amount determined by the Secretary that represents the 
     average number of pounds of corn per day necessary to feed 
     the livestock.

       (iii) Corn price per pound.--For purposes of clause 
     (i)(III), the corn price per pound shall equal the quotient 
     obtained by dividing--

       (I) the higher of--

       (aa) the national average corn price per bushel for the 12-
     month period immediately preceding March 1 of the year for 
     which the disaster assistance is calculated; or
       (bb) the national average corn price per bushel for the 24-
     month period immediately preceding that March 1; by

       (II) 56.

       (D) Normal grazing period and drought monitor intensity.--
       (i) FSA county committee determinations.--

       (I) In general.--The Secretary shall determine the normal 
     carrying capacity and normal grazing period for each type of 
     grazing land or pastureland in the county served by the 
     applicable committee.
       (II) Changes.--No change to the normal carrying capacity or 
     normal grazing period established for a county under 
     subclause (I) shall be made unless the change is requested by 
     the appropriate State and county Farm Service Agency 
     committees.

       (ii) Drought intensity.--

       (I) D2.--An eligible livestock producer that owns or leases 
     grazing land or pastureland that is physically located in a 
     county that is rated by the U.S. Drought Monitor as having a 
     D2 (severe drought) intensity in any area of the county for 
     at least 8 consecutive weeks during the normal grazing period 
     for the county, as determined by the Secretary, shall be 
     eligible to receive assistance under this paragraph in an 
     amount equal to 1 monthly payment using the monthly payment 
     rate determined under subparagraph (B).
       (II) D3.--An eligible livestock producer that owns or 
     leases grazing land or pastureland that is physically located 
     in a county that is rated by the U.S. Drought Monitor as 
     having at least a D3 (extreme drought) intensity in any area 
     of the county at any time during the normal grazing period 
     for the county, as determined by the Secretary, shall be 
     eligible to receive assistance under this paragraph--

       (aa) in an amount equal to 3 monthly payments using the 
     monthly payment rate determined under subparagraph (B);
       (bb) if the county is rated as having a D3 (extreme 
     drought) intensity in any area of the county for at least 4 
     weeks during the normal grazing period for the county, or is 
     rated as having a D4 (exceptional drought) intensity in any 
     area of the county at any time during the normal grazing 
     period, in an amount equal to 4 monthly payments using the 
     monthly payment rate determined under subparagraph (B); or
       (cc) if the county is rated as having a D4 (exceptional 
     drought) intensity in any area of the county for at least 4 
     weeks during the normal grazing period, in an amount equal to 
     5 monthly payments using the monthly rate determined under 
     subparagraph (B).
       (4) Assistance for losses due to fire on public managed 
     land.--
       (A) In general.--An eligible livestock producer may receive 
     assistance under this paragraph only if--
       (i) the grazing losses occur on rangeland that is managed 
     by a Federal agency; and

[[Page 1871]]

       (ii) the eligible livestock producer is prohibited by the 
     Federal agency from grazing the normal permitted livestock on 
     the managed rangeland due to a fire.
       (B) Payment rate.--The payment rate for assistance under 
     this paragraph shall be equal to 50 percent of the monthly 
     feed cost for the total number of livestock covered by the 
     Federal lease of the eligible livestock producer, as 
     determined under paragraph (3)(C).
       (C) Payment duration.--
       (i) In general.--Subject to clause (ii), an eligible 
     livestock producer shall be eligible to receive assistance 
     under this paragraph for the period--

       (I) beginning on the date on which the Federal agency 
     excludes the eligible livestock producer from using the 
     managed rangeland for grazing; and
       (II) ending on the last day of the Federal lease of the 
     eligible livestock producer.

       (ii) Limitation.--An eligible livestock producer may only 
     receive assistance under this paragraph for losses that occur 
     on not more than 180 days per year.
       (5) No duplicative payments.--An eligible livestock 
     producer may elect to receive assistance for grazing or 
     pasture feed losses due to drought conditions under paragraph 
     (3) or fire under paragraph (4), but not both for the same 
     loss, as determined by the Secretary.
       (d) Emergency Assistance for Livestock, Honey Bees, and 
     Farm-Raised Fish.--
       (1) In general.--For fiscal year 2012 and each succeeding 
     fiscal year, the Secretary shall use not more than 
     $20,000,000 of the funds of the Commodity Credit Corporation 
     to provide emergency relief to eligible producers of 
     livestock, honey bees, and farm-raised fish to aid in the 
     reduction of losses due to disease (including cattle tick 
     fever), adverse weather, or other conditions, such as 
     blizzards and wildfires, as determined by the Secretary, that 
     are not covered under subsection (b) or (c).
       (2) Use of funds.--Funds made available under this 
     subsection shall be used to reduce losses caused by feed or 
     water shortages, disease, or other factors as determined by 
     the Secretary.
       (3) Availability of funds.--Any funds made available under 
     this subsection shall remain available until expended.
       (e) Tree Assistance Program.--
       (1) Definitions.--In this subsection:
       (A) Eligible orchardist.--The term ``eligible orchardist'' 
     means a person that produces annual crops from trees for 
     commercial purposes.
       (B) Natural disaster.--The term ``natural disaster'' means 
     plant disease, insect infestation, drought, fire, freeze, 
     flood, earthquake, lightning, or other occurrence, as 
     determined by the Secretary.
       (C) Nursery tree grower.--The term ``nursery tree grower'' 
     means a person who produces nursery, ornamental, fruit, nut, 
     or Christmas trees for commercial sale, as determined by the 
     Secretary.
       (D) Tree.--The term ``tree'' includes a tree, bush, and 
     vine.
       (2) Eligibility.--
       (A) Loss.--Subject to subparagraph (B), for fiscal year 
     2012 and each succeeding fiscal year, the Secretary shall use 
     such sums as are necessary of the funds of the Commodity 
     Credit Corporation to provide assistance--
       (i) under paragraph (3) to eligible orchardists and nursery 
     tree growers that planted trees for commercial purposes but 
     lost the trees as a result of a natural disaster, as 
     determined by the Secretary; and
       (ii) under paragraph (3)(B) to eligible orchardists and 
     nursery tree growers that have a production history for 
     commercial purposes on planted or existing trees but lost the 
     trees as a result of a natural disaster, as determined by the 
     Secretary.
       (B) Limitation.--An eligible orchardist or nursery tree 
     grower shall qualify for assistance under subparagraph (A) 
     only if the tree mortality of the eligible orchardist or 
     nursery tree grower, as a result of damaging weather or 
     related condition, exceeds 15 percent (adjusted for normal 
     mortality).
       (3) Assistance.--Subject to paragraph (4), the assistance 
     provided by the Secretary to eligible orchardists and nursery 
     tree growers for losses described in paragraph (2) shall 
     consist of--
       (A)(i) reimbursement of 65 percent of the cost of 
     replanting trees lost due to a natural disaster, as 
     determined by the Secretary, in excess of 15 percent 
     mortality (adjusted for normal mortality); or
       (ii) at the option of the Secretary, sufficient seedlings 
     to reestablish a stand; and
       (B) reimbursement of 50 percent of the cost of pruning, 
     removal, and other costs incurred by an eligible orchardist 
     or nursery tree grower to salvage existing trees or, in the 
     case of tree mortality, to prepare the land to replant trees 
     as a result of damage or tree mortality due to a natural 
     disaster, as determined by the Secretary, in excess of 15 
     percent damage or mortality (adjusted for normal tree damage 
     and mortality).
       (4) Limitations on assistance.--
       (A) Definitions of legal entity and person.--In this 
     paragraph, the terms ``legal entity'' and ``person'' have the 
     meaning given those terms in section 1001(a) of the Food 
     Security Act of 1985 (7 U.S.C. 1308(a)).
       (B) Amount.--The total amount of payments received, 
     directly or indirectly, by a person or legal entity 
     (excluding a joint venture or general partnership) under this 
     subsection may not exceed $125,000 for any crop year, or an 
     equivalent value in tree seedlings.
       (C) Acres.--The total quantity of acres planted to trees or 
     tree seedlings for which a person or legal entity shall be 
     entitled to receive payments under this subsection may not 
     exceed 500 acres.
       (f) Payment Limitations.--
       (1) Definitions of legal entity and person.--In this 
     subsection, the terms ``legal entity'' and ``person'' have 
     the meaning given those terms in section 1001(a) of the Food 
     Security Act of 1985 (7 U.S.C. 1308(a)).
       (2) Amount.--The total amount of disaster assistance 
     payments received, directly or indirectly, by a person or 
     legal entity (excluding a joint venture or general 
     partnership) under this section (excluding payments received 
     under subsection (e)) may not exceed $125,000 for any crop 
     year.
       (3) Direct attribution.--Subsections (e) and (f) of section 
     1001 of the Food Security Act of 1985 (7 U.S.C. 1308) or any 
     successor provisions relating to direct attribution shall 
     apply with respect to assistance provided under this section.

                       Subtitle F--Administration

     SEC. 1601. ADMINISTRATION GENERALLY.

       (a) Use of Commodity Credit Corporation.--The Secretary 
     shall use the funds, facilities, and authorities of the 
     Commodity Credit Corporation to carry out this title.
       (b) Determinations by Secretary.--A determination made by 
     the Secretary under this title shall be final and conclusive.
       (c) Regulations.--
       (1) In general.--Except as otherwise provided in this 
     subsection, not later than 90 days after the date of 
     enactment of this Act, the Secretary and the Commodity Credit 
     Corporation, as appropriate, shall promulgate such 
     regulations as are necessary to implement this title and the 
     amendments made by this title.
       (2) Procedure.--The promulgation of the regulations and 
     administration of this title and the amendments made by this 
     title and sections 11003 and 11017 shall be made without 
     regard to--
       (A) the notice and comment provisions of section 553 of 
     title 5, United States Code;
       (B) chapter 35 of title 44, United States Code (commonly 
     known as the ``Paperwork Reduction Act''); and
       (C) 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.
       (3) Congressional review of agency rulemaking.--In carrying 
     out this subsection, the Secretary shall use the authority 
     provided under section 808 of title 5, United States Code.
       (d) Adjustment Authority Related to Trade Agreements 
     Compliance.--
       (1) Required determination; adjustment.--If the Secretary 
     determines that expenditures under this title that are 
     subject to the total allowable domestic support levels under 
     the Uruguay Round Agreements (as defined in section 2 of the 
     Uruguay Round Agreements Act (19 U.S.C. 3501)) will exceed 
     such allowable levels for any applicable reporting period, 
     the Secretary shall, to the maximum extent practicable, make 
     adjustments in the amount of such expenditures during that 
     period to ensure that such expenditures do not exceed the 
     allowable levels.
       (2) Congressional notification.--Before making any 
     adjustment under paragraph (1), the Secretary 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 describing the determination made under 
     that paragraph and the extent of the adjustment to be made.

     SEC. 1602. SUSPENSION OF PERMANENT PRICE SUPPORT AUTHORITY.

       (a) Agricultural Adjustment Act of 1938.--The following 
     provisions of the Agricultural Adjustment Act of 1938 shall 
     not be applicable to the 2014 through 2018 crops of covered 
     commodities (as defined in section 1111), cotton, and sugar 
     and shall not be applicable to milk during the period 
     beginning on the date of enactment of this Act through 
     December 31, 2018:
       (1) Parts II through V of subtitle B of title III (7 U.S.C. 
     1326 et seq.).
       (2) In the case of upland cotton, section 377 (7 U.S.C. 
     1377).
       (3) Subtitle D of title III (7 U.S.C. 1379a et seq.).
       (4) Title IV (7 U.S.C. 1401 et seq.).
       (b) Agricultural Act of 1949.--The following provisions of 
     the Agricultural Act of 1949 shall not be applicable to the 
     2014 through 2018 crops of covered commodities (as defined in 
     section 1111), cotton, and sugar and shall not be applicable 
     to milk during the period beginning on the date of enactment 
     of this Act and through December 31, 2018:
       (1) Section 101 (7 U.S.C. 1441).
       (2) Section 103(a) (7 U.S.C. 1444(a)).
       (3) Section 105 (7 U.S.C. 1444b).
       (4) Section 107 (7 U.S.C. 1445a).
       (5) Section 110 (7 U.S.C. 1445e).
       (6) Section 112 (7 U.S.C. 1445g).

[[Page 1872]]

       (7) Section 115 (7 U.S.C. 1445k).
       (8) Section 201 (7 U.S.C. 1446).
       (9) Title III (7 U.S.C. 1447 et seq.).
       (10) Title IV (7 U.S.C. 1421 et seq.), other than sections 
     404, 412, and 416 (7 U.S.C. 1424, 1429, and 1431).
       (11) Title V (7 U.S.C. 1461 et seq.).
       (12) Title VI (7 U.S.C. 1471 et seq.).
       (c) Suspension of Certain Quota Provisions.--The joint 
     resolution entitled ``A joint resolution relating to corn and 
     wheat marketing quotas under the Agricultural Adjustment Act 
     of 1938, as amended'', approved May 26, 1941 (7 U.S.C. 1330 
     and 1340), shall not be applicable to the crops of wheat 
     planted for harvest in the calendar years 2014 through 2018.

     SEC. 1603. PAYMENT LIMITATIONS.

       (a) In General.--Section 1001 of the Food Security Act of 
     1985 (7 U.S.C. 1308) is amended by striking subsections (b) 
     and (c) and inserting the following:
       ``(b) Limitation on Payments for Covered Commodities (other 
     Than Peanuts).--The total amount of payments received, 
     directly or indirectly, by a person or legal entity (except a 
     joint venture or general partnership) for any crop year under 
     sections 1116 and 1117 and as marketing loan gains or loan 
     deficiency payments under subtitle B of title I of the 
     Agricultural Act of 2014 (other than for peanuts) may not 
     exceed $125,000.
       ``(c) Limitation on Payments for Peanuts.--The total amount 
     of payments received, directly or indirectly, by a person or 
     legal entity (except a joint venture or general partnership) 
     for any crop year under sections 1116 and 1117 and as 
     marketing loan gains or loan deficiency payments under 
     subtitle B of title I of the Agricultural Act of 2014 for 
     peanuts may not exceed $125,000.''.
       (b) Conforming Amendments.--
       (1) Limitation on applicability.--Section 1001(d) of the 
     Food Security Act of 1985 (7 U.S.C. 1308(d)) is amended by 
     striking ``the marketing assistance loan program or the loan 
     deficiency payment program under title I of the Food, 
     Conservation, and Energy Act of 2008'' and inserting ``the 
     forfeiture of a commodity pledged as collateral for a loan 
     made available under subtitle B of title I of the 
     Agricultural Act of 2014''.
       (2) Treatment of federal agencies and state and local 
     governments.--Section 1001(f) of the Food Security Act of 
     1985 (7 U.S.C. 1308(f)) is amended--
       (A) in paragraph (5)(A), by striking ``or title XII'' and 
     inserting ``, title I of the Agricultural Act of 2014, or 
     title XII''; and
       (B) in paragraph (6)(A), by striking ``or title XII'' and 
     inserting ``, title I of the Agricultural Act of 2014, or 
     title XII''.
       (3) Foreign persons ineligible.--Section 1001C(a) of the 
     Food Security Act of 1985 (7 U.S.C. 1308-3(a)) is amended by 
     inserting ``title I of the Agricultural Act of 2014,'' after 
     ``2008,''.
       (c) Application.--The amendments made by this section shall 
     apply beginning with the 2014 crop year.

     SEC. 1604. RULEMAKING RELATED TO SIGNIFICANT CONTRIBUTION FOR 
                   ACTIVE PERSONAL MANAGEMENT.

       (a) Regulations Required.--Within 180 days after the date 
     of the enactment of this Act, the Secretary shall promulgate, 
     with an opportunity for notice and comment, regulations--
       (1) to define the term ``significant contribution of active 
     personal management'' for purposes of section 1001A of the 
     Food Security Act of 1985 (7 U.S.C. 1308-1); and
       (2) if the Secretary determines it is appropriate, to 
     establish limits for varying types of farming operations on 
     the number of individuals who may be considered to be 
     actively engaged in farming with respect to the farming 
     operation when a significant contribution of active personal 
     management is the basis used to meet the requirement of being 
     actively engaged in farming under section 1001A of the Food 
     Security Act of 1985 (7 U.S.C. 1308-1) by an individual or 
     entity.
       (b) Considerations.--In promulgating the regulations 
     required under subsection (a), the Secretary shall consider--
       (1) the size, nature, and management requirements of each 
     type of farming operation;
       (2) the changing nature of active personal management due 
     to advancements of farming operations; and
       (3) the degree to which the regulations promulgated 
     pursuant to subsection (a) will adversely impact the long-
     term viability of the farming operation.
       (c) Family Farms.--The Secretary shall not apply the 
     regulations promulgated pursuant to subsection (a) to 
     individuals or entities comprised solely of family members 
     (as that term is defined in section 1001(a)(2) of the Food 
     Security Act of 1985 (7 U.S.C. 1308(a)(2))).
       (d) Monitoring.--The regulations promulgated pursuant to 
     subsection (a) shall include a plan for monitoring the status 
     of compliance reviews for whether a person or entity is in 
     compliance with the regulations.
       (e) Paperwork Reduction.--In order to conserve Federal 
     resources and prevent unnecessary paperwork burdens, the 
     Secretary shall ensure that any additional paperwork required 
     as a result of the regulations promulgated pursuant to 
     subsection (a) be limited to those persons who are subject to 
     such regulations.
       (f) Relation to Other Requirements.--Nothing in this 
     section may be construed to authorize the Secretary to alter, 
     directly or indirectly, existing regulations for other 
     requirements in section 1001A of the Food Security Act of 
     1985 (7 U.S.C. 1308-1).
       (g) Effective Date.--The requirements of any regulation 
     promulgated pursuant to this section shall apply beginning 
     with the 2015 crop year.

     SEC. 1605. ADJUSTED GROSS INCOME LIMITATION.

       (a) Limitations and Covered Benefits.--Section 1001D(b) of 
     the Food Security Act of 1985 (7 U.S.C. 1308-3a(b)) is 
     amended--
       (1) in the subsection heading, by striking ``Limitations'' 
     and inserting ``Limitations on Commodity and Conservation 
     Programs'';
       (2) by striking paragraphs (1) and (2) and inserting the 
     following new paragraphs:
       ``(1) Limitation.--Notwithstanding any other provision of 
     law, a person or legal entity shall not be eligible to 
     receive any benefit described in paragraph (2) during a crop, 
     fiscal, or program year, as appropriate, if the average 
     adjusted gross income of the person or legal entity exceeds 
     $900,000.
       ``(2) Covered benefits.--Paragraph (1) applies with respect 
     to the following:
       ``(A) A payment or benefit under subtitle A or E of title I 
     of the Agricultural Act of 2014.
       ``(B) A marketing loan gain or loan deficiency payment 
     under subtitle B of title I of the Agricultural Act of 2014.
       ``(C) Starting with fiscal year 2015, a payment or benefit 
     under title II of the Agricultural Act of 2014, title II of 
     the Farm Security and Rural Investment Act of 2002, title II 
     of the Food, Conservation, and Energy Act of 2008, or title 
     XII of the Food Security Act of 1985.
       ``(D) A payment or benefit under section 524(b) of the 
     Federal Crop Insurance Act (7 U.S.C. 1524(b)).
       ``(E) A payment or benefit under section 196 of the Federal 
     Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 
     7333).''.
       (b) Updating Definitions.--Paragraph (1) of section 
     1001D(a) of the Food Security Act of 1985 (7 U.S.C. 1308-
     3a(a)) is amended to read as follows:
       ``(1) Average adjusted gross income.--In this section, the 
     term `average adjusted gross income', with respect to a 
     person or legal entity, means the average of the adjusted 
     gross income or comparable measure of the person or legal 
     entity over the 3 taxable years preceding the most 
     immediately preceding complete taxable year, as determined by 
     the Secretary.''.
       (c) Income Determination.--Section 1001D of the Food 
     Security Act of 1985 (7 U.S.C. 1308-3a) is amended--
       (1) by striking subsection (c); and
       (2) by redesignating subsections (d), (e), and (f) as 
     subsections (c), (d), and (e), respectively.
       (d) Conforming Amendments.--Section 1001D of the Food 
     Security Act of 1985 (7 U.S.C. 1308-3a) is amended--
       (1) in subsection (a)(2)--
       (A) by striking ``subparagraph (A) or (B) of''; and
       (B) by striking ``, the average adjusted gross farm income, 
     and the average adjusted gross nonfarm income'';
       (2) in subsection (a)(3), by striking ``, average adjusted 
     gross farm income, and average adjusted gross nonfarm 
     income'' both places it appears;
       (3) in subsection (c) (as redesignated by subsection (c)(2) 
     of this section)--
       (A) in paragraph (1), by striking ``, average adjusted 
     gross farm income, and average adjusted gross nonfarm 
     income'' both places it appears; and
       (B) in paragraph (2), by striking ``paragraphs (1)(C) and 
     (2)(B) of subsection (b)'' and inserting ``subsection 
     (b)(2)''; and
       (4) in subsection (d) (as redesignated by subsection (c)(2) 
     of this section)--
       (A) by striking ``paragraphs (1)(C) and (2)(B) of 
     subsection (b)'' and inserting ``subsection (b)(2)''; and
       (B) by striking ``, average adjusted gross farm income, or 
     average adjusted gross nonfarm income''.
       (e) Effective Period.--Subsection (e) of section 1001D of 
     the Food Security Act of 1985 (7 U.S.C. 1308-3a), as 
     redesignated by subsection (c)(2) of this section, is 
     repealed.
       (f) Limitation on Applicability.--Section 1001(d) of the 
     Food Security Act of 1985 (7 U.S.C. 1308) is amended by 
     inserting before the period at the end the following: ``or 
     title I of the Agricultural Act of 2014''.
       (g) Transition.--Section 1001D of the Food Security Act of 
     1985 (7 U.S.C. 1308-3a), as in effect on the day before the 
     date of the enactment of this Act, shall apply with respect 
     to the 2013 crop, fiscal, or program year, as appropriate, 
     for each program described in paragraphs (1)(C) and (2)(B) of 
     subsection (b) of that section (as so in effect on that day).

     SEC. 1606. GEOGRAPHICALLY DISADVANTAGED FARMERS AND RANCHERS.

       Section 1621(d) of the Food, Conservation, and Energy Act 
     of 2008 (7 U.S.C. 8792(d)) is amended by striking ``each of 
     fiscal years 2009 through 2012'' and inserting ``fiscal year 
     2009 and each succeeding fiscal year''.

     SEC. 1607. PERSONAL LIABILITY OF PRODUCERS FOR DEFICIENCIES.

       Section 164 of the Federal Agriculture Improvement and 
     Reform Act of 1996 (7 U.S.C.

[[Page 1873]]

     7284) is amended by striking ``and title I of the Food, 
     Conservation, and Energy Act of 2008'' each place it appears 
     and inserting ``title I of the Food, Conservation, and Energy 
     Act of 2008 (7 U.S.C. 8702 et seq.), and title I of the 
     Agricultural Act of 2014''.

     SEC. 1608. PREVENTION OF DECEASED INDIVIDUALS RECEIVING 
                   PAYMENTS UNDER FARM COMMODITY PROGRAMS.

       (a) Reconciliation.--At least twice each year, the 
     Secretary shall reconcile Social Security numbers of all 
     individuals who receive payments under this title, whether 
     directly or indirectly, with the Commissioner of Social 
     Security to determine if the individuals are alive.
       (b) Preclusion.--The Secretary shall preclude the issuance 
     of payments to, and on behalf of, deceased individuals that 
     were not eligible for payments.

     SEC. 1609. TECHNICAL CORRECTIONS.

       (a) Missing Punctuation.--Section 359f(c)(1)(B) of the 
     Agricultural Adjustment Act of 1938 (7 U.S.C. 
     1359ff(c)(1)(B)) is amended by adding a period at the end.
       (b) Erroneous Cross Reference.--
       (1) Amendment.--Section 1603(g) of the Food, Conservation, 
     and Energy Act of 2008 (Public Law 110-246; 122 Stat. 1739) 
     is amended in paragraphs (2) through (6) and the amendments 
     made by those paragraphs by striking ``1703(a)'' each place 
     it appears and inserting ``1603(a)''.
       (2) Effective date.--This subsection and the amendments 
     made by this subsection take effect as if included in the 
     Food, Conservation, and Energy Act of 2008 (Public Law 110-
     246; 122 Stat. 1651).
       (c) Continued Applicability of Appropriations General 
     Provision.--Section 767 of division A of Public Law 108-7 (7 
     U.S.C. 7911 note; 117 Stat. 48) is amended--
       (1) by striking ``(a)'';
       (2) by striking ``sections 1101 and 1102 of Public Law 107-
     171'' and inserting ``subtitle A of title I of the 
     Agricultural Act of 2014''; and
       (3) by striking ``such section 1102'' and inserting ``such 
     subtitle''; and
       (4) by striking subsection (b).

     SEC. 1610. APPEALS.

       (a) Direction, Control, and Support.--Section 272 of the 
     Department of Agriculture Reorganization Act of 1994 (7 
     U.S.C. 6992) is amended by striking subsection (c) and 
     inserting the following:
       ``(c) Direction, Control, and Support.--
       ``(1) Direction and control.--
       ``(A) In general.--Except as provided in paragraph (2), the 
     Director shall be free from the direction and control of any 
     person other than the Secretary or the Deputy Secretary of 
     Agriculture.
       ``(B) Administrative support.--The Division shall not 
     receive administrative support (except on a reimbursable 
     basis) from any agency other than the Office of the 
     Secretary.
       ``(C) Prohibition on delegation.--The Secretary may not 
     delegate to any other officer or employee of the Department, 
     other than the Deputy Secretary of Agriculture or the 
     Director, the authority of the Secretary with respect to the 
     Division.
       ``(2) Exception.--The Assistant Secretary for 
     Administration is authorized to investigate, enforce, and 
     implement the provisions in law, Executive order, or 
     regulations that relate in general to competitive and 
     excepted service positions and employment within the 
     Division, including the position of Director, and such 
     authority may be further delegated to subordinate 
     officials.''.
       (b) Conforming Amendment.--Section 296(b) of the Department 
     of Agriculture Reorganization Act of 1994 (7 U.S.C. 7014(b)) 
     is amended--
       (1) in the matter preceding paragraph (1) by striking 
     ``affect--'' and inserting ``affect:'';
       (2) by striking ``the authority'' each place it appears in 
     paragraphs (1) through (7) and inserting ``The authority'';
       (3) by striking the semicolon at the end of each of 
     paragraphs (1) through (5) and inserting a period;
       (4) in paragraph (6)(C), by striking ``; or'' at the end 
     and inserting a period; and
       (5) by adding at the end the following:
       ``(8) The authority of the Secretary to carry out 
     amendments made to this title by the Agricultural Act of 
     2014.''.

     SEC. 1611. ASSIGNMENT OF PAYMENTS.

       (a) In General.--The provisions of section 8(g) of the Soil 
     Conservation and Domestic Allotment Act (16 U.S.C. 590h(g)), 
     relating to assignment of payments, shall apply to payments 
     made under this title.
       (b) Notice.--The producer making the assignment, or the 
     assignee, shall provide the Secretary with notice, in such 
     manner as the Secretary may require, of any assignment made 
     under this section.

     SEC. 1612. TRACKING OF BENEFITS.

       As soon as practicable after the date of enactment of this 
     Act, the Secretary may track the benefits provided, directly 
     or indirectly, to individuals and entities under titles I and 
     II and the amendments made by those titles.

     SEC. 1613. SIGNATURE AUTHORITY.

       (a) In General.--In carrying out this title and title II 
     and amendments made by those titles, if the Secretary 
     approves a document, the Secretary shall not subsequently 
     determine the document is inadequate or invalid because of 
     the lack of authority of any person signing the document on 
     behalf of the applicant or any other individual, entity, 
     general partnership, or joint venture, or the documents 
     relied upon were determined inadequate or invalid, unless the 
     person signing the program document knowingly and willfully 
     falsified the evidence of signature authority or a signature.
       (b) Affirmation.--
       (1) In general.--Nothing in this section prohibits the 
     Secretary from asking a proper party to affirm any document 
     that otherwise would be considered approved under subsection 
     (a).
       (2) No retroactive effect.--A denial of benefits based on a 
     lack of affirmation under paragraph (1) shall not be 
     retroactive with respect to third-party producers who were 
     not the subject of the erroneous representation of authority, 
     if the third-party producers--
       (A) relied on the prior approval by the Secretary of the 
     documents in good faith; and
       (B) substantively complied with all program requirements.

     SEC. 1614. IMPLEMENTATION.

       (a) Maintenance of Base Acres and Payment Yields.--The 
     Secretary shall maintain, for each covered commodity and 
     upland cotton, base acres and payment yields on a farm 
     established under sections 1001 and 1301 of the Food, 
     Conservation, and Energy Act of 2008 (7 U.S.C. 8702, 8751), 
     as adjusted pursuant to sections 1101, 1102, 1108, and 1302 
     of such Act (7 U.S.C. 8711, 8712, 8718, 8752), as in effect 
     on September 30, 2013.
       (b) Streamlining.--In implementing this title, the 
     Secretary shall--
       (1) reduce administrative burdens and costs to producers by 
     streamlining and reducing paperwork, forms, and other 
     administrative requirements, including through the 
     implementation of the Acreage Crop Reporting and Streamlining 
     Initiative that, in part, shall ensure that--
       (A) a producer (or an agent of a producer) may report 
     information, electronically (including geospatial data) or 
     conventionally, to the Department; and
       (B) upon the request of the producer (or agent thereof) the 
     Department of Agriculture electronically shares with the 
     producer (or agent) in real time and without cost to the 
     producer (or agent) the common land unit data, related farm 
     level data, and other information of the producer;
       (2) improve coordination, information sharing, and 
     administrative work with the Farm Service Agency, Risk 
     Management Agency, and the Natural Resources Conservation 
     Service; and
       (3) take advantage of new technologies to enhance 
     efficiency and effectiveness of program delivery to 
     producers.
       (c) Implementation.--
       (1) In general.--The Secretary shall make available to the 
     Farm Service Agency to carry out this title $100,000,000.
       (2) Additional funds.--
       (A) Initial determination.--If, by September 30, 2014, the 
     Secretary notifies the Committee on Agriculture of the House 
     of Representatives and the Committee on Agriculture, 
     Nutrition, and Forestry of the Senate that the Farm Service 
     Agency has made substantial progress toward implementing the 
     requirements of subsection (b)(1), the Secretary shall make 
     available to the Farm Service Agency to carry out this title 
     $10,000,000 on October 1, 2014. The amount made available 
     under this subparagraph is in addition to the amount made 
     available under paragraph (1).
       (B) Subsequent determination.--If, by September 30, 2015, 
     the Secretary notifies the Committee on Agriculture of the 
     House of Representatives and the Committee on Agriculture, 
     Nutrition, and Forestry of the Senate that the requirements 
     of subsection (b)(1) have been fully implemented and those 
     Committees provide written concurrence to the Secretary, the 
     Secretary shall make available to the Farm Service Agency to 
     carry out this title $10,000,000 on the date the written 
     concurrence is provided or October 1, 2015, whichever is 
     later. The amount made available under this subparagraph is 
     in addition to the amount made available under paragraph (1) 
     and any amount made available under subparagraph (A).
       (3) Producer education.--
       (A) In general.--Of the funds made available under 
     paragraph (1), the Secretary shall provide $3,000,000 to 
     State extension services for the purpose of educating farmers 
     and ranchers on the options made available under subtitles A, 
     D, and E of this title and under section 196 of the Federal 
     Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 
     7333).
       (B) Web-based decision aids.--
       (i) Use of qualified universities.--Of the funds made 
     available under paragraph (1), the Secretary shall use 
     $3,000,000 to support qualified universities (or university-
     based organizations) that represent a diversity of regions 
     and commodities (including dairy), possess expertise 
     regarding the programs authorized by this Act, have a history 
     in the development of decision aids and producer outreach 
     initiatives regarding farm risk management programs, and are 
     able to meet the deadline established pursuant to clause

[[Page 1874]]

     (ii) to develop web-based decision aids to assist producers 
     in understanding available options described in subparagraph 
     (A) and to train producers to use these decision aids.
       (ii) Deadlines.--To the maximum extent practicable, the 
     Secretary shall--

       (I) obligate the funds made available under clause (i) 
     within 30 days after the date of the enactment of this Act; 
     and
       (II) require the products described in clause (i) to be 
     made available to producers on the internet within a 
     reasonable period of time, as determined by the Secretary, 
     after the implementation of the first rule implementing 
     programs required under subtitle A of this title.

       (d) Loan Implementation.--
       (1) In general.--In any crop year in which an order is 
     issued pursuant 2 U.S.C. 901(a), the Secretary shall use such 
     sums as necessary of the funds of the Commodity Credit 
     Corporation for such crop year to fully restore the support, 
     loan, or assistance that is otherwise required under 
     subtitles B or C of this title or under the amendments made 
     by subtitles B or C, except with respect to the assistance 
     provided under sections 1207(c) and 1208.
       (2) Repayment.--In carrying out this subsection, the 
     Secretary shall ensure that when a producer repays a loan at 
     a rate equal to the loan rate plus interest in accordance 
     with the repayment provisions of subtitles B or C that the 
     repayment amount shall include the portion of the loan amount 
     provided under paragraph (1), except that this paragraph 
     shall not affect or reduce marketing loan gains, loan 
     deficiency payments, or forfeiture benefits provided for 
     under subtitles B or C and as supplemented in accordance with 
     paragraph (1).

     SEC. 1615. RESEARCH OPTION.

       (a) In General.--Notwithstanding section 4(m) of the 
     Commodity Credit Corporation Charter Act (15 U.S.C. 714b(m)), 
     funds of the Commodity Credit Corporation disbursed pursuant 
     to the memorandum of understanding between the Government of 
     the United States of America and the Government of the 
     Federative Republic of Brazil regarding a fund for technical 
     assistance and capacity building with respect to dispute WT/
     DS 267 in the World Trade Organization may, upon resolution 
     of the dispute, be used for research consistent with the 
     conditions imposed by subsection (b).
       (b) Conditions.--Research authorized by subsection (a) must 
     be conducted in collaboration with research agencies of the 
     United States Department of Agriculture or with a college, 
     university, or research foundation located in the United 
     States. Such research and collaboration shall be subject to 
     the agreement of the parties to the resolved dispute 
     described in subsection (a).

                         TITLE II--CONSERVATION

                Subtitle A--Conservation Reserve Program

     SEC. 2001. EXTENSION AND ENROLLMENT REQUIREMENTS OF 
                   CONSERVATION RESERVE PROGRAM.

       (a) Extension.--Section 1231(a) of the Food Security Act of 
     1985 (16 U.S.C. 3831(a)) is amended by striking ``2012'' and 
     inserting ``2018''.
       (b) Eligible Land.--Section 1231(b) of the Food Security 
     Act of 1985 (16 U.S.C. 3831(b)) is amended--
       (1) in paragraph (1)(B), by striking ``the date of 
     enactment of the Food, Conservation, and Energy Act of 2008'' 
     and inserting ``the date of enactment of the Agricultural Act 
     of 2014'';
       (2) by striking paragraph (2) and redesignating paragraph 
     (3) as paragraph (2);
       (3) by inserting before paragraph (4) the following new 
     paragraph:
       ``(3) grasslands that--
       ``(A) contain forbs or shrubland (including improved 
     rangeland and pastureland) for which grazing is the 
     predominant use;
       ``(B) are located in an area historically dominated by 
     grasslands; and
       ``(C) could provide habitat for animal and plant 
     populations of significant ecological value if the land is 
     retained in its current use or restored to a natural 
     condition;'';
       (4) in paragraph (4)(C), by striking ``filterstrips devoted 
     to trees or shrubs'' and inserting ``filterstrips or riparian 
     buffers devoted to trees, shrubs, or grasses''; and
       (5) by striking paragraph (5) and inserting the following 
     new paragraph:
       ``(5) the portion of land in a field not enrolled in the 
     conservation reserve in a case in which--
       ``(A) more than 50 percent of the land in the field is 
     enrolled as a buffer or filterstrip, or more than 75 percent 
     of the land in the field is enrolled as a conservation 
     practice other than as a buffer or filterstrip; and
       ``(B) the remainder of the field is--
       ``(i) infeasible to farm; and
       ``(ii) enrolled at regular rental rates.''.
       (c) Planting Status of Certain Land.--Section 1231(c) of 
     the Food Security Act of 1985 (16 U.S.C. 3831(c)) is amended 
     by striking ``if'' and all that follows through the period at 
     the end and inserting ``if, during the crop year, the land 
     was devoted to a conserving use.''.
       (d) Enrollment.--Subsection (d) of section 1231 of the Food 
     Security Act of 1985 (16 U.S.C. 3831) is amended to read as 
     follows:
       ``(d) Enrollment.--
       ``(1) Maximum acreage enrolled.--The Secretary may maintain 
     in the conservation reserve at any one time during--
       ``(A) fiscal year 2014, no more than 27,500,000 acres;
       ``(B) fiscal year 2015, no more than 26,000,000 acres;
       ``(C) fiscal year 2016, no more than 25,000,000 acres;
       ``(D) fiscal year 2017, no more than 24,000,000 acres; and
       ``(E) fiscal year 2018, no more than 24,000,000 acres.
       ``(2) Grasslands.--
       ``(A) Limitation.--For purposes of applying the limitations 
     in paragraph (1), no more than 2,000,000 acres of the land 
     described in subsection (b)(3) may be enrolled in the program 
     at any one time during the 2014 through 2018 fiscal years.
       ``(B) Priority.--In enrolling acres under subparagraph (A), 
     the Secretary may give priority to land with expiring 
     conservation reserve program contracts.
       ``(C) Method of enrollment.--In enrolling acres under 
     subparagraph (A), the Secretary shall make the program 
     available to owners or operators of eligible land on a 
     continuous enrollment basis with one or more ranking 
     periods.''.
       (e) Duration of Contract.--Section 1231(e) of the Food 
     Security Act of 1985 (16 U.S.C. 3831(e)) is amended by 
     striking paragraphs (2) and (3) and inserting the following 
     new paragraph:
       ``(2) Special rule for certain land.--In the case of land 
     devoted to hardwood trees, shelterbelts, windbreaks, or 
     wildlife corridors under a contract entered into under this 
     subchapter, the owner or operator of the land may, within the 
     limitations prescribed under paragraph (1), specify the 
     duration of the contract.''.
       (f) Conservation Priority Areas.--Section 1231(f) of the 
     Food Security Act of 1985 (16 U.S.C. 3831(f)) is amended--
       (1) in paragraph (1), by striking ``watershed areas of the 
     Chesapeake Bay Region, the Great Lakes Region, the Long 
     Island Sound Region, and other'';
       (2) in paragraph (2), by striking ``Watersheds.--
     Watersheds'' and inserting ``Areas.--Areas''; and
       (3) in paragraph (3), by striking ``a watershed's 
     designation--'' and all that follows through the period at 
     the end and inserting ``an area's designation if the 
     Secretary finds that the area no longer contains actual and 
     significant adverse water quality or habitat impacts related 
     to agricultural production activities.''.

     SEC. 2002. FARMABLE WETLAND PROGRAM.

       (a) Extension.--Section 1231B(a)(1) of the Food Security 
     Act of 1985 (16 U.S.C. 3831b(a)(1)) is amended--
       (1) by striking ``2012'' and inserting ``2018''; and
       (2) by striking ``a program'' and inserting ``a farmable 
     wetland program''.
       (b) Eligible Acreage.--Section 1231B(b)(1)(B) of the Food 
     Security Act of 1985 (16 U.S.C. 3831b(b)(1)(B)) is amended by 
     striking ``flow from a row crop agriculture drainage system'' 
     and inserting ``surface and subsurface flow from row crop 
     agricultural production''.
       (c) Acreage Limitation.--Section 1231B(c)(1)(B) of the Food 
     Security Act of 1985 (16 U.S.C. 3831b(c)(1)(B)) is amended by 
     striking ``1,000,000'' and inserting ``750,000''.
       (d) Clerical Amendments.--Section 1231B of the Food 
     Security Act of 1985 (16 U.S.C. 3831b) is amended--
       (1) by striking the heading and inserting the following: 
     ``farmable wetland program''; and
       (2) in subsection (f)(2), by striking ``section 
     1234(c)(2)(B)'' and inserting ``section 1234(d)(2)(A)(ii)''.

     SEC. 2003. DUTIES OF OWNERS AND OPERATORS.

       (a) Limitation on Harvesting, Grazing, or Commercial Use of 
     Forage.--Section 1232(a)(8) of the Food Security Act of 1985 
     (16 U.S.C. 3832(a)(8)) is amended by striking ``except that'' 
     and all that follows through the semicolon at the end of the 
     paragraph and inserting ``except as provided in subsection 
     (b) or (c) of section 1233;''.
       (b) Conservation Plan Requirements.--Subsection (b) of 
     section 1232 of the Food Security Act of 1985 (16 U.S.C. 
     3832) is amended to read as follows:
       ``(b) Conservation Plans.--The plan referred to in 
     subsection (a)(1) shall set forth--
       ``(1) the conservation measures and practices to be carried 
     out by the owner or operator during the term of the contract; 
     and
       ``(2) the commercial use, if any, to be permitted on the 
     land during the term.''.
       (c) Rental Payment Reduction.--Section 1232 of the Food 
     Security Act of 1985 (16 U.S.C. 3832) is amended by striking 
     subsection (d).

     SEC. 2004. DUTIES OF THE SECRETARY.

       Section 1233 of the Food Security Act of 1985 (16 U.S.C. 
     3833) is amended to read as follows:

     ``SEC. 1233. DUTIES OF THE SECRETARY.

       ``(a) Cost-Share and Rental Payments.--In return for a 
     contract entered into by an owner or operator under the 
     conservation reserve program, the Secretary shall--
       ``(1) share the cost of carrying out the conservation 
     measures and practices set forth in the contract for which 
     the Secretary determines that cost sharing is appropriate and 
     in the public interest; and

[[Page 1875]]

       ``(2) for a period of years not in excess of the term of 
     the contract, pay an annual rental payment in an amount 
     necessary to compensate for--
       ``(A) the conversion of highly erodible cropland or other 
     eligible lands normally devoted to the production of an 
     agricultural commodity on a farm or ranch to a less intensive 
     use;
       ``(B) the retirement of any base history that the owner or 
     operator agrees to retire permanently; and
       ``(C) the development and management of grasslands for 
     multiple natural resource conservation benefits, including to 
     soil, water, air, and wildlife.
       ``(b) Specified Activities Permitted.--The Secretary shall 
     permit certain activities or commercial uses of land that is 
     subject to a contract under the conservation reserve program 
     if those activities or uses are consistent with a plan 
     approved by the Secretary and include--
       ``(1) harvesting, grazing, or other commercial use of the 
     forage in response to a drought, flooding, or other 
     emergency, without any reduction in the rental rate;
       ``(2) consistent with the conservation of soil, water 
     quality, and wildlife habitat (including habitat during 
     primary nesting seasons for birds in the area), and in 
     exchange for a reduction of not less than 25 percent in the 
     annual rental rate for the acres covered by the authorized 
     activity, managed harvesting and other commercial use 
     (including the managed harvesting of biomass), except that in 
     permitting those activities, the Secretary, in coordination 
     with the State technical committee--
       ``(A) shall develop appropriate vegetation management 
     requirements; and
       ``(B) shall identify periods during which the activities 
     may be conducted, such that the frequency is at least every 5 
     but not more than once every 3 years;
       ``(3) subject to appropriate restrictions during the 
     nesting season for birds in the local area that are 
     economically significant, in significant decline, or 
     conserved in accordance with Federal or State law, as 
     determined by the Secretary in consultation with the State 
     technical committee, and in exchange for a reduction of not 
     less than 25 percent in the annual rental rate for the acres 
     covered by the authorized activity--
       ``(A) prescribed grazing for the control of invasive 
     species, which may be conducted annually;
       ``(B) routine grazing, except that in permitting such 
     routine grazing, the Secretary, in coordination with the 
     State technical committee--
       ``(i) shall develop appropriate vegetation management 
     requirements and stocking rates for the land that are 
     suitable for continued routine grazing; and
       ``(ii) shall identify the periods during which routine 
     grazing may be conducted, such that the frequency is not more 
     than once every 2 years, taking into consideration regional 
     differences such as--

       ``(I) climate, soil type, and natural resources;
       ``(II) the number of years that should be required between 
     routine grazing activities; and
       ``(III) how often during a year in which routine grazing is 
     permitted that routine grazing should be allowed to occur; 
     and

       ``(C) the installation of wind turbines and associated 
     access, except that in permitting the installation of wind 
     turbines, the Secretary shall determine the number and 
     location of wind turbines that may be installed, taking into 
     account--
       ``(i) the location, size, and other physical 
     characteristics of the land;
       ``(ii) the extent to which the land contains threatened or 
     endangered wildlife and wildlife habitat; and
       ``(iii) the purposes of the conservation reserve program 
     under this subchapter;
       ``(4) the intermittent and seasonal use of vegetative 
     buffer practices incidental to agricultural production on 
     lands adjacent to the buffer such that the permitted use does 
     not destroy the permanent vegetative cover; and
       ``(5) grazing by livestock of a beginning farmer or rancher 
     without any reduction in the rental rate, if the grazing is--
       ``(A) consistent with the conservation of soil, water 
     quality, and wildlife habitat;
       ``(B) subject to appropriate restrictions during the 
     nesting season for birds in the local area that are 
     economically significant, in significant decline, or 
     conserved in accordance with Federal or State law, as 
     determined by the Secretary in consultation with the State 
     technical committee; and
       ``(C) described in subparagraph (A) or (B) of paragraph 
     (3).
       ``(c) Authorized Activities on Grasslands.--For eligible 
     land described in section 1231(b)(3), the Secretary shall 
     permit the following activities:
       ``(1) Common grazing practices, including maintenance and 
     necessary cultural practices, on the land in a manner that is 
     consistent with maintaining the viability of grassland, forb, 
     and shrub species appropriate to that locality.
       ``(2) Haying, mowing, or harvesting for seed production, 
     subject to appropriate restrictions during the nesting season 
     for birds in the local area that are economically 
     significant, in significant decline, or conserved in 
     accordance with Federal or State law, as determined by the 
     Secretary in consultation with the State technical committee.
       ``(3) Fire presuppression, fire-related rehabilitation, and 
     construction of fire breaks.
       ``(4) Grazing-related activities, such as fencing and 
     livestock watering.
       ``(d) Resource Conserving Use.--
       ``(1) In general.--Beginning on the date that is 1 year 
     before the date of termination of a contract under the 
     program, the Secretary shall allow an owner or operator to 
     make conservation and land improvements for economic use that 
     facilitate maintaining protection of enrolled land after 
     expiration of the contract.
       ``(2) Conservation plan.--The Secretary shall require an 
     owner or operator carrying out the activities described in 
     paragraph (1) to develop and implement a conservation plan.
       ``(3) Re-enrollment prohibited.--Land improved under 
     paragraph (1) may not be re-enrolled in the conservation 
     reserve program for 5 years after the date of termination of 
     the contract.
       ``(4) Payment reduction.--In the case of an activity 
     carried out under paragraph (1), the Secretary shall reduce 
     the payment otherwise payable under the contract by an amount 
     commensurate with the economic value of the activity.''.

     SEC. 2005. PAYMENTS.

       (a) Trees, Windbreaks, Shelterbelts, and Wildlife 
     Corridors.--Section 1234(b)(3)(A) of the Food Security Act of 
     1985 (16 U.S.C. 3834(b)(3)(A)) is amended to read as follows:
       ``(A) Applicability.--This paragraph applies to land 
     devoted to the production of hardwood trees, windbreaks, 
     shelterbelts, or wildlife corridors under a contract entered 
     into under this subchapter after November 28, 1990.''.
       (b) Incentives for Thinning.--Section 1234 of the Food 
     Security Act of 1985 (16 U.S.C. 3834) is amended--
       (1) in subsection (b)--
       (A) in the heading, by striking ``Federal Percentage of''; 
     and
       (B) in paragraph (3)(B)--
       (i) in clause (i), by striking ``or thinning''; and
       (ii) by amending clause (ii) to read as follows:
       ``(ii) Duration.--The Secretary shall make payments as 
     described in clause (i) for a period of not less than 2 
     years, but not more than 4 years, beginning on the date of 
     the planting of the trees or shrubs.'';
       (2) by redesignating subsections (c) through (g) as 
     subsections (d) through (h), respectively; and
       (3) by inserting after subsection (b) the following:
       ``(c) Incentive Payments.--
       ``(1) In general.--The Secretary may make incentive 
     payments to an owner or operator of eligible land in an 
     amount sufficient to encourage proper thinning and other 
     practices to improve the condition of resources, promote 
     forest management, or enhance wildlife habitat on the land.
       ``(2) Limitation.--A payment described in paragraph (1) may 
     not exceed 150 percent of the total cost of thinning and 
     other practices conducted by the owner or operator.''.
       (c) Annual Rental Payments.--Section 1234(d) of the Food 
     Security Act of 1985 (as redesignated by subsection (b)(2)) 
     is amended--
       (1) in paragraph (1), by inserting ``or other eligible 
     lands'' after ``highly erodible cropland'' both places it 
     appears;
       (2) by striking paragraph (2) and inserting the following 
     new paragraph:
       ``(2) Methods of determination.--
       ``(A) In general.--The amounts payable to owners or 
     operators in the form of rental payments under contracts 
     entered into under this subchapter may be determined 
     through--
       ``(i) the submission of bids for such contracts by owners 
     and operators in such manner as the Secretary may prescribe; 
     or
       ``(ii) such other means as the Secretary determines are 
     appropriate.
       ``(B) Grasslands.--In the case of eligible land described 
     in section 1231(b)(3), the Secretary shall make annual 
     payments in an amount that is not more than 75 percent of the 
     grazing value of the land covered by the contract.''; and
       (3) in paragraph (5)--
       (A) in subparagraph (A), by striking ``conduct an annual 
     survey'' and inserting ``, not less frequently than once 
     every other year, conduct a survey'';
       (B) in subparagraph (B), by striking ``annual''; and
       (C) by adding at the end the following:
       ``(C) Use.--The Secretary may use the estimates derived 
     from the survey conducted under subparagraph (A) relating to 
     dryland cash rental rates as a factor in determining rental 
     rates under this section in a manner determined appropriate 
     by the Secretary.''.
       (d) Payment Schedule.--Subsection (e) of section 1234 of 
     the Food Security Act of 1985 (as redesignated by subsection 
     (b)(2)) is amended to read as follows:
       ``(e) Payment Schedule.--
       ``(1) In general.--Except as otherwise provided in this 
     section, payments under this subchapter shall be made in cash 
     in such amount and on such time schedule as is agreed on and 
     specified in the contract.

[[Page 1876]]

       ``(2) Advance payment.--Payments under this subchapter may 
     be made in advance of determination of performance.''.
       (e) Payment Limitation.--Section 1234(g) of the Food 
     Security Act of 1985 (as redesignated by subsection (b)(2)) 
     is amended--
       (1) in paragraph (1), by striking ``, including rental 
     payments made in the form of in-kind commodities,'';
       (2) by striking paragraph (3); and
       (3) by redesignating paragraph (4) as paragraph (2).

     SEC. 2006. CONTRACT REQUIREMENTS.

       (a) Early Termination by Owner or Operator.--Section 
     1235(e) of the Food Security Act of 1985 (16 U.S.C. 3835(e)) 
     is amended--
       (1) in paragraph (1)(A)--
       (A) by striking ``The Secretary'' and inserting ``During 
     fiscal year 2015, the Secretary''; and
       (B) by striking ``before January 1, 1995,'';
       (2) in paragraph (2), by striking subparagraph (C) and 
     inserting the following:
       ``(C) Land devoted to hardwood trees.
       ``(D) Wildlife habitat, duck nesting habitat, pollinator 
     habitat, upland bird habitat buffer, wildlife food plots, 
     State acres for wildlife enhancement, shallow water areas for 
     wildlife, and rare and declining habitat.
       ``(E) Farmable wetland and restored wetland.
       ``(F) Land that contains diversions, erosion control 
     structures, flood control structures, contour grass strips, 
     living snow fences, salinity reducing vegetation, cross wind 
     trap strips, and sediment retention structures.
       ``(G) Land located within a federally designated wellhead 
     protection area.
       ``(H) Land that is covered by an easement under the 
     conservation reserve program.
       ``(I) Land located within an average width, according to 
     the applicable Natural Resources Conservation Service field 
     office technical guide, of a perennial stream or permanent 
     water body.
       ``(J) Land enrolled under the conservation reserve 
     enhancement program.''; and
       (3) in paragraph (3), by striking ``60 days after the date 
     on which the owner or operator submits the notice required 
     under paragraph (1)(C)'' and inserting ``upon approval by the 
     Secretary''.
       (b) Transition Option for Certain Farmers or Ranchers.--
     Section 1235(f) of the Food Security Act of 1985 (16 U.S.C. 
     3835(f)) is amended--
       (1) in paragraph (1)--
       (A) in the matter preceding subparagraph (A), by striking 
     ``Duties'' and all that follows through ``a beginning farmer 
     or rancher or'' and inserting ``Transition to covered farmer 
     or rancher.--In the case of a contract modification approved 
     in order to facilitate the transfer of land subject to a 
     contract from a retired farmer or rancher to a beginning 
     farmer or rancher, a veteran farmer or rancher (as defined in 
     section 2501(e) of the Food, Agriculture, Conservation, and 
     Trade Act of 1990 (7 U.S.C. 2279(e))), or a'';
       (B) in subparagraph (A)(i), by inserting ``, including 
     preparing to plant an agricultural crop'' after 
     ``improvements'';
       (C) in subparagraph (D), by striking ``the farmer or 
     rancher'' and inserting ``the covered farmer or rancher''; 
     and
       (D) in subparagraph (E), by striking ``section 
     1001A(b)(3)(B)'' and inserting ``section 1001''; and
       (2) in paragraph (2), by striking ``requirement of section 
     1231(h)(4)(B)'' and inserting ``option pursuant to section 
     1234(d)(2)(A)(ii)''.
       (c) Final Year Contract.--Section 1235 of the Food Security 
     Act of 1985 (16 U.S.C. 3835) is amended by adding at the end 
     the following new subsections:
       ``(g) Final Year of Contract.--The Secretary shall not 
     consider an owner or operator to be in violation of a term or 
     condition of the conservation reserve contract if--
       ``(1) during the year prior to expiration of the contract, 
     the land is enrolled in the conservation stewardship program; 
     and
       ``(2) the activity required under the conservation 
     stewardship program pursuant to such enrollment is consistent 
     with this subchapter.
       ``(h) Land Enrolled in Agricultural Conservation Easement 
     Program.--The Secretary may terminate or modify a contract 
     entered into under this subchapter if eligible land that is 
     subject to such contract is transferred into the agricultural 
     conservation easement program under subtitle H.''.

     SEC. 2007. CONVERSION OF LAND SUBJECT TO CONTRACT TO OTHER 
                   CONSERVING USES.

       Section 1235A of the Food Security Act of 1985 (16 U.S.C. 
     3835a) is repealed.

     SEC. 2008. EFFECT ON EXISTING CONTRACTS.

       (a) In General.--Except as provided in paragraph (2), the 
     amendments made by this subtitle shall not affect the 
     validity or terms of any contract entered into by the 
     Secretary of Agriculture under subchapter B of chapter 1 of 
     subtitle D of title XII of the Food Security Act of 1985 (16 
     U.S.C. 3831 et seq.) before the date of enactment of the 
     Agricultural Act of 2014, or any payments required to be made 
     in connection with the contract.
       (b) Updating of Existing Contracts.--The Secretary shall 
     permit an owner or operator of land subject to a contract 
     entered into under subchapter B of chapter 1 of subtitle D of 
     title XII of the Food Security Act of 1985 (16 U.S.C. 3831 et 
     seq.) before the date of enactment of the Agricultural Act of 
     2014, to update the contract to reflect the activities and 
     uses of land under contract permitted under the terms and 
     conditions of section 1233(b) of that Act (as amended by 
     section 2004), as determined appropriate by the Secretary.

              Subtitle B--Conservation Stewardship Program

     SEC. 2101. CONSERVATION STEWARDSHIP PROGRAM.

       (a) Revision of Current Program.--Subchapter B of chapter 2 
     of subtitle D of title XII of the Food Security Act of 1985 
     (16 U.S.C. 3838d et seq.) is amended to read as follows:

            ``Subchapter B--Conservation Stewardship Program

     ``SEC. 1238D. DEFINITIONS.

       ``In this subchapter:
       ``(1) Agricultural operation.--The term `agricultural 
     operation' means all eligible land, whether or not 
     contiguous, that is--
       ``(A) under the effective control of a producer at the time 
     the producer enters into a contract under the program; and
       ``(B) operated with equipment, labor, management, and 
     production or cultivation practices that are substantially 
     separate from other agricultural operations, as determined by 
     the Secretary.
       ``(2) Conservation activities.--
       ``(A) In general.--The term `conservation activities' means 
     conservation systems, practices, or management measures.
       ``(B) Inclusions.--The term `conservation activities' 
     includes--
       ``(i) structural measures, vegetative measures, and land 
     management measures, including agriculture drainage 
     management systems, as determined by the Secretary; and
       ``(ii) planning needed to address a priority resource 
     concern.
       ``(3) Conservation stewardship plan.--The term 
     `conservation stewardship plan' means a plan that--
       ``(A) identifies and inventories priority resource 
     concerns;
       ``(B) establishes benchmark data and conservation 
     objectives;
       ``(C) describes conservation activities to be implemented, 
     managed, or improved; and
       ``(D) includes a schedule and evaluation plan for the 
     planning, installation, and management of the new and 
     existing conservation activities.
       ``(4) Eligible land.--
       ``(A) In general.--The term `eligible land' means--
       ``(i) private or tribal land on which agricultural 
     commodities, livestock, or forest-related products are 
     produced; and
       ``(ii) lands associated with the land described in clause 
     (i) on which priority resource concerns could be addressed 
     through a contract under the program.
       ``(B) Inclusions.--The term `eligible land' includes--
       ``(i) cropland;
       ``(ii) grassland;
       ``(iii) rangeland;
       ``(iv) pasture land;
       ``(v) nonindustrial private forest land; and
       ``(vi) other land in agricultural areas (including cropped 
     woodland, marshes, and agricultural land used or capable of 
     being used for the production of livestock), as determined by 
     the Secretary.
       ``(5) Priority resource concern.--The term `priority 
     resource concern' means a natural resource concern or 
     problem, as determined by the Secretary, that--
       ``(A) is identified at the national, State, or local level 
     as a priority for a particular area of a State;
       ``(B) represents a significant concern in a State or 
     region; and
       ``(C) is likely to be addressed successfully through the 
     implementation of conservation activities under this program.
       ``(6) Program.--The term `program' means the conservation 
     stewardship program established by this subchapter.
       ``(7) Stewardship threshold.--The term `stewardship 
     threshold' means the level of management required, as 
     determined by the Secretary, to conserve and improve the 
     quality and condition of a natural resource.

     ``SEC. 1238E. CONSERVATION STEWARDSHIP PROGRAM.

       ``(a) Establishment and Purpose.--During each of fiscal 
     years 2014 through 2018, the Secretary shall carry out a 
     conservation stewardship program to encourage producers to 
     address priority resource concerns and improve and conserve 
     the quality and condition of natural resources in a 
     comprehensive manner--
       ``(1) by undertaking additional conservation activities; 
     and
       ``(2) by improving, maintaining, and managing existing 
     conservation activities.
       ``(b) Exclusions.--
       ``(1) Land enrolled in other conservation programs.--
     Subject to paragraph (2), the following land (even if covered 
     by the definition of eligible land) is not eligible for 
     enrollment in the program:
       ``(A) Land enrolled in the conservation reserve program, 
     unless--
       ``(i) the conservation reserve contract will expire at the 
     end of the fiscal year in which the land is to be enrolled in 
     the program; and
       ``(ii) conservation reserve program payments for land 
     enrolled in the program cease

[[Page 1877]]

     before the first program payment is made to the applicant 
     under this subchapter.
       ``(B) Land enrolled in a wetland reserve easement through 
     the agricultural conservation easement program.
       ``(C) Land enrolled in the conservation security program.
       ``(2) Conversion to cropland.--Eligible land used for crop 
     production after the date of enactment of the Agricultural 
     Act of 2014, that had not been planted, considered to be 
     planted, or devoted to crop production for at least 4 of the 
     6 years preceding that date shall not be the basis for any 
     payment under the program, unless the land does not meet such 
     requirement because--
       ``(A) the land had previously been enrolled in the 
     conservation reserve program;
       ``(B) the land has been maintained using long-term crop 
     rotation practices, as determined by the Secretary; or
       ``(C) the land is incidental land needed for efficient 
     operation of the farm or ranch, as determined by the 
     Secretary.

     ``SEC. 1238F. STEWARDSHIP CONTRACTS.

       ``(a) Submission of Contract Offers.--To be eligible to 
     participate in the conservation stewardship program, a 
     producer shall submit to the Secretary a contract offer for 
     the agricultural operation that--
       ``(1) demonstrates to the satisfaction of the Secretary 
     that the producer, at the time of the contract offer, meets 
     or exceeds the stewardship threshold for at least 2 priority 
     resource concerns; and
       ``(2) would, at a minimum, meet or exceed the stewardship 
     threshold for at least 1 additional priority resource concern 
     by the end of the stewardship contract by--
       ``(A) installing and adopting additional conservation 
     activities; and
       ``(B) improving, maintaining, and managing existing 
     conservation activities across the entire agricultural 
     operation in a manner that increases or extends the 
     conservation benefits in place at the time the contract offer 
     is accepted by the Secretary.
       ``(b) Evaluation of Contract Offers.--
       ``(1) Ranking of applications.--In evaluating contract 
     offers submitted under subsection (a), the Secretary shall 
     rank applications based on--
       ``(A) the level of conservation treatment on all applicable 
     priority resource concerns at the time of application;
       ``(B) the degree to which the proposed conservation 
     activities effectively increase conservation performance;
       ``(C) the number of applicable priority resource concerns 
     proposed to be treated to meet or exceed the stewardship 
     threshold by the end of the contract;
       ``(D) the extent to which other priority resource concerns 
     will be addressed to meet or exceed the stewardship threshold 
     by the end of the contract period;
       ``(E) the extent to which the actual and anticipated 
     conservation benefits from the contract are provided at the 
     least cost relative to other similarly beneficial contract 
     offers; and
       ``(F) the extent to which priority resource concerns will 
     be addressed when transitioning from the conservation reserve 
     program to agricultural production.
       ``(2) Prohibition.--The Secretary may not assign a higher 
     priority to any application because the applicant is willing 
     to accept a lower payment than the applicant would otherwise 
     be eligible to receive.
       ``(3) Additional criteria.--The Secretary may develop and 
     use such additional criteria that the Secretary determines 
     are necessary to ensure that national, State, and local 
     priority resource concerns are effectively addressed.
       ``(c) Entering Into Contracts.--After a determination that 
     a producer is eligible for the program under subsection (a), 
     and a determination that the contract offer ranks 
     sufficiently high under the evaluation criteria under 
     subsection (b), the Secretary shall enter into a conservation 
     stewardship contract with the producer to enroll the eligible 
     land to be covered by the contract.
       ``(d) Contract Provisions.--
       ``(1) Term.--A conservation stewardship contract shall be 
     for a term of 5 years.
       ``(2) Required provisions.--The conservation stewardship 
     contract of a producer shall--
       ``(A) state the amount of the payment the Secretary agrees 
     to make to the producer for each year of the conservation 
     stewardship contract under section 1238G(d);
       ``(B) require the producer--
       ``(i) to implement a conservation stewardship plan that 
     describes the program purposes to be achieved through 1 or 
     more conservation activities;
       ``(ii) to maintain and supply information as required by 
     the Secretary to determine compliance with the conservation 
     stewardship plan and any other requirements of the program; 
     and
       ``(iii) not to conduct any activities on the agricultural 
     operation that would tend to defeat the purposes of the 
     program;
       ``(C) permit all economic uses of the eligible land that--
       ``(i) maintain the agricultural nature of the land; and
       ``(ii) are consistent with the conservation purposes of the 
     conservation stewardship contract;
       ``(D) include a provision to ensure that a producer shall 
     not be considered in violation of the contract for failure to 
     comply with the contract due to circumstances beyond the 
     control of the producer, including a disaster or related 
     condition, as determined by the Secretary;
       ``(E) include provisions requiring that upon the violation 
     of a term or condition of the contract at any time the 
     producer has control of the land--
       ``(i) if the Secretary determines that the violation 
     warrants termination of the contract--

       ``(I) the producer shall forfeit all rights to receive 
     payments under the contract; and
       ``(II) the producer shall refund all or a portion of the 
     payments received by the producer under the contract, 
     including any interest on the payments, as determined by the 
     Secretary; or

       ``(ii) if the Secretary determines that the violation does 
     not warrant termination of the contract, the producer shall 
     refund or accept adjustments to the payments provided to the 
     producer, as the Secretary determines to be appropriate;
       ``(F) include provisions in accordance with paragraphs (3) 
     and (4); and
       ``(G) include any additional provisions the Secretary 
     determines are necessary to carry out the program.
       ``(3) Change of interest in land subject to a contract.--
       ``(A) In general.--At the time of application, a producer 
     shall have control of the eligible land to be enrolled in the 
     program. Except as provided in subparagraph (B), a change in 
     the interest of a producer in eligible land covered by a 
     contract under the program shall result in the termination of 
     the contract with regard to that land.
       ``(B) Transfer of duties and rights.--Subparagraph (A) 
     shall not apply if--
       ``(i) within a reasonable period of time (as determined by 
     the Secretary) after the date of the change in the interest 
     in eligible land covered by a contract under the program, the 
     transferee of the land provides written notice to the 
     Secretary that all duties and rights under the contract have 
     been transferred to, and assumed by, the transferee for the 
     portion of the land transferred;
       ``(ii) the transferee meets the eligibility requirements of 
     the program; and
       ``(iii) the Secretary approves the transfer of all duties 
     and rights under the contract.
       ``(4) Modification and termination of contracts.--
       ``(A) Voluntary modification or termination.--The Secretary 
     may modify or terminate a contract with a producer if--
       ``(i) the producer agrees to the modification or 
     termination; and
       ``(ii) the Secretary determines that the modification or 
     termination is in the public interest.
       ``(B) Involuntary termination.--The Secretary may terminate 
     a contract if the Secretary determines that the producer 
     violated the contract.
       ``(5) Repayment.--If a contract is terminated, the 
     Secretary may, consistent with the purposes of the program--
       ``(A) allow the producer to retain payments already 
     received under the contract; or
       ``(B) require repayment, in whole or in part, of payments 
     received and assess liquidated damages.
       ``(e) Contract Renewal.--At the end of the initial 5-year 
     contract period, the Secretary may allow the producer to 
     renew the contract for 1 additional 5-year period if the 
     producer--
       ``(1) demonstrates compliance with the terms of the initial 
     contract;
       ``(2) agrees to adopt and continue to integrate 
     conservation activities across the entire agricultural 
     operation, as determined by the Secretary; and
       ``(3) agrees, by the end of the contract period--
       ``(A) to meet the stewardship threshold of at least 2 
     additional priority resource concerns on the agricultural 
     operation; or
       ``(B) to exceed the stewardship threshold of 2 existing 
     priority resource concerns that are specified by the 
     Secretary in the initial contract.

     ``SEC. 1238G. DUTIES OF THE SECRETARY.

       ``(a) In General.--To achieve the conservation goals of a 
     contract under the conservation stewardship program, the 
     Secretary shall--
       ``(1) make the program available to eligible producers on a 
     continuous enrollment basis with 1 or more ranking periods, 1 
     of which shall occur in the first quarter of each fiscal 
     year;
       ``(2) identify not less than 5 priority resource concerns 
     in a particular watershed or other appropriate region or area 
     within a State; and
       ``(3) establish a science-based stewardship threshold for 
     each priority resource concern identified under paragraph 
     (2).
       ``(b) Allocation to States.--The Secretary shall allocate 
     acres to States for enrollment, based--
       ``(1) primarily on each State's proportion of eligible land 
     to the total acreage of eligible land in all States; and
       ``(2) also on consideration of--
       ``(A) the extent and magnitude of the conservation needs 
     associated with agricultural production in each State;

[[Page 1878]]

       ``(B) the degree to which implementation of the program in 
     the State is, or will be, effective in helping producers 
     address those needs; and
       ``(C) other considerations to achieve equitable geographic 
     distribution of funds, as determined by the Secretary.
       ``(c) Acreage Enrollment Limitation.--During the period 
     beginning on the date of enactment of the Agricultural Act of 
     2014, and ending on September 30, 2022, the Secretary shall, 
     to the maximum extent practicable--
       ``(1) enroll in the program an additional 10,000,000 acres 
     for each fiscal year; and
       ``(2) manage the program to achieve a national average rate 
     of $18 per acre, which shall include the costs of all 
     financial assistance, technical assistance, and any other 
     expenses associated with enrollment or participation in the 
     program.
       ``(d) Conservation Stewardship Payments.--
       ``(1) Availability of payments.--The Secretary shall 
     provide annual payments under the program to compensate the 
     producer for--
       ``(A) installing and adopting additional conservation 
     activities; and
       ``(B) improving, maintaining, and managing conservation 
     activities in place at the agricultural operation of the 
     producer at the time the contract offer is accepted by the 
     Secretary.
       ``(2) Payment amount.--The amount of the annual payment 
     shall be determined by the Secretary and based, to the 
     maximum extent practicable, on the following factors:
       ``(A) Costs incurred by the producer associated with 
     planning, design, materials, installation, labor, management, 
     maintenance, or training.
       ``(B) Income forgone by the producer.
       ``(C) Expected conservation benefits.
       ``(D) The extent to which priority resource concerns will 
     be addressed through the installation and adoption of 
     conservation activities on the agricultural operation.
       ``(E) The level of stewardship in place at the time of 
     application and maintained over the term of the contract.
       ``(F) The degree to which the conservation activities will 
     be integrated across the entire agricultural operation for 
     all applicable priority resource concerns over the term of 
     the contract.
       ``(G) Such other factors as are determined appropriate by 
     the Secretary.
       ``(3) Exclusions.--A payment to a producer under this 
     subsection shall not be provided for--
       ``(A) the design, construction, or maintenance of animal 
     waste storage or treatment facilities or associated waste 
     transport or transfer devices for animal feeding operations; 
     or
       ``(B) conservation activities for which there is no cost 
     incurred or income forgone to the producer.
       ``(4) Delivery of payments.--In making payments under this 
     subsection, the Secretary shall, to the extent practicable--
       ``(A) prorate conservation performance over the term of the 
     contract so as to accommodate, to the extent practicable, 
     producers earning equal annual payments in each fiscal year; 
     and
       ``(B) make such payments as soon as practicable after 
     October 1 of each fiscal year for activities carried out in 
     the previous fiscal year.
       ``(e) Supplemental Payments for Resource-conserving Crop 
     Rotations.--
       ``(1) Availability of payments.--The Secretary shall 
     provide additional payments to producers that, in 
     participating in the program, agree to adopt or improve 
     resource-conserving crop rotations to achieve beneficial crop 
     rotations as appropriate for the eligible land of the 
     producers.
       ``(2) Beneficial crop rotations.--The Secretary shall 
     determine whether a resource-conserving crop rotation is a 
     beneficial crop rotation eligible for additional payments 
     under paragraph (1) based on whether the resource-conserving 
     crop rotation is designed to provide natural resource 
     conservation and production benefits.
       ``(3) Eligibility.--To be eligible to receive a payment 
     described in paragraph (1), a producer shall agree to adopt 
     and maintain beneficial resource-conserving crop rotations 
     for the term of the contract.
       ``(4) Resource-conserving crop rotation.--In this 
     subsection, the term `resource-conserving crop rotation' 
     means a crop rotation that--
       ``(A) includes at least 1 resource-conserving crop (as 
     defined by the Secretary);
       ``(B) reduces erosion;
       ``(C) improves soil fertility and tilth;
       ``(D) interrupts pest cycles; and
       ``(E) in applicable areas, reduces depletion of soil 
     moisture or otherwise reduces the need for irrigation.
       ``(f) Payment Limitations.--A person or legal entity may 
     not receive, directly or indirectly, payments under the 
     program that, in the aggregate, exceed $200,000 under all 
     contracts entered into during fiscal years 2014 through 2018, 
     excluding funding arrangements with Indian tribes, regardless 
     of the number of contracts entered into under the program by 
     the person or legal entity.
       ``(g) Specialty Crop and Organic Producers.--The Secretary 
     shall ensure that outreach and technical assistance are 
     available, and program specifications are appropriate to 
     enable specialty crop and organic producers to participate in 
     the program.
       ``(h) Coordination With Organic Certification.--The 
     Secretary shall establish a transparent means by which 
     producers may initiate organic certification under the 
     Organic Foods Production Act of 1990 (7 U.S.C. 6501 et seq.) 
     while participating in a contract under the program.
       ``(i) Regulations.--The Secretary shall promulgate 
     regulations that--
       ``(1) prescribe such other rules as the Secretary 
     determines to be necessary to ensure a fair and reasonable 
     application of the limitations established under subsection 
     (f); and
       ``(2) otherwise enable the Secretary to carry out the 
     program.''.
       (b) Effect on Existing Contracts.--
       (1) In general.--The amendment made by this section shall 
     not affect the validity or terms of any contract entered into 
     by the Secretary of Agriculture under subchapter B of chapter 
     2 of subtitle D of title XII of the Food Security Act of 1985 
     (16 U.S.C. 3838d et seq.) before the date of enactment of the 
     Agricultural Act of 2014, or any payments required to be made 
     in connection with the contract.
       (2) Conservation stewardship program.--Funds made available 
     under section 1241(a)(4) of the Food Security Act of 1985 (16 
     U.S.C. 3841(a)(4)) (as amended by section 2601(a) of this 
     title) may be used to administer and make payments to program 
     participants that enrolled into contracts during any of 
     fiscal years 2009 through 2013.

          Subtitle C--Environmental Quality Incentives Program

     SEC. 2201. PURPOSES.

       Section 1240 of the Food Security Act of 1985 (16 U.S.C. 
     3839aa) is amended--
       (1) in paragraph (3)--
       (A) in subparagraph (A), by striking ``and'' at the end;
       (B) by redesignating subparagraph (B) as subparagraph (C) 
     and, in such subparagraph, by inserting ``and'' after the 
     semicolon; and
       (C) by inserting after subparagraph (A) the following new 
     subparagraph:
       ``(B) developing and improving wildlife habitat; and'';
       (2) in paragraph (4), by striking ``; and'' and inserting a 
     period; and
       (3) by striking paragraph (5).

     SEC. 2202. DEFINITIONS.

       Section 1240A of the Food Security Act of 1985 (16 U.S.C. 
     3839aa-1) is amended--
       (1) by striking paragraph (2) and redesignating paragraphs 
     (3) through (6) as paragraphs (2) through (5), respectively; 
     and
       (2) in paragraph (2) (as so redesignated), by inserting 
     ``established under the Organic Foods Production Act of 1990 
     (7 U.S.C. 6501 et seq.)'' after ``national organic program''.

     SEC. 2203. ESTABLISHMENT AND ADMINISTRATION.

       Section 1240B of the Food Security Act of 1985 (16 U.S.C. 
     3839aa-2) is amended--
       (1) in subsection (a), by striking ``2014'' and inserting 
     ``2018'';
       (2) in subsection (b), by striking paragraph (2) and 
     inserting the following new paragraph:
       ``(2) Term.--A contract under the program shall have a term 
     that does not exceed 10 years.'';
       (3) in subsection (d)--
       (A) in paragraph (3), by striking subparagraphs (A) through 
     (G) and inserting the following:
       ``(A) soil health;
       ``(B) water quality and quantity improvement;
       ``(C) nutrient management;
       ``(D) pest management;
       ``(E) air quality improvement;
       ``(F) wildlife habitat development, including pollinator 
     habitat; or
       ``(G) invasive species management.''; and
       (B) in paragraph (4)--
       (i) in subparagraph (A), in the matter preceding clause 
     (i), by inserting ``, a veteran farmer or rancher (as defined 
     in section 2501(e) of the Food, Agriculture, Conservation, 
     and Trade Act of 1990 (7 U.S.C. 2279(e))),'' before ``or a 
     beginning farmer or rancher''; and
       (ii) by striking subparagraph (B) and inserting the 
     following new subparagraph:
       ``(B) Advance payments.--
       ``(i) In general.--Not more than 50 percent of the amount 
     determined under subparagraph (A) may be provided in advance 
     for the purpose of purchasing materials or contracting.
       ``(ii) Return of funds.--If funds provided in advance are 
     not expended during the 90-day period beginning on the date 
     of receipt of the funds, the funds shall be returned within a 
     reasonable timeframe, as determined by the Secretary.'';
       (4) by striking subsection (f) and inserting the following 
     new subsection:
       ``(f) Allocation of Funding.--
       ``(1) Livestock.--For each of fiscal years 2014 through 
     2018, at least 60 percent of the funds made available for 
     payments under the program shall be targeted at practices 
     relating to livestock production.
       ``(2) Wildlife habitat.--For each of fiscal years 2014 
     through 2018, at least 5 percent of the funds made available 
     for payments under the program shall be targeted at practices 
     benefitting wildlife habitat under subsection (g).''; and

[[Page 1879]]

       (5) by striking subsection (g) and inserting the following 
     new subsection:
       ``(g) Wildlife Habitat Incentive Program.--
       ``(1) In general.--The Secretary shall provide payments 
     under the environmental quality incentives program for 
     conservation practices that support the restoration, 
     development, protection, and improvement of wildlife habitat 
     on eligible land, including--
       ``(A) upland wildlife habitat;
       ``(B) wetland wildlife habitat;
       ``(C) habitat for threatened and endangered species;
       ``(D) fish habitat;
       ``(E) habitat on pivot corners and other irregular areas of 
     a field; and
       ``(F) other types of wildlife habitat, as determined by the 
     Secretary.
       ``(2) State technical committee.--In determining the 
     practices eligible for payment under paragraph (1) and 
     targeted for funding under subsection (f), the Secretary 
     shall consult with the relevant State technical committee not 
     less often than once each year.''.

     SEC. 2204. EVALUATION OF APPLICATIONS.

       Section 1240C(b) of the Food Security Act of 1985 (16 
     U.S.C. 3839aa-3(b)) is amended--
       (1) in paragraph (1), by striking ``environmental'' and 
     inserting ``conservation''; and
       (2) in paragraph (3), by striking ``purpose of the 
     environmental quality incentives program specified in section 
     1240(1)'' and inserting ``purposes of the program''.

     SEC. 2205. DUTIES OF PRODUCERS.

       Section 1240D(2) of the Food Security Act of 1985 (16 
     U.S.C. 3839aa-4(2)) is amended by striking ``farm, ranch, or 
     forest'' and inserting ``enrolled''.

     SEC. 2206. LIMITATION ON PAYMENTS.

       Section 1240G of the Food Security Act of 1985 (16 U.S.C. 
     3839aa-7) is amended to read as follows:

     ``SEC. 1240G. LIMITATION ON PAYMENTS.

       ``A person or legal entity may not receive, directly or 
     indirectly, cost-share or incentive payments under this 
     chapter that, in aggregate, exceed $450,000 for all contracts 
     entered into under this chapter by the person or legal entity 
     during the period of fiscal years 2014 through 2018, 
     regardless of the number of contracts entered into under this 
     chapter by the person or legal entity.''.

     SEC. 2207. CONSERVATION INNOVATION GRANTS AND PAYMENTS.

       Section 1240H of the Food Security Act of 1985 (16 U.S.C. 
     3839aa-8) is amended--
       (1) in subsection (a)(2)--
       (A) in subparagraph (C), by striking ``; and'' and 
     inserting a semicolon;
       (B) in subparagraph (D), by striking the period and 
     inserting a semicolon; and
       (C) by adding at the end the following new subparagraphs:
       ``(E) facilitate on-farm conservation research and 
     demonstration activities; and
       ``(F) facilitate pilot testing of new technologies or 
     innovative conservation practices.'';
       (2) in subsection (b)(2)--
       (A) by striking ``$37,500,000'' and inserting 
     ``$25,000,000''; and
       (B) by striking ``2012'' and inserting ``2018''; and
       (3) by adding at the end the following new subsection:
       ``(c) Reporting.--Not later than December 31, 2014, and 
     every two years thereafter, the Secretary shall submit to the 
     Committee on Agriculture, Nutrition, and Forestry of the 
     Senate and the Committee on Agriculture of the House of 
     Representatives a report on the status of projects funded 
     under this section, including--
       ``(1) funding awarded;
       ``(2) project results; and
       ``(3) incorporation of project findings, such as new 
     technology and innovative approaches, into the conservation 
     efforts implemented by the Secretary.''.

     SEC. 2208. EFFECT ON EXISTING CONTRACTS.

       The amendments made by this subtitle shall not affect the 
     validity or terms of any contract entered into by the 
     Secretary of Agriculture under chapter 4 of subtitle D of 
     title XII of the Food Security Act of 1985 (16 U.S.C. 3839aa 
     et seq.) before the date of enactment of the Agricultural Act 
     of 2014, or any payments required to be made in connection 
     with the contract.

         Subtitle D--Agricultural Conservation Easement Program

     SEC. 2301. AGRICULTURAL CONSERVATION EASEMENT PROGRAM.

       (a) Establishment.--Title XII of the Food Security Act of 
     1985 is amended by adding at the end the following new 
     subtitle:

        ``Subtitle H--Agricultural Conservation Easement Program

     ``SEC. 1265. ESTABLISHMENT AND PURPOSES.

       ``(a) Establishment.--The Secretary shall establish an 
     agricultural conservation easement program for the 
     conservation of eligible land and natural resources through 
     easements or other interests in land.
       ``(b) Purposes.--The purposes of the program are to--
       ``(1) combine the purposes and coordinate the functions of 
     the wetlands reserve program established under section 1237, 
     the grassland reserve program established under section 
     1238N, and the farmland protection program established under 
     section 1238I, as such sections were in effect on the day 
     before the date of enactment of the Agricultural Act of 2014;
       ``(2) restore, protect, and enhance wetlands on eligible 
     land;
       ``(3) protect the agricultural use and future viability, 
     and related conservation values, of eligible land by limiting 
     nonagricultural uses of that land; and
       ``(4) protect grazing uses and related conservation values 
     by restoring and conserving eligible land.

     ``SEC. 1265A. DEFINITIONS.

       ``In this subtitle:
       ``(1) Agricultural land easement.--The term `agricultural 
     land easement' means an easement or other interest in 
     eligible land that--
       ``(A) is conveyed for the purpose of protecting natural 
     resources and the agricultural nature of the land; and
       ``(B) permits the landowner the right to continue 
     agricultural production and related uses subject to an 
     agricultural land easement plan, as approved by the 
     Secretary.
       ``(2) Eligible entity.--The term `eligible entity' means--
       ``(A) an agency of State or local government or an Indian 
     tribe (including a farmland protection board or land resource 
     council established under State law); or
       ``(B) an organization that is--
       ``(i) organized for, and at all times since the formation 
     of the organization has been operated principally for, 1 or 
     more of the conservation purposes specified in clause (i), 
     (ii), (iii), or (iv) of section 170(h)(4)(A) of the Internal 
     Revenue Code of 1986;
       ``(ii) an organization described in section 501(c)(3) of 
     that Code that is exempt from taxation under section 501(a) 
     of that Code; or
       ``(iii) described in--

       ``(I) paragraph (1) or (2) of section 509(a) of that Code; 
     or
       ``(II) section 509(a)(3) of that Code and is controlled by 
     an organization described in section 509(a)(2) of that Code.

       ``(3) Eligible land.--The term `eligible land' means 
     private or tribal land that is--
       ``(A) in the case of an agricultural land easement, 
     agricultural land, including land on a farm or ranch--
       ``(i) that is subject to a pending offer for purchase of an 
     agricultural land easement from an eligible entity;
       ``(ii)(I) that has prime, unique, or other productive soil;
       ``(II) that contains historical or archaeological 
     resources;
       ``(III) the enrollment of which would protect grazing uses 
     and related conservation values by restoring and conserving 
     land; or
       ``(IV) the protection of which will further a State or 
     local policy consistent with the purposes of the program; and
       ``(iii) that is--

       ``(I) cropland;
       ``(II) rangeland;
       ``(III) grassland or land that contains forbs, or shrubland 
     for which grazing is the predominant use;
       ``(IV) located in an area that has been historically 
     dominated by grassland, forbs, or shrubs and could provide 
     habitat for animal or plant populations of significant 
     ecological value;
       ``(V) pastureland; or
       ``(VI) nonindustrial private forest land that contributes 
     to the economic viability of an offered parcel or serves as a 
     buffer to protect such land from development;

       ``(B) in the case of a wetland reserve easement, a wetland 
     or related area, including--
       ``(i) farmed or converted wetlands, together with adjacent 
     land that is functionally dependent on that land, if the 
     Secretary determines it--

       ``(I) is likely to be successfully restored in a cost-
     effective manner; and
       ``(II) will maximize the wildlife benefits and wetland 
     functions and values, as determined by the Secretary in 
     consultation with the Secretary of the Interior at the local 
     level;

       ``(ii) cropland or grassland that was used for agricultural 
     production prior to flooding from the natural overflow of--

       ``(I) a closed basin lake and adjacent land that is 
     functionally dependent upon it, if the State or other entity 
     is willing to provide 50 percent share of the cost of an 
     easement; or
       ``(II) a pothole and adjacent land that is functionally 
     dependent on it;

       ``(iii) farmed wetlands and adjoining lands that--

       ``(I) are enrolled in the conservation reserve program;
       ``(II) have the highest wetland functions and values, as 
     determined by the Secretary; and
       ``(III) are likely to return to production after they leave 
     the conservation reserve program;

       ``(iv) riparian areas that link wetlands that are protected 
     by easements or some other device that achieves the same 
     purpose as an easement; or
       ``(v) other wetlands of an owner that would not otherwise 
     be eligible, if the Secretary determines that the inclusion 
     of such wetlands in a wetland reserve easement would 
     significantly add to the functional value of the easement; or
       ``(C) in the case of either an agricultural land easement 
     or a wetland reserve easement, other land that is incidental 
     to land described in subparagraph (A) or (B), if the 
     Secretary determines that it is necessary for

[[Page 1880]]

     the efficient administration of an easement under the 
     program.
       ``(4) Program.--The term `program' means the agricultural 
     conservation easement program established by this subtitle.
       ``(5) Wetland reserve easement.--The term `wetland reserve 
     easement' means a reserved interest in eligible land that--
       ``(A) is defined and delineated in a deed; and
       ``(B) stipulates--
       ``(i) the rights, title, and interests in land conveyed to 
     the Secretary; and
       ``(ii) the rights, title, and interests in land that are 
     reserved to the landowner.

     ``SEC. 1265B. AGRICULTURAL LAND EASEMENTS.

       ``(a) Availability of Assistance.--The Secretary shall 
     facilitate and provide funding for--
       ``(1) the purchase by eligible entities of agricultural 
     land easements in eligible land; and
       ``(2) technical assistance to provide for the conservation 
     of natural resources pursuant to an agricultural land 
     easement plan.
       ``(b) Cost-Share Assistance.--
       ``(1) In general.--The Secretary shall protect the 
     agricultural use, including grazing, and related conservation 
     values of eligible land through cost-share assistance to 
     eligible entities for purchasing agricultural land easements.
       ``(2) Scope of assistance available.--
       ``(A) Federal share.--An agreement described in paragraph 
     (4) shall provide for a Federal share determined by the 
     Secretary of an amount not to exceed 50 percent of the fair 
     market value of the agricultural land easement, as determined 
     by the Secretary using--
       ``(i) the Uniform Standards of Professional Appraisal 
     Practice;
       ``(ii) an areawide market analysis or survey; or
       ``(iii) another industry-approved method.
       ``(B) Non-federal share.--
       ``(i) In general.--Under the agreement, the eligible entity 
     shall provide a share that is at least equivalent to that 
     provided by the Secretary.
       ``(ii) Source of contribution.--An eligible entity may 
     include as part of its share under clause (i) a charitable 
     donation or qualified conservation contribution (as defined 
     by section 170(h) of the Internal Revenue Code of 1986) from 
     the private landowner if the eligible entity contributes its 
     own cash resources in an amount that is at least 50 percent 
     of the amount contributed by the Secretary.
       ``(C) Exception.--
       ``(i) Grasslands.--In the case of grassland of special 
     environmental significance, as determined by the Secretary, 
     the Secretary may provide an amount not to exceed 75 percent 
     of the fair market value of the agricultural land easement.
       ``(ii) Cash contribution.--For purposes of subparagraph 
     (B)(ii), the Secretary may waive any portion of the eligible 
     entity cash contribution requirement for projects of special 
     significance, subject to an increase in the private landowner 
     donation that is equal to the amount of the waiver, if the 
     donation is voluntary and the property is in active 
     agricultural production.
       ``(3) Evaluation and ranking of applications.--
       ``(A) Criteria.--The Secretary shall establish evaluation 
     and ranking criteria to maximize the benefit of Federal 
     investment under the program.
       ``(B) Considerations.--In establishing the criteria, the 
     Secretary shall emphasize support for--
       ``(i) protecting agricultural uses and related conservation 
     values of the land; and
       ``(ii) maximizing the protection of areas devoted to 
     agricultural use.
       ``(C) Bidding down.--If the Secretary determines that 2 or 
     more applications for cost-share assistance are comparable in 
     achieving the purpose of the program, the Secretary shall not 
     assign a higher priority to any of those applications solely 
     on the basis of lesser cost to the program.
       ``(4) Agreements with eligible entities.--
       ``(A) In general.--The Secretary shall enter into 
     agreements with eligible entities to stipulate the terms and 
     conditions under which the eligible entity is permitted to 
     use cost-share assistance provided under this section.
       ``(B) Length of agreements.--An agreement shall be for a 
     term that is--
       ``(i) in the case of an eligible entity certified under the 
     process described in paragraph (5), a minimum of five years; 
     and
       ``(ii) for all other eligible entities, at least three, but 
     not more than five years.
       ``(C) Minimum terms and conditions.--An eligible entity 
     shall be authorized to use its own terms and conditions for 
     agricultural land easements so long as the Secretary 
     determines such terms and conditions--
       ``(i) are consistent with the purposes of the program;
       ``(ii) permit effective enforcement of the conservation 
     purposes of such easements;
       ``(iii) include a right of enforcement for the Secretary, 
     that may be used only if the terms of the easement are not 
     enforced by the holder of the easement;
       ``(iv) subject the land in which an interest is purchased 
     to an agricultural land easement plan that--

       ``(I) describes the activities which promote the long-term 
     viability of the land to meet the purposes for which the 
     easement was acquired;
       ``(II) requires the management of grasslands according to a 
     grasslands management plan; and
       ``(III) includes a conservation plan, where appropriate, 
     and requires, at the option of the Secretary, the conversion 
     of highly erodible cropland to less intensive uses; and

       ``(v) include a limit on the impervious surfaces to be 
     allowed that is consistent with the agricultural activities 
     to be conducted.
       ``(D) Substitution of qualified projects.--An agreement 
     shall allow, upon mutual agreement of the parties, 
     substitution of qualified projects that are identified at the 
     time of the proposed substitution.
       ``(E) Effect of violation.--If a violation occurs of a term 
     or condition of an agreement under this subsection--
       ``(i) the Secretary may terminate the agreement; and
       ``(ii) the Secretary may require the eligible entity to 
     refund all or part of any payments received by the entity 
     under the program, with interest on the payments as 
     determined appropriate by the Secretary.
       ``(5) Certification of eligible entities.--
       ``(A) Certification process.--The Secretary shall establish 
     a process under which the Secretary may--
       ``(i) directly certify eligible entities that meet 
     established criteria;
       ``(ii) enter into long-term agreements with certified 
     eligible entities; and
       ``(iii) accept proposals for cost-share assistance for the 
     purchase of agricultural land easements throughout the 
     duration of such agreements.
       ``(B) Certification criteria.--In order to be certified, an 
     eligible entity shall demonstrate to the Secretary that the 
     entity will maintain, at a minimum, for the duration of the 
     agreement--
       ``(i) a plan for administering easements that is consistent 
     with the purpose of the program;
       ``(ii) the capacity and resources to monitor and enforce 
     agricultural land easements; and
       ``(iii) policies and procedures to ensure--

       ``(I) the long-term integrity of agricultural land 
     easements on eligible land;
       ``(II) timely completion of acquisitions of such easements; 
     and
       ``(III) timely and complete evaluation and reporting to the 
     Secretary on the use of funds provided under the program.

       ``(C) Review and revision.--
       ``(i) Review.--The Secretary shall conduct a review of 
     eligible entities certified under subparagraph (A) every 
     three years to ensure that such entities are meeting the 
     criteria established under subparagraph (B).
       ``(ii) Revocation.--If the Secretary finds that a certified 
     eligible entity no longer meets the criteria established 
     under subparagraph (B), the Secretary may--

       ``(I) allow the certified eligible entity a specified 
     period of time, at a minimum 180 days, in which to take such 
     actions as may be necessary to meet the criteria; and
       ``(II) revoke the certification of the eligible entity, if, 
     after the specified period of time, the certified eligible 
     entity does not meet such criteria.

       ``(c) Method of Enrollment.--The Secretary shall enroll 
     eligible land under this section through the use of--
       ``(1) permanent easements; or
       ``(2) easements for the maximum duration allowed under 
     applicable State laws.
       ``(d) Technical Assistance.--The Secretary may provide 
     technical assistance, if requested, to assist in--
       ``(1) compliance with the terms and conditions of 
     easements; and
       ``(2) implementation of an agricultural land easement plan.

     ``SEC. 1265C. WETLAND RESERVE EASEMENTS.

       ``(a) Availability of Assistance.--The Secretary shall 
     provide assistance to owners of eligible land to restore, 
     protect, and enhance wetlands through--
       ``(1) wetland reserve easements and related wetland reserve 
     easement plans; and
       ``(2) technical assistance.
       ``(b) Easements.--
       ``(1) Method of enrollment.--The Secretary shall enroll 
     eligible land under this section through the use of--
       ``(A) 30-year easements;
       ``(B) permanent easements;
       ``(C) easements for the maximum duration allowed under 
     applicable State laws; or
       ``(D) as an option for Indian tribes only, 30-year 
     contracts.
       ``(2) Limitations.--
       ``(A) Ineligible land.--The Secretary may not acquire 
     easements on--
       ``(i) land established to trees under the conservation 
     reserve program, except in cases where the Secretary 
     determines it would further the purposes of this section; and
       ``(ii) farmed wetlands or converted wetlands where the 
     conversion was not commenced prior to December 23, 1985.
       ``(B) Changes in ownership.--No wetland reserve easement 
     shall be created on land that has changed ownership during 
     the preceding 24-month period unless--
       ``(i) the new ownership was acquired by will or succession 
     as a result of the death of the previous owner;
       ``(ii)(I) the ownership change occurred because of 
     foreclosure on the land; and

[[Page 1881]]

       ``(II) immediately before the foreclosure, the owner of the 
     land exercises a right of redemption from the mortgage holder 
     in accordance with State law; or
       ``(iii) the Secretary determines that the land was acquired 
     under circumstances that give adequate assurances that such 
     land was not acquired for the purposes of placing it in the 
     program.
       ``(3) Evaluation and ranking of offers.--
       ``(A) Criteria.--The Secretary shall establish evaluation 
     and ranking criteria for offers from landowners under this 
     section to maximize the benefit of Federal investment under 
     the program.
       ``(B) Considerations.--When evaluating offers from 
     landowners, the Secretary may consider--
       ``(i) the conservation benefits of obtaining a wetland 
     reserve easement, including the potential environmental 
     benefits if the land was removed from agricultural 
     production;
       ``(ii) the cost effectiveness of each wetland reserve 
     easement, so as to maximize the environmental benefits per 
     dollar expended;
       ``(iii) whether the landowner or another person is offering 
     to contribute financially to the cost of the wetland reserve 
     easement to leverage Federal funds; and
       ``(iv) such other factors as the Secretary determines are 
     necessary to carry out the purposes of the program.
       ``(C) Priority.--The Secretary shall give priority to 
     acquiring wetland reserve easements based on the value of the 
     wetland reserve easement for protecting and enhancing habitat 
     for migratory birds and other wildlife.
       ``(4) Agreement.--To be eligible to place eligible land 
     into the program through a wetland reserve easement, the 
     owner of such land shall enter into an agreement with the 
     Secretary to--
       ``(A) grant an easement on such land to the Secretary;
       ``(B) authorize the implementation of a wetland reserve 
     easement plan developed for the eligible land under 
     subsection (f);
       ``(C) create and record an appropriate deed restriction in 
     accordance with applicable State law to reflect the easement 
     agreed to;
       ``(D) provide a written statement of consent to such 
     easement signed by those holding a security interest in the 
     land;
       ``(E) comply with the terms and conditions of the easement 
     and any related agreements; and
       ``(F) permanently retire any existing base history for the 
     land on which the easement has been obtained.
       ``(5) Terms and conditions of easement.--
       ``(A) In general.--A wetland reserve easement shall include 
     terms and conditions that--
       ``(i) permit--

       ``(I) repairs, improvements, and inspections on the land 
     that are necessary to maintain existing public drainage 
     systems; and
       ``(II) owners to control public access on the easement 
     areas while identifying access routes to be used for 
     restoration activities and management and easement 
     monitoring;

       ``(ii) prohibit--

       ``(I) the alteration of wildlife habitat and other natural 
     features of such land, unless specifically authorized by the 
     Secretary;
       ``(II) the spraying of such land with chemicals or the 
     mowing of such land, except where such spraying or mowing is 
     authorized by the Secretary or is necessary--

       ``(aa) to comply with Federal or State noxious weed control 
     laws;
       ``(bb) to comply with a Federal or State emergency pest 
     treatment program; or
       ``(cc) to meet habitat needs of specific wildlife species;

       ``(III) any activities to be carried out on the owner's or 
     successor's land that is immediately adjacent to, and 
     functionally related to, the land that is subject to the 
     easement if such activities will alter, degrade, or otherwise 
     diminish the functional value of the eligible land; and
       ``(IV) the adoption of any other practice that would tend 
     to defeat the purposes of the program, as determined by the 
     Secretary;

       ``(iii) provide for the efficient and effective 
     establishment of wetland functions and values; and
       ``(iv) include such additional provisions as the Secretary 
     determines are desirable to carry out the program or 
     facilitate the practical administration thereof.
       ``(B) Violation.--On the violation of a term or condition 
     of a wetland reserve easement, the wetland reserve easement 
     shall remain in force and the Secretary may require the owner 
     to refund all or part of any payments received by the owner 
     under the program, with interest on the payments as 
     determined appropriate by the Secretary.
       ``(C) Compatible uses.--Land subject to a wetland reserve 
     easement may be used for compatible economic uses, including 
     such activities as hunting and fishing, managed timber 
     harvest, or periodic haying or grazing, if such use is 
     specifically permitted by the wetland reserve easement plan 
     developed for the land under subsection (f) and is consistent 
     with the long-term protection and enhancement of the wetland 
     resources for which the easement was established.
       ``(D) Reservation of grazing rights.--The Secretary may 
     include in the terms and conditions of a wetland reserve 
     easement a provision under which the owner reserves grazing 
     rights if--
       ``(i) the Secretary determines that the reservation and use 
     of the grazing rights--

       ``(I) is compatible with the land subject to the easement;
       ``(II) is consistent with the historical natural uses of 
     the land and the long-term protection and enhancement goals 
     for which the easement was established; and
       ``(III) complies with the wetland reserve easement plan 
     developed for the land under subsection (f); and

       ``(ii) the agreement provides for a commensurate reduction 
     in the easement payment to account for the grazing value, as 
     determined by the Secretary.
       ``(6) Compensation.--
       ``(A) Determination.--
       ``(i) Permanent easements.--The Secretary shall pay as 
     compensation for a permanent wetland reserve easement 
     acquired under the program an amount necessary to encourage 
     enrollment in the program, based on the lowest of--

       ``(I) the fair market value of the land, as determined by 
     the Secretary, using the Uniform Standards of Professional 
     Appraisal Practice or an areawide market analysis or survey;
       ``(II) the amount corresponding to a geographical cap, as 
     determined by the Secretary in regulations; or
       ``(III) the offer made by the landowner.

       ``(ii) Other.--Compensation for a 30-year contract or 30-
     year wetland reserve easement shall be not less than 50 
     percent, but not more than 75 percent, of the compensation 
     that would be paid for a permanent wetland reserve easement.
       ``(B) Form of payment.--Compensation for a wetland reserve 
     easement shall be provided by the Secretary in the form of a 
     cash payment, in an amount determined under subparagraph (A).
       ``(C) Payment schedule.--
       ``(i) Easements valued at $500,000 or less.--For wetland 
     reserve easements valued at $500,000 or less, the Secretary 
     may provide payments in not more than 10 annual payments.
       ``(ii) Easements valued at more than $500,000.--For wetland 
     reserve easements valued at more than $500,000, the Secretary 
     may provide payments in at least 5, but not more than 10 
     annual payments, except that, if the Secretary determines it 
     would further the purposes of the program, the Secretary may 
     make a lump-sum payment for such an easement.
       ``(c) Easement Restoration.--
       ``(1) In general.--The Secretary shall provide financial 
     assistance to owners of eligible land to carry out the 
     establishment of conservation measures and practices and 
     protect wetland functions and values, including necessary 
     maintenance activities, as set forth in a wetland reserve 
     easement plan developed for the eligible land under 
     subsection (f).
       ``(2) Payments.--The Secretary shall--
       ``(A) in the case of a permanent wetland reserve easement, 
     pay an amount that is not less than 75 percent, but not more 
     than 100 percent, of the eligible costs, as determined by the 
     Secretary; and
       ``(B) in the case of a 30-year contract or 30-year wetland 
     reserve easement, pay an amount that is not less than 50 
     percent, but not more than 75 percent, of the eligible costs, 
     as determined by the Secretary.
       ``(d) Technical Assistance.--
       ``(1) In general.--The Secretary shall assist owners in 
     complying with the terms and conditions of a wetland reserve 
     easement.
       ``(2) Contracts or agreements.--The Secretary may enter 
     into 1 or more contracts with private entities or agreements 
     with a State, nongovernmental organization, or Indian tribe 
     to carry out necessary restoration, enhancement, or 
     maintenance of a wetland reserve easement if the Secretary 
     determines that the contract or agreement will advance the 
     purposes of the program.
       ``(e) Wetland Reserve Enhancement Option.--The Secretary 
     may enter into 1 or more agreements with a State (including a 
     political subdivision or agency of a State), nongovernmental 
     organization, or Indian tribe to carry out a special wetland 
     reserve enhancement option that the Secretary determines 
     would advance the purposes of program.
       ``(f) Administration.--
       ``(1) Wetland reserve easement plan.--The Secretary shall 
     develop a wetland reserve easement plan for any eligible land 
     subject to a wetland reserve easement, which shall include 
     practices and activities necessary to restore, protect, 
     enhance, and maintain the enrolled land.
       ``(2) Delegation of easement administration.--
       ``(A) In general.--The Secretary may delegate any of the 
     management, monitoring, and enforcement responsibilities of 
     the Secretary under this section to other Federal or State 
     agencies that have the appropriate authority, expertise, and 
     resources necessary to carry out such delegated 
     responsibilities, or to conservation organizations if the 
     Secretary determines the organization has similar expertise 
     and resources.
       ``(B) Limitation.--The Secretary shall not delegate any of 
     the monitoring or enforcement responsibilities under this 
     section to conservation organizations.

[[Page 1882]]

       ``(3) Payments.--
       ``(A) Timing of payments.--The Secretary shall provide 
     payment for obligations incurred by the Secretary under this 
     section--
       ``(i) with respect to any easement restoration obligation 
     under subsection (c), as soon as possible after the 
     obligation is incurred; and
       ``(ii) with respect to any annual easement payment 
     obligation incurred by the Secretary, as soon as possible 
     after October 1 of each calendar year.
       ``(B) Payments to others.--If an owner who is entitled to a 
     payment under this section dies, becomes incompetent, is 
     otherwise unable to receive such payment, or is succeeded by 
     another person or entity who renders or completes the 
     required performance, the Secretary shall make such payment, 
     in accordance with regulations prescribed by the Secretary 
     and without regard to any other provision of law, in such 
     manner as the Secretary determines is fair and reasonable in 
     light of all of the circumstances.
       ``(g) Application.--The relevant provisions of this section 
     shall also apply to a 30-year contract.

     ``SEC. 1265D. ADMINISTRATION.

       ``(a) Ineligible Land.--The Secretary may not use program 
     funds for the purposes of acquiring an easement on--
       ``(1) lands owned by an agency of the United States, other 
     than land held in trust for Indian tribes;
       ``(2) lands owned in fee title by a State, including an 
     agency or a subdivision of a State, or a unit of local 
     government;
       ``(3) land subject to an easement or deed restriction 
     which, as determined by the Secretary, provides similar 
     protection as would be provided by enrollment in the program; 
     or
       ``(4) lands where the purposes of the program would be 
     undermined due to on-site or off-site conditions, such as 
     risk of hazardous substances, proposed or existing rights of 
     way, infrastructure development, or adjacent land uses.
       ``(b) Priority.--In evaluating applications under the 
     program, the Secretary may give priority to land that is 
     currently enrolled in the conservation reserve program in a 
     contract that is set to expire within 1 year and--
       ``(1) in the case of an agricultural land easement, is 
     grassland that would benefit from protection under a long-
     term easement; and
       ``(2) in the case of a wetland reserve easement, is a 
     wetland or related area with the highest wetland functions 
     and value and is likely to return to production after the 
     land leaves the conservation reserve program.
       ``(c) Subordination, Exchange, Modification, and 
     Termination.--
       ``(1) In general.--The Secretary may subordinate, exchange, 
     modify, or terminate any interest in land, or portion of such 
     interest, administered by the Secretary, either directly or 
     on behalf of the Commodity Credit Corporation under the 
     program if the Secretary determines that--
       ``(A) it is in the Federal Government's interest to 
     subordinate, exchange, modify, or terminate the interest in 
     land;
       ``(B) the subordination, exchange, modification, or 
     termination action--
       ``(i) will address a compelling public need for which there 
     is no practicable alternative; or
       ``(ii) such action will further the practical 
     administration of the program; and
       ``(C) the subordination, exchange, modification, or 
     termination action will result in comparable conservation 
     value and equivalent or greater economic value to the United 
     States.
       ``(2) Consultation.--The Secretary shall work with the 
     owner, and eligible entity if applicable, to address any 
     subordination, exchange, modification, or termination of the 
     interest, or portion of such interest, in land.
       ``(3) Notice.--At least 90 days before taking any 
     termination action described in paragraph (1), the Secretary 
     shall provide written notice of such action to the Committee 
     on Agriculture of the House of Representatives and the 
     Committee on Agriculture, Nutrition, and Forestry of the 
     Senate.
       ``(d) Land Enrolled in Other Programs.--
       ``(1) Conservation reserve program.--The Secretary may 
     terminate or modify a contract entered into under section 
     1231(a) if eligible land that is subject to such contract is 
     transferred into the program.
       ``(2) Other.--In accordance with the provisions of subtitle 
     H of title II of the Agricultural Act of 2014, land enrolled 
     in the wetlands reserve program, grassland reserve program, 
     or farmland protection program on the day before the date of 
     enactment of the Agricultural Act of 2014 shall be considered 
     enrolled in the program.
       ``(e) Compliance With Certain Requirements.--The Secretary 
     may not provide assistance under this subtitle to an eligible 
     entity or owner of eligible land unless the eligible entity 
     or owner agrees, during the crop year for which the 
     assistance is provided--
       ``(1) to comply with applicable conservation requirements 
     under subtitle B; and
       ``(2) to comply with applicable wetland protection 
     requirements under subtitle C.''.
       (b) Cross Reference; Calculation.--Section 1244 of the Food 
     Security Act of 1985 (16 U.S.C. 3844) is amended--
       (1) in subsection (c)--
       (A) in paragraph (1)--
       (i) by inserting ``and'' at the end of subparagraph (A);
       (ii) by striking ``and'' at the end of subparagraph (B); 
     and
       (iii) by striking subparagraph (C);
       (B) by redesignating paragraph (2) as paragraph (3); and
       (C) by inserting after paragraph (1) the following new 
     paragraph:
       ``(2) the agricultural conservation easement program 
     established under subtitle H; and''; and
       (2) in subsection (f)--
       (A) in paragraph (1)--
       (i) in subparagraph (A), by striking ``programs 
     administered under subchapters B and C of chapter 1 of 
     subtitle D'' and inserting ``conservation reserve program 
     established under subchapter B of chapter 1 of subtitle D and 
     wetland reserve easements under section 1265C''; and
       (ii) in subparagraph (B), by striking ``an easement 
     acquired under subchapter C of chapter 1 of subtitle D'' and 
     inserting ``a wetland reserve easement under section 1265C'';
       (B) by striking paragraph (4) and inserting the following:
       ``(4) Exclusions.--
       ``(A) Shelterbelts and windbreaks.--The limitations 
     established under paragraph (1) shall not apply to cropland 
     that is subject to an easement under subchapter B of chapter 
     1 of subtitle D that is used for the establishment of 
     shelterbelts and windbreaks.
       ``(B) Wet and saturated soils.--For the purposes of 
     enrolling land in a wetland reserve easement under section 
     1265C, the limitations established under paragraph (1) shall 
     not apply to cropland designated by the Secretary with 
     subclass w in the land capability classes IV through VIII 
     because of severe use limitations due to soil saturation or 
     inundation.''; and
       (C) by adding at the end the following new paragraph:
       ``(5) Calculation.--In calculating the percentages 
     described in paragraph (1), the Secretary shall include any 
     acreage that was included in calculations of percentages made 
     under such paragraph, as in effect on the day before the date 
     of enactment of the Agricultural Act of 2014, and that 
     remains enrolled when the calculation is made after that date 
     under paragraph (1).''.

         Subtitle E--Regional Conservation Partnership Program

     SEC. 2401. REGIONAL CONSERVATION PARTNERSHIP PROGRAM.

       Title XII of the Food Security Act of 1985 is amended by 
     inserting after subtitle H, as added by section 2301, the 
     following new subtitle:

        ``Subtitle I--Regional Conservation Partnership Program

     ``SEC. 1271. ESTABLISHMENT AND PURPOSES.

       ``(a) Establishment.--The Secretary shall establish a 
     regional conservation partnership program to implement 
     eligible activities on eligible land through--
       ``(1) partnership agreements with eligible partners; and
       ``(2) contracts with producers.
       ``(b) Purposes.--The purposes of the program are as 
     follows:
       ``(1) To use covered programs to accomplish purposes and 
     functions similar to those of the following programs, as in 
     effect on the day before the date of enactment of the 
     Agricultural Act of 2014:
       ``(A) The agricultural water enhancement program 
     established under section 1240I.
       ``(B) The Chesapeake Bay watershed program established 
     under section 1240Q.
       ``(C) The cooperative conservation partnership initiative 
     established under section 1243.
       ``(D) The Great Lakes basin program for soil erosion and 
     sediment control established under section 1240P.
       ``(2) To further the conservation, restoration, and 
     sustainable use of soil, water, wildlife, and related natural 
     resources on eligible land on a regional or watershed scale.
       ``(3) To encourage eligible partners to cooperate with 
     producers in--
       ``(A) meeting or avoiding the need for national, State, and 
     local natural resource regulatory requirements related to 
     production on eligible land; and
       ``(B) implementing projects that will result in the 
     installation and maintenance of eligible activities that 
     affect multiple agricultural or nonindustrial private forest 
     operations on a local, regional, State, or multistate basis.

     ``SEC. 1271A. DEFINITIONS.

       ``In this subtitle:
       ``(1) Covered program.--The term `covered program' means 
     the following:
       ``(A) The agricultural conservation easement program.
       ``(B) The environmental quality incentives program.
       ``(C) The conservation stewardship program.
       ``(D) The healthy forests reserve program established under 
     section 501 of the Healthy Forests Restoration Act of 2003 
     (16 U.S.C. 6571).
       ``(2) Eligible activity.--The term `eligible activity' 
     means a conservation activity for any of the following:
       ``(A) Water quality restoration or enhancement projects, 
     including nutrient management and sediment reduction.
       ``(B) Water quantity conservation, restoration, or 
     enhancement projects relating to

[[Page 1883]]

     surface water and groundwater resources, including--
       ``(i) the conversion of irrigated cropland to the 
     production of less water-intensive agricultural commodities 
     or dryland farming; or
       ``(ii) irrigation system improvement and irrigation 
     efficiency enhancement.
       ``(C) Drought mitigation.
       ``(D) Flood prevention.
       ``(E) Water retention.
       ``(F) Air quality improvement.
       ``(G) Habitat conservation, restoration, and enhancement.
       ``(H) Erosion control and sediment reduction.
       ``(I) Forest restoration.
       ``(J) Other related activities that the Secretary 
     determines will help achieve conservation benefits.
       ``(3) Eligible land.--
       ``(A) In general.--The term `eligible land' means--
       ``(i) land on which agricultural commodities, livestock, or 
     forest-related products are produced; and
       ``(ii) lands associated with the lands described in clause 
     (i).
       ``(B) Inclusions.--The term `eligible land' includes--
       ``(i) cropland;
       ``(ii) grassland;
       ``(iii) rangeland;
       ``(iv) pastureland;
       ``(v) nonindustrial private forest land; and
       ``(vi) other land incidental to agricultural production 
     (including wetlands and riparian buffers) on which 
     significant natural resource issues could be addressed under 
     the program.
       ``(4) Eligible partner.--The term `eligible partner' means 
     any of the following:
       ``(A) An agricultural or silvicultural producer association 
     or other group of producers.
       ``(B) A State or unit of local government.
       ``(C) An Indian tribe.
       ``(D) A farmer cooperative.
       ``(E) A water district, irrigation district, rural water 
     district or association, or other organization with specific 
     water delivery authority to producers on agricultural land.
       ``(F) A municipal water or wastewater treatment entity.
       ``(G) An institution of higher education.
       ``(H) An organization or entity with an established history 
     of working cooperatively with producers on agricultural land, 
     as determined by the Secretary, to address--
       ``(i) local conservation priorities related to agricultural 
     production, wildlife habitat development, or nonindustrial 
     private forest land management; or
       ``(ii) critical watershed-scale soil erosion, water 
     quality, sediment reduction, or other natural resource 
     issues.
       ``(5) Partnership agreement.--The term `partnership 
     agreement' means an agreement entered into under section 
     1271B between the Secretary and an eligible partner.
       ``(6) Program.--The term `program' means the regional 
     conservation partnership program established by this 
     subtitle.

     ``SEC. 1271B. REGIONAL CONSERVATION PARTNERSHIPS.

       ``(a) Partnership Agreements Authorized.--The Secretary may 
     enter into a partnership agreement with an eligible partner 
     to implement a project that will assist producers with 
     installing and maintaining an eligible activity on eligible 
     land.
       ``(b) Length.--A partnership agreement shall be for a 
     period not to exceed 5 years, except that the Secretary may 
     extend the agreement one time for up to 12 months when an 
     extension is necessary to meet the objectives of the program.
       ``(c) Duties of Partners.--
       ``(1) In general.--Under a partnership agreement, the 
     eligible partner shall--
       ``(A) define the scope of a project, including--
       ``(i) the eligible activities to be implemented;
       ``(ii) the potential agricultural or nonindustrial private 
     forest land operations affected;
       ``(iii) the local, State, multistate, or other geographic 
     area covered; and
       ``(iv) the planning, outreach, implementation, and 
     assessment to be conducted;
       ``(B) conduct outreach and education to producers for 
     potential participation in the project;
       ``(C) at the request of a producer, act on behalf of a 
     producer participating in the project in applying for 
     assistance under section 1271C;
       ``(D) leverage financial or technical assistance provided 
     by the Secretary with additional funds to help achieve the 
     project objectives;
       ``(E) conduct an assessment of the project's effects; and
       ``(F) at the conclusion of the project, report to the 
     Secretary on its results and funds leveraged.
       ``(2) Contribution.--An eligible partner shall provide a 
     significant portion of the overall costs of the scope of the 
     project that is the subject of the agreement entered into 
     under subsection (a), as determined by the Secretary.
       ``(d) Applications.--
       ``(1) Competitive process.--The Secretary shall conduct a 
     competitive process to select applications for partnership 
     agreements and may assess and rank applications with similar 
     conservation purposes as a group.
       ``(2) Criteria used.--In carrying out the process described 
     in paragraph (1), the Secretary shall make public the 
     criteria used in evaluating applications.
       ``(3) Content.--An application to the Secretary shall 
     include a description of--
       ``(A) the scope of the project, as described in subsection 
     (c)(1)(A);
       ``(B) the plan for monitoring, evaluating, and reporting on 
     progress made toward achieving the project's objectives;
       ``(C) the program resources requested for the project, 
     including the covered programs to be used and estimated 
     funding needed from the Secretary;
       ``(D) each eligible partner collaborating to achieve 
     project objectives, including their roles, responsibilities, 
     capabilities, and financial contribution; and
       ``(E) any other elements the Secretary considers necessary 
     to adequately evaluate and competitively select applications 
     for funding under the program.
       ``(4) Priority to certain applications.--The Secretary may 
     give a higher priority to applications that--
       ``(A) assist producers in meeting or avoiding the need for 
     a natural resource regulatory requirement;
       ``(B) have a high percentage of producers in the area to be 
     covered by the agreement;
       ``(C) significantly leverage non-Federal financial and 
     technical resources and coordinate with other local, State, 
     or national efforts;
       ``(D) deliver high percentages of applied conservation to 
     address conservation priorities or regional, State, or 
     national conservation initiatives;
       ``(E) provide innovation in conservation methods and 
     delivery, including outcome-based performance measures and 
     methods; or
       ``(F) meet other factors that are important for achieving 
     the purposes of the program, as determined by the Secretary.

     ``SEC. 1271C. ASSISTANCE TO PRODUCERS.

       ``(a) In General.--The Secretary shall enter into contracts 
     with producers to provide financial and technical assistance 
     to--
       ``(1) producers participating in a project with an eligible 
     partner; or
       ``(2) producers that fit within the scope of a project 
     described in section 1271B or a critical conservation area 
     designated under section 1271F, but who are seeking to 
     implement an eligible activity on eligible land independent 
     of an eligible partner.
       ``(b) Terms and Conditions.--
       ``(1) Consistency with program rules.--
       ``(A) In general.--Except as provided in subparagraph (B) 
     and paragraph (2), the Secretary shall ensure that the terms 
     and conditions of a contract under this section are 
     consistent with the applicable rules of the covered programs 
     to be used as part of the partnership agreement, as described 
     in the application under section 1271B(d)(3)(C).
       ``(B) Adjustments.--
       ``(i) In general.--The Secretary may adjust the rules of a 
     covered program, including--

       ``(I) operational guidance and requirements for a covered 
     program at the discretion of the Secretary so as to provide a 
     simplified application and evaluation process; and
       ``(II) nonstatutory, regulatory rules or provisions to 
     better reflect unique local circumstances and purposes if the 
     Secretary determines such adjustments are necessary to 
     achieve the purposes of the covered program.

       ``(ii) Limitation.--The Secretary shall not adjust the 
     application of statutory requirements for a covered program, 
     including requirements governing appeals, payment limits, and 
     conservation compliance.
       ``(iii) Irrigation.--In States where irrigation has not 
     been used significantly for agricultural purposes, as 
     determined by the Secretary, the Secretary shall not limit 
     eligibility under section 1271B or this section on the basis 
     of prior irrigation history.
       ``(2) Alternative funding arrangements.--
       ``(A) In general.--For the purposes of providing assistance 
     for land described in subsection (a) and section 1271F, the 
     Secretary may enter into alternative funding arrangements 
     with a multistate water resource agency or authority if--
       ``(i) the Secretary determines that the goals and 
     objectives of the program will be met by the alternative 
     funding arrangements;
       ``(ii) the agency or authority certifies that the 
     limitations established under this section on agreements with 
     individual producers will not be exceeded; and
       ``(iii) all participating producers meet applicable payment 
     eligibility provisions.
       ``(B) Conditions.--As a condition of receiving funding 
     under subparagraph (A), the multistate water resource agency 
     or authority shall agree--
       ``(i) to submit an annual independent audit to the 
     Secretary that describes the use of funds under this 
     paragraph;
       ``(ii) to provide any data necessary for the Secretary to 
     issue a report on the use of funds under this paragraph; and
       ``(iii) not to use any of the funds provided pursuant to 
     subparagraph (A) for administration or to provide for 
     administrative costs through contracts with another entity.

[[Page 1884]]

       ``(C) Limitation.--The Secretary may enter into not more 
     than 20 alternative funding arrangements under this 
     paragraph.
       ``(c) Payments.--
       ``(1) In general.--In accordance with statutory 
     requirements of the covered programs involved, the Secretary 
     may make payments to a producer in an amount determined by 
     the Secretary to be necessary to achieve the purposes of the 
     program.
       ``(2) Payments to certain producers.--The Secretary may 
     provide payments for a period of 5 years--
       ``(A) to producers participating in a project that 
     addresses water quantity concerns and in an amount sufficient 
     to encourage conversion from irrigated to dryland farming; 
     and
       ``(B) to producers participating in a project that 
     addresses water quality concerns and in an amount sufficient 
     to encourage adoption of conservation practices and systems 
     that improve nutrient management.
       ``(3) Waiver authority.--To assist in the implementation of 
     the program, the Secretary may waive the applicability of the 
     limitation in section 1001D(b)(2) of this Act for 
     participating producers if the Secretary determines that the 
     waiver is necessary to fulfill the objectives of the program.

     ``SEC. 1271D. FUNDING.

       ``(a) Availability of Funds.--The Secretary shall use 
     $100,000,000 of the funds of the Commodity Credit Corporation 
     for each of fiscal years 2014 through 2018 to carry out the 
     program.
       ``(b) Duration of Availability.--Funds made available under 
     subsection (a) shall remain available until expended.
       ``(c) Additional Funding and Acres.--
       ``(1) In general.--In addition to the funds made available 
     under subsection (a), the Secretary shall reserve 7 percent 
     of the funds and acres made available for a covered program 
     for each of fiscal years 2014 through 2018 in order to ensure 
     additional resources are available to carry out this program.
       ``(2) Unused funds and acres.--Any funds or acres reserved 
     under paragraph (1) for a fiscal year from a covered program 
     that are not committed under this program by April 1 of that 
     fiscal year shall be returned for use under the covered 
     program.
       ``(d) Allocation of Funding.--Of the funds and acres made 
     available for the program under subsection (a) and reserved 
     for the program under subsection (c), the Secretary shall 
     allocate--
       ``(1) 25 percent of the funds and acres to projects based 
     on a State competitive process administered by the State 
     Conservationist, with the advice of the State technical 
     committee established under subtitle G;
       ``(2) 40 percent of the funds and acres to projects based 
     on a national competitive process to be established by the 
     Secretary; and
       ``(3) 35 percent of the funds and acres to projects for 
     critical conservation areas designated under section 1271F.
       ``(e) Limitation on Administrative Expenses.--None of the 
     funds made available or reserved for the program may be used 
     to pay for the administrative expenses of eligible partners.

     ``SEC. 1271E. ADMINISTRATION.

       ``(a) Disclosure.--In addition to the criteria used in 
     evaluating applications as described in section 1271B(d)(2), 
     the Secretary shall make publicly available information on 
     projects selected through the competitive process described 
     in section 1271B(d)(1).
       ``(b) Reporting.--Not later than December 31, 2014, and 
     every two years thereafter, the Secretary 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 status of projects funded under the 
     program, including--
       ``(1) the number and types of eligible partners and 
     producers participating in the partnership agreements 
     selected;
       ``(2) the number of producers receiving assistance;
       ``(3) total funding committed to projects, including from 
     Federal and non-Federal resources; and
       ``(4) a description of how the funds under section 
     1271C(b)(2) are being administered, including--
       ``(A) any oversight mechanisms that the Secretary has 
     implemented;
       ``(B) the process through which the Secretary is resolving 
     appeals by program participants; and
       ``(C) the means by which the Secretary is tracking 
     adherence to any applicable provisions for payment 
     eligibility.

     ``SEC. 1271F. CRITICAL CONSERVATION AREAS.

       ``(a) In General.--In administering funds under section 
     1271D(d)(3), the Secretary shall select applications for 
     partnership agreements and producer contracts within critical 
     conservation areas designated under this section.
       ``(b) Critical Conservation Area Designations.--
       ``(1) Priority.--In designating critical conservation areas 
     under this section, the Secretary shall give priority to 
     geographical areas based on the degree to which the 
     geographical area--
       ``(A) includes multiple States with significant 
     agricultural production;
       ``(B) is covered by an existing regional, State, 
     binational, or multistate agreement or plan that has 
     established objectives, goals, and work plans and is adopted 
     by a Federal, State, or regional authority;
       ``(C) would benefit from water quality improvement, 
     including through reducing erosion, promoting sediment 
     control, and addressing nutrient management activities 
     affecting large bodies of water of regional, national, or 
     international significance;
       ``(D) would benefit from water quantity improvement, 
     including improvement relating to--
       ``(i) groundwater, surface water, aquifer, or other water 
     sources; or
       ``(ii) a need to promote water retention and flood 
     prevention; or
       ``(E) contains producers that need assistance in meeting or 
     avoiding the need for a natural resource regulatory 
     requirement that could have a negative impact on the economic 
     scope of the agricultural operations within the area.
       ``(2) Expiration.--Critical conservation area designations 
     under this section shall expire after 5 years, subject to 
     redesignation, except that the Secretary may withdraw 
     designation from an area if the Secretary finds the area no 
     longer meets the conditions described in paragraph (1).
       ``(3) Limitation.--The Secretary may not designate more 
     than 8 geographical areas as critical conservation areas 
     under this section.
       ``(c) Administration.--
       ``(1) In general.--Except as provided in paragraph (2), the 
     Secretary shall administer any partnership agreement or 
     producer contract under this section in a manner that is 
     consistent with the terms of the program.
       ``(2) Relationship to existing activity.--The Secretary 
     shall, to the maximum extent practicable, ensure that 
     eligible activities carried out in critical conservation 
     areas designated under this section complement and are 
     consistent with other Federal and State programs and water 
     quality and quantity strategies.
       ``(3) Additional authority.--For a critical conservation 
     area described in subsection (b)(1)(D), the Secretary may use 
     authorities under the Watershed Protection and Flood 
     Prevention Act (16 U.S.C. 1001 et seq.), other than section 
     14 of such Act (16 U.S.C. 1012), to carry out projects for 
     the purposes of this section.''.

                Subtitle F--Other Conservation Programs

     SEC. 2501. CONSERVATION OF PRIVATE GRAZING LAND.

       Section 1240M(e) of the Food Security Act of 1985 (16 
     U.S.C. 3839bb(e)) is amended by striking ``2012'' and 
     inserting ``2018''.

     SEC. 2502. GRASSROOTS SOURCE WATER PROTECTION PROGRAM.

       Section 1240O(b) of the Food Security Act of 1985 (16 
     U.S.C. 3839bb-2(b)) is amended to read as follows:
       ``(b) Funding.--
       ``(1) Authorization of appropriations.--There is authorized 
     to be appropriated to carry out this section $20,000,000 for 
     each of fiscal years 2008 through 2018.
       ``(2) Availability of funds.--In addition to funds made 
     available under paragraph (1), of the funds of the Commodity 
     Credit Corporation, the Secretary shall use $5,000,000, to 
     remain available until expended.''.

     SEC. 2503. VOLUNTARY PUBLIC ACCESS AND HABITAT INCENTIVE 
                   PROGRAM.

       (a) Funding.--Section 1240R(f)(1) of the Food Security Act 
     of 1985 (16 U.S.C. 3839bb-5(f)(1)) is amended--
       (1) in the heading, by striking ``Fiscal years 2009 through 
     2012'' and inserting ``Mandatory funding''; and
       (2) by inserting ``and $40,000,000 for the period of fiscal 
     years 2014 through 2018'' before the period at the end.
       (b) Report on Program Effectiveness.--Not later than 2 
     years 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 
     evaluating the effectiveness of the voluntary public access 
     and habitat incentive program established by section 1240R of 
     the Food Security Act of 1985 (16 U.S.C. 3839bb-5), 
     including--
       (1) identifying cooperating agencies;
       (2) identifying the number of land holdings and total acres 
     enrolled by State;
       (3) evaluating the extent of improved access on eligible 
     land, improved wildlife habitat, and related economic 
     benefits; and
       (4) any other relevant information and data relating to the 
     program that would be helpful to such Committees.

     SEC. 2504. AGRICULTURE CONSERVATION EXPERIENCED SERVICES 
                   PROGRAM.

       Subsection (c)(2) of section 1252 of the Food Security Act 
     of 1985 (16 U.S.C. 3851) is amended to read as follows:
       ``(2) Exclusion.--Funds made available to carry out the 
     conservation reserve program may not be used to carry out the 
     ACES program.''.

     SEC. 2505. SMALL WATERSHED REHABILITATION PROGRAM.

       (a) Availability of Funds.--Section 14(h)(1) of the 
     Watershed Protection and Flood Prevention Act (16 U.S.C. 
     1012(h)(1)) is amended--
       (1) in subparagraph (E), by striking ``; and'' and 
     inserting a semicolon;

[[Page 1885]]

       (2) in subparagraph (F), by striking the period and 
     inserting a semicolon;
       (3) in subparagraph (G), by striking the period and 
     inserting ``; and''; and
       (4) by adding at the end the following new subparagraph:
       ``(H) $250,000,000 for fiscal year 2014, to remain 
     available until expended.''.
       (b) Authorization of Appropriations.--Section 14(h)(2)(E) 
     of the Watershed Protection and Flood Prevention Act (16 
     U.S.C. 1012(h)(2)(E)) is amended by striking ``2012'' and 
     inserting ``2018''.

     SEC. 2506. EMERGENCY WATERSHED PROTECTION PROGRAM.

       Section 403 of the Agricultural Credit Act of 1978 (16 
     U.S.C. 2203) is amended--
       (1) by striking ``Sec. 403. The Secretary'' and inserting 
     the following:

     ``SEC. 403. EMERGENCY MEASURES.

       ``(a) In General.--The Secretary''; and
       (2) by adding at the end the following:
       ``(b) Floodplain Easements.--
       ``(1) Modification and termination.--The Secretary may 
     modify or terminate a floodplain easement administered by the 
     Secretary under this section if--
       ``(A) the current owner agrees to the modification or 
     termination; and
       ``(B) the Secretary determines that the modification or 
     termination--
       ``(i) will address a compelling public need for which there 
     is no practicable alternative; and
       ``(ii) is in the public interest.
       ``(2) Consideration.--
       ``(A) Termination.--As consideration for termination of an 
     easement and associated agreements under paragraph (1), the 
     Secretary shall enter into compensatory arrangements as 
     determined to be appropriate by the Secretary.
       ``(B) Modification.--In the case of a modification under 
     paragraph (1)--
       ``(i) as a condition of the modification, the current owner 
     shall enter into a compensatory arrangement (as determined to 
     be appropriate by the Secretary) to incur the costs of 
     modification; and
       ``(ii) the Secretary shall ensure that--

       ``(I) the modification will not adversely affect the 
     floodplain functions and values for which the easement was 
     acquired;
       ``(II) any adverse impacts will be mitigated by enrollment 
     and restoration of other land that provides greater 
     floodplain functions and values at no additional cost to the 
     Federal Government; and
       ``(III) the modification will result in equal or greater 
     environmental and economic values to the United States.''.

     SEC. 2507. TERMINAL LAKES.

       Section 2507 of the Farm Security and Rural Investment Act 
     of 2002 (43 U.S.C. 2211 note; Public Law 107-171) is amended 
     to read as follows:

     ``SEC. 2507. TERMINAL LAKES ASSISTANCE.

       ``(a) Definitions.--In this section:
       ``(1) Eligible land.--The term `eligible land' means 
     privately owned agricultural land (including land in which a 
     State has a property interest as a result of State water 
     law)--
       ``(A) that a landowner voluntarily agrees to sell to a 
     State; and
       ``(B) which--
       ``(i)(I) is ineligible for enrollment as a wetland reserve 
     easement established under the agricultural conservation 
     easement program under subtitle H of the Food Security Act of 
     1985;

       ``(II) is flooded to--

       ``(aa) an average depth of at least 6.5 feet; or
       ``(bb) a level below which the State determines the 
     management of the water level is beyond the control of the 
     State or landowner; or

       ``(III) is inaccessible for agricultural use due to the 
     flooding of adjoining property (such as islands of 
     agricultural land created by flooding);

       ``(ii) is located within a watershed with water rights 
     available for lease or purchase; and
       ``(iii) has been used during at least 5 of the immediately 
     preceding 30 years--

       ``(I) to produce crops or hay; or
       ``(II) as livestock pasture or grazing.

       ``(2) Program.--The term `program' means the voluntary land 
     purchase program established under this section.
       ``(3) Terminal lake.--The term `terminal lake' means a lake 
     and its associated riparian and watershed resources that is--
       ``(A) considered flooded because there is no natural outlet 
     for water accumulating in the lake or the associated riparian 
     area such that the watershed and surrounding land is 
     consistently flooded; or
       ``(B) considered terminal because it has no natural outlet 
     and is at risk due to a history of consistent Federal 
     assistance to address critical resource conditions, including 
     insufficient water available to meet the needs of the lake, 
     general uses, and water rights.
       ``(b) Assistance.--The Secretary shall--
       ``(1) provide grants under subsection (c) for the purchase 
     of eligible land impacted by a terminal lake described in 
     subsection (a)(3)(A); and
       ``(2) provide funds to the Secretary of the Interior 
     pursuant to subsection (e)(2) with assistance in accordance 
     with subsection (d) for terminal lakes described in 
     subsection (a)(3)(B).
       ``(c) Land Purchase Grants.--
       ``(1) In general.--Using funds provided under subsection 
     (e)(1), the Secretary shall make available land purchase 
     grants to States for the purchase of eligible land in 
     accordance with this subsection.
       ``(2) Implementation.--
       ``(A) Amount.--A land purchase grant shall be in an amount 
     not to exceed the lesser of--
       ``(i) 50 percent of the total purchase price per acre of 
     the eligible land; or
       ``(ii)(I) in the case of eligible land that was used to 
     produce crops or hay, $400 per acre; and

       ``(II) in the case of eligible land that was pasture or 
     grazing land, $200 per acre.

       ``(B) Determination of purchase price.--A State purchasing 
     eligible land with a land purchase grant shall ensure, to the 
     maximum extent practicable, that the purchase price of such 
     land reflects the value, if any, of other encumbrances on the 
     eligible land to be purchased, including easements and 
     mineral rights.
       ``(C) Cost-share required.--To be eligible to receive a 
     land purchase grant, a State shall provide matching non-
     Federal funds in an amount equal to 50 percent of the amount 
     described in subparagraph (A), including additional non-
     Federal funds.
       ``(D) Conditions.--To receive a land purchase grant, a 
     State shall agree--
       ``(i) to ensure that any eligible land purchased is--

       ``(I) conveyed in fee simple to the State; and
       ``(II) free from mortgages or other liens at the time title 
     is transferred;

       ``(ii) to maintain ownership of the eligible land in 
     perpetuity;
       ``(iii) to pay (from funds other than grant dollars 
     awarded) any costs associated with the purchase of eligible 
     land under this section, including surveys and legal fees; 
     and
       ``(iv) to keep eligible land in a conserving use, as 
     defined by the Secretary.
       ``(E) Loss of federal benefits.--Eligible land purchased 
     with a grant under this section shall lose eligibility for 
     any benefits under other Federal programs, including--
       ``(i) benefits under title XII of the Food Security Act of 
     1985 (16 U.S.C. 3801 et seq.);
       ``(ii) benefits under the Federal Crop Insurance Act (7 
     U.S.C. 1501 et seq.); and
       ``(iii) covered benefits described in section 1001D(b) of 
     the Food Security Act of 1985 (7 U.S.C. 1308-3a).
       ``(F) Prohibition.--Any Federal rights or benefits 
     associated with eligible land prior to purchase by a State 
     may not be transferred to any other land or person in 
     anticipation of or as a result of such purchase.
       ``(d) Water Assistance.--
       ``(1) In general.--The Secretary of the Interior, acting 
     through the Commissioner of Reclamation, may use the funds 
     described in subsection (e)(2) to administer and provide 
     financial assistance to carry out this subsection to provide 
     water and assistance to a terminal lake described in 
     subsection (a)(3)(B) through willing sellers or willing 
     participants only--
       ``(A) to lease water;
       ``(B) to purchase land, water appurtenant to the land, and 
     related interests; and
       ``(C) to carry out research, support, and conservation 
     activities for associated fish, wildlife, plant, and habitat 
     resources.
       ``(2) Exclusions.--The Secretary of the Interior may not 
     use this subsection to deliver assistance to the Great Salt 
     Lake in Utah, lakes that are considered dry lakes, or other 
     lakes that do not meet the purposes of this section, as 
     determined by the Secretary of the Interior.
       ``(3) Transitional provision.--
       ``(A) In general.--Notwithstanding any other provision of 
     this section, any funds made available before the date of 
     enactment of the Agricultural Act of 2014 under a provision 
     of law described in subparagraph (B) shall remain available 
     using the provisions of law (including regulations) in effect 
     on the day before the date of enactment of that Act.
       ``(B) Described laws.--The provisions of law described in 
     this section are--
       ``(i) section 2507 of the Farm Security and Rural 
     Investment Act of 2002 (43 U.S.C. 2211 note; Public Law 107-
     171) (as in effect on the day before the date of enactment of 
     the Agricultural Act of 2014);
       ``(ii) section 207 of the Energy and Water Development 
     Appropriations Act, 2003 (Public Law 108-7; 117 Stat. 146);
       ``(iii) section 208 of the Energy and Water Development 
     Appropriations Act, 2006 (Public Law 109-103; 119 Stat. 2268, 
     123 Stat. 2856); and
       ``(iv) section 208 of the Energy and Water Development and 
     Related Agencies Appropriations Act, 2010 (Public Law 111-85; 
     123 Stat. 2858, 123 Stat. 2967, 125 Stat. 867).
       ``(e) Funding.--
       ``(1) Authorization of appropriations.--There is authorized 
     to be appropriated to the Secretary to carry out subsection 
     (c) $25,000,000, to remain available until expended.

[[Page 1886]]

       ``(2) Commodity credit corporation.--As soon as practicable 
     after the date of enactment of the Agricultural Act of 2014, 
     the Secretary shall transfer to the `Bureau of Reclamation--
     Water and Related Resources' account $150,000,000 from the 
     funds of the Commodity Credit Corporation to carry out 
     subsection (d), to remain available until expended.''.

     SEC. 2508. SOIL AND WATER RESOURCES CONSERVATION.

       (a) Congressional Policy and Declaration of Purpose.--
     Section 4 of the Soil and Water Resources Conservation Act of 
     1977 (16 U.S.C. 2003) is amended--
       (1) in subsection (b), by inserting ``and tribal'' after 
     ``State'' each place it appears; and
       (2) in subsection (c)(2), by inserting ``, tribal,'' after 
     ``State''.
       (b) Continuing Appraisal of Soil, Water, and Related 
     Resources.--Section 5 of the Soil and Water Resources 
     Conservation Act of 1977 (16 U.S.C. 2004) is amended--
       (1) in subsection (a)(4), by striking ``and State'' and 
     inserting ``, State, and tribal'';
       (2) in subsection (b), by inserting ``, tribal'' after 
     ``State'' each place it appears; and
       (3) in subsection (c)--
       (A) by striking ``State soil'' and inserting ``State and 
     tribal soil''; and
       (B) by striking ``local'' and inserting ``local, tribal,''.
       (c) Soil and Water Conservation Program.--Section 6(a) of 
     the Soil and Water Resources Conservation Act of 1977 (16 
     U.S.C. 2005(a)) is amended--
       (1) by inserting ``, tribal,'' after ``State'' the first 
     place it appears;
       (2) by inserting ``, tribal'' after ``State'' each other 
     place it appears; and
       (3) by inserting ``, tribal,'' after ``private''.
       (d) Utilization of Available Information and Data.--Section 
     9 of the Soil and Water Resources Conservation Act of 1977 
     (16 U.S.C. 2008) is amended by inserting ``, tribal'' after 
     ``State''.

                 Subtitle G--Funding and Administration

     SEC. 2601. FUNDING.

       (a) In General.--Section 1241 of the Food Security Act of 
     1985 (16 U.S.C. 3841) is amended by striking subsection (a) 
     and inserting the following:
       ``(a) Annual Funding.--For each of fiscal years 2014 
     through 2018, the Secretary shall use the funds, facilities, 
     and authorities of the Commodity Credit Corporation to carry 
     out the following programs under this title (including the 
     provision of technical assistance):
       ``(1) The conservation reserve program under subchapter B 
     of chapter 1 of subtitle D, including, to the maximum extent 
     practicable--
       ``(A) $10,000,000 for the period of fiscal years 2014 
     through 2018 to provide payments under section 1234(c); and
       ``(B) $33,000,000 for the period of fiscal years 2014 
     through 2018 to carry out section 1235(f) to facilitate the 
     transfer of land subject to contracts from retired or 
     retiring owners and operators to beginning farmers or 
     ranchers and socially disadvantaged farmers or ranchers.
       ``(2) The agricultural conservation easement program under 
     subtitle H using to the maximum extent practicable--
       ``(A) $400,000,000 for fiscal year 2014;
       ``(B) $425,000,000 for fiscal year 2015;
       ``(C) $450,000,000 for fiscal year 2016;
       ``(D) $500,000,000 for fiscal year 2017; and
       ``(E) $250,000,000 for fiscal year 2018.
       ``(3) The conservation security program under subchapter A 
     of chapter 2 of subtitle D, using such sums as are necessary 
     to administer contracts entered into before September 30, 
     2008.
       ``(4) The conservation stewardship program under subchapter 
     B of chapter 2 of subtitle D.
       ``(5) The environmental quality incentives program under 
     chapter 4 of subtitle D, using, to the maximum extent 
     practicable--
       ``(A) $1,350,000,000 for fiscal year 2014;
       ``(B) $1,600,000,000 for fiscal year 2015;
       ``(C) $1,650,000,000 for fiscal year 2016;
       ``(D) $1,650,000,000 for fiscal year 2017; and
       ``(E) $1,750,000,000 for fiscal year 2018.''.
       (b) Guaranteed Availability of Funds.--Section 1241 of the 
     Food Security Act of 1985 (16 U.S.C. 3841) is amended--
       (1) by redesignating subsections (b) through (h) as 
     subsections (c) through (i), respectively;
       (2) by inserting after subsection (a) the following:
       ``(b) Availability of Funds.--Amounts made available by 
     subsection (a) for fiscal years 2014 through 2018 shall be 
     used by the Secretary to carry out the programs specified in 
     such subsection and shall remain available until expended.''; 
     and
       (3) in subsection (d) (as redesignated by paragraph (1)), 
     by striking ``subsection (b)'' and inserting ``subsection 
     (c)''.

     SEC. 2602. TECHNICAL ASSISTANCE.

       Section 1241 of the Food Security Act of 1985 (16 U.S.C. 
     3841) is amended by striking subsection (c) (as redesignated 
     by section 2601(b)(1)) and inserting the following:
       ``(c) Technical Assistance.--
       ``(1) Availability.--Commodity Credit Corporation funds 
     made available for a fiscal year for each of the programs 
     specified in subsection (a)--
       ``(A) shall be available for the provision of technical 
     assistance for the programs for which funds are made 
     available as necessary to implement the programs effectively;
       ``(B) except for technical assistance for the conservation 
     reserve program under subchapter B of chapter 1 of subtitle 
     D, shall be apportioned for the provision of technical 
     assistance in the amount determined by the Secretary, at the 
     sole discretion of the Secretary; and
       ``(C) shall not be available for the provision of technical 
     assistance for conservation programs specified in subsection 
     (a) other than the program for which the funds were made 
     available.
       ``(2) Priority.--
       ``(A) In general.--In the delivery of technical assistance 
     under the Soil Conservation and Domestic Allotment Act (16 
     U.S.C. 590a et seq.), the Secretary shall give priority to 
     producers who request technical assistance from the Secretary 
     in order to comply for the first time with the requirements 
     of subtitle B and subtitle C of this title as a result of the 
     amendments made by section 2611 of the Agricultural Act of 
     2014.
       ``(B) Report.--Not later than 270 days after the date of 
     enactment of the Agricultural Act of 2014, the Secretary 
     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 regarding the extent to 
     which the conservation compliance requirements contained in 
     the amendments made by section 2611 of the Agricultural Act 
     of 2014 apply to and impact specialty crop growers, including 
     national analysis and surveys to determine the extent of 
     specialty crop acreage that includes highly erodible land and 
     wetlands.
       ``(3) Report.--Not later than December 31, 2014, the 
     Secretary shall submit (and update as necessary in subsequent 
     years) to the Committee on Agriculture of the House of 
     Representatives and the Committee on Agriculture, Nutrition, 
     and Forestry of the Senate a report--
       ``(A) detailing the amount of technical assistance funds 
     requested and apportioned in each program specified in 
     subsection (a) during the preceding fiscal year; and
       ``(B) any other data relating to this provision that would 
     be helpful to such Committees.
       ``(4) Compliance report.--Not later than November 1 of each 
     year, the Secretary 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 that includes--
       ``(A) a description of the extent to which the requests for 
     highly erodible land conservation and wetland compliance 
     determinations are being addressed in a timely manner;
       ``(B) the total number of requests completed in the 
     previous fiscal year;
       ``(C) the incomplete determinations on record; and
       ``(D) the number of requests that are still outstanding 
     more than 1 year since the date on which the requests were 
     received from the producer.''.

     SEC. 2603. REGIONAL EQUITY.

       Section 1241 of the Food Security Act of 1985 (16 U.S.C. 
     3841) is amended by striking subsection (e) (as redesignated 
     by section 2601(b)(1)) and inserting the following:
       ``(e) Regional Equity.--
       ``(1) Equitable distribution.--When determining funding 
     allocations each fiscal year, the Secretary shall, after 
     considering available funding and program demand in each 
     State, provide a distribution of funds for conservation 
     programs under subtitle D (excluding the conservation reserve 
     program under subchapter B of chapter 1), subtitle H, and 
     subtitle I to ensure equitable program participation 
     proportional to historical funding allocations and usage by 
     all States.
       ``(2) Minimum percentage.--In determining the specific 
     funding allocations under paragraph (1), the Secretary 
     shall--
       ``(A) ensure that during the first quarter of each fiscal 
     year each State has the opportunity to establish that the 
     State can use an aggregate allocation amount of at least 0.6 
     percent of the funds made available for those conservation 
     programs; and
       ``(B) for each State that can so establish, provide an 
     aggregate amount of at least 0.6 percent of the funds made 
     available for those conservation programs.''.

     SEC. 2604. RESERVATION OF FUNDS TO PROVIDE ASSISTANCE TO 
                   CERTAIN FARMERS OR RANCHERS FOR CONSERVATION 
                   ACCESS.

       Subsection (h) of section 1241 of the Food Security Act of 
     1985 (16 U.S.C. 3841) (as redesignated by section 2601(b)(1)) 
     is amended--
       (1) in paragraph (1) by striking ``2012'' and inserting 
     ``2018''; and
       (2) by adding at the end the following new paragraph:
       ``(4) Preference.--In providing assistance under paragraph 
     (1), the Secretary shall give preference to a veteran farmer 
     or rancher (as defined in section 2501(e) of the Food, 
     Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 
     2279(e))) that qualifies under subparagraph (A) or (B) of 
     paragraph (1).''.

     SEC. 2605. ANNUAL REPORT ON PROGRAM ENROLLMENTS AND 
                   ASSISTANCE.

       Subsection (i) of section 1241 of the Food Security Act of 
     1985 (16 U.S.C. 3841) (as redesignated by section 2601(b)(1)) 
     is amended--

[[Page 1887]]

       (1) in paragraph (1), by striking ``wetlands reserve 
     program'' and inserting ``agricultural conservation easement 
     program'';
       (2) by striking paragraphs (2) and (3) and redesignating 
     paragraphs (4), (5), and (6) as paragraphs (2), (3), and (4), 
     respectively;
       (3) in paragraph (3) (as so redesignated)--
       (A) by striking ``agricultural water enhancement program'' 
     and inserting ``regional conservation partnership program''; 
     and
       (B) by striking ``1240I(g)'' and inserting ``1271C(c)(3)''; 
     and
       (4) by adding at the end the following:
       ``(5) Payments made under the conservation stewardship 
     program.
       ``(6) Exceptions provided by the Secretary under section 
     1265B(b)(2)(C).''.

     SEC. 2606. ADMINISTRATIVE REQUIREMENTS APPLICABLE TO ALL 
                   CONSERVATION PROGRAMS.

       Section 1244 of the Food Security Act of 1985 (16 U.S.C. 
     3844) is amended--
       (1) in subsection (a)(2), by adding at the end the 
     following new subparagraph:
       ``(E) Veteran farmers or ranchers (as defined in section 
     2501(e) of the Food, Agriculture, Conservation, and Trade Act 
     of 1990 (7 U.S.C. 2279(e))).'';
       (2) in subsection (d), by inserting ``, H, and I'' before 
     the period at the end;
       (3) in subsection (f)--
       (A) in paragraph (1)(B), by striking ``country'' and 
     inserting ``county''; and
       (B) in paragraph (3), by striking ``subsection (c)(2)(B) or 
     (f)(4)'' and inserting ``subsection (d)(2)(A)(ii) or 
     (g)(2)'';
       (4) in subsection (h)(2), by inserting ``, including, to 
     the extent practicable, practices that maximize benefits for 
     honey bees'' after ``pollinators''; and
       (5) by adding at the end the following new subsections:
       ``(j) Improved Administrative Efficiency and 
     Effectiveness.--In administrating a conservation program 
     under this title, the Secretary shall, to the maximum extent 
     practicable--
       ``(1) seek to reduce administrative burdens and costs to 
     producers by streamlining conservation planning and program 
     resources; and
       ``(2) take advantage of new technologies to enhance 
     efficiency and effectiveness.
       ``(k) Relation to Other Payments.--Any payment received by 
     an owner or operator under this title, including an easement 
     payment or rental payment, shall be in addition to, and not 
     affect, the total amount of payments that the owner or 
     operator is otherwise eligible to receive under any of the 
     following:
       ``(1) This Act.
       ``(2) The Agricultural Act of 1949 (7 U.S.C. 1421 et seq.).
       ``(3) The Agricultural Act of 2014.
       ``(4) Any law that succeeds a law specified in paragraph 
     (1), (2), or (3).
       ``(l) Funding for Indian Tribes.--In carrying out the 
     conservation stewardship program under subchapter B of 
     chapter 2 of subtitle D and the environmental quality 
     incentives program under chapter 4 of subtitle D, the 
     Secretary may enter into alternative funding arrangements 
     with Indian tribes if the Secretary determines that the goals 
     and objectives of the programs will be met by such 
     arrangements, and that statutory limitations regarding 
     contracts with individual producers will not be exceeded by 
     any tribal member.''.

     SEC. 2607. STANDARDS FOR STATE TECHNICAL COMMITTEES.

       Section 1261(b) of the Food Security Act of 1985 (16 U.S.C. 
     3861(b)) is amended by striking ``Not later than 180 days 
     after the date of enactment of the Food, Conservation, and 
     Energy Act of 2008, the Secretary shall develop'' and 
     inserting ``The Secretary shall review and update as 
     necessary''.

     SEC. 2608. RULEMAKING AUTHORITY.

       Subtitle E of title XII of the Food Security Act of 1985 
     (16 U.S.C. 3841 et seq.) is amended by adding at the end the 
     following new section:

     ``SEC. 1246. REGULATIONS.

       ``(a) In General.--The Secretary shall promulgate such 
     regulations as are necessary to implement programs under this 
     title, including such regulations as the Secretary determines 
     to be necessary to ensure a fair and reasonable application 
     of the limitations established under section 1244(f).
       ``(b) Rulemaking Procedure.--The promulgation of 
     regulations and administration of programs under this title--
       ``(1) shall be carried out without regard to chapter 35 of 
     title 44, United States Code (commonly known as the Paperwork 
     Reduction Act); and
       ``(2) shall be made as an interim rule effective on 
     publication with an opportunity for notice and comment.
       ``(c) Congressional Review of Agency Rulemaking.--In 
     promulgating regulations under this section, the Secretary 
     shall use the authority provided under section 808 of title 
     5, United States Code.''.

     SEC. 2609. WETLANDS MITIGATION.

       Section 1222(k) of the Food Security Act of 1985 (16 U.S.C. 
     3822(k)) is amended to read as follows:
       ``(k) Mitigation Banking.--
       ``(1) Mitigation banking program.--
       ``(A) In general.--Using authorities available to the 
     Secretary, the Secretary shall operate a program or work with 
     third parties to establish mitigation banks to assist persons 
     in complying with the provisions of this section while 
     mitigating any loss of wetland values and functions.
       ``(B) Funding.--Of the funds of the Commodity Credit 
     Corporation, the Secretary shall use $10,000,000, to remain 
     available until expended, to carry out this paragraph.
       ``(2) Applicability.--Subsection (f)(2)(C) shall not apply 
     to this subsection.
       ``(3) Policy and criteria.--The Secretary shall develop the 
     appropriate policy and criteria that will allow willing 
     persons to access existing mitigation banks, under this 
     section or any other authority, that will serve the purposes 
     of this section without requiring the Secretary to hold an 
     easement, in whole or in part, in a mitigation bank.''.

     SEC. 2610. LESSER PRAIRIE-CHICKEN CONSERVATION REPORT.

       (a) In General.--Not later than 90 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 containing the results of 
     a review and analysis of each of the activities (including 
     those administered by the Secretary) that pertain to the 
     conservation of the lesser prairie-chicken, including the 
     conservation reserve program, the environmental quality 
     incentives program, the Lesser Prairie-Chicken Initiative, 
     the Western Association of Fish and Wildlife Agencies 
     Candidate Conservation Agreement with Assurances for Oil and 
     Gas, and the Western Association of Fish and Wildlife 
     Agencies Lesser Prairie-Chicken Range-Wide Conservation Plan.
       (b) Contents.--The Secretary shall include in the report 
     required by this section, at a minimum--
       (1) with respect to each activity described in subsection 
     (a) as it relates to the conservation of the lesser prairie-
     chicken, findings regarding--
       (A) the cost of the activity to the Federal Government, 
     impacted State governments, and the private sector;
       (B) the conservation effectiveness of the activity; and
       (C) the cost effectiveness of the activity; and
       (2) a ranking of the activities described in subsection (a) 
     based on their relative cost effectiveness.

     SEC. 2611. HIGHLY ERODIBLE LAND AND WETLAND CONSERVATION FOR 
                   CROP INSURANCE.

       (a) Highly Erodible Land Program Ineligibility.--
       (1) In general.--Section 1211(a)(1) of the Food Security 
     Act of 1985 (16 U.S.C. 3811(a)(1)) is amended--
       (A) in subparagraph (C), by striking ``or'' at the end;
       (B) in subparagraph (D), by adding ``or'' at the end; and
       (C) by adding at the end the following:
       ``(E) any portion of the premium paid by the Federal Crop 
     Insurance Corporation for a policy or plan of insurance under 
     the Federal Crop Insurance Act (7 U.S.C. 1501 et seq.), on 
     the condition that if a person is determined to have 
     committed a violation under this subsection during a crop 
     year, ineligibility under this subparagraph shall--
       ``(i) only apply to reinsurance years subsequent to the 
     date of final determination of a violation, including all 
     administrative appeals; and
       ``(ii) not apply to the existing reinsurance year or any 
     reinsurance year prior to the date of final determination;''.
       (2) Exemptions.--Section 1212(a)(2) of the Food Security 
     Act of 1985 (16 U.S.C. 3812(a)(2)) is amended--
       (A) in the first sentence, by striking ``(2) If,'' and 
     inserting the following:
       ``(2) Eligibility based on compliance with conservation 
     plan.--
       ``(A) In general.--If,'';
       (B) in the second sentence, by striking ``In carrying'' and 
     inserting the following:
       ``(B) Minimization of documentation.--In carrying''; and
       (C) by adding at the end the following:
       ``(C) Crop insurance.--
       ``(i) Operations new to compliance.--Notwithstanding 
     section 1211(a), in the case of a person that is subject to 
     section 1211 for the first time solely due to the amendment 
     made by section 2611(a) of the Agricultural Act of 2014, any 
     person who produces an agricultural commodity on the land 
     that is the basis of the payments described in section 
     1211(a)(1)(E) shall have 5 reinsurance years after the date 
     on which such payments become subject to section 1211 to 
     develop and comply with an approved conservation plan so as 
     to maintain eligibility for such payments.
       ``(ii) Existing operations with prior violations.--
     Notwithstanding section 1211(a), in the case of a person that 
     the Secretary determines would have been in violation of 
     section 1211(a) if the person had continued participation in 
     the programs requiring compliance at any time after the date 
     of enactment of the Agricultural Act of 2014 and is currently 
     in violation of section 1211(a), the person shall have 2 
     reinsurance years after the date on which the payments 
     described in section 1211(a)(1)(E) become subject to section 
     1211 to develop and comply with an approved

[[Page 1888]]

     conservation plan, as determined by the Secretary, so as to 
     maintain eligibility for such payments.
       ``(iii) Applicable reinsurance year.--Ineligibility for the 
     payment described in section 1211(a)(1)(E) for a violation 
     under this subparagraph during a crop year shall--

       ``(I) only apply to reinsurance years subsequent to the 
     date of a final determination of a violation, including all 
     administrative appeals; and
       ``(II) not apply to the existing reinsurance year or any 
     reinsurance year prior to the date of the final 
     determination.''.

       (3) Crop insurance premium assistance.--Section 1213(d) of 
     the Food Security Act of 1985 (16 U.S.C. 3812a(d)) is amended 
     by adding at the end the following:
       ``(4) Crop insurance premium assistance.--For the purpose 
     of determining the eligibility of a person for the payment 
     described in section 1211(a)(1)(E), the Secretary shall apply 
     the procedures described in section 1221(c)(3)(E) and 
     coordinate the certification process so as to avoid 
     duplication or unnecessary paperwork.''.
       (b) Wetland Conservation Program Ineligibility.--Section 
     1221 of the Food Security Act of 1985 (16 U.S.C. 3821) is 
     amended--
       (1) by redesignating subsections (c), (d), and (e) as 
     subsections (d), (e), and (f), respectively; and
       (2) by inserting after subsection (b) the following:
       ``(c) Ineligibility for Crop Insurance Premium 
     Assistance.--
       ``(1) Requirements.--
       ``(A) In general.--If a person is determined to have 
     committed a violation under subsection (a) or (d) during a 
     crop year, the person shall be ineligible to receive any 
     payment of any portion of premium paid by the Federal Crop 
     Insurance Corporation for a plan or policy of insurance under 
     the Federal Crop Insurance Act (7 U.S.C. 1501 et seq.) 
     pursuant to this subsection.
       ``(B) Applicability.--Ineligibility under this subsection 
     shall--
       ``(i) only apply to reinsurance years subsequent to the 
     date of a final determination of a violation, including all 
     administrative appeals; and
       ``(ii) not apply to the existing reinsurance year or any 
     reinsurance year prior to the date of the final 
     determination.
       ``(2) Conversions.--
       ``(A) In general.--Notwithstanding paragraph (1), 
     ineligibility for crop insurance premium assistance shall 
     apply in accordance with this paragraph.
       ``(B) New conversions.--In the case of a wetland that the 
     Secretary determines was converted after the date of 
     enactment of the Agricultural Act of 2014--
       ``(i) the person shall be ineligible to receive crop 
     insurance premium subsidies in subsequent reinsurance years 
     unless the Secretary determines that an exemption pursuant to 
     section 1222 applies; or
       ``(ii) for any violation that the Secretary determines 
     impacts less than 5 acres of an entire farm, the person may 
     pay a contribution in an amount equal to 150 percent of the 
     cost of mitigation, as determined by the Secretary, to the 
     fund described in section 1241(f) for wetland restoration in 
     lieu of ineligibility to receive crop insurance premium 
     assistance.
       ``(C) Prior conversions.--In the case of a wetland that the 
     Secretary determines was converted prior to the date of 
     enactment of the Agricultural Act of 2014, ineligibility 
     under this subsection shall not apply.
       ``(D) Conversions and new policies or plans of insurance.--
     In the case of an agricultural commodity for which an 
     individual policy or plan of insurance is available for the 
     first time to the person after the date of enactment of the 
     Agricultural Act of 2014--
       ``(i) ineligibility shall apply only to conversions that 
     take place after the date on which the policy or plan of 
     insurance first becomes available to the person; and
       ``(ii) the person shall take such steps as the Secretary 
     determines appropriate to mitigate any prior conversion in a 
     timely manner but not to exceed 2 reinsurance years.
       ``(3) Limitations.--
       ``(A) Mitigation required.--Except as otherwise provided in 
     this paragraph, a person subject to a final determination, 
     including all administrative appeals, of a violation 
     described in subsection (d) shall have 1 reinsurance year to 
     initiate a mitigation plan to remedy the violation, as 
     determined by the Secretary, before becoming ineligible under 
     this subsection in the following reinsurance year to receive 
     any payment of any portion of the premium paid by the Federal 
     Crop Insurance Corporation for a policy or plan of insurance 
     under the Federal Crop Insurance Act (7 U.S.C. 1501 et seq.).
       ``(B) Persons covered for the first time.--Notwithstanding 
     the requirements of paragraph (1), in the case of a person 
     that is subject to this subsection for the first time solely 
     due to the amendment made by section 2611(b) of the 
     Agricultural Act of 2014, the person shall have 2 reinsurance 
     years after the reinsurance year in which a final 
     determination is made, including all administrative appeals, 
     of a violation described in this subsection to take such 
     steps as the Secretary determines appropriate to remedy or 
     mitigate the violation in accordance with this subsection.
       ``(C) Good faith.--If the Secretary determines that a 
     person subject to a final determination, including all 
     administrative appeals, of a violation described in this 
     subsection acted in good faith and without intent to commit a 
     violation described in this subsection as described in 
     section 1222(h), the person shall have 2 reinsurance years to 
     take such steps as the Secretary determines appropriate to 
     remedy or mitigate the violation in accordance with this 
     subsection.
       ``(D) Tenant relief.--
       ``(i) In general.--If a tenant is determined to be 
     ineligible for payments and other benefits under this 
     subsection, the Secretary may limit the ineligibility only to 
     the farm that is the basis for the ineligibility 
     determination if the tenant has established, to the 
     satisfaction of the Secretary that--

       ``(I) the tenant has made a good faith effort to meet the 
     requirements of this section, including enlisting the 
     assistance of the Secretary to obtain a reasonable plan for 
     restoration or mitigation for the farm;
       ``(II) the landlord on the farm refuses to comply with the 
     plan on the farm; and
       ``(III) the Secretary determines that the lack of 
     compliance is not a part of a scheme or device to avoid the 
     compliance.

       ``(ii) Report.--The Secretary shall submit to the Committee 
     on Agriculture of the House of Representatives and the 
     Committee on Agriculture, Nutrition, and Forestry of the 
     Senate an annual report concerning the ineligibility 
     determinations limited during the previous 12-month period 
     under this subparagraph.
       ``(E) Certificate of compliance.--
       ``(i) In general.--Beginning with the first full 
     reinsurance year immediately following the date of enactment 
     of this paragraph, all persons seeking eligibility for the 
     payment of a portion of the premium paid by the Federal Crop 
     Insurance Corporation for a policy or plan of insurance under 
     the Federal Crop Insurance Act (7 U.S.C. 1501 et seq.) shall 
     provide certification of compliance with this section as 
     determined by the Secretary.
       ``(ii) Timely evaluation.--The Secretary shall evaluate the 
     certification in a timely manner and--

       ``(I) a person who has properly complied with certification 
     shall be held harmless with regard to eligibility during the 
     period of evaluation; and
       ``(II) if the Secretary fails to evaluate the certification 
     in a timely manner and the person is subsequently found to be 
     in violation of this subsection, ineligibility shall not 
     apply to the person for that violation.

       ``(iii) Equitable contribution.--

       ``(I) In general.--If a person fails to notify the 
     Secretary as required and is subsequently found to be in 
     violation of this subsection, the Secretary shall--

       ``(aa) determine the amount of an equitable contribution to 
     conservation by the person for the violation; and
       ``(bb) deposit the contribution in the fund described in 
     section 1241(f).

       ``(II) Limitation.--The contribution shall not exceed the 
     total of the portion of the premium paid by the Federal Crop 
     Insurance Corporation for a policy or plan of insurance for 
     all years the person is determined to have been in violation 
     subsequent to the date on which certification was first 
     required under this subparagraph.

       ``(4) Duties of the secretary.--
       ``(A) In general.--In carrying out this subsection, the 
     Secretary shall use existing processes and procedures for 
     certifying compliance.
       ``(B) Responsibility.--The Secretary, acting through the 
     agencies of the Department of Agriculture, shall be solely 
     responsible for determining whether a producer is eligible to 
     receive crop insurance premium subsidies in accordance with 
     this subsection.
       ``(C) Limitation.--The Secretary shall ensure that no 
     agent, approved insurance provider, or employee or contractor 
     of an agency or approved insurance provider, bears 
     responsibility or liability for the eligibility of an insured 
     producer under this subsection, other than in cases of 
     misrepresentation, fraud, or scheme and device.''.

 Subtitle H--Repeal of Superseded Program Authorities and Transitional 
                    Provisions; Technical Amendments

     SEC. 2701. COMPREHENSIVE CONSERVATION ENHANCEMENT PROGRAM.

       Section 1230 of the Food Security Act of 1985 (16 U.S.C. 
     3830) is repealed.

     SEC. 2702. EMERGENCY FORESTRY CONSERVATION RESERVE PROGRAM.

       (a) Repeal.--Except as provided in subsection (b), section 
     1231A of the Food Security Act of 1985 (16 U.S.C. 3831a) is 
     repealed.
       (b) Transitional Provisions.--
       (1) Effect on existing contracts and agreements.--The 
     amendment made by this section shall not affect the validity 
     or terms of any contract or agreement entered into by the 
     Secretary of Agriculture under section 1231A of the Food 
     Security Act of 1985 (16 U.S.C. 3831a) before the date of 
     enactment of the Agricultural Act of 2014, or any payments 
     required to be made in connection with the contract or 
     agreement.
       (2) Funding.--The Secretary may use funds made available to 
     carry out the conservation reserve program under subchapter B 
     of chapter 1 of subtitle D of title XII of the Food Security 
     Act of 1985 (16 U.S.C. 3831 et seq.) to continue to carry out 
     contracts or agreements referred to in paragraph (1) using 
     the

[[Page 1889]]

     provisions of law and regulation applicable to such contracts 
     or agreements as in existence on the day before the date of 
     enactment of the Agricultural Act of 2014.

     SEC. 2703. WETLANDS RESERVE PROGRAM.

       (a) Repeal.--Except as provided in subsection (b), 
     subchapter C of chapter 1 of subtitle D of title XII of the 
     Food Security Act of 1985 (16 U.S.C. 3837 et seq.) is 
     repealed.
       (b) Transitional Provisions.--
       (1) Effect on existing contracts, agreements, and 
     easements.--The amendment made by this section shall not 
     affect the validity or terms of any contract, agreement, or 
     easement entered into by the Secretary of Agriculture under 
     subchapter C of chapter 1 of subtitle D of title XII of the 
     Food Security Act of 1985 (16 U.S.C. 3837 et seq.) before the 
     date of enactment of the Agricultural Act of 2014, or any 
     payments required to be made in connection with the contract, 
     agreement, or easement.
       (2) Funding.--
       (A) Use of prior year funds.--Notwithstanding the repeal of 
     subchapter C of chapter 1 of subtitle D of title XII of the 
     Food Security Act of 1985 (16 U.S.C. 3837 et seq.), any funds 
     made available from the Commodity Credit Corporation to carry 
     out the wetlands reserve program under that subchapter for 
     fiscal years 2009 through 2013 shall be made available to 
     carry out contracts, agreements, or easements referred to in 
     paragraph (1) that were entered into prior to the date of 
     enactment of the Agricultural Act of 2014 (including the 
     provision of technical assistance), provided that no such 
     contract, agreement, or easement is modified so as to 
     increase the amount of the payment received.
       (B) Other.--The Secretary may use funds made available to 
     carry out the agricultural conservation easement program 
     under subtitle H of title XII of the Food Security Act of 
     1985, as added by section 2301, to continue to carry out 
     contracts, agreements, and easements referred to in paragraph 
     (1) using the provisions of law and regulation applicable to 
     such contracts, agreements, and easements as in existence on 
     the day before the date of enactment of the Agricultural Act 
     of 2014.

     SEC. 2704. FARMLAND PROTECTION PROGRAM AND FARM VIABILITY 
                   PROGRAM.

       (a) Repeal.--Except as provided in subsection (b), 
     subchapter C of chapter 2 of subtitle D of title XII of the 
     Food Security Act of 1985 (16 U.S.C. 3838h et seq.) is 
     repealed.
       (b) Transitional Provisions.--
       (1) Effect on existing agreements and easements.--The 
     amendment made by this section shall not affect the validity 
     or terms of any agreement or easement entered into by the 
     Secretary of Agriculture under subchapter C of chapter 2 of 
     subtitle D of title XII of the Food Security Act of 1985 (16 
     U.S.C. 3838h et seq.) before the date of enactment of the 
     Agricultural Act of 2014, or any payments required to be made 
     in connection with the agreement or easement.
       (2) Funding.--
       (A) Use of prior year funds.--Notwithstanding the repeal of 
     subchapter C of chapter 2 of subtitle D of title XII of the 
     Food Security Act of 1985 (16 U.S.C. 3838h et seq.), any 
     funds made available from the Commodity Credit Corporation to 
     carry out the farmland protection program under that 
     subchapter for fiscal years 2009 through 2013 shall be made 
     available to carry out agreements and easements referred to 
     in paragraph (1) that were entered into prior to the date of 
     enactment of the Agricultural Act of 2014 (including the 
     provision of technical assistance).
       (B) Other.--On exhaustion of funds made available under 
     subparagraph (A), the Secretary may use funds made available 
     to carry out the agricultural conservation easement program 
     under subtitle H of title XII of the Food Security Act of 
     1985, as added by section 2301, to continue to carry out 
     agreements and easements referred to in paragraph (1) using 
     the provisions of law and regulation applicable to such 
     agreements and easements as in existence on the day before 
     the date of enactment of the Agricultural Act of 2014.

     SEC. 2705. GRASSLAND RESERVE PROGRAM.

       (a) Repeal.--Except as provided in subsection (b), 
     subchapter D of chapter 2 of subtitle D of title XII of the 
     Food Security Act of 1985 (16 U.S.C. 3838n et seq.) is 
     repealed.
       (b) Transitional Provisions.--
       (1) Effect on existing contracts, agreements, and 
     easements.--The amendment made by this section shall not 
     affect the validity or terms of any contract, agreement, or 
     easement entered into by the Secretary of Agriculture under 
     subchapter D of chapter 2 of subtitle D of title XII of the 
     Food Security Act of 1985 (16 U.S.C. 3838n et seq.) before 
     the date of enactment of the Agricultural Act of 2014, or any 
     payments required to be made in connection with the contract, 
     agreement, or easement.
       (2) Funding.--
       (A) Use of prior year funds.--Notwithstanding the repeal of 
     subchapter D of chapter 2 of subtitle D of title XII of the 
     Food Security Act of 1985 (16 U.S.C. 3838n et seq.), any 
     funds made available from the Commodity Credit Corporation to 
     carry out the grassland reserve program under that subchapter 
     for fiscal years 2009 through 2013 shall be made available to 
     carry out contracts, agreements, or easements referred to in 
     paragraph (1) that were entered into prior to the date of 
     enactment of the Agricultural Act of 2014 (including the 
     provision of technical assistance), provided that no such 
     contract, agreement, or easement is modified so as to 
     increase the amount of the payment received.
       (B) Other.--The Secretary may use funds made available to 
     carry out the agricultural conservation easement program 
     under subtitle H of title XII of the Food Security Act of 
     1985, as added by section 2301, to continue to carry out 
     contracts, agreements, and easements referred to in paragraph 
     (1) using the provisions of law and regulation applicable to 
     such contracts, agreements, and easements as in existence on 
     the day before the date of enactment of the Agricultural Act 
     of 2014.

     SEC. 2706. AGRICULTURAL WATER ENHANCEMENT PROGRAM.

       (a) Repeal.--Except as provided in subsection (b), section 
     1240I of the Food Security Act of 1985 (16 U.S.C. 3839aa-9) 
     is repealed.
       (b) Transitional Provisions.--
       (1) Effect on existing contracts and agreements.--The 
     amendment made by this section shall not affect the validity 
     or terms of any contract or agreement entered into by the 
     Secretary of Agriculture under section 1240I of the Food 
     Security Act of 1985 (16 U.S.C. 3839aa-9) before the date of 
     enactment of the Agricultural Act of 2014, or any payments 
     required to be made in connection with the contract or 
     agreement.
       (2) Funding.--
       (A) Use of prior year funds.--Notwithstanding the repeal of 
     section 1240I of the Food Security Act of 1985 (16 U.S.C. 
     3839aa-9), any funds made available from the Commodity Credit 
     Corporation to carry out the agricultural water enhancement 
     program under that section for fiscal years 2009 through 2013 
     shall be made available to carry out contracts and agreements 
     referred to in paragraph (1) that were entered into prior to 
     the date of enactment of the Agricultural Act of 2014 
     (including the provision of technical assistance).
       (B) Other.--On exhaustion of funds made available under 
     subparagraph (A), the Secretary may use funds made available 
     to carry out the regional conservation partnership program 
     under subtitle I of title XII of the Food Security Act of 
     1985, as added by section 2401, to continue to carry out 
     contracts and agreements referred to in paragraph (1) using 
     the provisions of law and regulation applicable to such 
     contracts and agreements as in existence on the day before 
     the date of enactment of the Agricultural Act of 2014.

     SEC. 2707. WILDLIFE HABITAT INCENTIVE PROGRAM.

       (a) Repeal.--Except as provided in subsection (b), section 
     1240N of the Food Security Act of 1985 (16 U.S.C. 3839bb-1) 
     is repealed.
       (b) Transitional Provisions.--
       (1) Effect on existing contracts and agreements.--The 
     amendment made by this section shall not affect the validity 
     or terms of any contract or agreement entered into by the 
     Secretary of Agriculture under section 1240N of the Food 
     Security Act of 1985 (16 U.S.C. 3839bb-1) before the date of 
     enactment of the Agricultural Act of 2014, or any payments 
     required to be made in connection with the contract or 
     agreement.
       (2) Funding.--
       (A) Use of prior year funds.--Notwithstanding the repeal of 
     section 1240N of the Food Security Act of 1985 (16 U.S.C. 
     3839bb-1), any funds made available from the Commodity Credit 
     Corporation to carry out the wildlife habitat incentive 
     program under that section for fiscal years 2009 through 2013 
     shall be made available to carry out contracts or agreements 
     referred to in paragraph (1) which were entered into prior to 
     the date of enactment of the Agricultural Act of 2014 
     (including the provision of technical assistance).
       (B) Other.--On exhaustion of funds made available under 
     subparagraph (A), the Secretary may use funds made available 
     to carry out the environmental quality incentives program 
     under chapter 4 of subtitle D of title XII of the Food 
     Security Act of 1985 (16 U.S.C. 3839aa et seq.) to continue 
     to carry out contracts or agreements referred to in paragraph 
     (1) using the provisions of law and regulation applicable to 
     such contracts or agreements as in existence on the day 
     before the date of enactment of the Agricultural Act of 2014.

     SEC. 2708. GREAT LAKES BASIN PROGRAM.

       Section 1240P of the Food Security Act of 1985 (16 U.S.C. 
     3839bb-3) is repealed.

     SEC. 2709. CHESAPEAKE BAY WATERSHED PROGRAM.

       (a) Repeal.--Except as provided in subsection (b), section 
     1240Q of the Food Security Act of 1985 (16 U.S.C. 3839bb-4) 
     is repealed.
       (b) Transitional Provisions.--
       (1) Effect on existing contracts, agreements, and 
     easements.--The amendment made by this section shall not 
     affect the validity or terms of any contract, agreement, or 
     easement entered into by the Secretary of Agriculture under 
     section 1240Q of the Food Security Act of 1985 (16 U.S.C. 
     3839bb-4) before the date of enactment of the Agricultural 
     Act of 2014, or any payments required

[[Page 1890]]

     to be made in connection with the contract, agreement, or 
     easement.
       (2) Funding.--
       (A) Use of prior year funds.--Notwithstanding the repeal of 
     section 1240Q of the Food Security Act of 1985 (16 U.S.C. 
     3839bb-4), any funds made available from the Commodity Credit 
     Corporation to carry out the Chesapeake Bay watershed program 
     under that section for fiscal years 2009 through 2013 shall 
     be made available to carry out contracts, agreements, and 
     easements referred to in paragraph (1) that were entered into 
     prior to the date of enactment of the Agricultural Act of 
     2014 (including the provision of technical assistance).
       (B) Other.--The Secretary may use funds made available to 
     carry out the regional conservation partnership program under 
     subtitle I of title XII of the Food Security Act of 1985, as 
     added by section 2401, to continue to carry out contracts, 
     agreements, and easements referred to in paragraph (1) using 
     the provisions of law and regulation applicable to such 
     contracts, agreements, and easements as in existence on the 
     day before the date of enactment of the Agricultural Act of 
     2014.

     SEC. 2710. COOPERATIVE CONSERVATION PARTNERSHIP INITIATIVE.

       (a) Repeal.--Except as provided in subsection (b), section 
     1243 of the Food Security Act of 1985 (16 U.S.C. 3843) is 
     repealed.
       (b) Transitional Provisions.--
       (1) Effect on existing contracts and agreements.--The 
     amendment made by this section shall not affect the validity 
     or terms of any contract or agreement entered into by the 
     Secretary of Agriculture under section 1243 of the Food 
     Security Act of 1985 (16 U.S.C. 3843) before the date of 
     enactment of the Agricultural Act of 2014, or any payments 
     required to be made in connection with the contract or 
     agreement.
       (2) Funding.--
       (A) Use of prior year funds.--Notwithstanding the repeal of 
     section 1243 of the Food Security Act of 1985 (16 U.S.C. 
     3843), any funds made available from the Commodity Credit 
     Corporation to carry out the cooperative conservation 
     partnership initiative under that section for fiscal years 
     2009 through 2013 shall be made available to carry out 
     contracts and agreements referred to in paragraph (1) that 
     were entered into prior to the date of enactment of the 
     Agricultural Act of 2014 (including the provision of 
     technical assistance).
       (B) Other.--On exhaustion of funds made available under 
     subparagraph (A), the Secretary may use funds made available 
     to carry out the regional conservation partnership program 
     under subtitle I of title XII of the Food Security Act of 
     1985, as added by section 2401, to continue to carry out 
     contracts and agreements referred to in paragraph (1) using 
     the provisions of law and regulation applicable to such 
     contracts and agreements as in existence on the day before 
     the date of enactment of the Agricultural Act of 2014.

     SEC. 2711. ENVIRONMENTAL EASEMENT PROGRAM.

       Chapter 3 of subtitle D of title XII of the Food Security 
     Act of 1985 (16 U.S.C. 3839 et seq.) is repealed.

     SEC. 2712. TEMPORARY ADMINISTRATION OF CONSERVATION PROGRAMS.

       (a) Applicability.--This section is applicable to 
     activities under--
       (1) the wetlands reserve program, the farmland protection 
     program, and the farm viability program being merged into the 
     agricultural conservation easement program under the 
     amendment made by section 2301;
       (2) the wildlife habitat incentive program being merged 
     into the environmental quality incentives program under the 
     amendments made by subtitle C;
       (3) the agricultural water enhancement program, the 
     Chesapeake Bay watershed program, the cooperative 
     conservation partnership initiative, and the Great Lakes 
     basin program being merged into the regional conservation 
     partnership program under the amendment made by section 2401; 
     and
       (4) the grassland reserve program being merged into the 
     conservation reserve program under the amendments made by 
     subtitle A and into the agricultural conservation easement 
     program under the amendment made by section 2301.
       (b) Interim Administration.--Subject to subsection (d), 
     with respect to the implementation of the agricultural 
     conservation easement program under subtitle H of title XII 
     of the Food Security Act of 1985, as added by section 2301, 
     the amendments to the environmental quality incentives 
     program made by subtitle C, the regional conservation 
     partnership program under subtitle I of title XII of the Food 
     Security Act of 1985, as added by section 2401, and the 
     amendments to the conservation reserve program made by 
     subtitle A, the Secretary shall use the regulations in 
     existence as of the day before the date of enactment of this 
     Act that are applicable to the wetlands reserve program, the 
     grassland reserve program, the farmland protection program, 
     the farm viability program, the wildlife habitat incentive 
     program, the agricultural water enhancement program, the 
     Chesapeake Bay watershed program, the cooperative 
     conservation partnership initiative, and the Great Lakes 
     basin program repealed by this subtitle, to the extent that 
     the terms and conditions of such regulations are consistent 
     with--
       (1) the provisions of the agricultural conservation 
     easement program and the regional conservation partnership 
     program; and
       (2) the amendments to the environmental quality incentives 
     program and the conservation reserve program made by this 
     title.
       (c) Funding.--The Secretary may only use funds authorized 
     in this title or in the amendments made by this title for the 
     specific programs listed in subsection (b), including any 
     restrictions on the use of those funds, for the purposes 
     identified in paragraphs (1) and (2) of subsection (b).
       (d) Termination of Authority.--The authority of the 
     Secretary to carry out subsection (b) shall terminate on the 
     date that is 270 days after the date of enactment of this 
     Act.
       (e) Permanent Administration.--Effective beginning on the 
     termination date described in subsection (d), the Secretary 
     shall provide technical assistance, financial assistance, and 
     easement enrollment in accordance with any final regulations 
     that the Secretary considers necessary to carry out this 
     title and the amendments made by this title.

     SEC. 2713. TECHNICAL AMENDMENTS.

       (a) Definitions.--Section 1201(a) of the Food Security Act 
     of 1985 (16 U.S.C. 3801(a)) is amended in the matter 
     preceding paragraph (1) by striking ``E'' and inserting 
     ``I''.
       (b) Program Ineligibility.--Section 1211(a) of the Food 
     Security Act of 1985 (16 U.S.C. 3811(a)) is amended by 
     striking ``predominate'' each place it appears and inserting 
     ``predominant''.
       (c) Specialty Crop Producers.--Section 1242(i) of the Food 
     Security Act of 1985 (16 U.S.C. 3842(i)) is amended in the 
     header by striking ``Speciality'' and inserting 
     ``Specialty''.

                            TITLE III--TRADE

                     Subtitle A--Food for Peace Act

     SEC. 3001. GENERAL AUTHORITY.

       Section 201 of the Food for Peace Act (7 U.S.C. 1721) is 
     amended--
       (1) in the matter preceding paragraph (1), by inserting 
     ``(to be implemented by the Administrator)'' after ``under 
     this title''; and
       (2) by striking paragraph (7) and the second sentence and 
     inserting the following new paragraph:
       ``(7) build resilience to mitigate and prevent food crises 
     and reduce the future need for emergency aid.''.

     SEC. 3002. SET-ASIDE FOR SUPPORT FOR ORGANIZATIONS THROUGH 
                   WHICH NONEMERGENCY ASSISTANCE IS PROVIDED.

       Section 202(e) of the Food for Peace Act (7 U.S.C. 1722(e)) 
     is amended--
       (1) in paragraph (1)--
       (A) in the matter preceding subparagraph (A), by striking 
     ``13 percent'' and inserting ``20 percent'';
       (B) in subparagraph (A), by striking ``new'' and inserting 
     ``and enhancing'';
       (C) by striking subparagraph (B);
       (D) by redesignating subparagraph (C) as subparagraph (D); 
     and
       (E) by inserting after subparagraph (A) the following new 
     subparagraphs:
       ``(B) meeting specific administrative, management, 
     personnel, transportation, storage, and distribution costs 
     for carrying out programs in foreign countries under this 
     title;
       ``(C) implementing income-generating, community 
     development, health, nutrition, cooperative development, 
     agricultural, and other developmental activities within 1 or 
     more recipient countries or within 1 or more countries in the 
     same region; and''; and
       (2) by adding at the end the following new paragraph:
       ``(4) Investment authority.--An eligible organization that 
     receives funds made available under paragraph (1) may invest 
     the funds pending the eligible organization's use of the 
     funds. Any interest earned on such investment may be used for 
     the purposes for which the assistance was provided to the 
     eligible organization without further appropriation by 
     Congress.''.

     SEC. 3003. FOOD AID QUALITY.

       Section 202(h) of the Food for Peace Act (7 U.S.C. 1722(h)) 
     is amended--
       (1) by striking paragraph (1) and inserting the following 
     new paragraph:
       ``(1) In general.--The Administrator shall use funds made 
     available for fiscal year 2014 and subsequent fiscal years to 
     carry out this title--
       ``(A) to assess the types and quality of agricultural 
     commodities and products donated for food aid;
       ``(B) to adjust products and formulations, including 
     potential introduction of new fortificants and products, as 
     necessary to cost-effectively meet nutrient needs of target 
     populations;
       ``(C) to test prototypes;
       ``(D) to adopt new specifications or improve existing 
     specifications for micronutrient fortified food aid products, 
     based on the latest developments in food and nutrition 
     science, and in coordination with other international 
     partners;
       ``(E) to develop new program guidance to facilitate 
     improved matching of products to purposes having nutritional 
     intent, in coordination with other international partners;

[[Page 1891]]

       ``(F) to develop improved guidance for implementing 
     partners on how to address nutritional deficiencies that 
     emerge among recipients for whom food assistance is the sole 
     source of diet in emergency programs that extend beyond 1 
     year, in coordination with other international partners; and
       ``(G) to evaluate, in appropriate settings and as 
     necessary, the performance and cost-effectiveness of new or 
     modified specialized food products and program approaches 
     designed to meet the nutritional needs of the most vulnerable 
     groups, such as pregnant and lactating mothers, and children 
     under the age of 5.''; and
       (2) in paragraph (3), by striking ``fiscal years 2009 
     through 2011'' and inserting ``fiscal years 2014 through 
     2018''.

     SEC. 3004. MINIMUM LEVELS OF ASSISTANCE.

       Section 204(a) of the Food for Peace Act (7 U.S.C. 1724(a)) 
     is amended--
       (1) in paragraph (1), by striking ``2012'' and inserting 
     ``2018''; and
       (2) in paragraph (2), by striking ``2012'' and inserting 
     ``2018''.

     SEC. 3005. FOOD AID CONSULTATIVE GROUP.

       (a) Membership.--Section 205(b) of the Food for Peace Act 
     (7 U.S.C. 1725(b)) is amended--
       (1) by striking ``and'' at the end of paragraph (6);
       (2) by redesignating paragraph (7) as paragraph (8); and
       (3) by inserting after paragraph (6) the following new 
     paragraph:
       ``(7) representatives from the United States agricultural 
     processing sector involved in providing agricultural 
     commodities for programs under this Act; and''.
       (b) Consultation.--Section 205(d) of the Food for Peace Act 
     (7 U.S.C. 1725(d)) is amended--
       (1) by striking the first sentence and inserting the 
     following:
       ``(1) Consultation in advance of issuance of implementation 
     regulations, handbooks, and guidelines.--Not later than 45 
     days before a proposed regulation, handbook, or guideline 
     implementing this title, or a proposed significant revision 
     to a regulation, handbook, or guideline implementing this 
     title, becomes final, the Administrator shall provide the 
     proposal to the Group for review and comment.''; and
       (2) by adding at the end the following new paragraph:
       ``(2) Consultation regarding food aid quality efforts.--The 
     Administrator shall seek input from and consult with the 
     Group on the implementation of section 202(h).''.
       (c) Reauthorization.--Section 205(f) of the Food for Peace 
     Act (7 U.S.C. 1725(f)) is amended by striking ``2012'' and 
     inserting ``2018''.

     SEC. 3006. OVERSIGHT, MONITORING, AND EVALUATION.

       (a) Regulations and Guidance.--Section 207(c) of the Food 
     for Peace Act (7 U.S.C. 1726a(c)) is amended--
       (1) in the subsection heading, by inserting ``and 
     Guidance'' after ``Regulations'';
       (2) in paragraph (1), by adding at the end the following 
     new sentence: ``Not later than 270 days after the date of the 
     enactment of the Agricultural Act of 2014, the Administrator 
     shall issue all regulations and revisions to agency guidance 
     necessary to implement the amendments made to this title by 
     such Act.''; and
       (3) in paragraph (2), by inserting ``and guidance'' after 
     ``develop regulations''.
       (b) Funding.--Section 207(f) of the Food for Peace Act (7 
     U.S.C. 1726a(f)) is amended--
       (1) in paragraph (2)(F), by striking ``upgraded'' and 
     inserting ``maintenance of'';
       (2) by striking paragraphs (3) and (4); and
       (3) by redesignating paragraphs (5) and (6) as paragraphs 
     (3) and (4), respectively; and
       (4) in paragraph (4) (as so redesignated)--
       (A) in subparagraph (A), by striking ``$22,000,000'' and 
     all that follows through the period at the end and inserting 
     ``$17,000,000 of the funds made available under this title 
     for each of fiscal years 2014 through 2018, except for 
     paragraph (2)(F), for which not more than $500,000 shall be 
     made available for each of the fiscal years 2014 through 
     2018.''; and
       (B) in subparagraph (B)(i), by striking ``2012'' and 
     inserting ``2018''.
       (c) Implementation Reports.--Not later than 270 days after 
     the date of the enactment of this Act, the Administrator of 
     the Agency for International Development shall submit to the 
     Committee on Agriculture, Nutrition, and Forestry of the 
     Senate and the Committees on Agriculture and Foreign Affairs 
     of the House of Representatives a report describing--
       (1) the implementation of section 207(c) of the Food for 
     Peace Act (7 U.S.C. 1726a(c));
       (2) the surveys, studies, monitoring, reporting, and audit 
     requirements for programs conducted under title II of such 
     Act (7 U.S.C. 1721 et seq.) by an eligible organization that 
     is a nongovernmental organization (as such term is defined in 
     section 402 of such Act (7 U.S.C. 1732)); and
       (3) the surveys, studies, monitoring, reporting, and audit 
     requirements for such programs by an eligible organization 
     that is an intergovernmental organization, such as the World 
     Food Program or other multilateral organization.

     SEC. 3007. ASSISTANCE FOR STOCKPILING AND RAPID 
                   TRANSPORTATION, DELIVERY, AND DISTRIBUTION OF 
                   SHELF-STABLE PREPACKAGED FOODS.

       Section 208(f) of the Food for Peace Act (7 U.S.C. 
     1726b(f)) is amended by striking ``$8,000,000 for each of 
     fiscal years 2001 through 2012'' and inserting ``$10,000,000 
     for each of fiscal years 2014 through 2018''.

     SEC. 3008. IMPACT ON LOCAL FARMERS AND ECONOMY AND REPORT ON 
                   USE OF FUNDS.

       (a) Impact on Local Farmers and Economy.--Section 403(b) of 
     the Food for Peace Act (7 U.S.C. 1733(b)) is amended by 
     adding at the end the following new sentence: ``The Secretary 
     or the Administrator, as appropriate, shall seek information, 
     as part of the regular proposal and submission process, from 
     implementing agencies on the potential costs and benefits to 
     the local economy of sales of agricultural commodities within 
     the recipient country.''.
       (b) Report on Use of Funds.--Section 403 of the Food for 
     Peace Act (7 U.S.C. 1733) is amended by adding at the end the 
     following new subsection:
       ``(m) Report on Use of Funds.--
       ``(1) Report required.--Not later than 180 days after the 
     date of the enactment of the Agricultural Act of 2014, and 
     annually thereafter, the Administrator shall submit to 
     Congress a report that--
       ``(A) specifies the amount of funds (including funds for 
     administrative costs, indirect cost recovery, internal 
     transportation, storage, and handling, and associated 
     distribution costs) provided to each eligible organization 
     that received assistance under this Act in the previous 
     fiscal year;
       ``(B) describes how those funds were used by the eligible 
     organization;
       ``(C) describes the actual rate of return for each 
     commodity made available under this Act, including--
       ``(i) factors that influenced the rate of return; and
       ``(ii) for the commodity, the costs of bagging or further 
     processing, ocean transportation, inland transportation in 
     the recipient country, storage costs, and any other 
     information that the Administrator determines to be 
     necessary; and
       ``(D) for each instance in which a commodity was made 
     available under this Act at a rate of return less than 70 
     percent, describes the reasons for the rate of return 
     realized.
       ``(2) Rate of return described.--For purposes of applying 
     paragraph (1)(C), the rate of return for a commodity shall be 
     equal to the proportion that--
       ``(A) the proceeds the implementing partners generate 
     through monetization; bears to
       ``(B) the cost to the Federal Government to procure and 
     ship the commodity to a recipient country for 
     monetization.''.

     SEC. 3009. PREPOSITIONING OF AGRICULTURAL COMMODITIES.

       Section 407(c)(4) of the Food for Peace Act (7 U.S.C. 
     1736a(c)(4)) is amended--
       (1) in subparagraph (A)--
       (A) by striking ``2012'' and inserting ``2018''; and
       (B) by striking ``for each such fiscal year not more than 
     $10,000,000 of such funds'' and inserting ``for each of 
     fiscal years 2001 through 2013 not more than $10,000,000 of 
     such funds and for each of fiscal years 2014 through 2018 not 
     more than $15,000,000 of such funds''; and
       (2) by striking subparagraph (B) and inserting the 
     following new subparagraph:
       ``(B) Additional prepositioning sites.--The Administrator 
     may establish additional sites for prepositioning in foreign 
     countries or change the location of current sites for 
     prepositioning in foreign countries after conducting, and 
     based on the results of, assessments of need, the 
     availability of appropriate technology for long-term storage, 
     feasibility, and cost.''.

     SEC. 3010. ANNUAL REPORT REGARDING FOOD AID PROGRAMS AND 
                   ACTIVITIES.

       Section 407(f)(1) of the Food for Peace Act (7 U.S.C. 
     1736a(f)(1)) is amended--
       (1) in the paragraph heading, by striking ``agricultural 
     trade'' and inserting ``food aid'';
       (2) in subparagraph (B)(ii), by inserting before the 
     semicolon at the end the following: ``and the total number of 
     beneficiaries of the project and the activities carried out 
     through such project''; and
       (3) in subparagraph (B)(iii)--
       (A) in the matter preceding subclause (I), by inserting ``, 
     and the total number of beneficiaries in,'' after 
     ``commodities made available to'';
       (B) by striking ``and'' at the end of subclause (I);
       (C) by inserting ``and'' at the end of subclause (II); and
       (D) by inserting after subclause (II) the following new 
     subclause:

       ``(III) the McGovern-Dole International Food for Education 
     and Child Nutrition Program established by section 3107 of 
     the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 
     1736o-1);''.

     SEC. 3011. DEADLINE FOR AGREEMENTS TO FINANCE SALES OR TO 
                   PROVIDE OTHER ASSISTANCE.

       Section 408 of the Food for Peace Act (7 U.S.C. 1736b) is 
     amended by striking ``2012'' and inserting ``2018''.

     SEC. 3012. MINIMUM LEVEL OF NONEMERGENCY FOOD ASSISTANCE.

       Subsection (e) of section 412 of the Food for Peace Act (7 
     U.S.C. 1736f) is amended to read as follows:

[[Page 1892]]

       ``(e) Minimum Level of Nonemergency Food Assistance.--
       ``(1) In general.--Subject to paragraph (2), of the amounts 
     made available to carry out emergency and nonemergency food 
     assistance programs under title II, not less than 20 nor more 
     than 30 percent for each of fiscal years 2014 through 2018 
     shall be expended for nonemergency food assistance programs 
     under title II.
       ``(2) Minimum level.--The amount made available to carry 
     out nonemergency food assistance programs under title II 
     shall not be less than $350,000,000 for any fiscal year.''.

     SEC. 3013. MICRONUTRIENT FORTIFICATION PROGRAMS.

       (a) Elimination of Obsolete Reference to Study.--Section 
     415(a)(2)(B) of the Food for Peace Act (7 U.S.C. 1736g-
     2(a)(2)(B)) is amended by striking ``, using 
     recommendations'' and all that follows through ``quality 
     enhancements''.
       (b) Extension.--Section 415(c) of the Food for Peace Act (7 
     U.S.C. 1736g-2(c)) is amended by striking ``2012'' and 
     inserting ``2018''.

     SEC. 3014. JOHN OGONOWSKI AND DOUG BEREUTER FARMER-TO-FARMER 
                   PROGRAM.

       (a) Funding and Reauthorization of Program.--Section 501 of 
     the Food for Peace Act (7 U.S.C. 1737) is amended--
       (1) in subsection (d), in the matter preceding paragraph 
     (1), by striking ``2012'' and inserting ``2013, and not less 
     than the greater of $15,000,000 or 0.6 percent of the amounts 
     made available for each of fiscal years 2014 through 2018,''; 
     and
       (2) in subsection (e)(1), by striking ``2012'' and 
     inserting ``2018''.
       (b) Comptroller General Report.--Not later than 270 days 
     after the date of enactment of this Act, the Comptroller 
     General of the United States shall submit to Congress a 
     report that contains--
       (1) a review of the John Ogonowski and Doug Bereuter 
     Farmer-to-Farmer Program authorized by section 501 of the 
     Food for Peace Act (7 U.S.C. 1737); and
       (2) recommendations relating to actions that the 
     Comptroller General determines to be necessary to improve the 
     monitoring and evaluation of assistance provided under such 
     program.

     SEC. 3015. COORDINATION OF FOREIGN ASSISTANCE PROGRAMS 
                   REPORT.

       Section 413 of the Food for Peace Act (7 U.S.C. 1736g) is 
     amended--
       (1) by striking ``(a) In General.--To the maximum'' and 
     inserting ``To the maximum''; and
       (2) by striking subsection (b).

               Subtitle B--Agricultural Trade Act of 1978

     SEC. 3101. EXPORT CREDIT GUARANTEE PROGRAM.

       (a) Short-Term Credit Guarantees.--Section 202 of the 
     Agricultural Trade Act of 1978 (7 U.S.C. 5622) is amended--
       (1) in subsection (a), by striking ``3-year'' and inserting 
     ``24-month'';
       (2) in subsection (d), by striking ``country'' and 
     inserting ``obligor'';
       (3) by striking subsection (i);
       (4) by redesignating subsections (j) and (k) as subsections 
     (i) and (j), respectfully; and
       (5) in subsection (j)(2) (as so redesignated)--
       (A) by striking subparagraphs (A) and (B);
       (B) by redesignating subparagraphs (C) through (E) as 
     subparagraphs (A) through (C), respectfully;
       (C) in subparagraph (B) (as so redesignated), by striking 
     ``and'' at the end;
       (D) in subparagraph (C) (as so redesignated)--
       (i) by striking ``, but do not exceed,''; and
       (ii) by striking the period at the end and inserting ``; 
     and''; and
       (E) by adding at the end the following new subparagraph:
       ``(D) notwithstanding any other provision of this section, 
     administer and carry out (only after consulting with the 
     Committee on Agriculture of the House of Representatives and 
     the Committee on Agriculture, Nutrition and Forestry of the 
     Senate) the program pursuant to such terms as may be agreed 
     between the parties to address the World Trade Organization 
     dispute WTO/DS267 to the extent not superseded by any 
     applicable international undertakings on officially supported 
     export credits to which the United States is a party.''.
       (b) Funding.--Subsection (b) of section 211 of the 
     Agricultural Trade Act of 1978 (7 U.S.C. 5641) is amended to 
     read as follows:
       ``(b) Export Credit Guarantee Program.--The Commodity 
     Credit Corporation shall make available for each fiscal year 
     $5,500,000,000 of credit guarantees under section 202(a).''.

     SEC. 3102. FUNDING FOR MARKET ACCESS PROGRAM.

       Section 211(c)(1)(A) of the Agricultural Trade Act of 1978 
     (7 U.S.C. 5641(c)(1)(A)) is amended by striking ``2012'' and 
     inserting ``2018''.

     SEC. 3103. FOREIGN MARKET DEVELOPMENT COOPERATOR PROGRAM.

       Section 703(a) of the Agricultural Trade Act of 1978 (7 
     U.S.C. 5723(a)) is amended by striking ``2012'' and inserting 
     ``2018''.

               Subtitle C--Other Agricultural Trade Laws

     SEC. 3201. FOOD FOR PROGRESS ACT OF 1985.

       (a) Extension.--The Food for Progress Act of 1985 (7 U.S.C. 
     1736o) is amended--
       (1) in subsection (f)(3), by striking ``2012'' and 
     inserting ``2018'';
       (2) in subsection (g), by striking ``2012'' and inserting 
     ``2018'';
       (3) in subsection (k), by striking ``2012'' and inserting 
     ``2018''; and
       (4) in subsection (l)(1), by striking ``2012'' and 
     inserting ``2018''.
       (b) Repeal of Completed Project.--Subsection (f) of the 
     Food for Progress Act of 1985 (7 U.S.C. 1736o) is amended by 
     striking paragraph (6).

     SEC. 3202. BILL EMERSON HUMANITARIAN TRUST ACT.

       Section 302 of the Bill Emerson Humanitarian Trust Act (7 
     U.S.C. 1736f-1) is amended--
       (1) in subsection (b)(2)(B)(i), by striking ``2012'' both 
     places it appears and inserting ``2018''; and
       (2) in subsection (h), by striking ``2012'' both places it 
     appears and inserting ``2018''.

     SEC. 3203. PROMOTION OF AGRICULTURAL EXPORTS TO EMERGING 
                   MARKETS.

       (a) Direct Credits or Export Credit Guarantees.--Section 
     1542(a) of the Food, Agriculture, Conservation, and Trade Act 
     of 1990 (Public Law 101-624; 7 U.S.C. 5622 note) is amended 
     by striking ``2012'' and inserting ``2018''.
       (b) Development of Agricultural Systems.--Section 
     1542(d)(1)(A)(i) of the Food, Agriculture, Conservation, and 
     Trade Act of 1990 (Public Law 101-624; 7 U.S.C. 5622 note) is 
     amended by striking ``2012'' and inserting ``2018''.

     SEC. 3204. MCGOVERN-DOLE INTERNATIONAL FOOD FOR EDUCATION AND 
                   CHILD NUTRITION PROGRAM.

       (a) Reauthorization.--Section 3107(l)(2) of the Farm 
     Security and Rural Investment Act of 2002 (7 U.S.C. 1736o-
     1(l)(2)) is amended by striking ``2012'' and inserting 
     ``2018''.
       (b) Technical Correction.--Section 3107(d) of the Farm 
     Security and Rural Investment Act of 2002 (7 U.S.C. 1736o-
     1(d)) is amended by striking ``to'' in the matter preceding 
     paragraph (1).

     SEC. 3205. TECHNICAL ASSISTANCE FOR SPECIALTY CROPS.

       (a) Purpose.--Section 3205(b) of the Farm Security and 
     Rural Investment Act of 2002 (7 U.S.C. 5680(b)) is amended by 
     striking ``related barriers to trade'' and inserting 
     ``technical barriers to trade''.
       (b) Funding.--Section 3205(e)(2) of the Farm Security and 
     Rural Investment Act of 2002 (7 U.S.C. 5680(e)(2)) is 
     amended--
       (1) by inserting ``and'' at the end of subparagraph (C); 
     and
       (2) by striking subparagraphs (D) and (E) and inserting the 
     following new subparagraph:
       ``(D) $9,000,000 for each of fiscal years 2011 through 
     2018.''.
       (c) U.S. Atlantic Spiny Dogfish Study.--Not later than 90 
     days after the date of the enactment of this Act, the 
     Secretary shall conduct an economic study on the existing 
     market in the United States for U.S. Atlantic Spiny Dogfish.

     SEC. 3206. GLOBAL CROP DIVERSITY TRUST.

       Section 3202(c) of the Food, Conservation, and Energy Act 
     of 2008 (Public Law 110-246; 22 U.S.C. 2220a note) is amended 
     by striking ``2008 through 2012'' and inserting ``2014 
     through 2018''.

     SEC. 3207. LOCAL AND REGIONAL FOOD AID PROCUREMENT PROJECTS.

       Section 3206 of the Food, Conservation, and Energy Act of 
     2008 (7 U.S.C. 1726c) is amended--
       (1) in subsection (b)--
       (A) by striking ``(b) Study; Field-Based Projects.--'' and 
     all that follows through ``(2) Field-based projects.--'' and 
     inserting the following:
       ``(b) Field-Based Projects.--'';
       (B) by redesignating subparagraphs (A) and (B) as 
     paragraphs (1) and (2), respectively, and indenting 
     appropriately;
       (C) in paragraph (1) (as so redesignated), by striking 
     ``subparagraph (B)'' and inserting ``paragraph (2)''; and
       (D) in paragraph (2) (as so redesignated), by striking 
     ``subparagraph (A)'' and inserting ``paragraph (1)'';
       (2) in subsection (c)(1), by striking ``subsection (b)(2)'' 
     and inserting ``subsection (b)'';
       (3) by striking subsections (d), (f), and (g);
       (4) by redesignating subsection (e) as subsection (d);
       (5) in subsection (d) (as so redesignated)--
       (A) in paragraph (2)--
       (i) by striking subparagraph (B); and
       (ii) in subparagraph (A)--

       (I) by striking ``(A) Application.--'' and all that follows 
     through ``To be eligible'' in clause (i) and inserting the 
     following:

       ``(A) In general.--To be eligible'';

       (II) by redesignating clause (ii) as subparagraph (B) and 
     indenting appropriately; and
       (III) in subparagraph (B) (as so redesignated), by striking 
     ``clause (i)'' and inserting ``subparagraph (A)''; and

       (B) by striking paragraph (4); and
       (6) by adding at the end the following new subsection:
       ``(e) Funding.--
       ``(1) Authorization of appropriations.--There is authorized 
     to be appropriated to carry out this section $80,000,000 for 
     each of fiscal years 2014 through 2018.
       ``(2) Preference.--In carrying out this section, the 
     Secretary may give a preference to eligible organizations 
     that have, or are

[[Page 1893]]

     working toward, projects under the McGovern-Dole 
     International Food for Education and Child Nutrition Program 
     established under section 3107 of the Farm Security and Rural 
     Investment Act of 2002 (7 U.S.C. 1736o-1).
       ``(3) Reporting.--Each year, the Secretary shall submit to 
     the appropriate committees of Congress a report that 
     describes the use of funds under this section, including--
       ``(A) the impact of procurements and projects on--
       ``(i) local and regional agricultural producers; and
       ``(ii) markets and consumers, including low-income 
     consumers; and
       ``(B) implementation time frames and costs.''.

     SEC. 3208. UNDER SECRETARY OF AGRICULTURE FOR TRADE AND 
                   FOREIGN AGRICULTURAL AFFAIRS.

       (a) Definition of Agriculture Committees and 
     Subcommittees.--In this section, the term ``agriculture 
     committees and subcommittees'' means--
       (1) the Committee on Agriculture of the House of 
     Representatives;
       (2) the Committee on Agriculture, Nutrition, and Forestry 
     of the Senate; and
       (3) the subcommittees on agriculture, rural development, 
     food and drug administration, and related agencies of the 
     Committees on Appropriations of the House of Representatives 
     and the Senate.
       (b) Proposal.--
       (1) In general.--The Secretary, in consultation with the 
     agriculture committees and subcommittees, shall propose a 
     reorganization of international trade functions for imports 
     and exports of the Department of Agriculture.
       (2) Considerations.--In producing the proposal under this 
     section, the Secretary shall--
       (A) in recognition of the importance of agricultural 
     exports to the farm economy and the economy as a whole, 
     include a plan for the establishment of an Under Secretary of 
     Agriculture for Trade and Foreign Agricultural Affairs;
       (B) take into consideration how the Under Secretary 
     described in subparagraph (A) would serve as a multiagency 
     coordinator of sanitary and phytosanitary issues and 
     nontariff trade barriers in agriculture with respect to 
     imports and exports of agricultural products; and
       (C) take into consideration all implications of a 
     reorganization described in paragraph (1) on domestic 
     programs and operations of the Department of Agriculture.
       (3) Report.--Not later than 180 days after the date of 
     enactment of this Act and before the reorganization described 
     in paragraph (1) can take effect, the Secretary shall submit 
     to the agriculture committees and subcommittees a report 
     that--
       (A) includes the results of the proposal under this 
     section; and
       (B) provides a notice of the reorganization plan.
       (4) Implementation.--Not later than 1 year after the date 
     of the submission of the report under paragraph (3), the 
     Secretary shall implement a reorganization of international 
     trade functions for imports and exports of the Department of 
     Agriculture, including the establishment of an Under 
     Secretary of Agriculture for Trade and Foreign Agricultural 
     Affairs.
       (c) Confirmation Required.--The position of Under Secretary 
     of Agriculture for Trade and Foreign Agricultural Affairs 
     established under subsection (b)(2)(A) shall be appointed by 
     the President, by and with the advice and consent of the 
     Senate.

                          TITLE IV--NUTRITION

         Subtitle A--Supplemental Nutrition Assistance Program

     SEC. 4001. PREVENTING PAYMENT OF CASH TO RECIPIENTS OF 
                   SUPPLEMENTAL NUTRITION ASSISTANCE BENEFITS FOR 
                   THE RETURN OF EMPTY BOTTLES AND CANS USED TO 
                   CONTAIN FOOD PURCHASED WITH BENEFITS PROVIDED 
                   UNDER THE PROGRAM.

       Section 3(k)(1) of the Food and Nutrition Act of 2008 (7 
     U.S.C. 2012(k)(1)) is amended--
       (1) by striking ``and hot foods'' and inserting ``hot 
     foods''; and
       (2) by adding at the end the following: ``and any deposit 
     fee in excess of the amount of the State fee reimbursement 
     (if any) required to purchase any food or food product 
     contained in a returnable bottle or can, regardless of 
     whether the fee is included in the shelf price posted for the 
     food or food product,''.

     SEC. 4002. RETAIL FOOD STORES.

       (a) Definition of Retail Food Store.--Section 3(p)(1)(A) of 
     the Food and Nutrition Act of 2008 (7 U.S.C. 2012(p)(1)(A)) 
     is amended--
       (1) by inserting ``at least 7'' after ``a variety of''; and
       (2) by striking ``at least 2'' and inserting ``at least 
     3''.
       (b) Alternative Benefit Delivery.--Section 7(f) of the Food 
     and Nutrition Act of 2008 (7 U.S.C. 2016(f)) is amended--
       (1) by striking paragraph (2) and inserting the following:
       ``(2) Imposition of costs.--
       ``(A) In general.--Except as provided in subparagraph (B), 
     the Secretary shall require participating retail food stores 
     (including restaurants participating in a State option 
     restaurant program intended to serve the elderly, disabled, 
     and homeless) to pay 100 percent of the costs of acquiring, 
     and arrange for the implementation of, electronic benefit 
     transfer point-of-sale equipment and supplies, including 
     related services.
       ``(B) Exemptions.--The Secretary may exempt from 
     subparagraph (A)--
       ``(i) farmers' markets and other direct-to-consumer 
     markets, military commissaries, nonprofit food buying 
     cooperatives, and establishments, organizations, programs, or 
     group living arrangements described in paragraphs (5), (7), 
     and (8) of section 3(k); and
       ``(ii) establishments described in paragraphs (3), (4), and 
     (9) of section 3(k), other than restaurants participating in 
     a State option restaurant program.
       ``(C) Interchange fees.--Nothing in this paragraph permits 
     the charging of fees relating to the redemption of 
     supplemental nutrition assistance program benefits, in 
     accordance with subsection (h)(13).''; and
       (2) by adding at the end the following:
       ``(4) Termination of manual vouchers.--
       ``(A) In general.--Effective beginning on the date of 
     enactment of this paragraph, except as provided in 
     subparagraph (B), no State shall issue manual vouchers to a 
     household that receives supplemental nutrition assistance 
     under this Act or allow retail food stores to accept manual 
     vouchers as payment, unless the Secretary determines that the 
     manual vouchers are necessary, such as in the event of an 
     electronic benefit transfer system failure or a disaster 
     situation.
       ``(B) Exemptions.--The Secretary may exempt categories of 
     retail food stores or individual retail food stores from 
     subparagraph (A) based on criteria established by the 
     Secretary.
       ``(5) Unique identification number required.--
       ``(A) In general.--To enhance the anti-fraud protections of 
     the program, the Secretary shall require all parties 
     providing electronic benefit transfer services to provide for 
     and maintain unique terminal identification number 
     information through the supplemental nutrition assistance 
     program electronic benefit transfer transaction routing 
     system.
       ``(B) Regulations.--
       ``(i) In general.--Not earlier than 2 years after the date 
     of enactment of this paragraph, the Secretary shall issue 
     proposed regulations to carry out this paragraph.
       ``(ii) Commercial practices.--In issuing regulations to 
     carry out this paragraph, the Secretary shall consider 
     existing commercial practices for other point-of-sale debit 
     transactions.''.
       (c) Electronic Benefit Transfer Auditability.--Section 
     7(h)(2)(C) of the Food and Nutrition Act of 2008 (7 U.S.C. 
     2016(h)(2)(C)) is amended by striking clause (ii) and 
     inserting the following:
       ``(ii) unless determined by the Secretary to be located in 
     an area with significantly limited access to food, measures 
     that require an electronic benefit transfer system--

       ``(I) to set and enforce sales restrictions based on 
     benefit transfer payment eligibility by using scanning or 
     product lookup entry; and
       ``(II) to deny benefit tenders for manually entered sales 
     of ineligible items.''.

       (d) Electronic Benefit Transfers.--Section 7(h)(3)(B) of 
     the Food and Nutrition Act of 2008 (7 U.S.C. 2016(h)(3)(B)) 
     is amended by striking ``is operational--'' and all that 
     follows through ``(ii) in the case of other participating 
     stores,'' and inserting ``is operational''.
       (e) Approval of Retail Food Stores and Wholesale Food 
     Concerns.--Section 9 of the Food and Nutrition Act of 2008 (7 
     U.S.C. 2018) is amended--
       (1) in subsection (a)(1), in the second sentence, by 
     striking ``; and (C)'' and inserting ``; (C) whether the 
     applicant is located in an area with significantly limited 
     access to food; and (D)'';
       (2) in subsection (c), in the first sentence, by inserting 
     ``purchase invoices, or program-related records,'' after 
     ``relevant income and sales tax filing documents,''; and
       (3) by adding at the end the following:
       ``(g) EBT Service Requirement.--An approved retail food 
     store shall provide adequate EBT service as described in 
     section 7(h)(3)(B).''.

     SEC. 4003. ENHANCING SERVICES TO ELDERLY AND DISABLED 
                   SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM 
                   PARTICIPANTS.

       (a) Enhancing Services to Elderly and Disabled Program 
     Participants.--Section 3(p) of the Food and Nutrition Act of 
     2008 (7 U.S.C. 2012(p)) is amended--
       (1) in paragraph (3), by striking ``and'' at the end;
       (2) in paragraph (4), by striking the period at the end and 
     inserting ``; and''; and
       (3) by inserting after paragraph (4) the following:
       ``(5) a governmental or private nonprofit food purchasing 
     and delivery service that--
       ``(A) purchases food for, and delivers the food to, 
     individuals who are--
       ``(i) unable to shop for food; and
       ``(ii)(I) not less than 60 years of age; or
       ``(II) physically or mentally handicapped or otherwise 
     disabled;

[[Page 1894]]

       ``(B) clearly notifies the participating household at the 
     time the household places a food order--
       ``(i) of any delivery fee associated with the food purchase 
     and delivery provided to the household by the service; and
       ``(ii) that a delivery fee cannot be paid with benefits 
     provided under supplemental nutrition assistance program; and
       ``(C) sells food purchased for the household at the price 
     paid by the service for the food and without any additional 
     cost markup.''.
       (b) Implementation.--
       (1) Issuance of rules.--The Secretary shall issue 
     regulations that--
       (A) establish criteria to identify a food purchasing and 
     delivery service referred to in section 3(p)(5) of the Food 
     and Nutrition Act of 2008 (7 U.S.C. 2012(p)(5)); and
       (B) establish procedures to ensure that the service--
       (i) does not charge more for a food item than the price 
     paid by the service for the food item;
       (ii) offers food delivery service at no or low cost to 
     households under that Act;
       (iii) ensures that benefits provided under the supplemental 
     nutrition assistance program are used only to purchase food 
     (as defined in section 3 of that Act (7 U.S.C. 2012));
       (iv) limits the purchase of food, and the delivery of the 
     food, to households eligible to receive services described in 
     section 3(p)(5) of that Act (7 U.S.C. 2012(p)(5));
       (v) has established adequate safeguards against fraudulent 
     activities, including unauthorized use of electronic benefit 
     cards issued under that Act; and
       (vi) meets such other requirements as the Secretary 
     determines to be appropriate.
       (2) Limitation.--Before the issuance of rules under 
     paragraph (1), the Secretary may not approve more than 20 
     food purchasing and delivery services referred to in section 
     3(p)(5) of the Food and Nutrition Act of 2008 (7 U.S.C. 
     2012(p)(5)) to participate as retail food stores under the 
     supplemental nutrition assistance program.

     SEC. 4004. FOOD DISTRIBUTION PROGRAM ON INDIAN RESERVATIONS.

       (a) In General.--Section 4(b)(6)(F) of the Food and 
     Nutrition Act of 2008 (7 U.S.C. 2013(b)(6)(F)) is amended by 
     striking ``2012'' and inserting ``2018''.
       (b) Feasibility Study, Report, and Demonstration Project 
     for Indian Tribes.--
       (1) Definitions.--In this subsection:
       (A) Indian; indian tribe.--The terms ``Indian'' and 
     ``Indian tribe'' have the meaning given the terms in section 
     4 of the Indian Self-Determination and Education Assistance 
     Act (25 U.S.C. 450b).
       (B) Tribal organization.--The term ``tribal organization'' 
     has the meaning given the term in section 4 of the Indian 
     Self-Determination and Education Assistance Act (25 U.S.C. 
     450b).
       (2) Study.--The Secretary shall conduct a study to 
     determine the feasibility of tribal administration of Federal 
     food assistance programs, services, functions, and activities 
     (or portions thereof), in lieu of State agencies or other 
     administrating entities.
       (3) Report.--Not later than 18 months after the date of 
     enactment of this Act, the Secretary 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 that--
       (A) contains a list of programs, services, functions, and 
     activities with respect to which it would be feasible to be 
     administered by a tribal organization;
       (B) a description of whether that administration would 
     necessitate a statutory or regulatory change; and
       (C) such other issues that may be determined by the 
     Secretary and developed through consultation pursuant to 
     paragraph (4).
       (4) Consultation with indian tribes.--In developing the 
     report required by paragraph (3), the Secretary shall consult 
     with tribal organizations.
       (5) Funding.--Out of any funds made available under section 
     18 for fiscal year 2014, the Secretary shall make available 
     to carry out the study and report described in paragraphs (2) 
     and (3) $1,000,000, to remain available until expended.
       (6) Traditional and local foods demonstration project.--
       (A) In general.--Subject to the availability of 
     appropriations, the Secretary shall pilot a demonstration 
     project by awarding a grant to 1 or more tribal organizations 
     authorized to administer the food distribution program on 
     Indian reservations under section 4(b) of the Food and 
     Nutrition Act of 2008 (7 U.S.C. 2013(b)) for the purpose of 
     purchasing nutritious and traditional foods, and when 
     practicable, foods produced locally by Indian producers, for 
     distribution to recipients of foods distributed under that 
     program.
       (B) Administration.--The Secretary may award a grant on a 
     noncompetitive basis to 1 or more tribal organizations that 
     have the administrative and financial capability to conduct a 
     demonstration project, as determined by the Secretary.
       (C) Consultation, technical assistance, and training.--
     During the implementation phase of the demonstration project, 
     the Secretary shall consult with Indian tribes and provide 
     outreach to Indian farmers, ranchers, and producers regarding 
     the training and capacity to participate in the demonstration 
     project.
       (D) Funding.--
       (i) Authorization of appropriations.--There is authorized 
     to be appropriated to carry out this section $2,000,000 for 
     each of fiscal years 2014 through 2018.
       (ii) Relationship to other authorities.--The funds and 
     authorities provided under this subparagraph are in addition 
     to any other funds or authorities the Secretary may have to 
     carry out activities described in this paragraph.

     SEC. 4005. EXCLUSION OF MEDICAL MARIJUANA FROM EXCESS MEDICAL 
                   EXPENSE DEDUCTION.

       Section 5(e)(5) of the Food and Nutrition Act of 2008 (7 
     U.S.C. 2014(e)(5)) is amended by adding at the end the 
     following:
       ``(C) Exclusion of medical marijuana.--The Secretary shall 
     promulgate rules to ensure that medical marijuana is not 
     treated as a medical expense for purposes of this 
     paragraph.''.

     SEC. 4006. STANDARD UTILITY ALLOWANCES BASED ON THE RECEIPT 
                   OF ENERGY ASSISTANCE PAYMENTS.

       (a) Standard Utility Allowances in the Supplemental 
     Nutrition Assistance Program.--Section 5(e)(6)(C) of the Food 
     and Nutrition Act of 2008 (7 U.S.C. 2014(e)(6)(C)) is 
     amended--
       (1) in clause (i), by inserting ``, subject to clause 
     (iv)'' after ``Secretary''; and
       (2) in clause (iv), by striking subclause (I) and inserting 
     the following:

       ``(I) In general.--Subject to subclause (II), if a State 
     agency elects to use a standard utility allowance that 
     reflects heating and cooling costs, the standard utility 
     allowance shall be made available to households that received 
     a payment, or on behalf of which a payment was made, under 
     the Low-Income Home Energy Assistance Act of 1981 (42 U.S.C. 
     8621 et seq.) or other similar energy assistance program, if 
     in the current month or in the immediately preceding 12 
     months, the household either received such a payment, or such 
     a payment was made on behalf of the household, that was 
     greater than $20 annually, as determined by the Secretary.''.

       (b) Conforming Amendment.--Section 2605(f)(2)(A) of the 
     Low-Income Home Energy Assistance Act of 1981 (42 U.S.C. 
     8624(f)(2)(A)) is amended by inserting before the semicolon 
     the following: ``, except that, for purposes of the 
     supplemental nutrition assistance program established under 
     the Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.), 
     such payments or allowances were greater than $20 annually, 
     consistent with section 5(e)(6)(C)(iv)(I) of that Act (7 
     U.S.C. 2014(e)(6)(C)(iv)(I)), as determined by the Secretary 
     of Agriculture''.
       (c) Application and Implementation.--
       (1) In general.--Except as provided in paragraph (2), this 
     section and the amendments made by this section shall--
       (A) take effect 30 days after the date of enactment of this 
     Act; and
       (B) apply with respect to certification periods that begin 
     after that date.
       (2) State option to delay implementation for current 
     recipients.--A State may, at the option of the State, 
     implement a policy that eliminates or reduces the effect of 
     the amendments made by this section on households that 
     received a standard utility allowance as of the date of 
     enactment of this Act, for not more than a 5-month period 
     beginning on the date on which the amendments would otherwise 
     apply to the respective household.

     SEC. 4007. ELIGIBILITY DISQUALIFICATIONS.

       Section 6(e)(3)(B) of the Food and Nutrition Act of 2008 (7 
     U.S.C. 2015(e)(3)(B)) is amended by striking ``section;'' and 
     inserting the following:
       ``section, subject to the condition that the course or 
     program of study--
       ``(i) is part of a program of career and technical 
     education (as defined in section 3 of the Carl D. Perkins 
     Career and Technical Education Act of 2006 (20 U.S.C. 2302)) 
     that may be completed in not more than 4 years at an 
     institution of higher education (as defined in section 102 of 
     the Higher Education Act of 1965 (20 U.S.C. 1002)); or
       ``(ii) is limited to remedial courses, basic adult 
     education, literacy, or English as a second language;''.

     SEC. 4008. ELIGIBILITY DISQUALIFICATIONS FOR CERTAIN 
                   CONVICTED FELONS.

       (a) In General.--Section 6 of the Food and Nutrition Act of 
     2008 (7 U.S.C. 2015) is amended by adding at the end the 
     following:
       ``(r) Disqualification for Certain Convicted Felons.--
       ``(1) In general.--An individual shall not be eligible for 
     benefits under this Act if--
       ``(A) the individual is convicted of--
       ``(i) aggravated sexual abuse under section 2241 of title 
     18, United States Code;
       ``(ii) murder under section 1111 of title 18, United States 
     Code;
       ``(iii) an offense under chapter 110 of title 18, United 
     States Code;
       ``(iv) a Federal or State offense involving sexual assault, 
     as defined in 40002(a) of the Violence Against Women Act of 
     1994 (42 U.S.C. 13925(a)); or
       ``(v) an offense under State law determined by the Attorney 
     General to be substantially similar to an offense described 
     in clause (i), (ii), or (iii); and

[[Page 1895]]

       ``(B) the individual is not in compliance with the terms of 
     the sentence of the individual or the restrictions under 
     subsection (k).
       ``(2) Effects on assistance and benefits for others.--The 
     amount of benefits otherwise required to be provided to an 
     eligible household under this Act shall be determined by 
     considering the individual to whom paragraph (1) applies not 
     to be a member of the household, except that the income and 
     resources of the individual shall be considered to be income 
     and resources of the household.
       ``(3) Enforcement.--Each State shall require each 
     individual applying for benefits under this Act to attest to 
     whether the individual, or any member of the household of the 
     individual, has been convicted of a crime described in 
     paragraph (1).''.
       (b) Conforming Amendment.--Section 5(a) of the Food and 
     Nutrition Act of 2008 (7 U.S.C. 2014(a)) is amended in the 
     second sentence by striking ``sections 6(b), 6(d)(2), and 
     6(g)'' and inserting ``subsections (b), (d)(2), (g), and (r) 
     of section 6''.
       (c) Inapplicability to Convictions Occurring on or Before 
     Enactment.--The amendments made by this section shall not 
     apply to a conviction if the conviction is for conduct 
     occurring on or before the date of enactment of this Act.

     SEC. 4009. ENDING SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM 
                   BENEFITS FOR LOTTERY OR GAMBLING WINNERS.

       (a) In General.--Section 6 of the Food and Nutrition Act of 
     2008 (7 U.S.C. 2015) (as amended by section 4008) is amended 
     by adding at the end the following:
       ``(s) Ineligibility for Benefits Due to Receipt of 
     Substantial Lottery or Gambling Winnings.--
       ``(1) In general.--Any household in which a member receives 
     substantial lottery or gambling winnings, as determined by 
     the Secretary, shall lose eligibility for benefits 
     immediately upon receipt of the winnings.
       ``(2) Duration of ineligibility.--A household described in 
     paragraph (1) shall remain ineligible for participation until 
     the household meets the allowable financial resources and 
     income eligibility requirements under subsections (c), (d), 
     (e), (f), (g), (i), (k), (l), (m), and (n) of section 5.
       ``(3) Agreements.--As determined by the Secretary, each 
     State agency, to the maximum extent practicable, shall 
     establish agreements with entities responsible for the 
     regulation or sponsorship of gaming in the State to determine 
     whether individuals participating in the supplemental 
     nutrition assistance program have received substantial 
     lottery or gambling winnings.''.

     SEC. 4010. IMPROVING SECURITY OF FOOD ASSISTANCE.

       Section 7(h)(8) of the Food and Nutrition Act of 2008 (7 
     U.S.C. 2016(h)(8)) is amended--
       (1) in the paragraph heading, by striking ``card fee'' and 
     inserting ``of cards'';
       (2) by striking ``A State'' and inserting the following:
       ``(A) Fees.--A State''; and
       (3) by adding after subparagraph (A) (as so designated) the 
     following:
       ``(B) Purposeful loss of cards.--
       ``(i) In general.--Subject to terms and conditions 
     established by the Secretary in accordance with clause (ii), 
     if a household makes excessive requests for replacement of 
     the electronic benefit transfer card of the household, the 
     Secretary may require a State agency to decline to issue a 
     replacement card to the household unless the household, upon 
     request of the State agency, provides an explanation for the 
     loss of the card.
       ``(ii) Requirements.--The terms and conditions established 
     by the Secretary shall provide that--

       ``(I) the household be given the opportunity to provide the 
     requested explanation and meet the requirements under this 
     paragraph promptly;
       ``(II) after an excessive number of lost cards, the head of 
     the household shall be required to review program rights and 
     responsibilities with State agency personnel authorized to 
     make determinations under section 5(a); and
       ``(III) any action taken, including actions required under 
     section 6(b)(2), other than the withholding of the electronic 
     benefit transfer card until an explanation described in 
     subclause (I) is provided, shall be consistent with the due 
     process protections under section 6(b) or 11(e)(10), as 
     appropriate.

       ``(C) Protecting vulnerable persons.--In implementing this 
     paragraph, a State agency shall act to protect homeless 
     persons, persons with disabilities, victims of crimes, and 
     other vulnerable persons who lose electronic benefit transfer 
     cards but are not intentionally committing fraud.
       ``(D) Effect on eligibility.--While a State may decline to 
     issue an electronic benefits transfer card until a household 
     satisfies the requirements under this paragraph, nothing in 
     this paragraph shall be considered a denial of, or limitation 
     on, the eligibility for benefits under section 5.''.

     SEC. 4011. TECHNOLOGY MODERNIZATION FOR RETAIL FOOD STORES.

       (a) Mobile Technologies.--Section 7(h) of the Food and 
     Nutrition Act of 2008 (7 U.S.C. 2016(h)) (as amended by 
     section 4030(e)) is amended by adding at the end the 
     following:
       ``(14) Mobile technologies.--
       ``(A) In general.--Subject to subparagraph (B), the 
     Secretary shall approve retail food stores to redeem benefits 
     through electronic means other than wired point of sale 
     devices for electronic benefit transfer transactions, if the 
     retail food stores--
       ``(i) establish recipient protections regarding privacy, 
     ease of use, access, and support similar to the protections 
     provided for transactions made in retail food stores;
       ``(ii) bear the costs of obtaining, installing, and 
     maintaining mobile technologies, including mechanisms needed 
     to process EBT cards and transaction fees;
       ``(iii) demonstrate the foods purchased with benefits 
     issued under this section through mobile technologies are 
     purchased at a price not higher than the price of the same 
     food purchased by other methods used by the retail food 
     store, as determined by the Secretary;
       ``(iv) provide adequate documentation for each authorized 
     transaction, as determined by the Secretary; and
       ``(v) meet other criteria as established by the Secretary.
       ``(B) Demonstration project on acceptance of benefits of 
     mobile transactions.--
       ``(i) In general.--Before authorizing implementation of 
     subparagraph (A) in all States, the Secretary shall pilot the 
     use of mobile technologies determined by the Secretary to be 
     appropriate to test the feasibility and implications for 
     program integrity, by allowing retail food stores to accept 
     benefits from recipients of supplemental nutrition assistance 
     through mobile transactions.
       ``(ii) Demonstration projects.--To be eligible to 
     participate in a demonstration project under clause (i), a 
     retail food store shall submit to the Secretary for approval 
     a plan that includes--

       ``(I) a description of the technology;
       ``(II) the manner by which the retail food store will 
     provide proof of the transaction to households;
       ``(III) the provision of data to the Secretary, consistent 
     with requirements established by the Secretary, in a manner 
     that allows the Secretary to evaluate the impact of the 
     demonstration on participant access, ease of use, and program 
     integrity; and
       ``(IV) such other criteria as the Secretary may require.

       ``(iii) Date of completion.--The demonstration projects 
     under this subparagraph shall be completed and final reports 
     submitted to the Secretary by not later than July 1, 2016.
       ``(C) Report to congress.--The Secretary shall--
       ``(i) by not later than January 1, 2017, authorize 
     implementation of subparagraph (A) in all States, unless the 
     Secretary makes a finding, based on the data provided under 
     subparagraph (B), that implementation in all States is not in 
     the best interest of the supplemental nutrition assistance 
     program; and
       ``(ii) if the determination made in clause (i) is not to 
     implement subparagraph (A) in all States, submit a report to 
     the Committee on Agriculture of the House of Representatives 
     and the Committee on Agriculture, Nutrition, and Forestry of 
     the Senate that includes the basis of the finding.''.
       (b) Acceptance of Benefits Through On-line Transactions.--
       (1) In general.--Section 7 of the Food and Nutrition Act of 
     2008 (7 U.S.C. 2016) is amended by adding at the end the 
     following:
       ``(k) Option To Accept Program Benefits Through On-line 
     Transactions.--
       ``(1) In general.--Subject to paragraph (4), the Secretary 
     shall approve retail food stores to accept benefits from 
     recipients of supplemental nutrition assistance through on-
     line transactions.
       ``(2) Requirements to accept benefits.--A retail food store 
     seeking to accept benefits from recipients of supplemental 
     nutrition assistance through on-line transactions shall--
       ``(A) establish recipient protections regarding privacy, 
     ease of use, access, and support similar to the protections 
     provided for transactions made in retail food stores;
       ``(B) ensure benefits are not used to pay delivery, 
     ordering, convenience, or other fees or charges;
       ``(C) clearly notify participating households at the time a 
     food order is placed--
       ``(i) of any delivery, ordering, convenience, or other fee 
     or charge associated with the food purchase; and
       ``(ii) that any such fee cannot be paid with benefits 
     provided under this Act;
       ``(D) ensure the security of on-line transactions by using 
     the most effective technology available that the Secretary 
     considers appropriate and cost-effective and that is 
     comparable to the security of transactions at retail food 
     stores; and
       ``(E) meet other criteria as established by the Secretary.
       ``(3) State agency action.--Each State agency shall ensure 
     that recipients of supplemental nutrition assistance can use 
     benefits on-line as described in this subsection as 
     appropriate.
       ``(4) Demonstration project on acceptance of benefits 
     through on-line transactions.--
       ``(A) In general.--Before the Secretary authorizes 
     implementation of paragraph (1) in all States, the Secretary 
     shall carry out a

[[Page 1896]]

     number of demonstration projects as determined by the 
     Secretary to test the feasibility of allowing retail food 
     stores to accept benefits through on-line transactions.
       ``(B) Demonstration projects.--To be eligible to 
     participate in a demonstration project under subparagraph 
     (A), a retail food store shall submit to the Secretary for 
     approval a plan that includes--
       ``(i) a method of ensuring that benefits may be used to 
     purchase only eligible items under this Act;
       ``(ii) a description of the method of educating participant 
     households about the availability and operation of on-line 
     purchasing;
       ``(iii) adequate testing of the on-line purchasing option 
     prior to implementation;
       ``(iv) the provision of data as requested by the Secretary 
     for purposes of analyzing the impact of the project on 
     participant access, ease of use, and program integrity;
       ``(v) reports on progress, challenges, and results, as 
     determined by the Secretary; and
       ``(vi) such other criteria, including security criteria, as 
     established by the Secretary.
       ``(C) Date of completion.--The demonstration projects under 
     this paragraph shall be completed and final reports submitted 
     to the Secretary by not later than July 1, 2016.
       ``(5) Report to congress.--The Secretary shall--
       ``(A) by not later than January 1, 2017, authorize 
     implementation of paragraph (1) in all States, unless the 
     Secretary makes a finding, based on the data provided under 
     paragraph (4), that implementation in all States is not in 
     the best interest of the supplemental nutrition assistance 
     program; and
       ``(B) if the determination made in subparagraph (A) is not 
     to implement in all States, submit a report to the Committee 
     on Agriculture of the House of Representatives and the 
     Committee on Agriculture, Nutrition, and Forestry of the 
     Senate that includes the basis of the finding.''.
       (2) Conforming amendments.--
       (A) Section 7(b) of the Food and Nutrition Act of 2008 (7 
     U.S.C. 2016(b)) is amended by striking ``purchase food in 
     retail food stores'' and inserting ``purchase food from 
     retail food stores''.
       (B) Section 10 of the Food and Nutrition Act of 2008 (7 
     U.S.C. 2019) is amended in the first sentence by inserting 
     ``retail food stores authorized to accept and redeem benefits 
     through on-line transactions shall be authorized to accept 
     benefits prior to the delivery of food if the delivery occurs 
     within a reasonable time of the purchase, as determined by 
     the Secretary,'' after ``food so purchased,''.
       (c) Savings Clause.--Nothing in this section or an 
     amendment made by this section alters any requirements of the 
     Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.) unless 
     specifically authorized in this section or an amendment made 
     by this section.

     SEC. 4012. USE OF BENEFITS FOR PURCHASE OF COMMUNITY-
                   SUPPORTED AGRICULTURE SHARE.

       Subsection (o)(4) of section 3 of the Food and Nutrition 
     Act of 2008 (7 U.S.C. 2012) (as redesignated by section 
     4030(a)(4)) is amended by inserting ``, or agricultural 
     producers who market agricultural products directly to 
     consumers'' after ``such food''.

     SEC. 4013. IMPROVED WAGE VERIFICATION USING THE NATIONAL 
                   DIRECTORY OF NEW HIRES.

       Section 11(e) of the Food and Nutrition Act of 2008 (7 
     U.S.C. 2020(e)) is amended--
       (1) in paragraph (3), by inserting ``and after compliance 
     with the requirement specified in paragraph (24)'' after 
     ``section 16(e) of this Act'';
       (2) in paragraph (22), by striking ``and'' at the end;
       (3) in paragraph (23)(C), by striking the period at the end 
     and inserting ``; and''; and
       (4) by adding at the end the following:
       ``(24) that the State agency shall request wage data 
     directly from the National Directory of New Hires established 
     under section 453(i) of the Social Security Act (42 U.S.C. 
     653(i)) relevant to determining eligibility to receive 
     supplemental nutrition assistance program benefits and 
     determining the correct amount of those benefits at the time 
     of certification.''.

     SEC. 4014. RESTAURANT MEALS PROGRAM.

       (a) In General.--Section 11(e) of the Food and Nutrition 
     Act of 2008 (7 U.S.C. 2020(e)) (as amended by section 4013) 
     is amended--
       (1) in paragraph (23)(C), by striking ``and'' at the end;
       (2) in paragraph (24), by striking the period at the end 
     and inserting ``; and''; and
       (3) by adding at the end the following:
       ``(25) if the State elects to carry out a program to 
     contract with private establishments to offer meals at 
     concessional prices, as described in paragraphs (3), (4), and 
     (9) of section 3(k)--
       ``(A) the plans of the State agency for operating the 
     program, including--
       ``(i) documentation of a need that eligible homeless, 
     elderly, and disabled clients are underserved in a particular 
     geographic area;
       ``(ii) the manner by which the State agency will limit 
     participation to only those private establishments that the 
     State determines necessary to meet the need identified in 
     clause (i); and
       ``(iii) any other conditions the Secretary may prescribe, 
     such as the level of security necessary to ensure that only 
     eligible recipients participate in the program; and
       ``(B) a report by the State agency to the Secretary 
     annually, the schedule of which shall be established by the 
     Secretary, that includes--
       ``(i) the number of households and individual recipients 
     authorized to participate in the program, including any 
     information on whether the individual recipient is elderly, 
     disabled, or homeless; and
       ``(ii) an assessment of whether the program is meeting an 
     established need, as documented under subparagraph (A)(i).''.
       (b) Approval of Retail Food Stores and Wholesale Food 
     Concerns.--Section 9 of the Food and Nutrition Act of 2008 (7 
     U.S.C. 2018) (as amended by section 4002(d)(2)) is amended by 
     adding at the end the following:
       ``(h) Private Establishments.--
       ``(1) In general.--Subject to paragraph (2), no private 
     establishment that contracts with a State agency to offer 
     meals at concessional prices as described in paragraphs (3), 
     (4), and (9) of section 3(k) may be authorized to accept and 
     redeem benefits unless the Secretary determines that the 
     participation of the private establishment is required to 
     meet a documented need in accordance with section 11(e)(25).
       ``(2) Existing contracts.--
       ``(A) In general.--If, on the day before the date of 
     enactment of this subsection, a State has entered into a 
     contract with a private establishment described in paragraph 
     (1) and the Secretary has not determined that the 
     participation of the private establishment is necessary to 
     meet a documented need in accordance with section 11(e)(25), 
     the Secretary shall allow the operation of the private 
     establishment to continue without that determination of need 
     for a period not to exceed 180 days from the date on which 
     the Secretary establishes determination criteria, by 
     regulation, under section 11(e)(25).
       ``(B) Justification.--If the Secretary determines to 
     terminate a contract with a private establishment that is in 
     effect on the date of enactment of this subsection, the 
     Secretary shall provide justification to the State in which 
     the private establishment is located for that termination.
       ``(3) Report to congress.--Not later than 90 days after 
     September 30, 2014, and 90 days after the last day of each 
     fiscal year thereafter, the Secretary 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 effectiveness of a program under this 
     subsection using any information received from States under 
     section 11(e)(25) as well as any other information the 
     Secretary may have relating to the manner in which benefits 
     are used.''.
       (c) Conforming Amendments.--Section 3(k) of the Food and 
     Nutrition Act of 2008 (7 U.S.C. 2012(k)) is amended by 
     inserting ``subject to section 9(h)'' after ``concessional 
     prices'' each place it appears.

     SEC. 4015. MANDATING STATE IMMIGRATION VERIFICATION.

       Section 11 of the Food and Nutrition Act of 2008 (7 U.S.C. 
     2020) is amended by striking subsection (p) and inserting the 
     following:
       ``(p) State Verification Option.--In carrying out the 
     supplemental nutrition assistance program, a State agency 
     shall be required to use an immigration status verification 
     system established under section 1137 of the Social Security 
     Act (42 U.S.C. 1320b-7), and an income and eligibility 
     verification system, in accordance with standards set by the 
     Secretary.''.

     SEC. 4016. DATA EXCHANGE STANDARDIZATION FOR IMPROVED 
                   INTEROPERABILITY.

       (a) Data Exchange Standardization.--Section 11 of the Food 
     and Nutrition Act of 2008 (7 U.S.C. 2020) is amended by 
     adding at the end the following:
       ``(v) Data Exchange Standards for Improved 
     Interoperability.--
       ``(1) Designation.--The Secretary shall, in consultation 
     with an interagency work group established by the Office of 
     Management and Budget, and considering State government 
     perspectives, designate data exchange standards to govern, 
     under this Act--
       ``(A) necessary categories of information that State 
     agencies operating related programs are required under 
     applicable law to electronically exchange with another State 
     agency; and
       ``(B) Federal reporting and data exchange required under 
     applicable law.
       ``(2) Requirements.--The data exchange standards required 
     by paragraph (1) shall, to the maximum extent practicable--
       ``(A) incorporate a widely accepted, nonproprietary, 
     searchable, computer-readable format, such as the eXtensible 
     Markup Language;
       ``(B) contain interoperable standards developed and 
     maintained by intergovernmental partnerships, such as the 
     National Information Exchange Model;
       ``(C) incorporate interoperable standards developed and 
     maintained by Federal entities with authority over 
     contracting and financial assistance;
       ``(D) be consistent with and implement applicable 
     accounting principles;
       ``(E) be implemented in a manner that is cost-effective and 
     improves program efficiency and effectiveness; and
       ``(F) be capable of being continually upgraded as 
     necessary.

[[Page 1897]]

       ``(3) Rules of construction.--Nothing in this subsection 
     requires a change to existing data exchange standards for 
     Federal reporting found to be effective and efficient.''.
       (b) Application Date.--
       (1) In general.--Not later than 2 years after the date of 
     enactment of this Act, the Secretary shall issue a proposed 
     rule to carry out the amendments made by this section.
       (2) Requirements.--The rule shall--
       (A) identify federally required data exchanges;
       (B) include specification and timing of exchanges to be 
     standardized;
       (C) address the factors used in determining whether and 
     when to standardize data exchanges;
       (D) specify State implementation options; and
       (E) describe future milestones.

     SEC. 4017. PILOT PROJECTS TO IMPROVE FEDERAL-STATE 
                   COOPERATION IN IDENTIFYING AND REDUCING FRAUD 
                   IN THE SUPPLEMENTAL NUTRITION ASSISTANCE 
                   PROGRAM.

       Section 12 of the Food and Nutrition Act of 2008 (7 U.S.C. 
     2021) is amended by adding at the end the following:
       ``(i) Pilot Projects to Improve Federal-State Cooperation 
     in Identifying and Reducing Fraud in the Supplemental 
     Nutrition Assistance Program.--
       ``(1) Pilot projects required.--
       ``(A) In general.--The Secretary shall carry out, under 
     such terms and conditions as are determined by the Secretary, 
     pilot projects to test innovative Federal-State partnerships 
     to identify, investigate, and reduce fraud by retail food 
     stores and wholesale food concerns in the supplemental 
     nutrition assistance program, including allowing States to 
     operate programs to investigate that fraud.
       ``(B) Requirement.--At least 1 pilot project described in 
     subparagraph (A) shall be carried out in an urban area that 
     is among the 10 largest urban areas in the United States 
     (based on population), if--
       ``(i) the supplemental nutrition assistance program is 
     separately administered in the area; and
       ``(ii) if the administration of the supplemental nutrition 
     assistance program in the area complies with the other 
     applicable requirements of the program.
       ``(2) Selection criteria.--Pilot projects shall be selected 
     based on criteria the Secretary establishes, which shall 
     include--
       ``(A) enhancing existing efforts by the Secretary to reduce 
     fraud described in paragraph (1)(A);
       ``(B) requiring participant States to maintain the overall 
     level of effort of the States at addressing recipient fraud, 
     as determined by the Secretary, prior to participation in the 
     pilot project;
       ``(C) collaborating with other law enforcement authorities 
     as necessary to carry out an effective pilot project;
       ``(D) commitment of the participant State agency to follow 
     Federal rules and procedures with respect to investigations 
     described in paragraph (1)(A); and
       ``(E) the extent to which a State has committed resources 
     to recipient fraud and the relative success of those efforts.
       ``(3) Evaluation.--
       ``(A) In general.--The Secretary shall evaluate the pilot 
     projects selected under this subsection to measure the impact 
     of the pilot projects.
       ``(B) Requirements.--The evaluation shall include--
       ``(i) the impact of each pilot project on increasing the 
     capacity of the Secretary to address fraud described in 
     paragraph (1)(A);
       ``(ii) the effectiveness of the pilot projects in 
     identifying, preventing and reducing fraud described in 
     paragraph (1)(A); and
       ``(iii) the cost effectiveness of the pilot projects.
       ``(4) Report to congress.--Not later than September 30, 
     2017, the Secretary 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 that includes a description of the results of each 
     pilot project, including--
       ``(A) an evaluation of the impact of the pilot project on 
     fraud described in paragraph (1)(A); and
       ``(B) the costs associated with the pilot project.
       ``(5) Funding.--Any costs incurred by a State to operate 
     pilot projects under this subsection that are in excess of 
     the amount expended under this Act to identify, investigate, 
     and reduce fraud described in paragraph (1)(A) in the 
     respective State in the previous fiscal year shall not be 
     eligible for Federal reimbursement under this Act.''.

     SEC. 4018. PROHIBITING GOVERNMENT-SPONSORED RECRUITMENT 
                   ACTIVITIES.

       (a) Administrative Cost-sharing and Quality Control.--
     Section 16(a)(4) of the Food and Nutrition Act of 2008 (7 
     U.S.C. 2025(a)(4)) is amended by inserting after 
     ``recruitment activities'' the following: ``designed to 
     persuade an individual to apply for program benefits or that 
     promote the program through television, radio, or billboard 
     advertisements''.
       (b) Limitation on Use of Funds Authorized to Be 
     Appropriated Under Act.--Section 18 of the Food and Nutrition 
     Act of 2008 (7 U.S.C. 2027) is amended by adding at the end 
     the following:
       ``(g) Ban on Recruitment and Promotion Activities.--
       ``(1) In general.--Except as provided in paragraph (2), no 
     funds authorized to be appropriated under this Act shall be 
     used by the Secretary for--
       ``(A) recruitment activities designed to persuade an 
     individual to apply for supplemental nutrition assistance 
     program benefits;
       ``(B) television, radio, or billboard advertisements that 
     are designed to promote supplemental nutrition assistance 
     program benefits and enrollment; or
       ``(C) any agreements with foreign governments designed to 
     promote supplemental nutrition assistance program benefits 
     and enrollment.
       ``(2) Limitation.--Paragraph (1)(B) shall not apply to 
     programmatic activities undertaken with respect to benefits 
     made under section 5(h).''.
       (c) Ban on Recruitment Activities by Entities That Receive 
     Funds.--Section 18 of the Food and Nutrition Act of 2008 (7 
     U.S.C. 2027) (as amended by subsection (b)) is amended by 
     adding at the end the following:
       ``(h) Ban on Recruitment by Entities That Receive Funds.--
     The Secretary shall issue regulations that prohibit entities 
     that receive funds under this Act to compensate any person 
     for conducting outreach activities relating to participation 
     in, or for recruiting individuals to apply to receive 
     benefits under, the supplemental nutrition assistance 
     program, if the amount of the compensation would be based on 
     the number of individuals who apply to receive the 
     benefits.''.

     SEC. 4019. TOLERANCE LEVEL FOR EXCLUDING SMALL ERRORS.

       Section 16(c)(1)(A) of the Food and Nutrition Act of 2008 
     (7 U.S.C. 2025(c)(1)(A)) is amended--
       (1) by striking ``In carrying'' and inserting the 
     following:
       ``(i) In general.--In carrying''; and
       (2) by adding at the end the following:
       ``(ii) Tolerance level for excluding small errors.--The 
     Secretary shall set the tolerance level for excluding small 
     errors for the purposes of this subsection--

       ``(I) for fiscal year 2014, at an amount not greater than 
     $37; and
       ``(II) for each fiscal year thereafter, the amount 
     specified in subclause (I) adjusted by the percentage by 
     which the thrifty food plan is adjusted under section 3(u)(4) 
     between June 30, 2013, and June 30 of the immediately 
     preceding fiscal year.''.

     SEC. 4020. QUALITY CONTROL STANDARDS.

       (a) In General.--Section 16(c)(1)(D)(i) of the Food and 
     Nutrition Act of 2008 (7 U.S.C. 2025(c)(1)(D)(i)) is amended 
     by striking subclause (I).
       (b) Conforming Amendments.--
       (1) Section 13(a)(1) of the Food and Nutrition Act of 2008 
     (7 U.S.C. 2022(a)(1)) is amended in the first sentence by 
     striking ``section 16(c)(1)(D)(i)(III)'' and inserting 
     ``section 16(c)(1)(D)(i)(II)''.
       (2) Section 16(c)(1) of the Food and Nutrition Act of 2008 
     (7 U.S.C. 2025(c)(1)) is amended--
       (A) in subparagraph (D)--
       (i) in clause (i)--

       (I) by redesignating subclauses (II) through (IV) as 
     subclauses (I) through (III), respectively; and
       (II) in subclause (III) (as so redesignated), by striking 
     ``through (III)'' and inserting ``and (II)''; and

       (ii) in clause (ii), by striking ``waiver amount or'';
       (B) in subparagraph (E)(i), by striking ``(D)(i)(III)'' and 
     inserting ``(D)(i)(II)''; and
       (C) in subparagraph (F), by striking ``(D)(i)(II)'' each 
     place it appears and inserting ``(D)(i)(I)''.

     SEC. 4021. PERFORMANCE BONUS PAYMENTS.

       Section 16(d) of the Food and Nutrition Act of 2008 (7 
     U.S.C. 2025(d)) is amended by adding at the end the 
     following:
       ``(5) Use of performance bonus payments.--A State agency 
     may use a performance bonus payment received under this 
     subsection only to carry out the program established under 
     this Act, including investments in--
       ``(A) technology;
       ``(B) improvements in administration and distribution; and
       ``(C) actions to prevent fraud, waste, and abuse.''.

     SEC. 4022. PILOT PROJECTS TO REDUCE DEPENDENCY AND INCREASE 
                   WORK REQUIREMENTS AND WORK EFFORT UNDER 
                   SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM.

       (a) In General.--Section 16(h) of the Food and Nutrition 
     Act of 2008 (7 U.S.C. 2025(h)) is amended--
       (1) in paragraph (1)--
       (A) in subparagraph (A)--
       (i) by striking ``15 months'' and inserting ``24 months''; 
     and
       (ii) by striking ``, except that for fiscal year 2013 and 
     fiscal year 2014, the amount shall be $79,000,000'';
       (B) in subparagraph (C)--
       (i) by striking ``If a State'' and inserting the following:
       ``(i) In general.--If a State''; and

[[Page 1898]]

       (ii) by adding at the end the following:
       ``(ii) Timing.--The Secretary shall collect such 
     information as the Secretary determines to be necessary about 
     the expenditures and anticipated expenditures by the State 
     agencies of the funds initially allocated to the State 
     agencies under subparagraph (A) to make reallocations of 
     unexpended funds under clause (i) within a timeframe that 
     allows each State agency to which funds are reallocated at 
     least 270 days to expend the reallocated funds.
       ``(iii) Opportunity.--The Secretary shall ensure that all 
     State agencies have an opportunity to obtain reallocated 
     funds.''; and
       (C) by adding at the end the following:
       ``(F) Pilot projects to reduce dependency and increase work 
     requirements and work effort under supplemental nutrition 
     assistance program.--
       ``(i) Pilot projects required.--

       ``(I) In general.--The Secretary shall carry out pilot 
     projects under which State agencies shall enter into 
     cooperative agreements with the Secretary to develop and test 
     methods, including operating work programs with certain 
     features comparable to the program of block grants to States 
     for temporary assistance for needy families established under 
     part A of title IV of the Social Security Act (42 U.S.C. 601 
     et seq.), for employment and training programs and services 
     to raise the number of work registrants under section 6(d) of 
     this Act who obtain unsubsidized employment, increase the 
     earned income of the registrants, and reduce the reliance of 
     the registrants on public assistance, so as to reduce the 
     need for supplemental nutrition assistance benefits.
       ``(II) Requirements.--Pilot projects shall--

       ``(aa) meet such terms and conditions as the Secretary 
     considers to be appropriate; and
       ``(bb) except as otherwise provided in this subparagraph, 
     be in accordance with the requirements of sections 6(d) and 
     20.
       ``(ii) Selection criteria.--

       ``(I) In general.--The Secretary shall select pilot 
     projects under this subparagraph in accordance with the 
     criteria established under this clause and additional 
     criteria established by the Secretary.
       ``(II) Qualifying criteria.--To be eligible to participate 
     in a pilot project, a State agency shall--

       ``(aa) agree to participate in the evaluation described in 
     clause (vii), including providing evidence that the State has 
     a robust data collection system for program administration 
     and cooperating to make available State data on the 
     employment activities and post-participation employment, 
     earnings, and public benefit receipt of participants to 
     ensure proper and timely evaluation;
       ``(bb) commit to collaborate with the State workforce board 
     and other job training programs in the State and local area; 
     and
       ``(cc) commit to maintain at least the amount of State 
     funding for employment and training programs and services 
     under paragraphs (2) and (3) and under section 20 as the 
     State expended for fiscal year 2013.

       ``(III) Selection criteria.--In selecting pilot projects, 
     the Secretary shall--

       ``(aa) consider the degree to which the pilot project would 
     enhance existing employment and training programs in the 
     State;
       ``(bb) consider the degree to which the pilot project would 
     enhance the employment and earnings of program participants;
       ``(cc) consider whether there is evidence that the pilot 
     project could be replicated easily by other States or 
     political subdivisions;
       ``(dd) consider whether the State agency has a demonstrated 
     capacity to operate high quality employment and training 
     programs; and
       ``(ee) ensure the pilot projects, when considered as a 
     group, test a range of strategies, including strategies 
     that--
       ``(AA) target individuals with low skills or limited work 
     experience, individuals subject to the requirements under 
     section 6(o), and individuals who are working;
       ``(BB) are located in a range of geographic areas and 
     States, including rural and urban areas;
       ``(CC) emphasize education and training, rehabilitative 
     services for individuals with barriers to employment, rapid 
     attachment to employment, and mixed strategies; and
       ``(DD) test programs that assign work registrants to 
     mandatory and voluntary participation in employment and 
     training activities.
       ``(iii) Accountability .--

       ``(I) In general.--The Secretary shall establish and 
     implement a process to terminate a pilot project for which 
     the State has failed to meet the criteria described in clause 
     (ii) or other criteria established by the Secretary.
       ``(II) Timing.--The process shall include a reasonable time 
     period, not to exceed 180 days, for State agencies found 
     noncompliant to correct the noncompliance.

       ``(iv) Employment and training activities.--Allowable 
     programs and services carried out under this subparagraph 
     shall include those programs and services authorized under 
     this Act and employment and training activities authorized 
     under the program of block grants to States for temporary 
     assistance for needy families established under part A of 
     title IV of the Social Security Act (42 U.S.C. 601 et seq.), 
     including:

       ``(I) Employment in the public or private sector that is 
     not subsidized by any public program.
       ``(II) Employment in the private sector for which the 
     employer receives a subsidy from public funds to offset all 
     or a part of the wages and costs of employing an adult.
       ``(III) Employment in the public sector for which the 
     employer receives a subsidy from public funds to offset all 
     or a part of the wages and costs of employing an adult.
       ``(IV) A work activity that--

       ``(aa) is performed in return for public benefits;
       ``(bb) provides an adult with an opportunity to acquire the 
     general skills, knowledge, and work habits necessary to 
     obtain employment;
       ``(cc) is designed to improve the employability of those 
     who cannot find unsubsidized employment; and
       ``(dd) is supervised by an employer, work site sponsor, or 
     other responsible party on an ongoing basis.

       ``(V) Training in the public or private sector that--

       ``(aa) is given to a paid employee while the employee is 
     engaged in productive work; and
       ``(bb) provides knowledge and skills essential to the full 
     and adequate performance of the job.

       ``(VI) Job search, obtaining employment, or preparation to 
     seek or obtain employment, including--

       ``(aa) life skills training;
       ``(bb) substance abuse treatment or mental health 
     treatment, determined to be necessary and documented by a 
     qualified medical, substance abuse, or mental health 
     professional; and
       ``(cc) rehabilitation activities, supervised by a public 
     agency or other responsible party on an ongoing basis.

       ``(VII) Structured programs and embedded activities--

       ``(aa) in which adults perform work for the direct benefit 
     of the community under the auspices of public or nonprofit 
     organizations;
       ``(bb) that are limited to projects that serve useful 
     community purposes in fields such as health, social service, 
     environmental protection, education, urban and rural 
     redevelopment, welfare, recreation, public facilities, public 
     safety, and child care;
       ``(cc) that are designed to improve the employability of 
     adults not otherwise able to obtain unsubsidized employment;
       ``(dd) that are supervised on an ongoing basis; and
       ``(ee) with respect to which a State agency takes into 
     account, to the maximum extent practicable, the prior 
     training, experience, and skills of a recipient in making 
     appropriate community service assignments.

       ``(VIII) Career and technical training programs that are--

       ``(aa) directly related to the preparation of adults for 
     employment in current or emerging occupations; and
       ``(bb) supervised on an ongoing basis.

       ``(IX) Training or education for job skills that are--

       ``(aa) required by an employer to provide an adult with the 
     ability to obtain employment or to advance or adapt to the 
     changing demands of the workplace; and
       ``(bb) supervised on an ongoing basis.

       ``(X) Education that is--

       ``(aa) related to a specific occupation, job, or job offer; 
     and
       ``(bb) supervised on an ongoing basis.

       ``(XI) In the case of an adult who has not completed 
     secondary school or received a certificate of general 
     equivalence, regular attendance that is--

       ``(aa) in accordance with the requirements of the secondary 
     school or course of study, at a secondary school or in a 
     course of study leading to a certificate of general 
     equivalence; and
       ``(bb) supervised on an ongoing basis.

       ``(XII) Providing child care to enable another recipient of 
     public benefits to participate in a community service program 
     that--

       ``(aa) does not provide compensation for the community 
     service;
       ``(bb) is a structured program designed to improve the 
     employability of adults who participate in the program; and
       ``(cc) is supervised on an ongoing basis.
       ``(v) Sanctions.--Subject to clause (vi), no work 
     registrant shall be eligible to participate in the 
     supplemental nutrition assistance program if the individual 
     refuses without good cause to participate in an employment 
     and training program under this subparagraph, to the extent 
     required by the State agency.
       ``(vi) Standards.--

       ``(I) In general.--Employment and training activities under 
     this subparagraph shall be considered to be carried out under 
     section 6(d), including for the purpose of satisfying any 
     conditions of participation and duration of ineligibility.
       ``(II) Standards for certain employment activities.--The 
     Secretary shall establish standards for employment activities 
     described in subclauses (I), (II), and (III) of clause (iv) 
     that ensure that failure to work for reasons beyond the 
     control of an individual, such as involuntary reduction in 
     hours of employment, shall not result in ineligibility.

[[Page 1899]]

       ``(III) Participation in other programs.--Before assigning 
     a work registrant to mandatory employment and training 
     activities, a State agency shall--

       ``(aa) assess whether the work registrant is participating 
     in substantial employment and training activities outside of 
     the pilot project that are expected to result in the work 
     registrant gaining increased skills, training, work, or 
     experience consistent with the objectives of the pilot 
     project; and
       ``(bb) if determined to be acceptable, count hours engaged 
     in the activities toward any minimum participation 
     requirement.
       ``(vii) Evaluation and reporting.--

       ``(I) Independent evaluation.--

       ``(aa) In general.--The Secretary shall, under such terms 
     and conditions as the Secretary determines to be appropriate, 
     conduct for each State agency that enters into a cooperative 
     agreement under clause (i) an independent longitudinal 
     evaluation of each pilot project of the State agency under 
     this subparagraph, with results reported not less frequently 
     than in consecutive 12-month increments.
       ``(bb) Purpose.--The purpose of the independent evaluation 
     shall be to measure the impact of employment and training 
     programs and services provided by each State agency under the 
     pilot projects on the ability of adults in each pilot project 
     target population to find and retain employment that leads to 
     increased household income and reduced reliance on public 
     assistance, as well as other measures of household well-
     being, compared to what would have occurred in the absence of 
     the pilot project.
       ``(cc) Methodology.--The independent evaluation shall use 
     valid statistical methods that can determine, for each pilot 
     project, the difference, if any, between supplemental 
     nutrition assistance and other public benefit receipt 
     expenditures, employment, earnings and other impacts as 
     determined by the Secretary--
       ``(AA) as a result of the employment and training programs 
     and services provided by the State agency under the pilot 
     project; as compared to
       ``(BB) a control group that is not subject to the 
     employment and training programs and services provided by the 
     State agency under the pilot project.

       ``(II) Reporting.--Not later than December 31, 2015, and 
     each December 31 thereafter until the completion of the last 
     evaluation under subclause (I), the Secretary shall submit to 
     the Committee on Agriculture of the House of Representatives 
     and the Committee on Agriculture, Nutrition, and Forestry of 
     the Senate and share broadly, including by posting on the 
     Internet website of the Department of Agriculture, a report 
     that includes a description of--

       ``(aa) the status of each pilot project carried out under 
     this subparagraph;
       ``(bb) the results of the evaluation completed during the 
     previous fiscal year;
       ``(cc) to the maximum extent practicable, baseline 
     information relevant to the stated goals and desired outcomes 
     of the pilot project;
       ``(dd) the employment and training programs and services 
     each State tested under the pilot, including--
       ``(AA) the system of the State for assessing the ability of 
     work registrants to participate in and meet the requirements 
     of employment and training activities and assigning work 
     registrants to appropriate activities; and
       ``(BB) the employment and training activities and services 
     provided under the pilot;
       ``(ee) the impact of the employment and training programs 
     and services on appropriate employment, income, and public 
     benefit receipt as well as other outcomes among households 
     participating in the pilot project, relative to households 
     not participating; and
       ``(ff) the steps and funding necessary to incorporate into 
     State employment and training programs and services the 
     components of the pilot projects that demonstrate increased 
     employment and earnings.
       ``(viii) Funding.--

       ``(I) In general.--Subject to subclause (II), from amounts 
     made available under section 18(a)(1), the Secretary shall 
     use to carry out this subparagraph--

       ``(aa) for fiscal year 2014, $10,000,000; and
       ``(bb) for fiscal year 2015, $190,000,000.

       ``(II) Limitations.--

       ``(aa) In general.--The Secretary shall not fund more than 
     10 pilot projects under this subparagraph.
       ``(bb) Duration.--Each pilot project shall be in effect for 
     not more than 3 years.

       ``(III) Availability of funds.--Funds made available under 
     subclause (I) shall remain available through September 30, 
     2018.

       ``(ix) Use of funds.--

       ``(I) In general.--Funds made available under this 
     subparagraph for pilot projects shall be used only for--

       ``(aa) pilot projects that comply with this Act;
       ``(bb) the program and administrative costs of carrying out 
     the pilot projects;
       ``(cc) the costs incurred in developing systems and 
     providing information and data for the independent 
     evaluations under clause (vii); and
       ``(dd) the costs of the evaluations under clause (vii).

       ``(II) Maintenance of effort.--Funds made available under 
     this subparagraph shall be used only to supplement, not to 
     supplant, non-Federal funds used for existing employment and 
     training activities or services.
       ``(III) Other funds.--In carrying out pilot projects, 
     States may contribute additional funds obtained from other 
     sources, including Federal, State, or private funds, on the 
     condition that the use of the contributions is permissible 
     under Federal law.''; and

       (2) by striking paragraph (5) and inserting the following:
       ``(5) Monitoring.--
       ``(A) In general.--The Secretary shall monitor the 
     employment and training programs carried out by State 
     agencies under section 6(d)(4) and assess the effectiveness 
     of the programs in--
       ``(i) preparing members of households participating in the 
     supplemental nutrition assistance program for employment, 
     including the acquisition of basic skills necessary for 
     employment; and
       ``(ii) increasing the number of household members who 
     obtain and retain employment subsequent to participation in 
     the employment and training programs.
       ``(B) Reporting measures.--
       ``(i) In general.--The Secretary, in consultation with the 
     Secretary of Labor, shall develop State reporting measures 
     that identify improvements in the skills, training, 
     education, or work experience of members of households 
     participating in the supplemental nutrition assistance 
     program.
       ``(ii) Requirements.--Measures shall--

       ``(I) be based on common measures of performance for 
     Federal workforce training programs; and
       ``(II) include additional indicators that reflect the 
     challenges facing the types of members of households 
     participating in the supplemental nutrition assistance 
     program who participate in a specific employment and training 
     component.

       ``(iii) State requirements.--The Secretary shall require 
     that each State employment and training plan submitted under 
     section 11(e)(19) identifies appropriate reporting measures 
     for each proposed component that serves a threshold number of 
     participants determined by the Secretary of at least 100 
     people a year.
       ``(iv) Inclusions.--Reporting measures described in clause 
     (iii) may include--

       ``(I) the percentage and number of program participants who 
     received employment and training services and are in 
     unsubsidized employment subsequent to the receipt of those 
     services;
       ``(II) the percentage and number of program participants 
     who obtain a recognized credential, including a registered 
     apprenticeship, or a regular secondary school diploma or its 
     recognized equivalent, while participating in, or within 1 
     year after receiving, employment and training services;
       ``(III) the percentage and number of program participants 
     who are in an education or training program that is intended 
     to lead to a recognized credential, including a registered 
     apprenticeship or on-the-job training program, a regular 
     secondary school diploma or its recognized equivalent, or 
     unsubsidized employment;
       ``(IV) subject to terms and conditions established by the 
     Secretary, measures developed by each State agency to assess 
     the skills acquisition of employment and training program 
     participants that reflect the goals of the specific 
     employment and training program components of the State 
     agency, which may include, at a minimum--

       ``(aa) the percentage and number of program participants 
     who are meeting program requirements in each component of the 
     education and training program of the State agency;
       ``(bb) the percentage and number of program participants 
     who are gaining skills likely to lead to employment as 
     measured through testing, quantitative or qualitative 
     assessment, or other method; and
       ``(cc) the percentage and number of program participants 
     who do not comply with employment and training requirements 
     and who are ineligible under section 6(b); and

       ``(V) other indicators approved by the Secretary.

       ``(C) Oversight of state employment and training 
     activities.--The Secretary shall assess State employment and 
     training programs on a periodic basis to ensure--
       ``(i) compliance with Federal employment and training 
     program rules and regulations;
       ``(ii) that program activities are appropriate to meet the 
     needs of the individuals referred by the State agency to an 
     employment and training program component;
       ``(iii) that reporting measures are appropriate to identify 
     improvements in skills, training, work and experience for 
     participants in an employment and training program component; 
     and
       ``(iv) for States receiving additional allocations under 
     paragraph (1)(E), any information the Secretary may require 
     to evaluate the compliance of the State agency with paragraph 
     (1), which may include--

       ``(I) a report for each fiscal year of the number of 
     individuals in the State who meet the conditions of paragraph 
     (1)(E)(ii), the number of individuals the State agency offers 
     a position in a program described in subparagraph (B) or (C) 
     of section 6(o)(2), and the number who participate in such a 
     program;

[[Page 1900]]

       ``(II) a description of the types of employment and 
     training programs the State agency uses to comply with 
     paragraph (1)(E) and the availability of those programs 
     throughout the State; and
       ``(III) any additional information the Secretary determines 
     to be appropriate.

       ``(D) State report.--Each State agency shall annually 
     prepare and submit to the Secretary a report on the State 
     employment and training program that includes, using measures 
     identified under subparagraph (B), the numbers of 
     supplemental nutrition assistance program participants who 
     have gained skills, training, work, or experience that will 
     increase the ability of the participants to obtain regular 
     employment.
       ``(E) Modifications to the state employment and training 
     plan.--Subject to terms and conditions established by the 
     Secretary, if the Secretary determines that the performance 
     of a State agency with respect to employment and training 
     outcomes is inadequate, the Secretary may require the State 
     agency to make modifications to the State employment and 
     training plan to improve the outcomes.
       ``(F) Periodic evaluation.--Subject to terms and conditions 
     established by the Secretary, not later than October 1, 2016, 
     and not less frequently than once every 5 years thereafter, 
     the Secretary shall conduct a study to review existing 
     practice and research to identify employment and training 
     program components and practices that--
       ``(i) effectively assist members of households 
     participating in the supplemental nutrition assistance 
     program in gaining skills, training, work, or experience that 
     will increase the ability of the participants to obtain 
     regular employment; and
       ``(ii) are best integrated with statewide workforce 
     development systems.''.
       (b) Conforming Amendments.--
       (1) Section 5 of the Food and Nutrition Act of 2008 (7 
     U.S.C. 2014) is amended--
       (A) in subsection (d)(14), by inserting ``or a pilot 
     project under section 16(h)(1)(F)'' after ``6(d)(4)(I)'';
       (B) in subsection (e)(3)(B)(iii), by inserting ``or a pilot 
     project under section 16(h)(1)(F)'' after ``6(d)(4)''; and
       (C) in subsection (g)(3), in the first sentence, by 
     inserting ``or a pilot project under section 16(h)(1)(F)'' 
     after ``6(d)''.
       (2) Section 16(h) of the Food and Nutrition Act of 2008 (7 
     U.S.C. 2025(h)) is amended--
       (A) in paragraph (3), by inserting ``or a pilot project 
     under paragraph (1)(F)'' after ``6(d)(4)''; and
       (B) in paragraph (4), by inserting ``or a pilot project 
     under paragraph (1)(F)'' after ``6(d)(4)''.
       (3) Section 17(b)(1)(B)(iv)(III)(hh) of the Food and 
     Nutrition Act of 2008 (7 U.S.C. 2026(b)(1)(B)(iv)(III)(hh)) 
     is amended by inserting ``(h)(1)(F),'' after ``(g),''.
       (c) Application Date.--
       (1) In general.--The amendments made by this section (other 
     than the amendments made by subsection (a)(2)) shall apply 
     beginning on the date of enactment of this Act.
       (2) Process for selecting pilot programs.--
       (A) In general.--Not later than 180 days after the date of 
     enactment of this Act, the Secretary shall--
       (i) develop and publish the process for selecting pilot 
     projects under section 16(h)(1)(F) of the Food and Nutrition 
     Act of 2008 (as added by subsection (a)(1)(C)); and
       (ii) issue such request for proposals for the independent 
     evaluation as is determined appropriate by the Secretary.
       (B) Application.--The Secretary shall begin considering 
     proposals not earlier than 90 days after the date on which 
     the Secretary completes the actions described in subparagraph 
     (A).
       (C) Selection.--Not later than 180 days after the date on 
     which the Secretary completes the actions described in 
     subparagraph (A), the Secretary shall select pilot projects 
     from the applications submitted in response to the request 
     for proposals issued under subparagraph (A).
       (3) Monitoring of employment and training programs.--
       (A) In general.--Not later than 18 months after the date of 
     enactment of this Act, the Secretary shall issue interim 
     final regulations implementing the amendments made by 
     subsection (a)(2).
       (B) State action.--States shall include reporting measures 
     required under section 16(h)(5) of the Food and Nutrition Act 
     of 2008 (as amended by subsection (a)(2)) in the employment 
     and training plans of the States for the first full fiscal 
     year that begins not earlier than 180 days after the date 
     that the regulations described in subparagraph (A) are 
     published.

     SEC. 4023. COOPERATION WITH PROGRAM RESEARCH AND EVALUATION.

       Section 17 of the Food and Nutrition Act of 2008 (7 U.S.C. 
     2026) is amended by adding at the end the following:
       ``(l) Cooperation With Program Research and Evaluation.--
     Subject to the requirements of this Act, including 
     protections under section 11(e)(8), States, State agencies, 
     local agencies, institutions, facilities such as data 
     consortiums, and contractors participating in programs 
     authorized under this Act shall--
       ``(1) cooperate with officials and contractors acting on 
     behalf of the Secretary in the conduct of evaluations and 
     studies under this Act; and
       ``(2) submit information at such time and in such manner as 
     the Secretary may require.''.

     SEC. 4024. AUTHORIZATION OF APPROPRIATIONS.

       Section 18(a)(1) of the Food and Nutrition Act of 2008 (7 
     U.S.C. 2027(a)(1)) is amended in the first sentence by 
     striking ``2012'' and inserting ``2018''.

     SEC. 4025. REVIEW, REPORT, AND REGULATION OF CASH NUTRITION 
                   ASSISTANCE PROGRAM BENEFITS PROVIDED IN PUERTO 
                   RICO.

       Section 19 of the Food and Nutrition Act of 2008 (7 U.S.C. 
     2028) is amended by adding at the end the following:
       ``(e) Review, Report, and Regulation of Cash Nutrition 
     Assistance Program Benefits Provided in Puerto Rico.--
       ``(1) Review.--The Secretary, in consultation with the 
     Secretary of Health and Human Services, shall carry out a 
     review of the provision of nutrition assistance in Puerto 
     Rico in the form of cash benefits under this section that 
     shall include--
       ``(A) an examination of the history of and purpose for 
     distribution of a portion of monthly benefits in the form of 
     cash;
       ``(B) an examination of current barriers to the redemption 
     of non-cash benefits by current program participants and 
     retailers;
       ``(C) an examination of current usage of cash benefits for 
     the purchase of non-food and other prohibited items;
       ``(D) an identification and assessment of potential adverse 
     effects of the discontinuation of a portion of benefits in 
     the form of cash for program participants and retailers; and
       ``(E) an examination of such other factors as the Secretary 
     determines to be relevant.
       ``(2) Report.--Not later than 18 months after the date of 
     enactment of this Act, the Secretary 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 that describes the results of the review 
     conducted under this subsection.
       ``(3) Regulation.--
       ``(A) In general.--Except as provided in subparagraph (B), 
     and notwithstanding the second sentence of subsection 
     (b)(1)(B)(i), the Secretary shall disapprove any plan 
     submitted pursuant to subsection (b)(1)(A)--
       ``(i) for fiscal year 2017 that provides for the 
     distribution of more than 20 percent of the nutrition 
     assistance benefit of a participant in the form of cash;
       ``(ii) for fiscal year 2018 that provides for the 
     distribution of more than 15 percent of the nutrition 
     assistance benefit of a participant in the form of cash;
       ``(iii) for fiscal year 2019 that provides for the 
     distribution of more than 10 percent of the nutrition 
     assistance benefit of a participant in the form of cash;
       ``(iv) for fiscal year 2020 that provides for the 
     distribution of more than 5 percent of the nutrition 
     assistance benefit of a participant in the form of cash; and
       ``(v) for fiscal year 2021 that provides for the 
     distribution of any portion of the nutrition assistance 
     benefit of a participant in the form of cash.
       ``(B) Exception.--Notwithstanding subparagraph (A), the 
     Secretary, informed by the report required under paragraph 
     (2), may approve a plan that exempts participants or 
     categories of participants if the Secretary determines that 
     discontinuation of benefits in the form of cash is likely to 
     have significant adverse effects.
       ``(4) Funding.--Out of any funds made available under 
     section 18 for fiscal year 2014, the Secretary shall make 
     available to carry out the review and report described in 
     paragraphs (1) and (2) $1,000,000, to remain available until 
     expended.''.

     SEC. 4026. ASSISTANCE FOR COMMUNITY FOOD PROJECTS.

       Section 25 of the Food and Nutrition Act of 2008 (7 U.S.C. 
     2034) is amended--
       (1) in subsection (a)--
       (A) in paragraph (1)(B)--
       (i) in clause (i)--

       (I) in subclause (I), by inserting after ``individuals'' 
     the following: ``through food distribution, community 
     outreach to assist in participation in Federally assisted 
     nutrition programs, or improving access to food as part of a 
     comprehensive service;''; and
       (II) in subclause (III), by inserting ``food access,'' 
     after ``food,''; and

       (ii) in clause (ii), by striking subclause (I) and 
     inserting the following:

       ``(I) equipment necessary for the efficient operation of a 
     project;''; and

       (B) by striking paragraphs (2) and (3) and inserting the 
     following:
       ``(2) Gleaner.--The term `gleaner' means an entity that--
       ``(A) collects edible, surplus food that would be thrown 
     away and distributes the food to agencies or nonprofit 
     organizations that feed the hungry; or
       ``(B) harvests for free distribution to the needy, or for 
     donation to agencies or nonprofit organizations for ultimate 
     distribution to the needy, an agricultural crop that has been 
     donated by the owner of the crop.
       ``(3) Hunger-free communities goal.--The term `hunger-free 
     communities goal' means any of the 14 goals described in 
     House Concurrent Resolution 302, 102nd Congress, agreed to 
     October 5, 1992.'';

[[Page 1901]]

       (2) in subsection (b)(2)--
       (A) in subparagraph (A), by striking ``and'' at the end;
       (B) in subparagraph (B), by striking ``fiscal year 2008 and 
     each fiscal year thereafter.'' and inserting the following: 
     ``each of fiscal years 2008 through 2014; and
       ``(C) $9,000,000 for fiscal year 2015 and each fiscal year 
     thereafter.'';
       (3) in subsection (c)--
       (A) in the matter preceding paragraph (1), by striking 
     ``private nonprofit entity'' and inserting ``public food 
     program service provider, a tribal organization, or a private 
     nonprofit entity, including gleaners,'';
       (B) in paragraph (1)--
       (i) in subparagraph (A), by striking ``or'' after the 
     semicolon at the end;
       (ii) in subparagraph (B), by inserting ``or'' after the 
     semicolon at the end; and
       (iii) by adding at the end the following:
       ``(C) efforts to reduce food insecurity in the community, 
     including food distribution, improving access to services, or 
     coordinating services and programs;'';
       (C) in paragraph (2), by striking ``and'' after the 
     semicolon at the end;
       (D) in paragraph (3), by striking the period at the end and 
     inserting ``; and''; and
       (E) by adding at the end the following:
       ``(4) collaborate with 1 or more local partner 
     organizations to achieve at least 1 hunger-free communities 
     goal.'';
       (4) in subsection (d)--
       (A) in paragraph (3), by striking ``or'' after the 
     semicolon at the end;
       (B) in paragraph (4), by striking the period at the end and 
     inserting ``; or''; and
       (C) by adding at the end the following:
       ``(5) develop new resources and strategies to help reduce 
     food insecurity in the community and prevent food insecurity 
     in the future by--
       ``(A) developing creative food resources;
       ``(B) coordinating food services with park and recreation 
     programs and other community-based outlets to reduce barriers 
     to access; or
       ``(C) creating nutrition education programs for at- risk 
     populations to enhance food-purchasing and food- preparation 
     skills and to heighten awareness of the connection between 
     diet and health.'';
       (5) in subsection (f)(2), by striking ``3 years'' and 
     inserting ``5 years''; and
       (6) by striking subsections (h) and (i) and inserting the 
     following:
       ``(h) Reports to Congress.--Not later than September 30, 
     2014, and each year thereafter, the Secretary shall submit to 
     Congress a report that describes each grant made under this 
     section, including--
       ``(1) a description of any activity funded;
       ``(2) the degree of success of each activity funded in 
     achieving hunger-free community goals; and
       ``(3) the degree of success in improving the long-term 
     capacity of a community to address food and agriculture 
     problems related to hunger or access to healthy food.''.

     SEC. 4027. EMERGENCY FOOD ASSISTANCE.

       (a) Purchase of Commodities.--Section 27(a) of the Food and 
     Nutrition Act of 2008 (7 U.S.C. 2036(a)) is amended--
       (1) in paragraph (1), by striking ``2008 through 2012'' and 
     inserting ``2014 through 2018'';
       (2) in paragraph (2)--
       (A) in subparagraph (B), by striking ``and'' at the end;
       (B) in subparagraph (C)--
       (i) by striking ``2012'' and inserting ``2018''; and
       (ii) by striking the period at the end and inserting a 
     semicolon; and
       (C) by adding at the end the following:
       ``(D) for each of fiscal years 2015 through 2018, the sum 
     obtained by adding the total dollar amount of commodities 
     specified in subparagraph (C) and--
       ``(i) for fiscal year 2015, $50,000,000;
       ``(ii) for fiscal year 2016, $40,000,000;
       ``(iii) for fiscal year 2017, $20,000,000; and
       ``(iv) for fiscal year 2018, $15,000,000; and
       ``(E) for fiscal year 2019 and each subsequent fiscal year, 
     the total dollar amount of commodities specified in 
     subparagraph (D)(iv) adjusted by the percentage by which the 
     thrifty food plan has been adjusted under section 3(u)(4) to 
     reflect changes between June 30, 2017, and June 30 of the 
     immediately preceding fiscal year.''; and
       (3) by adding at the end the following:
       ``(3) Funds availability.--For purposes of the funds 
     described in this subsection, the Secretary shall--
       ``(A) make the funds available for 2 fiscal years; and
       ``(B) allow States to carry over unexpended balances to the 
     next fiscal year pursuant to such terms and conditions as are 
     determined by the Secretary.''.
       (b) Emergency Food Program Infrastructure Grants.--Section 
     209(d) of the Emergency Food Assistance Act of 1983 (7 U.S.C. 
     7511a(d)) is amended by striking ``2012'' and inserting 
     ``2018''.

     SEC. 4028. NUTRITION EDUCATION.

       Section 28(b) of the Food and Nutrition Act of 2008 (7 
     U.S.C. 2036a(b)) is amended by inserting ``and physical 
     activity'' after ``healthy food choices''.

     SEC. 4029. RETAIL FOOD STORE AND RECIPIENT TRAFFICKING.

       The Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.) 
     is amended by adding at the end the following:

     ``SEC. 29. RETAIL FOOD STORE AND RECIPIENT TRAFFICKING.

       ``(a) Purpose.--The purpose of this section is to provide 
     the Department of Agriculture with additional resources to 
     prevent trafficking in violation of this Act by strengthening 
     recipient and retail food store program integrity.
       ``(b) Use of Funds.--
       ``(1) In general.--Additional funds are provided under this 
     section to supplement the retail food store and recipient 
     integrity activities of the Department.
       ``(2) Information technologies.--The Secretary shall use an 
     appropriate amount of the funds provided under this section 
     to employ information technologies known as data mining and 
     data warehousing and other available information technologies 
     to administer the supplemental nutrition assistance program 
     and enforce regulations promulgated under section 4(c).
       ``(c) Funding.--
       ``(1) Authorization of appropriations.--There is authorized 
     to be appropriated to carry out this section $5,000,000 for 
     each of fiscal years 2014 through 2018.
       ``(2) Mandatory funding.--
       ``(A) In general.--Out of any funds in the Treasury not 
     otherwise appropriated, the Secretary of the Treasury shall 
     transfer to the Secretary to carry out this section not less 
     than $15,000,000 for fiscal year 2014, to remain available 
     until expended.
       ``(B) Receipt and acceptance.--The Secretary shall be 
     entitled to receive, shall accept, and shall use to carry out 
     this section the funds transferred under subparagraph (A), 
     without further appropriation.
       ``(C) Maintenance of funding.--The funding provided under 
     subparagraph (A) shall supplement (and not supplant) other 
     Federal funding for programs carried out under this Act.''.

     SEC. 4030. TECHNICAL AND CONFORMING AMENDMENTS.

       (a) Section 3 of the Food and Nutrition Act of 2008 (7 
     U.S.C. 2012) is amended--
       (1) in subsection (g), by striking ``coupon,'' the last 
     place it appears and inserting ``coupon'';
       (2) in subsection (k)(7), by striking ``or are'' and 
     inserting ``and'';
       (3) by striking subsection (l);
       (4) by redesignating subsections (m) through (t) as 
     subsections (l) through (s), respectively; and
       (5) by inserting after subsection (s) (as so redesignated) 
     the following:
       ``(t) `Supplemental nutrition assistance program' means the 
     program operated pursuant to this Act.''.
       (b) Section 4(a) of the Food and Nutrition Act of 2008 (7 
     U.S.C. 2013(a)) is amended in the last sentence by striking 
     ``benefits'' and inserting ``Benefits''.
       (c) Section 5 of the Food and Nutrition Act of 2008 (7 
     U.S.C. 2014) is amended--
       (1) in the last sentence of subsection (i)(2)(D), by 
     striking ``section 13(b)(2)'' and inserting ``section 
     13(b)''; and
       (2) in subsection (k)(4)(A), by striking ``paragraph 
     (2)(H)'' and inserting ``paragraph (2)(G)''.
       (d) Section 6(d)(4) of the Food and Nutrition Act of 2008 
     (7 U.S.C. 2015(d)(4)) is amended in subparagraphs (B)(vii) 
     and (F)(iii) by indenting both clauses appropriately.
       (e) Section 7(h) of the Food and Nutrition Act of 2008 (7 
     U.S.C. 2016(h)) is amended by redesignating the second 
     paragraph (12) (relating to interchange fees) as paragraph 
     (13).
       (f) Section 9(a) of the Food and Nutrition Act of 2008 (7 
     U.S.C. 2018(a)) is amended by indenting paragraph (3) 
     appropriately.
       (g) Section 12 of the Food and Nutrition Act of 2008 (7 
     U.S.C. 2021) is amended--
       (1) in subsection (b)(3)(C), by striking ``civil money 
     penalties'' and inserting ``civil penalties''; and
       (2) in subsection (g)(1), by striking ``(7 U.S.C. 1786)'' 
     and inserting ``(42 U.S.C. 1786)''.
       (h) Section 15(b)(1) of the Food and Nutrition Act of 2008 
     (7 U.S.C. 2024(b)(1)) is amended in the first sentence by 
     striking ``an benefit'' both places it appears and inserting 
     ``a benefit''.
       (i) Section 16(a) of the Food and Nutrition Act of 2008 (7 
     U.S.C. 2025(a)) is amended in the proviso following paragraph 
     (8) by striking ``as amended.''.
       (j) Section 18(e) of the Food and Nutrition Act of 2008 (7 
     U.S.C. 2027(e)) is amended in the first sentence by striking 
     ``sections 7(f)'' and inserting ``section 7(f)''.
       (k) Section 22(b)(10)(B)(i) of the Food and Nutrition Act 
     of 2008 (7 U.S.C. 2031(b)(10)(B)(i)) is amended in the last 
     sentence by striking ``Food benefits'' and inserting 
     ``Benefits''.
       (l) Section 26(f)(3)(C) of the Food and Nutrition Act of 
     2008 (7 U.S.C. 2035(f)(3)(C)) is amended by striking 
     ``subsection'' and inserting ``subsections''.
       (m) Section 27(a)(1) of the Food and Nutrition Act of 2008 
     (7 U.S.C. 2036(a)(1)) is amended by striking ``(Public Law 
     98-8; 7 U.S.C. 612c note)'' and inserting ``(7 U.S.C. 
     7515)''.
       (n) Section 115 of the Personal Responsibility and Work 
     Opportunity Reconciliation Act of 1996 (21 U.S.C. 862a) is 
     amended--
       (1) in subsection (a)(2), by striking ``food stamp program 
     (as defined in section 3(l) of the Food Stamp Act of 1977) or 
     any State program carried out under the Food Stamp Act of 
     1977'' and inserting ``supplemental nutrition assistance 
     program (as defined in section 3 of the Food and Nutrition 
     Act of 2008

[[Page 1902]]

     (7 U.S.C. 2012)) or any State program carried out under that 
     Act'';
       (2) in subsection (b)(2)--
       (A) in the paragraph heading, by striking ``the food stamp 
     act of 1977'' and inserting ``the food and nutrition act of 
     2008''; and
       (B) by striking ``food stamp program (as defined in section 
     3(l) of the Food Stamp Act of 1977), or any State program 
     carried out under the Food Stamp Act of 1977'' and inserting 
     ``supplemental nutrition assistance program (as defined in 
     section 3 of the Food and Nutrition Act of 2008 (7 U.S.C. 
     2012)), or any State program carried out under that Act''; 
     and
       (3) in subsection (e)(2), by striking ``section 3(s) of the 
     Food Stamp Act of 1977, when referring to the food stamp 
     program (as defined in section 3(l) of the Food Stamp Act of 
     1977) or any State program carried out under the Food Stamp 
     Act of 1977'' and inserting ``section 3 of the Food and 
     Nutrition Act of 2008 (7 U.S.C. 2012), when referring to the 
     supplemental nutrition assistance program (as defined in that 
     section) or any State program carried out under that Act''.
       (o) Section 3803(c)(2)(C)(vii) of title 31 of the United 
     States Code is amended by striking ``section 3(l)'' and 
     inserting ``section 3''.
       (p) Section 453(j)(10) of the Social Security Act (42 
     U.S.C. 653(j)(10)) is amended in the paragraph heading by 
     striking ``food stamp programs'' and inserting ``supplemental 
     nutrition assistance program benefits''.
       (q) Section 1137 of the Social Security Act (42 U.S.C. 
     1320b-7)--
       (1) in subsection (a)(5)(B), by striking ``food stamp'' and 
     inserting ``supplemental nutrition assistance''; and
       (2) in subsection (b)(4), by striking ``food stamp program 
     under the Food Stamp Act of 1977'' and inserting 
     ``supplemental nutrition assistance program established under 
     the Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.)''.
       (r) Section 1631(n) of the Social Security Act (42 U.S.C. 
     1383) is amended in the subsection heading by striking ``Food 
     Stamp'' and inserting ``Supplemental Nutrition Assistance''.
       (s) Section 509 of the Older Americans Act of 1965 (42 
     U.S.C. 3056g) is amended in the section heading by striking 
     ``food stamp programs'' and inserting ``supplemental 
     nutrition assistance programs''.
       (t) Section 4(a) of the Agriculture and Consumer Protection 
     Act of 1973 (7 U.S.C. 612c note; Public Law 93-86) is amended 
     by striking ``Food Stamp Act of 1977'' and inserting ``Food 
     and Nutrition Act of 2008''.
       (u) Section 5 of the Agriculture and Consumer Protection 
     Act of 1973 (7 U.S.C. 612c note; Public Law 93-86) is 
     amended--
       (1) in subsection (h)(1), by striking ``food stamps'' and 
     inserting ``the supplemental nutrition assistance program'';
       (2) in subsection (i)(1), by striking ``food stamps 
     provided under the Food Stamp Act of 1977'' and inserting 
     ``supplemental nutrition assistance benefits provided under 
     the Food and Nutrition Act of 2008''; and
       (3) in subsection (l)(2)(B), by striking ``Food Stamp Act 
     of 1977'' and inserting ``Food and Nutrition Act of 2008''.
       (v) Section 4115(c)(2)(H) of the Food, Conservation, and 
     Energy Act of 2008 (Public Law 110-246; 122 Stat. 1871) is 
     amended by striking ``531'' and inserting ``454''.

     SEC. 4031. COMMONWEALTH OF THE NORTHERN MARIANA ISLANDS PILOT 
                   PROGRAM.

       (a) Study.--
       (1) In general.--Prior to establishing the pilot program 
     under subsection (b), the Secretary shall conduct a study to 
     be completed not later than 2 years after the date of 
     enactment of this Act to assess--
       (A) the capabilities of the Commonwealth of the Northern 
     Mariana Islands to operate the supplemental nutrition 
     assistance program established under the Food and Nutrition 
     Act of 2008 (7 U.S.C. 2011 et seq.) in a similar manner as 
     the program is operated in the States (as defined in section 
     3 of that Act (7 U.S.C. 2012)); and
       (B) alternative models of the supplemental nutrition 
     assistance program operation and benefit delivery that best 
     meet the nutrition assistance needs of the Commonwealth of 
     the Northern Mariana Islands.
       (2) Scope.--The study conducted under paragraph (1)(A) 
     shall assess the capability of the Commonwealth of the 
     Northern Mariana Islands to fulfill the responsibilities of a 
     State agency (as defined in section 3 of the Food and 
     Nutrition Act of 2008 (7 U.S.C. 2012)), including--
       (A) extending and limiting participation to eligible 
     households, as required by sections 5 and 6 of that Act (7 
     U.S.C. 2014, 2015);
       (B) issuing benefits through EBT cards, as required by 
     section 7 of that Act (7 U.S.C. 2016);
       (C) maintaining the integrity of the program, including 
     operation of a quality control system, as required by section 
     16(c) of that Act (7 U.S.C. 2025(c));
       (D) implementing work requirements, including operating an 
     employment and training program, as required by section 6(d) 
     of that Act (7 U.S.C. 2015(d)); and
       (E) paying a share of administrative costs with non-Federal 
     funds, as required by section 16(a) of that Act (7 U.S.C. 
     2016(a)).
       (b) Establishment.--If the Secretary determines that a 
     pilot program is feasible, the Secretary shall establish a 
     pilot program for the Commonwealth of the Northern Mariana 
     Islands to operate the supplemental nutrition assistance 
     program in the same manner in which the program is operated 
     in the States.
       (c) Scope.--The Secretary shall use the information 
     obtained from the study conducted under subsection (a) to 
     establish the scope of the pilot program established under 
     subsection (b).
       (d) Report.--Not later than June 30, 2019, the Secretary 
     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 pilot program 
     carried out under this section, including an analysis of the 
     feasibility of operating the supplemental nutrition 
     assistance program in the Commonwealth of the Northern 
     Mariana Islands in the same manner in which the program is 
     operated in the States.
       (e) Funding.--
       (1) Study.--Of the funds made available under section 
     18(a)(1) of the Food and Nutrition Act of 2008 (7 U.S.C. 
     2027(a)(1)), the Secretary may use to conduct the study 
     described in subsection (a) not more than $1,000,000 for each 
     of fiscal years 2014 and 2015.
       (2) Pilot program.--
       (A) In general.--Except as provided in subparagraph (B), of 
     the funds made available under section 18(a)(1) of the Food 
     and Nutrition Act of 2008 (7 U.S.C. 2027(a)(1)), the 
     Secretary may use to establish and carry out the pilot 
     program under subsection (b), including the Federal costs for 
     providing technical assistance to the Commonwealth of the 
     Northern Mariana Islands, authorizing and monitoring retail 
     food stores, and assessing pilot operations, not more than--
       (i) $13,500,000 for fiscal year 2016; and
       (ii) $8,500,000 for each of fiscal years 2017 and 2018.
       (B) Exception.--If the Secretary determines that a pilot 
     program described in subsection (b) is not feasible, the 
     Secretary shall provide to the Commonwealth of the Northern 
     Mariana Islands any unspent funds described in subparagraph 
     (A), which shall--
       (i) be made available for obligation under the Commonwealth 
     of the Northern Mariana Islands nutrition assistance program 
     block grant in addition to any other funds made available for 
     that grant; and
       (ii) remain available until expended.

     SEC. 4032. ANNUAL STATE REPORT ON VERIFICATION OF SNAP 
                   PARTICIPATION.

       (a) Annual Report.--Not later than 1 year after the date 
     specified by the Secretary during the 180-day period 
     beginning on the date of enactment of this Act, and annually 
     thereafter, each State agency that carries out the 
     supplemental nutrition assistance program established under 
     the Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.) 
     shall submit to the Secretary a report containing sufficient 
     information for the Secretary to determine whether the State 
     agency has, for the most recently concluded fiscal year 
     preceding that annual date, verified that the State agency in 
     that fiscal year--
       (1) did not issue benefits to a deceased individual; and
       (2) did not issue benefits to an individual who had been 
     permanently disqualified from receiving benefits.
       (b) Penalty for Noncompliance.--For any fiscal year for 
     which a State agency fails to comply with subsection (a), the 
     Secretary shall impose a penalty that includes a reduction of 
     up to 50 percent of the amount that would be otherwise 
     payable to the State agency under section 16(a) of the Food 
     and Nutrition Act of 2008 (7 U.S.C. 2025(a)) with respect to 
     that fiscal year.
       (c) Report of Pilot Program to Test Prevention of Duplicate 
     Participation.--Not later than 90 days after the completion 
     in multiple States of a temporary pilot program to test the 
     detection and prevention of duplicate participation by 
     beneficiaries of the supplemental nutrition assistance 
     program established under the Food and Nutrition Act of 2008 
     (7 U.S.C. 2011 et seq.), the Secretary 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 assessing the feasibility, effectiveness, and 
     cost for the expansion of the pilot program nationwide.

     SEC. 4033. SERVICE OF TRADITIONAL FOODS IN PUBLIC FACILITIES.

       (a) Purposes.--The purposes of this section are--
       (1) to provide access to traditional foods in food service 
     programs;
       (2) to encourage increased consumption of traditional foods 
     to decrease health disparities among Indians, particularly 
     Alaska Natives; and
       (3) to provide alternative food options for food service 
     programs.
       (b) Definitions.--In this section:
       (1) Alaska native.--The term ``Alaska Native'' means a 
     person who is a member of any Native village, Village 
     Corporation, or Regional Corporation (as those terms are 
     defined in section 3 of the Alaska Native Claims Settlement 
     Act (43 U.S.C. 1602)).
       (2) Commissioner.--The term ``Commissioner'' means the 
     Commissioner of Food and Drugs.

[[Page 1903]]

       (3) Food service program.--The term ``food service 
     program'' includes--
       (A) food service at residential child care facilities that 
     have a license from an appropriate State agency;
       (B) any child nutrition program (as that term is defined in 
     section 25(b) of the Richard B. Russell National School Lunch 
     Act (42 U.S.C. 1769f(b));
       (C) food service at hospitals, clinics, and long-term care 
     facilities; and
       (D) senior meal programs.
       (4) Indian; indian tribe.--The terms ``Indian'' and 
     ``Indian tribe'' have the meanings given those terms in 
     section 4 of the Indian Self-Determination and Education 
     Assistance Act (25 U.S.C. 450b).
       (5) Traditional food.--
       (A) In general.--The term ``traditional food'' means food 
     that has traditionally been prepared and consumed by an 
     Indian tribe.
       (B) Inclusions.--The term ``traditional food'' includes--
       (i) wild game meat;
       (ii) fish;
       (iii) seafood;
       (iv) marine mammals;
       (v) plants; and
       (vi) berries.
       (6) Tribal organization.--The term ``tribal organization'' 
     has the meaning given the term in section 4 of the Indian 
     Self-Determination and Education Assistance Act (25 U.S.C. 
     450b).
       (c) Program.--The Secretary and the Commissioner shall 
     allow the donation to and serving of traditional food through 
     food service programs at public facilities and nonprofit 
     facilities, including facilities operated by Indian tribes 
     and facilities operated by tribal organizations, that 
     primarily serve Indians if the operator of the food service 
     program--
       (1) ensures that the food is received whole, gutted, 
     gilled, as quarters, or as a roast, without further 
     processing;
       (2) makes a reasonable determination that--
       (A) the animal was not diseased;
       (B) the food was butchered, dressed, transported, and 
     stored to prevent contamination, undesirable microbial 
     growth, or deterioration; and
       (C) the food will not cause a significant health hazard or 
     potential for human illness;
       (3) carries out any further preparation or processing of 
     the food at a different time or in a different space from the 
     preparation or processing of other food for the applicable 
     program to prevent cross-contamination;
       (4) cleans and sanitizes food-contact surfaces of equipment 
     and utensils after processing the traditional food;
       (5) labels donated traditional food with the name of the 
     food;
       (6) stores the traditional food separately from other food 
     for the applicable program, including through storage in a 
     separate freezer or refrigerator or in a separate compartment 
     or shelf in the freezer or refrigerator;
       (7) follows Federal, State, local, county, tribal, or other 
     non-Federal law regarding the safe preparation and service of 
     food in public or nonprofit facilities; and
       (8) follows other such criteria as established by the 
     Secretary and Commissioner.
       (d) Liability.--
       (1) In general.--The United States, an Indian tribe, and a 
     tribal organization shall not be liable in any civil action 
     for any damage, injury, or death caused to any person by the 
     donation to or serving of traditional foods through food 
     service programs.
       (2) Rule of construction.--Nothing in paragraph (1) alters 
     any liability or other obligation of the United States under 
     the Indian Self-Determination and Education Assistance Act 
     (25 U.S.C. 1450 et seq.).

              Subtitle B--Commodity Distribution Programs

     SEC. 4101. COMMODITY DISTRIBUTION PROGRAM.

       Section 4(a) of the Agriculture and Consumer Protection Act 
     of 1973 (7 U.S.C. 612c note; Public Law 93-86) is amended in 
     the first sentence by striking ``2012'' and inserting 
     ``2018''.

     SEC. 4102. COMMODITY SUPPLEMENTAL FOOD PROGRAM.

       Section 5 of the Agriculture and Consumer Protection Act of 
     1973 (7 U.S.C. 612c note; Public Law 93-86) is amended--
       (1) in paragraphs (1) and (2)(B) of subsection (a), by 
     striking ``2012'' each place it appears and inserting 
     ``2018'';
       (2) in the first sentence of subsection (d)(2), by striking 
     ``2012'' and inserting ``2018'';
       (3) by striking subsection (g) and inserting the following:
       ``(g) Eligibility.--Except as provided in subsection (m), 
     the States shall only provide assistance under the commodity 
     supplemental food program to low-income persons aged 60 and 
     older.''; and
       (4) by adding at the end the following:
       ``(m) Phase-Out.--Notwithstanding any other provision of 
     law, an individual who receives assistance under the 
     commodity supplemental food program on the day before the 
     date of enactment of this subsection shall continue to 
     receive that assistance until the date on which the 
     individual is no longer eligible for assistance under the 
     eligibility requirements for the program in effect on the day 
     before the date of enactment of this subsection.''.

     SEC. 4103. DISTRIBUTION OF SURPLUS COMMODITIES TO SPECIAL 
                   NUTRITION PROJECTS.

       Section 1114(a)(2)(A) of the Agriculture and Food Act of 
     1981 (7 U.S.C. 1431e(2)(A)) is amended in the first sentence 
     by striking ``2012'' and inserting ``2018''.

     SEC. 4104. PROCESSING OF COMMODITIES.

       (a) In General.--Section 17 of the Commodity Distribution 
     Reform Act and WIC Amendments of 1987 (7 U.S.C. 612c note; 
     Public Law 100-237) is amended--
       (1) in the section heading, by inserting ``and processing'' 
     after ``donations''; and
       (2) by adding at the end the following:
       ``(c) Processing.--
       ``(1) In general.--For any program included under 
     subsection (b), the Secretary may, notwithstanding any other 
     provision of Federal or State law relating to the procurement 
     of goods and services--
       ``(A) retain title to commodities delivered to a processor, 
     on behalf of a State (including a State distributing agency 
     and a recipient agency), until such time as end products 
     containing the commodities, or similar commodities as 
     approved by the Secretary, are delivered to a State 
     distributing agency or to a recipient agency; and
       ``(B) promulgate regulations to ensure accountability for 
     commodities provided to a processor for processing into end 
     products, and to facilitate processing of commodities into 
     end products for use by recipient agencies.
       ``(2) Regulations.--The regulations described in paragraph 
     (1)(B) may provide that--
       ``(A) a processor that receives commodities for processing 
     into end products, or provides a service with respect to the 
     commodities or end products, in accordance with the agreement 
     of the processor with a State distributing agency or a 
     recipient agency, provide to the Secretary a bond or other 
     means of financial assurance to protect the value of the 
     commodities; and
       ``(B) in the event a processor fails to deliver to a State 
     distributing agency or a recipient agency an end product in 
     conformance with the processing agreement entered into under 
     this Act, the Secretary--
       ``(i) take action with respect to the bond or other means 
     of financial assurance pursuant to regulations promulgated 
     under this subsection; and
       ``(ii) distribute any proceeds obtained by the Secretary to 
     1 or more State distributing agencies and recipient agencies, 
     as determined appropriate by the Secretary.''.
       (b) Definitions.--Section 18 of the Commodity Distribution 
     Reform Act and WIC Amendments of 1987 (7 U.S.C. 612c note; 
     Public Law 100-237) is amended by striking paragraphs (1) and 
     (2) and inserting the following:
       ``(1) Commodities.--The term `commodities' means 
     agricultural commodities and their products that are donated 
     by the Secretary for use by recipient agencies.
       ``(2) End product.--The term `end product' means a food 
     product that contains processed commodities.''.
       (c) Technical and Conforming Amendments.--Section 3 of the 
     Commodity Distribution Reform Act and WIC Amendments of 1987 
     (7 U.S.C. 612c note; Public Law 100-237) is amended--
       (1) in subsection (a)--
       (A) in paragraph (2), by striking subparagraph (B) and 
     inserting the following:
       ``(B) the program established under section 4(b) of the 
     Food and Nutrition Act of 2008 (7 U.S.C. 2013(b));''; and
       (B) in paragraph (3)(D), by striking ``the Committee on 
     Education and Labor'' and inserting ``the Committee on 
     Education and the Workforce'';
       (2) in subsection (b)(1)(A)(ii), by striking ``section 32 
     of the Agricultural Adjustment Act (7 U.S.C. 601 et seq.)'' 
     and inserting ``section 32 of the Act of August 24, 1935 (7 
     U.S.C. 612c)'';
       (3) in subsection (e)(1)(D)(iii), by striking subclause 
     (II) and inserting the following:

       ``(II) the program established under section 4(b) of the 
     Food and Nutrition Act of 2008 (7 U.S.C. 2013(b));''; and

       (4) in subsection (k), by striking ``the Committee on 
     Education and Labor'' and inserting ``the Committee on 
     Education and the Workforce''.

                       Subtitle C--Miscellaneous

     SEC. 4201. PURCHASE OF FRESH FRUITS AND VEGETABLES FOR 
                   DISTRIBUTION TO SCHOOLS AND SERVICE 
                   INSTITUTIONS.

       Section 10603(b) of the Farm Security and Rural Investment 
     Act of 2002 (7 U.S.C. 612c-4(b)) is amended by striking 
     ``2012'' and inserting ``2018''.

     SEC. 4202. PILOT PROJECT FOR PROCUREMENT OF UNPROCESSED 
                   FRUITS AND VEGETABLES.

       Section 6 of the Richard B. Russell National School Lunch 
     Act (42 U.S.C. 1755) is amended by adding at the end the 
     following:
       ``(f) Pilot Project for Procurement of Unprocessed Fruits 
     and Vegetables.--
       ``(1) In general.--The Secretary shall conduct a pilot 
     project under which the Secretary shall facilitate the 
     procurement of unprocessed fruits and vegetables in not more 
     than 8 States receiving funds under this Act.

[[Page 1904]]

       ``(2) Purpose.--The purpose of the pilot project required 
     by this subsection is to provide selected States flexibility 
     for the procurement of unprocessed fruits and vegetables by 
     permitting each State--
       ``(A) to utilize multiple suppliers and products 
     established and qualified by the Secretary; and
       ``(B) to allow geographic preference, if desired, in the 
     procurement of the products under the pilot project.
       ``(3) Selection and participation.--
       ``(A) In general.--The Secretary shall select States for 
     participation in the pilot project in accordance with 
     criteria established by the Secretary and terms and 
     conditions established for participation.
       ``(B) Requirement.--The Secretary shall ensure that at 
     least 1 project is located in a State in each of--
       ``(i) the Pacific Northwest Region;
       ``(ii) the Northeast Region;
       ``(iii) the Western Region;
       ``(iv) the Midwest Region; and
       ``(v) the Southern Region.
       ``(4) Priority.--In selecting States for participation in 
     the pilot project, the Secretary shall prioritize 
     applications based on--
       ``(A) the quantity and variety of growers of local fruits 
     and vegetables in the States on a per capita basis;
       ``(B) the demonstrated commitment of the States to farm-to-
     school efforts, as evidenced by prior efforts to increase and 
     promote farm-to-school programs in the States; and
       ``(C) whether the States contain a sufficient quantity of 
     local educational agencies, various population sizes, and 
     geographical locations.
       ``(5) Recordkeeping and reporting requirements.--
       ``(A) Recordkeeping requirement.--States selected to 
     participate in the pilot project, and participating school 
     food authorities within those States, shall keep records of 
     the fruits and vegetables received under the pilot project in 
     such manner and form as requested by the Secretary.
       ``(B) Reporting requirement.--Each participating State 
     shall submit to the Secretary a report on the success of the 
     pilot project in the State, including information on--
       ``(i) the quantity and cost of each type of fruit and 
     vegetable received by the State under the pilot project; and
       ``(ii) the benefit provided by those procurements in 
     conducting school food service in the State, including 
     meeting school meal requirements.''.

     SEC. 4203. SENIORS FARMERS' MARKET NUTRITION PROGRAM.

       (a) In General.--Section 4402(a) of the Farm Security and 
     Rural Investment Act of 2002 (7 U.S.C. 3007(a)) is amended by 
     striking ``2012'' and inserting ``2018''.
       (b) Effective Date.--The amendment made by subsection (a) 
     takes effect on October 1, 2013.

     SEC. 4204. DIETARY GUIDELINES FOR AMERICANS.

       Section 301(a) of the National Nutrition Monitoring and 
     Related Research Act of 1990 (7 U.S.C. 5341(a)) is amended by 
     adding at the end the following:
       ``(3) Pregnant women and young children.--Not later than 
     the 2020 report and in each report thereafter, the 
     Secretaries shall include national nutritional and dietary 
     information and guidelines for pregnant women and children 
     from birth until the age of 2.''.

     SEC. 4205. MULTIAGENCY TASK FORCE.

       Subtitle D of title II of the Department of Agriculture 
     Reorganization Act of 1994 (7 U.S.C. 6951 et seq.) is amended 
     by adding at the end the following:

     ``SEC. 242. MULTIAGENCY TASK FORCE.

       ``(a) In General.--The Secretary shall establish, in the 
     office of the Under Secretary for Food, Nutrition, and 
     Consumer Services, a multiagency task force for the purpose 
     of providing coordination and direction for commodity 
     programs.
       ``(b) Composition.--The Task Force shall be composed of at 
     least 4 members, including--
       ``(1) a representative from the Food Distribution Division 
     of the Food and Nutrition Service, who shall--
       ``(A) be appointed by the Under Secretary for Food, 
     Nutrition, and Consumer Services; and
       ``(B) serve as Chairperson of the Task Force;
       ``(2) at least 1 representative from the Agricultural 
     Marketing Service, who shall be appointed by the Under 
     Secretary for Marketing and Regulatory Programs;
       ``(3) at least 1 representative from the Farm Services 
     Agency, who shall be appointed by the Under Secretary for 
     Farm and Foreign Agricultural Services; and
       ``(4) at least 1 representative from the Food Safety and 
     Inspection Service, who shall be appointed by the Under 
     Secretary for Food Safety.
       ``(c) Duties.--
       ``(1) In general.--The Task Force shall be responsible for 
     evaluation and monitoring of the commodity programs to ensure 
     that the commodity programs meet the mission of the 
     Department--
       ``(A) to support the United States farm sector; and
       ``(B) to contribute to the health and well-being of 
     individuals in the United States through the distribution of 
     domestic agricultural products through commodity programs.
       ``(2) Specific duties.--In carrying out paragraph (1), the 
     Task Force shall--
       ``(A) review and make recommendations regarding the 
     specifications used for the procurement of food commodities;
       ``(B) review and make recommendations regarding the 
     efficient and effective distribution of food commodities; and
       ``(C) review and make recommendations regarding the degree 
     to which the quantity, quality, and specifications of 
     procured food commodities align the needs of producers and 
     the preferences of recipient agencies.
       ``(d) Reports.--Not later than 1 year after the date of 
     enactment of this section, and annually thereafter, the 
     Secretary shall submit to Congress a report that describes, 
     for the period covered by the report--
       ``(1) the findings and recommendations of the Task Force; 
     and
       ``(2) policies implemented for the improvement of commodity 
     procurement programs.''.

     SEC. 4206. HEALTHY FOOD FINANCING INITIATIVE.

       Subtitle D of title II of the Department of Agriculture 
     Reorganization Act of 1994 (7 U.S.C. 6951 et seq.) (as 
     amended by section 4205) is amended by adding at the end the 
     following:

     ``SEC. 243. HEALTHY FOOD FINANCING INITIATIVE.

       ``(a) Purpose.--The purpose of this section is to enhance 
     the authorities of the Secretary to support efforts to 
     provide access to healthy food by establishing an initiative 
     to improve access to healthy foods in underserved areas, to 
     create and preserve quality jobs, and to revitalize low-
     income communities by providing loans and grants to eligible 
     fresh, healthy food retailers to overcome the higher costs 
     and initial barriers to entry in underserved areas.
       ``(b) Definitions.--In this section:
       ``(1) Community development financial institution.--The 
     term `community development financial institution' has the 
     meaning given the term in section 103 of the Community 
     Development Banking and Financial Institutions Act of 1994 
     (12 U.S.C. 4702).
       ``(2) Initiative.--The term `Initiative' means the Healthy 
     Food Financing Initiative established under subsection 
     (c)(1).
       ``(3) National fund manager.--The term `national fund 
     manager' means a community development financial institution 
     that is--
       ``(A) in existence on the date of enactment of this 
     section; and
       ``(B) certified by the Community Development Financial 
     Institution Fund of the Department of Treasury to manage the 
     Initiative for purposes of--
       ``(i) raising private capital;
       ``(ii) providing financial and technical assistance to 
     partnerships; and
       ``(iii) funding eligible projects to attract fresh, healthy 
     food retailers to underserved areas, in accordance with this 
     section.
       ``(4) Partnership.--The term `partnership' means a 
     regional, State, or local public-private partnership that--
       ``(A) is organized to improve access to fresh, healthy 
     foods;
       ``(B) provides financial and technical assistance to 
     eligible projects; and
       ``(C) meets such other criteria as the Secretary may 
     establish.
       ``(5) Perishable food.--The term `perishable food' means a 
     staple food that is fresh, refrigerated, or frozen.
       ``(6) Quality job.--The term `quality job' means a job that 
     provides wages and other benefits comparable to, or better 
     than, similar positions in existing businesses of similar 
     size in similar local economies.
       ``(7) Staple food.--
       ``(A) In general.--The term `staple food' means food that 
     is a basic dietary item.
       ``(B) Inclusions.--The term `staple food' includes--
       ``(i) bread or cereal;
       ``(ii) flour;
       ``(iii) fruits;
       ``(iv) vegetables;
       ``(v) meat; and
       ``(vi) dairy products.
       ``(c) Initiative.--
       ``(1) Establishment.--The Secretary shall establish an 
     initiative to achieve the purpose described in subsection (a) 
     in accordance with this subsection.
       ``(2) Implementation.--
       ``(A) In general.--
       ``(i) In general.--In carrying out the Initiative, the 
     Secretary shall provide funding to entities with eligible 
     projects, as described in subparagraph (B), subject to the 
     priorities described in subparagraph (C).
       ``(ii) Use of funds.--Funds provided to an entity pursuant 
     to clause (i) shall be used--

       ``(I) to create revolving loan pools of capital or other 
     products to provide loans to finance eligible projects or 
     partnerships;
       ``(II) to provide grants for eligible projects or 
     partnerships;
       ``(III) to provide technical assistance to funded projects 
     and entities seeking Initiative funding; and
       ``(IV) to cover administrative expenses of the national 
     fund manager in an amount not

[[Page 1905]]

     to exceed 10 percent of the Federal funds provided.

       ``(B) Eligible projects.--Subject to the approval of the 
     Secretary, the national fund manager shall establish 
     eligibility criteria for projects under the Initiative, which 
     shall include the existence or planned execution of 
     agreements--
       ``(i) to expand or preserve the availability of staple 
     foods in underserved areas with moderate- and low-income 
     populations by maintaining or increasing the number of retail 
     outlets that offer an assortment of perishable food and 
     staple food items, as determined by the Secretary, in those 
     areas; and
       ``(ii) to accept benefits under the supplemental nutrition 
     assistance program established under the Food and Nutrition 
     Act of 2008 (7 U.S.C. 2011 et seq.).
       ``(C) Priorities.--In carrying out the Initiative, priority 
     shall be given to projects that--
       ``(i) are located in severely distressed low-income 
     communities, as defined by the Community Development 
     Financial Institutions Fund of the Department of Treasury; 
     and
       ``(ii) include 1 or more of the following characteristics:

       ``(I) The project will create or retain quality jobs for 
     low-income residents in the community.
       ``(II) The project supports regional food systems and 
     locally grown foods, to the maximum extent practicable.
       ``(III) In areas served by public transit, the project is 
     accessible by public transit.
       ``(IV) The project involves women- or minority-owned 
     businesses.
       ``(V) The project receives funding from other sources, 
     including other Federal agencies.
       ``(VI) The project otherwise advances the purpose of this 
     section, as determined by the Secretary.

       ``(d) Authorization of Appropriations.--There is authorized 
     to be appropriated to the Secretary to carry out this section 
     $125,000,000, to remain available until expended.''.

     SEC. 4207. PURCHASE OF HALAL AND KOSHER FOOD FOR EMERGENCY 
                   FOOD ASSISTANCE PROGRAM.

       Section 202 of the Emergency Food Assistance Act of 1983 (7 
     U.S.C. 7502) is amended by adding at the end the following:
       ``(h) Kosher and Halal Food.--As soon as practicable after 
     the date of enactment of this subsection, the Secretary shall 
     finalize and implement a plan--
       ``(1) to increase the purchase of Kosher and Halal food 
     from food manufacturers with a Kosher or Halal certification 
     to carry out the program established under this Act if the 
     Kosher and Halal food purchased is cost neutral as compared 
     to food that is not from food manufacturers with a Kosher or 
     Halal certification; and
       ``(2) to modify the labeling of the commodities list used 
     to carry out the program in a manner that enables Kosher and 
     Halal distribution entities to identify which commodities to 
     obtain from local food banks.''.

     SEC. 4208. FOOD INSECURITY NUTRITION INCENTIVE.

       Section 4405 of the Food, Conservation, and Energy Act of 
     2008 (7 U.S.C. 7517) is amended to read as follows:

     ``SEC. 4405. FOOD INSECURITY NUTRITION INCENTIVE.

       ``(a) In General.--In this section:
       ``(1) Eligible entity.--The term `eligible entity' means--
       ``(A) a nonprofit organization (including an emergency 
     feeding organization);
       ``(B) an agricultural cooperative;
       ``(C) a producer network or association;
       ``(D) a community health organization;
       ``(E) a public benefit corporation;
       ``(F) an economic development corporation;
       ``(G) a farmers' market;
       ``(H) a community-supported agriculture program;
       ``(I) a buying club;
       ``(J) a retail food store participating in the supplemental 
     nutrition assistance program;
       ``(K) a State, local, or tribal agency; and
       ``(L) any other entity the Secretary designates.
       ``(2) Emergency feeding organization.--The term `emergency 
     feeding organization' has the meaning given the term in 
     section 201A of the Emergency Food Assistance Act of 1983 (7 
     U.S.C. 7501).
       ``(3) Supplemental nutrition assistance program.--The term 
     `supplemental nutrition assistance program' means the 
     supplemental nutrition assistance program established under 
     the Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.).
       ``(b) Food Insecurity Nutrition Incentive Grants.--
       ``(1) Authorization.--
       ``(A) In general.--In each of the years specified in 
     subsection (c), the Secretary shall make grants to eligible 
     entities in accordance with paragraph (2).
       ``(B) Federal share.--The Federal share of the cost of 
     carrying out an activity under this subsection shall not 
     exceed 50 percent of the total cost of the activity.
       ``(C) Non-federal share.--
       ``(i) In general.--The non-Federal share of the cost of an 
     activity under this subsection may be provided--

       ``(I) in cash or in-kind contributions as determined by the 
     Secretary, including facilities, equipment, or services; and
       ``(II) by a State or local government or a private source.

       ``(ii) Limitation.--In the case of a for-profit entity, the 
     non-Federal share described in clause (i) shall not include 
     services of an employee, including salaries paid or expenses 
     covered by the employer.
       ``(2) Criteria.--
       ``(A) In general.--For purposes of this subsection, an 
     eligible entity is a governmental agency or nonprofit 
     organization that--
       ``(i) meets the application criteria set forth by the 
     Secretary; and
       ``(ii) proposes a project that, at a minimum--

       ``(I) has the support of the State agency;
       ``(II) would increase the purchase of fruits and vegetables 
     by low-income consumers participating in the supplemental 
     nutrition assistance program by providing incentives at the 
     point of purchase;
       ``(III) agrees to participate in the evaluation described 
     in paragraph (4);
       ``(IV) ensures that the same terms and conditions apply to 
     purchases made by individuals with benefits issued under this 
     Act and incentives provided for in this subsection as apply 
     to purchases made by individuals who are not members of 
     households receiving benefits, such as provided for in 
     section 278.2(b) of title 7, Code of Federal Regulations (or 
     a successor regulation); and
       ``(V) includes effective and efficient technologies for 
     benefit redemption systems that may be replicated in other 
     States and communities.

       ``(B) Priority.--In awarding grants under this section, the 
     Secretary shall give priority to projects that--
       ``(i) maximize the share of funds used for direct 
     incentives to participants;
       ``(ii) use direct-to-consumer sales marketing;
       ``(iii) demonstrate a track record of designing and 
     implementing successful nutrition incentive programs that 
     connect low-income consumers and agricultural producers;
       ``(iv) provide locally or regionally produced fruits and 
     vegetables;
       ``(v) are located in underserved communities; or
       ``(vi) address other criteria as established by the 
     Secretary.
       ``(3) Applicability.--
       ``(A) In general.--The value of any benefit provided to a 
     participant in any activity funded under this subsection 
     shall be treated as supplemental nutrition benefits under 
     section 8(b) of the Food and Nutrition Act of 2008 (7 U.S.C. 
     2017(b)).
       ``(B) Prohibition on collection of sales taxes.--Each State 
     shall ensure that no State or local tax is collected on a 
     purchase of food under this subsection.
       ``(C) No limitation on benefits.--A grant made available 
     under this subsection shall not be used to carry out any 
     project that limits the use of benefits under the Food and 
     Nutrition Act of 2008 (7 U.S.C. 2011 et seq.) or any other 
     Federal nutrition law.
       ``(D) Household allotment.--Assistance provided under this 
     subsection to households receiving benefits under the 
     supplemental nutrition assistance program shall not--
       ``(i) be considered part of the supplemental nutrition 
     assistance program benefits of the household; or
       ``(ii) be used in the collection or disposition of claims 
     under section 13 of the Food and Nutrition Act of 2008 (7 
     U.S.C. 2022).
       ``(4) Evaluation.--
       ``(A) Independent evaluation.--The Secretary shall provide 
     for an independent evaluation of projects selected under this 
     subsection that measures the impact of each project on--
       ``(i) improving the nutrition and health status of 
     participating households receiving incentives under this 
     subsection; and
       ``(ii) increasing fruit and vegetable purchases in 
     participating households.
       ``(B) Requirement.--The independent evaluation under 
     subparagraph (A) shall use rigorous methodologies capable of 
     producing scientifically valid information regarding the 
     effectiveness of a project.
       ``(C) Costs.--The Secretary may use funds not to exceed 10 
     percent of the funding provided to carry out this section to 
     pay costs associated with administering, monitoring, and 
     evaluating each project.
       ``(c) Funding.--
       ``(1) Authorization of appropriations.--There is authorized 
     to be appropriated to carry out subsection (b) $5,000,000 for 
     each of fiscal years 2014 through 2018.
       ``(2) Mandatory funding.--Of the funds of the Commodity 
     Credit Corporation, the Secretary shall use to carry out 
     subsection (b)--
       ``(A) $35,000,000 for the period of fiscal years 2014 and 
     2015;
       ``(B) $20,000,000 for each of fiscal years 2016 and 2017; 
     and
       ``(C) $25,000,000 for fiscal year 2018.''.

     SEC. 4209. FOOD AND AGRICULTURE SERVICE LEARNING PROGRAM.

       Title IV of the Agricultural Research, Extension, and 
     Education Reform Act of 1998 (7 U.S.C. 7630 et seq.) is 
     amended by adding at the end the following:

     ``SEC. 413. FOOD AND AGRICULTURE SERVICE LEARNING PROGRAM.

       ``(a) In General.--Subject to the availability of 
     appropriations under subsection

[[Page 1906]]

     (e), the Secretary, acting through the Director of the 
     National Institute of Food and Agriculture, and working in 
     consultation with other appropriate Federal agencies that 
     oversee national service programs, shall administer a 
     competitively awarded food and agriculture service learning 
     grant program (referred to in this section as the `Program') 
     to increase knowledge of agriculture and improve the 
     nutritional health of children.
       ``(b) Purposes.--The purposes of the Program are--
       ``(1) to increase capacity for food, garden, and nutrition 
     education within host organizations or entities and school 
     cafeterias and in the classroom;
       ``(2) to complement and build on the efforts of the farm to 
     school programs implemented under section 18(g) of the 
     Richard B. Russell National School Lunch Act (42 U.S.C. 
     1769(g));
       ``(3) to complement efforts by the Department and school 
     food authorities to implement the school lunch program 
     established under the Richard B. Russell National School 
     Lunch Act (42 U.S.C. 1751 et seq.) and the school breakfast 
     program established by section 4 of the Child Nutrition Act 
     of 1966 (42 U.S.C. 1773);
       ``(4) to carry out activities that advance the nutritional 
     health of children and nutrition education in elementary 
     schools and secondary schools (as those terms are defined in 
     section 9101 of the Elementary and Secondary Education Act of 
     1965 (20 U.S.C. 7801)); and
       ``(5) to foster higher levels of community engagement and 
     support the expansion of national service and volunteer 
     opportunities.
       ``(c) Grants.--
       ``(1) In general.--In carrying out the Program, the 
     Director of the National Institute of Food and Agriculture 
     shall make competitive grants to eligible entities that carry 
     out the purposes described in paragraphs (1) through (5) of 
     subsection (b).
       ``(2) Priorities.--In making grants under this section, the 
     Secretary may consider projects that are carried out by 
     entities that--
       ``(A) have a proven track record in carrying out the 
     purposes described in subsection (b);
       ``(B) work in underserved rural and urban communities;
       ``(C) teach and engage children in experiential learning 
     about agriculture, gardening, nutrition, cooking, and where 
     food comes from; and
       ``(D) facilitate a connection between elementary schools 
     and secondary schools and agricultural producers in the local 
     and regional area.
       ``(d) Accountability.--
       ``(1) In general.--The Secretary may require a partner 
     organization or other qualified entity to collect and report 
     any data on the activities carried out under the Program, as 
     determined by the Secretary.
       ``(2) Evaluation.--The Secretary shall--
       ``(A) conduct regular evaluations of the activities carried 
     out under the Program; and
       ``(B) submit to the Committee on Agriculture of the House 
     of Representatives and the Committee on Agriculture, 
     Nutrition, and Forestry of the Senate a report that includes 
     a description of the results of each evaluation conducted 
     under subparagraph (A).
       ``(e) Funding.--
       ``(1) Authorization of appropriations.--There is authorized 
     to be appropriated to carry out the Program $25,000,000, to 
     remain available until expended.
       ``(2) Administration.--Paragraphs (4), (7), (8), and 
     (11)(B) of subsection (b) of the Competitive, Special, and 
     Facilities Research Grant Act (7 U.S.C. 450i(b)) shall apply 
     with respect to the making of a competitive grant under this 
     section.
       ``(3) Maintenance of effort.--Funds made available under 
     paragraph (1) shall be used only to supplement, not to 
     supplant, the amount of Federal funding otherwise expended 
     for nutrition, research, and extension programs of the 
     Department.''.

     SEC. 4210. NUTRITION INFORMATION AND AWARENESS PILOT PROGRAM.

       Section 4403 of the Farm Security and Rural Investment Act 
     of 2002 (7 U.S.C. 3171 note; Public Law 107-171) is repealed.

     SEC. 4211. TERMINATION OF EXISTING AGREEMENT.

       Effective beginning on the date of the enactment of this 
     Act, the memorandum of understanding entered into on July 22, 
     2004, by the Secretary of Agriculture of the United States 
     Department of Agriculture and the Secretary of Foreign 
     Affairs of the Republic of Mexico and known as the 
     ``Partnership for Nutrition Assistance Initiative'' is null 
     and void.

     SEC. 4212. REVIEW OF SOLE-SOURCE CONTRACTS IN FEDERAL 
                   NUTRITION PROGRAMS.

       (a) In General.--The Secretary shall conduct an evaluation 
     of sole-source contracts in Federal nutrition programs 
     carried out by the Secretary, and the effect the contracts 
     have on program participation, program goals, nonprogram 
     consumers, retailers, and free market dynamics.
       (b) Report.--Not later than 1 year after the date of 
     enactment of this Act, the Secretary 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 that describes the findings of the review 
     conducted under subsection (a).

     SEC. 4213. PULSE CROP PRODUCTS.

       (a) Purpose.--The purpose of this section is to encourage 
     greater awareness and interest in the number and variety of 
     pulse crop products available to schoolchildren, as 
     recommended by the most recent Dietary Guidelines for 
     Americans published under section 301 of the National 
     Nutrition Monitoring and Related Research Act of 1990 (7 
     U.S.C. 5341).
       (b) Definitions.--In this section:
       (1) Eligible pulse crop.--The term ``eligible pulse crop'' 
     means dry beans, dry peas, lentils, and chickpeas.
       (2) Pulse crop product.--The term ``pulse crop product'' 
     means a food product derived in whole or in part from an 
     eligible pulse crop.
       (c) Purchase of Pulse Crops and Pulse Crop Products.--In 
     addition to the commodities delivered under section 6 of the 
     Richard B. Russell National School Lunch Act (42 U.S.C. 
     1755), subject to the availability of appropriations, the 
     Secretary shall purchase eligible pulse crops and pulse crop 
     products for use in--
       (1) the school lunch program established under the Richard 
     B. Russell National School Lunch Act (42 U.S.C. 1751 et 
     seq.); and
       (2) the school breakfast program established by section 4 
     of the Child Nutrition Act of 1966 (42 U.S.C. 1773).
       (d) Evaluation.--Not later than September 30, 2016, the 
     Secretary shall conduct an evaluation of the activities 
     conducted under subsection (c), including--
       (1) an evaluation of whether children participating in the 
     school lunch and breakfast programs described in subsection 
     (c) increased overall consumption of eligible pulse crops as 
     a result of the activities;
       (2) an evaluation of which eligible pulse crops and pulse 
     crop products are most acceptable for use in the school lunch 
     and breakfast programs;
       (3) any recommendations of the Secretary regarding the 
     integration of the use of pulse crop products in carrying out 
     the school lunch and breakfast programs;
       (4) an evaluation of any change in the nutrient composition 
     in the school lunch and breakfast programs due to the 
     activities; and
       (5) an evaluation of any other outcomes determined to be 
     appropriate by the Secretary.
       (e) Report.--As soon as practicable after the completion of 
     the evaluation under subsection (d), the Secretary shall 
     submit to the Committee on Agriculture, Nutrition, and 
     Forestry of the Senate and the Committee on Education and the 
     Workforce of the House of Representative a report describing 
     the results of the evaluation.
       (f) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out this section $10,000,000, to 
     remain available until expended.

     SEC. 4214. PILOT PROJECT FOR CANNED, FROZEN, OR DRIED FRUITS 
                   AND VEGETABLES.

       (a) In General.--Subject to subsection (b), in the 2014-
     2015 school year, the Secretary shall carry out a pilot 
     project in schools participating in the Fresh Fruit and 
     Vegetable Program under section 19 of the Richard B. Russell 
     National School Lunch Act (42 U.S.C. 1769a) (referred to in 
     this section as the ``Program''), in not less than 5 States, 
     to evaluate the impact of allowing schools to offer canned, 
     frozen, or dried fruits and vegetables as part of the 
     Program.
       (b) Requirements.--Not later than 60 days after the date of 
     enactment of this Act, the Secretary shall establish criteria 
     for the conditions under which canned, frozen, or dried 
     fruits and vegetables may be offered, which shall be in 
     accordance with the most recent Dietary Guidelines for 
     Americans published under section 301 of the National 
     Nutrition Monitoring and Related Research Act of 1990 (7 
     U.S.C. 5341).
       (c) Evaluation.--With respect to the pilot project, the 
     Secretary shall evaluate--
       (1) the impacts on fruit and vegetable consumption at the 
     schools participating in the pilot project;
       (2) the impacts of the pilot project on school 
     participation in the Program and operation of the Program;
       (3) the implementation strategies used by the schools 
     participating in the pilot project;
       (4) the acceptance of the pilot project by key 
     stakeholders; and
       (5) such other outcomes as are determined by the Secretary.
       (d) Reports.--
       (1) Interim report.--Not later than January 1, 2015, the 
     Secretary shall submit to the Committee on Education and 
     Workforce of the House of Representatives and the Committee 
     on Agriculture, Nutrition, and Forestry of the Senate a 
     report that describes the results of the evaluation under 
     subsection (c).
       (2) Final report .--On completion of the pilot project, the 
     Secretary shall submit to the Committee on Education and 
     Workforce of the House of Representatives and the Committee 
     on Agriculture, Nutrition, and Forestry of the Senate a 
     report that describes the results of the evaluation under 
     subsection (c).
       (e) Notice of Availability.--As soon as practicable after 
     the date on which the Secretary establishes the criteria for 
     the pilot

[[Page 1907]]

     project under subsection (b), the Secretary shall notify 
     potentially eligible schools of the potential eligibility of 
     the schools for participation in the pilot project.
       (f) Relationship to Fresh Fruit and Vegetable Program.--
     Nothing in this section permits a school that is not a part 
     of the pilot project to offer anything other than fresh 
     fruits and vegetables through the Program.
       (g) Funding.--The Secretary shall use $5,000,000 of amounts 
     otherwise made available to the Secretary to carry out this 
     section.

                            TITLE V--CREDIT

                    Subtitle A--Farm Ownership Loans

     SEC. 5001. ELIGIBILITY FOR FARM OWNERSHIP LOANS.

       (a) In General.--Section 302(a) of the Consolidated Farm 
     and Rural Development Act (7 U.S.C. 1922(a)) is amended--
       (1) by striking ``(a) In General.--The'' and inserting the 
     following:
       ``(a) In General.--
       ``(1) Eligibility requirements.--The'';
       (2) in the first sentence, by striking ``and limited 
     liability companies'' and inserting ``limited liability 
     companies, and such other legal entities as the Secretary 
     considers appropriate,'';
       (3) in the second sentence, by redesignating paragraphs (1) 
     through (4) as subparagraphs (A) through (D), respectively;
       (4) in each of the second and third sentences, by striking 
     ``and limited liability companies'' each place it appears and 
     inserting ``limited liability companies, and such other legal 
     entities'';
       (5) in the third sentence--
       (A) by striking ``clause (3)'' and inserting ``subparagraph 
     (C)'';
       (B) by striking ``clause (4)'' and inserting ``subparagraph 
     (D)''; and
       (6) by adding at the end the following:
       ``(2) Special rules.--
       ``(A) Eligibility of certain operating-only entities.--An 
     entity that is or will become only the operator of a family 
     farm shall be considered to meet the owner-operator 
     requirements of paragraph (1) if the individuals that are the 
     owners of the family farm own more than 50 percent (or such 
     other percentage as the Secretary determines is appropriate) 
     of the entity.
       ``(B) Eligibility of certain embedded entities.--An entity 
     that is an owner-operator described in paragraph (1), or an 
     operator described in subparagraph (A) of this paragraph that 
     is owned, in whole or in part, by other entities, shall be 
     considered to meet the direct ownership requirement imposed 
     under paragraph (1) if at least 75 percent of the ownership 
     interests of each embedded entity of the entity is owned 
     directly or indirectly by the individuals that own the family 
     farm.''.
       (b) Direct Farm Ownership Experience Requirement.--Section 
     302(b)(1) of the Consolidated Farm and Rural Development Act 
     (7 U.S.C. 1922(b)(1)) is amended in the matter preceding 
     subparagraph (A) by inserting ``or has other acceptable 
     experience for a period of time, as determined by the 
     Secretary,'' after ``3 years''.
       (c) Conforming Amendments.--
       (1) Section 304(c)(2) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 1924(c)(2)) by striking 
     ``paragraphs (1) and (2) of section 302(a)'' and inserting 
     ``subparagraphs (A) and (B) of section 302(a)(1)''.
       (2) Section 310D(a) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 1934(a)) is amended in the second 
     sentence--
       (A) by inserting after ``partnership'' the following: ``, 
     or such other legal entities as the Secretary considers 
     appropriate,''; and
       (B) by striking ``or partners'' each place it appears and 
     inserting ``partners, or owners''.

     SEC. 5002. CONSERVATION LOAN AND LOAN GUARANTEE PROGRAM.

       (a) Eligibility.--Section 304(c) of the Consolidated Farm 
     and Rural Development Act (7 U.S.C. 1924(c)) is amended by 
     striking ``or limited liability companies'' and inserting 
     ``limited liability companies, or such other legal entities 
     as the Secretary considers appropriate''.
       (b) Limitations Applicable to Loan Guarantees.--Section 
     304(e) of the Consolidated Farm and Rural Development Act (7 
     U.S.C. 1924(e)) is amended by striking ``shall be 75 percent 
     of the principal amount of the loan.'' and inserting ``shall 
     be--
       ``(1) 80 percent of the principal amount of the loan; or
       ``(2) in the case of a producer that is a qualified 
     socially disadvantaged farmer or rancher or a beginning 
     farmer or rancher, 90 percent of the principal amount of the 
     loan.''.
       (c) Extension of Program.--Section 304 of the Consolidated 
     Farm and Rural Development Act (7 U.S.C. 1924) is amended by 
     striking subsection (h) and inserting the following:
       ``(h) Authorization of Appropriations.--There is authorized 
     to be appropriated to the Secretary to carry out this section 
     $150,000,000 for each of fiscal years 2014 through 2018.''.

     SEC. 5003. JOINT FINANCING ARRANGEMENTS.

       Section 307(a)(3) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 1927(a)(3)) is amended by striking 
     subparagraph (D) and inserting the following:
       ``(D) Joint financing arrangements.--If a direct farm 
     ownership loan is made under this subtitle as part of a joint 
     financing arrangement and the amount of the direct farm 
     ownership loan does not exceed 50 percent of the total 
     principal amount financed under the arrangement, the interest 
     rate on the direct farm ownership loan shall be a rate equal 
     to the greater of--
       ``(i) the difference between--

       ``(I) 2 percent; and
       ``(II) the interest rate for farm ownership loans under 
     this subtitle; or

       ``(ii) 2.5 percent.''.

     SEC. 5004. ELIMINATION OF MINERAL RIGHTS APPRAISAL 
                   REQUIREMENT.

       Section 307 of the Consolidated Farm and Rural Development 
     Act (7 U.S.C. 1927) is amended--
       (1) by striking subsection (d); and
       (2) by redesignating subsection (e) as subsection (d).

     SEC. 5005. DOWN PAYMENT LOAN PROGRAM.

       (a) In General.--Section 310E(b)(1)(C) of the Consolidated 
     Farm and Rural Development Act (7 U.S.C. 1935(b)(1)(C)) is 
     amended by striking ``$500,000'' and inserting ``$667,000''.
       (b) Technical Correction.--Section 310E(b) of the 
     Consolidated Farm and Rural Development Act (7 U.S.C. 
     1935(b)) is amended by striking paragraph (2) (as added by 
     section 7(a) of Public Law 102-554; 106 Stat. 4145).

                      Subtitle B--Operating Loans

     SEC. 5101. ELIGIBILITY FOR FARM OPERATING LOANS.

       Section 311(a) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 1941(a)) is amended--
       (1) by striking ``(a) In General.--The'' and inserting the 
     following:
       ``(a) In General.--
       ``(1) Eligibility requirements.--The'';
       (2) in the first sentence, by striking ``and limited 
     liability companies'' and inserting `` limited liability 
     companies, and such other legal entities as the Secretary 
     considers appropriate,'';
       (3) in the second sentence, by redesignating paragraphs (1) 
     through (4) as subparagraphs (A) through (D), respectively;
       (4) in each of the second and third sentences, by striking 
     ``and limited liability companies'' each place it appears and 
     inserting ``limited liability companies, and such other legal 
     entities'';
       (5) in the third sentence--
       (A) by striking ``clause (3)'' and inserting ``subparagraph 
     (C)''; and
       (B) by striking ``clause (4)'' and inserting ``subparagraph 
     (D)''; and
       (6) by adding at the end the following:
       ``(2) Special rule.--An entity that is an operator 
     described in paragraph (1) that is owned, in whole or in 
     part, by other entities, shall be considered to meet the 
     direct ownership requirement imposed under paragraph (1) if 
     at least 75 percent of the ownership interests of each 
     embedded entity of the entity is owned directly or indirectly 
     by the individuals that own the family farm.''.

     SEC. 5102. ELIMINATION OF RURAL RESIDENCY REQUIREMENT FOR 
                   OPERATING LOANS TO YOUTH.

       Section 311(b)(1) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 1941(b)(1)) is amended by striking 
     ``who are rural residents''.

     SEC. 5103. DEFAULTS BY YOUTH LOAN BORROWERS.

       Section 311(b) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 1941(b)) is amended by adding at 
     the end the following:
       ``(5) Equitable considerations for default.--
       ``(A) Debt forgiveness.--
       ``(i) In general.--The Secretary may, on a case-by-case 
     basis, provide debt forgiveness to a borrower for a loan made 
     under this subsection if the borrower was unable to timely 
     repay the loan due to circumstances beyond the control of the 
     borrower, as determined by the Secretary, including any 
     natural disaster, act of terrorism, or other man-made 
     disaster that results in an inordinate level of damage or 
     disruption severely affecting the borrower.
       ``(ii) Eligibility for future loans.--Notwithstanding any 
     other provision of law, debt forgiveness provided under this 
     subparagraph shall not be used by any Federal agency in 
     determining the eligibility of the borrower for any loan made 
     or guaranteed by the agency.
       ``(B) Education loans.--Notwithstanding any other provision 
     of law, if a borrower becomes delinquent or is provided with 
     debt forgiveness with respect to a youth loan made under this 
     subsection, the borrower shall not become ineligible, as a 
     result of the delinquency or debt forgiveness, to receive 
     loans and loan guarantees from the Federal Government to pay 
     for education expenses of the borrower.''.

     SEC. 5104. TERM LIMITS ON DIRECT OPERATING LOANS.

       Section 311(c) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 1941(c)) is amended by adding at 
     the end the following:
       ``(5) Annual report on term limits on direct operating 
     loans.--
       ``(A) In general.--The Secretary shall prepare a report 
     annually that describes--

[[Page 1908]]

       ``(i) the status of the direct operating loan program of 
     the Department of Agriculture; and
       ``(ii) the impact of term limits on direct loan borrowers.
       ``(B) Demographic information.--
       ``(i) In general.--The report shall provide a demographic 
     breakdown, on a State-by-State basis, of--

       ``(I) all direct loan borrowers; and
       ``(II) borrowers that have reached the eligibility limit 
     for direct lending programs during the previous calendar 
     year.

       ``(ii) Demographic information.--The available demographic 
     information shall include, to the maximum extent practicable, 
     a description of race or ethnicity, gender, age, type of farm 
     or ranch, financial classification, number of years of 
     indebtedness, veteran status, and other similar information, 
     as determined by the Secretary.
       ``(C) Additional content.--In addition to information 
     described in subparagraph (B), the report shall provide--
       ``(i) a demographic analysis of the borrowers impacted by 
     term limits;
       ``(ii) information on the conditions impacting the direct 
     lending portfolio of the Department of Agriculture, including 
     impacts by region and agriculture sector, and credit 
     availability within those regions and sectors;
       ``(iii) to the maximum extent practicable, information on 
     the status of borrower operations impacted by term limits; 
     and
       ``(iv) recommendations, if appropriate, to address any 
     identifiable unmet credit needs.
       ``(D) Submission.--The Secretary shall--
       ``(i) annually submit to the Committee on Agriculture of 
     the House of Representatives and the Committee on 
     Agriculture, Nutrition, and Forestry of the Senate a copy of 
     the report; and
       ``(ii) make the report available to the public, including 
     posting the report on the website of the Department of 
     Agriculture.''.

     SEC. 5105. VALUATION OF LOCAL OR REGIONAL CROPS.

       Section 312 of the Consolidated Farm and Rural Development 
     Act (7 U.S.C. 1942) is amended by adding at the end the 
     following:
       ``(e) Valuation of Local or Regional Crops.--
       ``(1) In general.--The Secretary shall develop ways to 
     determine unit prices (or other appropriate forms of 
     valuation) for crops and other agricultural products, the end 
     use of which is intended to be in locally or regionally 
     produced agricultural food products, to facilitate lending to 
     local and regional food producers.
       ``(2) Price history.--The Secretary shall implement a 
     mechanism for local and regional food producers to establish 
     price history for the crops and other agricultural products 
     produced by local and regional food producers.''.

     SEC. 5106. MICROLOANS.

       (a) In General.--Section 313 of the Consolidated Farm and 
     Rural Development Act (7 U.S.C. 1943) is amended by adding at 
     the end the following:
       ``(c) Microloans.--
       ``(1) In general.--Subject to paragraph (2), the Secretary 
     may establish a program to make or guarantee microloans.
       ``(2) Limitations.--The Secretary shall not make or 
     guarantee a microloan under this subsection that would cause 
     the total principal indebtedness outstanding at any 1 time 
     for microloans made under this title to any 1 borrower to 
     exceed $50,000.
       ``(3) Applications.--To the maximum extent practicable, the 
     Secretary shall limit the administrative burdens and 
     streamline the application and approval process for 
     microloans under this subsection.
       ``(4) Cooperative lending pilot projects.--
       ``(A) In general.--Subject to subparagraph (B), during each 
     of the 2014 through 2018 fiscal years, the Secretary may 
     carry out a pilot project to make loans to community 
     development financial institutions, as the Secretary 
     determines appropriate--
       ``(i) to make or guarantee microloans consistent with the 
     terms provided under this subsection; and
       ``(ii) to provide business, financial, marketing, and 
     credit management services to microloan borrowers.
       ``(B) Requirements.--Prior to making a loan to an 
     institution described in subparagraph (A), the Secretary 
     shall--
       ``(i) review and approve--

       ``(I) the loan loss reserve fund for microloans established 
     by the institution; and
       ``(II) the underwriting standards for microloans of the 
     institution; and

       ``(ii) establish such other requirements for making a loan 
     to the institution as the Secretary determines necessary.
       ``(C) Eligibility.--To be eligible for a loan under 
     subparagraph (A), an institution described in subparagraph 
     (A) shall, as determined by the Secretary--
       ``(i) have the legal authority necessary to carry out the 
     actions described in subparagraph (A);
       ``(ii) have a proven track record of successfully assisting 
     agricultural borrowers; and
       ``(iii) have the services of a staff with appropriate loan 
     making and servicing expertise.
       ``(D) Oversight.--Not less often than annually, on a date 
     determined by the Secretary, an institution that has a loan 
     under this paragraph shall provide to the Secretary such 
     information as the Secretary may require to ensure that the 
     services provided by the institution are serving the purposes 
     of this subsection.
       ``(E) Limitation.--The Secretary shall not make more than 
     $10,000,000 in loans under this paragraph in any fiscal 
     year.''.
       (b) Conforming Amendments.--
       (1) Section 311(c) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 1941(c)) is amended by striking 
     paragraph (2) and inserting the following:
       ``(2) Definition of direct operating loan.--In this 
     subsection, the term `direct operating loan' does not 
     include--
       ``(A) a loan made to a youth under subsection (b); or
       ``(B) a microloan made to a beginning farmer or rancher or 
     a veteran farmer or rancher (as defined in section 2501(e) of 
     the Food, Agriculture, Conservation, and Trade Act of 1990 (7 
     U.S.C. 2279(e)).''.
       (2) Section 312(a) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 1942(a)) is amended in the matter 
     preceding paragraph (1) by inserting ``(including a 
     microloan, as defined by the Secretary)'' after ``A direct 
     loan''.
       (3) Section 316(a)(2) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 1946(a)(2)) is amended in the 
     matter preceding subparagraph (A) by inserting ``a microloan 
     to a beginning farmer or rancher or veteran farmer or rancher 
     (as defined in section 2501(e) of the Food, Agriculture, 
     Conservation, and Trade Act of 1990 (7 U.S.C. 2279(e)), or'' 
     after ``The interest rate on''.

     SEC. 5107. TERM LIMITS ON GUARANTEED OPERATING LOANS.

       Section 319 of the Consolidated Farm and Rural Development 
     Act (7 U.S.C. 1949) is amended--
       (1) in subsection (a), by striking ``(a) Graduation Plan.--
     ''; and
       (2) by striking subsection (b).

                      Subtitle C--Emergency Loans

     SEC. 5201. ELIGIBILITY FOR EMERGENCY LOANS.

       Section 321(a) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 1961(a)) is amended--
       (1) by striking ``owner-operators (in the case of loans for 
     a purpose under subtitle A) or operators (in the case of 
     loans for a purpose under subtitle B)'' each place it appears 
     and inserting ``(in the case of farm ownership loans in 
     accordance with subtitle A) owner-operators or operators, or 
     (in the case of loans for a purpose under subtitle B) 
     operators'';
       (2) in the first sentence--
       (A) by inserting ``, or such other legal entities as the 
     Secretary considers appropriate'' after ``limited liability 
     companies'' the first place it appears;
       (B) by inserting ``, or other legal entities'' after 
     ``limited liability companies'' the second place it appears; 
     and
       (C) by striking ``and limited liability companies,'' and 
     inserting ``limited liability companies, and such other legal 
     entities'';
       (3) in the second sentence, by striking ``ownership and 
     operator'' and inserting ``ownership or operator''; and
       (4) by adding at the end the following: ``An entity that is 
     an owner-operator or operator described in this subsection 
     shall be considered to meet the direct ownership requirement 
     imposed under this subsection if at least 75 percent of the 
     ownership interests of each embedded entity of the entity is 
     owned directly or indirectly by the individuals that own the 
     family farm.''.

                 Subtitle D--Administrative Provisions

     SEC. 5301. BEGINNING FARMER AND RANCHER INDIVIDUAL 
                   DEVELOPMENT ACCOUNTS PILOT PROGRAM.

       Section 333B(h) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 1983b(h)) is amended by striking 
     ``2012'' and inserting ``2018''.

     SEC. 5302. FARMER LOAN PILOT PROJECTS.

       Subtitle D of the Consolidated Farm and Rural Development 
     Act is amended by inserting after section 333C (7 U.S.C. 
     1983c) the following:

     ``SEC. 333D. FARMER LOAN PILOT PROJECTS.

       ``(a) In General.--The Secretary may conduct pilot projects 
     of limited scope and duration that are consistent with 
     subtitle A through this subtitle to evaluate processes and 
     techniques that may improve the efficiency and effectiveness 
     of the programs carried out under subtitle A through this 
     subtitle.
       ``(b) Notification.--The Secretary shall--
       ``(1) not less than 60 days before the date on which the 
     Secretary initiates a pilot project under subsection (a), 
     submit notice of the proposed pilot project to the Committee 
     on Agriculture of the House of Representatives and the 
     Committee on Agriculture, Nutrition, and Forestry of the 
     Senate; and
       ``(2) consider any recommendations or feedback provided to 
     the Secretary in response to the notice provided under 
     paragraph (1).''.

     SEC. 5303. DEFINITION OF QUALIFIED BEGINNING FARMER OR 
                   RANCHER.

       (a) In General.--Section 343(a)(11) of the Consolidated 
     Farm and Rural Development

[[Page 1909]]

     Act (7 U.S.C. 1991(a)(11)) is amended in subparagraphs (C) 
     and (D)--
       (1) by striking ``or joint operation,'' each place it 
     appears and inserting ``joint operation, or such other legal 
     entity as the Secretary considers appropriate,'';
       (2) by striking ``or joint operators,'' each place it 
     appears and inserting ``joint operators, or owners,''; and
       (3) in subparagraph (D), by striking ``corporation, has 
     stockholders,'' each place it appears in clauses (i)(II)(bb) 
     and (ii)(II)(bb) and inserting ``cooperative, corporation, 
     partnership, joint operation, or other such legal entity as 
     the Secretary considers appropriate, has members, 
     stockholders, partners, or joint operators,''.
       (b) Modification of Acreage Ownership Limitation.--Section 
     343(a)(11)(F) of the Consolidated Farm and Rural Development 
     Act (7 U.S.C. 1991(a)(11)(F)) is amended by striking ``median 
     acreage'' and inserting ``average acreage''.

     SEC. 5304. LOAN AUTHORIZATION LEVELS.

       Section 346(b)(1) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 1994(b)(1)) is amended in the 
     matter preceding subparagraph (A) by striking ``2012'' and 
     inserting ``2018''.

     SEC. 5305. LOAN FUND SET-ASIDES.

       Section 346(b)(2)(A)(ii)(III) of the Consolidated Farm and 
     Rural Development Act (7 U.S.C. 1994(b)(2)(A)(ii)(III)) is 
     amended--
       (1) by striking ``2012'' and inserting ``2018''; and
       (2) by striking ``of the total amount''.

     SEC. 5306. BORROWER TRAINING.

       Section 359(c)(2) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 2006a(c)(2)) is amended by striking 
     ``section 302(a)(2) or 311(a)(2)'' and inserting ``section 
     302(a)(1)(B) or 311(a)(1)(B)''.

                       Subtitle E--Miscellaneous

     SEC. 5401. STATE AGRICULTURAL MEDIATION PROGRAMS.

       Section 506 of the Agricultural Credit Act of 1987 (7 
     U.S.C. 5106) is amended by striking ``2015'' and inserting 
     ``2018''.

     SEC. 5402. LOANS TO PURCHASERS OF HIGHLY FRACTIONATED LAND.

       The first section of Public Law 91-229 (25 U.S.C. 488) is 
     amended--
       (1) in subsection (a), in the first sentence, by striking 
     ``loans from'' and all that follows through ``1929)'' and 
     inserting ``direct loans in a manner consistent with direct 
     loans pursuant to subtitle D of the Consolidated Farm and 
     Rural Development Act (7 U.S.C. 1981 et seq.)''; and
       (2) in subsection (b)(1)--
       (A) by striking ``pursuant to section 205(c) of the Indian 
     Land Consolidation Act (25 U.S.C. 2204(c))''; and
       (B) by inserting ``or to intermediaries in order to 
     establish revolving loan funds for the purchase of highly 
     fractionated land under that section'' before the period at 
     the end.

     SEC. 5403. REMOVAL OF DUPLICATIVE APPRAISALS.

       Notwithstanding any other law (including regulations), in 
     making loans under the first section of Public Law 91-229 (25 
     U.S.C. 488), borrowers who are Indian tribes, members of 
     Indian tribes, or tribal corporations shall only be required 
     to obtain 1 appraisal under an appraisal standard recognized 
     as of the date of enactment of this Act by the Secretary or 
     the Secretary of the Interior.

     SEC. 5404. COMPENSATION DISCLOSURE BY FARM CREDIT SYSTEM 
                   INSTITUTIONS.

       (a) Findings.--Congress finds that --
       (1) the reasonable disclosure to stockholders by Farm 
     Credit System institutions regarding the compensation of Farm 
     Credit System institution senior officers is beneficial to 
     stockholders' understanding of the operation of their 
     institutions;
       (2) transparency regarding compensation practices 
     reinforces the cooperative nature of Farm Credit System 
     institutions;
       (3) the unique cooperative structure of the Farm Credit 
     System should be considered when promulgating rules;
       (4) the participation of stockholders in the election of 
     the boards of directors of Farm Credit System institutions 
     provides stockholders the opportunity to participate in the 
     management of their institutions;
       (5) as representatives of stockholders, the boards of 
     directors of Farm Credit System institutions importantly 
     establish and oversee the compensation practices of Farm 
     Credit System institutions to ensure the safe and sound 
     operation of those institutions; and
       (6) any regulation should strengthen and not hinder the 
     ability of Farm Credit System boards of directors to oversee 
     compensation practices.
       (b) Implementation.--Not later than 60 days after the date 
     of enactment of this Act, the Farm Credit Administration 
     shall review its rules to reflect Congressional intent that a 
     primary responsibility of the boards of directors of Farm 
     Credit System institutions, as elected representatives of 
     their stockholders, is to oversee compensation practices.

                      TITLE VI--RURAL DEVELOPMENT

        Subtitle A--Consolidated Farm and Rural Development Act

     SEC. 6001. WATER, WASTE DISPOSAL, AND WASTEWATER FACILITY 
                   GRANTS.

       Section 306(a)(2)(B)(vii) of the Consolidated Farm and 
     Rural Development Act (7 U.S.C. 1926(a)(2)(B)(vii)) is 
     amended by striking ``2012'' and inserting ``2018''.

     SEC. 6002. ELIMINATION OF RESERVATION OF COMMUNITY FACILITIES 
                   GRANT PROGRAM FUNDS.

       Section 306(a)(19) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 1926(a)(19)) is amended by striking 
     subparagraph (C).

     SEC. 6003. RURAL WATER AND WASTEWATER CIRCUIT RIDER PROGRAM.

       Section 306(a) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 1926(a)) is amended by striking 
     paragraph (22) and inserting the following:
       ``(22) Rural water and wastewater circuit rider program.--
       ``(A) In general.--The Secretary shall continue a national 
     rural water and wastewater circuit rider program that--
       ``(i) is consistent with the activities and results of the 
     program conducted before the date of enactment of this 
     clause, as determined by the Secretary; and
       ``(ii) receives funding from the Secretary, acting through 
     the Rural Utilities Service.
       ``(B) Authorization of appropriations.--There is authorized 
     to be appropriated to carry out this paragraph $20,000,000 
     for fiscal year 2014 and each fiscal year thereafter.''.

     SEC. 6004. USE OF LOAN GUARANTEES FOR COMMUNITY FACILITIES.

       Section 306(a)(24) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 1926(a)(24)) is amended by adding 
     at the end the following:
       ``(C) Use of loan guarantees for community facilities.--The 
     Secretary shall consider the benefits to communities that 
     result from using loan guarantees in carrying out the 
     community facilities program and, to the maximum extent 
     practicable, use guarantees to enhance community 
     involvement.''.

     SEC. 6005. TRIBAL COLLEGE AND UNIVERSITY ESSENTIAL COMMUNITY 
                   FACILITIES.

       Section 306(a)(25)(C) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 1926(a)(25)(C)) is amended by 
     striking ``2012'' and inserting ``2018''.

     SEC. 6006. ESSENTIAL COMMUNITY FACILITIES TECHNICAL 
                   ASSISTANCE AND TRAINING.

       Section 306(a) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 1926(a)) is amended by adding at 
     the end the following:
       ``(26) Essential community facilities technical assistance 
     and training.--
       ``(A) In general.--The Secretary may make grants to public 
     bodies and private nonprofit corporations (such as States, 
     counties, cities, townships, and incorporated towns and 
     villages, boroughs, authorities, districts, and Indian tribes 
     on Federal and State reservations) that will serve rural 
     areas for the purpose of enabling the public bodies and 
     private nonprofit corporations to provide to associations 
     described in paragraph (1) technical assistance and training, 
     with respect to essential community facilities programs 
     authorized under this subsection--
       ``(i) to assist communities in identifying and planning for 
     community facility needs;
       ``(ii) to identify public and private resources to finance 
     community facility needs;
       ``(iii) to prepare reports and surveys necessary to request 
     financial assistance to develop community facilities;
       ``(iv) to prepare applications for financial assistance;
       ``(v) to improve the management, including financial 
     management, related to the operation of community facilities; 
     or
       ``(vi) to assist with other areas of need identified by the 
     Secretary.
       ``(B) Selection priority.--In selecting recipients of 
     grants under this paragraph, the Secretary shall give 
     priority to private, nonprofit, or public organizations that 
     have experience in providing technical assistance and 
     training to rural entities.
       ``(C) Funding.--Not less than 3 nor more than 5 percent of 
     any funds appropriated to carry out each of the essential 
     community facilities grant, loan and loan guarantee programs 
     as authorized under this subsection for a fiscal year shall 
     be reserved for grants under this paragraph.''.

     SEC. 6007. EMERGENCY AND IMMINENT COMMUNITY WATER ASSISTANCE 
                   GRANT PROGRAM.

       Section 306A(i)(2) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 1926a(i)(2)) is amended by striking 
     ``2012'' and inserting ``2018''.

     SEC. 6008. WATER SYSTEMS FOR RURAL AND NATIVE VILLAGES IN 
                   ALASKA.

       Section 306D(d)(1) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 1926d(d)(1)) is amended by striking 
     ``2012'' and inserting ``2018''.

     SEC. 6009. HOUSEHOLD WATER WELL SYSTEMS.

       Section 306E(d) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 1926e(d)) is amended by striking 
     ``$10,000,000 for each of fiscal years 2008 through 2012'' 
     and inserting ``$5,000,000 for each of fiscal years 2014 
     through 2018''.

[[Page 1910]]



     SEC. 6010. RURAL BUSINESS AND INDUSTRY LOAN PROGRAM.

       (a) In General.--Section 310B(a)(2)(A) of the Consolidated 
     Farm and Rural Development Act (7 U.S.C. 1932(a)(2)(A)) is 
     amended by inserting ``(including through the financing of 
     working capital)'' after ``employment''.
       (b) Greater Flexibility for Adequate Collateral Through 
     Accounts Receivable.--Section 310B(g)(7) of the Consolidated 
     Farm and Rural Development Act (7 U.S.C. 1932(g)(7)) is 
     amended--
       (1) by striking ``In determining'' and inserting the 
     following:
       ``(A) In general.--In determining''; and
       (2) by adding at the end the following:
       ``(B) Accounts receivable.--In the discretion of the 
     Secretary, if the Secretary determines that the action would 
     not create or otherwise contribute to an unreasonable risk of 
     default or loss to the Federal Government, the Secretary may 
     take accounts receivable as security for the obligations 
     entered into in connection with loans and a borrower may use 
     accounts receivable as collateral to secure a loan made or 
     guaranteed under this subsection.''.
       (c) Regulations.--Not later than 180 days after the date of 
     enactment of this Act, the Secretary shall promulgate such 
     regulations as are necessary to implement the amendments made 
     by this section.

     SEC. 6011. SOLID WASTE MANAGEMENT GRANTS.

       Section 310B(b) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 1932(b)) is amended--
       (1) by striking ``The Secretary'' and by inserting the 
     following:
       ``(1) In general.--The Secretary''; and
       (2) by adding at the end the following
       ``(2) Authorization of appropriations.--There is authorized 
     to be appropriated to carry out this subsection $10,000,000 
     for each of fiscal years 2014 through 2018.''.

     SEC. 6012. RURAL BUSINESS DEVELOPMENT GRANTS.

       (a) In General.--Section 310B of the Consolidated Farm and 
     Rural Development Act (7 U.S.C. 1932) is amended by striking 
     subsection (c) and inserting the following:
       ``(c) Rural Business Development Grants.--
       ``(1) In general.--The Secretary may make grants under this 
     subsection to eligible entities described in paragraph (2) in 
     rural areas that primarily serve rural areas for purposes 
     described in paragraph (3).
       ``(2) Eligible entities.--The Secretary may make grants 
     under this subsection to--
       ``(A) governmental entities;
       ``(B) Indian tribes; and
       ``(C) nonprofit entities.
       ``(3) Eligible purposes for grants.--Eligible entities that 
     receive grants under this subsection may use the grant funds 
     for--
       ``(A) business opportunity projects that--
       ``(i) identify and analyze business opportunities;
       ``(ii) identify, train, and provide technical assistance to 
     existing or prospective rural entrepreneurs and managers;
       ``(iii) assist in the establishment of new rural businesses 
     and the maintenance of existing businesses, including through 
     business support centers;
       ``(iv) conduct regional, community, and local economic 
     development planning and coordination, and leadership 
     development; and
       ``(v) establish centers for training, technology, and trade 
     that will provide training to rural businesses in the use of 
     interactive communications technologies to develop 
     international trade opportunities and markets; and
       ``(B) projects that support the development of business 
     enterprises that finance or facilitate--
       ``(i) the development of small and emerging private 
     business enterprise;
       ``(ii) the establishment, expansion, and operation of rural 
     distance learning networks;
       ``(iii) the development of rural learning programs that 
     provide educational instruction or job training instruction 
     related to potential employment or job advancement to adult 
     students; and
       ``(iv) the provision of technical assistance and training 
     to rural communities for the purpose of improving passenger 
     transportation services or facilities.
       ``(4) Authorization of appropriations.--
       ``(A) In general.--There is authorized to be appropriated 
     to the Secretary to carry out this subsection $65,000,000 for 
     each of fiscal years 2014 through 2018, to remain available 
     until expended.
       ``(B) Allocation.--Of the funds made available under 
     subparagraph (A) for a fiscal year, not more than 10 percent 
     shall be used for the purposes described in paragraph 
     (3)(A).''.
       (b) Conforming Amendment.--Section 306(a) of the 
     Consolidated Farm and Rural Development Act (7 U.S.C. 
     1926(a)) is amended by striking paragraph (11).

     SEC. 6013. RURAL COOPERATIVE DEVELOPMENT GRANTS.

       Section 310B(e) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 1932(e)) is amended--
       (1) by redesignating paragraph (12) as paragraph (13);
       (2) by inserting after paragraph (11) the following:
       ``(12) Interagency working group.--Not later than 90 days 
     after the date of enactment of the Agricultural Act of 2014, 
     the Secretary shall coordinate and chair an interagency 
     working group to foster cooperative development and ensure 
     coordination with Federal agencies and national and local 
     cooperative organizations that have cooperative programs and 
     interests.''; and
       (3) in paragraph (13) (as so redesignated), by striking 
     ``$50,000,000 for each of fiscal years 2008 through 2012'' 
     and inserting ``$40,000,000 for each of fiscal years 2014 
     through 2018''.

     SEC. 6014. LOCALLY OR REGIONALLY PRODUCED AGRICULTURAL FOOD 
                   PRODUCTS.

       Section 310B(g)(9)(B)(v)(I) of the Consolidated Farm and 
     Rural Development Act (7 U.S.C. 1932(g)(9)(B)(v)(I)) is 
     amended by striking ``2012'' and inserting ``2018''.

     SEC. 6015. APPROPRIATE TECHNOLOGY TRANSFER FOR RURAL AREAS 
                   PROGRAM.

       Section 310B(i)(4) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 1932(i)(4)) is amended by striking 
     ``2012'' and inserting ``2018''.

     SEC. 6016. RURAL ECONOMIC AREA PARTNERSHIP ZONES.

       Section 310B(j) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 1932(j)) is amended by striking 
     ``2012'' and inserting ``2018''.

     SEC. 6017. INTERMEDIARY RELENDING PROGRAM.

       (a) In General.--Subtitle A of the Consolidated Farm and 
     Rural Development Act (7 U.S.C. 1922 et seq.) is amended by 
     adding at the end the following:

     ``SEC. 310H. INTERMEDIARY RELENDING PROGRAM.

       ``(a) In General.--The Secretary may make or guarantee 
     loans to eligible entities described in subsection (b) so 
     that the eligible entities may relend the funds to 
     individuals and entities for the purposes described in 
     subsection (c).
       ``(b) Eligible Entities.--Entities eligible for loans and 
     loan guarantees described in subsection (a) are--
       ``(1) public agencies;
       ``(2) Indian tribes;
       ``(3) cooperatives; and
       ``(4) nonprofit corporations.
       ``(c) Eligible Purposes.--The proceeds from loans made or 
     guaranteed by the Secretary pursuant to subsection (a) may be 
     relent by eligible entities for projects that--
       ``(1) predominately serve communities in rural areas; and
       ``(2) as determined by the Secretary--
       ``(A) promote community development;
       ``(B) establish new businesses;
       ``(C) establish and support microlending programs; and
       ``(D) create or retain employment opportunities.
       ``(d) Limitation.--The Secretary shall not make loans under 
     section 623(a) of the Community Economic Development Act of 
     1981 (42 U.S.C. 9812(a)).
       ``(e) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out this subsection $25,000,000 
     for each of fiscal years 2014 through 2018.''.
       (b) Conforming Amendments.--Section 1323(b)(2) of the Food 
     Security Act of 1985 (Public Law 99-198; 7 U.S.C. 1932 note) 
     is amended--
       (1) in subparagraph (A), by adding ``and'' at the end;
       (2) in subparagraph (B), by striking ``; and'' and 
     inserting a period; and
       (3) by striking subparagraph (C).

     SEC. 6018. RURAL COLLEGE COORDINATED STRATEGY.

       Section 331 of the Consolidated Farm and Rural Development 
     Act (7 U.S.C. 1981) is amended by adding at the end the 
     following:
       ``(d) Rural College Coordinated Strategy.--
       ``(1) In general.--The Secretary shall develop a 
     coordinated strategy across the relevant programs within the 
     Rural Development mission areas to serve the specific, local 
     needs of rural communities when making investments in rural 
     community colleges and technical colleges through other 
     authorities in effect on the date of enactment of this 
     subsection.
       ``(2) Consultation.--In developing a coordinated strategy, 
     the Secretary shall consult with groups representing rural-
     serving community colleges and technical colleges to 
     coordinate critical investments in rural community colleges 
     and technical colleges involved in workforce training.
       ``(3) Administration.--Nothing in this subsection provides 
     a priority for funding under authorities in effect on the 
     date of enactment of this subsection.
       ``(4) Use.--The Secretary shall use the coordinated 
     strategy and information developed for the strategy to more 
     effectively serve rural communities with respect to 
     investments in community colleges and technical colleges.''.

     SEC. 6019. RURAL WATER AND WASTE DISPOSAL INFRASTRUCTURE.

       Section 333 of the Consolidated Farm and Rural Development 
     Act (7 U.S.C. 1983) is amended--
       (1) in the matter preceding paragraph (1), by striking 
     ``require'';
       (2) in paragraph (1), by inserting ``require'' after 
     ``(1)'';
       (3) in paragraph (2), by inserting ``, require'' after 
     ``314'';

[[Page 1911]]

       (4) in paragraph (3), by inserting ``require'' after 
     ``loans,'';
       (5) in paragraph (4)--
       (A) by inserting ``require'' after ``(4)''; and
       (B) by striking ``and'' after the semicolon;
       (6) in paragraph (5)--
       (A) by inserting ``require'' after ``(5)''; and
       (B) by striking the period at the end and inserting ``; 
     and''; and
       (7) by adding at the end the following:
       ``(6) in the case of water and waste disposal direct and 
     guaranteed loans provided under section 306, encourage, to 
     the maximum extent practicable, private or cooperative 
     lenders to finance rural water and waste disposal facilities 
     by--
       ``(A) maximizing the use of loan guarantees to finance 
     eligible projects in rural communities in which the 
     population exceeds 5,500;
       ``(B) maximizing the use of direct loans to finance 
     eligible projects in rural communities if the impact on 
     ratepayers will be material when compared to financing with a 
     loan guarantee;
       ``(C) establishing and applying a materiality standard when 
     determining the difference in impact on ratepayers between a 
     direct loan and a loan guarantee;
       ``(D) in the case of projects that require interim 
     financing in excess of $500,000, requiring that the projects 
     initially seek the financing from private or cooperative 
     lenders; and
       ``(E) determining if an existing direct loan borrower can 
     refinance with a private or cooperative lender, including 
     with a loan guarantee, prior to providing a new direct 
     loan.''.

     SEC. 6020. SIMPLIFIED APPLICATIONS.

       (a) In General.--Section 333A of the Consolidated Farm and 
     Rural Development Act (7 U.S.C. 1983a) is amended by adding 
     at the end the following:
       ``(h) Simplified Application Forms.--Except as provided in 
     subsection (g)(2), the Secretary shall, to the maximum extent 
     practicable, develop a simplified application process, 
     including a single page application if practicable, for 
     grants and relending authorized under sections 306, 306C, 
     306D, 306E, 310B(b), 310B(c), 310B(e), 310B(f), 310H, 379B, 
     and 379E.''.
       (b) Report to Congress.--Not later than 2 years after the 
     date of enactment of this Act, the Secretary 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 that contains an evaluation of the 
     implementation of the amendment made by subsection (a).

     SEC. 6021. NATIONAL RURAL DEVELOPMENT PARTNERSHIP.

       Section 378 of the Consolidated Farm and Rural Development 
     Act (7 U.S.C. 2008m) is amended--
       (1) in subsection (g)(1), by striking ``2012'' and 
     inserting ``2018''; and
       (2) in subsection (h), by striking ``2012'' and inserting 
     ``2018''.

     SEC. 6022. GRANTS FOR NOAA WEATHER RADIO TRANSMITTERS.

       Section 379B(d) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 2008p(d)) is amended by striking 
     subsection (d) and inserting the following:
       ``(d) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out this section $1,000,000 for 
     each of fiscal years 2014 through 2018.''.

     SEC. 6023. RURAL MICROENTREPRENEUR ASSISTANCE PROGRAM.

       Section 379E(d) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 2008s(d)) is amended--
       (1) in paragraph (1)--
       (A) in subparagraph (A), by striking ``and'' after the 
     semicolon at the end;
       (B) in subparagraph (B), by striking the period at the end 
     and inserting ``; and''; and
       (C) by adding at the end the following:
       ``(C) $3,000,000 for each of fiscal years 2014 through 
     2018.''; and
       (2) in paragraph (2), by striking ``2012'' and inserting 
     ``2018''.

     SEC. 6024. HEALTH CARE SERVICES.

       Section 379G(e) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 2008u(e)) is amended by striking 
     ``2012'' and inserting ``2018''.

     SEC. 6025. STRATEGIC ECONOMIC AND COMMUNITY DEVELOPMENT.

       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. 379H. STRATEGIC ECONOMIC AND COMMUNITY DEVELOPMENT.

       ``(a) In General.--In the case of any rural development 
     program described in subsection (d)(2), the Secretary may 
     give priority to an application for a project that, as 
     determined and approved by the Secretary--
       ``(1) meets the applicable eligibility requirements of this 
     title;
       ``(2) will be carried out solely in a rural area; and
       ``(3) supports strategic community and economic development 
     plans on a multijurisdictional basis.
       ``(b) Rural Area.--For purposes of subsection (a)(2), the 
     Secretary shall consider an application to be for a project 
     that will be carried out solely in a rural area only if--
       ``(1) in the case of an application for a project in the 
     rural community facilities category described in subsection 
     (d)(2)(A), the project will be carried out in a rural area 
     described in section 343(a)(13)(C));
       ``(2) in the case of an application for a project in the 
     rural utilities category described in subsection (d)(2)(B), 
     the project will be carried out in a rural area described in 
     section 343(a)(13)(B); and
       ``(3) in the case of an application for a project in the 
     rural business and cooperative development category described 
     in subsection (d)(2)(C), the project will be carried out in a 
     rural area described in section 343(a)(13)(A).
       ``(c) Evaluation.--
       ``(1) In general.--In evaluating strategic applications, 
     the Secretary shall give a higher priority to strategic 
     applications for a plan described in subsection (a) that 
     demonstrates to the Secretary--
       ``(A) the plan was developed through the collaboration of 
     multiple stakeholders in the service area of the plan, 
     including the participation of combinations of stakeholders 
     such as State, local, and tribal governments, nonprofit 
     institutions, institutions of higher education, and private 
     entities;
       ``(B) an understanding of the applicable regional resources 
     that could support the plan, including natural resources, 
     human resources, infrastructure, and financial resources;
       ``(C) investment from other Federal agencies;
       ``(D) investment from philanthropic organizations; and
       ``(E) clear objectives for the plan and the ability to 
     establish measurable performance measures and to track 
     progress toward meeting the objectives.
       ``(2) Consistency with plans.--Applications involving 
     State, county, municipal, or tribal governments shall include 
     an indication of consistency with an adopted regional 
     economic or community development plan.
       ``(d) Funds.--
       ``(1) In general.--Subject to paragraph (3) and subsection 
     (e), the Secretary may reserve for projects that support 
     multijurisdictional strategic community and economic 
     development plans described in subsection (a) an amount that 
     does not exceed 10 percent of the funds made available for a 
     fiscal year for a functional category described in paragraph 
     (2).
       ``(2) Functional categories.--The functional categories 
     described in this subsection are the following:
       ``(A) Rural community facilities category.--The rural 
     community facilities category consists of all amounts made 
     available for community facility grants and direct and 
     guaranteed loans under paragraph (1), (19), (20), (21), (24), 
     or (25) of section 306(a).
       ``(B) Rural utilities category.--The rural utilities 
     category consists of all amounts made available for--
       ``(i) water or waste disposal grants or direct or 
     guaranteed loans under paragraph (1), (2), or (24) of section 
     306(a);
       ``(ii) rural water or wastewater technical assistance and 
     training grants under section 306(a)(14);
       ``(iii) emergency community water assistance grants under 
     section 306A; or
       ``(iv) solid waste management grants under section 310B(b).
       ``(C) Rural business and cooperative development 
     category.--The rural business and cooperative development 
     category consists of all amounts made available for--
       ``(i) business and industry direct and guaranteed loans 
     under section 310B(a)(2)(A); or
       ``(ii) rural business development grants under section 
     310B(c).
       ``(3) Period.--The reservation of funds described in 
     paragraph (2) may only extend through June 30 of the fiscal 
     year in which the funds were first made available.
       ``(e) Approved Applications.--
       ``(1) In general.--Any applicant who submitted a rural 
     development application that was approved before the date of 
     enactment of this section may amend the application to 
     qualify for the funds reserved under subsection (d)(1).
       ``(2) Rural utilities.--Any rural development application 
     authorized under section 306(a)(2), 306(a)(14), 306(a)(24), 
     306A, or 310B(b) and approved by the Secretary before the 
     date of enactment of this section shall be eligible for the 
     funds reserved under subsection (d)(1) on the same basis as 
     the applications submitted under this section until September 
     30, 2016.''.

     SEC. 6026. DELTA REGIONAL AUTHORITY.

       (a) Authorization of Appropriations.--Section 382M(a) of 
     the Consolidated Farm and Rural Development Act (7 U.S.C. 
     2009aa-12(a)) is amended by striking ``2012'' and inserting 
     ``2018''.
       (b) Termination of Authority.--Section 382N of the 
     Consolidated Farm and Rural Development Act (7 U.S.C. 2009aa-
     13) is amended by striking ``2012'' and inserting ``2018''.

     SEC. 6027. NORTHERN GREAT PLAINS REGIONAL AUTHORITY.

       (a) Audit.--Section 383L(c) of the Consolidated Farm and 
     Rural Development Ac (7 U.S.C. 2009bb-10(c)) is amended by 
     inserting ``for any fiscal year for which funds are 
     appropriated'' after ``annual basis''.
       (b) Authorization of Appropriations.--Section 383N(a) of 
     the Consolidated Farm and Rural Development Act (7 U.S.C. 
     2009bb-12(a)) is amended by striking ``2012'' and inserting 
     ``2018''.

[[Page 1912]]

       (c) Termination of Authority.--Section 383O of the 
     Consolidated Farm and Rural Development Act (7 U.S.C. 2009bb-
     13) is amended by striking ``2012'' and inserting ``2018''.

     SEC. 6028. RURAL BUSINESS INVESTMENT PROGRAM.

       Section 384S of the Consolidated Farm and Rural Development 
     Act (7 U.S.C. 2009cc-18) is amended by striking ``$50,000,000 
     for the period of fiscal years 2008 through 2012'' and 
     inserting ``$20,000,000 for each of fiscal years 2014 through 
     2018''.

             Subtitle B--Rural Electrification Act of 1936

     SEC. 6101. FEES FOR CERTAIN LOAN GUARANTEES.

       The Rural Electrification Act of 1936 is amended by 
     inserting after section 4 (7 U.S.C. 904) the following:

     ``SEC. 5. FEES FOR CERTAIN LOAN GUARANTEES.

       ``(a) In General.--For electrification baseload generation 
     loan guarantees, the Secretary shall, at the request of the 
     borrower, charge an upfront fee to cover the costs of the 
     loan guarantee.
       ``(b) Fee.--The fee described in subsection (a) for a loan 
     guarantee shall be equal to the costs of the loan guarantee 
     (within the meaning of section 502(5)(C) of the Federal 
     Credit Reform Act of 1990 (2 U.S.C. 661a(5)(C))).
       ``(c) Limitation.--Funds received from a borrower to pay 
     the fee described in this section shall not be derived from a 
     loan or other debt obligation that is made or guaranteed by 
     the Federal Government.''.

     SEC. 6102. GUARANTEES FOR BONDS AND NOTES ISSUED FOR 
                   ELECTRIFICATION OR TELEPHONE PURPOSES.

       Section 313A(f) of the Rural Electrification Act of 1936 (7 
     U.S.C. 940c-1(f)) is amended by striking ``2012'' and 
     inserting ``2018''.

     SEC. 6103. EXPANSION OF 911 ACCESS.

       Section 315(d) of the Rural Electrification Act of 1936 (7 
     U.S.C. 940e(d)) is amended by striking ``2012'' and inserting 
     ``2018''.

     SEC. 6104. ACCESS TO BROADBAND TELECOMMUNICATIONS SERVICES IN 
                   RURAL AREAS.

       (a) In General.--Section 601 of the Rural Electrification 
     Act of 1936 (7 U.S.C. 950bb) is amended--
       (1) in subsection (c), by striking paragraph (2) and 
     inserting the following:
       ``(2) Priority.--In making loans or loan guarantees under 
     paragraph (1), the Secretary shall--
       ``(A) establish not less than 2 evaluation periods for each 
     fiscal year to compare loan and loan guarantee applications 
     and to prioritize loans and loan guarantees to all or part of 
     rural communities that do not have residential broadband 
     service that meets the minimum acceptable level of broadband 
     service established under subsection (e);
       ``(B) give the highest priority to applicants that offer to 
     provide broadband service to the greatest proportion of 
     unserved households or households that do not have 
     residential broadband service that meets the minimum 
     acceptable level of broadband service established under 
     subsection (e), as--
       ``(i) certified by the affected community, city, county, or 
     designee; or
       ``(ii) demonstrated on--

       ``(I) the broadband map of the affected State if the map 
     contains address-level data; or
       ``(II) the National Broadband Map if address-level data is 
     unavailable; and

       ``(C) provide equal consideration to all qualified 
     applicants, including applicants that have not previously 
     received loans or loan guarantees under paragraph (1); and
       ``(D) give priority to applicants that offer in the 
     applications of the applicants to provide broadband service 
     not predominantly for business service, if at least 25 
     percent of the customers in the proposed service territory 
     are commercial interests.'';
       (2) in subsection (d)--
       (A) in paragraph (1)(A), by striking clause (i) and 
     inserting the following:
       ``(i) demonstrate the ability to furnish, improve in order 
     to meet the minimum acceptable level of broadband service 
     established under subsection (e), or extend broadband service 
     to all or part of an unserved rural area or an area below the 
     minimum acceptable level of broadband service established 
     under subsection (e);'';
       (B) in paragraph (2)--
       (i) in subparagraph (A), by striking clause (i) and 
     inserting the following:
       ``(i) not less than 15 percent of the households in the 
     proposed service territory are unserved or have service 
     levels below the minimum acceptable level of broadband 
     service established under subsection (e); and'';
       (ii) in the heading of subparagraph (B), by striking 
     ``25''; and
       (iii) in subparagraph (C)--

       (I) in the subparagraph heading, by striking ``3 or more''; 
     and
       (II) by striking clause (i) and inserting the following:

       ``(i) In general.--Except as provided in clause (ii), 
     subparagraph (A)(ii) shall not apply to an incumbent service 
     provider in the portion of a proposed service territory in 
     which the provider is upgrading broadband service to meet the 
     minimum acceptable level of broadband service established 
     under subsection (e) for the existing territory of the 
     incumbent service provider.'';
       (C) in paragraph (3)(B), by adding at the end the 
     following:
       ``(iii) Information.--Information submitted under this 
     subparagraph shall be--

       ``(I) certified by the affected community, city, county, or 
     designee; or
       ``(II) demonstrated on--

       ``(aa) the broadband map of the affected State if the map 
     contains address-level data; or
       ``(bb) the National Broadband Map if address-level data is 
     unavailable.'';
       (D) by striking paragraph (5) and inserting the following:
       ``(5) Notice requirements.--The Secretary shall promptly 
     provide a fully searchable database on the website of the 
     Rural Utilities Service that contains, at a minimum--
       ``(A) notice of each application for a loan or loan 
     guarantee under this section describing the application, 
     including--
       ``(i) the identity of the applicant;
       ``(ii) a description of each application, including--

       ``(I) each area proposed to be served by the applicant; and
       ``(II) the amount and type of support requested by each 
     applicant;

       ``(iii) the status of each application;
       ``(iv) the estimated number and proportion relative to the 
     service territory of households without terrestrial-based 
     broadband service in those areas; and
       ``(v) a list of the census block groups or proposed service 
     territory, in a manner specified by the Secretary, that the 
     applicant proposes to service;
       ``(B) notice of each entity receiving assistance under this 
     section, including--
       ``(i) the name of the entity;
       ``(ii) the type of assistance being received;
       ``(iii) the purpose for which the entity is receiving the 
     assistance;
       ``(iv) each semiannual report submitted under paragraph 
     (8)(A) (redacted to protect any proprietary information in 
     the report); and
       ``(C) such other information as is sufficient to allow the 
     public to understand assistance provided under this 
     section.'';
       (E) by adding at the end the following:
       ``(8) Reporting.--
       ``(A) In general.--The Secretary shall require any entity 
     receiving assistance under this section to submit a 
     semiannual report for 3 years after completion of the 
     project, in a format specified by the Secretary, that 
     describes--
       ``(i) the use by the entity of the assistance, including 
     new equipment and capacity enhancements that support high-
     speed broadband access for educational institutions, health 
     care providers, and public safety service providers 
     (including the estimated number of end users who are 
     currently using or forecasted to use the new or upgraded 
     infrastructure); and
       ``(ii) the progress towards fulfilling the objectives for 
     which the assistance was granted, including--

       ``(I) the number and location of residences and businesses 
     that will receive new broadband service, existing network 
     service improvements, and facility upgrades resulting from 
     the Federal assistance;
       ``(II) the speed of broadband service;
       ``(III) the average price of broadband service in a 
     proposed service area;
       ``(IV) any changes in broadband service adoption rates, 
     including new subscribers generated from demand-side 
     projects; and
       ``(V) any metrics the Secretary determines to be 
     appropriate;

       ``(B) Additional reporting.--The Secretary may require any 
     additional reporting and information by any recipient of any 
     assistance under this section so as to ensure compliance with 
     this section.
       ``(9) Default and deobligation.--In addition to other 
     authority under applicable law, the Secretary shall establish 
     written procedures for all broadband programs administered by 
     the Rural Utilities Service under this or any other Act that, 
     to the maximum extent practicable--
       ``(A) recover funds from loan defaults;
       ``(B) deobligate any awards, less allowable costs that 
     demonstrate an insufficient level of performance (including 
     metrics determined by the Secretary) or fraudulent spending, 
     to the extent funds with respect to the award are available 
     in the account relating to the program established by this 
     section;
       ``(C) award those funds, on a competitive basis, to new or 
     existing applicants consistent with this section; and
       ``(D) minimize overlap among the programs.
       ``(10) Service area assessment.--The Secretary shall, with 
     respect to an application for assistance under this section--
       ``(A) provide not less than 15 days for broadband service 
     providers to voluntarily submit information concerning the 
     broadband services that the providers offer in the census 
     block groups or tracts described in paragraph (5)(A)(v) so 
     that the Secretary may assess whether the applications 
     submitted meet the eligibility requirements under this 
     section; and
       ``(B) if no broadband service provider submits information 
     under subparagraph (A), consider the number of providers in 
     the census block group or tract to be established by using--
       ``(i) the most current National Broadband Map of the 
     National Telecommunications and Information Administration; 
     or

[[Page 1913]]

       ``(ii) any other data regarding the availability of 
     broadband service that the Secretary may collect or obtain 
     through reasonable efforts.'';
       (3) in subsection (e)--
       (A) by redesignating paragraph (2) as paragraph (3); and
       (B) by striking paragraph (1) and inserting the following:
       ``(1) In general.--Subject to paragraph (2), for purposes 
     of this section, the minimum acceptable level of broadband 
     service for a rural area shall be at least--
       ``(A) a 4-Mbps downstream transmission capacity; and
       ``(B) a 1-Mbps upstream transmission capacity.
       ``(2) Adjustments.--
       ``(A) In general.--At least once every 2 years, the 
     Secretary shall review, and may adjust through notice 
     published in the Federal Register, the minimum acceptable 
     level of broadband service established under paragraph (1) to 
     ensure that high quality, cost-effective broadband service is 
     provided to rural areas over time.
       ``(B) Considerations.--In making an adjustment to the 
     minimum acceptable level of broadband service under 
     subparagraph (A), the Secretary may consider establishing 
     different transmission rates for fixed broadband service and 
     mobile broadband service.'';
       (4) in subsection (g), by striking paragraph (2) and 
     inserting the following:
       ``(2) Terms.--In determining the term and conditions of a 
     loan or loan guarantee, the Secretary may--
       ``(A) consider whether the recipient is or would be serving 
     an area that is unserved or has service levels below the 
     minimum acceptable level of broadband service established 
     under subsection (e); and
       ``(B) if the Secretary makes a determination in the 
     affirmative under subparagraph (A), establish a limited 
     initial deferral period or comparable terms necessary to 
     achieve the financial feasibility and long-term 
     sustainability of the project.'';
       (5) in subsection (j)--
       (A) in paragraph (1), by inserting ``, including any loan 
     terms or conditions for which the Secretary provided 
     additional assistance to unserved areas'' before the 
     semicolon at the end;
       (B) in paragraph (5), by striking ``and'' after the 
     semicolon at the end;
       (C) in paragraph (6), by striking the period at the end and 
     inserting ``; and''; and
       (D) by adding at the end the following:
       ``(7) the overall progress towards fulfilling the goal of 
     improving the quality of rural life by expanding rural 
     broadband access, as demonstrated by metrics, including--
       ``(A) the number of residences and businesses receiving new 
     broadband services;
       ``(B) network improvements, including facility upgrades and 
     equipment purchases;
       ``(C) average broadband speeds and prices on a local and 
     statewide basis;
       ``(D) any changes in broadband adoption rates; and
       ``(E) any specific activities that increased high speed 
     broadband access for educational institutions, health care 
     providers, and public safety service providers.''; and
       (6) in subsections (k)(1) and (l), by striking ``2012'' 
     each place it appears and inserting ``2018''.
       (b) Study on Providing Effective Data for National 
     Broadband Map.--.
       (1) In general.--The Secretary, in consultation with the 
     Secretary of Commerce and the Chairman of the Federal 
     Communications Commission, shall conduct a study of the ways 
     that data collected under the broadband programs of the 
     Secretary of Agriculture could be most effectively shared 
     with the Commission to support the development and 
     maintenance of the National Broadband Map by the Commission.
       (2) Inclusions.--The study shall include a consideration of 
     the circumstances under which address-level data could be 
     collected by the Secretary and appropriately shared with the 
     Commission.
       (3) Completion.--Not later than 180 days after the date of 
     enactment of this Act, the Secretary shall complete the study 
     required under this subsection.
       (4) Report.--Not later than 60 days after the date of 
     completion of the study, the Secretary shall submit a report 
     describing the results of the study to--
       (A) the Committee on Agriculture of the House of 
     Representatives;
       (B) the Committee on Energy and Commerce of the House of 
     Representatives;
       (C) the Committee on Agriculture, Nutrition, and Forestry 
     of the Senate; and
       (D) the Committee on Commerce, Science, and Transportation 
     of the Senate.

     SEC. 6105. RURAL GIGABIT NETWORK PILOT PROGRAM.

       Title VI of the Rural Electrification Act of 1936 (7 U.S.C. 
     950bb et seq.) is amended by adding at the end the following:

     ``SEC. 603. RURAL GIGABIT NETWORK PILOT PROGRAM.

       ``(a) Definition of Ultra-high Speed Service.--In this 
     section, the term `ultra-high speed service' means broadband 
     service operating at a 1 gigabit per second downstream 
     transmission capacity.
       ``(b) Pilot Program.--The Secretary shall establish a pilot 
     program to be known as the `Rural Gigabit Network Pilot 
     Program', under which the Secretary may, at the discretion of 
     the Secretary, provide grants, loans, or loan guarantees to 
     eligible entities.
       ``(c) Eligibility.--
       ``(1) In general.--To be eligible to obtain assistance 
     under this section, an entity shall--
       ``(A) demonstrate to the Secretary the ability to furnish 
     or extend ultra-high speed service to a rural area;
       ``(B) submit to the Secretary an application at such time, 
     in such manner, and containing such information as the 
     Secretary may require;
       ``(C) not already provide ultra-high speed service to a 
     rural area within any State in the proposed service 
     territory; and
       ``(D) agree to complete buildout of ultra-high speed 
     service by not later than 3 years after the initial date on 
     which assistance under this section is made available.
       ``(2) Eligible projects.--Assistance under this section may 
     only be used to carry out a project in a proposed service 
     territory if--
       ``(A) the proposed service territory is a rural area; and
       ``(B) ultra-high speed service is not provided in any part 
     of the proposed service territory.
       ``(d) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out this section $10,000,000 for 
     each of fiscal years 2014 through 2018.''.

                       Subtitle C--Miscellaneous

     SEC. 6201. DISTANCE LEARNING AND TELEMEDICINE.

       (a) Authorization of Appropriations.--Section 2335A of the 
     Food, Agriculture, Conservation, and Trade Act of 1990 (7 
     U.S.C. 950aaa-5) is amended by striking ``$100,000,000 for 
     each of fiscal years 1996 through 2012'' and inserting 
     ``$75,000,000 for each of fiscal years 2014 through 2018''.
       (b) Conforming Amendment.--Section 1(b) of Public Law 102-
     551 (7 U.S.C. 950aaa note) is amended by striking ``2012'' 
     and inserting ``2018''.

     SEC. 6202. AGRICULTURAL TRANSPORTATION.

       Section 203(j) of the Agricultural Marketing Act of 1946 (7 
     U.S.C. 1622(j)) is amended by striking ``the Interstate 
     Commerce Commission, the Maritime Commission,,'' and 
     inserting ``the Surface Transportation Board, the Federal 
     Maritime Commission,''.

     SEC. 6203. VALUE-ADDED AGRICULTURAL PRODUCT MARKET 
                   DEVELOPMENT GRANTS.

       Section 231(b) of the Agricultural Risk Protection Act of 
     2000 (7 U.S.C. 1632a(b)) is amended--
       (1) by striking paragraph (6) and inserting the following:
       ``(6) Priority.--
       ``(A) Eligible independent producers of value-added 
     agricultural products.--In awarding grants under paragraph 
     (1)(A), the Secretary shall give priority to--
       ``(i) operators of small- and medium-sized farms and 
     ranches that are structured as family farms;
       ``(ii) beginning farmers or ranchers;
       ``(iii) socially disadvantaged farmers or ranchers; and
       ``(iv) veteran farmers or ranchers (as defined in section 
     2501(e) of the Food, Agriculture, Conservation, and Trade Act 
     of 1990 (7 U.S.C. 2279(e))).
       ``(B) Eligible agricultural producer groups, farmer or 
     rancher cooperatives, and majority-controlled producer-based 
     business venture.--In awarding grants under paragraph (1)(B), 
     the Secretary shall give priority to projects (including 
     farmer or rancher cooperative projects) that best contribute 
     to creating or increasing marketing opportunities for 
     operators, farmers, and ranchers described in subparagraph 
     (A).''; and
       (2) in paragraph (7)--
       (A) in subparagraph (A)--
       (i) by striking ``On October 1, 2008,'' and inserting ``On 
     the date of enactment of the Agricultural Act of 2014,''; and
       (ii) by striking ``$15,000,000'' and inserting 
     ``$63,000,000''; and
       (B) in subparagraph (B), by striking ``2012'' and inserting 
     ``2018''.

     SEC. 6204. AGRICULTURE INNOVATION CENTER DEMONSTRATION 
                   PROGRAM.

       Section 6402(i) of the Farm Security and Rural Investment 
     Act of 2002 (7 U.S.C. 1632b(i)) is amended by striking 
     ``$6,000,000 for each of fiscal years 2008 through 2012'' and 
     inserting ``$1,000,000 for each of fiscal years 2014 through 
     2018''.

     SEC. 6205. RURAL ENERGY SAVINGS PROGRAM.

       Subtitle E of title VI of the Farm Security and Rural 
     Investment Act of 2002 (Public Law 107-171; 116 Stat. 424) is 
     amended by adding at the end the following:

     ``SEC. 6407. RURAL ENERGY SAVINGS PROGRAM.

       ``(a) Purpose.--The purpose of this section is to help 
     rural families and small businesses achieve cost savings by 
     providing loans to qualified consumers to implement durable 
     cost-effective energy efficiency measures.
       ``(b) Definitions.--In this section:
       ``(1) Eligible entity.--The term `eligible entity' means--
       ``(A) any public power district, public utility district, 
     or similar entity, or any electric cooperative described in 
     section 501(c)(12) or 1381(a)(2) of the Internal Revenue Code 
     of 1986, that borrowed and repaid, prepaid, or is paying an 
     electric loan made or guaranteed by the Rural Utilities 
     Service (or any predecessor agency);

[[Page 1914]]

       ``(B) any entity primarily owned or controlled by 1 or more 
     entities described in subparagraph (A); or
       ``(C) any other entity that is an eligible borrower of the 
     Rural Utilities Service, as determined under section 1710.101 
     of title 7, Code of Federal Regulations (or a successor 
     regulation).
       ``(2) Energy efficiency measures.--The term `energy 
     efficiency measures' means, for or at property served by an 
     eligible entity, structural improvements and investments in 
     cost-effective, commercial technologies to increase energy 
     efficiency.
       ``(3) Qualified consumer.--The term `qualified consumer' 
     means a consumer served by an eligible entity that has the 
     ability to repay a loan made under subsection (d), as 
     determined by the eligible entity.
       ``(4) Secretary.--The term `Secretary' means the Secretary 
     of Agriculture, acting through the Administrator of the Rural 
     Utilities Service.
       ``(c) Loans to Eligible Entities.--
       ``(1) In general.--Subject to paragraph (2), the Secretary 
     shall make loans to eligible entities that agree to use the 
     loan funds to make loans to qualified consumers for the 
     purpose of implementing energy efficiency measures.
       ``(2) Requirements.--
       ``(A) In general.--As a condition of receiving a loan under 
     this subsection, an eligible entity shall--
       ``(i) establish a list of energy efficiency measures that 
     is expected to decrease energy use or costs of qualified 
     consumers;
       ``(ii) prepare an implementation plan for use of the loan 
     funds, including use of any interest to be received pursuant 
     to subsection (d)(1)(A);
       ``(iii) provide for appropriate measurement and 
     verification to ensure--

       ``(I) the effectiveness of the energy efficiency loans made 
     by the eligible entity; and
       ``(II) that there is no conflict of interest in carrying 
     out this section; and

       ``(iv) demonstrate expertise in effective use of energy 
     efficiency measures at an appropriate scale.
       ``(B) Revision of list of energy efficiency measures.--
     Subject to the approval of the Secretary, an eligible entity 
     may update the list required under subparagraph (A)(i) to 
     account for newly available efficiency technologies.
       ``(C) Existing energy efficiency programs.--An eligible 
     entity that, at any time before the date that is 60 days 
     after the date of enactment of this section, has established 
     an energy efficiency program for qualified consumers may use 
     an existing list of energy efficiency measures, 
     implementation plan, or measurement and verification system 
     of that program to satisfy the requirements of subparagraph 
     (A) if the Secretary determines the list, plan, or systems 
     are consistent with the purposes of this section.
       ``(3) No interest.--A loan under this subsection shall bear 
     no interest.
       ``(4) Repayment.--With respect to a loan under paragraph 
     (1)--
       ``(A) the term shall not exceed 20 years from the date on 
     which the loan is closed; and
       ``(B) except as provided in paragraph (6), the repayment of 
     each advance shall be amortized for a period not to exceed 10 
     years.
       ``(5) Amount of advances.--Any advance of loan funds to an 
     eligible entity in any single year shall not exceed 50 
     percent of the approved loan amount.
       ``(6) Special advance for start-up activities.--
       ``(A) In general.--In order to assist an eligible entity in 
     defraying the appropriate start-up costs (as determined by 
     the Secretary) of establishing new programs or modifying 
     existing programs to carry out subsection (d), the Secretary 
     shall allow an eligible entity to request a special advance.
       ``(B) Amount.--No eligible entity may receive a special 
     advance under this paragraph for an amount that is greater 
     than 4 percent of the loan amount received by the eligible 
     entity under paragraph (1).
       ``(C) Repayment.--Repayment of the special advance--
       ``(i) shall be required during the 10-year period beginning 
     on the date on which the special advance is made; and
       ``(ii) at the election of the eligible entity, may be 
     deferred to the end of the 10-year period.
       ``(7) Limitation.--All special advances shall be made under 
     a loan described in paragraph (1) during the first 10 years 
     of the term of the loan.
       ``(d) Loans to Qualified Consumers.--
       ``(1) Terms of loans.--Loans made by an eligible entity to 
     qualified consumers using loan funds provided by the 
     Secretary under subsection (c)--
       ``(A) may bear interest, not to exceed 3 percent, to be 
     used for purposes that include--
       ``(i) to establish a loan loss reserve; and
       ``(ii) to offset personnel and program costs of eligible 
     entities to provide the loans;
       ``(B) shall finance energy efficiency measures for the 
     purpose of decreasing energy usage or costs of the qualified 
     consumer by an amount that ensures, to the maximum extent 
     practicable, that a loan term of not more than 10 years will 
     not pose an undue financial burden on the qualified consumer, 
     as determined by the eligible entity;
       ``(C) shall not be used to fund purchases of, or 
     modifications to, personal property unless the personal 
     property is or becomes attached to real property (including a 
     manufactured home) as a fixture;
       ``(D) shall be repaid through charges added to the electric 
     bill for the property for, or at which, energy efficiency 
     measures are or will be implemented, on the condition that 
     this requirement does not prohibit--
       ``(i) the voluntary prepayment of a loan by the owner of 
     the property; or
       ``(ii) the use of any additional repayment mechanisms that 
     are--

       ``(I) demonstrated to have appropriate risk mitigation 
     features, as determined by the eligible entity; or
       ``(II) required if the qualified consumer is no longer a 
     customer of the eligible entity; and

       ``(E) shall require an energy audit by an eligible entity 
     to determine the impact of proposed energy efficiency 
     measures on the energy costs and consumption of the qualified 
     consumer.
       ``(2) Contractors.--In addition to any other qualified 
     general contractor, eligible entities may serve as general 
     contractors.
       ``(e) Contract for Measurement and Verification, Training, 
     and Technical Assistance.--
       ``(1) In general.--Not later than 90 days after the date of 
     enactment of this section, the Secretary--
       ``(A) shall establish a plan for measurement and 
     verification, training, and technical assistance of the 
     program; and
       ``(B) may enter into 1 or more contracts with a qualified 
     entity for the purposes of--
       ``(i) providing measurement and verification activities; 
     and
       ``(ii) developing a program to provide technical assistance 
     and training to the employees of eligible entities to carry 
     out this section.
       ``(2) Use of subcontractors authorized.--A qualified entity 
     that enters into a contract under paragraph (1) may use 
     subcontractors to assist the qualified entity in carrying out 
     the contract.
       ``(f) Additional Authority.--The authority provided in this 
     section is in addition to any other authority of the 
     Secretary to offer loans under any other law.
       ``(g) Effective Period.--Subject to the availability of 
     funds and except as otherwise provided in this section, the 
     loans and other expenditures required to be made under this 
     section shall be available until expended, with the Secretary 
     authorized to make new loans as loans are repaid.
       ``(h) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out this section $75,000,000 for 
     each of fiscal years 2014 through 2018.''.

     SEC. 6206. STUDY OF RURAL TRANSPORTATION ISSUES.

       (a) In General.--The Secretary of Agriculture and the 
     Secretary of Transportation shall publish an updated version 
     of the study described in section 6206 of the Food, 
     Conservation, and Energy Act of 2008 (as amended by 
     subsection (b)).
       (b) Addition to Study.--Section 6206(b) of the Food, 
     Conservation, and Energy Act of 2008 (Public Law 110-246; 122 
     Stat. 1971) is amended--
       (1) in paragraph (3), by striking ``and'' at the end;
       (2) in paragraph (4), by striking the period at the end and 
     inserting ``; and''; and
       (3) by adding at the end the following:
       ``(5) the sufficiency of infrastructure along waterways in 
     the United States and the impact of the infrastructure on the 
     movement of agricultural goods in terms of safety, efficiency 
     and speed, as well as the benefits derived through upgrades 
     and repairs to locks and dams.''.
       (c) Report to Congress.--Not later than 1 year after the 
     date of enactment of this Act, the Secretary of Agriculture 
     and the Secretary of Transportation shall submit to Congress 
     the updated version of the study required by subsection (a).

     SEC. 6207. REGIONAL ECONOMIC AND INFRASTRUCTURE DEVELOPMENT.

       Section 15751 of title 40, United States Code, is amended--
       (1) in subsection (a), by striking ``2012'' and inserting 
     ``2018''; and
       (2) in subsection (b)--
       (A) by striking ``Not more than'' and inserting the 
     following:
       ``(1) In general.--Except as provided in paragraph (2), not 
     more than''; and
       (B) by adding at the end the following:
       ``(2) Limited funding.--In a case in which less than 
     $10,000,000 is made available to a Commission for a fiscal 
     year under this section, paragraph (1) shall not apply.''.

     SEC. 6208. DEFINITION OF RURAL AREA FOR PURPOSES OF THE 
                   HOUSING ACT OF 1949.

       The second sentence of section 520 of the Housing Act of 
     1949 (42 U.S.C. 1490) is amended--
       (1) by striking ``1990 or 2000 decennial census shall 
     continue to be so classified until the receipt of data from 
     the decennial census in the year 2010'' and inserting ``1990, 
     2000, or 2010 decennial census, and any area deemed to be a 
     `rural area' for purposes of this title under any other 
     provision of law at any time during the period beginning 
     January 1, 2000, and ending December 31, 2010, shall continue 
     to be so classified until the receipt of data

[[Page 1915]]

     from the decennial census in the year 2020''; and
       (2) by striking ``25,000'' and inserting ``35,000''.

     SEC. 6209. PROGRAM METRICS.

       (a) In General.--The Secretary shall collect data regarding 
     economic activities created through grants and loans, 
     including any technical assistance provided as a component of 
     the grant or loan program, and measure the short- and long-
     term viability of award recipients and any entities to whom 
     those recipients provide assistance using award funds, 
     under--
       (1) section 231 of the Agricultural Risk Protection Act of 
     2000 (7 U.S.C. 1632a);
       (2) section 313(b)(2) of the Rural Electrification Act of 
     1936 (7 U.S.C. 940c(b)(2)); or
       (3) section 310B(c), 310B(e), 310B(g), 310H, or 379E, or 
     subtitle E, of the Consolidated Farm and Rural Development 
     Act (7 U.S.C. 1932(c), 1932(e), 1932(g), 2008s, 2009 et 
     seq.).
       (b) Data.--The data collected under subsection (a) shall 
     include information collected from recipients both during the 
     award period and for a period of time, as determined by the 
     Secretary, which is not less than 2 years after the award 
     period ends.
       (c) Report.--
       (1) In general.--Not later than 4 years after the date of 
     enactment of this Act, and every 2 years thereafter, the 
     Secretary 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 that contains 
     the data described in subsection (a).
       (2) Detailed information.--The report shall include 
     detailed information regarding--
       (A) actions taken by the Secretary to use the data;
       (B) the percentage increase of employees;
       (C) the number of business starts and clients served;
       (D) any benefit, such as an increase in revenue or customer 
     base; and
       (E) such other information as the Secretary considers 
     appropriate.

     SEC. 6210. FUNDING OF PENDING RURAL DEVELOPMENT LOAN AND 
                   GRANT APPLICATIONS.

       (a) In General.--The Secretary shall use funds made 
     available under subsection (b) to provide funds for 
     applications that are pending on the date of enactment of 
     this Act in accordance with the terms and conditions of 
     section 6029 of the Food, Conservation, and Energy Act of 
     2008 (Public Law 110-246; 122 Stat. 1955).
       (b) Funding.--Notwithstanding any other provision of law, 
     beginning in fiscal year 2014, of the funds of the Commodity 
     Credit Corporation, the Secretary shall use to carry out this 
     section $150,000,000, to remain available until expended.

          TITLE VII--RESEARCH, EXTENSION, AND RELATED MATTERS

  Subtitle A--National Agricultural Research, Extension, and Teaching 
                           Policy Act of 1977

     SEC. 7101. OPTION TO BE INCLUDED AS NON-LAND-GRANT COLLEGE OF 
                   AGRICULTURE.

       Section 1404 of the National Agricultural Research, 
     Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3103) is 
     amended--
       (1) by striking paragraph (5) and inserting the following 
     new paragraph:
       ``(5) Cooperating forestry school.--
       ``(A) In general.--The term `cooperating forestry school' 
     means an institution--
       ``(i) that is eligible to receive funds under Public Law 
     87-788 (commonly known as the McIntire-Stennis Cooperative 
     Forestry Act; 16 U.S.C. 582a et seq.); and
       ``(ii) with respect to which the Secretary has not received 
     a declaration of the intent of that institution to not be 
     considered a cooperating forestry school.
       ``(B) Termination of declaration.--A declaration of the 
     intent of an institution to not be considered a cooperating 
     forestry school submitted to the Secretary shall be in effect 
     until September 30, 2018.'';
       (2) in paragraph (10)--
       (A) in subparagraph (A)--
       (i) in the matter preceding clause (i), by striking 
     ``that'';
       (ii) in clause (i)--

       (I) by inserting ``that'' before ``qualify''; and
       (II) by striking ``and'' at the end;

       (iii) in clause (ii)--

       (I) by inserting ``that'' before ``offer''; and
       (II) by striking the period at the end and inserting ``; 
     and''; and

       (iv) by adding at the end the following new clause:
       ``(iii) with respect to which the Secretary has not 
     received a declaration of the intent of a college or 
     university to not be considered a Hispanic-serving 
     agricultural college or university.''; and
       (B) by adding at the end the following new subparagraph:
       ``(C) Termination of declaration of intent.--A declaration 
     of the intent of a college or university to not be considered 
     a Hispanic-serving agricultural college or university 
     submitted to the Secretary shall be in effect until September 
     30, 2018.''; and
       (3) in paragraph (14)--
       (A) in subparagraph (A), by striking ``agriculture or 
     forestry'' and inserting ``food and agricultural sciences'';
       (B) by redesignating subparagraph (B) as subparagraph (C); 
     and
       (C) by inserting after subparagraph (A) the following new 
     subparagraph:
       ``(B) Designation.--Not later than 90 days after the date 
     of the enactment of this subparagraph, the Secretary shall 
     establish an ongoing process through which public colleges or 
     universities may apply for designation as an NLGCA 
     Institution.''.

     SEC. 7102. NATIONAL AGRICULTURAL RESEARCH, EXTENSION, 
                   EDUCATION, AND ECONOMICS ADVISORY BOARD.

       (a) Extension of Termination Date.--Section 1408(h) of the 
     National Agricultural Research, Extension, and Teaching 
     Policy Act of 1977 (7 U.S.C. 3123(h)) is amended by striking 
     ``2012'' and inserting ``2018''.
       (b) Duties of National Agricultural Research, Extension, 
     Education, and Economics Advisory Board.--Section 1408(c) of 
     the National Agricultural Research, Extension, and Teaching 
     Policy Act of 1977 (7 U.S.C. 3123(c)) is amended--
       (1) in paragraph (1)--
       (A) by striking ``Committee on Appropriations of the 
     Senate'' and all that follows through the semi-colon and 
     inserting ``Committee on Appropriations of the Senate on--''; 
     and
       (B) by adding at the end the following new subparagraphs:
       ``(A) long-term and short-term national policies and 
     priorities consistent with the purposes specified in section 
     1402 for agricultural research, extension, education, and 
     economics; and
       ``(B) the annual establishment of priorities that--
       ``(i) are in accordance with the purposes specified in a 
     provision of a covered law (as defined in subsection (d) of 
     section 1492) under which competitive grants (described in 
     subsection (c) of such section) are awarded; and
       ``(ii) the Board determines are national priorities.'';
       (2) in paragraph (3), by striking ``and'' at the end;
       (3) in paragraph (4)--
       (A) in subparagraph (B), by striking ``the national 
     research policies and priorities set forth in'' inserting 
     ``national research policies and priorities that are 
     consistent with the purposes specified in''; and
       (B) in subparagraph (C), by striking the period at the end 
     and inserting ``; and''; and
       (4) by adding at the end the following new paragraph:
       ``(5) consult with industry groups on agricultural 
     research, extension, education, and economics, and make 
     recommendations to the Secretary based on that 
     consultation.''.

     SEC. 7103. SPECIALTY CROP COMMITTEE.

       (a) Establishment of Subcommittee.--Section 1408A(a) of the 
     National Agricultural Research, Extension, and Teaching 
     Policy Act of 1977 (7 U.S.C. 3123a(a)) is amended--
       (1) by striking ``Not later than'' and inserting the 
     following:
       ``(1) In general.--Not later than''; and
       (2) by adding at the end the following new paragraph:
       ``(2) Citrus disease subcommittee.--
       ``(A) In general.--Not later than 45 days after the date of 
     the enactment of the Agricultural Act of 2014, the Secretary 
     shall establish within the speciality crops committee, and 
     appoint the initial members of, a citrus disease subcommittee 
     to carry out the responsibilities of the subcommittee 
     described in subsection (g) in accordance with subsection 
     (j)(3) of section 412 of the Agricultural Research, 
     Extension, and Education Reform Act of 1998 (7 U.S.C. 7632).
       ``(B) Composition.--The citrus disease subcommittee shall 
     be composed of 9 members, each of whom is a domestic producer 
     of citrus in a State, represented as follows:
       ``(i) Three of such members shall represent Arizona or 
     California.
       ``(ii) Five of such members shall represent Florida.
       ``(iii) One of such members shall represent Texas.
       ``(C) Membership.--The Secretary may appoint individuals 
     who are not members of the specialty crops committee or the 
     Advisory Board established under section 1408 as members of 
     the citrus disease subcommittee
       ``(D) Termination.--The subcommittee established under 
     subparagraph (A) shall terminate on September 30, 2018.
       ``(E) Federal advisory committee act.--The subcommittee 
     established under subparagraph (A) shall be covered by the 
     exemption to section 9(c) of the Federal Advisory Committee 
     Act (5 U.S.C. App.) applicable to the Advisory Board under 
     section 1408(f).''.
       (b) Members.--Section 1408A(b) of the National Agricultural 
     Research, Extension, and Teaching Policy Act of 1977 (7 
     U.S.C. 3123a(b)) is amended--
       (1) by striking ``Individuals'' and inserting the 
     following:
       ``(1) Eligibility.--Individuals'';
       (2) by striking ``Members'' and inserting the following:
       ``(2) Service.--Members''; and
       (3) by adding at the end the following new paragraph:
       ``(3) Diversity.--Membership of the specialty crops 
     committee shall reflect diversity in the specialty crops 
     represented.''.
       (c) Annual Committee Report.--Section 1408A(c) of the 
     National Agricultural Research, Extension, and Teaching 
     Policy Act of 1977 (7 U.S.C. 3123a(c)) is amended--
       (1) in paragraph (1), by striking ``Measures'' and 
     inserting ``Programs'';

[[Page 1916]]

       (2) by striking paragraph (2);
       (3) by redesignating paragraphs (3), (4), and (5) as 
     paragraphs (2), (3), and (4), respectively;
       (4) in paragraph (2) (as so redesignated)--
       (A) in the matter preceding subparagraph (A), by striking 
     ``Programs that would'' and inserting ``Research, extension, 
     and teaching programs designed to improve competitiveness in 
     the specialty crop industry, including programs that would'';
       (B) in subparagraph (D), by inserting ``, including 
     improving the quality and taste of processed specialty 
     crops'' before the semicolon; and
       (C) in subparagraph (G), by inserting ``the remote sensing 
     and the'' before ``mechanization''; and
       (5) by adding at the end the following:
       ``(5) Analysis of the alignment of specialty crops 
     committee recommendations with grants awarded through the 
     specialty crop research initiative established under section 
     412 of the Agricultural Research, Extension, and Education 
     Reform Act of 1998 (7 U.S.C. 7632).''.
       (d) Consultation With Specialty Crop Industry.--Section 
     1408A of the National Agricultural Research, Extension, and 
     Teaching Policy Act of 1977 (7 U.S.C. 3123a) is amended--
       (1) by redesignating subsections (d) and (e) as subsections 
     (e) and (f), respectively;
       (2) by inserting after subsection (c) the following:
       ``(d) Consultation With Specialty Crop Industry.--In 
     studying the scope and effectiveness of programs under 
     subsection (a), the specialty crops committee shall consult 
     on an ongoing basis with diverse sectors of the specialty 
     crop industry.''; and
       (3) in subsection (f) (as redesignated by paragraph (1)), 
     by striking ``subsection (d)'' and inserting ``subsection 
     (e)''.
       (e) Duties of Citrus Disease Subcommittee.--Section 1408A 
     of the National Agricultural Research, Extension, and 
     Teaching Policy Act of 1977 (7 U.S.C. 3123a), as amended by 
     subsection (d), is further amended by adding at the end the 
     following new subsection:
       ``(g) Citrus Disease Subcommittee Duties.--For the purposes 
     of subsection (j) of section 412 of the Agricultural 
     Research, Extension, and Education Reform Act of 1998 (7 
     U.S.C. 7632), the citrus disease subcommittee shall--
       ``(1) advise the Secretary on citrus research, extension, 
     and development needs;
       ``(2) propose, by a favorable vote of two-thirds of the 
     members of the subcommittee, a research and extension agenda 
     and annual budgets for the funds made available to carry out 
     such subsection;
       ``(3) evaluate and review ongoing research and extension 
     funded under the emergency citrus disease research and 
     extension program (as defined in such subsection);
       ``(4) establish, by a favorable vote of two-thirds of the 
     members of the subcommittee, annual priorities for the award 
     of grants under such subsection;
       ``(5) provide the Secretary any comments on grants awarded 
     under such subsection during the previous fiscal year; and
       ``(6) engage in regular consultation and collaboration with 
     the Department and other institutional, governmental, and 
     private persons conducting scientific research on, and 
     extension activities related to, the causes or treatments of 
     citrus diseases and pests, both domestic and invasive, for 
     purposes of--
       ``(A) maximizing the effectiveness of research and 
     extension projects funded under the citrus disease research 
     and extension program;
       ``(B) hastening the development of useful treatments;
       ``(C) avoiding duplicative and wasteful expenditures; and
       ``(D) providing the Secretary with such information and 
     advice as the Secretary may request.''.

     SEC. 7104. VETERINARY SERVICES GRANT PROGRAM.

       The National Agricultural Research, Extension, and Teaching 
     Policy Act of 1977 is amended by inserting after section 
     1415A (7 U.S.C. 3151a) the following new section:

     ``SEC. 1415B. VETERINARY SERVICES GRANT PROGRAM.

       ``(a) Definitions.--In this section:
       ``(1) Qualified entity.--The term `qualified entity' 
     means--
       ``(A) a for-profit or nonprofit entity located in the 
     United States that, or an individual who, operates a 
     veterinary clinic providing veterinary services--
       ``(i) in a rural area, as defined in section 343(a) of the 
     Consolidated Farm and Rural Development Act (7 U.S.C. 
     1991(a)); and
       ``(ii) in a veterinarian shortage situation;
       ``(B) a State, national, allied, or regional veterinary 
     organization or specialty board recognized by the American 
     Veterinary Medical Association;
       ``(C) a college or school of veterinary medicine accredited 
     by the American Veterinary Medical Association;
       ``(D) a university research foundation or veterinary 
     medical foundation;
       ``(E) a department of veterinary science or department of 
     comparative medicine accredited by the Department of 
     Education;
       ``(F) a State agricultural experiment station; or
       ``(G) a State, local, or tribal government agency.
       ``(2) Veterinarian shortage situation.--The term 
     `veterinarian shortage situation' means a veterinarian 
     shortage situation as determined by the Secretary under 
     section 1415A.
       ``(b) Establishment.--
       ``(1) Competitive grants.--The Secretary shall carry out a 
     program to make competitive grants to qualified entities that 
     carry out programs or activities described in paragraph (2) 
     for the purpose of developing, implementing, and sustaining 
     veterinary services.
       ``(2) Eligibility requirements.--A qualified entity shall 
     be eligible to receive a grant described in paragraph (1) if 
     the entity carries out programs or activities that the 
     Secretary determines will--
       ``(A) substantially relieve veterinarian shortage 
     situations;
       ``(B) support or facilitate private veterinary practices 
     engaged in public health activities; or
       ``(C) support or facilitate the practices of veterinarians 
     who are providing or have completed providing services under 
     an agreement entered into with the Secretary under section 
     1415A(a)(2).
       ``(c) Award Processes and Preferences.--
       ``(1) Application, evaluation, and input processes.--In 
     administering the grant program established under this 
     section, the Secretary shall--
       ``(A) use an appropriate application and evaluation 
     process, as determined by the Secretary; and
       ``(B) seek the input of interested persons.
       ``(2) Coordination preference.--In selecting recipients of 
     grants to be used for any of the purposes described in 
     subsection (d)(1), the Secretary shall give a preference to 
     qualified entities that provide documentation of coordination 
     with other qualified entities, with respect to any such 
     purpose.
       ``(3) Consideration of available funds.--In selecting 
     recipients of grants to be used for any of the purposes 
     described in subsection (d), the Secretary shall take into 
     consideration the amount of funds available for grants and 
     the purposes for which the grant funds will be used.
       ``(4) Nature of grants.--A grant awarded under this section 
     shall be considered to be a competitive research, extension, 
     or education grant.
       ``(d) Use of Grants To Relieve Veterinarian Shortage 
     Situations and Support Veterinary Services.--
       ``(1) In general.--Except as provided in paragraph (2), a 
     qualified entity may use funds provided by a grant awarded 
     under this section to relieve veterinarian shortage 
     situations and support veterinary services for any of the 
     following purposes:
       ``(A) To promote recruitment (including for programs in 
     secondary schools), placement, and retention of 
     veterinarians, veterinary technicians, students of veterinary 
     medicine, and students of veterinary technology.
       ``(B) To allow veterinary students, veterinary interns, 
     externs, fellows, and residents, and veterinary technician 
     students to cover expenses (other than the types of expenses 
     described in section 1415A(c)(5)) to attend training programs 
     in food safety or food animal medicine.
       ``(C) To establish or expand accredited veterinary 
     education programs (including faculty recruitment and 
     retention), veterinary residency and fellowship programs, or 
     veterinary internship and externship programs carried out in 
     coordination with accredited colleges of veterinary medicine.
       ``(D) To provide continuing education and extension, 
     including veterinary telemedicine and other distance-based 
     education, for veterinarians, veterinary technicians, and 
     other health professionals needed to strengthen veterinary 
     programs and enhance food safety.
       ``(E) To provide technical assistance for the preparation 
     of applications submitted to the Secretary for designation as 
     a veterinarian shortage situation under this section or 
     section 1415A.
       ``(2) Qualified entities operating veterinary clinics.--A 
     qualified entity described in subsection (a)(1)(A) may only 
     use funds provided by a grant awarded under this section to 
     establish or expand veterinary practices, including--
       ``(A) equipping veterinary offices;
       ``(B) sharing in the reasonable overhead costs of such 
     veterinary practices, as determined by the Secretary; or
       ``(C) establishing mobile veterinary facilities in which a 
     portion of the facilities will address education or extension 
     needs.
       ``(e) Special Requirements for Certain Grants.--
       ``(1) Terms of service requirements.--
       ``(A) In general.--Funds provided through a grant made 
     under this section to a qualified entity described in 
     subsection (a)(1)(A) and used by such entity under subsection 
     (d)(2) shall be subject to an agreement between the Secretary 
     and such entity that includes a required term of service for 
     such entity (including a qualified entity operating as an 
     individual), as established by the Secretary.

[[Page 1917]]

       ``(B) Considerations.--In establishing a term of service 
     under subparagraph (A), the Secretary shall consider only--
       ``(i) the amount of the grant awarded; and
       ``(ii) the specific purpose of the grant.
       ``(2) Breach remedies.--
       ``(A) In general.--An agreement under paragraph (1) shall 
     provide remedies for any breach of the agreement by the 
     qualified entity referred to in paragraph (1)(A), including 
     repayment or partial repayment of the grant funds, with 
     interest.
       ``(B) Waiver.--The Secretary may grant a waiver of the 
     repayment obligation for breach of contract if the Secretary 
     determines that such qualified entity demonstrates extreme 
     hardship or extreme need.
       ``(C) Treatment of amounts recovered.--Funds recovered 
     under this paragraph shall--
       ``(i) be credited to the account available to carry out 
     this section; and
       ``(ii) remain available until expended without further 
     appropriation.
       ``(f) Prohibition on Use of Grant Funds for Construction.--
     Except as provided in subsection (d)(2), funds made available 
     for grants under this section may not be used--
       ``(1) to construct a new building or facility; or
       ``(2) to acquire, expand, remodel, or alter an existing 
     building or facility, including site grading and improvement 
     and architect fees.
       ``(g) Regulations.--Not later than 1 year after the date of 
     the enactment of this section, the Secretary shall promulgate 
     regulations to carry out this section.
       ``(h) Authorization of Appropriations.--There are 
     authorized to be appropriated to the Secretary to carry out 
     this section $10,000,000 for fiscal year 2014 and each fiscal 
     year thereafter, to remain available until expended.''.

     SEC. 7105. GRANTS AND FELLOWSHIPS FOR FOOD AND AGRICULTURE 
                   SCIENCES EDUCATION.

       Section 1417(m) of the National Agricultural Research, 
     Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3152(m)) 
     is amended by striking ``section $60,000,000'' and all that 
     follows and inserting the following: ``section--
       ``(1) $60,000,000 for each of fiscal years 1990 through 
     2013; and
       ``(2) $40,000,000 for each of fiscal years 2014 through 
     2018.''.

     SEC. 7106. AGRICULTURAL AND FOOD POLICY RESEARCH CENTERS.

       Section 1419A of the National Agricultural Research, 
     Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3155) is 
     amended--
       (1) in the section heading, by inserting ``agricultural and 
     food'' before ``policy'';
       (2) in subsection (a), in the matter preceding paragraph 
     (1)--
       (A) by striking ``Secretary may'' and inserting ``Secretary 
     shall, acting through the Office of the Chief Economist,''; 
     and
       (B) by striking ``make grants, competitive grants, and 
     special research grants to, and enter into cooperative 
     agreements and other contracting instruments with,'' and 
     inserting ``make competitive grants to, or enter into 
     cooperative agreements with,'';
       (3) by striking subsection (b) and inserting the following 
     new subsection:
       ``(b) Eligible Recipients.--An entity eligible to apply for 
     funding under subsection (a) is a State agricultural 
     experiment station, college or university, or other public 
     research institution or organization that has a history of 
     providing--
       ``(1) unbiased, nonpartisan economic analysis to Congress 
     on the areas specified in paragraphs (1) through (4) of 
     subsection (a); or
       ``(2) objective, scientific information to Federal agencies 
     and the public to support and enhance efficient, accurate 
     implementation of Federal drought preparedness and drought 
     response programs, including interagency thresholds used to 
     determine eligibility for mitigation or emergency 
     assistance.'';
       (4) by redesignating subsections (c) and (d) as subsections 
     (d) and (e), respectively;
       (5) by inserting after subsection (b) the following new 
     subsection:
       ``(c) Preference.--In making awards under this section, the 
     Secretary shall give a preference to policy research centers 
     that have--
       ``(1) extensive databases, models, and demonstrated 
     experience in providing Congress with agricultural market 
     projections, rural development analysis, agricultural policy 
     analysis, and baseline projections at the farm, 
     multiregional, national, and international levels; or
       ``(2) information, analysis, and research relating to 
     drought mitigation.'';
       (6) in subsection (d)(2) (as redesignated by paragraph 
     (4)), by inserting ``applied'' after ``theoretical and''; and
       (7) by striking subsection (e) (as redesignated by 
     paragraph (4)) and inserting the following new subsection:
       ``(e) Authorization of Appropriations.--There are 
     authorized to be appropriated to carry out this section 
     $10,000,000 for each of fiscal years 2014 through 2018.''.

     SEC. 7107. EDUCATION GRANTS TO ALASKA NATIVE SERVING 
                   INSTITUTIONS AND NATIVE HAWAIIAN SERVING 
                   INSTITUTIONS.

       Section 1419B of the National Agricultural Research, 
     Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3156) is 
     amended--
       (1) in subsection (a)--
       (A) in paragraph (1), by striking ``(or grants without 
     regard to any requirement for competition)''; and
       (B) in paragraph (3), by striking ``2012'' and inserting 
     ``2018''; and
       (2) in subsection (b)--
       (A) in paragraph (1), by striking ``(or grants without 
     regard to any requirement for competition)''; and
       (B) in paragraph (3), by striking ``2012'' and inserting 
     ``2018''.

     SEC. 7108. REPEAL OF HUMAN NUTRITION INTERVENTION AND HEALTH 
                   PROMOTION RESEARCH PROGRAM.

       Section 1424 of the National Agricultural Research, 
     Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3174) is 
     repealed.

     SEC. 7109. REPEAL OF PILOT RESEARCH PROGRAM TO COMBINE 
                   MEDICAL AND AGRICULTURAL RESEARCH.

       Section 1424A of the National Agricultural Research, 
     Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3174a) 
     is repealed.

     SEC. 7110. NUTRITION EDUCATION PROGRAM.

       Section 1425(f) of the National Agricultural Research, 
     Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3175(f)) 
     is amended by striking ``2012'' and inserting ``2018''.

     SEC. 7111. CONTINUING ANIMAL HEALTH AND DISEASE RESEARCH 
                   PROGRAMS.

       (a) In General.--Section 1433 of the National Agricultural 
     Research, Extension, and Teaching Policy Act of 1977 (7 
     U.S.C. 3195) is amended to read as follows:

     ``SEC. 1433. CONTINUING ANIMAL HEALTH AND DISEASE, FOOD 
                   SECURITY, AND STEWARDSHIP RESEARCH, EDUCATION, 
                   AND EXTENSION PROGRAMS.

       ``(a) Capacity and Infrastructure Program.--
       ``(1) In general.--In each State with one or more 
     accredited colleges of veterinary medicine, the deans of the 
     accredited college or colleges and the director of the State 
     agricultural experiment station shall develop a comprehensive 
     animal health and disease research program for the State 
     based on the animal health research capacity of each eligible 
     institution in the State, which shall be submitted to the 
     Secretary for approval and shall be used for the allocation 
     of funds available to the State under this section.
       ``(2) Use of funds.--An eligible institution allocated 
     funds to carry out animal health and disease research under 
     this section may only use such funds--
       ``(A) to meet the expenses of conducting animal health and 
     disease research, publishing and disseminating the results of 
     such research, and contributing to the retirement of 
     employees subject to the Act of March 4, 1940 (7 U.S.C. 331);
       ``(B) for administrative planning and direction; and
       ``(C) to purchase equipment and supplies necessary for 
     conducting research described in subparagraph (A).
       ``(3) Cooperation among eligible institutions.--The 
     Secretary, to the maximum extent practicable, shall encourage 
     eligible institutions to cooperate in setting research 
     priorities under this section through conducting regular 
     regional and national meetings.
       ``(b) Competitive Grant Program.--
       ``(1) In general.--The Secretary, for purposes of 
     addressing the critical needs of animal agriculture, shall 
     award competitive grants to eligible entities under which 
     such eligible entities--
       ``(A) conduct research--
       ``(i) to promote food security, such as by--

       ``(I) improving feed efficiency;
       ``(II) improving energetic efficiency;
       ``(III) connecting genomics, proteomics, metabolomics and 
     related phenomena to animal production;
       ``(IV) improving reproductive efficiency; and
       ``(V) enhancing pre- and post-harvest food safety systems; 
     and

       ``(ii) on the relationship between animal and human health, 
     such as by--

       ``(I) exploring new approaches for vaccine development;
       ``(II) understanding and controlling zoonosis, including 
     its impact on food safety;
       ``(III) improving animal health through feed; and
       ``(IV) enhancing product quality and nutritive value; and

       ``(B) develop and disseminate to the public tools and 
     information based on the research conducted under 
     subparagraph (A) and sound science.
       ``(2) Eligible entities.--An entity eligible to receive a 
     grant under this subsection is any of the following:
       ``(A) A State cooperative institution.
       ``(B) An NLGCA Institution.
       ``(3) Administration.--In carrying out this subsection, the 
     Secretary shall establish procedures--
       ``(A) to seek and accept proposals for grants;
       ``(B) to review and determine the relevance and merit of 
     proposals, in consultation with representatives of the animal 
     agriculture industry;
       ``(C) to provide a scientific peer review of each proposal 
     conducted by a panel of subject matter experts from Federal 
     agencies, academic institutions, State animal health 
     agencies, and the animal agriculture industry; and

[[Page 1918]]

       ``(D) to award competitive grants on the basis of merit, 
     quality, and relevance.
       ``(c) Funding.--
       ``(1) Authorization of appropriations.--There are 
     authorized to be appropriated to carry out this section 
     $25,000,000 for each of fiscal years 2014 through 2018.
       ``(2) Reservation of funds.--The Secretary shall reserve 
     not less than $5,000,000 of the funds made available under 
     paragraph (1) to carry out the capacity and infrastructure 
     program under subsection (a).
       ``(3) Initial apportionment.--The amounts made available 
     under paragraph (1) that are remaining after the reservation 
     of funds under paragraph (2), shall be apportioned as 
     follows:
       ``(A) 15 percent of such amounts shall be used to carry out 
     the capacity and infrastructure program under subsection (a).
       ``(B) 85 percent of such funds shall be used to carry out 
     the competitive grant program under subsection (b).
       ``(4) Additional apportionment.--The funds reserved under 
     paragraph (2) and apportioned under paragraph (3)(A) to carry 
     out the capacity and infrastructure program under subsection 
     (a) shall be apportioned as follows:
       ``(A) Four percent shall be retained by the Department of 
     Agriculture for administration, program assistance to the 
     eligible institutions, and program coordination.
       ``(B) 48 percent shall be distributed among the several 
     States in the proportion that the value of and income to 
     producers from domestic livestock, poultry, and commercial 
     aquaculture species in each State bears to the total value of 
     and income to producers from domestic livestock, poultry, and 
     commercial aquaculture species in all the States. The 
     Secretary shall determine the total value of and income from 
     domestic livestock, poultry, and commercial aquaculture 
     species in all the States and the proportionate value of and 
     income from domestic livestock, poultry, and commercial 
     aquaculture species for each State, based on the most current 
     inventory of all cattle, sheep, swine, horses, poultry, and 
     commercial aquaculture species published by the Department of 
     Agriculture.
       ``(C) 48 percent shall be distributed among the several 
     States in the proportion that the animal health research 
     capacity of the eligible institutions in each State bears to 
     the total animal health research capacity in all the States. 
     The Secretary shall determine the animal health research 
     capacity of the eligible institutions.
       ``(5) Special rules for apportionment of certain funds.--
     With respect to funds reserved under paragraph (2) and 
     apportioned under paragraph (3)(A) to carry out the capacity 
     and infrastructure program under subsection (a), the 
     following shall apply:
       ``(A) When the amount available under this section for 
     allotment to any State on the basis of domestic livestock, 
     poultry, and commercial aquaculture species values and 
     incomes exceeds the amount for which the eligible institution 
     or institutions in the State are eligible on the basis of 
     animal health research capacity, the excess may be used, at 
     the discretion of the Secretary, for remodeling of 
     facilities, construction of new facilities, or increase in 
     staffing, proportionate to the need for added research 
     capacity.
       ``(B) Whenever a new college of veterinary medicine is 
     established in a State and is accredited, the Secretary, 
     after consultation with the dean of such college and the 
     director of the State agricultural experiment station and 
     where applicable, deans of other accredited colleges in the 
     State, shall provide for the reallocation of funds available 
     to the State pursuant to paragraph (4) between the new 
     college and other eligible institutions in the State, based 
     on the animal health research capacity of each eligible 
     institution.
       ``(C) Whenever two or more States jointly establish an 
     accredited regional college of veterinary medicine or jointly 
     support an accredited college of veterinary medicine serving 
     the States involved, the Secretary is authorized to make 
     funds which are available to such States pursuant to 
     paragraph (4) available for such college in such amount that 
     reflects the combined relative value of, and income from, 
     domestic livestock, poultry, and commercial aquaculture 
     species in the cooperating States, such amount to be 
     adjusted, as necessary, pursuant to subsection (a)(1) and 
     subparagraph (B).''.
       (b) Conforming Amendments.--
       (1) Definition of state cooperative institution.--Section 
     1404(18) of the National Agricultural Research, Extension, 
     and Teaching Policy Act of 1977 (7 U.S.C. 3103(18)) is 
     amended--
       (A) in subparagraph (E), by striking ``and'' at the end;
       (B) in subparagraph (F), by striking ``subtitles E, G,'' 
     and inserting ``subtitles G,'';
       (C) by redesignating subparagraph (F) as subparagraph (G); 
     and
       (D) by inserting after subparagraph (E) the following new 
     subparagraph:
       ``(F) section 1430; and''.
       (2) Definition of capacity and infrastructure program.--
     Section 251(f)(1)(C)(vi) of the Department of Agriculture 
     Reorganization Act of 1994 (7 U.S.C. 6971(f)(1)(C)(vi)) is 
     amended by inserting ``except for the competitive grant 
     program under section 1433(b)'' before the period at the end.
       (3) Subtitle e of the national agricultural research, 
     extension, and teaching policy act of 1977.--Subtitle E of 
     the National Agricultural Research, Extension, and Teaching 
     Policy Act of 1977 is amended--
       (A) in section 1431(a) (7 U.S.C. 3193(a)), by inserting 
     ``under sections 1433(a) and 1434'' after ``eligible 
     institutions'';
       (B) in section 1435 (7 U.S.C. 3197), by striking ``for 
     allocation under the terms of this subtitle'' and inserting 
     ``to carry out sections 1433(a) and 1434'';
       (C) in section 1436 (7 U.S.C. 3198), in the first sentence, 
     by striking ``section 1433 of this title'' and inserting 
     ``subsection (c) of section 1433 to carry out subsection (a) 
     of such section'';
       (D) in section 1437 (7 U.S.C. 3199), in the first sentence, 
     by striking ``States under section 1433 of this title'' and 
     inserting ``States under subsection (c) of section 1433 to 
     carry out subsection (a) of such section'';
       (E) in section 1438 (7 U.S.C. 3200), in the first sentence 
     by striking ``under this subtitle'' and inserting ``under 
     subsection (c) of section 1433 to carry out subsection (a) of 
     such section''; and
       (F) in section 1439 (7 U.S.C. 3201), by striking ``under 
     this subtitle'' and inserting ``under subsection (c) of 
     section 1433 to carry out subsection (a) of such section or 
     section 1434, as applicable,''.
       (4) Authorization for appropriations for existing and 
     certain new agricultural research programs.--Section 1463(c) 
     of the National Agricultural Research, Extension, and 
     Teaching Policy Act of 1977 (7 U.S.C. 3311(c)) is amended by 
     striking ``sections 1433 and 1434'' and inserting ``sections 
     1433(a) and 1434''.

     SEC. 7112. GRANTS TO UPGRADE AGRICULTURAL AND FOOD SCIENCES 
                   FACILITIES AT 1890 LAND-GRANT COLLEGES, 
                   INCLUDING TUSKEGEE UNIVERSITY.

       Section 1447(b) of the National Agricultural Research, 
     Extension, and Teaching Policy Act of 1977 (7 U.S.C. 
     3222b(b)) is amended by striking ``2012'' and inserting 
     ``2018''.

     SEC. 7113. GRANTS TO UPGRADE AGRICULTURE AND FOOD SCIENCE 
                   FACILITIES AND EQUIPMENT AT INSULAR AREA LAND-
                   GRANT INSTITUTIONS.

       (a) Supporting Tropical and Subtropical Agricultural 
     Research.--
       (1) In general.--Section 1447B(a) of the National 
     Agricultural Research, Extension, and Teaching Policy Act of 
     1977 (7 U.S.C. 3222b-2(a)) is amended to read as follows:
       ``(a) Purpose.--It is the intent of Congress to assist the 
     land-grant colleges and universities in the insular areas in 
     efforts to--
       ``(1) acquire, alter, or repair facilities or relevant 
     equipment necessary for conducting agricultural research; and
       ``(2) support tropical and subtropical agricultural 
     research, including pest and disease research.''.
       (2) Conforming amendment.--Section 1447B of the National 
     Agricultural Research, Extension, and Teaching Policy Act of 
     1977 (7 U.S.C. 3222b-2) is amended in the heading--
       (A) by inserting ``and support tropical and subtropical 
     agricultural research'' after ``equipment''; and
       (B) by striking ``institutions'' and inserting ``colleges 
     and universities''.
       (b) Extension.--Section 1447B(d) of the National 
     Agricultural Research, Extension, and Teaching Policy Act of 
     1977 (7 U.S.C. 3222b-2(d)) is amended by striking ``2012'' 
     and inserting ``2018''.

     SEC. 7114. REPEAL OF NATIONAL RESEARCH AND TRAINING VIRTUAL 
                   CENTERS.

       Section 1448 of the National Agricultural Research, 
     Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3222c) 
     is repealed.

     SEC. 7115. HISPANIC-SERVING INSTITUTIONS.

       Section 1455(c) of the National Agricultural Research, 
     Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3241(c)) 
     is amended by striking ``2012'' and inserting ``2018''.

     SEC. 7116. COMPETITIVE GRANTS PROGRAM FOR HISPANIC 
                   AGRICULTURAL WORKERS AND YOUTH.

       Section 1456(e)(1) of the National Agricultural Research, 
     Extension, and Teaching Policy Act of 1977 (7 U.S.C. 
     3243(e)(1)) is amended to read as follows:
       ``(1) In general.--The Secretary shall establish a 
     competitive grants program--
       ``(A) to fund fundamental and applied research and 
     extension at Hispanic-serving agricultural colleges and 
     universities in agriculture, human nutrition, food science, 
     bioenergy, and environmental science; and
       ``(B) to award competitive grants to Hispanic-serving 
     agricultural colleges and universities to provide for 
     training in the food and agricultural sciences of Hispanic 
     agricultural workers and Hispanic youth working in the food 
     and agricultural sciences.''.

     SEC. 7117. COMPETITIVE GRANTS FOR INTERNATIONAL AGRICULTURAL 
                   SCIENCE AND EDUCATION PROGRAMS.

       Section 1459A(c) of the National Agricultural Research, 
     Extension, and Teaching Policy Act of 1977 (7 U.S.C. 
     3292b(c)) is amended to read as follows:
       ``(c) Authorization of Appropriations.--There are 
     authorized to be appropriated to carry out this section--
       ``(1) such sums as are necessary for each of fiscal years 
     1999 through 2013; and
       ``(2) $5,000,000 for each of fiscal years 2014 through 
     2018.''.

[[Page 1919]]



     SEC. 7118. REPEAL OF RESEARCH EQUIPMENT GRANTS.

       Section 1462A of the National Agricultural Research, 
     Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3310a) 
     is repealed.

     SEC. 7119. UNIVERSITY RESEARCH.

       Section 1463 of the National Agricultural Research, 
     Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3311) is 
     amended by striking ``2012'' each place it appears in 
     subsections (a) and (b) and inserting ``2018''.

     SEC. 7120. EXTENSION SERVICE.

       Section 1464 of the National Agricultural Research, 
     Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3312) is 
     amended by striking ``2012'' and inserting ``2018''.

     SEC. 7121. AUDITING, REPORTING, BOOKKEEPING, AND 
                   ADMINISTRATIVE REQUIREMENTS.

       Section 1469 of the National Agricultural Research, 
     Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3315) is 
     amended--
       (1) by redesignating subsections (b), (c), and (d) as 
     subsections (c), (d), and (e), respectively; and
       (2) by inserting after subsection (a) the following new 
     subsection:
       ``(b) Agreements With Former Agricultural Research 
     Facilities of the Department.--To the maximum extent 
     practicable, the Secretary, for purposes of supporting 
     ongoing research and information dissemination activities, 
     including supporting research and those activities through 
     co-locating scientists and other technical personnel, sharing 
     of laboratory and field equipment, and providing financial 
     support, shall enter into grants, contracts, cooperative 
     agreements, or other legal instruments with former Department 
     of Agriculture agricultural research facilities.''.

     SEC. 7122. SUPPLEMENTAL AND ALTERNATIVE CROPS.

       (a) Authorization of Appropriations and Termination.--
     Section 1473D of the National Agricultural Research, 
     Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3319d) 
     is amended--
       (1) in subsection (a), by striking ``2012'' and inserting 
     ``2018''; and
       (2) by adding at the end the following new subsection:
       ``(e) There are authorized to be appropriated to carry out 
     this section--
       ``(1) such sums as are necessary for fiscal year 2013; and
       ``(2) $1,000,000 for each of fiscal years 2014 through 
     2018.''.
       (b) Competitive Grants.--Section 1473D(c)(1) of the 
     National Agricultural Research, Extension, and Teaching 
     Policy Act of 1977 (7 U.S.C. 3319d(c)(1)) is amended by 
     striking ``use such research funding, special or competitive 
     grants, or other means, as the Secretary determines,'' and 
     inserting ``make competitive grants''.

     SEC. 7123. CAPACITY BUILDING GRANTS FOR NLGCA INSTITUTIONS.

       Section 1473F(b) of the National Agricultural Research, 
     Extension, and Teaching Policy Act of 1977 (7 U.S.C. 
     3319i(b)) is amended by striking ``2012'' and inserting 
     ``2018''.

     SEC. 7124. AQUACULTURE ASSISTANCE PROGRAMS.

       (a) Competitive Grants.--Section 1475(b) of the National 
     Agricultural Research, Extension, and Teaching Policy Act of 
     1977 (7 U.S.C. 3322(b)) is amended in the matter preceding 
     paragraph (1), by inserting ``competitive'' before 
     ``grants''.
       (b) Authorization of Appropriations.--Section 1477 of the 
     National Agricultural Research, Extension, and Teaching 
     Policy Act of 1977 (7 U.S.C. 3324) is amended to read as 
     follows:

     ``SEC. 1477. AUTHORIZATION OF APPROPRIATIONS.

       ``(a) In General.--There are authorized to be appropriated 
     to carry out this subtitle--
       ``(1) $7,500,000 for each of fiscal years 1991 through 
     2013; and
       ``(2) $5,000,000 for each of fiscal years 2014 through 
     2018.
       ``(b) Prohibition on Use.--Funds made available under this 
     section may not be used to acquire or construct a 
     building.''.

     SEC. 7125. RANGELAND RESEARCH PROGRAMS.

       Section 1483(a) of the National Agricultural Research, 
     Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3336(a)) 
     is amended by striking ``subtitle'' and all that follows and 
     inserting the following: ``subtitle--
       ``(1) $10,000,000 for each of fiscal years 1991 through 
     2013; and
       ``(2) $2,000,000 for each of fiscal years 2014 through 
     2018.''.

     SEC. 7126. SPECIAL AUTHORIZATION FOR BIOSECURITY PLANNING AND 
                   RESPONSE.

       Section 1484(a) of the National Agricultural Research, 
     Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3351(a)) 
     is amended by striking ``response such sums as are 
     necessary'' and all that follows and inserting the following: 
     ``response--
       ``(1) such sums as are necessary for each of fiscal years 
     2002 through 2013; and
       ``(2) $20,000,000 for each of fiscal years 2014 through 
     2018.''.

     SEC. 7127. DISTANCE EDUCATION AND RESIDENT INSTRUCTION GRANTS 
                   PROGRAM FOR INSULAR AREA INSTITUTIONS OF HIGHER 
                   EDUCATION.

       (a) Distance Education Grants for Insular Areas.--
       (1) Competitive grants.--Section 1490(a) of the National 
     Agricultural Research, Extension, and Teaching Policy Act of 
     1977 (7 U.S.C. 3362(a)) is amended by striking ``or 
     noncompetitive''.
       (2) Authorization of appropriations.--Section 1490(f) of 
     the National Agricultural Research, Extension, and Teaching 
     Policy Act of 1977 (7 U.S.C. 3362(f)) is amended by striking 
     ``section'' and all that follows and inserting the following: 
     ``section--
       ``(1) such sums as are necessary for each of fiscal years 
     2002 through 2013; and
       ``(2) $2,000,000 for each of fiscal years 2014 through 
     2018.''.
       (b) Resident Instruction Grants for Insular Areas.--Section 
     1491(c) of the National Agricultural Research, Extension, and 
     Teaching Policy Act of 1977 (7 U.S.C. 3363(c)) is amended by 
     striking ``such sums as are necessary'' and all that follows 
     and inserting the following: ``to carry out this section--
       ``(1) such sums as are necessary for each of fiscal years 
     2002 through 2013; and
       ``(2) $2,000,000 for each of fiscal years 2014 through 
     2018.''.

     SEC. 7128. MATCHING FUNDS REQUIREMENT.

       (a) In General.--The National Agricultural Research, 
     Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3101 et 
     seq.) is amended by adding at the end the following new 
     subtitle:

                    ``Subtitle P--General Provisions

     ``SEC. 1492. MATCHING FUNDS REQUIREMENT.

       ``(a) In General.--The recipient of a competitive grant 
     that is awarded by the Secretary under a covered law shall 
     provide funds, in-kind contributions, or a combination of 
     both, from sources other than funds provided through such 
     grant in an amount that is at least equal to the amount of 
     such grant.
       ``(b) Exception.--The matching funds requirement under 
     subsection (a) shall not apply to grants awarded--
       ``(1) to a research agency of the Department of 
     Agriculture; or
       ``(2) to an entity eligible to receive funds under a 
     capacity and infrastructure program (as defined in section 
     251(f)(1)(C) of the Department of Agriculture Reorganization 
     Act of 1994 (7 U.S.C. 6971(f)(1)(C))), including a partner of 
     such entity.
       ``(c) Waiver.--The Secretary may waive the matching funds 
     requirement under subsection (a) for a year with respect to a 
     competitive grant that involves research or extension 
     activities that are consistent with the priorities 
     established by the National Agricultural Research, Extension, 
     Education, and Economics Advisory Board under section 
     1408(c)(1)(B) for the year involved. 
       ``(d) Covered Law.--In this section, the term `covered law' 
     means each of the following provisions of law:
       ``(1) This title.
       ``(2) Title XVI of the Food, Agriculture, Conservation, and 
     Trade Act of 1990 (7 U.S.C. 5801 et seq.).
       ``(3) The Agricultural Research, Extension, and Education 
     Reform Act of 1998 (7 U.S.C. 7601 et seq.).
       ``(4) Part III of subtitle E of title VII of the Food, 
     Conservation, and Energy Act of 2008.
       ``(5) The Competitive, Special, and Facilities Research 
     Grant Act (7 U.S.C. 450i).''.
       (b) Conforming Amendments.--
       (1) National agricultural research, extension, and teaching 
     policy act of 1977.--The National Agricultural Research, 
     Extension, and Teaching Policy Act of 1977 is amended--
       (A) in section 1415(a) (7 U.S.C. 3151(a)), by striking the 
     second sentence;
       (B) in section 1475(b) (7 U.S.C. 3322(b)), in the matter 
     following paragraph (4), by striking ``Except in the case 
     of'' and all that follows; and
       (C) in section 1480 (7 U.S.C. 3333)--
       (i) by striking subsection (b); and
       (ii) by striking ``(a) In General.--The Secretary'' and 
     inserting ``The Secretary''.
       (2) Food, agriculture, conservation, and trade act of 
     1990.--The Food, Agriculture, Conservation, and Trade Act of 
     1990 is amended--
       (A) in section 1623(d)(2) (7 U.S.C. 5813(d)(2)), by adding 
     at the end the following: ``The matching funds requirement 
     under section 1492 of the National Agricultural Research, 
     Extension, and Teaching Policy Act of 1977 shall not apply to 
     grants awarded under this section.'';
       (B) in section 1671 (7 U.S.C. 5924)--
       (i) by striking subsection (e); and
       (ii) by redesignating subsection (f) as subsection (e);
       (C) in section 1672 (7 U.S.C. 5925)--
       (i) by striking subsection (c); and
       (ii) by redesignating subsections (d) through (j) as 
     subsections (c) through (i), respectively; and
       (D) in section 1672B (7 U.S.C. 5925b)--
       (i) by striking subsection (c); and
       (ii) by redesignating subsections (d), (e), and (f) as 
     subsections (c), (d), and (e), respectively.
       (3) Agricultural research, extension, and education reform 
     act of 1998.--The Agricultural Research, Extension, and 
     Education Reform Act of 1998 is amended--
       (A) in section 406 (7 U.S.C. 7626)--
       (i) by striking subsection (d); and
       (ii) by redesignating subsections (e) and (f) as 
     subsections (d) and (e), respectively; and
       (B) in section 412(e) (7 U.S.C. 7632(e))--

[[Page 1920]]

       (i) by striking paragraph (3); and
       (ii) by redesignating paragraph (4) as paragraph (3).
       (4) Competitive, special, and facilities research grant 
     act.--Subsection (b)(9) of the Competitive, Special, and 
     Facilities Research Grant Act (7 U.S.C. 450i(b)(9)) is 
     amended--
       (A) in subparagraph (A), by adding at the end the following 
     new clause:
       ``(iii) Exemption.--The matching funds requirement under 
     section 1492 of the National Agricultural Research, 
     Extension, and Teaching Policy Act of 1977 shall not apply in 
     the case of a grant made under paragraph (6)(A).''; and
       (B) by striking subparagraph (B).
       (5) Sun grant program.--Section 7526(c)(1)(D)(iv) of the 
     Food, Conservation, and Energy Act of 2008 (7 U.S.C. 
     8114(c)(1)(D)(iv)) is amended by adding at the end the 
     following new subclause:

       ``(IV) Relation to other matching fund requirement.--The 
     matching funds requirement under section 1492 of the National 
     Agricultural Research, Extension, and Teaching Policy Act of 
     1977 shall not apply in the case of a grant provided by a sun 
     grant center or subcenter under this paragraph.''.

       (c) Application to Amendments.--
       (1) New grants.--Section 1492 of the National Agricultural 
     Research, Extension, and Teaching Policy Act of 1977, as 
     added by subsection (a), shall apply with respect to grants 
     described in such section awarded after October 1, 2014, 
     unless the provision of a covered law under which such grants 
     are awarded specifically exempts such grants from the 
     matching funds requirement under such section.
       (2) Grants awarded on or before october 1, 2014.--
     Notwithstanding the amendments made by subsection (b), a 
     matching funds requirement in effect on or before the date of 
     the enactment of this section under a provision of a covered 
     law shall continue to apply to a grant awarded under such 
     provision on or before October 1, 2014.

     SEC. 7129. DESIGNATION OF CENTRAL STATE UNIVERSITY AS 1890 
                   INSTITUTION.

       (a) Designation.--Any provision of a Federal law relating 
     to colleges and universities eligible to receive funds under 
     the Act of August 30, 1890 (7 U.S.C. 321 et seq.), including 
     Tuskegee University, shall apply to Central State University.
       (b) Funding Restriction.--Notwithstanding the designation 
     under subsection (a), for fiscal years 2014 and 2015, Central 
     State University shall not be eligible to receive formula 
     funds under--
       (1) section 1444 or 1445 of the National Agricultural 
     Research, Extension, and Teaching Policy Act of 1977 (7 
     U.S.C. 3221 and 3222);
       (2) section 3(d) of the Smith-Lever Act (7 U.S.C. 343(d)) 
     to carry out the national education program established under 
     section 1425 of the National Agricultural Research, 
     Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3175);
       (3) the Renewable Resources Extension Act of 1978 (16 
     U.S.C. 1671 et seq.); or
       (4) Public Law 87-788 (commonly known as the McIntire-
     Stennis Cooperative Forestry Act; 16 U.S.C. 582a et seq.).

   Subtitle B--Food, Agriculture, Conservation, and Trade Act of 1990

     SEC. 7201. BEST UTILIZATION OF BIOLOGICAL APPLICATIONS.

       Section 1624 of the Food, Agriculture, Conservation, and 
     Trade Act of 1990 (7 U.S.C. 5814) is amended in the first 
     sentence--
       (1) by striking ``$40,000,000 for each fiscal year''; and
       (2) by inserting ``$40,000,000 for each of fiscal years 
     2013 through 2018'' after ``chapter''.

     SEC. 7202. INTEGRATED MANAGEMENT SYSTEMS.

       Section 1627(d) of the Food, Agriculture, Conservation, and 
     Trade Act of 1990 (7 U.S.C. 5821(d)) is amended to read as 
     follows:
       ``(d) Authorization of Appropriations.--There are 
     authorized to be appropriated to carry out this section 
     through the National Institute of Food and Agriculture 
     $20,000,000 for each of fiscal years 2013 through 2018.''.

     SEC. 7203. SUSTAINABLE AGRICULTURE TECHNOLOGY DEVELOPMENT AND 
                   TRANSFER PROGRAM.

       Section 1628(f) of the Food, Agriculture, Conservation, and 
     Trade Act of 1990 (7 U.S.C. 5831(f)) is amended to read as 
     follows:
       ``(f) Authorization of Appropriations.--There are 
     authorized to be appropriated to carry out this section--
       ``(1) such sums as are necessary for fiscal year 2013; and
       ``(2) $5,000,000 for each of fiscal years 2014 through 
     2018.''.

     SEC. 7204. NATIONAL TRAINING PROGRAM.

       Section 1629(i) of the Food, Agriculture, Conservation, and 
     Trade Act of 1990 (7 U.S.C. 5832(i)) is amended to read as 
     follows:
       ``(i) Authorization of Appropriations.--There are 
     authorized to be appropriated to carry out the National 
     Training Program $20,000,000 for each of fiscal years 2013 
     through 2018.''.

     SEC. 7205. NATIONAL GENETICS RESOURCES PROGRAM.

       Section 1635(b) of the Food, Agriculture, Conservation, and 
     Trade Act of 1990 (7 U.S.C. 5844(b)) is amended--
       (1) by striking ``such funds as may be necessary''; and
       (2) by striking ``subtitle'' and all that follows and 
     inserting the following: ``subtitle--
       ``(1) such sums as are necessary for each of fiscal years 
     1991 through 2013; and
       ``(2) $1,000,000 for each of fiscal years 2014 through 
     2018.''.

     SEC. 7206. NATIONAL AGRICULTURAL WEATHER INFORMATION SYSTEM.

       Section 1641(c) of the Food, Agriculture, Conservation, and 
     Trade Act of 1990 (7 U.S.C. 5855(c)) is amended--
       (1) by striking ``$5,000,000 to carry out this subtitle'' 
     and inserting ``to carry out this subtitle $5,000,000''; and
       (2) by inserting ``and $1,000,000 for each of fiscal years 
     2014 through 2018'' before the period at the end.

     SEC. 7207. REPEAL OF RURAL ELECTRONIC COMMERCE EXTENSION 
                   PROGRAM.

       Section 1670 of the Food, Agriculture, Conservation, and 
     Trade Act of 1990 (7 U.S.C. 5923) is repealed.

     SEC. 7208. AGRICULTURAL GENOME INITIATIVE.

       Section 1671(c) of the Food, Agriculture, Conservation, and 
     Trade Act of 1990 (7 U.S.C. 5924(c)) is amended by adding at 
     the end the following:
       ``(3) Consortia.--The Secretary shall encourage awards 
     under this section to consortia of eligible entities.''.

     SEC. 7209. HIGH-PRIORITY RESEARCH AND EXTENSION INITIATIVES.

       Section 1672 of the Food, Agriculture, Conservation, and 
     Trade Act of 1990 (7 U.S.C. 5925) is amended--
       (1) in the first sentence of subsection (a), by striking 
     ``subsections (e) through (i)'' and inserting ``subsections 
     (d) through (g)'';
       (2) in subsection (b)(2), in the first sentence, by 
     striking ``subsections (e) through (i)'' and inserting 
     ``subsections (d) through (g)'';
       (3) by striking subsection (h) (as redesignated by section 
     7128(b)(2)(C)(ii));
       (4) by redesignating subsection (i) (as redesignated by 
     such section) as subsection (h);
       (5) in subsection (d) (as redesignated by such section)--
       (A) by striking paragraphs (1) through (5), (7), (8), (11) 
     through (43), (47), (48), (51), and (52);
       (B) by redesignating paragraphs (6), (9), (10), (44), (45), 
     (46), (49), and (50) as paragraphs (1), (2), (3), (4), (5), 
     (6), (7), and (8), respectively; and
       (C) by adding at the end the following new paragraphs:
       ``(9) Coffee plant health initiative.--Research and 
     extension grants may be made under this section for the 
     purposes of--
       ``(A) developing and disseminating science-based tools and 
     treatments to combat the coffee berry borer (Hypothenemus 
     hampei); and
       ``(B) establishing an areawide integrated pest management 
     program in areas affected by, or areas at risk of, being 
     affected by the coffee berry borer.
       ``(10) Corn, soybean meal, cereal grains, and grain 
     byproducts research and extension.--Research and extension 
     grants may be made under this section for the purpose of 
     carrying out or enhancing research to improve the 
     digestibility, nutritional value, and efficiency of the use 
     of corn, soybean meal, cereal grains, and grain byproducts 
     for the poultry and food animal production industries.'';
       (6) by striking subsection (e) (as redesignated by such 
     section)and inserting the following new subsection:
       ``(e) Pulse Crop Health Initiative.--
       ``(1) Definitions.--In this subsection:
       ``(A) Initiative.--The term `Initiative' means the pulse 
     crop health initiative established by paragraph (2).
       ``(B) Pulse crop.--The term `pulse crop' means dry beans, 
     dry peas, lentils, and chickpeas.
       ``(2) Establishment.--The Secretary shall carry out a pulse 
     crop health competitive research and extension initiative to 
     address the critical needs of the pulse crop industry by 
     developing and disseminating science-based tools and 
     information, including--
       ``(A) research conducted with respect to pulse crops in the 
     areas of health and nutrition, such as--
       ``(i) pulse crop diets and the ability of such diets to 
     reduce obesity and associated chronic disease; and
       ``(ii) the underlying mechanisms of the health benefits of 
     pulse crop consumption;
       ``(B) research related to the functionality of pulse crops, 
     such as--
       ``(i) improving the functional properties of pulse crops 
     and pulse crop fractions; and
       ``(ii) developing new and innovative technologies to 
     improve pulse crops as an ingredient in food products;
       ``(C) research conducted with respect to pulse crops for 
     purposes of enhancing sustainability and global food 
     security, such as--
       ``(i) improving pulse crop productivity, nutrient density, 
     and phytonutrient content using plant breeding, genetics, and 
     genomics;
       ``(ii) improving pest and disease management, including 
     resistance to pests and diseases; and
       ``(iii) improving nitrogen fixation and water use 
     efficiency to reduce the carbon and energy footprint of 
     agriculture;
       ``(D) the optimization of systems used in producing pulse 
     crops to reduce water usage; and
       ``(E) education and technical assistance programs with 
     respect to pulse crops, such as programs--

[[Page 1921]]

       ``(i) providing technical expertise to help food companies 
     include pulse crops in innovative and healthy food; and
       ``(ii) establishing an educational program to encourage 
     pulse crop consumption in the United States.
       ``(3) Administration.--Paragraphs (4), (7), (8), and 
     (11)(B) of subsection (b) of the Competitive, Special, and 
     Facilities Research Grant Act (7 U.S.C. 450i(b)) shall apply 
     with respect to the making of a competitive grant under this 
     subsection.
       ``(4) Priorities.--In making competitive grants under this 
     subsection, the Secretary shall provide a higher priority to 
     projects that--
       ``(A) are multistate, multiinstitutional, and 
     multidisciplinary; and
       ``(B) include explicit mechanisms to communicate results to 
     the pulse crop industry and the public.
       ``(5) Authorization of appropriations.--There are 
     authorized to be appropriated to carry out this subsection 
     $25,000,000 for each of fiscal years 2014 through 2018.'';
       (7) by striking subsection (f) (as redesignated by such 
     section) and inserting the following new subsection:
       ``(f) Training Coordination for Food and Agriculture 
     Protection.--
       ``(1) In general.--The Secretary shall make a competitive 
     grant to, or enter into a contract or a cooperative agreement 
     with, an eligible entity (described in paragraph (2)) for 
     purposes of establishing an internationally integrated 
     training system to enhance the protection of the food supply 
     in the United States, to be known as the `Comprehensive Food 
     Safety Training Network' (referred to in this subsection as 
     the `Network').
       ``(2) Eligibility.--
       ``(A) In general.--For purposes of this subsection, an 
     eligible entity is a multiinstitutional consortium that 
     includes--
       ``(i) a nonprofit institution that provides food safety 
     protection training; and
       ``(ii) one or more training centers in institutions of 
     higher education (as defined in section 101 of the Higher 
     Education Act of 1965 (20 U.S.C. 1001)) that have 
     demonstrated expertise in developing and delivering 
     community-based training in food supply and agricultural 
     safety and defense.
       ``(B) Collective consideration.--The Secretary may consider 
     such consortium collectively and not on an institution-by-
     institution basis.
       ``(3) Duties of eligible entity.--As a condition of 
     receiving a competitive grant or entering into a contract or 
     a cooperative agreement with the Secretary under this 
     subsection, the eligible entity, in cooperation with the 
     Secretary, shall establish and maintain the Network, 
     including by--
       ``(A) providing basic, technical, management, and 
     leadership training (including by developing curricula) to 
     regulatory and public health officials, producers, 
     processors, and other agribusinesses;
       ``(B) serving as the hub for the administration of the 
     Network;
       ``(C) implementing a standardized national curriculum to 
     ensure the consistent delivery of quality training throughout 
     the United States;
       ``(D) building and overseeing a nationally recognized 
     instructor cadre to ensure the availability of highly 
     qualified instructors;
       ``(E) reviewing training proposed through the National 
     Institute of Food and Agriculture and other relevant Federal 
     agencies that report to the Secretary on the quality and 
     content of proposed and existing courses;
       ``(F) assisting Federal agencies in the implementation of 
     food safety protection training requirements including 
     requirements under the Federal Food, Drug, and Cosmetic Act 
     (21 U.S.C. 301 et seq.), the Agricultural Act of 2014, and 
     any provision of law amended by such Act; and
       ``(G) performing evaluation and outcome-based studies to 
     provide to the Secretary information on the effectiveness and 
     impact of training and metrics on jurisdictions and sectors 
     within the food safety system.
       ``(4) Membership.--An eligible entity may alter the 
     consortium membership to meet specific training expertise 
     needs.
       ``(5) Authorization of appropriations.--There are 
     authorized to be appropriated to carry out this subsection 
     $20,000,000 for each of fiscal years 2014 through 2018, to 
     remain available until expended.'';
       (8) in subsection (g) (as redesignated by such section)--
       (A) by striking ``2012'' each place it appears in 
     paragraphs (1)(B), (2)(B), and (3) and inserting ``2018'';
       (B) in paragraph (3)--
       (i) in the heading, by striking ``pest and pathogen''; and
       (ii) by striking ``pest and pathogen surveillance'' and 
     inserting ``pest, pathogen, health, and population status 
     surveillance'';
       (C) by redesignating paragraph (4) as paragraph (5);
       (D) by inserting after paragraph (3) the following new 
     paragraph:
       ``(4) Consultation.--The Secretary, in consultation with 
     the Secretary of the Interior and the Administrator of the 
     Environmental Protection Agency, shall publish guidance on 
     enhancing pollinator health and the long-term viability of 
     populations of pollinators, including recommendations related 
     to--
       ``(A) allowing for managed honey bees to forage on National 
     Forest System lands where compatible with other natural 
     resource management priorities; and
       ``(B) planting and maintaining managed honey bee and native 
     pollinator foraging on National Forest System lands where 
     compatible with other natural resource management 
     priorities.''; and
       (E) in paragraph (5) (as redesignated by subparagraph 
     (C))--
       (i) by redesignating subparagraphs (A) and (B) as clauses 
     (i) and (ii), respectively, and moving the margins of such 
     subparagraphs two ems to the right;
       (ii) by striking ``annual report describing'' and inserting 
     the following: ``annual report--
       ``(A) describing'';
       (iii) in clause (i) (as redesignated by clause (i) of this 
     subparagraph)--

       (I) by inserting ``and honey bee health disorders'' after 
     ``collapse''; and
       (II) by striking ``and'' at the end;

       (iv) in clause (ii) (as redesignated by clause (i) of this 
     subparagraph)--

       (I) by inserting ``, including best management practices'' 
     after ``strategies''; and
       (II) by striking the period at the end and inserting ``; 
     and'';

       (v) by adding at the end the following new clause:
       ``(iii) addressing the decline of managed honey bees and 
     native pollinators;''; and
       (vi) by adding at the end the following new subparagraphs:
       ``(B) assessing Federal efforts to mitigate pollinator 
     losses and threats to the United States commercial beekeeping 
     industry; and
       ``(C) providing recommendations to Congress regarding how 
     to better coordinate Federal agency efforts to address the 
     decline of managed honey bees and native pollinators.''; and
       (9) in subsection (h) (as redesignated by paragraph (4)), 
     by striking ``2012'' and inserting ``2018''.

     SEC. 7210. REPEAL OF NUTRIENT MANAGEMENT RESEARCH AND 
                   EXTENSION INITIATIVE.

       Section 1672A of the Food, Agriculture, Conservation, and 
     Trade Act of 1990 (7 U.S.C. 5925a) is repealed.

     SEC. 7211. ORGANIC AGRICULTURE RESEARCH AND EXTENSION 
                   INITIATIVE.

       Section 1672B of the Food, Agriculture, Conservation, and 
     Trade Act of 1990 (7 U.S.C. 5925b) is amended--
       (1) in subsection (a)--
       (A) in the matter preceding paragraph (1), by inserting ``, 
     education,'' after ``support research'';
       (B) in paragraph (1), by inserting ``and improvement'' 
     after ``development'';
       (C) in paragraph (2), by striking ``to producers and 
     processors who use organic methods'' and inserting ``of 
     organic agricultural production and methods to producers, 
     processors, and rural communities''; and
       (D) in paragraph (6), by striking ``and marketing and to 
     socioeconomic conditions'' and inserting ``, marketing, food 
     safety, socioeconomic conditions, and farm business 
     management''; and
       (2) in subsection (e) (as redesignated by section 
     7128(b)(2)(D)(ii))--
       (A) in paragraph (1)--
       (i) in the heading, by striking ``for fiscal years 2009 
     through 2012'';
       (ii) in subparagraph (A), by striking ``and'' at the end;
       (iii) in subparagraph (B), by striking the period at the 
     end and inserting ``; and''; and
       (iv) by adding at the end the following:
       ``(C) $20,000,000 for each of fiscal years 2014 through 
     2018.''; and
       (B) in paragraph (2)--
       (i) in the heading, by striking ``2009 through 2012'' and 
     inserting ``2014 through 2018''; and
       (ii) by striking ``2009 through 2012'' and inserting ``2014 
     through 2018''.

     SEC. 7212. REPEAL OF AGRICULTURAL BIOENERGY FEEDSTOCK AND 
                   ENERGY EFFICIENCY RESEARCH AND EXTENSION 
                   INITIATIVE.

       (a) Repeal.--Section 1672C of the Food, Agriculture, 
     Conservation, and Trade Act of 1990 (7 U.S.C. 5925e) is 
     repealed.
       (b) Conforming Amendment.--Section 251(f)(1)(D) of the 
     Department of Agriculture Reorganization Act of 1994 (7 
     U.S.C. 6971(f)(1)(D)) is amended--
       (1) by striking clause (xi); and
       (2) by redesignating clauses (xii) and (xiii) as clauses 
     (xi) and (xii), respectively.

     SEC. 7213. FARM BUSINESS MANAGEMENT.

       Section 1672D(d) of the Food, Agriculture, Conservation, 
     and Trade Act of 1990 (7 U.S.C. 5925f(d)) is amended by 
     striking ``such sums as are necessary to carry out this 
     section.'' and inserting the following: ``to carry out this 
     section--
       ``(1) such sums as are necessary for fiscal year 2013; and
       ``(2) $5,000,000 for each of fiscal years 2014 through 
     2018.''.

     SEC. 7214. CENTERS OF EXCELLENCE.

       (a) In General.--The Food, Agriculture, Conservation, and 
     Trade Act of 1990 is amended by inserting after section 1672D 
     (7 U.S.C. 5925f) the following new section:

     ``SEC. 1673. CENTERS OF EXCELLENCE.

       ``(a) Funding Priorities.--The Secretary shall prioritize 
     centers of excellence established for purposes of carrying 
     out research, extension, and education activities relating

[[Page 1922]]

     to the food and agricultural sciences (as defined in section 
     1404 of the National Agricultural Research, Extension, and 
     Teaching Policy Act of 1977 (7 U.S.C. 3103)) for the receipt 
     of funding for any competitive research or extension program 
     administered by the Secretary.
       ``(b) Composition.--A center of excellence is composed of 1 
     or more of the eligible entities specified in subsection 
     (b)(7) of the Competitive, Special, and Facilities Research 
     Grant Act (7 U.S.C. 450i(b)(7)) that provide financial or in-
     kind support to the center of excellence.
       ``(c) Criteria for Centers of Excellence.--
       ``(1) Required efforts.--The criteria for recognition as a 
     center of excellence shall include efforts--
       ``(A) to ensure coordination and cost effectiveness by 
     reducing unnecessarily duplicative efforts regarding 
     research, teaching, and extension;
       ``(B) to leverage available resources by using public-
     private partnerships among agricultural industry groups, 
     institutions of higher education, and the Federal Government;
       ``(C) to implement teaching initiatives to increase 
     awareness and effectively disseminate solutions to target 
     audiences through extension activities; and
       ``(D) to increase the economic returns to rural communities 
     by identifying, attracting, and directing funds to high-
     priority agricultural issues.
       ``(2) Additional efforts.--Where practicable, the criteria 
     for recognition as a center of excellence shall include 
     efforts to improve teaching capacity and infrastructure at 
     colleges and universities (including land-grant colleges and 
     universities, cooperating forestry schools, NLGCA 
     Institutions (as those terms are defined in section 1404 of 
     the National Agricultural Research, Extension, and Teaching 
     Policy Act of 1977 (7 U.S.C. 3103)), and schools of 
     veterinary medicine).''.
       (b) Effective Date.--The amendments made by subsection (a) 
     shall take effect on October 1, 2014.

     SEC. 7215. REPEAL OF RED MEAT SAFETY RESEARCH CENTER.

       Section 1676 of the Food, Agriculture, Conservation, and 
     Trade Act of 1990 (7 U.S.C. 5929) is repealed.

     SEC. 7216. ASSISTIVE TECHNOLOGY PROGRAM FOR FARMERS WITH 
                   DISABILITIES.

       Section 1680(c)(1) of the Food, Agriculture, Conservation, 
     and Trade Act of 1990 (7 U.S.C. 5933(c)(1)) is amended--
       (1) by striking ``is'' and inserting ``are''; and
       (2) by striking ``section'' and all that follows and 
     inserting the following: ``section--
       ``(A) $6,000,000 for each of fiscal years 1999 through 
     2013; and
       ``(B) $5,000,000 for each of fiscal years 2014 through 
     2018.''.

     SEC. 7217. NATIONAL RURAL INFORMATION CENTER CLEARINGHOUSE.

       Section 2381(e) of the Food, Agriculture, Conservation, and 
     Trade Act of 1990 (7 U.S.C. 3125b(e)) is amended by striking 
     ``2012'' and inserting ``2018''.

Subtitle C--Agricultural Research, Extension, and Education Reform Act 
                                of 1998

     SEC. 7301. RELEVANCE AND MERIT OF AGRICULTURAL RESEARCH, 
                   EXTENSION, AND EDUCATION FUNDED BY THE 
                   DEPARTMENT.

       Section 103(a)(2) of the Agricultural Research, Extension, 
     and Education Reform Act of 1998 (7 U.S.C. 7613(a)(2)) is 
     amended--
       (1) in the heading by striking ``Merit review of 
     extension'' and inserting ``Relevance and merit review of 
     research, extension,'';
       (2) in subparagraph (A)--
       (A) by inserting ``relevance and'' before ``merit''; and
       (B) by striking ``extension or education'' and inserting 
     ``research, extension, or education''; and
       (3) in subparagraph (B), by inserting ``on a continuous 
     basis'' after ``procedures''.

     SEC. 7302. INTEGRATED RESEARCH, EDUCATION, AND EXTENSION 
                   COMPETITIVE GRANTS PROGRAM.

       Subsection (e) of section 406 of the Agricultural Research, 
     Extension, and Education Reform Act of 1998 (7 U.S.C. 7626) 
     (as redesignated by section 7128(b)(3)(A)(ii)) is amended by 
     striking ``2012'' and inserting ``2018''.

     SEC. 7303. SUPPORT FOR RESEARCH REGARDING DISEASES OF WHEAT, 
                   TRITICALE, AND BARLEY CAUSED BY FUSARIUM 
                   GRAMINEARUM OR BY TILLETIA INDICA.

       Section 408(e) of the Agricultural Research, Extension, and 
     Education Reform Act of 1998 (7 U.S.C. 7628(e)) is amended to 
     read as follows:
       ``(e) Authorization of Appropriations.--There are 
     authorized to be appropriated to carry out this section--
       ``(1) such sums as may be necessary for each of fiscal 
     years 1999 through 2013; and
       ``(2) $10,000,000 for each of fiscal years 2014 through 
     2018.''.

     SEC. 7304. REPEAL OF BOVINE JOHNE'S DISEASE CONTROL PROGRAM.

       Section 409 of the Agricultural Research, Extension, and 
     Education Reform Act of 1998 (7 U.S.C. 7629) is repealed.

     SEC. 7305. GRANTS FOR YOUTH ORGANIZATIONS.

       Section 410(d) of the Agricultural Research, Extension, and 
     Education Reform Act of 1998 (7 U.S.C. 7630(d)) is amended by 
     striking ``section such sums as are necessary'' and all that 
     follows and inserting the following: ``section--
       ``(1) such sums as are necessary for each of fiscal years 
     2008 through 2013; and
       ``(2) $3,000,000 for each of fiscal years 2014 through 
     2018.''.

     SEC. 7306. SPECIALTY CROP RESEARCH INITIATIVE.

       Section 412 of the Agricultural Research, Extension, and 
     Education Reform Act of 1998 (7 U.S.C. 7632) is amended--
       (1) in subsection (a)--
       (A) by redesignating paragraphs (1) and (2) as paragraphs 
     (2) and (3), respectively;
       (B) by inserting before paragraph (2) (as so redesignated), 
     the following new paragraph:
       ``(1) Citrus disease subcommittee.--The term `citrus 
     disease subcommittee' means the subcommittee established 
     under section 1408A(a)(2) of the National Agricultural 
     Research, Extension, and Teaching Policy Act of 1977.'';and
       (C) by adding at the end the following new paragraph:
       ``(4) Specialty crops committee.--The term `specialty crops 
     committee' means the committee established under section 
     1408A of the National Agricultural Research, Extension, and 
     Teaching Policy Act of 1977 (7 U.S.C. 3123a).'';
       (2) in subsection (b)--
       (A) in paragraph (1), by striking ``and genomics'' and 
     inserting ``genomics, and other methods''; and
       (B) in paragraph (3), by inserting ``handling and 
     processing,'' after ``production efficiency,'';
       (3) in subsection (c), in the matter preceding paragraph 
     (1), by striking ``the Initiative'' and inserting ``this 
     section'';
       (4) by striking subsection (d) and inserting the following 
     new subsection:
       ``(d) Review of Proposals.--In carrying out this section, 
     the Secretary shall award competitive grants on the basis 
     of--
       ``(1) a scientific peer review conducted by a panel of 
     subject matter experts from Federal agencies, non-Federal 
     entities, and the specialty crop industry; and
       ``(2) a review and ranking for merit, relevance, and impact 
     conducted by a panel of specialty crop industry 
     representatives for the specific specialty crop.'';
       (5) by redesignating subsections (e) (as amended by section 
     7128(b)(3)(B)), (f), (g), and (h) as subsections (g), (h), 
     (i), and (k), respectively;
       (6) by inserting after subsection (d) the following new 
     subsections:
       ``(e) Consultation.--Each fiscal year, before conducting 
     the scientific peer review described in paragraph (1) of 
     subsection (d) and the merit and relevancy review described 
     in paragraph (2) of such subsection, the Secretary shall 
     consult with the specialty crops committee regarding such 
     reviews. The committee shall provide the Secretary--
       ``(1) in the first fiscal year in which that consultation 
     occurs, any recommendations for conducting such reviews in 
     such fiscal year; and
       ``(2) in any subsequent fiscal year in which such 
     consultation occurs--
       ``(A) an assessment of the procedures and objectives used 
     by the Secretary for such reviews in the previous fiscal 
     year;
       ``(B) any recommendations for such reviews for the current 
     fiscal year; and
       ``(C) any comments on grants awarded under subsection (d) 
     during the previous fiscal year.
       ``(f) Report.--The Secretary 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 results of the consultations with the specialty 
     crops committee (and subcommittees thereof) conducted under 
     subsection (e) of this section and subsection (g) of section 
     1408A of the National Agricultural Research, Extension, and 
     Teaching Policy Act of 1977 (7 U.S.C. 3123a);
       ``(2) the specialty crops committee's (and subcommittees 
     thereof) recommendations, if any, provided to the Secretary 
     during such consultations; and
       ``(3) the specialty crops committee's (and subcommittees 
     thereof) review of the grants awarded under subsection (d) 
     and (j), as applicable, in the previous fiscal year.'';
       (7) in subsection (g) (as so redesignated)--
       (A) by striking paragraph (1) and inserting the following 
     new paragraph:
       ``(1) In general.--With respect to grants awarded under 
     this section, the Secretary shall seek and accept proposals 
     for grants.''; and
       (B) in paragraph (3) (as redesignated by section 
     7128(b)(3)(B)), by striking ``this section'' and inserting 
     ``the Initiative'';
       (8) in subsection (h) (as so redesignated), in the matter 
     preceding paragraph (1), by striking ``this section'' and 
     inserting ``the Initiative'';
       (9) in subsection (k) (as so redesignated)--
       (A) in paragraph (1)--
       (i) by striking ``(1) Mandatory funding for fiscal years 
     2008 through 2012.--Of the funds'' and inserting the 
     following:
       ``(1) Mandatory funding.--
       ``(A) Fiscal years 2008 through 2012.--Of the funds''; and
       (ii) by adding at the end the following new subparagraph:

[[Page 1923]]

       ``(B) Subsequent funding.--Of the funds of the Commodity 
     Credit Corporation, the Secretary shall make available to 
     carry out this section $80,000,000 for fiscal year 2014 and 
     each fiscal year thereafter.
       ``(C) Reservation.--For each of fiscal years 2014 through 
     2018, the Secretary shall reserve not less than $25,000,000 
     of the funds made available under subparagraph (B) to carry 
     out the program established under subsection (j).
       ``(D) Availability of funds.--Funds reserved under 
     subparagraph (C) shall remain available and reserved for the 
     purpose described in such subparagraph until expended.''; and
       (B) in paragraph (2)--
       (i) in the heading, by striking ``2008 through 2012'' and 
     inserting ``2014 through 2018'' ; and
       (ii) by striking ``2008 through 2012'' and inserting ``2014 
     through 2018''; and
       (10) by inserting after subsection (i) the following new 
     subsection:
       ``(j) Emergency Citrus Disease Research and Extension 
     Program.--
       ``(1) Establishment and purpose.--The Secretary shall 
     establish a competitive research and extension grant program 
     to combat diseases of citrus under which the Secretary awards 
     competitive grants to eligible entities--
       ``(A) to conduct scientific research and extension 
     activities, technical assistance, and development activities 
     to combat citrus diseases and pests, both domestic and 
     invasive, which pose imminent harm to the United States 
     citrus production and threaten the future viability of the 
     citrus industry, including huanglongbing and the Asian Citrus 
     Psyllid; and
       ``(B) to provide support for the dissemination and 
     commercialization of relevant information, techniques, and 
     technologies discovered pursuant to research and extension 
     activities funded through--
       ``(i) the emergency citrus disease research and extension 
     program; or
       ``(ii) other research and extension projects intended to 
     solve problems caused by citrus production diseases and 
     invasive pests.
       ``(2) Priority.--In awarding grants under this subsection, 
     the Secretary shall give priority to grants that address the 
     research and extension priorities established pursuant to 
     subsection (g)(4) of section 1408A of the National 
     Agricultural Research, Extension, and Teaching Policy Act of 
     1977 (7 U.S.C. 3123a).
       ``(3) Coordination.--When developing the proposed research 
     and extension agenda and budget under subsection (g)(2) of 
     section 1408A of the National Agricultural Research, 
     Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3123a) 
     for the funds made available under this subsection for a 
     fiscal year, the citrus disease subcommittee shall--
       ``(A) seek input from Federal and State agencies and other 
     entities involved in citrus disease response; and
       ``(B) take into account other public and private citrus-
     related research and extension projects and the funding for 
     such projects.
       ``(4) Nonduplication.--The Secretary shall ensure that 
     funds made available to carry out the emergency citrus 
     disease research and extension activities under this 
     subsection shall be in addition to and not supplant funds 
     made available to carry out other citrus disease activities 
     carried out by the Department of Agriculture in consultation 
     with State agencies.
       ``(5) Authorization of appropriations.--In addition to the 
     amounts reserved under subsection (k)(1)(C), there are 
     authorized to be appropriated to carry out this subsection, 
     $25,000,000 for each of fiscal years 2014 through 2018.
       ``(6) Definitions.--In this subsection:
       ``(A) Citrus.--The term `citrus' means edible fruit of the 
     family Rutaceae, including any hybrid of such fruits and 
     products of such hybrids that are produced for commercial 
     purposes in the United States. 
       ``(B) Citrus producer.--The term `citrus producer' means 
     any person that is engaged in the domestic production and 
     commercial sale of citrus in the United States. 
       ``(C) Emergency citrus disease research and extension 
     program.--The term `emergency citrus disease research and 
     extension program' means the emergency citrus research and 
     extension grant program established under this subsection.''.

     SEC. 7307. [H7308] FOOD ANIMAL RESIDUE AVOIDANCE DATABASE 
                   PROGRAM.

       Section 604(e) of the Agricultural Research, Extension, and 
     Education Reform Act of 1998 (7 U.S.C. 7642(e)) is amended by 
     striking ``2012'' and inserting ``2018''.

     SEC. 7308. REPEAL OF NATIONAL SWINE RESEARCH CENTER.

       Section 612 of the Agricultural Research, Extension, and 
     Education Reform Act of 1998 (Public Law 105-185; 112 Stat. 
     605) is repealed.

     SEC. 7309. OFFICE OF PEST MANAGEMENT POLICY.

       Section 614(f) of the Agricultural Research, Extension, and 
     Education Reform Act of 1998 (7 U.S.C. 7653(f)) is amended--
       (1) by striking ``such sums as are necessary''; and
       (2) by striking ``section'' and all that follows and 
     inserting the following: ``section--
       ``(1) such sums as are necessary for each of fiscal years 
     1999 through 2013; and
       ``(2) $3,000,000 for each of fiscal years 2014 through 
     2018.''.

     SEC. 7310. FORESTRY PRODUCTS ADVANCED UTILIZATION RESEARCH.

       Subtitle B of title VI of the Agricultural Research, 
     Extension, and Education Reform Act of 1998 (7 U.S.C. 7651 et 
     seq.) is amended by inserting after section 616 (7 U.S.C. 
     7655) the following new section:

     ``SEC. 617. FORESTRY PRODUCTS ADVANCED UTILIZATION RESEARCH.

       ``(a) Establishment.--The Secretary shall establish a 
     forestry and forestry products research and extension 
     initiative to develop and disseminate science-based tools 
     that address the needs of the forestry sector and their 
     respective regions, forest and timberland owners and 
     managers, and forestry products engineering, manufacturing, 
     and related interests.
       ``(b) Activities.--The initiative described in subsection 
     (a) shall include the following activities:
       ``(1) Research conducted for purposes of--
       ``(A) wood quality improvement with respect to lumber 
     strength and grade yield;
       ``(B) the development of novel engineered lumber products 
     and renewable energy from wood; and
       ``(C) enhancing the longevity, sustainability, and 
     profitability of timberland through sound management and 
     utilization.
       ``(2) Demonstration activities and technology transfer to 
     demonstrate the beneficial characteristics of wood as a green 
     building material, including investments in life cycle 
     assessment for wood products.
       ``(3) Projects designed to improve--
       ``(A) forestry products, lumber, and evaluation standards 
     and valuation techniques;
       ``(B) lumber quality and value-based, on-forest management 
     techniques; and
       ``(C) forestry products conversion and manufacturing 
     efficiency, productivity, and profitability over the long 
     term (including forestry product marketing).
       ``(c) Grants.--
       ``(1) In general.--The Secretary shall make competitive 
     grants to carry out the activities described in subsection 
     (b).
       ``(2) Priorities.--In making grants under this section, the 
     Secretary shall give higher priority to activities that are 
     carried out by entities that--
       ``(A) are multistate, multiinstitutional, or 
     multidisciplinary;
       ``(B) have explicit mechanisms to communicate results to 
     producers, forestry industry stakeholders, policymakers, and 
     the public; and
       ``(C) have--
       ``(i) extensive history and demonstrated experience in 
     forestry and forestry products research;
       ``(ii) existing capacity in forestry products research and 
     dissemination; and
       ``(iii) a demonstrated means of evaluating and responding 
     to the needs of the related commercial sector.
       ``(3) Administration.--In making grants under this section, 
     the Secretary shall follow the requirements of paragraphs 
     (4), (7), (8), and (11)(B) of subsection (b) of the 
     Competitive, Special, and Facilities Research Grant Act (7 
     U.S.C. 450i).
       ``(4) Term.--The term of a grant made under this section 
     may not exceed 10 years.
       ``(d) Coordination.-- The Secretary shall ensure that any 
     activities carried out under this section are carried out in 
     coordination with the Forest Service, including the Forest 
     Products Laboratory, and other appropriate agencies of the 
     Department.
       ``(e) Report.--The Secretary shall submit an annual report 
     to the Committee on Agriculture of the House of 
     Representatives and the Committee on Agriculture, Nutrition, 
     and Forestry of the Senate describing, for the period covered 
     by the report--
       ``(1) the research that has been conducted under paragraph 
     (2) of subsection (b);
       ``(2) the number of buildings the Forest Service has built 
     with wood as the primary structural material; and
       ``(3) the investments made by the Forest Service in green 
     building and wood promotion.
       ``(f) Authorization of Appropriations.--
       ``(1) In general.--There are authorized to be appropriated 
     to carry out this section $7,000,000 for each of fiscal years 
     2014 through 2018.
       ``(2) Matching funds.--To the extent practicable, the 
     Secretary shall match any funds made available under 
     paragraph (1) with funds made available under section 7 of 
     the Forest and Rangeland Renewable Resources Research Act of 
     1978 (16 U.S.C.1646).''.

     SEC. 7311. REPEAL OF STUDIES OF AGRICULTURAL RESEARCH, 
                   EXTENSION, AND EDUCATION.

       Subtitle C of title VI of the Agricultural Research, 
     Extension, and Education Reform Act of 1998 (7 U.S.C. 7671 et 
     seq.) is repealed.

                         Subtitle D--Other Laws

     SEC. 7401. CRITICAL AGRICULTURAL MATERIALS ACT.

       Section 16(a) of the Critical Agricultural Materials Act (7 
     U.S.C. 178n(a)) is amended--
       (1) by striking ``such sums as are necessary''; and
       (2) by striking ``Act'' and all that follows and inserting 
     the following: ``Act--
       ``(1) such sums as are necessary for each of fiscal years 
     1991 through 2013; and
       ``(2) $2,000,000 for each of fiscal years 2014 through 
     2018.''.

[[Page 1924]]



     SEC. 7402. EQUITY IN EDUCATIONAL LAND-GRANT STATUS ACT OF 
                   1994.

       (a) Definition of 1994 Institution.--
       (1) In general.--Section 532 of the Equity in Educational 
     Land-Grant Status Act of 1994 (7 U.S.C. 301 note; Public Law 
     103-382) is amended to read as follows:

     ``SEC. 532. DEFINITION OF 1994 INSTITUTION.

       ``In this part, the term `1994 Institution' means any of 
     the following colleges:
       ``(1) Aaniiih Nakoda College.
       ``(2) Bay Mills Community College.
       ``(3) Blackfeet Community College.
       ``(4) Cankdeska Cikana Community College.
       ``(5) Chief Dull Knife College.
       ``(6) College of Menominee Nation.
       ``(7) College of the Muscogee Nation.
       ``(8) D-Q University.
       ``(9) Dine College.
       ``(10) Fond du Lac Tribal and Community College.
       ``(11) Fort Berthold Community College.
       ``(12) Fort Peck Community College.
       ``(13) Haskell Indian Nations University.
       ``(14) Ilisagvik College.
       ``(15) Institute of American Indian and Alaska Native 
     Culture and Arts Development.
       ``(16) Keweenaw Bay Ojibwa Community College.
       ``(17) Lac Courte Oreilles Ojibwa Community College.
       ``(18) Leech Lake Tribal College.
       ``(19) Little Big Horn College.
       ``(20) Little Priest Tribal College.
       ``(21) Navajo Technical College.
       ``(22) Nebraska Indian Community College.
       ``(23) Northwest Indian College.
       ``(24) Oglala Lakota College.
       ``(25) Saginaw Chippewa Tribal College.
       ``(26) Salish Kootenai College.
       ``(27) Sinte Gleska University.
       ``(28) Sisseton Wahpeton College.
       ``(29) Sitting Bull College.
       ``(30) Southwestern Indian Polytechnic Institute.
       ``(31) Stone Child College.
       ``(32) Tohono O'odham Community College.
       ``(33) Turtle Mountain Community College.
       ``(34) United Tribes Technical College.
       ``(35) White Earth Tribal and Community College.''.
       (2) Effective date.--The amendments made by paragraph (1) 
     shall take effect on October 1, 2014.
       (b) Endowment for 1994 Institutions.--Section 533(b) of the 
     Equity in Educational Land-Grant Status Act of 1994 (7 U.S.C. 
     301 note; Public Law 103-382) is amended in the first 
     sentence by striking ``2012'' and inserting ``2018''.
       (c) Institutional Capacity Building Grants.--Section 535 of 
     the Equity in Educational Land-Grant Status Act of 1994 (7 
     U.S.C. 301 note; Public Law 103-382) is amended by striking 
     ``2012'' each place it appears in subsections (b)(1) and (c) 
     and inserting ``2018''.
       (d) Research Grants.--
       (1) Authorization of appropriations.--Section 536(c) of the 
     Equity in Educational Land-Grant Status Act of 1994 (7 U.S.C. 
     301 note; Public Law 103-382) is amended in the first 
     sentence by striking ``2012'' and inserting ``2018''.
       (2) Research grant requirements.--Section 536(b) of the 
     Equity in Educational Land-Grant Status Act of 1994 (7 U.S.C. 
     301 note; Public Law 103-382) is amended by striking ``with 
     at least 1 other land-grant college or university'' and all 
     that follows and inserting the following: ``with--
       ``(1) the Agricultural Research Service of the Department 
     of Agriculture; or
       ``(2) at least 1--
       ``(A) other land-grant college or university (exclusive of 
     another 1994 Institution);
       ``(B) non-land-grant college of agriculture (as defined in 
     section 1404 of the National Agricultural Research, 
     Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3103)); 
     or
       ``(C) cooperating forestry school (as defined in that 
     section).''.

     SEC. 7403. RESEARCH FACILITIES ACT.

       Section 6(a) of the Research Facilities Act (7 U.S.C. 
     390d(a)) is amended by striking ``2012'' and inserting 
     ``2018''.

     SEC. 7404. COMPETITIVE, SPECIAL, AND FACILITIES RESEARCH 
                   GRANT ACT.

       (a) Extension.--Subsection (b)(11)(A) of the Competitive, 
     Special, and Facilities Research Grant Act (7 U.S.C. 
     450i(b)(11)(A)) is amended, in the matter preceding clause 
     (i), by striking ``2012'' and inserting ``2018''.
       (b) Priority Areas.--Subsection (b)(2) of the Competitive, 
     Special, and Facilities Research Grant Act (7 U.S.C. 
     450i(b)(2)) is amended--
       (1) in subparagraph (B)--
       (A) in clause (vii), by striking ``and'' at the end;
       (B) in clause (viii), by striking the period at the end and 
     inserting a semicolon; and
       (C) by adding at the end the following new clauses:
       ``(ix) the research and development of surveillance 
     methods, vaccines, vaccination delivery systems, or 
     diagnostic tests for pests and diseases, including--

       ``(I) epizootic diseases in domestic livestock (including 
     deer, elk, bison, and other animals of the family Cervidae); 
     and
       ``(II) zoonotic diseases (including bovine brucellosis and 
     bovine tuberculosis) in domestic livestock or wildlife 
     reservoirs that present a potential concern to public health; 
     and

       ``(x) the identification of animal drug needs and the 
     generation and dissemination of data for safe and effective 
     therapeutic applications of animal drugs for minor species 
     and minor uses of such drugs in major species.'';
       (2) in subparagraph (D)--
       (A) in the heading, by striking ``Renewable energy'' and 
     inserting ``Bioenergy'';
       (B) by redesignating clauses (iv), (v), and (vi) as clauses 
     (v), (vi), and (vii), respectively; and
       (C) by inserting after clause (iii) the following new 
     clause:
       ``(iv) the effectiveness of conservation practices and 
     technologies designed to address nutrient losses and improve 
     water quality;''; and
       (3) in subparagraph (F)--
       (A) in the matter preceding clause (i), by inserting 
     ``economics,'' after ``trade,'';
       (B) by redesignating clauses (v) and (vi) as clauses (vi) 
     and (vii), respectively; and
       (C) by inserting after clause (iv) the following new 
     clause:
       ``(v) the economic costs, benefits, and viability of 
     producers adopting conservation practices and technologies 
     designed to improve water quality;''.
       (c) General Administration.--Subsection (b)(4) of the 
     Competitive, Special, and Facilities Research Grant Act (7 
     U.S.C. 450i(b)(4)) is amended--
       (1) in subparagraph (D), by striking ``and'' at the end;
       (2) in subparagraph (E), by striking the period at the end 
     and inserting ``; and''; and
       (3) by adding at the end the following new subparagraph:
       ``(F) establish procedures, including timelines, under 
     which an entity established under a commodity promotion law 
     (as such term is defined under section 501(a) of the Federal 
     Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 
     7401(a))) or a State commodity board (or other equivalent 
     State entity) may directly submit to the Secretary for 
     consideration proposals for requests for applications that 
     specifically address particular issues related to the 
     priority areas specified in paragraph (2). ''.
       (d) Special Considerations.--Subsection (b)(6) of the 
     Competitive, Special, and Facilities Research Grant Act (7 
     U.S.C. 450i(b)(6)) is amended--
       (1) in subparagraph (C), by striking ``and'' at the end;
       (2) in subparagraph (D), by striking the period at the end 
     and inserting ``; and''; and
       (3) by adding at the end the following new subparagraph:
       ``(E) to eligible entities to carry out the specific 
     proposals submitted under procedures established under 
     paragraph (4)(F) only if such specific proposals are 
     consistent with a priority area specified in paragraph 
     (2).''.
       (e) Eligible Entities.--Subsection (b)(7)(G) of the 
     Competitive, Special, and Facilities Research Grant Act (7 
     U.S.C. 450i(b)(7)(G)) is amended by striking ``or 
     corporations'' and inserting ``, foundations, or 
     corporations''.
       (f) Special Contribution Requirement for Certain Grants.--
     Subsection (b)(9) of the Competitive, Special, and Facilities 
     Research Grant Act (7 U.S.C. 450i(b)(9)) (as amended by 
     section 7128(b)(4)) is amended by adding at the end the 
     following new subparagraph:
       ``(B) Contribution requirement for commodity promotion 
     grants.--
       ``(i) In general.--Subject to clauses (ii) and (iii), as a 
     condition of funding a grant under paragraph (6)(E), the 
     Secretary shall require that the grant be matched with an 
     equal contribution of funds from the entities described in 
     paragraph (4)(F) submitting proposals under procedures 
     established under such paragraph.
       ``(ii) Availability of funds.--

       ``(I) In general.--Contributions required by clause (i) 
     shall be available to the Secretary for obligation and remain 
     available until expended for the purpose of making grants 
     under paragraph (6)(E).
       ``(II) Administration.--Of amounts contributed to the 
     Secretary under clause (i), not more than 4 percent may be 
     retained by the Secretary to pay administrative costs 
     incurred by the Secretary in carrying out this subsection.
       ``(III) Restriction.--Funds contributed to the Secretary by 
     an entity under clause (i) in connection with a proposal 
     submitted by that entity under procedures established under 
     paragraph (4)(F) may only be used to fund grants in 
     connection with that proposal.
       ``(IV) Remaining funds.--Funds contributed to the Secretary 
     by an entity under clause (i) that remain unobligated at the 
     time of grant closeout shall be returned to that entity.
       ``(V) Indirect costs.--The indirect cost rate applicable to 
     appropriated funds for a grant funded under paragraph (6)(E) 
     shall apply to amounts contributed by an entity under clause 
     (i).

       ``(iii) Other matching funds requirements.--The 
     contribution requirement under clause (i) shall be in 
     addition to any matching funds requirement for grant 
     recipients required by section 1492 of the National 
     Agricultural Research, Extension, and Teaching Policy Act of 
     1977.''.

[[Page 1925]]

       (g) Inter-Regional Research Project Number 4.--Subsection 
     (e) of the Competitive, Special, and Facilities Research 
     Grant Act (7 U.S.C. 450i(e)) is amended--
       (1) in paragraph (1)(A), by striking ``minor use 
     pesticides'' and inserting ``pesticides for minor 
     agricultural use and for use on specialty crops (as defined 
     in section 3 of the Specialty Crops Competitiveness Act of 
     2004 (7 U.S.C. 1621 note)),''; and
       (2) in paragraph (4)--
       (A) in subparagraph (A), by inserting ``and for use on 
     specialty crops'' after ``minor agricultural use'';
       (B) in subparagraph (B), by striking ``and'' at the end;
       (C) by redesignating subparagraph (C) as subparagraph (G); 
     and
       (D) by inserting after subparagraph (B) the following new 
     subparagraphs:
       ``(C) prioritize potential pest management technology for 
     minor agricultural use and for use on specialty crops;
       ``(D) conduct research to develop the data necessary to 
     facilitate pesticide registrations, reregistrations, and 
     associated tolerances;
       ``(E) assist in removing trade barriers caused by residues 
     of pesticides registered for minor agricultural use and for 
     use on domestically grown specialty crops;
       ``(F) assist in the registration and reregistration of pest 
     management technologies for minor agricultural use and for 
     use on specialty crops; and''.

     SEC. 7405. RENEWABLE RESOURCES EXTENSION ACT OF 1978.

       (a) Authorization of Appropriations.--Section 6 of the 
     Renewable Resources Extension Act of 1978 (16 U.S.C. 1675) is 
     amended in the first sentence by striking ``2012'' and 
     inserting ``2018''.
       (b) Termination Date.--Section 8 of the Renewable Resources 
     Extension Act of 1978 (16 U.S.C. 1671 note; Public Law 95-
     306) is amended by striking ``2012'' and inserting ``2018''.

     SEC. 7406. NATIONAL AQUACULTURE ACT OF 1980.

       Section 10 of the National Aquaculture Act of 1980 (16 
     U.S.C. 2809) is amended by striking ``2012'' each place it 
     appears and inserting ``2018''.

     SEC. 7407. REPEAL OF USE OF REMOTE SENSING DATA.

       Section 892 of the Federal Agriculture Improvement and 
     Reform Act of 1996 (7 U.S.C. 5935) is repealed.

     SEC. 7408. REPEAL OF REPORTS UNDER FARM SECURITY AND RURAL 
                   INVESTMENT ACT OF 2002.

       (a) Repeal of Report on Producers and Handlers for Organic 
     Products.--Section 7409 of the Farm Security and Rural 
     Investment Act of 2002 (7 U.S.C. 5925b note; Public Law 107-
     171) is repealed.
       (b) Repeal of Report on Genetically Modified Pest-Protected 
     Plants.--Section 7410 of the Farm Security and Rural 
     Investment Act of 2002 (Public Law 107-171; 116 Stat. 462) is 
     repealed.
       (c) Repeal of Study on Nutrient Banking.--Section 7411 of 
     the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 
     5925a note; Public Law 107-171) is repealed.

     SEC. 7409. BEGINNING FARMER AND RANCHER DEVELOPMENT PROGRAM.

       Section 7405 of the Farm Security and Rural Investment Act 
     of 2002 (7 U.S.C. 3319f) is amended--
       (1) in subsection (c)--
       (A) in paragraph (1), by striking subparagraphs (A) through 
     (R) and inserting the following new subparagraphs:
       ``(A) basic livestock, forest management, and crop farming 
     practices;
       ``(B) innovative farm, ranch, and private, nonindustrial 
     forest land transfer strategies;
       ``(C) entrepreneurship and business training;
       ``(D) financial and risk management training (including the 
     acquisition and management of agricultural credit);
       ``(E) natural resource management and planning;
       ``(F) diversification and marketing strategies;
       ``(G) curriculum development;
       ``(H) mentoring, apprenticeships, and internships;
       ``(I) resources and referral;
       ``(J) farm financial benchmarking;
       ``(K) assisting beginning farmers or ranchers in acquiring 
     land from retiring farmers and ranchers;
       ``(L) agricultural rehabilitation and vocational training 
     for veterans;
       ``(M) farm safety and awareness; and
       ``(N) other similar subject areas of use to beginning 
     farmers or ranchers.'';
       (B) in paragraph (2)(C), by striking ``and nongovernmental 
     organization'' and inserting ``or nongovernmental 
     organization'';
       (C) in paragraph (7), by striking ``and community-based 
     organizations'' and inserting ``, community-based 
     organizations, and school-based agricultural educational 
     organizations'';
       (D) by striking paragraph (8) and inserting the following 
     new paragraph:
       ``(8) Set-asides.--
       ``(A) In general.--Not less than 5 percent of the funds 
     used to carry out this subsection for a fiscal year shall be 
     used to support programs and services that address the needs 
     of--
       ``(i) limited resource beginning farmers or ranchers (as 
     defined by the Secretary);
       ``(ii) socially disadvantaged farmers or ranchers (as 
     defined in section 355(e) of the Consolidated Farm and Rural 
     Development Act (7 U.S.C. 2003(e)) who are beginning farmers 
     or ranchers; and
       ``(iii) farmworkers desiring to become farmers or ranchers.
       ``(B) Veteran farmers and ranchers.--Not less than 5 
     percent of the funds used to carry out this subsection for a 
     fiscal year shall be used to support programs and services 
     that address the needs of veteran farmers and ranchers (as 
     defined in section 2501(e) of the Food, Agriculture, 
     Conservation, and Trade Act of 1990 (7 U.S.C. 2279(e))). ''; 
     and
       (E) by adding at the end the following new paragraphs:
       ``(11) Limitation on indirect costs.--A recipient of a 
     grant under this subsection may not use more than 10 percent 
     of the funds provided by the grant for the indirect costs of 
     carrying out the initiatives described in paragraph (1).
       ``(12) Coordination permitted.--A recipient of a grant 
     under this subsection using the grant as described in 
     paragraph (8)(B) may coordinate with a recipient of a grant 
     under section 1680 of the Food, Agriculture, Conservation, 
     and Trade Act of 1990 (7 U.S.C. 5933) in addressing the needs 
     of veteran farmers and ranchers with disabilities.'';
       (2) in subsection (h)(1)--
       (A) in the paragraph heading, by striking ``2012'' and 
     inserting ``2018'';
       (B) in subparagraph (A), by striking ``and'' at the end;
       (C) in subparagraph (B), by striking the period at the end 
     and inserting ``; and''; and
       (D) by adding at the end the following new subparagraph:
       ``(C) $20,000,000 for each of fiscal years 2014 through 
     2018, to remain available until expended.''; and
       (3) in subsection (h)(2)--
       (A) in the paragraph heading, by striking ``2008 through 
     2012'' and inserting ``2014 through 2018''; and
       (B) by striking ``2008 through 2012'' and inserting ``2014 
     through 2018''.

     SEC. 7410. NATIONAL AGRICULTURAL RESEARCH, EXTENSION, AND 
                   TEACHING POLICY ACT AMENDMENTS OF 1985.

       Section 1431 of the National Agricultural Research, 
     Extension, and Teaching Policy Act Amendments of 1985 (Public 
     Law 99-198; 99 Stat. 1556) is amended by striking ``2012'' 
     and inserting ``2018''.

         Subtitle E--Food, Conservation, and Energy Act of 2008

                     PART I--AGRICULTURAL SECURITY

     SEC. 7501. AGRICULTURAL BIOSECURITY COMMUNICATION CENTER.

       Section 14112(c) of the Food, Conservation, and Energy Act 
     of 2008 (7 U.S.C. 8912(c)) is amended to read as follows:
       ``(c) Authorization of Appropriations.--There are 
     authorized to be appropriated to carry out this section--
       ``(1) such sums as are necessary for each of fiscal years 
     2008 through 2013; and
       ``(2) $2,000,000 for each of fiscal years 2014 through 
     2018.''.

     SEC. 7502. ASSISTANCE TO BUILD LOCAL CAPACITY IN AGRICULTURAL 
                   BIOSECURITY PLANNING, PREPARATION, AND 
                   RESPONSE.

       Section 14113 of the Food, Conservation, and Energy Act of 
     2008 (7 U.S.C. 8913) is amended--
       (1) in subsection (a)(2)--
       (A) by striking ``such sums as may be necessary''; and
       (B) by striking ``subsection'' and all that follows and 
     inserting the following: ``subsection--
       ``(A) such sums as are necessary for each of fiscal years 
     2008 through 2013; and
       ``(B) $15,000,000 for each of fiscal years 2014 through 
     2018.''; and
       (2) in subsection (b)(2), by striking ``is authorized to be 
     appropriated to carry out this subsection'' and all that 
     follows and inserting the following: ``are authorized to be 
     appropriated to carry out this subsection--
       ``(A) $25,000,000 for each of fiscal years 2008 through 
     2013; and
       ``(B) $15,000,000 for each of fiscal years 2014 through 
     2018.''.

     SEC. 7503. RESEARCH AND DEVELOPMENT OF AGRICULTURAL 
                   COUNTERMEASURES.

       Section 14121(b) of the Food, Conservation, and Energy Act 
     of 2008 (7 U.S.C. 8921(b)) is amended by striking ``is 
     authorized to be appropriated to carry out this section'' and 
     all that follows and inserting the following: ``are 
     authorized to be appropriated to carry out this section--
       ``(1) $50,000,000 for each of fiscal years 2008 through 
     2013; and
       ``(2) $15,000,000 for each of fiscal years 2014 through 
     2018.''.

     SEC. 7504. AGRICULTURAL BIOSECURITY GRANT PROGRAM.

       Section 14122(e) of the Food, Conservation, and Energy Act 
     of 2008 (7 U.S.C. 8922(e)) is amended--
       (1) by striking ``sums as are necessary''; and
       (2) by striking ``section'' and all that follows and 
     inserting the following: ``section--
       ``(1) such sums as are necessary for each of fiscal years 
     2008 through 2013, to remain available until expended; and
       ``(2) $5,000,000 for each of fiscal years 2014 through 
     2018, to remain available until expended.''.

[[Page 1926]]



                   PART II--MISCELLANEOUS PROVISIONS

     SEC. 7511. ENHANCED USE LEASE AUTHORITY PILOT PROGRAM.

       Section 308 of the Federal Crop Insurance Reform and 
     Department of Agriculture Reorganization Act of 1994 (7 
     U.S.C. 3125a) is amended--
       (1) in subsection (b)(6)(A), by striking ``5 years'' and 
     inserting ``10 years''; and
       (2) in subsection (d)(2), in the matter preceding 
     subparagraph (A), by striking ``1, 3, and 5 years'' and 
     inserting ``6, 8, and 10 years''.

     SEC. 7512. GRAZINGLANDS RESEARCH LABORATORY.

       Section 7502 of the Food, Conservation, and Energy Act of 
     2008 (Public Law 110-246; 122 Stat. 2019) is amended by 
     striking ``5-year period'' and inserting ``10-year period''.

     SEC. 7513. BUDGET SUBMISSION AND FUNDING.

       Section 7506 of the Food, Conservation, and Energy Act of 
     2008 (7 U.S.C. 7614c) is amended--
       (1) by striking subsection (a) and inserting the following 
     new subsection:
       ``(a) Definitions.--In this section:
       ``(1) Covered program.--The term `covered program' means--
       ``(A) each research program carried out by the Agricultural 
     Research Service or the Economic Research Service for which 
     annual appropriations are requested in the annual budget 
     submission of the President; and
       ``(B) each competitive program carried out by the National 
     Institute of Food and Agriculture for which annual 
     appropriations are requested in the annual budget submission 
     of the President.
       ``(2) Request for applications.--The term `request for 
     applications' means a funding announcement published by the 
     National Institute of Food and Agriculture that provides 
     detailed information on funding opportunities at the 
     Institute, including the purpose, eligibility, restriction, 
     focus areas, evaluation criteria, regulatory information, and 
     instructions on how to apply for such opportunities.''; and
       (2) by adding at the end the following new subsections:
       ``(e) Additional Presidential Budget Submission 
     Requirement.--
       ``(1) In general.--Each year, the President shall submit to 
     Congress for each funding request for a covered program--
       ``(A) in the case of the information described in paragraph 
     (2), such information together with the annual budget 
     submission of the President; and
       ``(B) in the case of any additional information described 
     in paragraph (3), such additional information within a 
     reasonable period that begins after the date of the annual 
     budget submission of the President.
       ``(2) Information described.--The information described in 
     this paragraph includes--
       ``(A) baseline information, including with respect to each 
     covered program--
       ``(i) the funding level for the program for the fiscal year 
     preceding the year for which the annual budget submission of 
     the President is submitted;
       ``(ii) the funding level requested in the annual budget 
     submission of the President, including any increase or 
     decrease in the funding level; and
       ``(iii) an explanation justifying any change from the 
     funding level specified in clause (i) to the level specified 
     in clause (ii);
       ``(B) with respect to each covered program that is carried 
     out by the Economic Research Service or the Agricultural 
     Research Service, the location and staff years of the 
     program;
       ``(C) the proposed funding levels to be allocated to, and 
     the expected publication date, scope, and allocation level 
     for, each request for applications to be published under or 
     associated with--
       ``(i) each priority area specified in subsection (b)(2) of 
     the Competitive, Special, and Facilities Research Grant Act 
     (7 U.S.C. 450i(b)(2));
       ``(ii) each research and extension project carried out 
     under section 1621(a) of the Food, Agriculture, Conservation, 
     and Trade Act of 1990 (7 U.S.C. 5811(a));
       ``(iii) each grant awarded under section 1672B(a) of the 
     Food, Agriculture, Conservation, and Trade Act of 1990 (7 
     U.S.C. 5925b(a));
       ``(iv) each grant awarded under section 412(d) of the 
     Agricultural Research, Extension, and Education Reform Act of 
     1998 (7 U.S.C. 7632(d)); and
       ``(v) each grant awarded under section 7405(c)(1) of the 
     Farm Security and Rural Investment Act of 2002 (7 U.S.C. 
     3319f(c)(1)); and
       ``(D) any other information the Secretary determines will 
     increase congressional oversight with respect to covered 
     programs.
       ``(3) additional information described.--The additional 
     information described in this paragraph is information that 
     the Secretary, after consulting with the Committee on 
     Agriculture of the House of Representatives, the Committee on 
     Agriculture, Nutrition, and Forestry of the Senate, and the 
     Subcommittees on Agriculture, Rural Development, Food and 
     Drug Administration, and Related Agencies of the Committee on 
     Appropriations of the House of Representatives and the 
     Senate, determines is a necessary revision or clarification 
     to the information described in paragraph (2).
       ``(4) Prohibition.--Unless the President submits the 
     information described in paragraph (2)(C) for a fiscal year, 
     the President may not carry out any program during that 
     fiscal year that is authorized under--
       ``(A) subsection (b) of the Competitive, Special, and 
     Facilities Research Grant Act (7 U.S.C. 450i(b));
       ``(B) section 1621 of the Food, Agriculture, Conservation, 
     and Trade Act of 1990 (7 U.S.C. 5811);
       ``(C) section 1672B of the Food, Agriculture, Conservation, 
     and Trade Act of 1990 (7 U.S.C. 5925b);
       ``(D) section 412 of the Agricultural Research, Extension, 
     and Education Reform Act of 1998 (7 U.S.C. 7632); or
       ``(E) section 7405 of the Farm Security and Rural 
     Investment Act of 2002 (7 U.S.C. 3319f).
       ``(f) Report of the Secretary of Agriculture.--Each year on 
     a date that is not later than the date on which the President 
     submits the annual budget, the Secretary shall submit to 
     Congress a report containing a description of the 
     agricultural research, extension, and education activities 
     carried out by the Federal Government during the fiscal year 
     that immediately precedes the year for which the report is 
     submitted, including--
       ``(1) a review of the extent to which those activities--
       ``(A) are duplicative or overlap within the Department of 
     Agriculture; or
       ``(B) are similar to activities carried out by--
       ``(i) other Federal agencies;
       ``(ii) the States (including the District of Columbia, the 
     Commonwealth of Puerto Rico and other territories or 
     possessions of the United States);
       ``(iii) institutions of higher education (as defined in 
     section 101 of the Higher Education Act of 1965 (20 U.S.C. 
     1001)); or
       ``(iv) the private sector; and
       ``(2) for each report submitted under this section on or 
     after January 1, 2014, a 5-year projection of national 
     priorities with respect to agricultural research, extension, 
     and education, taking into account domestic needs.
       ``(g) Interchangeability of Funds.--Nothing in this section 
     shall be construed so as to limit the authority of the 
     Secretary under section 702(b) of the Department of 
     Agriculture Organic Act of 1944 (7 U.S.C. 2257(b)), with 
     respect to the reprogramming or transfer of funds.''.

     SEC. 7514. REPEAL OF SEED DISTRIBUTION.

       Section 7523 of the Food, Conservation, and Energy Act of 
     2008 (7 U.S.C. 415-1) is repealed.

     SEC. 7515. NATURAL PRODUCTS RESEARCH PROGRAM.

       Section 7525(e) of the Food, Conservation, and Energy Act 
     of 2008 (7 U.S.C. 5937(e)) is amended to read as follows:
       ``(e) Authorization of Appropriations.--There are 
     authorized to be appropriated to carry out this section 
     $7,000,000 for each of fiscal years 2014 through 2018.''.

     SEC. 7516. SUN GRANT PROGRAM.

       (a) In General.--Section 7526 of the Food, Conservation, 
     and Energy Act of 2008 (7 U.S.C. 8114) is amended--
       (1) in subsection (a)(4)(B), by striking ``the Department 
     of Energy'' and inserting ``other appropriate Federal 
     agencies (as determined by the Secretary)'';
       (2) in subsection (b)(1)--
       (A) in subparagraph (A), by striking ``at South Dakota 
     State University'';
       (B) in subparagraph (B), by striking ``at the University of 
     Tennessee at Knoxville'';
       (C) in subparagraph (C), by striking ``at Oklahoma State 
     University'';
       (D) in subparagraph (D), by striking ``at Oregon State 
     University'';
       (E) in subparagraph (E), by striking ``at Cornell 
     University''; and
       (F) in subparagraph (F), by striking ``at the University of 
     Hawaii'';
       (3) in subsection (c)(1)--
       (A) in subparagraph (B), by striking ``multistate'' and all 
     that follows through ``technology implementation'' and 
     inserting ``integrated, multistate research, extension, and 
     education programs on technology development and technology 
     implementation'';
       (B) by striking subparagraph (C); and
       (C) by redesignating subparagraph (D) as subparagraph (C);
       (4) in subsection (d)--
       (A) in paragraph (1)--
       (i) by striking ``in accordance with paragraph (2)'';
       (ii) by striking ``gasification'' and inserting 
     ``bioproducts''; and
       (iii) by striking ``the Department of Energy'' and 
     inserting ``other appropriate Federal agencies'';
       (B) by striking paragraph (2); and
       (C) by redesignating paragraphs (3) and (4) as paragraphs 
     (2) and (3), respectively; and
       (5) in subsection (g), by striking ``2012'' and inserting 
     ``2018''.
       (b) Conforming Amendment.--Section 7526(f)(1) of the Food, 
     Conservation, and Energy Act of 2008 (7 U.S.C. 8114(f)) is 
     amended by striking ``subsection (c)(1)(D)(i)'' and inserting 
     ``subsection (c)(1)(C)(i)''.

     SEC. 7517. REPEAL OF STUDY AND REPORT ON FOOD DESERTS.

       Section 7527 of the Food, Conservation, and Energy Act of 
     2008 (Public Law 110-246; 122 Stat. 2039) is repealed.

[[Page 1927]]



     SEC. 7518. REPEAL OF AGRICULTURAL AND RURAL TRANSPORTATION 
                   RESEARCH AND EDUCATION.

       Section 7529 of the Food, Conservation, and Energy Act of 
     2008 (7 U.S.C. 5938) is repealed.

                  Subtitle F--Miscellaneous Provisions

     SEC. 7601. FOUNDATION FOR FOOD AND AGRICULTURE RESEARCH.

       (a) Definitions.--In this section:
       (1) Board.--The term ``Board'' means the Board of Directors 
     described in subsection (e).
       (2) Department.--The term ``Department'' means the 
     Department of Agriculture.
       (3) Foundation.--The term ``Foundation'' means the 
     Foundation for Food and Agriculture Research established 
     under subsection (b).
       (4) Secretary.--The term ``Secretary'' means the Secretary 
     of Agriculture.
       (b) Establishment.--
       (1) In general.--The Secretary shall establish a nonprofit 
     corporation to be known as the ``Foundation for Food and 
     Agriculture Research''.
       (2) Status.--The Foundation shall not be an agency or 
     instrumentality of the United States Government.
       (c) Purposes.--The purposes of the Foundation shall be--
       (1) to advance the research mission of the Department by 
     supporting agricultural research activities focused on 
     addressing key problems of national and international 
     significance including--
       (A) plant health, production, and plant products;
       (B) animal health, production, and products;
       (C) food safety, nutrition, and health;
       (D) renewable energy, natural resources, and the 
     environment;
       (E) agricultural and food security;
       (F) agriculture systems and technology; and
       (G) agriculture economics and rural communities; and
       (2) to foster collaboration with agricultural researchers 
     from the Federal Government, State (as defined in section 
     1404 of the National Agricultural Research, Extension, and 
     Teaching Policy Act of 1977 (7 U.S.C. 3103)) governments, 
     institutions of higher education (as defined in section 101 
     of the Higher Education Act of 1965 (20 U.S.C. 1001)), 
     industry, and nonprofit organizations.
       (d) Duties.--
       (1) In general.--The Foundation shall--
       (A) award grants to, or enter into contracts, memoranda of 
     understanding, or cooperative agreements with, scientists and 
     entities, which may include agricultural research agencies in 
     the Department, university consortia, public-private 
     partnerships, institutions of higher education, nonprofit 
     organizations, and industry, to efficiently and effectively 
     advance the goals and priorities of the Foundation;
       (B) in consultation with the Secretary--
       (i) identify existing and proposed Federal intramural and 
     extramural research and development programs relating to the 
     purposes of the Foundation described in subsection (c); and
       (ii) coordinate Foundation activities with those programs 
     so as to minimize duplication of existing efforts and to 
     avoid conflicts;
       (C) identify unmet and emerging agricultural research needs 
     after reviewing the roadmap for agricultural research, 
     education, and extension authorized by section 7504 of the 
     Food, Conservation, and Energy Act of 2008 (7 U.S.C. 7614a);
       (D) facilitate technology transfer and release of 
     information and data gathered from the activities of the 
     Foundation to the agricultural research community;
       (E) promote and encourage the development of the next 
     generation of agricultural research scientists; and
       (F) carry out such other activities as the Board determines 
     to be consistent with the purposes of the Foundation.
       (2) Relationship to other activities.--The activities 
     described in paragraph (1) shall be supplemental to any other 
     activities at the Department and shall not preempt any 
     authority or responsibility of the Department under another 
     provision of law.
       (e) Board of Directors.--
       (1) Establishment.--The Foundation shall be governed by a 
     Board of Directors.
       (2) Composition.--
       (A) In general.--The Board shall be composed of appointed 
     and ex-officio, nonvoting members.
       (B) Ex-officio members.--The ex-officio members of the 
     Board shall be the following individuals or designees of such 
     individuals:
       (i) The Secretary.
       (ii) The Under Secretary of Agriculture for Research, 
     Education, and Economics.
       (iii) The Administrator of the Agricultural Research 
     Service.
       (iv) The Director of the National Institute of Food and 
     Agriculture.
       (v) The Director of the National Science Foundation.
       (C) Appointed members.--
       (i) In general.--The ex-officio members of the Board (as 
     specified in subparagraph (B)) shall, by majority vote, 
     appoint to the Board 15 individuals, of whom--

       (I) 8 shall be selected from a list of candidates to be 
     provided by the National Academy of Sciences; and
       (II) 7 shall be selected from lists of candidates provided 
     by industry.

       (ii) Requirements.--

       (I) Expertise.--The ex-officio members shall ensure that a 
     majority of the appointed members of the Board have actual 
     experience in agricultural research and, to the extent 
     practicable, represent diverse sectors of agriculture.
       (II) Limitation.--No employee of the Federal Government may 
     serve as an appointed member of the Board under this 
     subparagraph.
       (III) Not federal employment.--Appointment to the Board 
     under this subparagraph shall not constitute Federal 
     employment.

       (iii) Authority.--All appointed members of the Board shall 
     be voting members.
       (D) Chair.--The Board shall, from among the members of the 
     Board, designate an individual to serve as Chair of the 
     Board.
       (3) Initial meeting.--Not later than 60 days after the date 
     of enactment of this Act, the Secretary shall convene a 
     meeting of the ex-officio members of the Board--
       (A) to incorporate the Foundation; and
       (B) to appoint the members of the Board in accordance with 
     paragraph (2)(C)(i).
       (4) Duties.--
       (A) In general.--The Board shall--
       (i) establish bylaws for the Foundation that, at a minimum, 
     include--

       (I) policies for the selection of future Board members, 
     officers, employees, agents, and contractors of the 
     Foundation;
       (II) policies, including ethical standards, for--

       (aa) the acceptance, solicitation, and disposition of 
     donations and grants to the Foundation; and
       (bb) the disposition of assets of the Foundation, including 
     appropriate limits on the ability of donors to designate, by 
     stipulation or restriction, the use or recipient of donated 
     funds;

       (III) policies that would subject all employees, fellows, 
     trainees, and other agents of the Foundation (including 
     members of the Board) to conflict of interest standards in 
     the same manner as Federal employees are subject to the 
     conflict of interest standards under section 208 of title 18, 
     United States Code;
       (IV) policies for writing, editing, printing, publishing, 
     and vending of books and other materials;
       (V) policies for the conduct of the general operations of 
     the Foundation, including a cap on administrative expenses 
     for recipients of a grant, contract, or cooperative agreement 
     from the Foundation; and
       (VI) specific duties for the Executive Director;

       (ii) prioritize and provide overall direction for the 
     activities of the Foundation;
       (iii) evaluate the performance of the Executive Director; 
     and
       (iv) carry out any other necessary activities regarding the 
     Foundation.
       (B) Establishment of bylaws.--In establishing bylaws under 
     subparagraph (A)(i), the Board shall ensure that the bylaws 
     do not--
       (i) reflect unfavorably on the ability of the Foundation to 
     carry out the duties of the Foundation in a fair and 
     objective manner; or
       (ii) compromise, or appear to compromise, the integrity of 
     any governmental agency or program, or any officer or 
     employee employed by, or involved in, a governmental agency 
     or program.
       (5) Terms and vacancies.--
       (A) Terms.--
       (i) In general.--The term of each member of the Board 
     appointed under paragraph (2)(C) shall be 5 years, except 
     that of the members initially appointed, 8 of the members 
     shall each be appointed for a term of 3 years and 7 of the 
     members shall each be appointed for a term of 2 years.
       (ii) Partial terms.--If a member of the Board does not 
     serve the full term applicable under clause (i), the 
     individual appointed to fill the resulting vacancy shall be 
     appointed for the remainder of the term of the predecessor of 
     the individual.
       (iii) Transition.--A member of the Board may continue to 
     serve after the expiration of the term of the member until a 
     successor is appointed.
       (B) Vacancies.--After the initial appointment of the 
     members of the Board under paragraph (2)(C), any vacancy in 
     the membership of the Board shall be filled as provided in 
     the bylaws established under paragraph (4)(A)(i).
       (6) Compensation.--Members of the Board may not receive 
     compensation for service on the Board but may be reimbursed 
     for travel, subsistence, and other necessary expenses 
     incurred in carrying out the duties of the Board.
       (7) Meetings and quorum.--A majority of the members of the 
     Board shall constitute a quorum for purposes of conducting 
     the business of the Board.
       (f) Administration.--
       (1) Executive director.--
       (A) In general.--The Board shall hire an Executive Director 
     who shall carry out such duties and responsibilities as the 
     Board may prescribe.
       (B) Service.--The Executive Director shall serve at the 
     pleasure of the Board.
       (2) Administrative powers.--
       (A) In general.--In carrying out this section, the Board, 
     acting through the Executive Director, may--

[[Page 1928]]

       (i) adopt, alter, and use a corporate seal, which shall be 
     judicially noticed;
       (ii) hire, promote, compensate, and discharge 1 or more 
     officers, employees, and agents, as may be necessary, and 
     define the duties of the officers, employees, and agents;
       (iii) solicit and accept any funds, gifts, grants, devises, 
     or bequests of real or personal property made to the 
     Foundation, including such support from private entities;
       (iv) prescribe the manner in which--

       (I) real or personal property of the Foundation is 
     acquired, held, and transferred;
       (II) general operations of the Foundation are to be 
     conducted; and
       (III) the privileges granted to the Board by law are 
     exercised and enjoyed;

       (v) with the consent of the applicable executive department 
     or independent agency, use the information, services, and 
     facilities of the department or agency in carrying out this 
     section on a reimbursable basis;
       (vi) enter into contracts with public and private 
     organizations for the writing, editing, printing, and 
     publishing of books and other material;
       (vii) hold, administer, invest, and spend any funds, gifts, 
     grant, devise, or bequest of real or personal property made 
     to the Foundation;
       (viii) enter into such contracts, leases, cooperative 
     agreements, and other transactions as the Board considers 
     appropriate to conduct the activities of the Foundation;
       (ix) modify or consent to the modification of any contract 
     or agreement to which the Foundation is a party or in which 
     the Foundation has an interest;
       (x) take such action as may be necessary to obtain and 
     maintain patents for and to license inventions (as defined in 
     section 201 of title 35, United States Code) developed by the 
     Foundation, employees of the Foundation, or derived from the 
     collaborative efforts of the Foundation;
       (xi) sue and be sued in the corporate name of the 
     Foundation, and complain and defend in courts of competent 
     jurisdiction;
       (xii) appoint other groups of advisors as may be determined 
     necessary to carry out the functions of the Foundation; and
       (xiii) exercise such other incidental powers as are 
     necessary to carry out the duties and functions of the 
     Foundation in accordance with this section.
       (B) Limitation.--No appointed member of the Board or 
     officer or employee of the Foundation or of any program 
     established by the Foundation (other than ex-officio members 
     of the Board) shall exercise administrative control over any 
     Federal employee.
       (3) Records.--
       (A) Audits.--The Foundation shall--
       (i) provide for annual audits of the financial condition of 
     the Foundation; and
       (ii) make the audits, and all other records, documents, and 
     other papers of the Foundation, available to the Secretary 
     and the Comptroller General of the United States for 
     examination or audit.
       (B) Reports.--
       (i) Annual report on foundation.--

       (I) In general.--Not later than 5 months following the end 
     of each fiscal year, the Foundation shall publish a report 
     for the preceding fiscal year that includes--

       (aa) a description of Foundation activities, including 
     accomplishments; and
       (bb) a comprehensive statement of the operations and 
     financial condition of the Foundation.

       (II) Financial condition.--Each report under subclause (I) 
     shall include a description of all gifts, grants, devises, or 
     bequests to the Foundation of real or personal property or 
     money, which shall include--

       (aa) the source of the gifts, grants, devises, or bequests; 
     and
       (bb) any restrictions on the purposes for which the gift, 
     grant, devise, or bequest may be used.

       (III) Availability.--The Foundation shall--

       (aa) make copies of each report submitted under subclause 
     (I) available for public inspection; and
       (bb) on request, provide a copy of the report to any 
     individual.

       (IV) Public meeting.--The Board shall hold an annual public 
     meeting to summarize the activities of the Foundation.

       (ii) Grant reporting.--Any recipient of a grant under 
     subsection (d)(1)(A) shall provide the Foundation with a 
     report at the conclusion of any research or studies conducted 
     that describes the results of the research or studies, 
     including any data generated.
       (4) Integrity.--
       (A) In general.--To ensure integrity in the operations of 
     the Foundation, the Board shall develop and enforce 
     procedures relating to standards of conduct, financial 
     disclosure statements, conflicts of interest (including 
     recusal and waiver rules), audits, and any other matters 
     determined appropriate by the Board.
       (B) Financial conflicts of interest.--Any individual who is 
     an officer, employee, or member of the Board is prohibited 
     from any participation in deliberations by the Foundation of 
     a matter that would directly or predictably affect any 
     financial interest of--
       (i) the individual;
       (ii) a relative (as defined in section 109 of the Ethics in 
     Government Act of 1978 (5 U.S.C. App.)) of that individual; 
     or
       (iii) a business organization or other entity in which the 
     individual has an interest, including an organization or 
     other entity with which the individual is negotiating 
     employment.
       (5) Intellectual property.--The Board shall adopt written 
     standards to govern the ownership and licensing of any 
     intellectual property rights derived from the collaborative 
     efforts of the Foundation.
       (6) Liability.--The United States shall not be liable for 
     any debts, defaults, acts, or omissions of the Foundation nor 
     shall the full faith and credit of the United States extend 
     to any obligations of the Foundation.
       (g) Funds.--
       (1) Mandatory funding.--
       (A) In general.--On the date of the enactment of this Act, 
     of the funds of the Commodity Credit Corporation, the 
     Secretary shall transfer to the Foundation to carry out this 
     section $200,000,000, to remain available until expended 
     under the conditions described in subparagraph (B).
       (B) Conditions on expenditure.--The Foundation may use the 
     funds made available under subparagraph (A) to carry out the 
     purposes of the Foundation only to the extent that the 
     Foundation secures an equal amount of non-Federal matching 
     funds for each expenditure.
       (C) Prohibition on construction.--None of the funds made 
     available under subparagraph (A) may be used for 
     construction.
       (2) Separation of funds.--The Executive Director shall 
     ensure that any funds received under paragraph (1) are held 
     in separate accounts from funds received from nongovernmental 
     entities as described in subsection (f)(2)(A)(iii).

     SEC. 7602. CONCESSIONS AND AGREEMENTS WITH NONPROFIT 
                   ORGANIZATIONS FOR NATIONAL ARBORETUM.

       Section 6 of the Act of March 4, 1927 (20 U.S.C. 196), is 
     amended--
       (1) in subsection (a), by striking paragraph (1) and 
     inserting the following new paragraph:
       ``(1) negotiate concessions and agreements for the National 
     Arboretum with nonprofit scientific or educational 
     organizations, the interests of which are complementary to 
     the mission of the National Arboretum, or nonprofit 
     organizations that support the purpose of the National 
     Arboretum, except that the net proceeds of the organizations 
     from the concessions or agreements, as applicable, shall be 
     used exclusively for--
       ``(A) the research and educational work for the benefit of 
     the National Arboretum; and
       ``(B) the operation and maintenance of the facilities of 
     the National Arboretum, including enhancements, upgrades, 
     restoration, and conservation;''; and
       (2) by adding at the end the following new subsection:
       ``(d) Recognition of Donors.--A nonprofit organization that 
     entered into a concession or agreement under subsection 
     (a)(1) may recognize donors if that recognition is approved 
     in advance by the Secretary of Agriculture. In considering 
     whether to approve such recognition, the Secretary shall 
     broadly exercise the discretion of the Secretary to the 
     fullest extent allowed under Federal law.''.

     SEC. 7603. AGRICULTURAL AND FOOD LAW RESEARCH, LEGAL TOOLS, 
                   AND INFORMATION.

       (a) Partnerships.--The Secretary of Agriculture, acting 
     through the National Agricultural Library, shall support the 
     dissemination of objective, scholarly, and authoritative 
     agricultural and food law research, legal tools, and 
     information by entering into cooperative agreements with 
     institutions of higher education (as defined in section 101 
     of the Higher Education Act of 1965 (20 U.S.C. 1001)) that on 
     the date of enactment of this Act are carrying out objective 
     programs for research, legal tools, and information in 
     agricultural and food law.
       (b) Authorization of Appropriations.--There are authorized 
     to be appropriated to carry out this section $5,000,000 for 
     fiscal year 2014 and each fiscal year thereafter.

     SEC. 7604. COTTON DISEASE RESEARCH REPORT.

       Not later than 180 days after the date of the enactment of 
     this Act, the Secretary shall submit to Congress a report on 
     the fungus Fusarium oxysporum f. sp. vasinfectum race 4 
     (referred to in this section as ``FOV Race 4'') and the 
     impact of such fungus on cotton, including--
       (1) an overview of the threat FOV Race 4 poses to the 
     cotton industry in the United States;
       (2) the status and progress of Federal research initiatives 
     to detect, contain, or eradicate FOV Race 4, including 
     current FOV Race 4-specific research projects; and
       (3) a comprehensive strategy to combat FOV Race 4 that 
     establishes--
       (A) detection and identification goals;
       (B) containment goals;
       (C) eradication goals; and
       (D) a plan to partner with the cotton industry in the 
     United States to maximize resources, information sharing, and 
     research responsiveness and effectiveness.

     SEC. 7605. MISCELLANEOUS TECHNICAL CORRECTIONS.

       Sections 7408 and 7409 of the Food, Conservation, and 
     Energy Act of 2008 (Public

[[Page 1929]]

     Law 110-246; 122 Stat. 2013) are both amended by striking 
     ``Title III of the Department of Agriculture Reorganization 
     Act of 1994'' and inserting ``Title III of the Federal Crop 
     Insurance Reform and Department of Agriculture Reorganization 
     Act of 1994''.

     SEC. 7606. LEGITIMACY OF INDUSTRIAL HEMP RESEARCH.

       (a) In General.--Notwithstanding the Controlled Substances 
     Act (21 U.S.C. 801 et seq.), the Safe and Drug-Free Schools 
     and Communities Act (20 U.S.C. 7101 et seq.), chapter 81 of 
     title 41, United States Code, or any other Federal law, an 
     institution of higher education (as defined in section 101 of 
     the Higher Education Act of 1965 (20 U.S.C. 1001)) or a State 
     department of agriculture may grow or cultivate industrial 
     hemp if--
       (1) the industrial hemp is grown or cultivated for purposes 
     of research conducted under an agricultural pilot program or 
     other agricultural or academic research; and
       (2) the growing or cultivating of industrial hemp is 
     allowed under the laws of the State in which such institution 
     of higher education or State department of agriculture is 
     located and such research occurs.
       (b) Definitions.--In this section:
       (1) Agricultural pilot program.--The term ``agricultural 
     pilot program'' means a pilot program to study the growth, 
     cultivation, or marketing of industrial hemp--
       (A) in States that permit the growth or cultivation of 
     industrial hemp under the laws of the State; and
       (B) in a manner that--
       (i) ensures that only institutions of higher education and 
     State departments of agriculture are used to grow or 
     cultivate industrial hemp;
       (ii) requires that sites used for growing or cultivating 
     industrial hemp in a State be certified by, and registered 
     with, the State department of agriculture; and
       (iii) authorizes State departments of agriculture to 
     promulgate regulations to carry out the pilot program in the 
     States in accordance with the purposes of this section.
       (2) Industrial hemp.--The term ``industrial hemp'' means 
     the plant Cannabis sativa L. and any part of such plant, 
     whether growing or not, with a delta-9 tetrahydrocannabinol 
     concentration of not more than 0.3 percent on a dry weight 
     basis.
       (3) State department of agriculture.--The term ``State 
     department of agriculture'' means the agency, commission, or 
     department of a State government responsible for agriculture 
     within the State.

                          TITLE VIII--FORESTRY

            Subtitle A--Repeal of Certain Forestry Programs

     SEC. 8001. FOREST LAND ENHANCEMENT PROGRAM.

       (a) Repeal.--Section 4 of the Cooperative Forestry 
     Assistance Act of 1978 (16 U.S.C. 2103) is repealed.
       (b) Conforming Amendment.--Section 8002 of the Farm 
     Security and Rural Investment Act of 2002 (Public Law 107-
     171; 16 U.S.C. 2103 note) is amended by striking subsection 
     (a).

     SEC. 8002. WATERSHED FORESTRY ASSISTANCE PROGRAM.

       Section 6 of the Cooperative Forestry Assistance Act of 
     1978 (16 U.S.C. 2103b) is repealed.

     SEC. 8003. EXPIRED COOPERATIVE NATIONAL FOREST PRODUCTS 
                   MARKETING PROGRAM.

       Section 18 of the Cooperative Forestry Assistance Act of 
     1978 (16 U.S.C. 2112) is repealed.

     SEC. 8004. HISPANIC-SERVING INSTITUTION AGRICULTURAL LAND 
                   NATIONAL RESOURCES LEADERSHIP PROGRAM.

       Section 8402 of the Food, Conservation, and Energy Act of 
     2008 (16 U.S.C. 1649a) is repealed.

     SEC. 8005. TRIBAL WATERSHED FORESTRY ASSISTANCE PROGRAM.

       Section 303 of the Healthy Forests Restoration Act of 2003 
     (16 U.S.C. 6542) is repealed.

     SEC. 8006. SEPARATE FOREST SERVICE DECISIONMAKING AND APPEALS 
                   PROCESS.

       (a) Repeal.--Section 322 of the Department of the Interior 
     and Related Agencies Appropriations Act, 1993 (16 U.S.C. 1612 
     note; Public Law 102-381) is repealed.
       (b) Forest Service Pre-decisional Objection Process.--
     Section 428 of division E of the Consolidated Appropriations 
     Act, 2012 (16 U.S.C. 6515 note; Public Law 112-74) shall not 
     apply to any project or activity implementing a land and 
     resource management plan developed under section 6 of the 
     Forest and Rangeland Renewable Resources Planning Act of 1974 
     (16 U.S.C. 1604) that is categorically excluded from 
     documentation in an environmental assessment or an 
     environmental impact statement under the National 
     Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.).

 Subtitle B--Reauthorization of Cooperative Forestry Assistance Act of 
                             1978 Programs

     SEC. 8101. STATE-WIDE ASSESSMENT AND STRATEGIES FOR FOREST 
                   RESOURCES.

       Section 2A of the Cooperative Forestry Assistance Act of 
     1978 (16 U.S.C. 2101a) is amended--
       (1) in subsection (c)--
       (A) in paragraph (4), by striking ``and'';
       (B) by redesignating paragraph (5) as paragraph (6); and
       (C) by inserting after paragraph (4) the following new 
     paragraph:
       ``(5) as feasible, appropriate military installations where 
     the voluntary participation and management of private or 
     State-owned or other public forestland is able to support, 
     promote, and contribute to the missions of such 
     installations; and''; and
       (2) in subsection (f)(1), by striking ``2012'' and 
     inserting ``2018''.

       Subtitle C--Reauthorization of Other Forestry-related Laws

     SEC. 8201. RURAL REVITALIZATION TECHNOLOGIES.

       Section 2371(d)(2) of the Food, Agriculture, Conservation, 
     and Trade Act of 1990 (7 U.S.C. 6601(d)(2)) is amended by 
     striking ``2012'' and inserting ``2018''.

     SEC. 8202. OFFICE OF INTERNATIONAL FORESTRY.

       Section 2405(d) of the Global Climate Change Prevention Act 
     of 1990 (7 U.S.C. 6704(d)) is amended by striking ``2012'' 
     and inserting ``2018''.

     SEC. 8203. HEALTHY FORESTS RESERVE PROGRAM.

       (a) Definition of Acreage Owned by Indian Tribes.--Section 
     502(e)(3) of the Healthy Forests Restoration Act (16 U.S.C. 
     6572(e)(3)) is amended--
       (1) in subparagraph (C), by striking ``subparagraphs (A) 
     and (B)'' and inserting ``clauses (i) and (ii)'';
       (2) by redesignating subparagraphs (A) through (C) as 
     clauses (i) through (iii), respectively, and indenting 
     appropriately; and
       (3) by striking ``In the case of'' and inserting the 
     following:
       ``(A) Definition of acreage owned by indian tribes.--In 
     this paragraph, the term `acreage owned by Indian tribes' 
     includes--
       ``(i) land that is held in trust by the United States for 
     Indian tribes or individual Indians;
       ``(ii) land, the title to which is held by Indian tribes or 
     individual Indians subject to Federal restrictions against 
     alienation or encumbrance;
       ``(iii) land that is subject to rights of use, occupancy, 
     and benefit of certain Indian tribes;
       ``(iv) land that is held in fee title by an Indian tribe; 
     or
       ``(v) land that is owned by a native corporation formed 
     under section 17 of the Act of June 18, 1934 (commonly known 
     as the `Indian Reorganization Act') (25 U.S.C. 477) or 
     section 8 of the Alaska Native Claims Settlement Act (43 
     U.S.C. 1607); or
       ``(vi) a combination of 1 or more types of land described 
     in clauses (i) through (v).
       ``(B) Enrollment of acreage.--In the case of''.
       (b) Change in Funding Source for Healthy Forests Reserve 
     Program.--Section 508 of the Healthy Forests Restoration Act 
     of 2003 (16 U.S.C. 6578) is amended--
       (1) in subsection (a), by striking ``In General'' and 
     inserting ``Fiscal Years 2009 Through 2013'';
       (2) by redesignating subsection (b) as subsection (d); and
       (3) by inserting after subsection (a) the following:
       ``(b) Fiscal Years 2014 Through 2018.--There is authorized 
     to be appropriated to the Secretary of Agriculture to carry 
     out this section $12,000,000 for each of fiscal years 2014 
     through 2018.
       ``(c) Additional Source of Funds.--In addition to funds 
     appropriated pursuant to the authorization of appropriations 
     in subsection (b) for a fiscal year, the Secretary may use 
     such amount of the funds appropriated for that fiscal year to 
     carry out the Soil Conservation and Domestic Allotment Act 
     (16 U.S.C. 590a et seq.) as the Secretary determines 
     necessary to cover the cost of technical assistance, 
     management, and enforcement responsibilities for land 
     enrolled in the healthy forests reserve program pursuant to 
     subsections (a) and (b) of section 504.''.

     SEC. 8204. INSECT AND DISEASE INFESTATION.

       Title VI of the Healthy Forests Restoration Act of 2003 (16 
     U.S.C. 6591 et seq.) is amended by adding at the end the 
     following:

     ``SEC. 602. DESIGNATION OF TREATMENT AREAS.

       ``(a) Definition of Declining Forest Health.--In this 
     section, the term `declining forest health' means a forest 
     that is experiencing--
       ``(1) substantially increased tree mortality due to insect 
     or disease infestation; or
       ``(2) dieback due to infestation or defoliation by insects 
     or disease.
       ``(b) Designation of Treatment Areas.--
       ``(1) Initial areas.--Not later than 60 days after the date 
     of enactment of the Agricultural Act of 2014, the Secretary 
     shall, if requested by the Governor of the State, designate 
     as part of an insect and disease treatment program 1 or more 
     landscape-scale areas, such as subwatersheds (sixth-level 
     hydrologic units, according to the System of Hydrologic Unit 
     Codes of the United States Geological Survey), in at least 1 
     national forest in each State that is experiencing an insect 
     or disease epidemic.
       ``(2) Additional areas.--After the end of the 60-day period 
     described in paragraph (1), the Secretary may designate 
     additional landscape-scale areas under this section as needed 
     to address insect or disease threats.
       ``(c) Requirements.--To be designated a landscape-scale 
     area under subsection (b), the area shall be--

[[Page 1930]]

       ``(1) experiencing declining forest health, based on annual 
     forest health surveys conducted by the Secretary;
       ``(2) at risk of experiencing substantially increased tree 
     mortality over the next 15 years due to insect or disease 
     infestation, based on the most recent National Insect and 
     Disease Risk Map published by the Forest Service; or
       ``(3) in an area in which the risk of hazard trees poses an 
     imminent risk to public infrastructure, health, or safety.
       ``(d) Treatment of Areas.--
       ``(1) In general.--The Secretary may carry out priority 
     projects on Federal land in the areas designated under 
     subsection (b) to reduce the risk or extent of, or increase 
     the resilience to, insect or disease infestation in the 
     areas.
       ``(2) Authority.--Any project under paragraph (1) for which 
     a public notice to initiate scoping is issued on or before 
     September 30, 2018, may be carried out in accordance with 
     subsections (b), (c), and (d) of section 102, and sections 
     104, 105, and 106.
       ``(3) Effect.--Projects carried out under this subsection 
     shall be considered authorized hazardous fuel reduction 
     projects for purposes of the authorities described in 
     paragraph (2).
       ``(4) Report.--
       ``(A) In general.--In accordance with the schedule 
     described in subparagraph (B), the Secretary shall issue 2 
     reports on actions taken to carry out this subsection, 
     including--
       ``(i) an evaluation of the progress towards project goals; 
     and
       ``(ii) recommendations for modifications to the projects 
     and management treatments.
       ``(B) Schedule.--The Secretary shall--
       ``(i) not earlier than September 30, 2018, issue the 
     initial report under subparagraph (A); and
       ``(ii) not earlier than September 30, 2024, issue the 
     second report under that subparagraph.
       ``(e) Tree Retention.--The Secretary shall carry out 
     projects under subsection (d) in a manner that maximizes the 
     retention of old-growth and large trees, as appropriate for 
     the forest type, to the extent that the trees promote stands 
     that are resilient to insects and disease.
       ``(f) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out this section $200,000,000 for 
     each of fiscal years 2014 through 2024.

     ``SEC. 603. ADMINISTRATIVE REVIEW.

       ``(a) In General.--Except as provided in subsection (d), a 
     project described in subsection (b) that is conducted in 
     accordance with section 602(d) may be--
       ``(1) considered an action categorically excluded from the 
     requirements of Public Law 91-190 (42 U.S.C. 4321 et seq.); 
     and
       ``(2) exempt from the special administrative review process 
     under section 105.
       ``(b) Collaborative Restoration Project.--
       ``(1) In general.--A project referred to in subsection (a) 
     is a project to carry out forest restoration treatments 
     that--
       ``(A) maximizes the retention of old-growth and large 
     trees, as appropriate for the forest type, to the extent that 
     the trees promote stands that are resilient to insects and 
     disease;
       ``(B) considers the best available scientific information 
     to maintain or restore the ecological integrity, including 
     maintaining or restoring structure, function, composition, 
     and connectivity; and
       ``(C) is developed and implemented through a collaborative 
     process that--
       ``(i) includes multiple interested persons representing 
     diverse interests; and
       ``(ii)(I) is transparent and nonexclusive; or
       ``(II) meets the requirements for a resource advisory 
     committee under subsections (c) through (f) of section 205 of 
     the Secure Rural Schools and Community Self-Determination Act 
     of 2000 (16 U.S.C. 7125).
       ``(2) Inclusion.--A project under this subsection may carry 
     out part of a proposal that complies with the eligibility 
     requirements of the Collaborative Forest Landscape 
     Restoration Program under section 4003(b) of the Omnibus 
     Public Land Management Act of 2009 (16 U.S.C. 7303(b)).
       ``(c) Limitations.--
       ``(1) Project size.--A project under this section may not 
     exceed 3000 acres.
       ``(2) Location.--A project under this section shall be 
     limited to areas--
       ``(A) in the wildland-urban interface; or
       ``(B) Condition Classes 2 or 3 in Fire Regime Groups I, II, 
     or III, outside the wildland-urban interface.
       ``(3) Roads.--
       ``(A) Permanent roads.--
       ``(i) Prohibition on establishment.--A project under this 
     section shall not include the establishment of permanent 
     roads.
       ``(ii) Existing roads.--The Secretary may carry out 
     necessary maintenance and repairs on existing permanent roads 
     for the purposes of this section.
       ``(B) Temporary roads.--The Secretary shall decommission 
     any temporary road constructed under a project under this 
     section not later than 3 years after the date on which the 
     project is completed.
       ``(d) Exclusions.--This section does not apply to--
       ``(1) a component of the National Wilderness Preservation 
     System;
       ``(2) any Federal land on which, by Act of Congress or 
     Presidential proclamation, the removal of vegetation is 
     restricted or prohibited;
       ``(3) a congressionally designated wilderness study area; 
     or
       ``(4) an area in which activities under subsection (a) 
     would be inconsistent with the applicable land and resource 
     management plan.
       ``(e) Forest Management Plans.--All projects and activities 
     carried out under this section shall be consistent with the 
     land and resource management plan established under section 6 
     of the Forest and Rangeland Renewable Resources Planning Act 
     of 1974 (16 U.S.C. 1604) for the unit of the National Forest 
     System containing the projects and activities.
       ``(f) Public Notice and Scoping.--The Secretary shall 
     conduct public notice and scoping for any project or action 
     proposed in accordance with this section.
       ``(g) Accountability.--
       ``(1) In general.--The Secretary shall prepare an annual 
     report on the use of categorical exclusions under this 
     section that includes a description of all acres (or other 
     appropriate unit) treated through projects carried out under 
     this section.
       ``(2) Submission.--Not later than 1 year after the date of 
     enactment of this section, and each year thereafter, the 
     Secretary shall submit the reports required under paragraph 
     (1) to--
       ``(A) the Committee on Agriculture, Nutrition, and Forestry 
     of the Senate;
       ``(B) the Committee on Environment and Public Works of the 
     Senate;
       ``(C) the Committee on Agriculture of the House of 
     Representatives;
       ``(D) the Committee on Natural Resources of the House of 
     Representatives; and
       ``(E) the Government Accountability Office.''.

     SEC. 8205. STEWARDSHIP END RESULT CONTRACTING PROJECTS.

       (a) In General.--Title VI of the Healthy Forests 
     Restoration Act of 2003 (16 U.S.C. 6591) (as amended by 
     section 8204) is amended by adding at the end the following:

     ``SEC. 604. STEWARDSHIP END RESULT CONTRACTING PROJECTS.

       ``(a) Definitions.--In this section:
       ``(1) Chief.--The term `Chief' means the Chief of the 
     Forest Service.
       ``(2) Director.--The term `Director' means the Director of 
     the Bureau of Land Management.
       ``(b) Projects.--The Chief and the Director, via agreement 
     or contract as appropriate, may enter into stewardship 
     contracting projects with private persons or other public or 
     private entities to perform services to achieve land 
     management goals for the national forests and the public 
     lands that meet local and rural community needs.
       ``(c) Land Management Goals.--The land management goals of 
     a project under subsection (b) may include any of the 
     following:
       ``(1) Road and trail maintenance or obliteration to restore 
     or maintain water quality.
       ``(2) Soil productivity, habitat for wildlife and 
     fisheries, or other resource values.
       ``(3) Setting of prescribed fires to improve the 
     composition, structure, condition, and health of stands or to 
     improve wildlife habitat.
       ``(4) Removing vegetation or other activities to promote 
     healthy forest stands, reduce fire hazards, or achieve other 
     land management objectives.
       ``(5) Watershed restoration and maintenance.
       ``(6) Restoration and maintenance of wildlife and fish.
       ``(7) Control of noxious and exotic weeds and 
     reestablishing native plant species.
       ``(d) Agreements or Contracts.--
       ``(1) Procurement procedure.--A source for performance of 
     an agreement or contract under subsection (b) shall be 
     selected on a best-value basis, including consideration of 
     source under other public and private agreements or 
     contracts.
       ``(2) Contract for sale of property.--A contract entered 
     into under this section may, at the discretion of the 
     Secretary of Agriculture, be considered a contract for the 
     sale of property under such terms as the Secretary may 
     prescribe without regard to any other provision of law.
       ``(3) Term.--
       ``(A) In general.--Except as provided in subparagraph (B), 
     the Chief and the Director may enter into a contract under 
     subsection (b) in accordance with section 3903 of title 41, 
     United States Code.
       ``(B) Maximum.--The period of the contract under subsection 
     (b) may exceed 5 years but may not exceed 10 years.
       ``(4) Offsets.--
       ``(A) In general.--The Chief and the Director may apply the 
     value of timber or other forest products removed as an offset 
     against the cost of services received under the agreement or 
     contract described in subsection (b).
       ``(B) Methods of appraisal.--The value of timber or other 
     forest products used as an offset under subparagraph (A)--
       ``(i) shall be determined using appropriate methods of 
     appraisal commensurate with the quantity of products to be 
     removed; and
       ``(ii) may--

       ``(I) be determined using a unit of measure appropriate to 
     the contracts; and
       ``(II) may include valuing products on a per-acre basis.

[[Page 1931]]

       ``(5) Relation to other laws.--Notwithstanding subsections 
     (d) and (g) of section 14 of the National Forest Management 
     Act of 1976 (16 U.S.C. 472a), the Chief may enter into an 
     agreement or contract under subsection (b).
       ``(6) Contracting officer.--Notwithstanding any other 
     provision of law, the Secretary or the Secretary of the 
     Interior may determine the appropriate contracting officer to 
     enter into and administer an agreement or contract under 
     subsection (b).
       ``(7) Fire liability provisions.--Not later than 90 days 
     after the date of enactment of this section, the Chief and 
     the Director shall issue for use in all contracts and 
     agreements under this section fire liability provisions that 
     are in substantially the same form as the fire liability 
     provisions contained in--
       ``(A) integrated resource timber contracts, as described in 
     the Forest Service contract numbered 2400-13, part H, section 
     H.4; and
       ``(B) timber sale contracts conducted pursuant to section 
     14 of the National Forest Management Act of 1976 (16 U.S.C. 
     472a).
       ``(e) Receipts.--
       ``(1) In general.--The Chief and the Director may collect 
     monies from an agreement or contract under subsection (b) if 
     the collection is a secondary objective of negotiating the 
     contract that will best achieve the purposes of this section.
       ``(2) Use.--Monies from an agreement or contract under 
     subsection (b)--
       ``(A) may be retained by the Chief and the Director; and
       ``(B) shall be available for expenditure without further 
     appropriation at the project site from which the monies are 
     collected or at another project site.
       ``(3) Relation to other laws.--
       ``(A) In general.--Notwithstanding any other provision of 
     law, the value of services received by the Chief or the 
     Director under a stewardship contract project conducted under 
     this section, and any payments made or resources provided by 
     the contractor, Chief, or Director shall not be considered 
     monies received from the National Forest System or the public 
     lands.
       ``(B) Knutson-vanderberg act.--The Act of June 9, 1930 
     (commonly known as the `Knutson-Vanderberg Act') (16 U.S.C. 
     576 et seq.) shall not apply to any agreement or contract 
     under subsection (b).
       ``(f) Costs of Removal.--Notwithstanding the fact that a 
     contractor did not harvest the timber, the Chief may collect 
     deposits from a contractor covering the costs of removal of 
     timber or other forest products under--
       ``(1) the Act of August 11, 1916 (16 U.S.C. 490); and
       ``(2) the Act of June 30, 1914 (16 U.S.C. 498).
       ``(g) Performance and Payment Guarantees.--
       ``(1) In general.--The Chief and the Director may require 
     performance and payment bonds under sections 28.103-2 and 
     28.103-3 of the Federal Acquisition Regulation, in an amount 
     that the contracting officer considers sufficient to protect 
     the investment in receipts by the Federal Government 
     generated by the contractor from the estimated value of the 
     forest products to be removed under a contract under 
     subsection (b).
       ``(2) Excess offset value.--If the offset value of the 
     forest products exceeds the value of the resource improvement 
     treatments, the Chief and the Director may--
       ``(A) collect any residual receipts under the Act of June 
     9, 1930 (commonly known as the `Knutson-Vanderberg Act') (16 
     U.S.C. 576 et seq.); and
       ``(B) apply the excess to other authorized stewardship 
     projects.
       ``(h) Monitoring and Evaluation.--
       ``(1) In general.--The Chief and the Director shall 
     establish a multiparty monitoring and evaluation process that 
     accesses the stewardship contracting projects conducted under 
     this section.
       ``(2) Participants.--Other than the Chief and Director, 
     participants in the process described in paragraph (1) may 
     include--
       ``(A) any cooperating governmental agencies, including 
     tribal governments; and
       ``(B) any other interested groups or individuals.
       ``(i) Reporting.--Not later than 1 year after the date of 
     enactment of this section, and annually thereafter, the Chief 
     and the Director shall report to the Committee on 
     Agriculture, Nutrition, and Forestry of the Senate and the 
     Committee on Agriculture of the House of Representatives on--
       ``(1) the status of development, execution, and 
     administration of agreements or contracts under subsection 
     (b);
       ``(2) the specific accomplishments that have resulted; and
       ``(3) the role of local communities in the development of 
     agreements or contract plans.''.
       (b) Conforming Amendment.--Section 347 of the Department of 
     the Interior and Related Agencies Appropriations Act, 1999 
     (16 U.S.C. 2104 note; Public Law 105-277) is repealed.

     SEC. 8206. GOOD NEIGHBOR AUTHORITY.

       (a) Definitions.--In this section:
       (1) Authorized restoration services.--The term ``authorized 
     restoration services'' means similar and complementary 
     forest, rangeland, and watershed restoration services carried 
     out--
       (A) on Federal land and non-Federal land; and
       (B) by either the Secretary or a Governor pursuant to a 
     good neighbor agreement.
       (2) Federal land.--
       (A) In general.--The term ``Federal land'' means land that 
     is--
       (i) National Forest System land; or
       (ii) public land (as defined in section 103 of the Federal 
     Land Policy and Management Act of 1976 (43 U.S.C. 1702)).
       (B) Exclusions.--The term ``Federal land'' does not 
     include--
       (i) a component of the National Wilderness Preservation 
     System;
       (ii) Federal land on which the removal of vegetation is 
     prohibited or restricted by Act of Congress or Presidential 
     proclamation (including the applicable implementation plan); 
     or
       (iii) a wilderness study area.
       (3) Forest, rangeland, and watershed restoration 
     services.--
       (A) In general.--The term ``forest, rangeland, and 
     watershed restoration services'' means--
       (i) activities to treat insect- and disease-infected trees;
       (ii) activities to reduce hazardous fuels; and
       (iii) any other activities to restore or improve forest, 
     rangeland, and watershed health, including fish and wildlife 
     habitat.
       (B) Exclusions.--The term ``forest, rangeland, and 
     watershed restoration services'' does not include--
       (i) construction, reconstruction, repair, or restoration of 
     paved or permanent roads or parking areas; or
       (ii) construction, alteration, repair or replacement of 
     public buildings or works.
       (4) Good neighbor agreement.--The term ``good neighbor 
     agreement'' means a cooperative agreement or contract 
     (including a sole source contract) entered into between the 
     Secretary and a Governor to carry out authorized restoration 
     services under this section.
       (5) Governor.--The term ``Governor'' means the Governor or 
     any other appropriate executive official of an affected State 
     or the Commonwealth of Puerto Rico.
       (6) Road.--The term ``road'' has the meaning given the term 
     in section 212.1 of title 36, Code of Federal Regulations (as 
     in effect on the date of enactment of this Act).
       (7) Secretary.--The term ``Secretary means--
       (A) the Secretary of Agriculture, with respect to National 
     Forest System land; and
       (B) the Secretary of the Interior, with respect to Bureau 
     of Land Management land.
       (b) Good Neighbor Agreements.--
       (1) Good neighbor agreements.--
       (A) In general.--The Secretary may enter into a good 
     neighbor agreement with a Governor to carry out authorized 
     restoration services in accordance with this section.
       (B) Public availability.--The Secretary shall make each 
     good neighbor agreement available to the public.
       (2) Timber sales.--
       (A) In general.--Subsections (d) and (g) of section 14 of 
     the National Forest Management Act of 1976 (16 U.S.C. 472a(d) 
     and (g)) shall not apply to services performed under a 
     cooperative agreement or contract entered into under 
     subsection (a).
       (B) Approval of silviculture prescriptions and marking 
     guides.--The Secretary shall provide or approve all 
     silviculture prescriptions and marking guides to be applied 
     on Federal land in all timber sale projects conducted under 
     this section.
       (3) Retention of nepa responsibilities.--Any decision 
     required to be made under the National Environmental Policy 
     Act of 1969 (42 U.S.C. 4321 et seq.) with respect to any 
     authorized restoration services to be provided under this 
     section on Federal land shall not be delegated to a Governor.

                  Subtitle D--Miscellaneous Provisions

     SEC. 8301. REVISION OF STRATEGIC PLAN FOR FOREST INVENTORY 
                   AND ANALYSIS.

       (a) Revision Required.--Not later than 180 days after the 
     date of enactment of this Act, the Secretary shall revise the 
     strategic plan for forest inventory and analysis initially 
     prepared pursuant to section 3(e) of the Forest and Rangeland 
     Renewable Resources Research Act of 1978 (16 U.S.C. 1642(e)) 
     to address the requirements imposed by subsection (b).
       (b) Elements of Revised Strategic Plan.--In revising the 
     strategic plan, the Secretary shall describe in detail the 
     organization, procedures, and funding needed to achieve each 
     of the following:
       (1) Complete the transition to a fully annualized forest 
     inventory program and include inventory and analysis of 
     interior Alaska.
       (2) Implement an annualized inventory of trees in urban 
     settings, including the status and trends of trees and 
     forests, and assessments of their ecosystem services, values, 
     health, and risk to pests and diseases.
       (3) Report information on renewable biomass supplies and 
     carbon stocks at the local, State, regional, and national 
     level, including by ownership type.
       (4) Engage State foresters and other users of information 
     from the forest inventory and analysis in reevaluating the 
     list of core data variables collected on forest inventory and 
     analysis plots with an emphasis on demonstrated need.

[[Page 1932]]

       (5) Improve the timeliness of the timber product output 
     program and accessibility of the annualized information on 
     that database.
       (6) Foster greater cooperation among the forest inventory 
     and analysis program, research station leaders, and State 
     foresters and other users of information from the forest 
     inventory and analysis.
       (7) Promote availability of and access to non-Federal 
     resources to improve information analysis and information 
     management.
       (8) Collaborate with the Natural Resources Conservation 
     Service, National Aeronautics and Space Administration, 
     National Oceanic and Atmospheric Administration, and United 
     States Geological Survey to integrate remote sensing, spatial 
     analysis techniques, and other new technologies in the forest 
     inventory and analysis program.
       (9) Understand and report on changes in land cover and use.
       (10) Expand existing programs to promote sustainable forest 
     stewardship through increased understanding, in partnership 
     with other Federal agencies, of the over 10,000,000 family 
     forest owners, their demographics, and the barriers to forest 
     stewardship.
       (11) Implement procedures to improve the statistical 
     precision of estimates at the sub-State level.
       (c) Submission of Revised Strategic Plan.--The Secretary 
     shall submit the revised strategic plan to the Committee on 
     Agriculture of the House of Representatives and the Committee 
     on Agriculture, Nutrition, and Forestry of the Senate.

     SEC. 8302. FOREST SERVICE PARTICIPATION IN ACES PROGRAM.

       The Secretary, acting through the Chief of the Forest 
     Service, may use funds derived from conservation-related 
     programs executed on National Forest System land to utilize 
     the Agriculture Conservation Experienced Services Program 
     established pursuant to section 1252 of the Food Security Act 
     of 1985 (16 U.S.C. 3851) to provide technical services for 
     conservation-related programs and authorities carried out by 
     the Secretary on National Forest System land.

     SEC. 8303. EXTENSION OF STEWARDSHIP CONTRACTS AUTHORITY 
                   REGARDING USE OF DESIGNATION BY PRESCRIPTION TO 
                   ALL THINNING SALES UNDER NATIONAL FOREST 
                   MANAGEMENT ACT OF 1976.

       Section 14 of the National Forest Management Act of 1976 
     (16 U.S.C. 472a) is amended by striking subsection (g) and 
     inserting the following:
       ``(g) Designation and Supervision of Harvesting.--
       ``(1) In general.--Designation, including marking when 
     necessary, designation by description, or designation by 
     prescription, and supervision of harvesting of trees, 
     portions of trees, or forest products shall be conducted by 
     persons employed by the Secretary of Agriculture.
       ``(2) Requirement.--Persons employed by the Secretary of 
     Agriculture under paragraph (1)--
       ``(A) shall have no personal interest in the purchase or 
     harvest of the products; and
       ``(B) shall not be directly or indirectly in the employment 
     of the purchaser of the products.
       ``(3) Methods for designation.--Designation by prescription 
     and designation by description shall be considered valid 
     methods for designation, and may be supervised by use of 
     post-harvest cruise, sample weight scaling, or other methods 
     determined by the Secretary of Agriculture to be 
     appropriate.''.

     SEC. 8304. REIMBURSEMENT OF FIRE FUNDS.

       (a) Definition of State.--In this section, the term 
     ``State'' means--
       (1) a State; and
       (2) the Commonwealth of Puerto Rico.
       (b) In General.--If a State seeks reimbursement for amounts 
     expended for resources and services provided to another State 
     for the management and suppression of a wildfire, the 
     Secretary, subject to subsections (c) and (d)--
       (1) may accept the reimbursement amounts from the other 
     State; and
       (2) shall pay those amounts to the State seeking 
     reimbursement.
       (c) Mutual Assistance Agreement.--As a condition of seeking 
     and providing reimbursement under subsection (b), the State 
     seeking reimbursement and the State providing reimbursement 
     must each have a mutual assistance agreement with the Forest 
     Service or another Federal agency for providing and receiving 
     wildfire management and suppression resources and services.
       (d) Terms and Conditions.--The Secretary may prescribe the 
     terms and conditions determined to be necessary to carry out 
     subsection (b).
       (e) Effect on Prior Reimbursements.--Any acceptance of 
     funds or reimbursements made by the Secretary before the date 
     of enactment of this Act that otherwise would have been 
     authorized under this section shall be considered to have 
     been made in accordance with this section.
       (f) Amendment.--Section 5(b) of the Act of May 27, 1955 (42 
     U.S.C. 1856d(b)) is amended in the first sentence by 
     inserting ``or Department of Agriculture'' after ``Department 
     of Defense''.

     SEC. 8305. FOREST SERVICE LARGE AIRTANKER AND AERIAL ASSET 
                   FIREFIGHTING RECAPITALIZATION PILOT PROGRAM.

       (a) In General.--Subject to the availability of 
     appropriations, the Secretary, acting through the Chief of 
     the Forest Service, may establish a large airtanker and 
     aerial asset lease program in accordance with this section.
       (b) Aircraft Requirements.--In carrying out the program 
     described in subsection (a), the Secretary may enter into a 
     multiyear lease contract for up to 5 aircraft that meet the 
     criteria--
       (1) described in the Forest Service document entitled 
     ``Large Airtanker Modernization Strategy'' and dated February 
     10, 2012, for large airtankers; and
       (2) determined by the Secretary, for other aerial assets.
       (c) Lease Terms.--The term of any individual lease 
     agreement into which the Secretary enters under this section 
     shall be--
       (1) up to 5 years, inclusive of any options to renew or 
     extend the initial lease term; and
       (2) in accordance with section 3903 of title 41, United 
     States Code.
       (d) Prohibition.--No lease entered into under this section 
     shall provide for the purchase of the aircraft by, or the 
     transfer of ownership to, the Forest Service.

     SEC. 8306. LAND CONVEYANCE, JEFFERSON NATIONAL FOREST IN WISE 
                   COUNTY, VIRGINIA.

       (a) Definitions.--In this section:
       (1) Association.--The term ``Association'' means the 
     Mullins and Sturgill Cemetery Association of Pound, Virginia.
       (2) Map.--The term ``map'' means the map titled ``Mullins 
     and Sturgill Cemetery'' dated March 1, 2013.
       (b) Conveyance Required.--Upon payment by the Association 
     of the consideration under subsection (c) and the costs under 
     subsection (e), the Secretary shall, subject to valid 
     existing rights, convey to the Association all right, title, 
     and interest of the United States in and to a parcel of 
     National Forest System land in the Jefferson National Forest 
     in Wise County, Virginia, consisting of approximately 0.70 
     acres and containing the Mullins and Sturgill Cemetery and an 
     easement to provide access to the parcel, as generally 
     depicted on the map.
       (c) Consideration.--
       (1) Fair market value.--As consideration for the land 
     conveyed under subsection (b), the Association shall pay to 
     the Secretary cash in an amount equal to the market value of 
     the land, as determined by an appraisal approved by the 
     Secretary and conducted in conformity with the Uniform 
     Appraisal Standards for Federal Land Acquisitions and section 
     206 of the Federal Land Policy and Management Act of 1976 (43 
     U.S.C. 1716).
       (2) Deposit.--The consideration received by the Secretary 
     under paragraph (1) shall be deposited into the general fund 
     of the Treasury of the United States for the purposes of 
     deficit reduction.
       (d) Description of Property.--The exact acreage and legal 
     description of the land to be conveyed under subsection (b) 
     shall be determined by a survey satisfactory to the 
     Secretary.
       (e) Costs.--The Association shall pay to the Secretary at 
     closing the reasonable costs of the survey, the appraisal, 
     and any administrative and environmental analyses required by 
     law.
       (f) Additional Terms and Conditions.--The Secretary may 
     require such additional terms and conditions in connection 
     with the conveyance under subsection (b) as the Secretary 
     considers appropriate to protect the interests of the United 
     States.

                            TITLE IX--ENERGY

     SEC. 9001. DEFINITIONS.

       Section 9001 of the Farm Security and Rural Investment Act 
     of 2002 (7 U.S.C. 8101) is amended by--
       (1) redesignating paragraphs (9), (10), (11), (12), (13), 
     and (14) as paragraphs (10), (11), (12), (13), (15), and 
     (17);
       (2) inserting after paragraph (8), the following new 
     paragraph:
       ``(9) Forest product.--
       ``(A) In general.--The term `forest product' means a 
     product made from materials derived from the practice of 
     forestry or the management of growing timber.
       ``(B) Inclusions.--The term `forest product' includes--
       ``(i) pulp, paper, paperboard, pellets, lumber, and other 
     wood products; and
       ``(ii) any recycled products derived from forest 
     materials.'';
       (3) by inserting after paragraph (13) (as redesignated by 
     paragraph (1) of this section) the following:
       ``(14) Renewable chemical.--The term `renewable chemical' 
     means a monomer, polymer, plastic, formulated product, or 
     chemical substance produced from renewable biomass.''; and
       (4) inserting after paragraph (15) (as so redesignated), 
     the following new paragraph:
       ``(16) Renewable energy system.--
       ``(A) In general.--Subject to subparagraph (B), the term 
     `renewable energy system' means a system that--
       ``(i) produces usable energy from a renewable energy 
     source; and
       ``(ii) may include distribution components necessary to 
     move energy produced by such system to the initial point of 
     sale.
       ``(B) Limitation.--A system described in subparagraph (A) 
     may not include a mechanism for dispensing energy at 
     retail.''.

[[Page 1933]]



     SEC. 9002. BIOBASED MARKETS PROGRAM.

       (a) In General.--Section 9002 of the Farm Security and 
     Rural Investment Act of 2002 (7 U.S.C. 8102) is amended--
       (1) in subsection (a)--
       (A) in paragraph (2)(A)(i)--
       (i) in subclause (I), by striking ``and'' at the end;
       (ii) in subclause (II)(bb), by striking the period at the 
     end and inserting ``; and''; and
       (iii) by adding at the end the following:

       ``(III) establish a targeted biobased-only procurement 
     requirement under which the procuring agency shall issue a 
     certain number of biobased-only contracts when the procuring 
     agency is purchasing products, or purchasing services that 
     include the use of products, that are included in a biobased 
     product category designated by the Secretary.''; and

       (B) in paragraph (3)--
       (i) in subparagraph (B)--

       (I) in clause (v), by inserting ``as determined to be 
     necessary by the Secretary based on the availability of 
     data,'' before ``provide information'';
       (II) by redesignating clauses (v) and (vi) as clauses (vii) 
     and (viii), respectively; and
       (III) by inserting after clause (iv) the following:

       ``(v) require reporting of quantities and types of biobased 
     products purchased by procuring agencies;
       ``(vi) promote biobased products, including forest 
     products, that apply an innovative approach to growing, 
     harvesting, sourcing, procuring, processing, manufacturing, 
     or application of biobased products regardless of the date of 
     entry into the marketplace;''; and
       (ii) by adding at the end the following:
       ``(F) Required designations.--Not later than 1 year after 
     the date of enactment of this subparagraph, the Secretary 
     shall begin to designate intermediate ingredients or 
     feedstocks and assembled and finished biobased products in 
     the guidelines issued under this paragraph.'';
       (2) in subsection (b)--
       (A) in paragraph (3)--
       (i) by striking ``The Secretary'' and inserting the 
     following:
       ``(A) In general.--The Secretary''; and
       (ii) by adding at the end the following:
       ``(B) Auditing and compliance.--The Secretary may carry out 
     such auditing and compliance activities as the Secretary 
     determines to be necessary to ensure compliance with 
     subparagraph (A).''; and
       (B) by adding at the end the following:
       ``(4) Assembled and finished products.--Not later than 1 
     year after the date of enactment of this paragraph, the 
     Secretary shall begin issuing criteria for determining which 
     assembled and finished products may qualify to receive the 
     label under paragraph (1).'';
       (3) in subsection (g)--
       (A) in paragraph (2)--
       (i) in the matter preceding subparagraph (A) by striking 
     ``The report'' and inserting ``Each report under paragraph 
     (1)'';
       (ii) in subparagraph (A), by striking ``and'' at the end;
       (iii) in subparagraph (B)(ii), by striking the period at 
     the end and inserting ``; and'' ; and
       (iv) by adding at the end the following new subparagraph:
       ``(C) the progress made by other Federal agencies in 
     compliance with the biobased procurement requirements, 
     including the quantity of purchases made.''; and
       (B) by adding at the end the following:
       ``(3) Economic impact study and report.--
       ``(A) In general.--The Secretary shall conduct a study to 
     assess the economic impact of the biobased products industry, 
     including--
       ``(i) the quantity of biobased products sold;
       ``(ii) the value of the biobased products;
       ``(iii) the quantity of jobs created;
       ``(iv) the quantity of petroleum displaced;
       ``(v) other environmental benefits; and
       ``(vi) areas in which the use or manufacturing of biobased 
     products could be more effectively used, including 
     identifying any technical and economic obstacles and 
     recommending how those obstacles can be overcome.
       ``(B) Report.--Not later than 1 year after the date of 
     enactment of this subparagraph, the Secretary shall submit to 
     Congress a report describing the results of the study 
     conducted under subparagraph (A).'';
       (4) by redesignating subsections (g) and (h) as subsections 
     (h) and (i), respectively;
       (5) by inserting after subsection (f) the following new 
     subsection:
       ``(g) Forest Products Laboratory Coordination.--In 
     determining whether products are eligible for the `USDA 
     Certified Biobased Product' label, the Secretary (acting 
     through the Forest Products Laboratory) shall provide 
     appropriate technical and other assistance to the program and 
     applicants for forest products.''; and
       (6) in subsection (i) (as redesignated by paragraph (4)), 
     by striking paragraphs (1) and (2) and inserting the 
     following new paragraphs:
       ``(1) Mandatory funding.--Of the funds of the Commodity 
     Credit Corporation, the Secretary shall use to carry out this 
     section $3,000,000 for each of fiscal years 2014 through 
     2018.
       ``(2) Discretionary funding.--There is authorized to be 
     appropriated to carry out this section $2,000,000 for each of 
     fiscal years 2014 through 2018.''; and
       (7) by adding at the end the following new subsection:
       ``(j) Biobased Product Inclusion.--In this section, the 
     term `biobased product' (as defined in section 9001) 
     includes, with respect to forestry materials, forest products 
     that meet biobased content requirements, notwithstanding the 
     market share the product holds, the age of the product, or 
     whether the market for the product is new or emerging.''.
       (b) Conforming Amendment.--Section 944(c)(2)(A) of the 
     Energy Policy Act of 2005 (42 U.S.C. 16253(c)(2)(A)) is 
     amended by striking ``section 9002(h)(1)'' and inserting 
     ``section 9002(b)''.

     SEC. 9003. BIOREFINERY ASSISTANCE.

       (a) Program Adjustments.--Section 9003 of the Farm Security 
     and Rural Investment Act of 2002 (7 U.S.C. 8103) is amended--
       (1) in the section heading, by inserting ``, renewable 
     chemical, and biobased product manufacturing'' after 
     ``biorefinery'';
       (2) in subsection (a), in the matter preceding paragraph 
     (1), by inserting ``renewable chemicals, and biobased product 
     manufacturing'' after ``advanced biofuels,'';
       (3) in subsection (b)--
       (A) by redesignating paragraphs (1) and (2) as paragraphs 
     (2) and (3), respectively; and
       (B) by inserting before paragraph (2) (as so redesignated) 
     the following:
       ``(1) Biobased product manufacturing.--The term `biobased 
     product manufacturing' means development, construction, and 
     retrofitting of technologically new commercial-scale 
     processing and manufacturing equipment and required 
     facilities that will be used to convert renewable chemicals 
     and other biobased outputs of biorefineries into end-user 
     products on a commercial scale.'';
       (4) in subsection (c), by striking ``to eligible entities'' 
     and all that follows through ``guarantees for loans'' and 
     inserting ``to eligible entities guarantees for loans'';
       (5) by striking subsection (d);
       (6) by redesignating subsections (e), (f), (g), and (h) as 
     subsections (d), (e), (f), and (g), respectively; and
       (7) in subsection (d) (as so redesignated)--
       (A) in paragraph (1), by adding at the end the following 
     new subparagraph:
       ``(D) Project diversity.--In approving loan guarantee 
     applications, the Secretary shall ensure that, to the extent 
     practicable, there is diversity in the types of projects 
     approved for loan guarantees to ensure that as wide a range 
     as possible of technologies, products, and approaches are 
     assisted.''.
       (B) by striking ``subsection (c)(2)'' each place it appears 
     and inserting ``subsection (c)''; and
       (C) in paragraph (2)(C), by striking ``subsection (h)'' and 
     inserting ``subsection (g)''.
       (b) Funding.--Subsection (g) of section 9003 of the Farm 
     Security and Rural Investment Act of 2002 (7 U.S.C. 8103) (as 
     redesignated by paragraph (6)) is amended--
       (1) by striking paragraph (1) and inserting the following:
       ``(1) Mandatory funding.--
       ``(A) In general.--Subject to subparagraph (B), of the 
     funds of the Commodity Credit Corporation, the Secretary 
     shall use for the cost of loan guarantees under this section, 
     to remain available until expended--
       ``(i) $100,000,000 for fiscal year 2014; and
       ``(ii) $50,000,000 for each of fiscal years 2015 and 2016.
       ``(B) Biobased product manufacturing.--Of the total amount 
     of funds made available for fiscal years 2014 and 2015 under 
     subparagraph (A), the Secretary may use for the cost of loan 
     guarantees under this section not more than 15 percent of 
     such funds to promote biobased product manufacturing.''; and
       (2) in paragraph (2), by striking ``$150,000,000 for each 
     of fiscal years 2009 through 2013'' and inserting 
     ``$75,000,000 for each of fiscal years 2014 through 2018''.

     SEC. 9004. REPOWERING ASSISTANCE PROGRAM.

       Section 9004(d) of the Farm Security and Rural Investment 
     Act of 2002 (7 U.S.C. 8104(d)) is amended--
       (1) in paragraph (1), by striking ``$35,000,000 for fiscal 
     year 2009'' and inserting ``$12,000,000 for fiscal year 
     2014''; and
       (2) in paragraph (2), by striking ``$15,000,000 for each of 
     fiscal years 2009 through 2013'' and inserting ``$10,000,000 
     for each of fiscal years 2014 through 2018''.

     SEC. 9005. BIOENERGY PROGRAM FOR ADVANCED BIOFUELS.

       Section 9005(g) of the Farm Security and Rural Investment 
     Act of 2002 (7 U.S.C. 8105(g)) is amended--
       (1) in paragraph (1)--
       (A) in subparagraph (C), by striking ``; and'' and 
     inserting a semicolon;
       (B) in subparagraph (D), by striking the period and 
     inserting ``; and''; and
       (C) by adding at the end the following new subparagraph:
       ``(E) $15,000,000 for each of fiscal years 2014 through 
     2018.''; and
       (2) in paragraph (2), by striking ``$25,000,000 for each of 
     fiscal years 2009 through 2013'' and inserting ``$20,000,000 
     for each of fiscal years 2014 through 2018''.

     SEC. 9006. BIODIESEL FUEL EDUCATION PROGRAM.

       Section 9006(d) of the Farm Security and Rural Investment 
     Act of 2002 (7 U.S.C. 8106(d)) is amended--
       (1) in paragraph (1)--
       (A) in the heading, by striking ``Fiscal years 2009 through 
     2012'' and inserting ``Mandatory funding'' ; and
       (B) by striking ``2012'' and inserting ``2018''; and

[[Page 1934]]

       (2) in paragraph (2)--
       (A) in the heading, by striking ``Authorization of 
     appropriations'' and inserting ``Discretionary funding'' ; 
     and
       (B) by striking ``fiscal year 2013'' and inserting ``each 
     of fiscal years 2014 through 2018''.

     SEC. 9007. RURAL ENERGY FOR AMERICA PROGRAM.

       (a) Program Adjustments.--Section 9007 of the Farm Security 
     and Rural Investment Act of 2002 (7 U.S.C. 8107) is amended--
       (1) in subsection (b)(2)--
       (A) in subparagraph (C), by striking ``and'' at the end;
       (B) by redesignating subparagraph (D) as subparagraph (E); 
     and
       (C) by inserting after subparagraph (C) the following:
       ``(D) a council (as defined in section 1528 of the 
     Agriculture and Food Act of 1981 (16 U.S.C. 3451)); and''; 
     and
       (2) in subsection (c)--
       (A) by striking paragraph (3);
       (B) by redesignating paragraph (4) as paragraph (3); and
       (C) by adding at the end the following:
       ``(4) Tiered application process.--
       ``(A) In general.--In providing loan guarantees and grants 
     under this subsection, the Secretary shall use a 3-tiered 
     application process that reflects the size of proposed 
     projects in accordance with this paragraph.
       ``(B) Tier 1.--The Secretary shall establish a separate 
     application process for projects for which the cost of the 
     activity funded under this subsection is not more than 
     $80,000.
       ``(C) Tier 2.--The Secretary shall establish a separate 
     application process for projects for which the cost of the 
     activity funded under this subsection is greater than $80,000 
     but less than $200,000.
       ``(D) Tier 3.--The Secretary shall establish a separate 
     application process for projects for which the cost of the 
     activity funded under this subsection is equal to or greater 
     than $200,000.
       ``(E) Application process.--The Secretary shall establish 
     an application, evaluation, and oversight process that is the 
     most simplified for tier I projects and more comprehensive 
     for each subsequent tier.''.
       (b) Funding.--Section 9007(g) of the Farm Security and 
     Rural Investment Act of 2002 (7 U.S.C. 8107(g)) is amended--
       (1) in paragraph (1)--
       (A) in subparagraph (C), by striking ``; and'' and 
     inserting a semicolon;
       (B) in subparagraph (D), by striking the period and 
     inserting ``; and''; and
       (C) by adding at the end the following new subparagraph:
       ``(E) $50,000,000 for fiscal year 2014 and each fiscal year 
     thereafter.''; and
       (2) in paragraph (3), by striking ``$25,000,000 for each of 
     fiscal years 2009 through 2013'' and inserting ``$20,000,000 
     for each of fiscal years 2014 through 2018''.

     SEC. 9008. BIOMASS RESEARCH AND DEVELOPMENT.

       Section 9008(h) of the Farm Security and Rural Investment 
     Act of 2002 (7 U.S.C. 8108(h)) is amended--
       (1) in paragraph (1)--
       (A) in subparagraph (C), by striking ``; and'' and 
     inserting a semicolon;
       (B) in subparagraph (D), by striking the period and 
     inserting ``; and''; and
       (C) by adding at the end the following new subparagraph:
       ``(E) $3,000,000 for each of fiscal years 2014 through 
     2017.''; and
       (2) in paragraph (2), by striking ``$35,000,000 for each of 
     fiscal years 2009 through 2013'' and inserting ``$20,000,000 
     for each of fiscal years 2014 through 2018''.

     SEC. 9009. FEEDSTOCK FLEXIBILITY PROGRAM FOR BIOENERGY 
                   PRODUCERS.

       Section 9010(b) of the Farm Security and Rural Investment 
     Act of 2002 (7 U.S.C. 8110(b)) is amended--
       (1) in paragraph (1)(A), by striking ``2013'' and inserting 
     ``2018''; and
       (2) in paragraph (2)(A), by striking ``2013'' and inserting 
     ``2018''.

     SEC. 9010. BIOMASS CROP ASSISTANCE PROGRAM.

       Section 9011 of the Farm Security and Rural Investment Act 
     of 2002 (7 U.S.C. 8111) is amended to read as follows:

     ``SEC. 9011. BIOMASS CROP ASSISTANCE PROGRAM.

       ``(a) Definitions.--In this section:
       ``(1) BCAP.--The term `BCAP' means the Biomass Crop 
     Assistance Program established under this section.
       ``(2) BCAP project area.--The term `BCAP project area' 
     means an area that--
       ``(A) has specified boundaries that are submitted to the 
     Secretary by the project sponsor and subsequently approved by 
     the Secretary;
       ``(B) includes producers with contract acreage that will 
     supply a portion of the renewable biomass needed by a biomass 
     conversion facility; and
       ``(C) is physically located within an economically 
     practicable distance from the biomass conversion facility.
       ``(3) Contract acreage.--The term `contract acreage' means 
     eligible land that is covered by a BCAP contract entered into 
     with the Secretary.
       ``(4) Eligible crop.--
       ``(A) In general.--The term `eligible crop' means a crop of 
     renewable biomass.
       ``(B) Exclusions.--The term `eligible crop' does not 
     include--
       ``(i) any crop that is eligible to receive payments under 
     title I of the Agricultural Act of 2014 or an amendment made 
     by that title; or
       ``(ii) any plant that is invasive or noxious or species or 
     varieties of plants that credible risk assessment tools or 
     other credible sources determine are potentially invasive, as 
     determined by the Secretary in consultation with other 
     appropriate Federal or State departments and agencies.
       ``(5) Eligible land.--
       ``(A) In general.--The term `eligible land' includes--
       ``(i) agricultural and nonindustrial private forest lands 
     (as defined in section 5(c) of the Cooperative Forestry 
     Assistance Act of 1978 (16 U.S.C. 2103a(c))); and
       ``(ii) land enrolled in the conservation reserve program 
     established under subchapter B of chapter I of subtitle D of 
     title XII of the Food Security Act of 1985 (16 U.S.C. 3831 et 
     seq.), or the Agricultural Conservation Easement Program 
     established under subtitle H of title XII of that Act, under 
     a contract that will expire at the end of the current fiscal 
     year.
       ``(B) Exclusions.--The term `eligible land' does not 
     include--
       ``(i) Federal- or State-owned land;
       ``(ii) land that is native sod, as of the date of enactment 
     of the Food, Conservation, and Energy Act of 2008 (7 U.S.C. 
     8701 et seq.);
       ``(iii) land enrolled in the conservation reserve program 
     established under subchapter B of chapter 1 of subtitle D of 
     title XII of the Food Security Act of 1985 (16 U.S.C. 3831 et 
     seq.), other than land described in subparagraph (A)(ii); or
       ``(iv) land enrolled in the Agricultural Conservation 
     Easement Program established under subtitle H of title XII of 
     that Act, other than land described in subparagraph (A)(ii).
       ``(6) Eligible material.--
       ``(A) In general.--The term `eligible material' means 
     renewable biomass harvested directly from the land, including 
     crop residue from any crop that is eligible to receive 
     payments under title I of the Agricultural Act of 2014 or an 
     amendment made by that title.
       ``(B) Inclusions.--The term `eligible material' shall only 
     include--
       ``(i) eligible material that is collected or harvested by 
     the eligible material owner--

       ``(I) directly from--

       ``(aa) National Forest System;
       ``(bb) Bureau of Land Management land;
       ``(cc) non-Federal land; or
       ``(dd) land owned by an individual Indian or Indian tribe 
     that is held in trust by the United States for the benefit of 
     the individual Indian or Indian tribe or subject to a 
     restriction against alienation imposed by the United States;

       ``(II) in a manner that is consistent with--

       ``(aa) a conservation plan;
       ``(bb) a forest stewardship plan; or
       ``(cc) a plan that the Secretary determines is equivalent 
     to a plan described in item (aa) or (bb) and consistent with 
     Executive Order 13112 (42 U.S.C. 4321 note; relating to 
     invasive species);
       ``(ii) if woody eligible material, woody eligible material 
     that is produced on land other than contract acreage that--

       ``(I) is a byproduct of a preventative treatment that is 
     removed to reduce hazardous fuel or to reduce or contain 
     disease or insect infestation; and
       ``(II) if harvested from Federal land, is harvested in 
     accordance with section 102(e) of the Healthy Forests 
     Restoration Act of 2003 (16 U.S.C. 6512(e)); and

       ``(iii) eligible material that is delivered to a qualified 
     biomass conversion facility to be used for heat, power, 
     biobased products, research, or advanced biofuels.
       ``(C) Exclusions.--The term `eligible material' does not 
     include--
       ``(i) material that is whole grain from any crop that is 
     eligible to receive payments under title I of the 
     Agricultural Act of 2014 or an amendment made by that title, 
     including--

       ``(I) barley, corn, grain sorghum, oats, rice, or wheat;
       ``(II) honey;
       ``(III) mohair;
       ``(IV) oilseeds, including canola, crambe, flaxseed, 
     mustard seed, rapeseed, safflower seed, soybeans, sesame 
     seed, and sunflower seed;
       ``(V) peanuts;
       ``(VI) pulse;
       ``(VII) chickpeas, lentils, and dry peas;
       ``(VIII) dairy products;
       ``(IX) sugar; and
       ``(X) wool and cotton boll fiber;

       ``(ii) animal waste and byproducts, including fat, oil, 
     grease, and manure;
       ``(iii) food waste and yard waste;
       ``(iv) algae;
       ``(v) woody eligible material that--

       ``(I) is removed outside contract acreage; and
       ``(II) is not a byproduct of a preventative treatment to 
     reduce hazardous fuel or to reduce or contain disease or 
     insect infestation;

       ``(vi) any woody eligible material collected or harvested 
     outside contract acreage that would otherwise be used for 
     existing market products; or
       ``(vii) bagasse.

[[Page 1935]]

       ``(7) Producer.--The term `producer' means an owner or 
     operator of contract acreage that is physically located 
     within a BCAP project area.
       ``(8) Project sponsor.--The term `project sponsor' means--
       ``(A) a group of producers; or
       ``(B) a biomass conversion facility.
       ``(9) Socially disadvantaged farmer or rancher.--The term 
     `socially disadvantaged farmer or rancher' has the meaning 
     given the term in section 2501(e) of the Food, Agriculture, 
     Conservation, and Trade Act of 1990 (7 U.S.C. 2279(e)).
       ``(b) Establishment and Purpose.--The Secretary shall 
     establish and administer a Biomass Crop Assistance Program 
     to--
       ``(1) support the establishment and production of eligible 
     crops for conversion to bioenergy in selected BCAP project 
     areas; and
       ``(2) assist agricultural and forest land owners and 
     operators with the collection, harvest, storage, and 
     transportation of eligible material for use in a biomass 
     conversion facility.
       ``(c) BCAP Project Area.--
       ``(1) In general.--The Secretary shall provide financial 
     assistance to a producer of an eligible crop in a BCAP 
     project area.
       ``(2) Selection of project areas.--
       ``(A) In general.--To be considered for selection as a BCAP 
     project area, a project sponsor shall submit to the Secretary 
     a proposal that, at a minimum, includes--
       ``(i) a description of the eligible land and eligible crops 
     of each producer that will participate in the proposed BCAP 
     project area;
       ``(ii) a letter of commitment from a biomass conversion 
     facility that the facility will use the eligible crops 
     intended to be produced in the proposed BCAP project area;
       ``(iii) evidence that the biomass conversion facility has 
     sufficient equity available, as determined by the Secretary, 
     if the biomass conversion facility is not operational at the 
     time the proposal is submitted to the Secretary; and
       ``(iv) any other information about the biomass conversion 
     facility or proposed biomass conversion facility that the 
     Secretary determines necessary for the Secretary to be 
     reasonably assured that the plant will be in operation by the 
     date on which the eligible crops are ready for harvest.
       ``(B) BCAP project area selection criteria.--In selecting 
     BCAP project areas, the Secretary shall consider--
       ``(i) the volume of the eligible crops proposed to be 
     produced in the proposed BCAP project area and the 
     probability that those crops will be used for the purposes of 
     the BCAP;
       ``(ii) the volume of renewable biomass projected to be 
     available from sources other than the eligible crops grown on 
     contract acres;
       ``(iii) the anticipated economic impact in the proposed 
     BCAP project area;
       ``(iv) the opportunity for producers and local investors to 
     participate in the ownership of the biomass conversion 
     facility in the proposed BCAP project area;
       ``(v) the participation rate by--

       ``(I) beginning farmers or ranchers (as defined in 
     accordance with section 343(a) of the Consolidated Farm and 
     Rural Development Act (7 U.S.C. 1991(a))); or
       ``(II) socially disadvantaged farmers or ranchers;

       ``(vi) the impact on soil, water, and related resources;
       ``(vii) the variety in biomass production approaches within 
     a project area, including (as appropriate)--

       ``(I) agronomic conditions;
       ``(II) harvest and postharvest practices; and
       ``(III) monoculture and polyculture crop mixes;

       ``(viii) the range of eligible crops among project areas;
       ``(ix) existing project areas that have received funding 
     under this section and the continuation of funding of such 
     project areas to advance the maturity of such project areas; 
     and
       ``(x) any additional information that the Secretary 
     determines to be necessary.
       ``(3) Contract.--
       ``(A) In general.--On approval of a BCAP project area by 
     the Secretary, each producer in the BCAP project area shall 
     enter into a contract directly with the Secretary.
       ``(B) Minimum terms.--At a minimum, a contract under this 
     subsection shall include terms that cover--
       ``(i) an agreement to make available to the Secretary, or 
     to an institution of higher education or other entity 
     designated by the Secretary, such information as the 
     Secretary considers to be appropriate to promote the 
     production of eligible crops and the development of biomass 
     conversion technology;
       ``(ii) compliance with the highly erodible land 
     conservation requirements of subtitle B of title XII of the 
     Food Security Act of 1985 (16 U.S.C. 3811 et seq.) and the 
     wetland conservation requirements of subtitle C of title XII 
     of that Act (16 U.S.C. 3821 et seq.);
       ``(iii) the implementation of (as determined by the 
     Secretary)--

       ``(I) a conservation plan;
       ``(II) a forest stewardship plan; or
       ``(III) a plan that is equivalent to a conservation or 
     forest stewardship plan; and

       ``(iv) any additional requirements that Secretary 
     determines to be necessary.
       ``(C) Duration.--A contract under this subsection shall 
     have a term of not more than--
       ``(i) 5 years for annual and perennial crops; or
       ``(ii) 15 years for woody biomass.
       ``(4) Relationship to other programs.--In carrying out this 
     subsection, the Secretary shall provide for the preservation 
     of cropland base and yield history applicable to the land 
     enrolled in a BCAP contract.
       ``(5) Payments.--
       ``(A) In general.--The Secretary shall make establishment 
     and annual payments directly to producers to support the 
     establishment and production of eligible crops on contract 
     acreage.
       ``(B) Amount of establishment payments.--
       ``(i) In general.--Subject to clause (ii), the amount of an 
     establishment payment under this subsection shall be not more 
     than 50 percent of the costs of establishing an eligible 
     perennial crop covered by the contract but not to exceed $500 
     per acre, including--

       ``(I) the cost of seeds and stock for perennials;
       ``(II) the cost of planting the perennial crop, as 
     determined by the Secretary; and
       ``(III) in the case of nonindustrial private forestland, 
     the costs of site preparation and tree planting.

       ``(ii) Socially disadvantaged farmers or ranchers.--In the 
     case of socially disadvantaged farmers or ranchers, the costs 
     of establishment may not exceed $750 per acre.
       ``(C) Amount of annual payments.--
       ``(i) In general.--Subject to clause (ii), the amount of an 
     annual payment under this subsection shall be determined by 
     the Secretary.
       ``(ii) Reduction.--The Secretary shall reduce an annual 
     payment by an amount determined to be appropriate by the 
     Secretary, if--

       ``(I) an eligible crop is used for purposes other than the 
     production of energy at the biomass conversion facility;
       ``(II) an eligible crop is delivered to the biomass 
     conversion facility;
       ``(III) the producer receives a payment under subsection 
     (d);
       ``(IV) the producer violates a term of the contract; or
       ``(V) the Secretary determines a reduction is necessary to 
     carry out this section.

       ``(D) Exclusion.--The Secretary shall not make any BCAP 
     payments on land for which payments are received under the 
     conservation reserve program established under subchapter B 
     of chapter 1 of subtitle D of title XII of the Food Security 
     Act of 1985 (16 U.S.C. 3831 et seq.) or the agricultural 
     conservation easement program established under subtitle H of 
     title XII of that Act.
       ``(d) Assistance With Collection, Harvest, Storage, and 
     Transportation.--
       ``(1) In general.--The Secretary shall make a payment for 
     the delivery of eligible material to a biomass conversion 
     facility to--
       ``(A) a producer of an eligible crop that is produced on 
     BCAP contract acreage; or
       ``(B) a person with the right to collect or harvest 
     eligible material, regardless of whether the eligible 
     material is produced on contract acreage.
       ``(2) Payments.--
       ``(A) Costs covered.--A payment under this subsection shall 
     be in an amount described in subparagraph (B) for--
       ``(i) collection;
       ``(ii) harvest;
       ``(iii) storage; and
       ``(iv) transportation to a biomass conversion facility.
       ``(B) Amount.--Subject to paragraph (3), the Secretary may 
     provide matching payments at a rate of up to $1 for each $1 
     per ton provided by the biomass conversion facility, in an 
     amount not to exceed $20 per dry ton for a period of 2 years.
       ``(3) Limitation on assistance for bcap contract acreage.--
     As a condition of the receipt of an annual payment under 
     subsection (c), a producer receiving a payment under this 
     subsection for collection, harvest, storage, or 
     transportation of an eligible crop produced on BCAP acreage 
     shall agree to a reduction in the annual payment.
       ``(e) Report.--Not later than 4 years after the date of 
     enactment of the Agricultural Act of 2014, the Secretary 
     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 dissemination by 
     the Secretary of the best practice data and information 
     gathered from participants receiving assistance under this 
     section.
       ``(f) Funding.--
       ``(1) In general.--Of the funds of the Commodity Credit 
     Corporation, the Secretary shall use to carry out this 
     section $25,000,000 for each of fiscal years 2014 through 
     2018.
       ``(2) Collection, harvest, storage, and transportation 
     payments.--Of the amount made available under paragraph (1) 
     for each fiscal year, the Secretary shall use not less than 
     10 percent, nor more than 50 percent, of the amount to make 
     collection, harvest, transportation, and storage payments 
     under subsection (d)(2).
       ``(3) Technical assistance.--
       ``(A) In general.--Effective for fiscal year 2014 and each 
     subsequent fiscal year, funds made available under this 
     subsection shall

[[Page 1936]]

     be available for the provision of technical assistance with 
     respect to activities authorized under this section.
       ``(B) Relationship to other laws.--To the extent funds 
     obligated or expended under subparagraph (A) include funds of 
     the Commodity Credit Corporation, such funds shall not be 
     considered an allotment or fund transfer from the Commodity 
     Credit Corporation for purposes of the limit on expenditures 
     for technical assistance imposed by section 11 of the 
     Commodity Credit Corporation Charter Act (15 U.S.C. 714i).''.

     SEC. 9011. REPEAL OF FOREST BIOMASS FOR ENERGY.

       Section 9012 of the Farm Security and Rural Investment Act 
     of 2002 (7 U.S.C. 8112) is repealed.

     SEC. 9012. COMMUNITY WOOD ENERGY PROGRAM.

       (a) Definition of Biomass Consumer Cooperative.--Section 
     9013(a) of the Farm Security and Rural Investment Act of 2002 
     (7 U.S.C. 8113(a)) is amended--
       (1) by redesignating paragraphs (1) and (2) as paragraphs 
     (2) and (3), respectively; and
       (2) by inserting before paragraph (2) (as so redesignated) 
     the following:
       ``(1) Biomass consumer cooperative.--The term `biomass 
     consumer cooperative' means a consumer membership 
     organization the purpose of which is to provide members with 
     services or discounts relating to the purchase of biomass 
     heating products or biomass heating systems.''.
       (b) Grant Program.--Section 9013(b)(1) of the Farm Security 
     and Rural Investment Act of 2002 (7 U.S.C. 8113(b)(1)) is 
     amended--
       (1) in subparagraph (A), by striking ``and'' after the 
     semicolon at the end;
       (2) in subparagraph (B), by striking the period at the end 
     and inserting ``; and''; and
       (3) by adding at the end the following:
       ``(C) grants of up to $50,000 to biomass consumer 
     cooperatives for the purpose of establishing or expanding 
     biomass consumer cooperatives that will provide consumers 
     with services or discounts relating to--
       ``(i) the purchase of biomass heating systems;
       ``(ii) biomass heating products, including wood chips, wood 
     pellets, and advanced biofuels; or
       ``(iii) the delivery and storage of biomass of heating 
     products.''.
       (c) Matching Funds.--Section 9013(d) of the Farm Security 
     and Rural Investment Act of 2002 (7 U.S.C. 8113(d)) is 
     amended--
       (1) by striking ``A State or local government that receives 
     a grant under subsection (b)'' and inserting the following:
       ``(1) State and local governments.--A State or local 
     government that receives a grant under subparagraph (A) or 
     (B) of subsection (b)(1)''; and
       (2) by adding at the end the following:
       ``(2) Biomass consumer cooperatives.--A biomass consumer 
     cooperative that receives a grant under subsection (b)(1)(C) 
     shall contribute an amount of non-Federal funds (which may 
     include State, local, and nonprofit funds and membership 
     dues) toward the establishment or expansion of a biomass 
     consumer cooperative that is at least equal to 50 percent of 
     the amount of Federal funds received for that purpose.''.
       (d) Authorization of Appropriations.--Section 9013(e) of 
     the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 
     8113(e)) is amended by striking ``2013'' and inserting 
     ``2018''.

     SEC. 9013. REPEAL OF BIOFUELS INFRASTRUCTURE STUDY.

       Section 9002 of the Food, Conservation, and Energy Act of 
     2008 (Public Law 110-246; 122 Stat. 2095) is repealed.

     SEC. 9014. REPEAL OF RENEWABLE FERTILIZER STUDY.

       Section 9003 of the Food, Conservation, and Energy Act of 
     2008 (Public Law 110-246; 122 Stat. 2096) is repealed.

     SEC. 9015. ENERGY EFFICIENCY REPORT FOR USDA FACILITIES.

       (a) Report.--Not later than 180 days after the date of the 
     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 energy use and energy 
     efficiency projects at the Washington, District of Columbia, 
     headquarters and the major regional facilities of the 
     Department of Agriculture.
       (b) Contents.--The report required by subsection (a) shall 
     include the following:
       (1) An analysis of energy use by the Department of 
     Agriculture headquarters and major regional facilities.
       (2) A list of energy audits that have been conducted at 
     such facilities.
       (3) A list of energy efficiency projects that have been 
     conducted at such facilities.
       (4) A list of energy savings projects that could be 
     achieved with enacting a consistent, timely, and proper 
     mechanical insulation maintenance program and upgrading 
     mechanical insulation at such facilities.

                         TITLE X--HORTICULTURE

     SEC. 10001. SPECIALTY CROPS MARKET NEWS ALLOCATION.

       Section 10107(b) of the Food, Conservation, and Energy Act 
     of 2008 (7 U.S.C. 1622b(b)) is amended by striking ``2012'' 
     and inserting ``2018''.

     SEC. 10002. REPEAL OF GRANT PROGRAM TO IMPROVE MOVEMENT OF 
                   SPECIALTY CROPS.

       Effective October 1, 2013, section 10403 of the Food, 
     Conservation, and Energy Act of 2008 (7 U.S.C. 1622c) is 
     repealed.

     SEC. 10003. FARMERS' MARKET AND LOCAL FOOD PROMOTION PROGRAM.

       Section 6 of the Farmer-to-Consumer Direct Marketing Act of 
     1976 (7 U.S.C. 3005) is amended--
       (1) in the section heading, by inserting ``and local food'' 
     after ``farmers' market'';
       (2) in subsection (a)--
       (A) by inserting ``and Local Food'' after ``Farmers' 
     Market'';
       (B) by striking ``farmers' markets and to promote''; and
       (C) by striking the period and inserting ``and assist in 
     the development of local food business enterprises.'';
       (3) by striking subsection (b) and inserting the following:
       ``(b) Program Purposes.--The purposes of the Program are to 
     increase domestic consumption of and access to locally and 
     regionally produced agricultural products, and to develop new 
     market opportunities for farm and ranch operations serving 
     local markets, by developing, improving, expanding, and 
     providing outreach, training, and technical assistance to, or 
     assisting in the development, improvement and expansion of--
       ``(1) domestic farmers' markets, roadside stands, 
     community-supported agriculture programs, agritourism 
     activities, and other direct producer-to-consumer market 
     opportunities; and
       ``(2) local and regional food business enterprises 
     (including those that are not direct producer-to-consumer 
     markets) that process, distribute, aggregate, or store 
     locally or regionally produced food products.'';
       (4) in subsection (c)(1)--
       (A) by inserting ``or other agricultural business entity'' 
     after ``cooperative''; and
       (B) by inserting ``, including a community supported 
     agriculture network or association'' after ``association'';
       (5) by redesignating subsection (e) as subsection (g);
       (6) by inserting after subsection (d) the following:
       ``(e) Priorities.--In providing grants under the Program, 
     priority shall be given to applications that include projects 
     that benefit underserved communities, including communities 
     that--
       ``(1) are located in areas of concentrated poverty with 
     limited access to fresh locally or regionally grown foods; 
     and
       ``(2) have not received benefits from the Program in the 
     recent past.
       ``(f) Funds Requirements for Eligible Entities.--
       ``(1) Matching funds.--An entity receiving a grant under 
     this section for a project to carry out a purpose described 
     in subsection (b)(2) shall provide matching funds in the form 
     of cash or an in-kind contribution in an amount equal to 25 
     percent of the total cost of the project.
       ``(2) Limitation on use of funds.--An eligible entity may 
     not use a grant or other assistance provided under this 
     section for the purchase, construction, or rehabilitation of 
     a building or structure.''; and
       (7) in subsection (g) (as redesignated by paragraph (5))--
       (A) in paragraph (1)--
       (i) in the paragraph heading, by striking ``Fiscal years 
     2008 through 2012'' and inserting ``Mandatory funding'';
       (ii) in subparagraph (B), by striking ``and'' at the end;
       (iii) in subparagraph (C), by striking the period at the 
     end and inserting ``; and''; and
       (iv) by adding at the end the following:
       ``(D) $30,000,000 for each of fiscal years 2014 through 
     2018.'';
       (B) by striking paragraphs (3) and (5);
       (C) by redesignating paragraph (4) as paragraph (6); and
       (D) by inserting after paragraph (2) the following:
       ``(3) Authorization of appropriations.--There is authorized 
     to be appropriated to carry out this section $10,000,000 for 
     each of fiscal years 2014 through 2018.
       ``(4) Use of funds.--Of the funds made available to carry 
     out this section for a fiscal year--
       ``(A) 50 percent of the funds shall be used for the 
     purposes described in subsection (b)(1); and
       ``(B) 50 percent of the funds shall be used for the 
     purposes described in subsection (b)(2).
       ``(5) Limitation on administrative expenses.--Not more than 
     4 percent of the total amount made available to carry out 
     this section for a fiscal year may be used for administrative 
     expenses.''.

     SEC. 10004. ORGANIC AGRICULTURE.

       (a) Organic Production and Market Data Initiatives.--
     Section 7407 of the Farm Security and Rural Investment Act of 
     2002 (7 U.S.C. 5925c) is amended--
       (1) in subsection (c)--
       (A) in the matter preceding paragraph (1), by inserting 
     ``and annually thereafter'' after ``this subsection'';
       (B) in paragraph (1), by striking ``and'' at the end;

[[Page 1937]]

       (C) by redesignating paragraph (2) as paragraph (3); and
       (D) by inserting after paragraph (1) the following:
       ``(2) describes how data collection agencies (such as the 
     Agricultural Marketing Service and the National Agricultural 
     Statistics Service) are coordinating with data user agencies 
     (such as the Risk Management Agency) to ensure that data 
     collected under this section can be used by data user 
     agencies, including by the Risk Management Agency to offer 
     price elections for all organic crops; and''; and
       (2) in subsection (d)--
       (A) by striking paragraph (3);
       (B) by redesignating paragraph (2) as paragraph (3);
       (C) by inserting after paragraph (1) the following:
       ``(2) Mandatory funding.--In addition to any funds made 
     available under paragraph (1), of the funds of the Commodity 
     Credit Corporation, the Secretary shall use to carry out this 
     section $5,000,000, to remain available until expended.''; 
     and
       (D) in paragraph (3) (as redesignated by subparagraph 
     (B))--
       (i) in the paragraph heading, by striking ``for fiscal 
     years 2008 through 2012'';
       (ii) by striking ``paragraph (1)'' and inserting 
     ``paragraphs (1) and (2)''; and
       (iii) by striking ``2012'' and inserting ``2018''.
       (b) Modernization and Technology Upgrade for National 
     Organic Program.--Section 2123 of the Organic Foods 
     Production Act of 1990 (7 U.S.C. 6522) is amended--
       (1) in subsection (b)--
       (A) in paragraph (5), by striking ``and'' at the end;
       (B) by redesignating paragraph (6) as paragraph (7); and
       (C) by inserting after paragraph (5) the following:
       ``(6) $15,000,000 for each of fiscal years 2014 through 
     2018; and''; and
       (2) by adding at the end the following:
       ``(c) Modernization and Technology Upgrade for National 
     Organic Program.--
       ``(1) In general.--The Secretary shall modernize database 
     and technology systems of the national organic program.
       ``(2) Funding.--Of the funds of the Commodity Credit 
     Corporation and in addition to any other funds made available 
     for that purpose, the Secretary shall make available to carry 
     out this subsection $5,000,000 for fiscal year 2014, to 
     remain available until expended.''.
       (c) National Organic Certification Cost-share Program.--
     Section 10606(d) of the Farm Security and Rural Investment 
     Act of 2002 (7 U.S.C. 6523(d)) is amended by striking 
     paragraph (1) and inserting the following:
       ``(1) Mandatory funding for fiscal years 2014 through 
     2018.--Of the funds of the Commodity Credit Corporation, the 
     Secretary shall make available to carry out this section 
     $11,500,000 for each of fiscal years 2014 through 2018, to 
     remain available until expended.''.
       (d) Exemption of Certified Organic Products From Promotion 
     Order Assessments.--Section 501 of the Federal Agriculture 
     Improvement and Reform Act of 1996 (7 U.S.C. 7401) is amended 
     by striking subsection (e) and inserting the following;
       ``(e) Exemption of Certified Organic Products From 
     Promotion Order Assessments.--
       ``(1) In general.--Notwithstanding any provision of a 
     commodity promotion law, a person that produces, handles, 
     markets, or imports organic products may be exempt from the 
     payment of an assessment under a commodity promotion law with 
     respect to any agricultural commodity that is certified as 
     `organic' or `100 percent organic' (as defined in part 205 of 
     title 7, Code of Federal Regulations (or a successor 
     regulation)).
       ``(2) Split operations.--The exemption described in 
     paragraph (1) shall apply to the certified `organic' or `100 
     percent organic' (as defined in part 205 of title 7 of the 
     Code of Federal Regulations (or a successor regulation)) 
     products of a producer, handler, or marketer regardless of 
     whether the agricultural commodity subject to the exemption 
     is produced, handled, or marketed by a person that also 
     produces, handles, or markets conventional or nonorganic 
     agricultural products, including conventional or nonorganic 
     agricultural products of the same agricultural commodity as 
     that for which the exemption is claimed.
       ``(3) Approval.--The Secretary shall approve the exemption 
     of a person under this subsection if the person maintains a 
     valid organic certificate issued under the Organic Foods 
     Production Act of 1990 (7 U.S.C. 6501 et seq.).
       ``(4) Termination of effectiveness.--This subsection shall 
     be effective until the date on which the Secretary issues an 
     organic commodity promotion order in accordance with 
     subsection (f).
       ``(5) Regulations.--The Secretary shall promulgate 
     regulations concerning eligibility and compliance for an 
     exemption under paragraph (1).''.
       (e) Organic Commodity Promotion Order.--Section 501 of the 
     Federal Agriculture Improvement and Reform Act of 1996 (7 
     U.S.C. 7401) is amended by adding at the end the following:
       ``(f) Organic Commodity Promotion Order.--
       ``(1) Definitions.--In this subsection:
       ``(A) Certified organic farm.--The term `certified organic 
     farm' has the meaning given the term in section 2103 of the 
     Organic Foods Production Act of 1990 (7 U.S.C. 6502).
       ``(B) Covered person.--The term `covered person' means a 
     producer, handler, marketer, or importer of an organic 
     agricultural commodity.
       ``(C) Dual-covered agricultural commodity.--The term `dual-
     covered agricultural commodity' means an agricultural 
     commodity that--
       ``(i) is produced on a certified organic farm; and
       ``(ii) is covered under both--

       ``(I) an organic commodity promotion order issued pursuant 
     to paragraph (2); and
       ``(II) any other agricultural commodity promotion order 
     issued under section 514.

       ``(2) Authorization.--The Secretary may issue an organic 
     commodity promotion order under section 514 that includes any 
     agricultural commodity that--
       ``(A) is produced or handled (as defined in section 2103 of 
     the Organic Foods Production Act of 1990 (7 U.S.C. 6502)) and 
     that is certified to be sold or labeled as `organic' or `100 
     percent organic' (as defined in part 205 of title 7, Code of 
     Federal Regulations (or a successor regulation)); or
       ``(B) is imported with a valid organic certificate (as 
     defined in that part).
       ``(3) Election.--If the Secretary issues an organic 
     commodity promotion order described in paragraph (2), a 
     covered person may elect, for applicable dual-covered 
     agricultural commodities and in the sole discretion of the 
     covered person, whether to be assessed under the organic 
     commodity promotion order or another applicable agricultural 
     commodity promotion order.
       ``(4) Regulations.--The Secretary shall promulgate 
     regulations concerning eligibility and compliance for an 
     exemption under paragraph (1).''.
       (f) Definition of Agricultural Commodity.--Section 513(1) 
     of the Commodity Promotion, Research, and Information Act of 
     1996 (7 U.S.C. 7412(1)) is amended--
       (1) by redesignating subparagraphs (E) and (F) as 
     subparagraphs (F) and (G), respectively; and
       (2) by inserting after subparagraph (D) the following:
       ``(E) products, as a class, that are--
       ``(i) produced on a certified organic farm (as defined in 
     section 2103 of the Organic Foods Production Act of 1990 (7 
     U.S.C. 6502)); and
       ``(ii) certified to be sold or labeled as `organic' or `100 
     percent organic' (as defined in part 205 of title 7, Code of 
     Federal Regulations (or a successor regulation));''.

     SEC. 10005. INVESTIGATIONS AND ENFORCEMENT OF THE ORGANIC 
                   FOODS PRODUCTION ACT OF 1990.

       (a) Recordkeeping by Certified Operations.--Section 2112 of 
     the Organic Foods Production Act of 1990 (7 U.S.C. 6511) is 
     amended by striking subsection (d).
       (b) Recordkeeping by Certifying Agents.--
       (1) In general.--Section 2116 of the Organic Foods 
     Production Act of 1990 (7 U.S.C. 6515) is amended--
       (A) by striking subsection (c);
       (B) by redesignating subsections (d) through (j) as 
     subsections (c) through (i), respectively; and
       (C) in subsection (d) (as so redesignated), in the matter 
     preceding paragraph (1), by striking ``subsection (d)'' and 
     inserting ``subsection (c)''.
       (2) Conforming amendment.--Section 2107(a)(8) of the 
     Organic Foods Production Act of 1990 (7 U.S.C. 6506(a)(8)) is 
     amended by striking ``section 2116(h)'' and inserting 
     ``section 2116(g)''.
       (c) Recordkeeping, Investigations, and Enforcement.--
     Section 2120 of the Organic Foods Production Act of 1990 (7 
     U.S.C. 6519) is amended to read as follows:

     ``SEC. 2120. RECORDKEEPING, INVESTIGATIONS, AND ENFORCEMENT.

       ``(a) Recordkeeping.--
       ``(1) In general.--Except as otherwise provided in this 
     title, each person who sells, labels, or represents any 
     agricultural product as having been produced or handled using 
     organic methods shall make available to the Secretary or the 
     applicable governing State official, on request by the 
     Secretary or official, all records associated with the 
     agricultural product.
       ``(2) Certified operations.--Each producer that operates a 
     certified organic farm or certified organic handling 
     operation under this title shall maintain, for a period of 
     not less than 5 years, all records concerning the production 
     or handling of any agricultural product sold or labeled as 
     organically produced under this title, including--
       ``(A) a detailed history of substances applied to fields or 
     agricultural products;
       ``(B) the name and address of each person who applied such 
     a substance; and
       ``(C) the date, rate, and method of application of each 
     such substance.
       ``(3) Certifying agents.--
       ``(A) Maintenance of records.--A certifying agent shall 
     maintain all records concerning the activities of the 
     certifying agent under this title for a period of not less 
     than 10 years.

[[Page 1938]]

       ``(B) Access for secretary.--A certifying agent shall 
     provide to the Secretary and the applicable governing State 
     official (or a representative) access to all records 
     concerning the activities of the certifying agent under this 
     title.
       ``(C) Transference of records.--If a private person that 
     was certified under this title is dissolved or loses 
     accreditation, all records and copies of records concerning 
     the activities of the person under this title shall be--
       ``(i) transferred to the Secretary; and
       ``(ii) made available to the applicable governing State 
     official.
       ``(4) Unlawful act.--It shall be unlawful and a violation 
     of this title for any person covered by this title to fail or 
     refuse to provide accurate information (including a delay in 
     the timely delivery of such information) required by the 
     Secretary under this title.
       ``(5) Confidentiality.--Except as provided in section 
     2107(a)(9), or as otherwise directed by the Secretary or the 
     Attorney General for enforcement purposes, no officer, 
     employee, or agent of the United States shall make available 
     to the public any information, statistic, or document 
     obtained from, or made available by, any person under this 
     title, other than in a manner that ensures that 
     confidentiality is preserved regarding--
       ``(A) the identity of all relevant persons (including 
     parties to a contract); and
       ``(B) proprietary business information.
       ``(b) Investigations.--
       ``(1) In general.--The Secretary may take such 
     investigative actions as the Secretary considers to be 
     necessary--
       ``(A) to verify the accuracy of any information reported or 
     made available under this title; and
       ``(B) to determine whether a person covered by this title 
     has committed a violation of any provision of this title, 
     including an order or regulation promulgated by the Secretary 
     pursuant to this title.
       ``(2) Specific investigative powers.--In carrying out this 
     title, the Secretary may--
       ``(A) administer oaths and affirmations;
       ``(B) subpoena witnesses;
       ``(C) compel attendance of witnesses;
       ``(D) take evidence; and
       ``(E) require the production of any records required to be 
     maintained under this title that are relevant to an 
     investigation.
       ``(c) Violations of Title.--
       ``(1) Misuse of label.--Any person who knowingly sells or 
     labels a product as organic, except in accordance with this 
     title, shall be subject to a civil penalty of not more than 
     $10,000.
       ``(2) False statement.--Any person who makes a false 
     statement under this title to the Secretary, a governing 
     State official, or a certifying agent shall be punished in 
     accordance with section 1001 of title 18, United States Code.
       ``(3) Ineligibility.--
       ``(A) In general.--Except as provided in subparagraph (C), 
     any person that carries out an activity described in 
     subparagraph (B), after notice and an opportunity to be 
     heard, shall not be eligible, for the 5-year period beginning 
     on the date of the occurrence, to receive a certification 
     under this title with respect to any farm or handling 
     operation in which the person has an interest.
       ``(B) Description of activities.--An activity referred to 
     in subparagraph (A) is--
       ``(i) making a false statement;
       ``(ii) attempting to have a label indicating that an 
     agricultural product is organically produced affixed to an 
     agricultural product that a person knows, or should have 
     reason to know, to have been produced or handled in a manner 
     that is not in accordance with this title; or
       ``(iii) otherwise violating the purposes of the applicable 
     organic certification program, as determined by the 
     Secretary.
       ``(C) Waiver.--Notwithstanding subparagraph (A), the 
     Secretary may modify or waive a period of ineligibility under 
     this paragraph if the Secretary determines that the 
     modification or waiver is in the best interests of the 
     applicable organic certification program established under 
     this title.
       ``(4) Reporting of violations.--A certifying agent shall 
     immediately report any violation of this title to the 
     Secretary or the applicable governing State official.
       ``(5) Violations by certifying agent.--A certifying agent 
     that is a private person that violates the provisions of this 
     title or falsely or negligently certifies any farming or 
     handling operation that does not meet the terms and 
     conditions of the applicable organic certification program as 
     an organic operation, as determined by the Secretary or the 
     applicable governing State official shall, after notice and 
     an opportunity to be heard--
       ``(A) lose accreditation as a certifying agent under this 
     title; and
       ``(B) be ineligible to be accredited as a certifying agent 
     under this title for a period of not less than 3 years, 
     beginning on the date of the determination.
       ``(6) Effect on other law.--Nothing in this title alters--
       ``(A) the authority of the Secretary concerning meat, 
     poultry and egg products under--
       ``(i) the Federal Meat Inspection Act (21 U.S.C. 601 et 
     seq.);
       ``(ii) the Poultry Products Inspection Act (21 U.S.C. 451 
     et seq.); or
       ``(iii) the Egg Products Inspection Act (21 U.S.C. 1031 et 
     seq.);
       ``(B) the authority of the Secretary of Health and Human 
     Services under the Federal Food, Drug, and Cosmetic Act (21 
     U.S.C. 301 et seq.); or
       ``(C) the authority of the Administrator of the 
     Environmental Protection Agency under the Federal 
     Insecticide, Fungicide, and Rodenticide Act (7 U.S.C. 136 et 
     seq.).''.

     SEC. 10006. FOOD SAFETY EDUCATION INITIATIVES.

       Section 10105(c) of the Food, Conservation, and Energy Act 
     of 2008 (7 U.S.C. 7655a(c)) is amended by striking ``2012'' 
     and inserting ``2018''.

     SEC. 10007. CONSOLIDATION OF PLANT PEST AND DISEASE 
                   MANAGEMENT AND DISASTER PREVENTION PROGRAMS.

       (a) Relocation of Legislative Language Relating to National 
     Clean Plant Network.--Section 420 of the Plant Protection Act 
     (7 U.S.C. 7721) is amended--
       (1) by redesignating subsection (e) as subsection (f); and
       (2) by inserting after subsection (d) the following:
       ``(e) National Clean Plant Network.--
       ``(1) In general.--The Secretary shall establish a program 
     to be known as the `National Clean Plant Network' (referred 
     to in this subsection as the `Program').
       ``(2) Requirements.--Under the Program, the Secretary shall 
     establish a network of clean plant centers for diagnostic and 
     pathogen elimination services--
       ``(A) to produce clean propagative plant material; and
       ``(B) to maintain blocks of pathogen-tested plant material 
     in sites located throughout the United States.
       ``(3) Availability of clean plant source material.--Clean 
     plant source material may be made available to--
       ``(A) a State for a certified plant program of the State; 
     and
       ``(B) private nurseries and producers.
       ``(4) Consultation and collaboration.--In carrying out the 
     Program, the Secretary shall--
       ``(A) consult with--
       ``(i) State departments of agriculture; and
       ``(ii) land-grant colleges and universities and NLGCA 
     Institutions (as those terms are defined in section 1404 of 
     the National Agricultural Research, Extension, and Teaching 
     Policy Act of 1977 (7 U.S.C. 3103)); and
       ``(B) to the extent practicable and with input from the 
     appropriate State officials and industry representatives, use 
     existing Federal or State facilities to serve as clean plant 
     centers.
       ``(5) Funding for fiscal year 2013.--There is authorized to 
     be appropriated to carry out the Program $5,000,000 for 
     fiscal year 2013.''.
       (b) Funding.--Subsection (f) of section 420 of the Plant 
     Protection Act (7 U.S.C. 7721) (as so redesignated) is 
     amended--
       (1) in paragraph (3), by striking ``and'' at the end;
       (2) in paragraph (4), by striking ``and each fiscal year 
     thereafter.'' and inserting a semicolon; and
       (3) by adding at the end the following:
       ``(5) $62,500,000 for each of fiscal years 2014 through 
     2017; and
       ``(6) $75,000,000 for fiscal year 2018 and each fiscal year 
     thereafter.''.
       (c) Repeal of Existing Provision.--Section 10202 of the 
     Food, Conservation, and Energy Act of 2008 (7 U.S.C. 7761) is 
     repealed.
       (d) Use of Funds for Clean Plant Network.--Section 420 of 
     the Plant Protection Act (7 U.S.C. 7721) (as amended by 
     subsection (a)), is amended by adding at the end the 
     following:
       ``(g) Use of Funds for Clean Plant Network.--Of the funds 
     made available under subsection (f) to carry out this section 
     for a fiscal year, not less than $5,000,000 shall be 
     available to carry out the National Clean Plant Network under 
     subsection (e).
       ``(h) Limitation on Indirect Costs for the Consolidation of 
     Plant Pest and Disease Management and Disaster Prevention 
     Programs.--Indirect costs charged against a cooperative 
     agreement under this section shall not exceed the lesser of--
       ``(1) 15 percent of the total Federal funds provided under 
     the cooperative agreement, as determined by the Secretary; 
     and
       ``(2) the indirect cost rate applicable to the recipient as 
     otherwise established by law.''.

     SEC. 10008. IMPORTATION OF SEED.

       Section 17(c) of the Federal Insecticide, Fungicide, and 
     Rodenticide Act (7 U.S.C. 136o(c)) is amended--
       (1) by striking ``The Secretary'' and inserting the 
     following:
       ``(1) In general.--The Secretary''; and
       (2) by adding at the end the following:
       ``(2) Importation of seed.--Notwithstanding any other 
     provision of law, no person is required to notify the 
     Administrator of the arrival of a plant-incorporated 
     protectant (as defined in section 174.3 of title 40, Code of 
     Federal Regulations (or any successor regulation)) that is 
     contained in a seed, if--
       ``(A) that plant-incorporated protectant is registered 
     under section 3;
       ``(B) the Administrator has issued an experimental use 
     permit for that plant-incorporated protectant under section 
     5; or
       ``(C) the seed is covered by a permit (as defined in part 
     340 of title 7, Code of Federal

[[Page 1939]]

     Regulations (or any successor regulation)) or a notification.
       ``(3) Cooperation.--
       ``(A) In general.--In response to a request from the 
     Administrator, the Secretary of Agriculture shall provide to 
     the Administrator a list of seed containing plant-
     incorporated protectants (as defined in section 174.3 of 
     title 40, Code of Federal Regulations (or any successor 
     regulation)) if the importation of that seed into the United 
     States has been approved under a permit or notification 
     referred to in paragraph (2).
       ``(B) Contents.--The list under subparagraph (A) shall be 
     provided in a form and at such intervals as may be agreed to 
     by the Secretary and the Administrator.
       ``(4) Applicability.--Nothing in this subsection precludes 
     or limits the authority of the Secretary of Agriculture with 
     respect to the importation or movement of plants, plant 
     products, or seeds under--
       ``(A) the Plant Protection Act (7 U.S.C.7701 et seq.); and
       ``(B) the Federal Seed Act (7 U.S.C. 1551 et seq.).''.

     SEC. 10009. BULK SHIPMENTS OF APPLES TO CANADA.

       (a) Bulk Shipment of Apples to Canada.--Section 4 of the 
     Export Apple Act (7 U.S.C. 584) is amended--
       (1) by striking ``Sec. 4.  Apples in'' and inserting the 
     following:

     ``SEC. 4. EXEMPTIONS.

       ``(a) In General.--Apples in''; and
       (2) by adding at the end the following:
       ``(b) Bulk Containers.--Apples may be shipped to Canada in 
     bulk containers without complying with the provisions of this 
     Act.''.
       (b) Definition of Bulk Container.--Section 9 of the Export 
     Apple Act (7 U.S.C. 589) is amended by adding at the end the 
     following:
       ``(5) The term `bulk container' means a container that 
     contains a quantity of apples weighing more than 100 
     pounds.''.
       (c) Regulations.--Not later than 60 days after the date of 
     enactment of this Act, the Secretary shall issue regulations 
     to carry out the amendments made by this section.

     SEC. 10010. SPECIALTY CROP BLOCK GRANTS.

       Section 101 of the Specialty Crops Competitiveness Act of 
     2004 (7 U.S.C. 1621 note; Public Law 108-465) is amended--
       (1) in subsection (a)--
       (A) by striking ``subsection (j)'' and inserting 
     ``subsection (l)''; and
       (B) by striking ``2012'' and inserting ``2018'';
       (2) by striking subsection (b) and inserting the following:
       ``(b) Grants Based on Value and Acreage.--Subject to 
     subsection (c), for each State whose application for a grant 
     for a fiscal year that is accepted by the Secretary under 
     subsection (f), the amount of the grant for that fiscal year 
     to the State under this section shall bear the same ratio to 
     the total amount made available under subsection (l)(1) for 
     that fiscal year as--
       ``(1) the average of the most recent available value of 
     specialty crop production in the State and the acreage of 
     specialty crop production in the State, as demonstrated in 
     the most recent Census of Agriculture data; bears to
       ``(2) the average of the most recent available value of 
     specialty crop production in all States and the acreage of 
     specialty crop production in all States, as demonstrated in 
     the most recent Census of Agriculture data.'';
       (3) by redesignating subsection (j) as subsection (l);
       (4) by inserting after subsection (i) the following:
       ``(j) Multistate Projects.--Not later than 180 days after 
     the effective date of the Agricultural Act of 2014, the 
     Secretary of Agriculture shall issue guidance for the purpose 
     of making grants to multistate projects under this section 
     for projects involving--
       ``(1) food safety;
       ``(2) plant pests and disease;
       ``(3) research;
       ``(4) crop-specific projects addressing common issues; and
       ``(5) any other area that furthers the purposes of this 
     section, as determined by the Secretary.
       ``(k) Administration.--
       ``(1) Department.--The Secretary of Agriculture may not use 
     more than 3 percent of the funds made available to carry out 
     this section for a fiscal year for administrative expenses.
       ``(2) States.--A State receiving a grant under this section 
     may not use more than 8 percent of the funds received under 
     the grant for a fiscal year for administrative expenses.''; 
     and
       (5) in subsection (l) (as redesignated by paragraph (3))--
       (A) by redesignating paragraphs (1), (2), and (3) as 
     subparagraphs (A), (B), and (C), respectively, and indenting 
     appropriately;
       (B) by striking ``Of the funds'' and inserting the 
     following:
       ``(1) In general.--Of the funds'';
       (C) in paragraph (1) (as so designated)--
       (i) in subparagraph (B) (as redesignated by subparagraph 
     (A)), by striking ``and'' at the end;
       (ii) in subparagraph (C) (as redesignated by subparagraph 
     (A)), by striking the period at the end and inserting a 
     semicolon; and
       (iii) by adding at the end the following:
       ``(D) $72,500,000 for each of fiscal years 2014 through 
     2017; and
       ``(E) $85,000,000 for fiscal year 2018 and each fiscal year 
     thereafter.''; and
       (D) by adding at the end the following:
       ``(2) Multistate projects.--Of the funds made available 
     under paragraph (1), the Secretary may use to carry out 
     subsection (j), to remain available until expended--
       ``(A) $1,000,000 for fiscal year 2014;
       ``(B) $2,000,000 for fiscal year 2015;
       ``(C) $3,000,000 for fiscal year 2016;
       ``(D) $4,000,000 for fiscal year 2017; and
       ``(E) $5,000,000 for fiscal year 2018.''.

     SEC. 10011. DEPARTMENT OF AGRICULTURE CONSULTATION REGARDING 
                   ENFORCEMENT OF CERTAIN LABOR LAW PROVISIONS.

       (a) In General.--Not later than 60 days after the date of 
     enactment of this Act, the Secretary shall consult with the 
     Secretary of Labor regarding the restraining of shipments of 
     agricultural commodities, or the confiscation of agricultural 
     commodities, by the Department of Labor for actual or 
     suspected labor law violations in order to consider--
       (1) the perishable nature of the commodities;
       (2) the impact of the restraining or confiscation on the 
     economic viability of farming operations; and
       (3) the competitiveness of specialty crops through grants 
     awarded to States under section 101 of the Specialty Crops 
     Competitiveness Act of 2004 (7 U.S.C. 1621 note; Public Law 
     108-465).
       (b) Report.--The Secretary of Labor shall submit to the 
     Committees on Agriculture and Education and Workforce of the 
     House of Representative and the Committees on Agriculture, 
     Nutrition, and Forestry and Health, Education, Labor, and 
     Pensions of the Senate a report that describes the number of 
     instances during the period of fiscal years 2008 through 2013 
     that the Department of Labor has contacted a purchaser of 
     perishable agricultural commodities to notify that purchaser 
     of an investigation or pending enforcement action against a 
     producer from whom the purchaser has purchased perishable 
     agricultural commodities.

     SEC. 10012. REPORT ON HONEY.

       (a) Report.--Not later than 180 days after the date of 
     enactment of this Act, the Secretary, in consultation with 
     persons affected by the potential establishment of a Federal 
     standard for the identity of honey, shall submit to the 
     Commissioner of Food and Drugs a report describing how an 
     appropriate Federal standard for the identity of honey would 
     be in the interest of consumers, the honey industry, and 
     United States agriculture.
       (b) Considerations.--In preparing the report required under 
     subsection (a), the Secretary shall take into consideration 
     the March 2006, Standard of Identity citizens petition filed 
     with the Food and Drug Administration, including any current 
     industry amendments or clarifications necessary to update 
     that petition.

     SEC. 10013. REPORTS TO CONGRESS.

       (a) In General.--Not later than 180 days and 1 year after 
     the date of enactment of this Act, the Administrator of the 
     Environmental Protection Agency and Secretaries of Commerce, 
     Agriculture and the Interior shall submit to the Committees 
     on Agriculture and Natural Resources of the House of 
     Representatives and the Committees on Agriculture, Nutrition, 
     and Forestry and Environment and Public Works of the Senate, 
     2 reports that describe approaches and actions taken by the 
     Environmental Protection Agency, the United States Fish and 
     Wildlife Service, and the National Marine Fisheries Service--
       (1) to implement recommendations, including an analysis of 
     how any identified delays to implementation will be overcome, 
     of the 2013 Expert Report authored by the National Research 
     Council of the National Academies entitled ``Assessing Risks 
     to Endangered and Threatened Species from Pesticides'';
       (2) to otherwise minimize delays in integrating--
       (A) the pesticide registration and registration review 
     requirements of sections 3 and 33 of the Federal Insecticide, 
     Fungicide, and Rodenticide Act (7 U.S.C. 136a, 136w-8); and
       (B) the species and habitat protection processes described 
     in sections 7 and 10 of the Endangered Species Act of 1973 
     (16 U.S.C. 1536, 1539); and
       (3) to ensure public participation and transparency during 
     the development, implementation, and evaluation of the 
     approaches to implement the recommendations contained in the 
     report described in paragraph (1).
       (b) Requirement for Final Report.--In addition to the 
     requirements of subsection (a), the final report submitted to 
     Congress under that subsection shall--
       (1) inform Congress of specific actions that have been and 
     will be taken to address the recommendations identified in 
     subsection (a)(1), including an evaluation to establish 
     that--
       (A) the approaches utilize the best available science;
       (B) reasonable and prudent alternatives within biological 
     opinions are technologically and economically feasible;
       (C) reasonable and prudent measures are necessary and 
     appropriate; and
       (D) the agencies ensure public participation and 
     transparency in the development of reasonable and prudent 
     alternatives and reasonable and prudent measures; and

[[Page 1940]]

       (2) update the study and report required by subsections (b) 
     and (c) of section 1010 of Public Law 100-478 (7 U.S.C. 136a 
     note).

     SEC. 10014. STAY OF REGULATIONS.

       Not later than 60 days after the date of enactment of this 
     Act, the Secretary shall lift the administrative stay imposed 
     under the rule of the Secretary entitled ``Christmas Tree 
     Promotion, Research, and Information Order; Stay of 
     Regulations'' and published by the Department of Agriculture 
     on November 17, 2011 (76 Fed. Reg. 71241), on the regulations 
     in subpart A of part 1214 of title 7, Code of Federal 
     Regulations, establishing an industry-funded promotion, 
     research, and information program for fresh-cut Christmas 
     trees.

     SEC. 10015. REGULATION OF SULFURYL FLUORIDE.

       Notwithstanding any other provision of law, the 
     Administrator of the Environmental Protection Agency shall 
     exclude nonpesticideal sources of fluoride from any aggregate 
     exposure assessment required under section 408 of the Federal 
     Food, Drug, and Cosmetic Act (21 U.S.C. 346a) when assessing 
     tolerances associated with residues from the pesticide.

     SEC. 10016. LOCAL FOOD PRODUCTION AND PROGRAM EVALUATION.

       (a) In General.--The Secretary shall--
       (1) collect data on--
       (A) the production and marketing of locally or regionally 
     produced agricultural food products; and
       (B) direct and indirect regulatory compliance costs 
     affecting the production and marketing of locally or 
     regionally produced agricultural food products;
       (2) facilitate interagency collaboration and data sharing 
     on programs relating to local and regional food systems;
       (3) monitor--
       (A) the effectiveness of programs designed to expand or 
     facilitate local food systems; and
       (B) barriers to local and regional market access due to 
     Federal regulation of small-scale production; and
       (4) evaluate the manner in which local food systems--
       (A) contribute to improving community food security; and
       (B) assist populations with limited access to healthy food.
       (b) Requirements.--In carrying out this section, the 
     Secretary shall, at a minimum--
       (1) collect and distribute comprehensive reporting of 
     prices and volume of locally or regionally produced 
     agricultural food products;
       (2) conduct surveys and analysis and publish reports 
     relating to the production, handling, distribution, retail 
     sales, and trend studies (including consumer purchasing 
     patterns) of or on locally or regionally produced 
     agricultural food products;
       (3) evaluate the effectiveness of existing programs in 
     growing local and regional food systems, including--
       (A) the impact of local food systems on job creation and 
     economic development;
       (B) the level of participation in the Farmers' Market and 
     Local Food Promotion Program established under section 6 of 
     the Farmer-to-Consumer Direct Marketing Act of 1976 (7 U.S.C. 
     3005), including the percentage of projects funded in 
     comparison to applicants and the types of eligible entities 
     receiving funds;
       (C) the ability of participants to leverage private capital 
     and a synopsis of the places from which non-Federal funds are 
     derived; and
       (D) any additional resources required to aid in the 
     development or expansion of local and regional food systems;
       (4) evaluate the impact that Federal regulation of small 
     commercial producers of agricultural food products intended 
     for local and regional consumption may have on--
       (A) local job creation and economic development;
       (B) access to local and regional fruit and vegetable 
     markets, including for new and beginning small commercial 
     producers; and
       (C) participation in--
       (i) supplier networks;
       (ii) high volume distribution systems; and
       (iii) retail sales outlets;
       (5) expand the Agricultural Resource Management Survey of 
     the Department to include questions on locally or regionally 
     produced agricultural food products; and
       (6) seek to establish or expand private-public partnerships 
     to facilitate, to the maximum extent practicable, the 
     collection of data on locally or regionally produced 
     agricultural food products, including the development of a 
     nationally coordinated and regionally balanced evaluation of 
     the redevelopment of locally or regionally produced food 
     systems.
       (c) Report.--Not later than 1 year after the date of 
     enactment of this Act and annually thereafter, the Secretary 
     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 describing the progress 
     that has been made in implementing this section and 
     identifying any additional needs and barriers related to 
     developing local and regional food systems.

     SEC. 10017. CLARIFICATION OF USE OF FUNDS FOR TECHNICAL 
                   ASSISTANCE.

       In the case of each program established or amended by this 
     title that is authorized or required to be carried out using 
     funds of the Commodity Credit Corporation, the use of those 
     funds to provide technical assistance shall not be considered 
     an allotment or fund transfer from the Commodity Credit 
     Corporation for purposes of the limit on expenditures for 
     technical assistance imposed by section 11 of the Commodity 
     Credit Corporation Charter Act (15 U.S.C. 714i).

                        TITLE XI--CROP INSURANCE

     SEC. 11001. INFORMATION SHARING.

       Section 502(c) of the Federal Crop Insurance Act (7 U.S.C. 
     1502(c)) is amended by adding at the end the following:
       ``(4) Information.--
       ``(A) Request.--Subject to subparagraph (B), the Farm 
     Service Agency shall, in a timely manner, provide to an agent 
     or an approved insurance provider authorized by the producer 
     any information (including Farm Service Agency Form 578s (or 
     any successor form)) or maps (or any corrections to those 
     forms or maps) that may assist the agent or approved 
     insurance provider in insuring the producer under a policy or 
     plan of insurance under this subtitle.
       ``(B) Privacy.--Except as provided in subparagraph (C), an 
     agent or approved insurance provider that receives the 
     information of a producer pursuant to subparagraph (A) shall 
     treat the information in accordance with paragraph (1).
       ``(C) Sharing.--Nothing in this section prohibits the 
     sharing of the information of a producer pursuant to 
     subparagraph (A) between the agent and the approved insurance 
     provider of the producer.''.

     SEC. 11002. PUBLICATION OF INFORMATION ON VIOLATIONS OF 
                   PROHIBITION ON PREMIUM ADJUSTMENTS.

       Section 508(a)(9) of the Federal Crop Insurance Act (7 
     U.S.C. 1508(a)(9)) is amended by adding at the end the 
     following:
       ``(C) Publication of violations.--
       ``(i) Publication required.--Subject to clause (ii), the 
     Corporation shall publish in a timely manner on the website 
     of the Risk Management Agency information regarding each 
     violation of this paragraph, including any sanctions imposed 
     in response to the violation, in sufficient detail so that 
     the information may serve as effective guidance to approved 
     insurance providers, agents, and producers.
       ``(ii) Protection of privacy.--In providing information 
     under clause (i) regarding violations of this paragraph, the 
     Corporation shall redact the identity of the persons and 
     entities committing the violations in order to protect the 
     privacy of those persons and entities.''.

     SEC. 11003. SUPPLEMENTAL COVERAGE OPTION.

       (a) Availability of Supplemental Coverage Option.--Section 
     508(c) of the Federal Crop Insurance Act (7 U.S.C. 1508(c)) 
     is amended by striking paragraph (3) and inserting the 
     following:
       ``(3) Yield and loss basis options.--A producer shall have 
     the option of purchasing additional coverage based on--
       ``(A)(i) an individual yield and loss basis; or
       ``(ii) an area yield and loss basis; or
       ``(B) an individual yield and loss basis, supplemented with 
     coverage based on an area yield and loss basis to cover a 
     part of the deductible under the individual yield and loss 
     policy, as described in paragraph (4)(C).''.
       (b) Level of Coverage.--Section 508(c) of the Federal Crop 
     Insurance Act (7 U.S.C. 1508(c)) is amended by striking 
     paragraph (4) and inserting the following:
       ``(4) Level of coverage.--
       ``(A) Dollar denomination and percentage of yield.--Except 
     as provided in subparagraph (C), the level of coverage--
       ``(i) shall be dollar denominated; and
       ``(ii) may be purchased at any level not to exceed 85 
     percent of the individual yield or 95 percent of the area 
     yield (as determined by the Corporation).
       ``(B) Information.--The Corporation shall provide producers 
     with information on catastrophic risk and additional coverage 
     in terms of dollar coverage (within the allowable limits of 
     coverage provided in this paragraph).
       ``(C) Supplemental coverage option.--
       ``(i) In general.--Notwithstanding subparagraph (A), in the 
     case of the supplemental coverage option described in 
     paragraph (3)(B), the Corporation shall offer producers the 
     opportunity to purchase coverage in combination with a policy 
     or plan of insurance offered under this subtitle that would 
     allow indemnities to be paid to a producer equal to a part of 
     the deductible under the policy or plan of insurance--

       ``(I) at a county-wide level to the fullest extent 
     practicable; or
       ``(II) in counties that lack sufficient data, on the basis 
     of such larger geographical area as the Corporation 
     determines to provide sufficient data for purposes of 
     providing the coverage.

       ``(ii) Trigger.--Coverage offered under paragraph (3)(B) 
     and clause (i) shall be triggered only if the losses in the 
     area exceed 14 percent of normal levels (as determined by the 
     Corporation).
       ``(iii) Coverage.--Subject to the trigger described in 
     clause (ii), coverage offered

[[Page 1941]]

     under paragraph (3)(B) and clause (i) shall not exceed the 
     difference between--

       ``(I) 86 percent; and
       ``(II) the coverage level selected by the producer for the 
     underlying policy or plan of insurance.

       ``(iv) Ineligible crops and acres.--Crops for which the 
     producer has elected under section 1116 of the Agricultural 
     Act of 2014 to receive agriculture risk coverage and acres 
     that are enrolled in the stacked income protection plan under 
     section 508B shall not be eligible for supplemental coverage 
     under this subparagraph.
       ``(v) Calculation of premium.--Notwithstanding subsection 
     (d), the premium for coverage offered under paragraph (3)(B) 
     and clause (i) shall--

       ``(I) be sufficient to cover anticipated losses and a 
     reasonable reserve; and
       ``(II) include an amount for operating and administrative 
     expenses established in accordance with subsection 
     (k)(4)(F).''.

       (c) Payment of Portion of Premium by Corporation.--Section 
     508(e)(2) of the Federal Crop Insurance Act (7 U.S.C. 
     1508(e)(2)) is amended by adding at the end the following:
       ``(H) In the case of the supplemental coverage option 
     authorized in subsection (c)(4)(C), the amount shall be equal 
     to the sum of--
       ``(i) 65 percent of the additional premium associated with 
     the coverage; and
       ``(ii) the amount determined under subsection 
     (c)(4)(C)(v)(II), subject to subsection (k)(4)(F), for the 
     coverage to cover operating and administrative expenses.''.
       (d) Application Date.--The Federal Crop Insurance 
     Corporation shall begin to provide additional coverage based 
     on an individual yield and loss basis, supplemented with 
     coverage based on an area yield and loss basis, as described 
     in the amendments made by this section, not later than for 
     the 2015 crop year.

     SEC. 11004. CROP MARGIN COVERAGE OPTION.

       Section 508(c)(3) of the Federal Crop Insurance Act (7 
     U.S.C. 1508(c)(3)) (as amended by section 11003) is amended--
       (1) in subparagraph (A)(ii), by striking ``or'' at the end;
       (2) in subparagraph (B), by striking the period at the end 
     and inserting ``; or''; and
       (3) by adding at the end the following:
       ``(C) a margin basis alone or in combination with the 
     coverages available under subparagraph (A) or (B).''.

     SEC. 11005. PREMIUM AMOUNTS FOR CATASTROPHIC RISK PROTECTION.

       Section 508(d)(2) of the Federal Crop Insurance Act (7 
     U.S.C. 1508(d)(2)) is amended by striking subparagraph (A) 
     and inserting the following:
       ``(A) In the case of catastrophic risk protection, the 
     amount of the premium established by the Corporation for each 
     crop for which catastrophic risk protection is available 
     shall be reduced by the percentage equal to the difference 
     between the average loss ratio for the crop and 100 percent, 
     plus a reasonable reserve, as determined by the 
     Corporation.''.

     SEC. 11006. PERMANENT ENTERPRISE UNIT SUBSIDY.

       Section 508(e)(5) of the Federal Crop Insurance Act (7 
     U.S.C. 1508(e)(5)) is amended by striking subparagraph (A) 
     and inserting the following:
       ``(A) In general.--The Corporation may pay a portion of the 
     premiums for plans or policies of insurance for which the 
     insurable unit is defined on a whole farm or enterprise unit 
     basis that is higher than would otherwise be paid in 
     accordance with paragraph (2).''.

     SEC. 11007. ENTERPRISE UNITS FOR IRRIGATED AND NONIRRIGATED 
                   CROPS.

       Section 508(e)(5) of the Federal Crop Insurance Act (7 
     U.S.C. 1508(e)(5)) is amended by adding at the end the 
     following:
       ``(D) Nonirrigated crops.--Beginning with the 2015 crop 
     year, the Corporation shall make available separate 
     enterprise units for irrigated and nonirrigated acreage of 
     crops in counties.''.

     SEC. 11008. DATA COLLECTION.

       Section 508(g)(2) of the Federal Crop Insurance Act (7 
     U.S.C. 1508(g)(2)) is amended by adding at the end the 
     following:
       ``(E) Sources of yield data.--To determine yields under 
     this paragraph, the Corporation--
       ``(i) shall use county data collected by the Risk 
     Management Agency, the National Agricultural Statistics 
     Service, or both; or
       ``(ii) if sufficient county data is not available, may use 
     other data considered appropriate by the Secretary.''.

     SEC. 11009. ADJUSTMENT IN ACTUAL PRODUCTION HISTORY TO 
                   ESTABLISH INSURABLE YIELDS.

       Section 508(g) of the Federal Crop Insurance Act (7 U.S.C. 
     1508(g)) (as amended by section 11008) is amended--
       (1) in paragraph (2)(A), by inserting ``and paragraph 
     (4)(C)'' after ``(B)''; and
       (2) in paragraph (4)--
       (A) by redesignating subparagraph (C) as subparagraph (D);
       (B) in subparagraph (D) (as so redesignated), by inserting 
     ``or (C)'' after ``(B)''; and
       (C) by inserting after subparagraph (B) the following:
       ``(C) Election to exclude certain history.--
       ``(i) In general.--Notwithstanding paragraph (2), with 
     respect to 1 or more of the crop years used to establish the 
     actual production history of an agricultural commodity of the 
     producer, the producer may elect to exclude any recorded or 
     appraised yield for any crop year in which the per planted 
     acre yield of the agricultural commodity in the county of the 
     producer was at least 50 percent below the simple average of 
     the per planted acre yield of the agricultural commodity in 
     the county during the previous 10 consecutive crop years.
       ``(ii) Contiguous counties.--In any crop year that a 
     producer in a county is eligible to make an election to 
     exclude a yield under clause (i), a producer in a contiguous 
     county is eligible to make such an election.
       ``(iii) Irrigation practice.--For purposes of determining 
     whether the per planted acre yield of the agricultural 
     commodity in the county of the producer was at least 50 
     percent below the simple average of the per planted acre 
     yield of the agricultural commodity in the county during the 
     previous 10 consecutive crop years, the Corporation shall 
     make a separate determination for irrigated and nonirrigated 
     acreage.''.

     SEC. 11010. SUBMISSION OF POLICIES AND BOARD REVIEW AND 
                   APPROVAL.

       (a) In General.--Section 508(h) of the Federal Crop 
     Insurance Act (7 U.S.C. 1508(h)) is amended--
       (1) in paragraph (1)--
       (A) by redesignating subparagraphs (A) and (B) as clauses 
     (i) and (ii), respectively, and indenting appropriately;
       (B) by striking ``(1) In general.--In addition'' and 
     inserting the following:
       ``(1) Authority to submit.--
       ``(A) In general.--In addition''; and
       (C) by adding at the end the following:
       ``(B) Review and submission by corporation.--The 
     Corporation shall review any policy developed under section 
     522(c) or any pilot program developed under section 523 and 
     submit the policy or program to the Board under this 
     subsection if the Corporation, at the sole discretion of the 
     Corporation, finds that the policy or program--
       ``(i) will likely result in a viable and marketable policy 
     consistent with this subsection;
       ``(ii) would provide crop insurance coverage in a 
     significantly improved form; and
       ``(iii) adequately protects the interests of producers.''; 
     and
       (2) by striking paragraph (3) and inserting the following:
       ``(3) Review and approval by the board.--
       ``(A) In general.--A policy, plan of insurance, or other 
     material submitted to the Board under this subsection shall 
     be reviewed by the Board and shall be approved by the Board 
     for reinsurance and for sale by approved insurance providers 
     to producers at actuarially appropriate rates and under 
     appropriate terms and conditions if the Board determines 
     that--
       ``(i) the interests of producers are adequately protected;
       ``(ii) the proposed policy or plan of insurance will--

       ``(I) provide a new kind of coverage that is likely to be 
     viable and marketable;
       ``(II) provide crop insurance coverage in a manner that 
     addresses a clear and identifiable flaw or problem in an 
     existing policy; or
       ``(III) provide a new kind of coverage for a commodity that 
     previously had no available crop insurance, or has 
     demonstrated a low level of participation or coverage level 
     under existing coverage; and

       ``(iii) the proposed policy or plan of insurance will not 
     have a significant adverse impact on the crop insurance 
     delivery system.
       ``(B) Consideration.--In approving policies or plans of 
     insurance, the Board shall in a timely manner--
       ``(i) first, consider policies or plans of insurance that 
     address underserved commodities, including commodities for 
     which there is no insurance;
       ``(ii) second, consider existing policies or plans of 
     insurance for which there is inadequate coverage or there 
     exists low levels of participation; and
       ``(iii) last, consider all policies or plans of insurance 
     submitted to the Board that do not meet the criteria 
     described in clause (i) or (ii).
       ``(C) Specified review and approval priorities.--In 
     reviewing policies and other materials submitted to the Board 
     under this subsection for approval, the Board--
       ``(i) shall make the development and approval of a revenue 
     policy for peanut producers a priority so that a revenue 
     policy is available to peanut producers in time for the 2015 
     crop year;
       ``(ii) shall make the development and approval of a margin 
     coverage policy for rice producers a priority so that a 
     margin coverage policy is available to rice producers in time 
     for the 2015 crop year; and
       ``(iii) may approve a submission that is made pursuant to 
     this subsection that would, beginning with the 2015 crop 
     year, allow producers that purchase policies in accordance 
     with subsection (e)(5)(A) to separate enterprise units by 
     risk rating for acreage of crops in counties.''.
       (b) Approval of Costs for Research and Development.--
     Section 522(b)(2) of the Federal Crop Insurance Act (7 U.S.C. 
     1522(b)(2)) is amended by striking subparagraph (E) and 
     inserting the following:
       ``(E) Approval.--

[[Page 1942]]

       ``(i) In general.--The Board may approve up to 50 percent 
     of the projected total research and development costs to be 
     paid in advance to an applicant, in accordance with the 
     procedures developed by the Board for the making of the 
     payments, if, after consideration of the reviewer reports 
     described in subparagraph (D) and such other information as 
     the Board determines appropriate, the Board determines that--

       ``(I) the concept, in good faith, will likely result in a 
     viable and marketable policy consistent with section 508(h);
       ``(II) at the sole discretion of the Board, the concept, if 
     developed into a policy and approved by the Board, would 
     provide crop insurance coverage--

       ``(aa) in a significantly improved form;
       ``(bb) to a crop or region not traditionally served by the 
     Federal crop insurance program; or
       ``(cc) in a form that addresses a recognized flaw or 
     problem in the program;

       ``(III) the applicant agrees to provide such reports as the 
     Corporation determines are necessary to monitor the 
     development effort;
       ``(IV) the proposed budget and timetable are reasonable, as 
     determined by the Board; and
       ``(V) the concept proposal meets any other requirements 
     that the Board determines appropriate.

       ``(ii) Waiver.--The Board may waive the 50-percent 
     limitation and, upon request of the submitter after the 
     submitter has begun research and development activities, the 
     Board may approve an additional 25 percent advance payment to 
     the submitter for research and development costs, if, at the 
     sole discretion of the Board, the Board determines that--

       ``(I) the intended policy or plan of insurance developed by 
     the submitter will provide coverage for a region or crop that 
     is underserved by the Federal crop insurance program, 
     including specialty crops; and
       ``(II) the submitter is making satisfactory progress 
     towards developing a viable and marketable policy or plan of 
     insurance consistent with section 508(h).''.

     SEC. 11011. CONSULTATION.

       Section 508(h)(4) of the Federal Crop Insurance Act (7 
     U.S.C. 1508(h)(4)) is amended by adding at the end the 
     following:
       ``(E) Consultation.--
       ``(i) Requirement.--As part of the feasibility and research 
     associated with the development of a policy or other material 
     for fruits and vegetables, tree nuts, dried fruits, and 
     horticulture and nursery crops (including floriculture), the 
     submitter prior to making a submission under this subsection 
     shall consult with groups representing producers of those 
     agricultural commodities in all major producing areas for the 
     commodities to be served or potentially impacted, either 
     directly or indirectly.
       ``(ii) Submission to the board.--Any submission made to the 
     Board under this subsection shall contain a summary and 
     analysis of the feasibility and research findings from the 
     impacted groups described in clause (i), including a summary 
     assessment of the support for or against development of the 
     policy and an assessment on the impact of the proposed policy 
     to the general marketing and production of the crop from both 
     a regional and national perspective.
       ``(iii) Evaluation by the board.--In evaluating whether the 
     interests of producers are adequately protected pursuant to 
     paragraph (3) with respect to a submission made under this 
     subsection, the Board shall review the information provided 
     pursuant to clause (ii) to determine if the submission will 
     create adverse market distortions with respect to the 
     production of commodities that are the subject of the 
     submission.''.

     SEC. 11012. BUDGET LIMITATIONS ON RENEGOTIATION OF THE 
                   STANDARD REINSURANCE AGREEMENT.

       Section 508(k)(8) of the Federal Crop Insurance Act (7 
     U.S.C. 1508(k)(8)) is amended by adding at the end the 
     following:
       ``(F) Budget.--
       ``(i) In general.--The Board shall ensure that any Standard 
     Reinsurance Agreement negotiated under subparagraph (A)(ii) 
     shall--

       ``(I) to the maximum extent practicable, be estimated as 
     budget neutral with respect to the total amount of payments 
     described in paragraph (9) as compared to the total amount of 
     such payments estimated to be made under the immediately 
     preceding Standard Reinsurance Agreement if that Agreement 
     were extended over the same period of time;
       ``(II) comply with the applicable provisions of this Act 
     establishing the rates of reimbursement for administrative 
     and operating costs for approved insurance providers and 
     agents, except that, to the maximum extent practicable, the 
     estimated total amount of reimbursement for those costs shall 
     not be less than the total amount of the payments to be made 
     under the immediately preceding Standard Reinsurance 
     Agreement if that Agreement were extended over the same 
     period of time, as estimated on the date of enactment of the 
     Agricultural Act of 2014; and

       ``(III) in no event significantly depart from budget 
     neutrality unless otherwise required by this Act.

       ``(ii) Use of savings.--To the extent that any budget 
     savings are realized in the renegotiation of a Standard 
     Reinsurance Agreement under subparagraph (A)(ii), and the 
     savings are determined not to be a significant departure from 
     budget neutrality under clause (i), the savings shall be used 
     to increase reimbursements or payments described under 
     paragraphs (4) and (9).''.

     SEC. 11013. TEST WEIGHT FOR CORN.

       Section 508(m) of the Federal Crop Insurance Act (7 U.S.C. 
     1508(m)) is amended by adding at the end the following:
       ``(6) Test weight for corn.--
       ``(A) In general.--The Corporation shall establish 
     procedures to allow insured producers not more than 120 days 
     to settle claims, in accordance with procedures established 
     by the Secretary, involving corn that is determined to have 
     low test weight.
       ``(B) Implementation.--As soon as practicable after the 
     date of enactment of this paragraph, the Corporation shall 
     implement subparagraph (A) on a regional basis based on 
     market conditions and the interests of producers.
       ``(C) Termination of effectiveness.--The authority provided 
     by this paragraph terminates effective on the date that is 5 
     years after the date on which subparagraph (A) is 
     implemented.''.

     SEC. 11014. CROP PRODUCTION ON NATIVE SOD.

       (a) Federal Crop Insurance.--Section 508(o) of the Federal 
     Crop Insurance Act (7 U.S.C. 1508(o)) is amended--
       (1) in paragraph (1)(B), by inserting ``, or the producer 
     cannot substantiate that the ground has ever been tilled,'' 
     after ``tilled'';
       (2) in paragraph (2)--
       (A) in the paragraph heading, by striking ``Ineligibility 
     for'' and inserting ``Reduction in'';
       (B) by striking subparagraph (A) and inserting the 
     following:
       ``(A) In general.--During the first 4 crop years of 
     planting, as determined by the Secretary, native sod acreage 
     that has been tilled for the production of an annual crop 
     after the date of enactment of the Agricultural Act of 2014 
     shall be subject to a reduction in benefits under this 
     subtitle as described in this paragraph.''; and
       (C) by adding at the end the following:
       ``(C) Administration.--
       ``(i) Reduction.--For purposes of the reduction in benefits 
     for the acreage described in subparagraph (A)--

       ``(I) the crop insurance guarantee shall be determined by 
     using a yield equal to 65 percent of the transitional yield 
     of the producer; and
       ``(II) the crop insurance premium subsidy provided for the 
     producer under this subtitle, except for coverage authorized 
     pursuant to subsection (b)(1), shall be 50 percentage points 
     less than the premium subsidy that would otherwise apply.

       ``(ii) Yield substitution.--During the period native sod 
     acreage is covered by this subsection, a producer may not 
     substitute yields for the native sod.'';
       (3) by striking paragraph (3) and inserting the following:
       ``(3) Application.--This subsection shall only apply to 
     native sod acreage in the States of Minnesota, Iowa, North 
     Dakota, South Dakota, Montana, and Nebraska.''.
       (b) Noninsured Crop Disaster Assistance.--Section 196(a)(4) 
     of the Federal Agriculture Improvement and Reform Act of 1996 
     (7 U.S.C. 7333(a)(4)) is amended--
       (1) in the paragraph heading, by striking ``ineligibility'' 
     and inserting ``reduction in benefits'';
       (2) in subparagraph (A)(ii), by inserting ``, or the 
     producer cannot substantiate that the ground has ever been 
     tilled,'' after ``tilled'';
       (3) in subparagraph (B)--
       (A) in the subparagraph heading, by striking 
     ``Ineligibility for'' and inserting ``Reduction in'';
       (B) by striking clause (i) and inserting the following:
       ``(i) In general.--During the first 4 crop years of 
     planting, as determined by the Secretary, native sod acreage 
     that has been tilled for the production of an annual crop 
     after the date of enactment of the Agricultural Act of 2014 
     shall be subject to a reduction in benefits under this 
     section as described in this subparagraph.''; and
       (C) by adding at the end the following:
       ``(iii) Reduction.--For purposes of the reduction in 
     benefits for the acreage described in clause (i)--

       ``(I) the approved yield shall be determined by using a 
     yield equal to 65 percent of the transitional yield of the 
     producer; and
       ``(II) the service fees or premiums for crops planted on 
     native sod shall be equal to 200 percent of the amount 
     determined in subsections (l)(2) or (k), as applicable, but 
     in no case shall exceed the amount determined in subsection 
     (l)(2)(B)(ii).''; and

       (4) by striking subparagraph (C) and inserting the 
     following:
       ``(C) Application.--This paragraph shall only apply to 
     native sod acreage in the States of Minnesota, Iowa, North 
     Dakota, South Dakota, Montana, and Nebraska.''.
       (c) Cropland Report.--
       (1) Baseline.--Not later than 180 days after the date of 
     enactment of this Act, the Secretary 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 that describes the cropland acreage in each 
     applicable county and State, and the change in cropland 
     acreage from the preceding year

[[Page 1943]]

     in each applicable county and State, beginning with calendar 
     year 2000 and including that information for the most recent 
     year for which that information is available.
       (2) Annual updates.--Not later than January 1, 2015, and 
     each January 1 thereafter through January 1, 2018, the 
     Secretary 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 that 
     describes--
       (A) the cropland acreage in each applicable county and 
     State as of the date of submission of the report; and
       (B) the change in cropland acreage from the preceding year 
     in each applicable county and State.

     SEC. 11015. COVERAGE LEVELS BY PRACTICE.

       Section 508 of the Federal Crop Insurance Act (7 U.S.C. 
     1508) is amended by adding at the end the following:
       ``(p) Coverage Levels by Practice.--Beginning with the 2015 
     crop year, a producer that produces an agricultural commodity 
     on both dry land and irrigated land may elect a different 
     coverage level for each production practice.''.

     SEC. 11016. BEGINNING FARMER AND RANCHER PROVISIONS.

       (a) Definition.--Section 502(b) of the Federal Crop 
     Insurance Act (7 U.S.C. 1502(b)) is amended--
       (1) by redesignating paragraphs (3) through (9) as 
     paragraphs (4) through (10), respectively; and
       (2) by inserting after paragraph (2) the following:
       ``(3) Beginning farmer or rancher.--The term `beginning 
     farmer or rancher' means a farmer or rancher who has not 
     actively operated and managed a farm or ranch with a bona 
     fide insurable interest in a crop or livestock as an owner-
     operator, landlord, tenant, or sharecropper for more than 5 
     crop years, as determined by the Secretary.''.
       (b) Premium Adjustments.--Section 508 of the Federal Crop 
     Insurance Act (7 U.S.C. 1508) is amended--
       (1) in subsection (b)(5)(E), by inserting ``and beginning 
     farmers or ranchers'' after ``limited resource farmers'';
       (2) in subsection (e), by adding at the end the following:
       ``(8) Premium for beginning farmers or ranchers.--
     Notwithstanding any other provision of this subsection 
     regarding payment of a portion of premiums, a beginning 
     farmer or rancher shall receive premium assistance that is 10 
     percentage points greater than premium assistance that would 
     otherwise be available under paragraphs (2) (except for 
     subparagraph (A) of that paragraph), (5), (6), and (7) for 
     the applicable policy, plan of insurance, and coverage level 
     selected by the beginning farmer or rancher.''; and
       (3) in subsection (g)--
       (A) in paragraph (2)(B)--
       (i) in clause (i), by striking ``or'' at the end;
       (ii) in clause (ii)(III), by striking the period at the end 
     and inserting ``; or''; and
       (iii) by adding at the end the following:
       ``(iii) if the producer is a beginning farmer or rancher 
     who was previously involved in a farming or ranching 
     operation, including involvement in the decisionmaking or 
     physical involvement in the production of the crop or 
     livestock on the farm, for any acreage obtained by the 
     beginning farmer or rancher, a yield that is the higher of--

       ``(I) the actual production history of the previous 
     producer of the crop or livestock on the acreage determined 
     under subparagraph (A); or
       ``(II) a yield of the producer, as determined in clause 
     (i).''; and

       (B) in paragraph (4)(B)(ii)--
       (i) by inserting ``(I)'' after ``(ii)'';
       (ii) by striking the period at the end and inserting ``; 
     or''; and
       (iii) by adding at the end the following:
       ``(II) in the case of beginning farmers or ranchers, 
     replace each excluded yield with a yield equal to 80 percent 
     of the applicable transitional yield.''.

     SEC. 11017. STACKED INCOME PROTECTION PLAN FOR PRODUCERS OF 
                   UPLAND COTTON.

       (a) Availability of Stacked Income Protection Plan for 
     Producers of Upland Cotton.--The Federal Crop Insurance Act 
     is amended by inserting after section 508A (7 U.S.C. 1508a) 
     the following:

     ``SEC. 508B. STACKED INCOME PROTECTION PLAN FOR PRODUCERS OF 
                   UPLAND COTTON.

       ``(a) Availability.--Beginning not later than the 2015 crop 
     of upland cotton, the Corporation shall make available to 
     producers of upland cotton an additional policy (to be known 
     as the `Stacked Income Protection Plan'), which shall provide 
     coverage consistent with the Group Risk Income Protection 
     Plan (and the associated Harvest Revenue Option Endorsement) 
     offered by the Corporation for the 2011 crop year.
       ``(b) Required Terms.--The Corporation may modify the 
     Stacked Income Protection Plan on a program-wide basis, 
     except that the Stacked Income Protection Plan shall comply 
     with the following requirements:
       ``(1) Provide coverage for revenue loss of not less than 10 
     percent and not more than 30 percent of expected county 
     revenue, specified in increments of 5 percent. The deductible 
     shall be the minimum percent of revenue loss at which 
     indemnities are triggered under the plan, not to be less than 
     10 percent of the expected county revenue.
       ``(2) Be offered to producers of upland cotton in all 
     counties with upland cotton production--
       ``(A) at a county-wide level to the fullest extent 
     practicable; or
       ``(B) in counties that lack sufficient data, on the basis 
     of such larger geographical area as the Corporation 
     determines to provide sufficient data for purposes of 
     providing the coverage.
       ``(3) Be purchased in addition to any other individual or 
     area coverage in effect on the producer's acreage or as a 
     stand-alone policy, except that if a producer has an 
     individual or area coverage for the same acreage, the maximum 
     coverage available under the Stacked Income Protection Plan 
     shall not exceed the deductible for the individual or area 
     coverage.
       ``(4) Establish coverage based on--
       ``(A) the expected price established under existing Group 
     Risk Income Protection or area wide policy offered by the 
     Corporation for the applicable county (or area) and crop 
     year; and
       ``(B) an expected county yield that is the higher of--
       ``(i) the expected county yield established for the 
     existing area-wide plans offered by the Corporation for the 
     applicable county (or area) and crop year (or, in geographic 
     areas where area-wide plans are not offered, an expected 
     yield determined in a manner consistent with those of area-
     wide plans); or
       ``(ii) the average of the applicable yield data for the 
     county (or area) for the most recent 5 years, excluding the 
     highest and lowest observations, from the Risk Management 
     Agency or the National Agricultural Statistics Service (or 
     both) or, if sufficient county data is not available, such 
     other data considered appropriate by the Secretary.
       ``(5) Use a multiplier factor to establish maximum 
     protection per acre (referred to as a `protection factor') of 
     not less than the higher of the level established on a 
     program wide basis or 120 percent.
       ``(6) Pay an indemnity based on the amount that the 
     expected county revenue exceeds the actual county revenue, as 
     applied to the individual coverage of the producer. 
     Indemnities under the Stacked Income Protection Plan shall 
     not include or overlap the amount of the deductible selected 
     under paragraph (1).
       ``(7) In all counties for which data are available, 
     establish separate coverage levels for irrigated and 
     nonirrigated practices.
       ``(c) Premium.--Notwithstanding section 508(d), the premium 
     for the Stacked Income Protection Plan shall--
       ``(1) be sufficient to cover anticipated losses and a 
     reasonable reserve; and
       ``(2) include an amount for operating and administrative 
     expenses established in accordance with section 508(k)(4)(F).
       ``(d) Payment of Portion of Premium by Corporation.--
     Subject to section 508(e)(4), the amount of premium paid by 
     the Corporation for all qualifying coverage levels of the 
     Stacked Income Protection Plan shall be--
       ``(1) 80 percent of the amount of the premium established 
     under subsection (c) for the coverage level selected; and
       ``(2) the amount determined under subsection (c)(2), 
     subject to section 508(k)(4)(F), for the coverage to cover 
     administrative and operating expenses.
       ``(e) Relation to Other Coverages.--The Stacked Income 
     Protection Plan is in addition to all other coverages 
     available to producers of upland cotton.''.
       (b) Conforming Amendment.--Section 508(k)(4)(F) of the 
     Federal Crop Insurance Act (7 U.S.C. 1508(k)(4)(F)) is 
     amended by inserting ``or authorized under subsection 
     (c)(4)(C) or section 508B'' after ``of this subparagraph''.

     SEC. 11018. PEANUT REVENUE CROP INSURANCE.

       The Federal Crop Insurance Act is amended by inserting 
     after section 508B (as added by section 11017), the 
     following:

     ``SEC. 508C. PEANUT REVENUE CROP INSURANCE.

       ``(a) In General.--Effective beginning with the 2015 crop 
     year, the Risk Management Agency and the Corporation shall 
     make available to producers of peanuts a revenue crop 
     insurance program for peanuts.
       ``(b) Effective Price.--Subject to subsection (c), for 
     purposes of the revenue crop insurance program and the 
     multiperil crop insurance program under this Act, the 
     effective price for peanuts shall be equal to the Rotterdam 
     price index for peanuts or other appropriate price as 
     determined by the Secretary, as adjusted to reflect the 
     farmer stock price of peanuts in the United States.
       ``(c) Adjustments.--
       ``(1) In general.--The effective price for peanuts 
     established under subsection (b) may be adjusted by the Risk 
     Management Agency and the Corporation to correct distortions.
       ``(2) Administration.--If an adjustment is made under 
     paragraph (1), the Risk Management Agency and the Corporation 
     shall--
       ``(A) make the adjustment in an open and transparent 
     manner; and
       ``(B) submit to the Committee on Agriculture of the House 
     of Representatives and the Committee on Agriculture, 
     Nutrition, and Forestry of the Senate a report that describes 
     the reasons for the adjustment.''.

[[Page 1944]]



     SEC. 11019. AUTHORITY TO CORRECT ERRORS.

       Section 515(c) of the Federal Crop Insurance Act (7 U.S.C. 
     1515(c)) is amended--
       (1) in the first sentence, by striking ``The Secretary'' 
     and inserting the following:
       ``(1) In general.--The Secretary'';
       (2) in the second sentence, by striking ``Beginning with'' 
     and inserting the following:
       ``(2) Frequency.--Beginning with''; and
       (3) by adding at the end the following:
       ``(3) Corrections.--
       ``(A) In general.--In addition to the corrections permitted 
     by the Corporation as of the day before the date of enactment 
     of the Agricultural Act of 2014, the Corporation shall 
     establish procedures that allow an agent or an approved 
     insurance provider, subject to subparagraph (B)--
       ``(i) within a reasonable amount of time following the 
     applicable sales closing date, to correct errors in 
     information that is provided by a producer for the purpose of 
     obtaining coverage under any policy or plan of insurance made 
     available under this subtitle to ensure that the eligibility 
     information is correct and consistent with information 
     reported by the producer for other programs administered by 
     the Secretary;
       ``(ii) within a reasonable amount of time following--

       ``(I) the acreage reporting date, to reconcile errors in 
     the information reported by the producer with correct 
     information determined from any other program administered by 
     the Secretary; or
       ``(II) the date of any subsequent correction of data by the 
     Farm Service Agency made as a result of the verification of 
     information, to make conforming corrections; and

       ``(iii) at any time, to correct electronic transmission 
     errors that were made by an agent or approved insurance 
     provider, or such errors made by the Farm Service Agency or 
     any other agency of the Department of Agriculture in 
     transmitting the information provided by the producer for 
     purposes of other programs of the Department to the extent an 
     agent or approved insurance provider relied upon the 
     erroneous information for crop insurance purposes.
       ``(B) Limitation.--In accordance with the procedures of the 
     Corporation, correction to the information described in 
     clauses (i) and (ii) of subparagraph (A) may only be made if 
     the corrections do not allow the producer--
       ``(i) to avoid ineligibility requirements for insurance or 
     obtain a disproportionate benefit under the crop insurance 
     program or any related program administered by the Secretary;
       ``(ii) to obtain, enhance, or increase an insurance 
     guarantee or indemnity if a cause of loss exists or has 
     occurred before any correction has been made, or avoid 
     premium owed if no loss is likely to occur; or
       ``(iii) to avoid an obligation or requirement under any 
     Federal or State law.
       ``(C) Exception to late filing sanctions.--Any corrections 
     made within a reasonable amount of time, in accordance with 
     established procedures, pursuant to this paragraph shall not 
     be subject to any late filing sanctions authorized in the 
     reinsurance agreement with the Corporation.
       ``(D) Late payment of debt.--In the case of a producer that 
     has inadvertently failed to pay a debt due as specified by 
     regulations of the Corporation and has been determined to be 
     ineligible for crop insurance pursuant to the terms of the 
     policy as a result of that failure, the Corporation may 
     determine to allow the producer to pay the debt and purchase 
     the crop insurance after the sales closing date, in 
     accordance with procedures and limitations established by the 
     Corporation.''.

     SEC. 11020. IMPLEMENTATION.

       Section 515 of the Federal Crop Insurance Act (7 U.S.C. 
     1515) is amended--
       (1) in subsection (j), by striking paragraph (1) and 
     inserting the following:
       ``(1) Systems maintenance and upgrades.--
       ``(A) In general.--The Secretary shall maintain and upgrade 
     the information management systems of the Corporation used in 
     the administration and enforcement of this subtitle.
       ``(B) Requirement.--
       ``(i) In general.--In maintaining and upgrading the 
     systems, the Secretary shall ensure that new hardware and 
     software are compatible with the hardware and software used 
     by other agencies of the Department to maximize data sharing 
     and promote the purposes of this section.
       ``(ii) Acreage report streamlining initiative project.--As 
     soon as practicable, the Secretary shall develop and 
     implement an acreage report streamlining initiative project 
     to allow producers to report acreage and other information 
     directly to the Department.''; and
       (2) in subsection (k), by striking paragraph (1) and 
     inserting the following:
       ``(1) Information technology.--
       ``(A) In general.--For purposes of subsection (j)(1), the 
     Corporation may use, from amounts made available from the 
     insurance fund established under section 516(c), not more 
     than--
       ``(i)(I) for fiscal year 2014, $14,000,000; and
       ``(II) for each of fiscal years 2015 through 2018, 
     $9,000,000; or
       ``(ii) if the Acreage Crop Reporting Streamlining 
     Initiative (ACRSI) project is substantially completed by 
     September 30, 2015, not more than $14,000,000 for each of the 
     fiscal years 2015 through 2018.
       ``(B) Notification.--The Secretary shall notify the 
     Committee on Agriculture of the House of Representatives and 
     the Committee on Agriculture, Nutrition, and Forestry of the 
     Senate of the substantial completion of the Acreage Crop 
     Reporting Streamlining Initiative (ACRSI) project not later 
     than July 1, 2015.''.

     SEC. 11021. CROP INSURANCE FRAUD.

       Section 516(b)(2) of the Federal Crop Insurance Act (7 
     U.S.C. 1516(b)(2)) is amended by adding at the end the 
     following:
       ``(C) Reviews, compliance, and integrity.--
       ``(i) In general.--For each of the 2014 and subsequent 
     reinsurance years, the Corporation may use the insurance fund 
     established under subsection (c), but not to exceed 
     $9,000,000 for each fiscal year, to pay costs--

       ``(I) to reimburse expenses incurred for the operations and 
     review of policies, plans of insurance, and related materials 
     (including actuarial and related information); and
       ``(II) to assist the Corporation in maintaining program 
     actuarial soundness and financial integrity.

       ``(ii) Secretarial action.--For the purposes described in 
     clause (i), the Secretary may, without further 
     appropriation--

       ``(I) merge some or all of the funds made available under 
     this subparagraph into the accounts of the Risk Management 
     Agency; and
       ``(II) obligate those funds.

       ``(iii) Maintenance of funding.--Funds made available under 
     this subparagraph shall be in addition to other funds made 
     available for costs incurred by the Corporation or the Risk 
     Management Agency.''.

     SEC. 11022. RESEARCH AND DEVELOPMENT PRIORITIES.

       (a) Authority to Conduct Research and Development, 
     Priorities.--Section 522(c) of the Federal Crop Insurance Act 
     (7 U.S.C. 1522(c)) is amended--
       (1) in the subsection heading, by striking ``Contracting'';
       (2) in paragraph (1), in the matter preceding subparagraph 
     (A), by striking ``may enter into contracts to carry out 
     research and development to'' and inserting ``may conduct 
     activities or enter into contracts to carry out research and 
     development to maintain or improve existing policies or 
     develop new policies to'';
       (3) in paragraph (2)--
       (A) in subparagraph (A), by inserting ``conduct research 
     and development or'' after ``The Corporation may''; and
       (B) in subparagraph (B), by inserting ``conducting research 
     and development or'' after ``Before'';
       (4) in paragraph (5), by inserting ``after expert review in 
     accordance with section 505(e)'' after ``approved by the 
     Board'';
       (5) in paragraph (6), by striking ``a pasture, range, and 
     forage program'' and inserting ``policies that increase 
     participation by producers of underserved agricultural 
     commodities, including sweet sorghum, biomass sorghum, rice, 
     peanuts, sugarcane, alfalfa, pennycress, dedicated energy 
     crops, and specialty crops'';
       (6) by redesignating paragraph (17) as paragraph (25); and
       (7) by inserting after paragraph (16), the following:
       ``(17) Margin coverage for catfish.--
       ``(A) In general.--The Corporation shall offer to enter 
     into a contract with a qualified entity to conduct research 
     and development regarding a policy to insure producers 
     against reduction in the margin between the market value of 
     catfish and selected costs incurred in the production of 
     catfish.
       ``(B) Eligibility.--Eligibility for the policy described in 
     subparagraph (A) shall be limited to freshwater species of 
     catfish that are propagated and reared in controlled or 
     selected environments.
       ``(C) Implementation.--The Board shall review the policy 
     described in subparagraph (B) under section 508(h) and 
     approve the policy if the Board finds that the policy--
       ``(i) will likely result in a viable and marketable policy 
     consistent with this subsection;
       ``(ii) would provide crop insurance coverage in a 
     significantly improved form;
       ``(iii) adequately protects the interests of producers; and
       ``(iv) meets other requirements of this subtitle determined 
     appropriate by the Board.
       ``(18) Biomass and sweet sorghum energy crop insurance 
     policies.--
       ``(A) In general.--The Corporation shall offer to enter 
     into 1 or more contracts with qualified entities to carry out 
     research and development regarding--
       ``(i) a policy to insure biomass sorghum that is grown 
     expressly for the purpose of producing a feedstock for 
     renewable biofuel, renewable electricity, or biobased 
     products; and
       ``(ii) a policy to insure sweet sorghum that is grown for a 
     purpose described in clause (i).
       ``(B) Research and development.--Research and development 
     with respect to each of the policies required in subparagraph 
     (A) shall evaluate the effectiveness of risk management tools 
     for the production of biomass sorghum or sweet sorghum, 
     including policies and plans of insurance that--
       ``(i) are based on market prices and yields;

[[Page 1945]]

       ``(ii) to the extent that insufficient data exist to 
     develop a policy based on market prices and yields, evaluate 
     the policies and plans of insurance based on the use of 
     weather indices, including excessive or inadequate rainfall, 
     to protect the interest of crop producers; and
       ``(iii) provide protection for production or revenue 
     losses, or both.
       ``(19) Study on swine catastrophic disease program.--
       ``(A) In general.--The Corporation shall contract with 1 or 
     more qualified entities to conduct a study to determine the 
     feasibility of insuring swine producers for a catastrophic 
     event.
       ``(B) Report.--Not later than 1 year after the date of the 
     enactment of this paragraph, the Corporation 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 that describes the results of the study 
     conducted under subparagraph (A).
       ``(20) Whole farm diversified risk management insurance 
     plan.--
       ``(A) In general.--Unless the Corporation approves a whole 
     farm insurance plan, similar to the plan described in this 
     paragraph, to be available to producers for the 2016 
     reinsurance year, the Corporation shall conduct activities or 
     enter into contracts to carry out research and development to 
     develop a whole farm risk management insurance plan, with a 
     liability limitation of $1,500,000, that allows a diversified 
     crop or livestock producer the option to qualify for an 
     indemnity if actual gross farm revenue is below 85 percent of 
     the average gross farm revenue or the expected gross farm 
     revenue that can reasonably be expected of the producer, as 
     determined by the Corporation.
       ``(B) Eligible producers.--The Corporation shall permit 
     producers (including direct-to-consumer marketers and 
     producers servicing local and regional and farm identity-
     preserved markets) who produce multiple agricultural 
     commodities, including specialty crops, industrial crops, 
     livestock, and aquaculture products, to participate in the 
     plan developed under subparagraph (A) in lieu of any other 
     plan under this subtitle.
       ``(C) Diversification.--The Corporation may provide 
     diversification-based additional coverage payment rates, 
     premium discounts, or other enhanced benefits in recognition 
     of the risk management benefits of crop and livestock 
     diversification strategies for producers that--
       ``(i) grow multiple crops; or
       ``(ii) may have income from the production of livestock 
     that uses a crop grown on the farm.
       ``(D) Market readiness.--The Corporation may include 
     coverage for the value of any packing, packaging, or any 
     other similar on-farm activity the Corporation determines to 
     be the minimum required in order to remove the commodity from 
     the field.
       ``(21) Study on poultry catastrophic disease program.--
       ``(A) In general.--The Corporation shall contract with a 
     qualified person to conduct a study to determine the 
     feasibility of insuring poultry producers for a catastrophic 
     event.
       ``(B) Report.--Not later than 1 year after the date of the 
     enactment of this paragraph, the Corporation 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 that describes the results of the study 
     conducted under subparagraph (A).
       ``(22) Poultry business interruption insurance policy.--
       ``(A) Definitions.--In this paragraph, the terms `poultry' 
     and `poultry grower' have the meanings given those terms in 
     section 2(a) of the Packers and Stockyards Act, 1921 (7 
     U.S.C. 182(a)).
       ``(B) Authority.--The Corporation shall offer to enter into 
     a contract or cooperative agreement with an institution of 
     higher education or other legal entity to carry out research 
     and development regarding a policy to insure the commercial 
     production of poultry against business interruptions caused 
     by integrator bankruptcy.
       ``(C) Research and development.--As part of the research 
     and development conducted pursuant to a contract or 
     cooperative agreement entered into under subparagraph (B), 
     the entity shall--
       ``(i) evaluate the market place for business interruption 
     insurance that is available to poultry growers;
       ``(ii) determine what statutory authority would be 
     necessary to implement a business interruption insurance 
     through the Corporation;
       ``(iii) assess the feasibility of a policy or plan of 
     insurance offered under this subtitle to insure against a 
     portion of losses due to business interruption or to the 
     bankruptcy of an business integrator; and
       ``(iv) analyze the costs to the Federal Government of a 
     Federal business interruption insurance program for poultry 
     growers or producers.
       ``(D) Deadline for contract or cooperative agreement.--Not 
     later than 180 days after the date of enactment of this 
     paragraph, the Corporation shall offer to enter into the 
     contract or cooperative agreement required by subparagraph 
     (B).
       ``(E) Deadline for completion of research and 
     development.--Not later than 1 year after the date of 
     enactment of this paragraph, the Corporation 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 that describes the results of the 
     research and development conducted pursuant to the contract 
     or cooperative agreement entered into under subparagraph 
     (B).]
       ``(23) Study of food safety insurance.--
       ``(A) In general.--The Corporation shall offer to enter 
     into a contract with 1 or more qualified entities to conduct 
     a study to determine whether offering policies that provide 
     coverage for specialty crops from food safety and 
     contamination issues would benefit agricultural producers.
       ``(B) Subject.--The study described in subparagraph (A) 
     shall evaluate policies and plans of insurance coverage that 
     provide protection for production or revenue impacted by food 
     safety concerns including, at a minimum, government, retail, 
     or national consumer group announcements of a health 
     advisory, removal, or recall related to a contamination 
     concern.
       ``(C) Report.--Not later than 1 year after the date of 
     enactment of this paragraph, the Corporation 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 that describes the results of the study 
     conducted under subparagraph (A).''.
       ``(24) Alfalfa crop insurance policy.--
       ``(A) In general.--The Corporation shall offer to enter 
     into 1 or more contracts with qualified entities to carry out 
     research and development regarding a policy to insure 
     alfalfa.
       ``(B) Report.--Not later than 1 year after the date of 
     enactment of this paragraph, the Corporation 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 that describes the results of the study 
     conducted under subparagraph (A).''.
       (b) Funding.--Section 522(e) of the Federal Crop Insurance 
     Act (7 U.S.C. 1522(e)) is amended--
       (1) in paragraph (2)--
       (A) in subparagraph (A)--
       (i) in the subparagraph heading, by striking ``Authority.--
     '' and inserting ``Conducting and contracting for research 
     and development.--''; and
       (ii) by inserting ``conduct research and development and'' 
     after ``the Corporation may use to''; and
       (B) in subparagraph (B), by inserting ``conduct research 
     and development and'' after ``for the fiscal year to'';
       (2) in paragraph (3), in the matter preceding subparagraph 
     (A), by striking ``to provide either reimbursement payments 
     or contract payments''; and
       (3) by striking paragraph (4).

     SEC. 11023. CROP INSURANCE FOR ORGANIC CROPS.

       (a) In General.--Section 508(c)(6) of the Federal Crop 
     Insurance Act (7 U.S.C. 1508(c)(6)) is amended by adding at 
     the end the following:
       ``(D) Organic crops.--
       ``(i) In general.--As soon as possible, but not later than 
     the 2015 reinsurance year, the Corporation shall offer 
     producers of organic crops price elections for all organic 
     crops produced in compliance with standards issued by the 
     Department of Agriculture under the national organic program 
     established under the Organic Foods Production Act of 1990 (7 
     U.S.C. 6501 et seq.) that reflect the actual retail or 
     wholesale prices, as appropriate, received by producers for 
     organic crops, as determined by the Secretary using all 
     relevant sources of information.
       ``(ii) Annual report.--The Corporation shall submit to the 
     Committee on Agriculture of the House of Representatives and 
     the Committee on Agriculture, Nutrition, and Forestry of the 
     Senate an annual report on progress made in developing and 
     improving Federal crop insurance for organic crops, 
     including--

       ``(I) the numbers and varieties of organic crops insured;
       ``(II) the progress of implementing the price elections 
     required under this subparagraph, including the rate at which 
     additional price elections are adopted for organic crops;
       ``(III) the development of new insurance approaches 
     relevant to organic producers; and
       ``(IV) any recommendations the Corporation considers 
     appropriate to improve Federal crop insurance coverage for 
     organic crops.''.

       (b) Conforming Amendment.--Section 522(c) of the Federal 
     Crop Insurance Act (7 U.S.C. 1522(c)) (as amended by section 
     11022) is amended--
       (1) by striking paragraph (10); and
       (2) by redesignating paragraphs (11) through (25) as 
     paragraphs (10) through (24), respectively.

     SEC. 11024. PROGRAM COMPLIANCE PARTNERSHIPS.

       (a) In General.--Section 522(d) of the Federal Crop 
     Insurance Act (7 U.S.C. 1522(d)) is amended by striking 
     paragraph (1) and inserting the following:
       ``(1) Purpose.--The purpose of this subsection is to 
     authorize the Corporation to enter into partnerships with 
     public and private entities for the purpose of either--

[[Page 1946]]

       ``(A) increasing the availability of loss mitigation, 
     financial, and other risk management tools for producers, 
     with a priority given to risk management tools for producers 
     of agricultural commodities covered by section 196 of the 
     Agricultural Market Transition Act (7 U.S.C. 7333), specialty 
     crops, and underserved agricultural commodities; or
       ``(B) improving analysis tools and technology regarding 
     compliance or identifying and using innovative compliance 
     strategies.''.
       (b) Objectives.--Section 522(d)(3) of the Federal Crop 
     Insurance Act (7 U.S.C. 1522(d)(3)) is amended--
       (1) in subparagraph (F), by striking ``and'' at the end;
       (2) by redesignating subparagraph (G) as subparagraph (H); 
     and
       (3) by inserting after subparagraph (F) the following:
       ``(G) to improve analysis tools and technology regarding 
     compliance or identifying and using innovative compliance 
     strategies; and''.

     SEC. 11025. PILOT PROGRAMS.

       Section 523(a) of the Federal Crop Insurance Act (7 U.S.C. 
     1523(a)) is amended--
       (1) in paragraph (1), by inserting ``, at the sole 
     discretion of the Corporation,'' after ``may''; and
       (2) by striking paragraph (5).

     SEC. 11026. INDEX-BASED WEATHER INSURANCE PILOT PROGRAM.

       Section 523 of the Federal Crop Insurance Act (7 U.S.C. 
     1523) is amended by adding at the end the following:
       ``(i) Underserved Crops and Regions Pilot Programs.--
       ``(1) Definition of livestock commodity.--In this 
     subsection, the term `livestock commodity' includes cattle, 
     sheep, swine, goats, and poultry, including pasture, 
     rangeland, and forage as a source of feed for that livestock.
       ``(2) Authorization.--Notwithstanding subsection (a)(2), 
     the Corporation may conduct 2 or more pilot programs to 
     provide producers of underserved specialty crops and 
     livestock commodities with index-based weather insurance, 
     subject to the requirements of this section.
       ``(3) Review and approval of submissions.--
       ``(A) In general.--The Board shall approve 2 or more 
     proposed policies or plans of insurance from approved 
     insurance providers if the Board determines that the policies 
     or plans provide coverage as specified in paragraph (2), and 
     meet the conditions described in this paragraph
       ``(B) Requirements.--To be eligible for approval under this 
     subsection, the approved insurance provider shall have--
       ``(i) adequate experience underwriting and administering 
     policies or plans of insurance that are comparable to the 
     proposed policy or plan of insurance;
       ``(ii) sufficient assets or reinsurance to satisfy the 
     underwriting obligations of the approved insurance provider, 
     and possess a sufficient insurance credit rating from an 
     appropriate credit rating bureau, in accordance with Board 
     procedures; and
       ``(iii) applicable authority and approval from each State 
     in which the approved insurance provider intends to sell the 
     insurance product.
       ``(C) Review requirements.--In reviewing applications under 
     this subsection, the Board shall conduct the review in a 
     manner consistent with the standards, rules, and procedures 
     for policies or plans of insurance submitted under section 
     508(h) and the actuarial soundness requirements applied to 
     other policies and plans of insurance made available under 
     this subtitle.
       ``(D) Prioritization.--The Board shall prioritize 
     applications that provide a new kind of coverage for 
     specialty crops and livestock commodities that previously had 
     no available crop insurance, or has demonstrated a low level 
     of participation under existing coverage.
       ``(4) Payment of premium support.--
       ``(A) In general.--The Corporation shall pay a portion of 
     the premium for producers that purchase a policy or plan of 
     insurance approved pursuant to this subsection.
       ``(B) Amount.--The premium subsidy shall provide a similar 
     dollar amount of premium subsidy per acre that the 
     Corporation pays for comparable policies or plans of 
     insurance reinsured under this subtitle, except that in no 
     case shall the premium subsidy exceed 60 percent of total 
     premium, as determined by the Corporation.
       ``(C) Calculation.--The premium subsidy, as determined by 
     the Corporation, shall be calculated as--
       ``(i) a percentage of premium;
       ``(ii) a percentage of expected loss determined pursuant to 
     a reasonable actuarial methodology; or
       ``(iii) a fixed dollar amount per acre.
       ``(D) Payment.--Subject to subparagraphs (B) and (C), the 
     premium subsidy under this subsection shall be paid by the 
     Corporation in the same manner and under the same terms and 
     conditions as premium subsidy for other policies and plans of 
     insurance.
       ``(E) Operating and administrative expense payments.--
       ``(i) In general.--Subject to clause (ii), operating and 
     administrative expense payments may be made for policies and 
     plans of insurance approved under this subsection in an 
     amount that is commensurate with similar policies and plans 
     of insurance reinsured under this subtitle, on the condition 
     that the operating and administrative expenses are not 
     included in premiums.
       ``(ii) Limitation.--Subject to subparagraph (F)(i), Federal 
     reinsurance, research and development costs, other 
     reimbursements, or maintenance fees shall not be provided or 
     collected for policies and plans of insurance approved under 
     this subsection.
       ``(F) Approved insurance providers.--Any policy or plan of 
     insurance approved under this subsection may be sold only by 
     the approved insurance provider that submits the application 
     and by any additional approved insurance provider that--
       ``(i) agrees to pay maintenance fees or other payments to 
     the approved insurance provider that submitted the 
     application in an amount agreed to by the applicant and the 
     additional approved insurance provider, on the condition that 
     the fees or payments shall be reasonable and appropriate to 
     ensure that the policies or plans of insurance may be made 
     available by additional approved insurance providers; and
       ``(ii) meets the eligibility criteria of paragraph (3)(B), 
     as determined by the Board.
       ``(G) Relationship to other provisions.--The requirements 
     of this paragraph shall apply notwithstanding paragraph (6).
       ``(5) Oversight.--The Corporation shall develop and publish 
     procedures to administer policies or plans of insurance 
     approved under this subsection that--
       ``(A) require each approved insurance provider to report 
     sales, acreage and claim data, and any other data that the 
     Corporation determines to be appropriate, to allow the 
     Corporation to evaluate sales and performance of the product; 
     and
       ``(B) contain such other requirements as the Corporation 
     determines necessary to ensure that the products--
       ``(i) do not have a significant adverse impact on the crop 
     insurance delivery system;
       ``(ii) are in the best interests of producers; and
       ``(iii) do not result in a reduction of program integrity.
       ``(6) Confidentiality.--
       ``(A) In general.--All reports required under paragraph (5) 
     and all other proprietary information and data generated or 
     derived from applicants under this subsection shall be 
     considered to be confidential commercial or financial 
     information for the purposes of section 552(b)(4) of title 5, 
     United States Code.
       ``(B) Standard.--If information concerning a proposal could 
     be withheld by the Secretary under the standard for 
     privileged or confidential information pertaining to trade 
     secrets and commercial or financial information under section 
     552(b)(4) of title 5, United States Code, the information 
     shall not be released to the public.
       ``(7) Ineligible purposes.--In no case shall a policy or 
     plan of insurance made available under this subsection 
     provide coverage substantially similar to privately available 
     hail insurance.
       ``(8) Funding.--
       ``(A) Limitation on expenditures.--Notwithstanding any 
     other provision in this subsection, of the funds of the 
     Corporation, the Corporation shall use to carry out this 
     section not more than $12,500,000 for each of fiscal years 
     2015 through 2018, to remain available until expended.
       ``(B) Relation to other programs.--The amount of funds made 
     available under this section shall be in addition to amounts 
     made available under other provisions of this subtitle, 
     including amounts made available under subsection (b).''.

     SEC. 11027. ENHANCING PRODUCER SELF-HELP THROUGH FARM 
                   FINANCIAL BENCHMARKING.

       (a) Definition.--Section 502(b) of the Federal Crop 
     Insurance Act (7 U.S.C. 1502(b)) (as amended by section 
     11016(a)(1)) is amended--
       (1) by redesignating paragraphs (7) through (10) as 
     paragraphs (8) through (11), respectively; and
       (2) by inserting after paragraph (6) the following:
       ``(7) Farm financial benchmarking.--The term `farm 
     financial benchmarking' means--
       ``(A) the process of comparing the performance of an 
     agricultural enterprise against the performance of other 
     similar enterprises, through the use of comparable and 
     reliable data, in order to identify business management 
     strengths, weaknesses, and steps necessary to improve 
     management performance and business profitability; and
       ``(B) benchmarking of the type conducted by farm management 
     and producer associations consistent with the activities 
     described in or funded pursuant to section 1672D of the Food, 
     Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 
     5925f).''.
       (b) Partnerships for Risk Management for Producers of 
     Specialty Crops and Underserved Agricultural Commodities.--
     Section 522(d)(3)(F) of the Federal Crop Insurance Act (7 
     U.S.C. 1522(d)(3)(F)) is amended by inserting ``farm 
     financial benchmarking,'' after ``management,''.
       (c) Crop Insurance Education and Risk Management 
     Assistance.--Section 524(a) of the Federal Crop Insurance Act 
     (7 U.S.C. 1524(a)) is amended--

[[Page 1947]]

       (1) in paragraph (3)(A), by inserting ``farm financial 
     benchmarking,'' after ``risk reduction,''; and
       (2) in paragraph (4), in the matter preceding subparagraph 
     (A), by inserting ``(including farm financial benchmarking)'' 
     after ``management strategies''.

     SEC. 11028. TECHNICAL AMENDMENTS.

       (a) Section 508 of the Federal Crop Insurance Act (7 U.S.C. 
     1508) is amended--
       (1) in subsection (b)--
       (A) by striking paragraph (7); and
       (B) by redesignating paragraphs (8) through (11) as 
     paragraphs (7) through (10), respectively;
       (2) in subsection (e)(2), in the matter preceding 
     subparagraph (A), by striking ``paragraph (3)'' and inserting 
     ``paragraphs (3), (6), and (7)''; and
       (3) in subsection (k)(8)(C), by striking ``subparagraph 
     (A)(iii)'' and inserting ``subparagraph (A)(ii)''.
       (b) Section 522 of the Federal Crop Insurance Act (7 U.S.C. 
     1522) is amended--
       (1) in subsection (b)(4)(A), by striking ``paragraphs (1)'' 
     and inserting ``paragraph (1)''; and
       (2) in subsection (e)(1), by adding a period at the end.
       (c) Section 531(d)(3)(A) of the Federal Crop Insurance Act 
     (7 U.S.C. 1531(d)(3)(A)) is amended--
       (1) by striking ``(A) Eligible losses.--'' and all that 
     follows through ``An eligible'' in clause (i) and inserting 
     the following:
       ``(A) Eligible losses.--An eligible'';
       (2) by striking clause (ii); and
       (3) by redesignating subclauses (I) and (II) as clauses (i) 
     and (ii), respectively, and indenting appropriately.
       (d) Section 901(d)(3)(A) of the Trade Act of 1974 (19 
     U.S.C. 2497(d)(3)(A)) is amended--
       (1) by striking ``(A) Eligible losses.--'' and all that 
     follows through ``An eligible'' in clause (i) and inserting 
     the following:
       ``(A) Eligible losses.--An eligible'';
       (2) by striking clause (ii); and
       (3) by redesignating subclauses (I) and (II) as clauses (i) 
     and (ii), respectively, and indenting appropriately.

                        TITLE XII--MISCELLANEOUS

                         Subtitle A--Livestock

     SEC. 12101. TRICHINAE CERTIFICATION PROGRAM.

       (a) Alternative Certification Process.--The Secretary of 
     Agriculture shall amend the rule made under paragraph (2) of 
     section 11010(a) of the Food, Conservation, and Energy Act of 
     2008 (7 U.S.C. 8304(a)) to implement the voluntary trichinae 
     certification program established under paragraph (1) of such 
     section, to include a requirement to establish an alternative 
     trichinae certification process based on surveillance or 
     other methods consistent with international standards for 
     categorizing compartments as having negligible risk for 
     trichinae.
       (b) Final Regulations.--Not later than one year after the 
     date on which the international standards referred to in 
     subsection (a) are adopted, the Secretary shall finalize the 
     rule amended under such subsection.
       (c) Reauthorization.--Section 10405(d)(1) of the Animal 
     Health Protection Act (7 U.S.C. 8304(d)(1)) is amended in 
     subparagraphs (A) and (B) by striking ``2012'' each place it 
     appears and inserting ``2018''.

     SEC. 12102. SHEEP PRODUCTION AND MARKETING GRANT PROGRAM.

       (a) In General.--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. SHEEP PRODUCTION AND MARKETING GRANT PROGRAM.

       ``(a) Establishment.--The Secretary of Agriculture, acting 
     through the Administrator of the Agricultural Marketing 
     Service, shall establish a competitive grant program for the 
     purposes of strengthening and enhancing the production and 
     marketing of sheep and sheep products in the United States, 
     including through--
       ``(1) the improvement of--
       ``(A) infrastructure;
       ``(B) business; and
       ``(C) resource development; and
       ``(2) the development of innovative approaches to solve 
     long-term needs.
       ``(b) Eligibility.--The Secretary shall make grants under 
     this section to at least one national entity, the mission of 
     which is consistent with the purpose of the grant program.
       ``(c) Funding.--Of the funds of the Commodity Credit 
     Corporation, the Secretary shall use to carry out this 
     section $1,500,000 for fiscal year 2014, to remain available 
     until expended.''.
       (b) Conforming Amendment.--Section 375 of the Consolidated 
     Farm and Rural Development Act (7 U.S.C. 2008j) (as in 
     existence on the day before the date of the enactment of this 
     Act) is--
       (1) amended in subsection (e)--
       (A) in paragraph (3)(D), by striking ``3 percent'' and 
     inserting ``10 percent''; and
       (B) by striking paragraph (6);
       (2) redesignated as section 210 of the Agricultural 
     Marketing Act of 1946; and
       (3) moved so as to appear at the end of subtitle A of that 
     Act (as amended by subsection (a)).

     SEC. 12103. NATIONAL AQUATIC ANIMAL HEALTH PLAN.

       Section 11013(d) of the Food, Conservation, and Energy Act 
     of 2008 (7 U.S.C. 8322(d)) is amended by striking ``2012'' 
     and inserting ``2018''.

     SEC. 12104. COUNTRY OF ORIGIN LABELING.

       (a) Economic Analysis.--
       (1) In general.--Not later than 180 days after the date of 
     the enactment of this Act, the Secretary of Agriculture, 
     acting through the Office of the Chief Economist, shall 
     conduct an economic analysis of the final rule entitled 
     ``Mandatory Country of Origin Labeling of Beef, Pork, Lamb, 
     Chicken, Goat Meat, Wild and Farm-raised Fish and Shellfish, 
     Perishable Agricultural Commodities, Peanuts, Pecans, Ginseng 
     and Macadamia Nuts'' published by the Department of 
     Agriculture on May 24, 2013 (78 Fed. Reg. 31367) that makes 
     certain amendments to parts 60 and 65 of title 7, Code of 
     Federal Regulations.
       (2) Contents.--The economic analysis described in 
     subsection (a) shall include, with respect to the labeling of 
     beef, pork, and chicken, an analysis of the impact on 
     consumers, producers, and packers in the United States of--
       (A) the implementation of subtitle D of the Agricultural 
     Marketing Act of 1946 (7 U.S.C. 1638 et seq.); and
       (B) the final rule referred to in subsection (a).
       (b) Applying Country of Origin Labeling Requirements to 
     Venison.--
       (1) Definition of covered commodity.--Section 281(2)(A) of 
     the Agricultural Marketing Act of 1946 (7 U.S.C. 1638(2)(A)) 
     is amended--
       (A) in clause (i), by striking ``and pork'' and inserting 
     ``pork, and venison''; and
       (B) in clause (ii), by striking ``and ground pork'' and 
     inserting ``ground pork, and ground venison''.
       (2) Notice of country of origin.--Section 282(a)(2) of the 
     Agricultural Marketing Act of 1946 (7 U.S.C. 1638a(a)(2)) is 
     amended--
       (A) in the heading, by striking ``and goat'' and inserting 
     ``goat, and venison'';
       (B) by striking ``or goat'' and inserting ``goat, or 
     venison'' each place it appears in subparagraphs (A), (B), 
     (C), and (D); and
       (C) in subparagraph (E)--
       (i) in the heading, by striking ``and goat'' and inserting 
     ``goat, and venison''; and
       (ii) by striking ``or ground goat'' each place it appears 
     and inserting ``ground goat, or ground venison''.

     SEC. 12105. NATIONAL ANIMAL HEALTH LABORATORY NETWORK.

       The Animal Health Protection Act is amended by inserting 
     after section 10409 (7 U.S.C. 8308) the following new 
     section:

     ``SEC. 10409A. NATIONAL ANIMAL HEALTH LABORATORY NETWORK.

       ``(a) Definition of Eligible Laboratory.--In this section, 
     the term `eligible laboratory' means a diagnostic laboratory 
     that meets specific criteria developed by the Secretary, in 
     consultation with State animal health officials, State 
     veterinary diagnostic laboratories, and veterinary diagnostic 
     laboratories at institutions of higher education (as defined 
     in section 101 of the Higher Education Act of 1965 (20 U.S.C. 
     1001)).
       ``(b) In General.--The Secretary, in consultation with 
     State veterinarians, shall offer to enter into contracts, 
     grants, cooperative agreements, or other legal instruments 
     with eligible laboratories for any of the following purposes:
       ``(1) To enhance the capability of the Secretary to respond 
     in a timely manner to emerging or existing bioterrorist 
     threats to animal health.
       ``(2) To provide the capacity and capability for 
     standardized--
       ``(A) test procedures, reference materials, and equipment;
       ``(B) laboratory biosafety and biosecurity levels;
       ``(C) quality management system requirements;
       ``(D) interconnected electronic reporting and transmission 
     of data; and
       ``(E) evaluation for emergency preparedness.
       ``(3) To coordinate the development, implementation, and 
     enhancement of national veterinary diagnostic laboratory 
     capabilities, with special emphasis on surveillance planning 
     and vulnerability analysis, technology development and 
     validation, training, and outreach.
       ``(c) Priority.--To the extent practicable and to the 
     extent capacity and specialized expertise may be necessary, 
     the Secretary shall give priority to existing Federal 
     facilities, State facilities, and facilities at institutions 
     of higher education.
       ``(d) Authorization of Appropriations.--There are 
     authorized to be appropriated to carry out this section 
     $15,000,000 for each of fiscal years 2014 through 2018.''.

     SEC. 12106. FOOD SAFETY INSPECTION.

       (a) Inspections.--
       (1) In general.--Section 1(w) of the Federal Meat 
     Inspection Act (21 U.S.C. 601(w)) is amended by striking 
     paragraph (2) and inserting the following:
       ``(2) all fish of the order Siluriformes; and''.
       (2) Conditions.--Section 6 of the Federal Meat Inspection 
     Act (21 U.S.C. 606) is amended by striking subsection (b) and 
     inserting the following:
       ``(b) Certain Fish.--In the case of an examination and 
     inspection under subsection (a)

[[Page 1948]]

     of a meat food product derived from any fish described in 
     section 1(w)(2), the Secretary shall take into account the 
     conditions under which the fish is raised and transported to 
     a processing establishment.''.
       (3) Inapplicability.--Section 25 of the Federal Meat 
     Inspection Act (21 U.S.C. 625) is amended by striking ``not 
     apply'' and all that follows and inserting ``not apply to any 
     fish described in section 1(w)(2).''.
       (4) Conforming amendment.--Section 203(n) of the 
     Agricultural Marketing Act of 1946 (7 U.S.C. 1622(n)) is 
     amended by striking paragraph (1) and inserting the 
     following:
       ``(1) all fish of the order Siluriformes; and''.
       (b) Implementation.--
       (1) In general.--The Secretary shall--
       (A) not later than 60 days after the date of enactment of 
     this Act, issue final regulations to carry out the amendments 
     made by section 11016(b)(1) of the Food, Conservation, and 
     Energy Act of 2008 (Public Law 110-246; 122 Stat. 2130), as 
     further clarified by the amendments made by this section; and
       (B) not later than 1 year after the date of enactment of 
     this Act, implement the amendments described in subparagraph 
     (A).
       (2) Notification.--Beginning 30 days after the date of 
     enactment of this Act and every 30 days thereafter until the 
     date of full implementation of the amendments described in 
     paragraph (1)(A), the Secretary shall submit a report 
     describing the status of implementation to--
       (A) the Committee on Agriculture of the House of 
     Representatives;
       (B) the Committee on Agriculture, Nutrition and Forestry of 
     the Senate;
       (C) the Subcommittee on Agriculture, Rural Development, 
     Food and Drug Administration, and Related Agencies of the 
     Committee on Appropriations of the House of Representatives; 
     and
       (D) the Subcommittee on Agriculture, Rural Development, and 
     Related Agencies of the Committee on Appropriations of the 
     Senate.
       (3) Procedure.--Section 1601(c)(2) applies to the 
     promulgation of the regulations and administration of this 
     section and the amendments made by this section.
       (4) Conforming amendment.--Section 11016(b) of the Food, 
     Conservation, and Energy Act of 2008 (Public Law 110-246; 122 
     Stat. 2130) is amended by striking paragraph (2) and 
     inserting the following:
       ``(2) Implementation.--
       ``(A) Regulations.--Not later than 60 days after the date 
     of enactment of the Agricultural Act of 2014, the Secretary, 
     in consultation with the Commissioner of Food and Drugs, 
     shall issue final regulations to carry out the amendments 
     made by paragraph (1) and section 12106 of that Act in a 
     manner that ensures that there is no duplication in 
     inspection activities.
       ``(B) Interagency coordination.--Not later than 60 days 
     after the date of enactment of the Agricultural Act of 2014, 
     the Secretary shall execute a memorandum of understanding 
     with the Commissioner of Food and Drugs for the following 
     purposes:
       ``(i) To improve interagency cooperation on food safety and 
     fraud prevention, building upon any other prior agreements, 
     including provisions, performance metrics, and timelines as 
     appropriate.
       ``(ii) To maximize the effectiveness of limited personnel 
     and resources by ensuring that--

       ``(I) inspections conducted by the Department satisfy 
     requirements under the Federal Food, Drug, and Cosmetic Act 
     (21 U.S.C. 301 et seq.);
       ``(II) inspections of shipments and processing facilities 
     for fish of the order Siluriformes by the Department and the 
     Food and Drug Administration are not duplicative; and
       ``(III) any information resulting from examination, 
     testing, and inspections conducted is considered in making 
     risk-based determinations, including the establishment of 
     inspection priorities.''.

       (c) Effective Date.--This section and the amendments made 
     by this section shall take effect as if enacted as part of 
     section 11016(b) of the Food, Conservation, and Energy Act of 
     2008 (Public Law 110-246; 122 Stat. 2130).

     SEC. 12107. NATIONAL POULTRY IMPROVEMENT PLAN.

       The Secretary of Agriculture shall ensure that the 
     Department of Agriculture continues to administer the 
     diagnostic surveillance program for H5/H7 low pathogenic 
     avian influenza with respect to commercial poultry under 
     section 146.14 of title 9, Code of Federal Regulations (or a 
     successor regulation), without amending the regulations in 
     section 147.43 of title 9, Code of Federal Regulations (as in 
     effect on the date of the enactment of this Act), with 
     respect to the governance of the General Conference Committee 
     established under such section. The Secretary of Agriculture 
     shall maintain--
       (1) the operations of the General Conference Committee--
       (A) in the physical location at which the Committee was 
     located on the date of the enactment of this Act; and
       (B) with the organizational structure within the Department 
     of Agriculture in effect as of such date; and
       (2) the funding levels for the National Poultry Improvement 
     Plan for Commercial Poultry (established under part 146 of 
     title 9, Code of Federal Regulations, or a successor 
     regulation) at the fiscal year 2013 funding levels for the 
     Plan.

     SEC. 12108. SENSE OF CONGRESS REGARDING FERAL SWINE 
                   ERADICATION.

       It is the sense of the Congress that--
       (1) the Secretary of Agriculture should recognize the 
     threat feral swine pose to the domestic swine population and 
     the entire agriculture industry; and
       (2) feral swine eradication is a high priority that the 
     Secretary should carry out under the authorities of the 
     Animal Health Protection Act (7 U.S.C. 8301 et seq.).

   Subtitle B--Socially Disadvantaged Producers and Limited Resource 
                               Producers

     SEC. 12201. OUTREACH AND ASSISTANCE FOR SOCIALLY 
                   DISADVANTAGED FARMERS AND RANCHERS AND VETERAN 
                   FARMERS AND RANCHERS.

       (a) Outreach and Assistance for Socially Disadvantaged 
     Farmers and Ranchers and Veteran Farmers and Ranchers.--
     Section 2501 of the Food, Agriculture, Conservation, and 
     Trade Act of 1990 (7 U.S.C. 2279) is amended--
       (1) in the section heading, by inserting ``and veteran 
     farmers and ranchers'' after ``ranchers'';
       (2) in subsection (a)--
       (A) in paragraph (1), in the matter preceding subparagraph 
     (A), by inserting ``and veteran farmers or ranchers'' after 
     ``ranchers'';
       (B) in paragraph (2)(B)(i), by inserting ``and veteran 
     farmers or ranchers'' after ``ranchers''; and
       (C) in paragraph (4)--
       (i) in subparagraph (A)--

       (I) in the subparagraph heading, by striking ``2012'' and 
     inserting ``2018'';
       (II) in clause (i), by striking ``and'' at the end;
       (III) in clause (ii), by striking the period at the end and 
     inserting ``; and''; and
       (IV) by adding at the end the following new clause:

       ``(iii) $10,000,000 for each of fiscal years 2014 through 
     2018.''; and
       (ii) by adding at the end the following new subparagraph:
       ``(E) Authorization of appropriations.--There are 
     authorized to be appropriated to carry out this section 
     $20,000,000 for each of fiscal years 2014 through 2018.'';
       (3) in subsection (b)(2), by inserting ``or veteran farmers 
     and ranchers'' after ``socially disadvantaged farmers and 
     ranchers'';
       (4) in subsection (c)--
       (A) in paragraph (1)(A), by inserting ``veteran farmers or 
     ranchers and'' before ``members''; and
       (B) in paragraph (2)(A), by inserting ``veteran farmers or 
     ranchers and'' before ``members''; and
       (5) in subsection (e)(5)(A)--
       (A) in clause (i), by inserting ``and veteran farmers or 
     ranchers'' after ``ranchers''; and
       (B) in clause (ii), by inserting ``and veteran farmers or 
     ranchers'' after ``ranchers''.
       (b) Definition of Veteran Farmer or Rancher.--Section 
     2501(e) of the Food, Agriculture, Conservation, and Trade Act 
     of 1990 (7 U.S.C. 2279(e)) is amended by adding at the end 
     the following new paragraph:
       ``(7) Veteran farmer or rancher.--The term `veteran farmer 
     or rancher' means a farmer or rancher who has served in the 
     Armed Forces (as defined in section 101(10) of title 38 
     United States Code) and who--
       ``(A) has not operated a farm or ranch; or
       ``(B) has operated a farm or ranch for not more than 10 
     years.''.

     SEC. 12202. OFFICE OF ADVOCACY AND OUTREACH.

       Paragraph (3) of section 226B(f) of the Department of 
     Agriculture Reorganization Act of 1994 (7 U.S.C. 6934(f)) is 
     amended to read as follows:
       ``(3) Authorization of appropriations.--There are 
     authorized to be appropriated to carry out this subsection--
       ``(A) such sums as are necessary for each of fiscal years 
     2009 through 2013; and
       ``(B) $2,000,000 for each of fiscal years 2014 through 
     2018.''.

     SEC. 12203. SOCIALLY DISADVANTAGED FARMERS AND RANCHERS 
                   POLICY RESEARCH CENTER.

       Section 2501 of the Food, Agriculture, Conservation, and 
     Trade Act of 1990 (7 U.S.C. 2279), as amended by section 
     12201, is amended by adding at the end the following new 
     subsection:
       ``(i) Socially Disadvantaged Farmers and Ranchers Policy 
     Research Center.--The Secretary shall award a grant to a 
     college or university eligible to receive funds under the Act 
     of August 30, 1890 (7 U.S.C. 321 et seq.), including Tuskegee 
     University, to establish a policy research center to be known 
     as the `Socially Disadvantaged Farmers and Ranchers Policy 
     Research Center' for the purpose of developing policy 
     recommendations for the protection and promotion of the 
     interests of socially disadvantaged farmers and ranchers.''.

     SEC. 12204. RECEIPT FOR SERVICE OR DENIAL OF SERVICE FROM 
                   CERTAIN DEPARTMENT OF AGRICULTURE AGENCIES.

       Section 2501A(e) of the Food, Agriculture, Conservation, 
     and Trade Act of 1990 (7 U.S.C. 2279-1(e)) is amended by 
     striking ``and, at the time of the request, also requests a 
     receipt''.

[[Page 1949]]



               Subtitle C--Other Miscellaneous Provisions

     SEC. 12301. GRANTS TO IMPROVE SUPPLY, STABILITY, SAFETY, AND 
                   TRAINING OF AGRICULTURAL LABOR FORCE.

       Subsection (d) of section 14204 of the Food, Conservation, 
     and Energy Act of 2008 (7 U.S.C. 2008q-1) is amended to read 
     as follows:
       ``(d) Authorization of Appropriations.--There are 
     authorized to be appropriated to carry out this section--
       ``(1) such sums as are necessary for each of fiscal years 
     2008 through 2013; and
       ``(2) $10,000,000 for each of fiscal years 2014 through 
     2018.''.

     SEC. 12302. PROGRAM BENEFIT ELIGIBILITY STATUS FOR 
                   PARTICIPANTS IN HIGH PLAINS WATER STUDY.

       Section 2901 of the Food, Conservation, and Energy Act of 
     2008 (Public Law 110-246; 122 Stat. 1818) is amended by 
     striking ``this Act or an amendment made by this Act'' and 
     inserting ``this Act, an amendment made by this Act, the 
     Agricultural Act of 2014, or an amendment made by the 
     Agricultural Act of 2014''.

     SEC. 12303. OFFICE OF TRIBAL RELATIONS.

       Title III of the Federal Crop Insurance Reform and 
     Department of Agriculture Reorganization Act of 1994 is 
     amended by adding after section 308 (7 U.S.C. 3125a note; 
     Public Law 103-354) the following new section:

     ``SEC. 309. OFFICE OF TRIBAL RELATIONS.

       ``The Secretary shall maintain in the Office of the 
     Secretary an Office of Tribal Relations, which shall advise 
     the Secretary on policies related to Indian tribes and carry 
     out such other functions as the Secretary considers 
     appropriate.''.

     SEC. 12304. MILITARY VETERANS AGRICULTURAL LIAISON.

       Subtitle A of the Department of Agriculture Reorganization 
     Act of 1994 is amended by inserting after section 218 (7 
     U.S.C. 6918) the following new section:

     ``SEC. 219. MILITARY VETERANS AGRICULTURAL LIAISON.

       ``(a) Authorization.--The Secretary shall establish in the 
     Department the position of Military Veterans Agricultural 
     Liaison.
       ``(b) Duties.--The Military Veterans Agricultural Liaison 
     shall--
       ``(1) provide information to returning veterans about, and 
     connect returning veterans with, beginning farmer training 
     and agricultural vocational and rehabilitation programs 
     appropriate to the needs and interests of returning veterans, 
     including assisting veterans in using Federal veterans 
     educational benefits for purposes relating to beginning a 
     farming or ranching career;
       ``(2) provide information to veterans concerning the 
     availability of, and eligibility requirements for, 
     participation in agricultural programs, with particular 
     emphasis on beginning farmer and rancher programs;
       ``(3) serve as a resource for assisting veteran farmers and 
     ranchers, and potential farmers and ranchers, in applying for 
     participation in agricultural programs; and
       ``(4) advocate on behalf of veterans in interactions with 
     employees of the Department.
       ``(c) Contracts and Cooperative Agreements.--For purposes 
     of carrying out the duties under subsection (b), the Military 
     Veterans Agricultural Liaison may enter into contracts or 
     cooperative agreements with the research centers of the 
     Agricultural Research Service, institutions of higher 
     education (as defined in section 101 of the Higher Education 
     Act of 1965 (20 U.S.C. 1001)), or nonprofit organizations 
     for--
       ``(1) the conduct of regional research on the profitability 
     of small farms;
       ``(2) the development of educational materials;
       ``(3) the conduct of workshops, courses, and certified 
     vocational training;
       ``(4) the conduct of mentoring activities; or
       ``(5) the provision of internship opportunities.''.

     SEC. 12305. NONINSURED CROP ASSISTANCE PROGRAM.

       (a) In General.--Section 196 of the Federal Agriculture 
     Improvement and Reform Act of 1996 (7 U.S.C. 7333) is 
     amended--
       (1) in subsection (a)--
       (A) by striking paragraph (1) and inserting the following:
       ``(1) In general.--
       ``(A) Coverages.--In the case of an eligible crop described 
     in paragraph (2), the Secretary of Agriculture shall operate 
     a noninsured crop disaster assistance program to provide 
     coverages based on individual yields (other than for value-
     loss crops) equivalent to--
       ``(i) catastrophic risk protection available under section 
     508(b) of the Federal Crop Insurance Act (7 U.S.C. 1508(b)); 
     or
       ``(ii) except in the case of crops and grasses used for 
     grazing, additional coverage available under subsections (c) 
     and (h) of section 508 of that Act (7 U.S.C. 1508) that does 
     not exceed 65 percent, as described in subsection (l).
       ``(B) Administration.--The Secretary shall carry out this 
     section through the Farm Service Agency (referred to in this 
     section as the `Agency').''; and
       (B) in paragraph (2)--
       (i) in subparagraph (A)--

       (I) in clause (i), by striking ``and'' after the semicolon 
     at the end;
       (II) by redesignating clause (ii) as clause (iii); and
       (III) by inserting after clause (i) the following:

       ``(ii) for which additional coverage under subsections (c) 
     and (h) of section 508 of that Act (7 U.S.C. 1508) is not 
     available; and''; and
       (ii) in subparagraph (B), by striking ``and industrial 
     crops'' and inserting ``sweet sorghum, biomass sorghum, and 
     industrial crops (including those grown expressly for the 
     purpose of producing a feedstock for renewable biofuel, 
     renewable electricity, or biobased products)'';
       (2) in subsection (i)(2), by striking ``$100,000'' and 
     inserting ``$125,000'';
       (3) in subsection (k)(2), by striking ``limited resource 
     farmer'' and inserting ``limited resource, beginning, or 
     socially disadvantaged farmer''; and
       (4) by adding at the end the following:
       ``(l) Payment Equivalent to Additional Coverage.--
       ``(1) In general.--The Secretary shall make available 
     noninsured assistance under this subsection (other than for 
     crops and grasses used for grazing) at a payment amount that 
     is equivalent to an indemnity for additional coverage under 
     subsections (c) and (h) of section 508 of the Federal Crop 
     Insurance Act (7 U.S.C. 1508) and equal to the product 
     obtained by multiplying--
       ``(A) the amount that--
       ``(i) the additional coverage yield, which shall be equal 
     to the product obtained by multiplying--

       ``(I) an amount not less than 50 percent nor more than 65 
     percent, as elected by the producer and specified in 5-
     percent increments; and
       ``(II) the approved yield for the crop, as determined by 
     the Secretary; exceeds

       ``(ii) the actual yield;
       ``(B) 100 percent of the average market price for the crop, 
     as determined by the Secretary; and
       ``(C) a payment rate for the type of crop, as determined by 
     the Secretary, that reflects--
       ``(i) in the case of a crop that is produced with a 
     significant and variable harvesting expense, the decreasing 
     cost incurred in the production cycle for the crop that is, 
     as applicable--

       ``(I) harvested;
       ``(II) planted but not harvested; or
       ``(III) prevented from being planted because of drought, 
     flood, or other natural disaster, as determined by the 
     Secretary; or

       ``(ii) in the case of a crop that is produced without a 
     significant and variable harvesting expense, such rate as 
     shall be determined by the Secretary.
       ``(2) Service fee and premium.--To be eligible to receive a 
     payment under this subsection, a producer shall pay--
       ``(A) the service fee required by subsection (k); and
       ``(B) the lesser of--
       ``(i) the sum of the premiums for each eligible crop, with 
     the premium for each eligible crop obtained by multiplying--

       ``(I) the number of acres devoted to the eligible crop;
       ``(II) the yield, as determined by the Secretary under 
     subsection (e);
       ``(III) the coverage level elected by the producer;
       ``(IV) the average market price, as determined by the 
     Secretary; and
       ``(V) a 5.25-percent premium fee; or

       ``(ii) the product obtained by multiplying--

       ``(I) a 5.25-percent premium fee; and
       ``(II) the applicable payment limit.

       ``(3) Additional availability.--
       ``(A) In general.--As soon as practicable after October 1, 
     2013, the Secretary shall make assistance available to 
     producers of an otherwise eligible crop described in 
     subsection (a)(2) that suffered losses--
       ``(i) to a 2012 annual fruit crop grown on a bush or tree; 
     and
       ``(ii) in a county covered by a declaration by the 
     Secretary of a natural disaster for production losses due to 
     a freeze or frost.
       ``(B) Assistance.--The Secretary shall make assistance 
     available under subparagraph (A) in an amount equivalent to 
     assistance available under paragraph (1), less any fees not 
     previously paid under paragraph (2).
       ``(4) Limited resource, beginning, and socially 
     disadvantaged farmers.--The coverage made available under 
     this subsection shall be available to limited resource, 
     beginning, and socially disadvantaged farmers, as determined 
     by the Secretary, in exchange for a premium that is 50 
     percent of the premium determined under paragraph (2).
       ``(5) Effective date.--Except as provided in paragraph 
     (3)(A), additional coverage under this subsection shall be 
     available for each of the 2015 through 2018 crop years.''.
       (b) Prohibition on Catastrophic Risk Protection.--Section 
     508(b) of the Federal Crop Insurance Act (7 U.S.C. 1508(b)) 
     is amended by striking paragraph (1) and inserting the 
     following:
       ``(1) Coverage availability.--
       ``(A) In general.--Except as provided in subparagraph (B), 
     the Corporation shall offer a catastrophic risk protection 
     plan to indemnify producers for crop loss due to loss of 
     yield or prevented planting, if provided by the Corporation, 
     when the producer is unable, because of drought, flood, or 
     other natural disaster (as determined by the Secretary), to 
     plant other crops for harvest on the acreage for the crop 
     year.

[[Page 1950]]

       ``(B) Exception.--Coverage described in subparagraph (A) 
     shall not be available for crops and grasses used for 
     grazing.''.

     SEC. 12306. ACER ACCESS AND DEVELOPMENT PROGRAM.

       (a) Grants Authorized.--The Secretary of Agriculture may 
     make competitive grants to States, tribal governments, and 
     research institutions to support the efforts of such States, 
     tribal governments, and research institutions to promote the 
     domestic maple syrup industry through the following 
     activities:
       (1) Promotion of research and education related to maple 
     syrup production.
       (2) Promotion of natural resource sustainability in the 
     maple syrup industry.
       (3) Market promotion for maple syrup and maple-sap 
     products.
       (4) Encouragement of owners and operators of privately held 
     land containing species of trees in the genus Acer--
       (A) to initiate or expand maple-sugaring activities on the 
     land; or
       (B) to voluntarily make the land available, including by 
     lease or other means, for access by the public for maple-
     sugaring activities.
       (b) Application.--In submitting an application for a 
     competitive grant under this section, a State, tribal 
     government, or research institution shall include--
       (1) a description of the activities to be supported using 
     the grant funds;
       (2) a description of the benefits that the State, tribal 
     government, or research institution intends to achieve as a 
     result of engaging in such activities; and
       (3) an estimate of the increase in maple-sugaring 
     activities or maple syrup production that the State, tribal 
     government, or research institution anticipates will occur as 
     a result of engaging in such activities.
       (c) Rule of Construction.--Nothing in this section shall be 
     construed so as to preempt a State or tribal government law, 
     including a State or tribal government liability law.
       (d) Definition of Maple-Sugaring.--In this section, the 
     term ``maple-sugaring'' means the collection of sap from any 
     species of tree in the genus Acer for the purpose of boiling 
     to produce food.
       (e) Regulations.--The Secretary of Agriculture shall 
     promulgate such regulations as are necessary to carry out 
     this section.
       (f) Authorization of Appropriations.--There are authorized 
     to be appropriated to carry out this section $20,000,000 for 
     each of fiscal years 2014 through 2018.

     SEC. 12307. SCIENCE ADVISORY BOARD.

       Section 8 of the Environmental Research, Development, and 
     Demonstration Authorization Act of 1978 (42 U.S.C. 4365) is 
     amended--
       (1) by striking subsection (e) and inserting the following:
       ``(e) Committees.--
       ``(1) Member committees.--
       ``(A) In general.--The Board is authorized to establish 
     such member committees and investigative panels as the 
     Administrator and the Board determine to be necessary to 
     carry out this section.
       ``(B) Chairmanship.--Each member committee or investigative 
     panel established under this subsection shall be chaired by a 
     member of the Board.
       ``(2) Agriculture-related committees.--
       ``(A) In general.--The Administrator and the Board--
       ``(i) shall establish a standing agriculture-related 
     committee; and
       ``(ii) may establish such additional agriculture-related 
     committees and investigative panels as the Administrator and 
     the Board determines to be necessary to carry out the duties 
     under subparagraph (C).
       ``(B) Membership.--The standing committee and each 
     agriculture-related committee or investigative panel 
     established under subparagraph (A) shall be--
       ``(i) composed of--

       ``(I) such quantity of members as the Administrator and the 
     Board determines to be necessary; and
       ``(II) individuals who are not members of the Board on the 
     date of appointment to the committee or investigative panel; 
     and

       ``(ii) appointed by the Administrator and the Board, in 
     consultation with the Secretary of Agriculture.
       ``(C) Duties.--The agriculture-related standing committee 
     and each additional committee and investigative panel 
     established under subparagraph (A) shall provide scientific 
     and technical advice to the Board relating to matters 
     referred to the Board that the Administrator and the Board 
     determines, in consultation with the Secretary of 
     Agriculture, to have a significant direct impact on 
     enterprises that are engaged in the business of the 
     production of food and fiber, ranching and raising livestock, 
     aquaculture, and all other farming- and agriculture-related 
     industries.''; and
       (2) by adding at the end the following:
       ``(h) Public Participation and Transparency.--The Board 
     shall make every effort, consistent with applicable law, 
     including section 552 of title 5, United States Code 
     (commonly known as the `Freedom of Information Act') and 
     section 552a of title 5, United States Code (commonly known 
     as the `Privacy Act'), to maximize public participation and 
     transparency, including making the scientific and technical 
     advice of the Board and any committees or investigative 
     panels of the Board publically available in electronic form 
     on the website of the Environmental Protection Agency.
       ``(i) Report to Congress.--The Administrator shall annually 
     report to the Committees on Environment and Public Works and 
     Agriculture of the Senate and the Committees on 
     Transportation and Infrastructure, Energy and Commerce, and 
     Agriculture of the House of Representatives regarding the 
     membership and activities of the standing agriculture-related 
     committee established pursuant to subsection (e)(2)(A)(i).''.

     SEC. 12308. AMENDMENTS TO ANIMAL WELFARE ACT.

       (a) Licensing of Dealers and Exhibitors.--
       (1) Definition.--Section 2 of the Animal Welfare Act (7 
     U.S.C. 2132) is amended--
       (A) in the matter preceding subsection (a), by striking 
     ``When used in this Act--'' and inserting ``In this Act:'';
       (B) in subsection (f), by striking ``(2) any dog for 
     hunting, security, or breeding purposes'' and all that 
     follows through the semicolon at the end and inserting ``(2) 
     any dog for hunting, security, or breeding purposes. Such 
     term does not include a retail pet store (other than a retail 
     pet store which sells any animals to a research facility, an 
     exhibitor, or another dealer).'';
       (C) in each of subsections (a), (b), (d), (e), (g), (h), 
     (i), (j), (k), and (m), by striking the semicolon at the end 
     and inserting a period; and
       (D) in subsection (n), by striking ``; and'' at the end and 
     inserting a period.
       (2) Licensing.--Section 3 of the Animal Welfare Act (7 
     U.S.C. 2133) is amended by striking ``: Provided, however, 
     That any retail pet store'' and all that follows through 
     ``under this Act.'' and inserting the following ``: Provided, 
     however, That a dealer or exhibitor shall not be required to 
     obtain a license as a dealer or exhibitor under this Act if 
     the size of the business is determined by the Secretary to be 
     de minimis.''.
       (b) Prohibition on Attending an Animal Fight or Causing an 
     Individual Who Has Not Attained the Age of 16 to Attend an 
     Animal Fight; Enforcement of Animal Fighting Provisions.--
       (1) Prohibition on attending an animal fight or causing an 
     individual who has not attained the age of 16 to attend an 
     animal fight.--Section 26(a) of the Animal Welfare Act (7 
     U.S.C. 2156(a)) is amended--
       (A) in the heading, by striking ``Sponsoring or Exhibiting 
     an Animal in'' and inserting ``Sponsoring or Exhibiting an 
     Animal in, Attending, or Causing an Individual Who Has Not 
     Attained the Age of 16 To Attend,''; and
       (B) in paragraph (1)--
       (i) in the heading, by striking ``In General'' and 
     inserting ``Sponsoring or Exhibiting''; and
       (ii) by striking ``paragraph (2)'' and inserting 
     ``paragraph (3)'';
       (iii) by redesignating paragraph (2) as paragraph (3); and
       (iv) by inserting after paragraph (1) the following:
       ``(2) Attending or causing an individual who has not 
     attained the age of 16 to attend.--It shall be unlawful for 
     any person to--
       ``(A) knowingly attend an animal fighting venture; or
       ``(B) knowingly cause an individual who has not attained 
     the age of 16 to attend an animal fighting venture.''.
       (2) Enforcement of animal fighting prohibitions.--Section 
     49 of title 18, United States Code, is amended--
       (A) by striking ``Whoever'' and inserting ``(a) In 
     General.--Whoever'';
       (B) in subsection (a), as designated by subparagraph (A), 
     by striking ``subsection (a),'' and inserting ``subsection 
     (a)(1),''; and
       (C) by adding at the end the following:
       ``(b) Attending an Animal Fighting Venture.--Whoever 
     violates subsection (a)(2)(A) of section 26 of the Animal 
     Welfare Act (7 U.S.C. 2156) shall be fined under this title, 
     imprisoned for not more than 1 year, or both, for each 
     violation.
       ``(c) Causing an Individual Who Has Not Attained the Age of 
     16 To Attend an Animal Fighting Venture.--Whoever violates 
     subsection (a)(2)(B) of section 26 (7 U.S.C. 2156) of the 
     Animal Welfare Act shall be fined under this title, 
     imprisoned for not more than 3 years, or both, for each 
     violation.''.

     SEC. 12309. PRODUCE REPRESENTED AS GROWN IN THE UNITED STATES 
                   WHEN IT IS NOT IN FACT GROWN IN THE UNITED 
                   STATES.

       (a) Technical Assistance to CBP.--The Secretary of 
     Agriculture shall make available to U.S. Customs and Border 
     Protection technical assistance related to the identification 
     of produce represented as grown in the United States when it 
     is not in fact grown in the United States.
       (b) Report to Congress.--The Secretary 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 produce represented as grown in the United 
     States when it is not in fact grown in the United States.

     SEC. 12310. REPORT ON WATER SHARING.

       Not later than 120 days after the date of the enactment of 
     this Act and annually

[[Page 1951]]

     thereafter, the Secretary of State shall submit to Congress a 
     report on efforts by Mexico to meet its treaty deliveries of 
     water to the Rio Grande in accordance with the Treaty between 
     the United States and Mexico Respecting Utilization of waters 
     of the Colorado and Tijuana Rivers and of the Rio Grande 
     (done at Washington, February 3, 1944).

     SEC. 12311. SCIENTIFIC AND ECONOMIC ANALYSIS OF THE FDA FOOD 
                   SAFETY MODERNIZATION ACT.

       (a) In General.--When publishing a final rule with respect 
     to ``Standards for the Growing, Harvesting, Packing, and 
     Holding of Produce for Human Consumption'' published by the 
     Department of Health and Human Services on January 16, 2013 
     (78 Fed. Reg. 3504), the Secretary of Health and Human 
     Services (referred to in this section as the ``Secretary'') 
     shall ensure that the final rule (referred to in this section 
     as the ``final rule'') includes the following information:
       (1) An analysis of the scientific information used to 
     promulgate the final rule, taking into consideration any 
     information about farming and ranching operations of a 
     variety of sizes, with regional differences, and that have a 
     diversity of production practices and methods.
       (2) An analysis of the economic impact of the final rule.
       (3) A plan to systematically--
       (A) evaluate the impact of the final rule on farming and 
     ranching operations; and
       (B) develop an ongoing process to evaluate and respond to 
     business concerns.
       (b) Report.--Not later than 1 year after the date on which 
     the Secretary promulgates the final rule referred to in 
     subsection (a), the Comptroller General of the United States 
     shall submit to the Committee on Agriculture, Nutrition, and 
     Forestry and the Committee on Health, Education, and Labor of 
     the Senate and the Committee on Agriculture and the Committee 
     on Energy and Commerce of the House of Representatives a 
     report on the effectiveness of the ongoing evaluation and 
     response process referred to in subsection (a)(3)(B). Not 
     later than one year after the date on which such report is 
     submitted, the Comptroller General of the United States shall 
     submit to such committees an updated report on such process.

     SEC. 12312. PAYMENT IN LIEU OF TAXES.

       Section 6906 of title 31, United States Code, is amended, 
     in the matter preceding paragraph (1), by striking ``2013'' 
     and inserting ``2014''.

     SEC. 12313. SILVICULTURAL ACTIVITIES.

       Section 402(l) of the Federal Water Pollution Control Act 
     (33 U.S.C. 1342(l)) is amended by adding at the end the 
     following:
       ``(3) Silvicultural activities.--
       ``(A) NPDES permit requirements for silvicultural 
     activities.--The Administrator shall not require a permit 
     under this section nor directly or indirectly require any 
     State to require a permit under this section for a discharge 
     from runoff resulting from the conduct of the following 
     silviculture activities conducted in accordance with standard 
     industry practice: nursery operations, site preparation, 
     reforestation and subsequent cultural treatment, thinning, 
     prescribed burning, pest and fire control, harvesting 
     operations, surface drainage, or road construction and 
     maintenance.
       ``(B) Other requirements.--Nothing in this paragraph 
     exempts a discharge from silvicultural activity from any 
     permitting requirement under section 404, existing permitting 
     requirements under section 402, or from any other federal 
     law.
       ``(C) The authorization provided in Section 505(a) does not 
     apply to any non-permitting program established under 
     402(p)(6) for the silviculture activities listed in 
     402(l)(3)(A), or to any other limitations that might be 
     deemed to apply to the silviculture activities listed in 
     402(l)(3)(A).''.

     SEC. 12314. PIMA AGRICULTURE COTTON TRUST FUND.

       (a) Establishment of Trust Fund.--There is established in 
     the Treasury of the United States a trust fund to be known as 
     the ``Pima Agriculture Cotton Trust Fund'' (in this section 
     referred to as the ``Trust Fund''), consisting of such 
     amounts as may be transferred to the Trust Fund pursuant to 
     subsection (h), and to be used for the purpose of reducing 
     the injury to domestic manufacturers resulting from tariffs 
     on cotton fabric that are higher than tariffs on certain 
     apparel articles made of cotton fabric.
       (b) Distribution of Funds.--From amounts in the Trust Fund, 
     the Secretary shall make payments annually beginning in 
     calendar year 2014 for calendar years 2014 through 2018 as 
     follows:
       (1) Twenty-five percent of the amounts in the Trust Fund 
     shall be paid to one or more nationally recognized 
     associations established for the promotion of pima cotton for 
     use in textile and apparel goods.
       (2) Twenty-five percent of the amounts in the Trust Fund 
     shall be paid to yarn spinners of pima cotton that produce 
     ring spun cotton yarns in the United States, to be allocated 
     to each spinner in an amount that bears the same ratio as--
       (A) the spinner's production of ring spun cotton yarns, 
     measuring less than 83.33 decitex (exceeding 120 metric 
     number) from pima cotton in single and plied form during 
     calendar year 2013 (as evidenced by an affidavit provided by 
     the spinner that meets the requirements of subsection (c)), 
     bears to--
       (B) the production of the yarns described in subparagraph 
     (A) during calendar year 2013 for all spinners who qualify 
     under this paragraph.
       (3) Fifty percent of the amounts in the Trust Fund shall be 
     paid to manufacturers who cut and sew cotton shirts in the 
     United States who certify that they used imported cotton 
     fabric during calendar year 2013, to be allocated to each 
     such manufacturer in an amount that bears the same ratio as--
       (A) the dollar value (excluding duty, shipping, and related 
     costs) of imported woven cotton shirting fabric of 80s or 
     higher count and 2-ply in warp purchased by the manufacturer 
     during calendar year 2013 (as evidenced by an affidavit 
     provided by the manufacturer that meets the requirements of 
     subsection (d)) used in the manufacturing of men's and boys' 
     cotton shirts, bears to--
       (B) the dollar value (excluding duty, shipping, and related 
     costs) of the fabric described in subparagraph (A) purchased 
     during calendar year 2013 by all manufacturers who qualify 
     under this paragraph.
       (c) Affidavit of Yarn Spinners.--The affidavit required by 
     subsection (b)(2)(A) is a notarized affidavit provided 
     annually by an officer of a producer of ring spun yarns that 
     affirms--
       (1) that the producer used pima cotton during the year in 
     which the affidavit is filed and during calendar year 2013 to 
     produce ring spun cotton yarns in the United States, 
     measuring less than 83.33 decitex (exceeding 120 metric 
     number), in single and plied form;
       (2) the quantity, measured in pounds, of ring spun cotton 
     yarns, measuring less than 83.33 decitex (exceeding 120 
     metric number), in single and plied form during calendar year 
     2013; and
       (3) that the producer maintains supporting documentation 
     showing the quantity of such yarns produced, and evidencing 
     the yarns as ring spun cotton yarns, measuring less than 
     83.33 decitex (exceeding 120 metric number), in single and 
     plied form during calendar year 2013.
       (d) Affidavit of Shirting Manufacturers.--
       (1) In general.--The affidavit required by subsection 
     (b)(3)(A) is a notarized affidavit provided annually by an 
     officer of a manufacturer of men's and boys' shirts that 
     affirms--
       (A) that the manufacturer used imported cotton fabric 
     during the year in which the affidavit is filed and during 
     calendar year 2013, to cut and sew men's and boys' woven 
     cotton shirts in the United States;
       (B) the dollar value of imported woven cotton shirting 
     fabric of 80s or higher count and 2-ply in warp purchased by 
     the manufacturer during calendar year 2013;
       (C) that the manufacturer maintains invoices along with 
     other supporting documentation (such as price lists and other 
     technical descriptions of the fabric qualities) showing the 
     dollar value of such fabric purchased, the date of purchase, 
     and evidencing the fabric as woven cotton fabric of 80s or 
     higher count and 2-ply in warp; and
       (D) that the fabric was suitable for use in the 
     manufacturing of men's and boys' cotton shirts.
       (2) Date of purchase.--For purposes of the affidavit under 
     paragraph (1), the date of purchase shall be the invoice 
     date, and the dollar value shall be determined excluding 
     duty, shipping, and related costs.
       (e) Filing Deadline for Affidavits.--Any person required to 
     provide an affidavit under this section shall file the 
     affidavit with the Secretary or as directed by the 
     Secretary--
       (1) in the case of an affidavit required for calendar year 
     2014, not later than 60 days after the date of the enactment 
     of this Act; and
       (2) in the case of an affidavit required for any of 
     calendar years 2015 through 2018, not later than March 15 of 
     that calendar year.
       (f) Timing of Distributions.--The Secretary shall make a 
     payment under paragraph (2) or (3) of subsection (b)--
       (1) for calendar year 2014--
       (A) not later than the date that is 30 days after the 
     filing of the affidavit required with respect to that 
     payment; or
       (B) if the Secretary is unable to make the payment by the 
     date described in subparagraph (A), as soon as practicable 
     thereafter; and
       (2) for calendar years 2015 through 2018, not later than 
     the date that is 30 days after the filing of the affidavit 
     required with respect to that payment.
       (g) Memorandum of Understanding.--The Secretary and the 
     Commissioner responsible for U.S. Customs and Border 
     Protection shall, as soon as practicable after the date of 
     the enactment of this Act, negotiate a memorandum of 
     understanding to establish procedures pursuant to which the 
     Commissioner will assist the Secretary in carrying out the 
     provisions of this section.
       (h) Funding.--Of the funds of the Commodity Credit 
     Corporation, the Secretary shall transfer to the Trust Fund 
     $16,000,000 for each of calendar years 2014 through 2018, to 
     remain available until expended.

     SEC. 12315. AGRICULTURE WOOL APPAREL MANUFACTURERS TRUST 
                   FUND.

       (a) Establishment of Trust Fund.--There is established in 
     the Treasury of the United States a trust fund to be known as 
     the ``Agriculture Wool Apparel Manufacturers Trust

[[Page 1952]]

     Fund'' (in this section referred to as the ``Trust Fund''), 
     consisting of such amounts as may be transferred to the Trust 
     Fund pursuant to subsection (f), and to be used for the 
     purpose of reducing the injury to domestic manufacturers 
     resulting from tariffs on wool fabric that are higher than 
     tariffs on certain apparel articles made of wool fabric.
       (b) Distribution of Funds.--
       (1) In general.--From amounts in the Trust Fund, the 
     Secretary may make payments annually beginning in calendar 
     year 2014 for calendar years 2010 through 2019 as follows:
       (A) To each eligible manufacturer under paragraph (3) of 
     section 4002(c) of the Wool Suit and Textile Trade Extension 
     Act of 2004 (Public Law 108-429; 118 Stat. 2600), as amended 
     by section 1633(c) of the Miscellaneous Trade and Technical 
     Corrections Act of 2006 (Public Law 109-280; 120 Stat. 1166) 
     and section 325(b) of the Tax Extenders and Alternative 
     Minimum Tax Relief Act of 2008 (division C of Public Law 110-
     343; 122 Stat. 3875), and any successor-in-interest to such a 
     manufacturer as provided for under paragraph (4) of such 
     section 4002(c), that submits an affidavit in accordance with 
     paragraph (2) for the year of the payment--
       (i) for calendar years 2010 through 2015, payments that, 
     when added to any other payments made to the manufacturer or 
     successor-in-interest under paragraph (3) of such section 
     4002(c) in such calendar years, equal the total amount of 
     payments authorized to be provided to the manufacturer or 
     successor-in-interest under that paragraph, or the provisions 
     of this section, in such calendar years; and
       (ii) for calendar years 2016 through 2019, payments in 
     amounts authorized under that paragraph.
       (B) To each eligible manufacturer under paragraph (6) of 
     such section 4002(c)--
       (i) for calendar years 2010 through 2014, payments that, 
     when added to any other payments made to eligible 
     manufacturers under that paragraph in such calendar years, 
     equal the total amount of payments authorized to be provided 
     to the manufacturer under that paragraph, or the provisions 
     of this section, in such calendar years; and
       (ii) for calendar years 2015 through 2019, payments in 
     amounts authorized under that paragraph.
       (2) Submission of affidavits.--An affidavit required by 
     paragraph (1)(A) shall be submitted--
       (A) in each of calendar years 2010 through 2015, to the 
     Commissioner responsible for U.S. Customs and Border 
     Protection not later than April 15; and
       (B) in each of calendar years 2016 through 2019, to the 
     Secretary, or as directed by the Secretary, and not later 
     than March 1.
       (c) Payment of Amounts.--The Secretary shall make payments 
     to eligible manufacturers and successors-in-interest 
     described in paragraphs (1) and (2) of subsection (b)--
       (1) for calendar years 2010 through 2014, not later than 30 
     days after the transfer of amounts from the Commodity Credit 
     Corporation to the Trust Fund under subsection (f); and
       (2) for calendar years 2015 through 2019, not later than 
     April 15 of the year of the payment.
       (d) Memoranda of Understanding.--The Secretary shall, as 
     soon as practicable after the date of the enactment of this 
     Act, negotiate memoranda of understanding with the 
     Commissioner responsible for U.S. Customs and Border 
     Protection and the Secretary of Commerce to establish 
     procedures pursuant to which the Commissioner and the 
     Secretary of Commerce will assist in carrying out the 
     provisions of this section.
       (e) Increase in Payments in the Event of Expiration of Duty 
     Suspensions.--
       (1) In general.--In any calendar year in which the 
     suspension of duty on wool fabrics provided for under 
     headings 9902.51.11, 9902.51.13, 9902.51.14, 9902.51.15, and 
     9902.51.16 of the Harmonized Tariff Schedule of the United 
     States are not in effect, the amount of any payment described 
     in subsection (b)(1) to a manufacturer or successor-in-
     interest shall be increased by an amount the Secretary, after 
     consultation with the Secretary of Commerce, determines is 
     equal to the amount the manufacturer or successor-in-interest 
     would have saved during the calendar year of the payment if 
     the suspension of duty on wool fabrics were in effect.
       (2) No appeal of determinations.--A determination of the 
     Secretary under this subsection shall be final and not 
     subject to appeal or protest.
       (f) Funding.--
       (1) In general.--Of the funds of the Commodity Credit 
     Corporation, the Secretary shall transfer to the Trust Fund 
     for each of calendar years 2014 through 2019 an amount equal 
     to the lesser of--
       (A) the amount the Secretary determines to be necessary to 
     make payments required by this section in that calendar year; 
     or
       (B) $30,000,000.
       (2) Availability.--Amounts transferred to the Trust Fund 
     under paragraph (1) shall remain available until expended.

     SEC. 12316. WOOL RESEARCH AND PROMOTION.

       (a) In General.--Of the funds of the Commodity Credit 
     Corporation, the Secretary shall use to provide grants 
     described in section 506(d) of the Trade and Development Act 
     of 2000 (7 U.S.C. 7101 note) $2,250,000 for each of calendar 
     years 2015 through 2019, to remain available until expended.
       (b) Authorization to Distribute Unexpended Balance.--In 
     addition to funds made available under subsection (a) and 
     notwithstanding subsection (f) of section 506 of the Trade 
     and Development Act of 2000 (7 U.S.C. 7101 note), the 
     Secretary may use any unexpended balances remaining in the 
     Wool Research, Development, and Promotion Trust Fund 
     established under that section as of December 31, 2014, to 
     provide grants described in subsection (d) of that section.

   Subtitle D--Oilheat Efficiency, Renewable Fuel Research and Jobs 
                                Training

     SEC. 12401. SHORT TITLE.

       This subtitle may be cited as the ``Oilheat Efficiency, 
     Renewable Fuel Research and Jobs Training Act of 2014''.

     SEC. 12402. FINDINGS AND PURPOSES.

       Section 702 of the National Oilheat Research Alliance Act 
     of 2000 (42 U.S.C. 6201 note; Public Law 106-469) is 
     amended--
       (1) in paragraph (4), by striking ``and'' after the 
     semicolon at the end;
       (2) by striking the period at the end and inserting a 
     semicolon; and
       (3) by adding at the end the following:
       ``(6) consumers of oilheat fuel are provided service by 
     thousands of small businesses that are unable to individually 
     develop training programs to facilitate the entry of new and 
     qualified workers into the oilheat fuel industry;
       ``(7) small businesses and trained employees are in an 
     ideal position--
       ``(A) to provide information to consumers about the 
     benefits of improved efficiency; and
       ``(B) to encourage consumers to value efficiency in energy 
     choices and assist individuals in conserving energy;
       ``(8) additional research is necessary--
       ``(A) to improve oilheat fuel equipment; and
       ``(B) to develop domestic renewable resources that can be 
     used to safely and affordably heat homes;
       ``(9) since there are no Federal resources available to 
     assist the oilheat fuel industry, it is necessary and 
     appropriate to develop a self-funded program dedicated--
       ``(A) to improving efficiency in customer homes;
       ``(B) to assist individuals to gain employment in the 
     oilheat fuel industry; and
       ``(C) to develop domestic renewable resources;
       ``(10) both consumers of oilheat fuel and retailers would 
     benefit from the self-funded program; and
       ``(11) the oilheat fuel industry is committed to providing 
     appropriate funding necessary to carry out the purposes of 
     this title without passing additional costs on to residential 
     consumers.''.

     SEC. 12403. DEFINITIONS.

       (a) In General.--Section 703 of the National Oilheat 
     Research Alliance Act of 2000 (42 U.S.C. 6201 note; Public 
     Law 106-469) is amended--
       (1) by redesignating paragraphs (3) through (15) as 
     paragraphs (4) through (16), respectively;
       (2) by inserting after paragraph (2) the following:
       ``(3) Cost-effective.--The term `cost-effective', with 
     respect to a program or activity carried out under section 
     707(f)(4), means that the program or activity meets a total 
     resource cost test under which--
       ``(A) the net present value of economic benefits over the 
     life of the program or activity, including avoided supply and 
     delivery costs and deferred or avoided investments; is 
     greater than
       ``(B) the net present value of the economic costs over the 
     life of the program or activity, including program costs and 
     incremental costs borne by the energy consumer.''; and
       (3) by striking paragraph (8) (as redesignated in paragraph 
     (1)) and inserting the following:
       ``(8) Oilheat fuel.--The term `oilheat fuel' means fuel 
     that--
       ``(A) is--
       ``(i) No. 1 distillate;
       ``(ii) No. 2 dyed distillate;
       ``(iii) a liquid blended with No. 1 distillate or No. 2 
     dyed distillate; or
       ``(iv) a biobased liquid; and
       ``(B) is used as a fuel for nonindustrial commercial or 
     residential space or hot water heating.''.
       (b) Conforming Amendments.--
       (1) The National Oilheat Research Alliance Act of 2000 (42 
     U.S.C. 6201 note; Public Law 106-469) is amended by striking 
     ``oilheat'' each place it appears and inserting ``oilheat 
     fuel''.
       (2) Section 704(d) of the National Oilheat Research 
     Alliance Act of 2000 (42 U.S.C. 6201 note; Public Law 106-
     469) is amended in the subsection heading by striking 
     ``Oilheat'' and inserting ``Oilheat Fuel''.
       (3) Section 706(c)(2) of the National Oilheat Research 
     Alliance Act of 2000 (42 U.S.C. 6201 note; Public Law 106-
     469) is amended in the paragraph heading by striking 
     ``oilheat'' and inserting ``oilheat fuel''.
       (4) Section 707(c) of the National Oilheat Research 
     Alliance Act of 2000 (42 U.S.C. 6201 note; Public Law 106-
     469) is amended in the subsection heading by striking 
     ``Oilheat'' and inserting ``Oilheat Fuel''.

[[Page 1953]]



     SEC. 12404. MEMBERSHIP.

       (a) Selection.--Section 705 of the National Oilheat 
     Research Alliance Act of 2000 (42 U.S.C. 6201 note; Public 
     Law 106-469) is amended by striking subsection (a) and 
     inserting the following:
       ``(a) Selection.--
       ``(1) List.--
       ``(A) In general.--The Alliance shall provide to the 
     Secretary a list of qualified nominees for membership in the 
     Alliance.
       ``(B) Requirement.--Except as provided in subsection 
     (c)(1)(C), members of the Alliance shall be representatives 
     of the oilheat fuel industry in a State, selected from a list 
     of nominees submitted by the qualified State association in 
     the State.
       ``(2) Vacancies.--A vacancy in the Alliance shall be filled 
     in the same manner as the original selection.
       ``(3) Secretarial action.--
       ``(A) In general.--The Secretary shall have 60 days to 
     review nominees provided under paragraph (1).
       ``(B) Failure to act.--If the Secretary takes no action 
     during the 60-day period described in subparagraph (A), the 
     nominees shall be considered to be members of the 
     Alliance.''.
       (b) Representation.--Section 705(b) of the National Oilheat 
     Research Alliance Act of 2000 (42 U.S.C. 6201 note; Public 
     Law 106-469) is amended in the matter preceding paragraph (1) 
     by striking ``qualified industry organization'' and inserting 
     ``Alliance''.
       (c) Number of Members.--Section 705(c) of the National 
     Oilheat Research Alliance Act of 2000 (42 U.S.C. 6201 note; 
     Public Law 106-469) is amended--
       (1) by striking paragraph (1) and inserting the following:
       ``(1) In general.--The Alliance shall be composed of the 
     following members:
       ``(A) 1 member representing each State participating in the 
     Alliance.
       ``(B) 5 representatives of retail marketers, of whom 1 
     shall be selected by each of the qualified State associations 
     of the 5 States with the highest volume of annual oilheat 
     fuel sales.
       ``(C) 5 additional representatives of retail marketers.
       ``(D) 21 representatives of wholesale distributors.
       ``(E) 6 public members, who shall be representatives of 
     significant users of oilheat fuel, the oilheat fuel research 
     community, State energy officials, or other groups with 
     expertise in oilheat fuel, including consumer and low-income 
     advocacy groups.''; and
       (2) in paragraph (2), by striking ``the qualified industry 
     organization or''.

     SEC. 12405. FUNCTIONS.

       (a) Renewable Fuel Research.--Section 706(a)(3)(B)(i)(I) of 
     the National Oilheat Research Alliance Act of 2000 (42 U.S.C. 
     6201 note; Public Law 106-469) is amended by inserting before 
     the semicolon at the end the following: ``, including 
     research to develop renewable fuels and to examine the 
     compatibility of different renewable fuels with oilheat fuel 
     utilization equipment, with priority given to research on the 
     development and use of advanced biofuels''.
       (b) Biennial Budgets.--Section 706(e) of the National 
     Oilheat Research Alliance Act of 2000 (42 U.S.C. 6201 note; 
     Public Law 106-469) is amended--
       (1) by striking paragraph (1) and inserting the following:
       ``(1) Publication of proposed budget.--Not later than 
     August 1, 2014, and every 2 years thereafter, the Alliance 
     shall, in consultation with the Secretary, develop and 
     publish for public review and comment a proposed biennial 
     budget for the next 2 calendar years, including the probable 
     operating and planning costs of all programs, projects, and 
     contracts and other agreements.''; and
       (2) by striking paragraph (4) and inserting the following:
       ``(4) Implementation.--
       ``(A) In general.--The Alliance shall not implement a 
     proposed budget until the expiration of 60 days after 
     submitting the proposed budget to the Secretary.
       ``(B) Recommendations for changes by secretary.--
       ``(i) In general.--The Secretary may recommend to the 
     Alliance changes to the budget programs and activities of the 
     Alliance that the Secretary considers appropriate.
       ``(ii) Response by alliance.--Not later than 30 days after 
     the receipt of any recommendations made under clause (i), the 
     Alliance shall submit to the Secretary a final budget for the 
     next 2 calendar years that incorporates or includes a 
     description of the response of the Alliance to any changes 
     recommended under clause (i).''.

     SEC. 12406. ASSESSMENTS.

       (a) In General.--Section 707 of the National Oilheat 
     Research Alliance Act of 2000 (42 U.S.C. 6201 note; Public 
     Law 106-469) is amended--
       (1) by striking subsection (a) and inserting the following:
       ``(a) Rate.--The assessment rate shall be equal to \2/10\ 
     of 1 cent per gallon of oilheat fuel.''; and
       (2) in subsection (b), by adding at the end the following:
       ``(8) Prohibition on pass through.--None of the assessments 
     collected under this title may be passed through or otherwise 
     required to be paid by residential consumers of oilheat 
     fuel.''.
       (b) Funds Made Available to Qualified State Associations.--
     Section 707(e)(2) of the National Oilheat Research Alliance 
     Act of 2000 (42 U.S.C. 6201 note; Public Law 106-469) is 
     amended by adding at the end the following:
       ``(B) Separate accounts.--As a condition of receipt of 
     funds made available to a qualified State association under 
     this title, the qualified State association shall deposit the 
     funds in an account that is separate from other funds of the 
     qualified State association.''.
       (c) Administration.--Section 707 of the National Oilheat 
     Research Alliance Act of 2000 (42 U.S.C. 6201 note; Public 
     Law 106-469) is amended by adding at the end the following:
       ``(f) Use of Assessments.--
       ``(1) In general.--Notwithstanding any other provision of 
     this title, the Secretary and the Alliance shall ensure that 
     assessments collected for each calendar year under this title 
     are allocated and used in accordance with this subsection.
       ``(2) Research, development, and demonstration.--
       ``(A) In general.--The Alliance shall ensure that not less 
     than 30 percent of the assessments collected for each 
     calendar year under this title are used by qualified State 
     associations or the Alliance to conduct research, 
     development, and demonstration activities relating to oilheat 
     fuel, including the development of energy-efficient heating 
     and the transition and facilitation of the entry of energy 
     efficient heating systems into the marketplace.
       ``(B) Coordination.--The Alliance shall coordinate with the 
     Secretary to develop priorities for the use of assessments 
     under this paragraph.
       ``(C) Plan.--The Alliance shall develop a coordinated 
     research plan to carry out research programs and activities 
     under this section.
       ``(D) Report.--
       ``(i) In general.--No later than 1 year after the date of 
     enactment of this subsection, the Alliance shall prepare a 
     report on the use of biofuels in oilheat fuel utilization 
     equipment.
       ``(ii) Contents.--The report required under clause (i) 
     shall--

       ``(I) provide information on the environmental benefits, 
     economic benefits, and any technical limitations on the use 
     of biofuels in oilheat fuel utilization equipment; and
       ``(II) describe market acceptance of the fuel, and 
     information on State and local governments that are 
     encouraging the use of biofuels in oilheat fuel utilization 
     equipment.

       ``(iii) Copies.--The Alliance shall submit a copy of the 
     report required under clause (i) to--

       ``(I) Congress;
       ``(II) the Governor of each State, and other appropriate 
     State leaders, in which the Alliance is operating; and
       ``(III) the Administrator of the Environmental Protection 
     Agency.

       ``(E) Consumer education materials.--The Alliance, in 
     conjunction with an institution or organization engaged in 
     biofuels research, shall develop consumer education materials 
     describing the benefits of using biofuels as or in oilheat 
     fuel based on the technical information developed in the 
     report required under subparagraph (D) and other information 
     generally available.
       ``(3) Cost sharing.--
       ``(A) In general.--In carrying out a research, development, 
     demonstration, or commercial application program or activity 
     that is commenced after the date of enactment of this 
     subsection, the Alliance shall require cost-sharing in 
     accordance with this section.
       ``(B) Research and development.--
       ``(i) In general.--Except as provided in clauses (ii) and 
     (iii), the Alliance shall require that not less than 20 
     percent of the cost of a research or development program or 
     activity described in subparagraph (A) to be provided by a 
     source other than the Alliance.
       ``(ii) Exclusion.--Clause (i) shall not apply to a research 
     or development program or activity described in subparagraph 
     (A) that is of a basic or fundamental nature, as determined 
     by the Alliance.
       ``(iii) Reduction.--The Alliance may reduce or eliminate 
     the requirement of clause (i) for a research and development 
     program or activity of an applied nature if the Alliance 
     determines that the reduction is necessary and appropriate.
       ``(C) Demonstration and commercial application.--The 
     Alliance shall require that not less than 50 percent of the 
     cost of a demonstration or commercial application program or 
     activity described in subparagraph (A) to be provided by a 
     source other than the Alliance.
       ``(4) Heating oil efficiency and upgrade program.--
       ``(A) In general.--The Alliance shall ensure that not less 
     than 15 percent of the assessments collected for each 
     calendar year under this title are used by qualified State 
     associations or the Alliance to carry out programs to assist 
     consumers--
       ``(i) to make cost-effective upgrades to more fuel 
     efficient heating oil systems or otherwise make cost-
     effective modifications to an existing heating system to 
     improve the efficiency of the system;

[[Page 1954]]

       ``(ii) to improve energy efficiency or reduce energy 
     consumption through cost-effective energy efficiency programs 
     for consumers; or
       ``(iii) to improve the safe operation of a heating system.
       ``(B) Plan.--The Alliance shall, to the maximum extent 
     practicable, coordinate, develop, and implement the programs 
     and activities of the Alliance in conjunction with existing 
     State energy efficiency program administrators.
       ``(C) Administration.--
       ``(i) In general.--In carrying out this paragraph, the 
     Alliance shall, to the maximum extent practicable, ensure 
     that heating system conversion assistance is coordinated 
     with, and developed after consultation with, persons or 
     organizations responsible for administering--

       ``(I) the low-income home energy assistance program 
     established under the Low-Income Home Energy Assistance Act 
     of 1981 (42 U.S.C. 8621 et seq.);
       ``(II) the Weatherization Assistance Program for Low-Income 
     Persons established under part A of title IV of the Energy 
     Conservation and Production Act (42 U.S.C. 6861 et seq.); or
       ``(III) other energy efficiency programs administered by 
     the State or other parties in the State.

       ``(ii) Distribution of funds.--The Alliance shall ensure 
     that funds distributed to carry out this paragraph are--

       ``(I) distributed equitably to States based on the 
     proportional contributions of the States through collected 
     assessments;
       ``(II) used to supplement (and not supplant) State or 
     alternative sources of funding for energy efficiency 
     programs; and
       ``(III) used only to carry out this paragraph.

       ``(5) Consumer education, safety, and training.--The 
     Alliance shall ensure that not more than 30 percent of the 
     assessments collected for each calendar year under this title 
     are used--
       ``(A) to conduct consumer education activities relating to 
     oilheat fuel, including providing information to consumers 
     on--
       ``(i) energy conservation strategies;
       ``(ii) safety;
       ``(iii) new technologies that reduce consumption or improve 
     safety and comfort;
       ``(iv) the use of biofuels blends; and
       ``(v) Federal, State, and local programs designed to assist 
     oilheat fuel consumers;
       ``(B) to conduct worker safety and training activities 
     relating to oilheat fuel, including energy efficiency 
     training (including classes to obtain Building Performance 
     Institute or Residential Energy Services Network 
     certification);
       ``(C) to carry out other activities recommended by the 
     Secretary; or
       ``(D) to the maximum extent practicable, a data collection 
     process established, in collaboration with the Secretary or 
     other appropriate Federal agencies, to track equipment, 
     service, and related safety issues and to develop measures to 
     improve safety.
       ``(6) Administrative costs.--
       ``(A) In general.--The Alliance shall ensure that not more 
     than 5 percent of the assessments collected for each calendar 
     year under this title are used for--
       ``(i) administrative costs; or
       ``(ii) indirect costs incurred in carrying out paragraphs 
     (1) through (5).
       ``(B) Administration.--Activities under this section shall 
     be documented pursuant to a transparent process and 
     procedures developed in coordination with the Secretary.
       ``(7) Reports.--
       ``(A) Annual reports.--
       ``(i) In general.--Each qualified State association or the 
     Alliance shall prepare an annual report describing the 
     development and administration of this section, and yearly 
     expenditures under this section.
       ``(ii) Contents.--Each report required under clause (i) 
     shall include a description of the use of proceeds under this 
     section, including a description of--

       ``(I) advancements made in energy-efficient heating systems 
     and biofuel heating oil blends; and
       ``(II) heating system upgrades and modifications and energy 
     efficiency programs funded under this section.

       ``(iii) Verification.--

       ``(I) In general.--The Alliance shall ensure that an 
     independent third-party reviews each report described in 
     clause (i) and verifies the accuracy of the report.
       ``(II) Councils.--If a State has a stakeholder efficiency 
     oversight council, the council shall be the entity that 
     reviews and verifies the report of the State association or 
     Alliance for the State under clause (i).

       ``(B) Reports on heating oil efficiency and upgrade 
     program.--At least once every 3 years, the Alliance shall 
     prepare a detailed report describing the consumer savings, 
     cost-effectiveness of, and the lifetime and annual energy 
     savings achieved by heating system upgrades and modifications 
     and energy efficiency programs funded under paragraph (4).
       ``(C) Availability.--Each report, and any subsequent 
     changes to the report, described in this paragraph shall be 
     made publically available, with notice of availability 
     provided to the Secretary, and posted on the website of the 
     Alliance.''.

     SEC. 12407. MARKET SURVEY AND CONSUMER PROTECTION.

       Section 708 of the National Oilheat Research Alliance Act 
     of 2000 (42 U.S.C. 6201 note; Public Law 106-469) is 
     repealed.

     SEC. 12408. LOBBYING RESTRICTIONS.

       Section 710 of the National Oilheat Research Alliance Act 
     of 2000 (42 U.S.C. 6201 note; Public Law 106-469) is 
     amended--
       (1) by striking ``No funds'' and inserting the following:
       ``(a) In General.--No funds'';
       (2) by inserting ``or to lobby'' after ``elections''; and
       (3) by adding at the end the following:
       ``(b) Assessments.--
       ``(1) In general.--Subject to paragraph (2), no funds 
     derived from assessments collected by the Alliance under 
     section 707 shall be used, directly or indirectly, to 
     influence Federal, State, or local legislation or elections, 
     or the manner of administering of a law.
       ``(2) Information.--The Alliance may use funds described in 
     paragraph (1) to provide information requested by a Member of 
     Congress, or an official of any Federal, State, or local 
     agency, in the course of the official business of the Member 
     or official.''.

     SEC. 12409. NONCOMPLIANCE.

       Section 712 of the National Oilheat Research Alliance Act 
     of 2000 (42 U.S.C. 6201 note; Public Law 106-469) is amended 
     by adding at the end the following:
       ``(g) Noncompliance.--If the Alliance, a qualified State 
     association, or any other entity or person violates this 
     title, the Secretary shall--
       ``(1) notify Congress of the noncompliance; and
       ``(2) provide notice of the noncompliance on the Alliance 
     website.''.

     SEC. 12410. SUNSET.

       Section 713 of the National Oilheat Research Alliance Act 
     of 2000 (42 U.S.C. 6201 note; Public Law 106-469) is amended 
     by striking ``9 years'' and inserting ``18 years''.
       And the Senate agree to the same.
     From the Committee on Agriculture, for consideration of the 
     House amendment and the Senate amendment, and modifications 
     committed to conference:
     Frank D. Lucas,
     Randy Neugebauer,
     Mike Rogers of Alabama,
     Michael K. Conaway,
     Glenn Thompson of Pennsylvania,
     Austin Scott of Georgia,
     Eric A. ``Rick'' Crawford,
     Martha Roby,
     Kristi L. Noem,
     Jeff Denham,
     Rodney Davis of Illinois,
     Collin C. Peterson,
     Mike McIntyre,
     Jim Costa,
     Timothy J. Walz,
     Kurt Schrader,
     Suzan K. DelBene,
     Gloria Negrete McLeod,
     Filemon Vela,
     From the Committee on Foreign Affairs, for consideration of 
     title III of the House amendment, and title III of the Senate 
     amendment, and modifications committed to conference:
     Edward R. Royce,
     Tom Marino,
     Eliot L. Engel,
     From the Committee on Ways and Means, for consideration of 
     secs. 1207 and 1301, of the House amendment, and secs. 1301, 
     1412, 1435 and 4204 of the Senate amendment, and 
     modifications committed to conference:
     Dave Camp,
     Sam Johnson of Texas,
     For consideration of the House amendment and the Senate 
     amendment, and modifications committed to conference:
     Steve Southerland II,
     Marcia L. Fudge,
                                Managers on the Part of the House.

     Debbie Stabenow,
     Patrick J. Leahy,
     Tom Harkin,
     Max Baucus,
     Sherrod Brown,
     Amy Klobuchar,
     Michael F. Bennet,
     Thad Cochran,
     Saxby Chambliss,
     John Boozman,
     John Hoeven,
                               Managers on the Part of the Senate.

       Joint Explanatory Statement of the Committee of Conference

       The managers on the part of the House and the Senate at the 
     conference on the disagreeing votes of the two Houses on the 
     amendment of the House to the amendment of the Senate to the 
     bill (H.R. 2642), to provide for the reform and continuation 
     of agricultural and other programs of the Department of 
     Agriculture through fiscal year 2018, and for other purposes, 
     submit the following joint statement to the House and the 
     Senate in explanation of the effect of the action agreed upon 
     by the managers and recommended in he accompanying conference 
     report:
       The Senate amendment struck all of the House bill after the 
     enacting clause and inserted a substitute text.
       The House amendment struck out that matter proposed to be 
     inserted by the Senate amendment and inserted a substitute 
     text.
       The House recedes from its amendment to the amendment of 
     the Senate and agrees to

[[Page 1955]]

     the same with an amendment that is a substitute for the House 
     amendment and the Senate amendment. The difference between 
     the House amendment, the Senate amendment, and the substitute 
     agreed to in conference are noted below, except for clerical 
     corrections, conforming changes made necessary by agreements 
     reached by the conferees, and minor drafting and clarifying 
     changes.

                          Title I--Commodities

     (1) Repeal of Direct Payments
       Section 1101 of the House bill repeals direct payments 
     effective with the 2014 crop year. The section continues 
     direct payments for the 2013 crop year for all covered 
     commodities and peanuts, consistent with the extension of the 
     2008 Farm Bill. The section continues direct payments for the 
     2014 and 2015 crop years for upland cotton only except that 
     the term ``payment acres'' is amended to mean the following: 
     (1) for crop year 2014, 70 percent of the base acres of 
     upland cotton on a farm on which direct payments are made; 
     and (2) for crop year 2015, 60 percent of the base acres of 
     upland cotton on a farm on which direct payments are made. 
     (Section 1101)
       The Senate amendment, in section 1101, repeals direct 
     payments effective with the 2014 crop year. The section 
     continues direct payments for the 2013 crop year for all 
     covered commodities (except pulse crops) and peanuts. 
     (Section 1101)
       The Conference substitute adopts the House provision with 
     an amendment to delete the continued application for the 2014 
     and 2015 crop years. (Section 1101)
       Transition assistance for producers of upland cotton
       The House bill, in section 1101, continued application of 
     direct payments to producers of upland cotton as a transition 
     to STAX, including on 70 percent of base acres in the 2014 
     crop year and on 60 percent of base acres in the 2015 crop 
     year.
       The Senate amendment has no comparable provision.
       The Conference substitute adopts the House provision 
     allowing for a transition payment but not through a 
     continuation of the Direct Payment or any portion thereof. 
     The section provides transition payments to producers of 
     upland cotton in light of the repeal of direct payments, the 
     ineligibility of cotton producers for PLC or ARC, and the 
     delayed implementation of STAX. The section provides that 
     transition payments will be made with respect to the 2014 
     crop year to upland cotton producers with cotton base in the 
     2013 crop year, and with respect to the 2015 crop year to 
     upland cotton producers with base in the 2013 crop year and 
     who are located in counties where STAX is not available for 
     that crop year. The transition assistance rate is equal to 
     the product obtained when multiplying the June 12, 2013 
     midpoint estimate for the marketing year average price of 
     upland cotton for the marketing year beginning August 1, 2013 
     less the December 10, 2013 midpoint estimate for the 
     marketing year average price of upland cotton for the 
     marketing year beginning August 1, 2013 as contained in the 
     applicable WASDE report published by USDA and the national 
     program yield for upland cotton of 597 pounds per acre. The 
     section provides that the amount of transition assistance 
     shall be equal to the product obtained when multiplying, for 
     the 2014 crop year, 60 percent, and for the 2015 crop year, 
     36.5 percent, of the cotton base acres in effect for crop 
     year 2013; the transition assistance rate in effect for the 
     particular crop year and the payment yield for upland cotton 
     under section 1103(c)(3) of the 2008 Farm Bill divided by the 
     national program yield of 597 pounds per acre. The section 
     requires transition payments to be made on October 1 or as 
     soon as practicable thereafter. The section applies the same 
     pay limits to this transition assistance as was applied to 
     section 1103 of the 2008 Farm Bill. The section provides that 
     the pay limits provided for under the 2014 Farm Bill do not 
     apply to transition payments and transition payments received 
     under this section shall not count toward pay limits under 
     the 2014 Farm Bill limits. (Section 1119)
     (2) Definitions
       The House bill defines terms necessary for implementation 
     of this Act: actual county revenue, base acres, county 
     revenue loss coverage trigger, covered commodity, effective 
     price, extra long staple cotton, farm base acres, medium 
     grain rice, midseason price, other oilseed, payment acres, 
     payment yield, price loss coverage, producer, pulse crop, 
     reference price, revenue loss coverage, Secretary, state, 
     temperate Japonica rice, transitional yield, United States, 
     and United States premium factor. (Section 1104)
       The Senate amendment defines terms necessary for 
     implementation of this Act: actual crop revenue, adverse 
     market payment, agriculture risk coverage guarantee, 
     agriculture risk coverage payment, average individual yield, 
     base acres, county coverage, covered commodity, eligible 
     acres, extra long staple cotton, individual coverage, medium 
     grain rice, other oilseed, payment acres, payment yield, 
     producer, pulse crop, state, reference price, transitional 
     yield, United States, and United States premium factor. 
     (Section 1104)
       The Conference substitute defines the terms necessary for 
     implementation of this Act: actual crop revenue, agriculture 
     risk coverage, agriculture risk coverage guarantee, base 
     acres, county coverage, covered commodity, effective price, 
     extra long staple cotton, generic base acres, individual 
     coverage, medium grain rice, other oilseed, payment acres, 
     payment yield, price loss coverage, producer, pulse crop, 
     reference price, Secretary, state, temperate Japonica rice, 
     transitional yield, United States, and United States premium 
     factor. (Section 1111)
       The Managers intend that, for purposes of the reallocation 
     of base acres under section 1112; the establishment of a 
     reference price (as required under section 1116(g)) and an 
     effective price pursuant to section 1116; and the 
     determination of the actual crop revenue and agriculture risk 
     coverage guarantee pursuant to section 1117, medium and short 
     grain rice produced in California shall be deemed Temperate 
     Japonica Rice. For all other purposes, the Managers intend 
     that Temperate Japonica Rice be treated as medium grain rice.
       Payment Acres
       The House bill, in the definitions section, provides that 
     payment acres for price loss coverage and revenue loss 
     coverage means 85 percent of total acres planted for the year 
     to each covered commodity on a farm and 30 percent of total 
     acres approved as prevented from being planted, except that 
     the total of payment acres may not exceed farm base acres. 
     The provision requires the Secretary to reduce payment acres 
     applicable to each crop proportionately. The provision 
     excludes from the term payment acres any crop subsequently 
     planted during the same crop year on the same land for which 
     the first crop is eligible for payments unless the crop was 
     approved for double cropping. (Section 1104)
       The Senate bill, in the definitions section, provides that 
     payment acres means 85 percent of the base acres for a 
     covered commodity on a farm on which adverse market payments 
     are made. (Section 1104)
       The Conference substitute adopts the House provision with 
     modifications. The section establishes payment acres for both 
     price loss coverage and agriculture risk coverage for each 
     covered commodity on a farm at 85 percent of the sum of the 
     total base acres for each covered commodity on the farm and 
     any generic base acres on the farm planted to the covered 
     commodity for the crop year. The section establishes payment 
     acres for individual coverage under agriculture risk coverage 
     at 65 percent of the sum of total base acres and any generic 
     base acres planted to a covered commodity for the crop year. 
     The section provides that price loss coverage and agriculture 
     risk coverage payments are made only with respect to generic 
     base acres planted to a covered commodity for the crop year. 
     The section provides that if a single covered commodity is 
     planted on generic base acres and the total acreage exceeds 
     that generic base, the generic base acres are attributed to 
     that covered commodity in an amount equal to the total number 
     of generic base acres. The section provides that if multiple 
     covered commodities are planted to generic base acres and the 
     total number of acres planted exceeds generic base, the 
     generic base acres are attributed to each of the covered 
     commodities on a pro rata basis to reflect the ratio of the 
     acreage planted to a covered commodity on the farm to the 
     total acreage planted to all covered commodities on the farm. 
     The section provides that if the total number of acres 
     planted to all covered commodities does not exceed the 
     generic base acres then the number of acres planted to a 
     covered commodity is attributed to that covered commodity. 
     The section provides that when generic base acres are planted 
     to a covered commodity or acreage planted to a covered 
     commodity is attributed to generic base, the generic base 
     acres are in addition to other base acres on the farm. The 
     section further provides that the quantity of payment acres 
     may not include any crop subsequently planted during the same 
     crop year on the same land for which the first crop is 
     eligible for price loss coverage or agriculture risk coverage 
     unless the crop was approved for double cropping. The section 
     prohibits price loss coverage or agriculture risk coverage 
     payments to a producer on a farm if base acres are 10 acres 
     or less, except in the case of socially disadvantaged or 
     limited resource farmers and ranchers. The section requires 
     that for purposes of calculating payment acres, base acres 
     must be reduced in any crop year when fruits, vegetables 
     (other than mung beans and pulse crops), or wild rice are 
     planted on base acres. In the case of price loss coverage 
     payments and agriculture risk coverage payments using county 
     coverage, the reduction will be equal to the acreage planted 
     to fruits, vegetables (with the two exceptions), or wild rice 
     in excess of 15 percent of base acres; 35 percent of base 
     acres in the case of individual level agriculture risk 
     coverage payments. No such reduction is required under the 
     section where the crops are grown solely for conservation 
     purposes and not for use or sale, in any region in which 
     there is a history of double cropping these crops with 
     covered commodities and the crops were double cropped on base 
     acres, or where the crops were planted on generic base acres. 
     (Section 1114)

[[Page 1956]]


     (3) Base Acres
       The House bill, in section 1105(a), requires the Secretary 
     to provide for appropriate adjustments to base acres for 
     covered commodities and cotton when a Conservation Reserve 
     Program (CRP) contract expires or is voluntarily terminated, 
     when cropland is released from coverage under a conservation 
     reserve contract, or when the producer has eligible oilseed 
     acreage as the result of the Secretary designating additional 
     oilseeds which must be determined in the same manner as under 
     the 2008 Farm Bill. Section 1105(a) further requires that, 
     for the crop year in which an adjustment in base is made, an 
     owner of a farm elect price loss coverage or revenue loss 
     coverage with respect to acreage added to the farm under an 
     adjustment in base acres or a prorated payment under the 
     conservation reserve contract, but not both. Section 1105(b) 
     requires the Secretary to reduce the base acres for 1 or more 
     covered commodities or cotton so the sum of base acres does 
     not exceed the actual crop acreage of the farm. For purposes 
     of carrying out any required reduction, the provision 
     requires the Secretary to include any acreage enrolled in CRP 
     or WRP, or successor programs, any other acreage enrolled in 
     a federal conservation program for which payments are made in 
     exchange for not producing a crop, or any eligible oilseed 
     acreage if the Secretary designates additional oilseeds. The 
     section requires the Secretary to allow the owner of the farm 
     to select base acres against which any reduction is to be 
     made. The section requires an exception to be made in regard 
     to any required reduction in the case of double cropping. 
     Section 1105(c) authorizes an owner on a farm to reduce base 
     acres at any time and the reduction will be permanent. 
     Finally, the section requires the Secretary to 
     proportionately reduce base acres on a farm for land that has 
     been subdivided and developed for multiple residential units 
     or non-farming uses if the land is unlikely to return to 
     agriculture uses unless the producers on the farm demonstrate 
     that the land remains devoted to agricultural production or 
     is likely to be returned to previous agriculture use. The 
     Secretary is required to establish procedures to identify 
     such lands. (Section 1105)
       The Senate amendment is similar to the House provision 
     except the section refers to covered commodities rather than 
     covered commodities and cotton. The provision also allows an 
     adjustment in base acres if a conservation reserve contract 
     was terminated or expired, or if cropland is released from a 
     conservation reserve contract, between October 1, 2012 and 
     the date of enactment of the 2014 Farm Bill; if the producer 
     has eligible pulse crop acreage determined in the same manner 
     as eligible oilseed acreage under section 1101(a)(2) of the 
     2002 Farm Bill; or when the producer has eligible oilseed 
     acreage as the result of the Secretary designating additional 
     oilseeds which must be determined in the same manner as under 
     the 2002 Farm Bill. The section includes the same special 
     conservation reserve acreage payment rules as the House 
     provision except it is with respect to a producer rather than 
     owner of a farm. The section provides peanut producers with a 
     one-time opportunity to adjust peanut base acres. The 
     section, in regard to prevention of excess base acres, is the 
     same as the House provision except the section refers to 
     covered commodities rather than covered commodities and 
     cotton relative to required reductions to base. With regard 
     to other acreage to be included as part of any required 
     reduction, the section refers to the Agricultural 
     Conservation Easement Program instead of WRP or successor 
     programs; includes any eligible pulse crop acreage which must 
     be determined in the same manner as eligible oilseed acreage 
     under section 1101(a)(2) of the 2002 Farm Bill; and includes 
     any eligible oilseeds if the Secretary designates additional 
     oilseeds determined under section 1101(a)(2) of the 2002 Farm 
     Bill rather than subsection (a)(1)(c) of the 2014 Farm Bill. 
     The section allows the producer to decide what base acres to 
     reduce if any reduction is required rather than the owner of 
     the farm. Similarly, the section allows the farmer to elect 
     to reduce base acres at any time, rather than allowing the 
     owner of the farm to do so. The section requiring the 
     Secretary to proportionally reduce base acres for land not in 
     agricultural use refers to covered commodities rather than 
     covered commodities and cotton. The section also requires a 
     report to Congress that only farmers received Farm Bill 
     payments. (Section 1105)
       The Conference substitute adopts the House provision with 
     an amendment to allow owners of a farm to retain base acres, 
     including generic base acres, or to reallocate all base 
     acres, other than generic base. The section provides notice 
     requirements concerning the option to retain or reallocate 
     base and provides that failure to make an election results in 
     the retention of existing base acres. The section provides 
     that an election to retain the number of acres established 
     sections 1001 and 1301 of the 2008 Farm Bill, as adjusted 
     pursuant to sections 1101, 1108, and 1302 of the 2008 Farm 
     Bill in effect as of September 30, 2013. The section provides 
     that generic base is automatically retained. The section 
     authorizes an owner of a farm to reallocate all of the base 
     acres for covered commodities among those covered commodities 
     planted on the farm at any time during the 2009 through 2012 
     crop years. The section requires that the reallocation of 
     base acres be in proportion to the ratio of the 4-year 
     average of the acreage planted on the farm to each covered 
     commodity for harvest, grazing, haying, silage, or other 
     similar purposes for the 2009 through 2012 crop years and any 
     acreage that the producers were prevented from planting 
     during the same years because of drought, flood, natural 
     disasters, or other condition beyond the control of producers 
     as determined by the Secretary, to the 4-year average of the 
     acreage planted on the farm to all covered commodities for 
     harvest, grazing, haying, silage or other similar purposes 
     for the crop years and any acreage on the farm that the 
     producers were prevented from planting during the crop years 
     to covered commodities for the same reasons prescribed above. 
     The section requires that generic base is retained and may 
     not be reallocated. The section prohibits the Secretary from 
     excluding any year in which a covered commodity was not 
     planted for purposes of determining the 4-year average. The 
     section provides that if acreage that was planted or 
     prevented from being planted was devoted to another covered 
     commodity in the same crop year (other than under an 
     established practice of double cropping), the owner may elect 
     the commodity to be used for that crop year in determining 
     the 4-year average but may not include both the initial 
     commodity and the subsequent commodity. The section requires 
     that the reallocation of base acres may not result in a total 
     number of base acres (including generic base) for the farm 
     that exceed the number of base acres in effect on the farm on 
     September 30, 2013. The section requires that the election 
     made by an owner on a farm or deemed to be made applies to 
     all covered commodities on the farm. With respect to 
     provisions concerning the adjustment of base acres, 
     prevention of excess base acres, and reduction in base acres, 
     reference is made to generic base instead of cotton. (Section 
     1112)
     (4) Payment yields
       The House bill maintains the provisions of section 1102 of 
     the 2008 Farm Bill except it drops the directive that the 
     Secretary establish yields for eligible pulse crops and 
     directs the Secretary to establish yields for designated 
     oilseeds not established under section 1102 of the 2008 Farm 
     Bill rather than the 2002 Farm Bill. The section requires 
     that if no payment yield is otherwise established the 
     Secretary must establish an appropriate payment yield. In 
     establishing appropriate payment yields, the Secretary is 
     required to take into consideration payment yields applicable 
     to the covered commodity for similarly situated farms. The 
     section authorizes owners to update yields on a commodity-by-
     commodity basis for purposes of price loss coverage payments. 
     Owners must make an election to update yields to be in effect 
     beginning with the 2014 crop year. The section requires that 
     payment yields under any updated yield would be 90 percent of 
     the average of the yield per planted acre for the 2008 
     through 2012 crop years, as determined by the Secretary, 
     excluding crop years in which the acreage planted to the 
     commodity was zero. The section provides that if the yield 
     per planted acre for any of the 2008 through 2012 crop years 
     was less than 75 percent of the average of the 2008 through 
     2012 county yields, the Secretary must assign a yield for the 
     crop year equal to 75 percent of the average of the 2008 
     through 2012 county yield for purposes of determining the 
     average yield under an update. The section requires that, in 
     the case of a yield update, if no payment yield is otherwise 
     established the Secretary must establish an appropriate 
     payment yield. In establishing appropriate payment yields in 
     the case of an update, the Secretary is required to take into 
     consideration payment yields applicable to the covered 
     commodity for similarly situated farms. (Section 1106)
       The Senate amendment contains similar provisions relative 
     to yields for designated oilseeds but adds eligible pulse 
     crops and refers to section 1102 of the 2002 Farm Bill rather 
     than section 1102 of the 2008 Farm Bill. The provision also 
     allows a yield update for rice and a yield update for peanuts 
     if the producer elected to update base. (Section 1106)
       The Conference substitute adopts the House provision except 
     that the Secretary shall provide for the establishment of a 
     yield for any designated oilseed for which a payment yield 
     was not established under the 2008 Farm Bill for purposes of 
     price loss coverage only; the substitute omits the 
     requirement that in the case of establishing yields for 
     designated oilseeds, if historic yield data is not available, 
     the Secretary must use a specified ratio for dry peas; and 
     the language clarifies that the payment yield update 
     opportunity is with respect to each covered commodity, and 
     that the election to update yields would take effect 
     beginning with the 2014 crop year. (Section 1113)
       For those producers with no payment yield, the Managers 
     intend that, with respect to the yield update offered under 
     section 1113, the Secretary will assign the producer a 
     payment yield using similarly situated farms prior to 
     offering the opportunity to update their yield.

[[Page 1957]]


     (5) Farm Risk Management Election
       The House bill requires the Secretary to make required 
     payments under Price Loss Coverage (PLC) or Revenue Loss 
     Coverage (RLC) with respect to covered commodities of 
     producers on a farm except that PLC or RLC payments may not 
     be made on farms with 10 acres or less of planted acres of a 
     covered commodity unless in the case of socially 
     disadvantaged or limited resource farmers or ranchers. In the 
     case of PLC, for the 2014 and subsequent crop years the 
     Secretary is required to make payments on a covered commodity 
     when the effective price for the crop year is less than the 
     reference price, with the effective price being the higher of 
     the midseason price or the national average loan rate for the 
     covered commodity. The section provides a payment rate equal 
     to the difference between the reference price and the 
     effective price and that the payment amount is to be equal to 
     the product when multiplying the payment rate, the payment 
     yield, and the payment acres. The section requires that 
     payments be made on October 1 or as soon as practicable 
     thereafter. The Secretary is required to use an all-barley 
     price when determining the effective price for barley, and a 
     reference price for Temperate Japonica Rice that is 115 
     percent of the reference price for long grain and medium 
     grain rice. Reference prices, provided in the definitions 
     section, are: wheat, $5.50 per bushel; corn, $3.70 per 
     bushel; grain sorghum, $3.95 per bushel; barley, $4.95 per 
     bushel; oats, $2.40 per bushel; long grain rice, $14.00 per 
     cwt.; medium grain rice, $14.00 per cwt.; soybeans, $8.40 per 
     bushel; other oilseeds, $20.15 per cwt.; peanuts $535.00 per 
     ton; dry peas, $11.00 per cwt.; lentils, $19.97 per cwt.; 
     small chickpeas, $19.04 per cwt.; large chickpeas, $21.54 per 
     cwt. The section offers RLC as an alternative to PLC that 
     owners on the farm have a one-time, irrevocable election to 
     make on a covered commodity-by-covered commodity basis. The 
     section provides that if any owners of the farm make 
     different elections with respect to the same covered 
     commodity, all owners of the farm will be deemed to have not 
     elected RLC. The section requires the Secretary to make an 
     RLC payment for the 2014 and subsequent crop years when the 
     actual county revenue for a covered commodity in a crop year 
     is less than the county revenue loss trigger for the 
     commodity for the crop year. The section requires that RLC 
     payments be made on October 1 or as soon as practicable 
     thereafter. The section provides that actual county revenue 
     is the product of multiplying the actual county yield for 
     each planted acre of the covered commodity in a crop year by 
     the higher of the midseason price or the national average 
     loan rate for the covered commodity. The section provides 
     that the county RLC trigger is equal to 85 percent of the 
     benchmark county revenue which is the product of multiplying 
     the average historical county yield for the most recent 5 
     crop years, excluding the high and the low, by the average 
     national marketing year average price for the most recent 5 
     crop years, excluding the high and the low. The section 
     provides a yield plug of 70 percent of the transitional yield 
     where historical county yield is less than 70 percent of that 
     transitional yield, and a price plug, the reference price for 
     the covered commodity, where the national marketing year 
     average price is lower than the reference price. The section 
     provides that the payment rate for RLC is equal to the lesser 
     of 10 percent of the benchmark county revenue for the covered 
     commodity for the crop year, or the difference between the 
     county RLC trigger and the actual county revenue. The section 
     provides a payment amount equal to the product of the payment 
     rate multiplied by the payment acres of the covered 
     commodity. The section imposes duties on the Secretary to 
     ensure that producers on the farm do not reconstitute the 
     farm to void or change the election made between PLC and RLC; 
     use all available information and analysis to check for 
     anomalies in RLC payments; to provide separate county RLC 
     trigger and actual county revenue for covered commodities by 
     irrigation practice; assign a benchmark yield on the basis of 
     yield history of representative farms in a state, region, or 
     crop reporting district where the Secretary cannot establish 
     the benchmark county yield in a county or the yield otherwise 
     determined is unrepresentative of the average yield for the 
     county; and ensure that producers on the farm suffered an 
     actual loss when receiving an RLC payment. The section 
     requires a report to Congress on the cost of PLC and RLC and 
     their effect on planting, production, price, and exports. The 
     section also imposes a cap on total cost of PLC and RLC. 
     (Section 1107)
       The Senate amendment authorizes the Secretary to make 
     Adverse Market Payments (AMP) to eligible producers for each 
     of the 2014 through 2018 crop years. The section requires a 
     payment any time that the actual price for a covered 
     commodity is less than the reference price. The section 
     establishes the actual price at a level equal to the higher 
     of the national average market price received during the 12-
     month marketing year or the national average loan rate. The 
     actual price for rice is determined in the same way except 
     separately for long grain rice and medium grain rice. The 
     section establishes reference prices at 55 percent of the 
     average national marketing year average price for the most 
     recent 5 crop years, dropping the high and the low except 
     that for long grain rice and medium grain rice the reference 
     price will be $13.30 per hundredweight and for peanuts the 
     reference price will be $523.77 per ton. The section provides 
     that the payment rate will be the difference by which the 
     reference price exceeds the actual price, and that the 
     payment amount is calculated by multiplying the payment rate 
     by the payment acres and payment yield. The section requires 
     the Secretary to determine actual price and reference price 
     by type or class for sunflowers; barley, using malting 
     values; and wheat. The section provides that payments must be 
     made by October 1 or as soon as practicable thereafter. 
     (Section 1107)
       The Senate amendment also authorizes Agriculture Risk 
     Coverage (ARC) payments for the 2014 through 2018 crop years. 
     The section requires producers to make a one time, 
     irrevocable election to receive individual coverage or county 
     coverage where there is sufficient county data. The election 
     would bind the producer with respect to all acres under the 
     operational control of the producer, including acres brought 
     under the control of the producer after the election is made. 
     Acres no longer under the producer's operational control 
     after an election are not subject to the producer's election 
     but the election of the subsequent producer. The section 
     requires the Secretary to ensure that producers do not take 
     actions to alter or reverse their elections. An ARC payment 
     is required whenever the actual crop revenue for the covered 
     commodity is less than the ARC guarantee. The section 
     provides that payments are to be made on October 1 or as soon 
     as practicable thereafter. The section provides that actual 
     crop revenue is the product of the multiplication of the 
     actual average individual yield (for individual coverage) or 
     the actual average yield for the county (for county coverage) 
     and the higher of the national average market price received 
     during the 12-month marketing year or, if applicable, the 
     reference price established for the covered commodity under 
     section 1107. The section provides that the ARC guarantee is 
     equal to 88 percent of the benchmark revenue. The section 
     requires that the benchmark revenue be the product of 
     multiplying the average individual yield for the most recent 
     5 crop years, dropping the high and the low (for individual 
     coverage) or the average county yield for the most recent 5 
     crop years, dropping the high and the low (for county 
     coverage) by the average national marketing year average 
     price for the most recent 5 crop years, excluding the high 
     and the low. The section provides a 60 percent yield plug for 
     the 2013 and prior crop years and a 65 percent yield plug for 
     the 2014 and subsequent crop years. The section establishes a 
     payment rate equal to the lesser of the amount that the ARC 
     guarantee exceeds the actual crop revenue or 10 percent of 
     the benchmark revenue for the covered commodity. The section 
     established a payment amount at an amount equal to the 
     product obtained by multiplying the payment rate by 65 
     percent of the planted eligible acres and 45 percent of the 
     eligible acres that were prevented from being planted (for 
     individual coverage) and by 80 percent and 45 percent, 
     respectively (for county coverage). The section imposes 
     duties on the Secretary including using all available 
     information and analysis to check for anomalies in ARC 
     payments; to calculate separate actual crop revenue and ARC 
     guarantees by irrigation practice; differentiate by type or 
     class the national average price for sunflowers; barley, 
     using malting barley values; and wheat; and assign yields on 
     the basis of yield history of representative farms in the 
     state, region, or crop reporting districts if the Secretary 
     cannot establish a county yield if the yield otherwise 
     determined is unrepresentative of an average yield for the 
     covered commodity. (Section 1108)
       The Conference substitute adopts the House provision with 
     amendments. The substitute creates a new section, section 
     1115, establishing rules for a producer election between PLC 
     and ARC. For the 2014 through 2018 crop years the substitute 
     requires all of the producers on a farm to make a 1-time, 
     irrevocable election to receive price loss coverage on a 
     covered commodity-by-covered-commodity basis or agriculture 
     risk coverage. The substitute requires that producers on a 
     farm that elect ARC must unanimously select whether to 
     receive county coverage on a covered commodity-by-covered-
     commodity basis or individual coverage applicable to all of 
     the covered commodities on the farm. The substitute provides 
     that if all the producers on a farm fail to make a unanimous 
     election for the 2014 crop year, the Secretary may not make 
     any ARC or PLC payments with respect to the farm for the 2014 
     crop year and the producers on the farm will be deemed to 
     have elected PLC for all covered commodities on the farm for 
     the 2015 through 2018 crop years. The substitute provides 
     that if all the producers on a farm select ARC county 
     coverage for a covered commodity, the Secretary may not make 
     PLC payments to the producers on the farm for that covered 
     commodity. The substitute provides that if all the producers 
     on a farm select individual ARC coverage, the Secretary must 
     consider for purposes of making specified calculations

[[Page 1958]]

     the producer's share of all farms in the same State in which 
     the producer has an interest and for which individual 
     coverage has been selected. Finally, the substitute requires 
     the Secretary to ensure that producers on a farm do not 
     reconstitute the farm to void or change an election or 
     selection made.
       The Conference substitute provides, in section 1116, that 
     if all of the producers on a farm make an election to receive 
     PLC for a covered commodity or are deemed to have made such 
     an election, then the Secretary shall make PLC payments to 
     producers on the farm on a covered commodity-by-covered-
     commodity basis if the Secretary determines that, for any of 
     the 2014 through 2018 crop years, the effective price for a 
     covered commodity is less than the reference price in a crop 
     year. The section establishes that the effective price for a 
     covered commodity is the higher of the national average 
     market price during the 12-month marketing year or the 
     national average loan rate. The section provides that the 
     payment rate is equal to the difference between the reference 
     price and the effective price. The section further provides 
     that the payment amount shall be the product of multiplying 
     the payment rate, the payment yield, and the payment acres 
     and that payments are to be made by October 1 or as soon as 
     practicable thereafter. The section requires that the all-
     barley price is to be used when determining the effective 
     price for barley, and that the reference price for Temperate 
     Japonica Rice is 115 percent of the reference price for long 
     grain or medium grain rice. Reference prices are the same as 
     provided in the House bill.
       The Conference substitute, in section 1117, also includes 
     the ARC that closely mirrors the Senate provision with some 
     modifications. The substitute provides that if all producers 
     on a farm make an election to receive ARC, then ARC payments 
     are required to be made to producers on the farm when the 
     Secretary determines that, for any of the 2014 through 2018 
     crop years, actual crop revenue is less than the ARC 
     guarantee for a crop year. The section provides that actual 
     crop revenue for a county is equal to the product obtained 
     when multiplying the actual average county yield per planted 
     acre for the covered commodity and the higher of the national 
     average market price received during the 12-month marketing 
     year or the national average loan rate. The section provides 
     that in the case of individual ARC, the actual crop revenue 
     for a producer for a crop is based on the producer's share of 
     all covered commodities planted on all farms in which the 
     producer has an interest and for which individual coverage 
     has been selected, to be determined by the Secretary as 
     follows: for each covered commodity, by obtaining the product 
     of multiplying the total production of the covered commodity 
     on the farm by the higher of the national average market 
     price received during the 12-month marketing year or the 
     national average loan rate; by then determining the sum of 
     the amounts determined, above, for all covered commodities on 
     the farm; and then arriving at the quotient obtained when 
     dividing the amount, immediately above, by the total planted 
     acres of all covered commodities on the farms. The section 
     provides that the ARC guarantee for a covered commodity in a 
     crop year is 86 percent of the benchmark revenue, which for 
     county coverage is the product obtained by multiplying the 
     average historical yield for the most recent 5 crop years, 
     excluding the high and the low, by the national average 
     market price received by producers during the 12-month 
     marketing year for the most recent 5 crop years, dropping the 
     high and the low. The section provides that benchmark revenue 
     for individual coverage is based on the producer's share of 
     all covered commodities planted on all farms which the 
     producer has an interest and for which individual coverage 
     has been selected to be determined by the Secretary as 
     follows: for each covered commodity for each of the most 
     recent 5 years, the product obtained by multiplying the yield 
     per planted acre for the covered commodity on the farm by the 
     national average market price received by producers during 
     the 12-month marketing year; for each covered commodity, the 
     average of the revenues determined above for the most recent 
     5 crops, dropping the high and the low; for each of the 2014 
     through 2018 crop years, the sum of the amounts determined 
     immediately above for all covered commodities on the farms, 
     but adjusted to reflect the ratio between the total number of 
     acres planted on the farms to a covered commodity and the 
     total acres of all covered commodities planted on the farms. 
     The section provides a yield plug of 70 percent of the 
     transitional yield when the yield per planted acre or 
     historical county yield for any of the 5 most recent crop 
     years is less than 70 percent of the transitional yield, and 
     a price plug equal to the reference price for the covered 
     commodity when the national average market price received by 
     producers during the 12-month marketing year for any of the 5 
     most recent crop years is lower than the reference price. The 
     section establishes that the payment rate is equal to the 
     lesser of the amount that the ARC guarantee exceeds the 
     actual crop revenue or 10 percent of the benchmark revenue. 
     The section further provides that the payment amount is to be 
     determined by multiplying the payment rate by the payment 
     acres determined under section 1114, and that payments are 
     required to be made by October 1 or as soon as practicable 
     thereafter. The section imposes duties on the Secretary to 
     use all available information and analysis to check for 
     anomalies in ARC payments; to provide separate actual crop 
     revenue and ARC guarantees for a covered commodity by 
     irrigation practice; assign an individual yield for a farm on 
     the basis of the yield history of representative farms in the 
     state, region, or crop reporting district if the farm has 
     planted acreage in a quantity that is insufficient to 
     calculate a representative average yield for the farm; and 
     assign a benchmark county yield for each planted acre on the 
     basis of the yield history of representative farms in the 
     state, region, or crop reporting district where the Secretary 
     cannot establish the actual or benchmark county yield or the 
     yield calculated is an unrepresentative average yield. 
     (Sections 1115, 1116, and 1117)
       The Managers recognize that all producers on the farm have 
     a one-time opportunity to elect either PLC or ARC for each 
     crop on the farm on a commodity-by-commodity basis, with the 
     exception that if a producer elects individual-level ARC, the 
     producer must elect individual-level ARC for all crops on the 
     farm. However, the Managers intend for USDA to have an annual 
     signup to participate in the program for the applicable year 
     based on the producer election that was made. The Managers 
     stress that FSA has always had an annual signup into 
     available programs, which is simply a decision to participate 
     in a given year. Absent an annual signup, producers may well 
     fail to notify FSA of ownership changes, complete AGI 
     certifications, and other information required to be provided 
     by the producer to FSA. The signup period is the one time 
     each year where producers are certain to complete all of the 
     necessary records and forms.
     (6) Producer Agreements
       The House bill, in section 1108, retains a producer 
     agreement requirement from the 2008 Farm Bill except that 
     benefits under this subtitle are referred to rather than 2008 
     subtitle programs and planting flexibility, agricultural and 
     conserving use, and production report requirements are 
     dropped, as is a provision that prohibits any benefit 
     penalties against a producer for an inaccurate acreage or 
     production report unless the producer knowingly and willfully 
     falsified the reports.
       The Senate amendment is similar except agricultural and 
     conserving uses and production reports requirements and 
     prohibition on penalties are not dropped as compared to the 
     2008 Farm Bill. The section includes a data reporting 
     requirement that the Secretary must use data reported by the 
     producer to meet crop insurance requirements to meet acreage 
     reporting and production reporting requirements, and the 
     section clarifies that producers are required to meet the 
     noxious weed control requirement if the agriculture or 
     conserving use involves non-cultivation of any portion of 
     land referenced in the agriculture and conserving use 
     requirement provision.
       The Conference substitute adopts the House provision except 
     agricultural and conserving use requirements under the 2008 
     Farm Bill are retained and certain production reports are 
     required. (Section 1118)
     (7) Senate Amendment
       The Senate amendment provides that Sections 1104 
     (Definitions) through 1109 (Producer Agreements) shall be 
     effective beginning with the 2014 crop year of each covered 
     commodity through the 2018 crop year. (Section 1110)
       The House bill provides no comparable provision and instead 
     indicates in each section that the provision applies for the 
     2014 and each subsequent crop year.
       The Conference substitute adopts the Senate effective 
     period for sections 1111 (Definitions) through 1118 (producer 
     agreements).
     (8) Availability of marketing assistance loans
       The House bill extends the 2008 Farm Bill's provision 
     requiring the availability of nonrecourse marketing 
     assistance loans for loan commodities for the 2014 and 
     succeeding crop years except that peanuts are included in the 
     definition of loan commodity rather than there being a 
     separate section of the law providing loan assistance for 
     peanuts. The special rules for peanuts authorized under the 
     2008 Farm Bill are also carried over into this section. 
     (Section 1201)
       The Senate amendment is the same as the House bill except 
     that the provision is reauthorized through 2018 and requires 
     producers to agree to use the land on the farm for an 
     agriculture or conserving use, and to effectively control 
     noxious weeds and maintain the land in accordance with sound 
     agricultural practices if it involves the noncultivation of 
     any portion of the land. The Secretary is required under the 
     provision to issue rules necessary to enforce compliance. The 
     section also authorizes the Secretary to modify the 
     requirements of this section if the modification is 
     consistent with the purposes of this subsection. (Section 
     1201)
       The Conference substitute adopts the House provision except 
     that the provision of loans is required for the 2014 through 
     2018 crop years. (Section 1201)

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       The Managers intend that Subtitle B, including but not 
     limited to the Marketing Assistance Loan Program, the 
     Economic Adjustment Assistance Program, and the ELS 
     Competitiveness Program, will be administered in the same 
     manner as under the 2008 Farm Bill.
     (9) Loan Rates for Nonrecourse Marketing Assistance Loans
       The House bill extends the 2008 Farm Bill's provision 
     establishing loan rates for nonrecourse marketing assistance 
     loans for the 2014 and succeeding crop years except the loan 
     rate for upland cotton is established at the simple average 
     of the adjusted prevailing world price for the two 
     immediately preceding marketing years, as determined by the 
     Secretary and announced October 1 preceding the next domestic 
     plantings but in no case may the loan rate be less than 47 
     cents per pound or more than 52 cents per pound. The section 
     also includes an extension of the 2008 Farm Bill's loan rate 
     for peanuts. (Section 1202)
       The Senate amendment is similar to the House provision 
     except that the loan rates are extended through the 2018 crop 
     year and the minimum loan rate for upland cotton is 
     established at 45 cents per pound. (Section 1202)
       The Conference substitute adopts the Senate provision. 
     (Section 1202)
       The Managers stress that the loan rate reduction authority 
     granted under this section is intended to address the cotton 
     domestic support elements of Brazil's dispute with the United 
     States (WT/DS 267) before the World Trade Organization. This 
     authority is in addition to other reforms to U.S. cotton 
     policy made by the 2014 Farm Bill, including repeal of the 
     suite of commodity policies made available to cotton 
     producers under the 2002 and 2008 Farm Bills, the 
     ineligibility of cotton producers to participate in successor 
     policies contained in the 2014 Farm Bill, the authorization 
     of expenditure of funds in connection with certain research 
     and development activities on behalf of Brazilian cotton, and 
     other reforms, including with respect to the export credit 
     guarantee elements of the dispute, statutory reforms to the 
     GSM 102 Export Credit Guarantee Program. The Managers intend 
     that these reforms lead to a negotiated resolution of the 
     dispute.
     (10) Repayment of Loans
       The House bill generally extends the repayment of loan 
     provisions of the 2008 Farm Bill for the 2014 and succeeding 
     crop years except the section incorporates peanuts consistent 
     with repayment provisions of the 2008 Farm Bill for that 
     crop, and provides for a 10 percent reduction in cotton 
     storage payment rates as compared to the rates in effect for 
     the 2006 crop year. (Section 1204)
       The Senate bill is similar to the House Bill provisions 
     except that the provision is authorized for the 2014 through 
     2018 crop years and cotton storage payment rates are reduced 
     by 20 percent as compared to the rates in effect for the 2006 
     crop year. (Section 1204)
       The Conference substitute adopts the House provision except 
     that the provision is reauthorized for the 2014 through 2018 
     crop years. (Section 1204)
     (11) Loan Deficiency Payments
       The House bill extends the provision in the 2008 Farm Bill 
     requiring loan deficiency payments for the 2014 crop year and 
     each succeeding crop year. (Section 1205)
       The Senate bill is similar to the House bill except loan 
     deficiency payments are authorized for the 2014 through 2018 
     crop years. (Section 1205)
       The Conference Substitute adopts the Senate provision. 
     (Section 1205)
     (12) Payments in Lieu of LDPs for Grazed Acreage
       The House bill extends such provisions of the 2008 Farm 
     Bill for the 2014 and succeeding crop years but used the 
     payment yield under price loss coverage rather than the 
     direct payment for purposes of calculating payment quantity. 
     (Section 1206)
       The Senate amendment is similar except the provision 
     applies to the 2014 through 2018 crop years and uses the 
     payment yield for the agriculture risk coverage program as 
     well as the payment yield for the 2008 Farm Bill in the case 
     of a farm without a payment yield for wheat. (Section 1206)
       The Conference substitute adopts the House provision except 
     the payments are required for the 2014 through 2018 crop 
     years. (Section 1206)
     (13) Special Marketing Loan Provisions for Upland Cotton
       The House bill extends the provision of the 2008 Farm Bill 
     authorizing the President to carry out a special import quota 
     starting August 1, 2014 and a limited global import quota. 
     The section authorizes the use of official data of USDA if 
     available or estimates of the Secretary in carrying out the 
     section. The section also provides for economic adjustment 
     assistance to users of upland cotton at 3 cents per pound 
     beginning August 1, 2013. (Section 1207)
       The Senate provision provides for economic adjustment 
     assistance similar to the House except the 3 cents per pound 
     amount begins August 1, 2012. (Section 1207)
       Conference substitute adopts the House provision except the 
     starting date of the special import quota is August 1, 2014 
     and the 3 cent per pound economic adjustment assistance 
     begins August 1, 2013. (Section 1207)
     (14) Special Competitive Provisions for Extra Long Staple 
         Cotton
       The House bill permanently extends current law in this 
     regard. (Section 1208)
       The Senate amendment extends current law through July 31, 
     2019, beginning on the date of enactment of this Act. 
     (Section 1208)
       The Conference substitute adopts the House provision except 
     that the program is authorized beginning on the date of 
     enactment through July 31, 2019. (Section 1208)
     (15) Availability of Recourse Loans for High Moisture Feed 
         Grains and Seed Cotton
       The House bill extends the provision of the 2008 Farm Bill 
     providing recourse loans for the 2014 and each succeeding 
     crop year except for purposes of calculating the quantity of 
     corn or grain sorghum, the lower of the farm program payment 
     yield used to make payments under the new Farm Bill or the 
     actual yield is used instead of the lower of the 
     countercyclical payment yield under the 2008 Farm Bill or the 
     actual yield. (Section 1209)
       The Senate amendment is similar except recourse loans are 
     extended for the 2014 through 2018 crop years and the 
     calculation is based on the lower of the actual average yield 
     used to make payments under the new Farm Bill or the actual 
     yield. (Section 1209)
       The Conference substitute adopts the House provision except 
     that the recourse loans are required for the 2014 through 
     2018 crop years.
     (16) Adjustments of Loans
       The House bill is the same as current law except any 
     adjustments must be made so the average loan level for the 
     commodity will be equal to the level of support determined in 
     accordance with this subtitle and subtitle C and revisions to 
     quality adjustments for upland cotton provision is deleted. 
     (Section 1210)
       The Senate amendment is similar except the average loan 
     level must be equal to the level of support determined under 
     this subtitle and subtitles C through E, revisions to quality 
     adjustment for upland cotton provision is retained, and 
     authority is provided to revise or revoke any actions taken 
     pursuant to that revision authority. (Section 1210)
       The Conference substitute adopts the House provision.
     (17) Sugar Policy
       The House bill permanently extends current sugar policy for 
     the 2012 crop year and each succeeding crop year. (Section 
     1301)
       The Senate amendment extends current sugar policy for each 
     of the 2014 through 2018 crop years. (Section 1301)
       The Conference substitute adopts the Senate provision, 
     extending current sugar policy for the 2012 through 2018 crop 
     years.
     (18) Definitions for the Dairy Producer Margin Insurance 
         Program
       The House bill defines the new terms and establishes the 
     Dairy Producer Margin program in the new section 1511(a) of 
     the Food Conservation and Energy Act of 2008. (Section 1401)
       The Senate amendment is similar and gives the definitions 
     for the ``Dairy Margin Protection Program'' and the ``Dairy 
     Market Stabilization Program''. (Section 1401)
       The Conference substitute adopts the House provision with 
     an amendment. The amendment replaces the term ``Dairy 
     Producer'' with ``Dairy Operation''; the ``Margin Insurance 
     Program'' is instead referred to as the ``Margin Protection 
     Program''; and definitions are included for ``Margin 
     Protection Program Payment'' and ``Secretary''. (Section 
     1401)
     (19) Calculation of Average Feed and Actual Dairy Production
       The House bill establishes the calculation for the average 
     feed cost and actual dairy producer margins. (Section 1401)
       The Senate amendment is similar to the House provision but 
     it includes provisions unique to the stabilization program. 
     (Section 1402)
       The Conference substitute adopts the House provision with 
     an amendment to include Senate language related to the time 
     for calculation. (Section 1402)
     (20) Establishment of Dairy Producer Margin Insurance Program
       The House bill establishes the Dairy Producer Margin 
     Insurance Program to be effective October 1, 2013. (Section 
     1401)
       The Senate amendment similarly establishes the Dairy 
     Product Margin Protection Program, but requires the program 
     be effective not later than 120 days after the effective date 
     of this subtitle. (Section 1411)
       The Conference substitute directs the Secretary to 
     establish a margin protection program for dairy producers not 
     later than September 1, 2014. (Section 1403)
     (21) Eligibility and Registration of Dairy Producers for 
         Margin Insurance Program
       The House bill requires that all dairy producers in the 
     United States shall be eligible to participate in the margin 
     insurance program. It sets out an annual registration process 
     and provides for retroactivity of the program. (Section 1401)
       The Senate amendment is similar to the House provision but 
     does not provide for retroactivity of the program. It instead 
     provides for a transition period from MILC to

[[Page 1960]]

     the Production Margin Protection Program and describes rules 
     and restrictions for producers during this period. It 
     establishes an annual administrative fee schedule for 
     producers to participate in the Production Margin Protection 
     Program. It also establishes a fund for the use of fees 
     collected and authorizes a range of uses for this fund. It 
     prohibits a producer from participating in both the Livestock 
     Margin Program and the Production Margin Protection Program. 
     (Section 1412)
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment eliminates the tiered fee 
     structure and waiver and instead requires that all 
     participating producers pay a single annual fee of $100. The 
     Secretary is authorized to specify the manner and form in 
     which producers may register. (Section 1404)
     (22) Production History of Participating Dairy Producers
       The House bill requires the Secretary to determine the 
     production history of each producer in the margin insurance 
     program and allows for annual updates. Annual updates are 
     based on the producer's highest annual milk marketings during 
     any of the 3 immediately preceding calendar years. It 
     provides a mechanism for the Secretary to determine 
     production history of producers in operation for less than 
     one year. It lists the required information a participating 
     dairy producer must submit to the Secretary for establishing 
     production history. It details how production history is 
     transferred by sale or by lease. It prohibits the producer to 
     whom the production history is transferred from choosing a 
     different coverage level. It prohibits the Secretary from 
     transferring production history established for a new entrant 
     to another person. It allows the production history of a 
     producer to move to a new location with the producer. 
     (Section 1401)
       The Senate amendment is specific to basic margin protection 
     which has a one-time registration without opportunity for 
     annual updating of the producer's production history. It 
     requires the Secretary to determine the actual production 
     history of a producer who purchases supplemental production 
     coverage. It sets out a new producer's options to determine 
     basic production history. Similar to the House bill, it lists 
     the required information a participating dairy producer must 
     submit to the Secretary for establishing production history. 
     It requires the Secretary to specify how production history 
     is to be transferred. Similar to the House bill, it prohibits 
     the producer to whom the production history is transferred 
     from choosing a different coverage level and also extends the 
     prohibition to transfers within the supplemental production 
     margin protection program. It allows the basic and annual 
     production history of a producer to move to a new location 
     with the producer. (Section 1413) It allows a participating 
     dairy operation to purchase supplemental production margin 
     protection. (Section 1415))
       The Conference substitute adopts the House provision with 
     an amendment. It sets production history equal to the highest 
     annual milk marketings from the 2011, 2012, or 2013 calendar 
     years. The Secretary shall adjust the production history to 
     reflect any increase in the national average milk production. 
     New dairy operations shall elect one of two methods to 
     establish production history: (1) the volume of actual milk 
     marketings for the months the dairy operation has been in 
     operation extrapolated to a yearly amount; or (2) an estimate 
     of the actual milk marketings based on herd size relative to 
     the national herd average data published by the Secretary. 
     (Section 1405)
     (23) Margin Insurance
       The House bill allows a participating dairy producer to 
     annually purchase margin insurance. The producer shall elect 
     a coverage level between $4 and $8. It requires a producer to 
     select a coverage percentage between 25 percent and 80 
     percent of production history. It sets the margin insurance 
     payment for a consecutive 2-month period equal to the product 
     of the shortfall in actual margins below a chosen threshold, 
     the coverage percentage selected by the producer, and the 
     lesser of the producer's actual marketings or actual 
     production history. (Section 1401)
       The Senate amendment requires the Secretary to make a 
     payment whenever the margin for a 2-month period is less than 
     $4 per cwt. It sets the basic margin production payment 
     amount equal to the product of multiplying the difference 
     between the average actual product margin and $4 by the 
     lesser of: 80% of production history, divided by 6; or the 
     actual quantity of milk marketed by the dairy operation 
     during the 2 month period. (Section 1414)
       The Conference substitute adopts the House provision with 
     an amendment. The amendment allows for coverage percentages 
     between 25 percent and 90 percent. (Section 1406)
     (24) Producer Premiums
       The House bill requires a participating producer to pay an 
     annual premium. It sets the premium schedule for the first 4 
     million pounds of milk. It also sets the premium schedule for 
     production in excess of 4 million pounds. It establishes a 
     schedule for the timing of premium payments including options 
     for subsequent years, single annual payments, and semi-annual 
     payments. It sets out the producer premium obligations 
     including a pro-ration of the first year obligations, and a 
     legal obligation to pay the premium except in the case of 
     death and retirement. It requires that a producer shall 
     receive a margin insurance payment whenever the average 
     actual producer margin is less than the coverage threshold 
     selected by the producer. It requires the Secretary to make 
     margin insurance payments when the average actual production 
     for a consecutive two-month period is less than the coverage 
     level threshold selected by the dairy producer. It allows the 
     Secretary to use the funds of the CCC to carry out this 
     section. It establishes that the program start date is 
     October 1, 2013. (Section 1401)
       The Senate amendment is similar to the House bill, but 
     contains slight differences in premiums. It requires the 
     Secretary to provide for more than one method by which a 
     dairy operation can pay premiums. Unlike the House bill, it 
     allows the Secretary to waive the legal obligation to pay the 
     premium in case of death, retirement, or other circumstances 
     as the Secretary considers appropriate. It establishes the 
     payment threshold and calculation method for Supplemental 
     Production Margin Payments. (Section 1415)
       The Conference substitute includes premium schedules for 
     the first 4 million pounds of production and for production 
     in excess of 4 million pounds. The premiums for the first 4 
     million pounds are reduced by 25 percent for calendar years 
     2014 and 2015. (Section 1407)
     (25) Establishment of the Dairy Market Stabilization Program
       The Senate amendment requires the Secretary to establish 
     and administer a dairy market stabilization program 
     applicable to participating dairy operations for the purpose 
     of assisting in balancing the supply of milk with demand. 
     (Section 1431)
       The House bill has no comparable provision.
       The Conference substitute adopts the House position.
     (26) Threshold for Implementation and Reduction in Dairy 
         Payments
       The Senate amendment provides that the Secretary shall 
     announce that the stabilization program is in effect and 
     order reduced payments by handlers to participating dairy 
     operations that exceed the applicable percentage of the 
     participating dairy operation's stabilization program base 
     under certain circumstances. (Section 1432)
       The House bill has no comparable provision.
       The Conference substitute adopts the House position.
     (27) Milk Marketings Information
       The Senate amendment requires the Secretary to establish a 
     process to collect from participating dairy operations and 
     handlers such information that the Secretary considers 
     necessary for each month during which the stabilization 
     program is in effect. (Section 1433)
       The House bill has no comparable provision.
       The Conference substitute adopts the House position (but 
     see Section 1405(c)).
     (28) Calculation and Collection of Reduced Dairy Operation 
         Payments
       The Senate amendment requires each handler, during any 
     month in which payment reductions are in effect under the 
     stabilization program, to reduce payments to each 
     participating dairy operation from whom the handler receives 
     milk. (Section 1435)
       The House bill has no comparable provision.
       The Conference substitute adopts the House position.
     (29) Remitting Funds to the Secretary and Use of Funds
       The Senate amendment requires, as soon as practicable after 
     the end of each month during which payment reductions are in 
     effect under the stabilization program, each handler to remit 
     to the Secretary an amount equal to the amount by which 
     payments to participating dairy operations are reduced by the 
     handler under section 1434. (Section 1435)
       The House bill has no comparable provision.
       The Conference substitute adopts the House position.
     (30) Suspension of Reduced Payment Requirement
       The Senate amendment requires reduced payments to be 
     suspended under certain circumstances. (Section 1436)
       The House bill has no comparable provision.
       The Conference substitute adopts the House position.
     (31) Enforcement
       The Senate amendment makes it unlawful and a violation of 
     this subpart for any person subject to the stabilization 
     program to willfully fail, refuse to provide, or delay the 
     timely reporting of accurate information and remittance of 
     funds to the Secretary. (Section 1437)
       The House bill has no comparable provision.
       The Conference substitute adopts the House position.

[[Page 1961]]


     (32) Audit Requirements
       The Senate amendment authorizes the Secretary to conduct 
     audits to ensure compliance by participating dairy operations 
     and handlers with the stabilization program. (Section 1438)
       The House bill has no comparable provision.
       The Conference substitute adopts the House position.
     (33) Study; Report
       The Senate amendment requires the Secretary, acting through 
     the Office of the Chief Economist, to conduct a study of the 
     impacts of the program established under section 1431(a). 
     (Section 1451)
       The House bill has no comparable provision.
       The Conference substitute adopts the House position.
     (34) Duration
       The Senate amendment terminates the production margin 
     protection program and the stabilization program on December 
     31, 2018. (Section 1439)
       The House bill has no comparable provision.
       The Conference substitute adopts the Senate provision. 
     (Section 1409)
     (35) Rulemaking
       The House bill requires the promulgation of regulations for 
     the initiation of the margin insurance program. It also 
     requires administration of the margin insurance program to 
     comply with the Administrative Procedure Act, but does not 
     require compliance with the Paperwork Reduction Act. It 
     repeals the deadline for the Secretary to consider the state 
     of California's reentry into the federal milk marketing order 
     system. (Section 1402)
       The Senate amendment requires the Secretary to promulgate 
     regulations to address administrative and enforcement issues 
     involved in carrying out the production margin protection, 
     supplemental production margin protection, and market 
     stabilization programs. It also requires regulations for an 
     appeals process. (Section 1452)
       The Conference substitute adopts the House provision with 
     an amendment. The amendment requires the Secretary to 
     promulgate regulations to address administrative and 
     enforcement issues and prohibit reconstitution of a dairy 
     operation for the purpose of the dairy producer receiving 
     margin protection payments. (Section 1410).
       The Managers intend for the Secretary to conduct a hearing 
     prior to the issuance of an order designating the State of 
     California as a Federal milk marketing order. The provision 
     provides the Secretary of Agriculture with the discretion, if 
     a California Federal milk marketing order is requested, to 
     recognize the longstanding California quota system, 
     established under state marketing regulations, in whatever 
     manner is appropriate on the basis of a rulemaking hearing 
     record.
       Section 1504 of the Food, Conservation, and Energy Act of 
     2008 amended the Agricultural Adjustment Act (7 U.S.C. 608c) 
     to establish timeframes for the hearing process for amending 
     federal milk marketing orders. The Managers expect the 
     Secretary to adhere to such timeframes, to the maximum extent 
     practicable, for the process of designating California as a 
     Federal milk marketing order.
     (36) Dairy Product Mandatory Reporting
       The Senate amendment changes the dairy product mandatory 
     reporting process so that each manufacturer has to report to 
     the Secretary, more frequently than once per month, 
     information concerning the price, quantity, and moisture 
     content of dairy products sold by the manufacturer. (Section 
     1461)
       The House bill has no comparable provision.
       The Conference substitute adopts the House position.
     (37) Federal Milk Marketing Order Program Pre-Hearing 
         Procedure for Class III pricing
       The Senate amendment requires the Secretary to use the pre-
     hearing procedure described in this section to consider 
     alternative formulas for Class III milk product pricing under 
     section 8c of the Agricultural Adjustment Act (7 U.S.C. 
     608c), reenacted with amendments by the Agricultural 
     Marketing Agreement Act of 1937. (Section 1462)
       The House bill has no comparable provision.
       The Conference substitute adopts the House position.
       The Managers have heard concerns from various dairy 
     stakeholders in regards to the Class III and Class IV milk 
     product pricing systems. The Managers recognize that the 
     Secretary has the authority and ability to conduct a pre-
     hearing procedure to consider alternative pricing formulas 
     for Class III and Class IV milk products. If petitioned by 
     industry, the Secretary is encouraged to engage in public, 
     pre-hearing information sessions that allow the opportunity 
     for interested parties to discuss alternative price formula 
     proposals. The Managers believe that through review of 
     proposals from interested parties, this process will help 
     address concerns from industry, assist with the stabilization 
     of the price of milk and provide greater certainty for dairy 
     producers. It is the Managers understanding that the Dairy 
     Industry Advisory Committee has recommended that the 
     Secretary take such action and review interested party 
     proposals to address Class III and Class IV pricing formula 
     changes in this participatory and transparent manner.
     (38) Repeal of Dairy product Support and MILC programs
       The House bill repeals both sections of current law that 
     establish the dairy product support and MILC programs. 
     (Section 1411)
       The Senate amendment is similar to the House bill but 
     continues MILC payments at the 45% payment rate through June 
     30, 2014. MILC is repealed effective July 1, 2014. It repeals 
     the Dairy Export Incentive Program, and extends the Dairy 
     Forward Pricing Program, the Dairy Indemnity Program, and the 
     Dairy Promotion and Research Program. (Sections 1471-1475)
       The Conference substitute adopts the Senate provisions. 
     (Section 1422)
     (39) Repeal of the Federal Milk Marketing Order Review 
         Commission
       The House bill repeals section 1509 of the Food, 
     Conservation Act of 2008. (Section 1416)
       The Senate amendment extends the order review commission. 
     (Section 1476)
       The Conference substitute adopts the House provision. 
     (Section 1427)
     (40) Federal Milk Marketing Orders
       The Senate amendment requires the Secretary to provide an 
     analysis on the effects of amending each Federal milk 
     marketing order issued under section 8c of the Agricultural 
     Adjustment Act. (Section 1481)
       The House bill has no comparable provision.
       The Conference substitute adopts the House position.
     (41) Supplemental Agriculture Disaster Assistance
       The House bill provides definitions as necessary to carry 
     out the Livestock Indemnity Program. The provision requires 
     Livestock Indemnity Payments to be made to eligible producers 
     from funds of the Commodity Credit Corporation (CCC) for 
     fiscal year 2012 and each succeeding fiscal year with respect 
     to livestock losses in excess of normal mortality due to 
     adverse weather or attacks by federally reintroduced animals, 
     including wolves or avian predators. The provision provides 
     for an indemnity rate of 75% of the market value of the 
     applicable livestock. The provision provides definitions as 
     necessary to carry out the Livestock Forage Program. The 
     provision requires that, for the 2012 and each succeeding 
     fiscal year, the Livestock Forage Program must provide 
     compensation from the funds of the CCC for losses to eligible 
     livestock producers due to grazing losses on account of 
     prescribed drought conditions or fire. The provision provides 
     that an eligible producer may receive assistance only for 
     grazing losses for covered livestock on land that is native 
     or improved pastureland with permanent vegetative cover or is 
     planted to a crop for the purpose of providing grazing for 
     covered livestock. The provision excludes assistance for 
     grazing losses on land used for haying or grazing under a CRP 
     contract. The provision establishes that in the case of 
     drought, a payment rate for a single month is to be equal to 
     60 percent of the lesser of the monthly feed cost for covered 
     livestock, owned or leased, or the monthly feed cost 
     calculated by using the normal carrying capacity of the 
     eligible grazing land. The provision requires a payment rate 
     of 80 percent of the aforementioned payment rate in the case 
     of an eligible livestock producer that sold or disposed of 
     livestock due to drought in one or both of the two production 
     years preceding the current production year. The provision 
     also prescribes the means by which monthly feed costs, feed 
     grain equivalents, and corn price per pound are determined. 
     The provision requires the Secretary to determine normal 
     carrying capacity and normal grazing period in the county 
     served by the applicable committee and prohibits any change 
     in the determination without the request of the State and 
     county FSA committees. The provision establishes a schedule 
     of payments to be made to producers in D2, D3, and D4 drought 
     conditions as follows: D2 for at least 8 consecutive weeks, 1 
     monthly payment; D3 for any period, 3 monthly payments; D3 
     for at least 4 weeks or D4 any time, 4 monthly payments; D4 
     for at least 4 weeks, 5 monthly payments. The provision 
     establishes assistance for eligible livestock producers that 
     sustain grazing losses on federal lands when a federal agency 
     prohibits grazing on the federal lands due to fire at a rate 
     equal to 50 percent of the monthly feed cost. The provision 
     further establishes that such producers are eligible for 
     assistance beginning on the date they are denied grazing on 
     federal lands until such time that their lease expires. The 
     provision prohibits duplicative drought and fire payments 
     covering the same losses. The provision requires the 
     Secretary to use not more than $20 million of CCC funds for 
     each of the 2012 and succeeding fiscal years to provide 
     emergency relief to eligible producers of livestock, honey 
     bees, and farm raised fish to help in the reduction of losses 
     due to disease, adverse weather, or other conditions not 
     covered under Livestock Indemnity Payments or the Livestock 
     Forage Disaster Program. The provision requires that funds be 
     used to reduce losses

[[Page 1962]]

     due to feed or water shortages, disease, or other factors 
     determined by the Secretary and that the funds be available 
     until expended. The provision contains definitions as 
     necessary to carry out the Tree Assistance Program. The 
     provision requires the Secretary to use CCC funds for each of 
     the 2012 and subsequent fiscal years to provide assistance to 
     eligible orchardists and nursery tree growers that planted 
     and lost trees intended for commercial purposes due to 
     natural disaster, and orchardists and nursery tree growers 
     that have a production history for commercial purposes but 
     lost trees due to natural disaster. The provision requires a 
     tree mortality loss in excess of 15 percent to qualify for 
     assistance with assistance consisting of 65 percent of the 
     cost of replanting trees lost in excess of 15 percent or, at 
     the Secretary's discretion, sufficient seedling to 
     reestablish a stand, and 50 percent of the cost of pruning, 
     removal, and other costs incurred to salvage existing trees 
     or to prepare land to replant trees, in excess of 15 percent. 
     The provision establishes a $125,000 payment limit under the 
     Tree Assistance Program, with a 500 acre cap as well. The 
     provision also provides for a $125,000 payment limit on 
     assistance provided under section 1501, with direct 
     attribution requirements. The provision omits the minimum 
     risk management purchase requirement and does not reauthorize 
     the SURE program of the 2008 Farm Bill. (Section 1501)
       The Senate amendment is similar to the House provision, 
     except that definitions vary; programs required under 
     subtitle E are authorized for the 2014 through 2018 fiscal 
     years; payment rates under the Livestock Indemnity Program 
     are established at 65 percent of the market value; the 
     functions of other programs are folded into the Livestock 
     Forage Program, including the noninsured crop disaster 
     program, the emergency assistance for livestock, honey bees, 
     and farm-raised fish program, and the Livestock Forage 
     Disaster Program; Livestock Forage Disaster Program 
     assistance is not excluded on CRP contract acreage if the 
     land is grassland eligible; the monthly payment rate under 
     the Livestock Forage Disaster Program is 50 percent; the 
     calculation for determining the corn price per pound is based 
     on a different corn price; the normal grazing period under 
     the Livestock Forage Disaster Program may not exceed 240 
     days; the drought intensity payment schedule is distinguished 
     from the House bill as follows: D3 at any time, 2 monthly 
     payments, and D3 for 4 weeks or D4 at any time, 3 monthly 
     payments; authorizes annual payments based on drought 
     determined by means other than the drought monitor and 
     assistance for eligible forage losses due to other than 
     drought or fire; up to $15 million for each fiscal year is 
     authorized under the Emergency Assistance for Livestock, 
     Honey Bees, and Farm-Raised Fish; the payment limits imposed 
     on the Tree Assistance Program is $100,000 and the limit 
     under the section is also $100,000; and the timing of 
     payments is prescribed. (Section 1501)
       The Conference substitute adopts the House provision. 
     (Section 1501)
       The Managers intend that, with respect to any livestock 
     program signup for 2012, 2013, or 2014, the Secretary be 
     flexible in establishing signup deadlines. In past years, 
     when livestock programs have had a firm signup date for one 
     year and another signup begins for the following year soon 
     thereafter, it is easy for producers to confuse the years for 
     which an application has been filed and those that have not. 
     Limited county office budgets for mailings exacerbate this 
     problem. The Managers also recognize that in many cases 
     producers will have to compile records on livestock 
     inventories by type and weight along with the number of 
     livestock purchased and sold, for example, for much of the 
     past three years. As such, the Managers intend that, with 
     regard to 2012 and 2013, the Secretary take into 
     consideration that the compilation of records by the producer 
     can be extremely difficult or even impossible and to exercise 
     flexibility when determining what constitutes an acceptable 
     record.
     (42) National Drought Council and National Drought Policy 
         Action Plan
       The House bill establishes in the Office of the Secretary a 
     ``National Drought Council.'' (Section 1502)
       The Senate amendment has no comparable provision.
       The Conference substitute deletes the House provision.
       Significant droughts have occurred in the United States 
     more than a dozen times since 1900. The 2012 drought, while 
     serious, was not unprecedented. The U.S. has faced similar or 
     worse conditions in the 1930's, 1950's and 1988. However, the 
     period from 2000-2013 was the worst consecutive period of 
     drought since the 1930's, surpassing that of the 1950's. The 
     drought conditions throughout the United States in 2012 had 
     an estimated cost of $30 billion to the agriculture sector 
     alone. Impacts were also felt by communities through losses 
     due to reduced water and energy resources, reduced recreation 
     revenue, increased wildfires, and dust-borne diseases, among 
     others. These impacts highlight the need to better align 
     Federal, state and local drought policies.
       The Managers understand that a National Drought Resilience 
     Partnership was established in November of 2013 to promote 
     strong partnerships between the Federal agencies and to make 
     it easier for communities to access Federal drought 
     resources. The Managers expect the Secretary to make local, 
     state, and tribal stakeholders an integral part of 
     constructing national drought preparedness and response 
     policy. As part of that process, the Secretary should provide 
     clear and easy opportunities for those stakeholders to have a 
     role in the Partnership, including creating a plan to 
     coordinate federal polices with state and local policies and 
     establishing robust outreach with communities.
     (43) Administration Generally
       The House bill requires the Secretary to use the funds, 
     facilities, and authorities of the Commodity Credit 
     Corporation (CCC) to carry out this title and provides that 
     determinations made by the Secretary under this title are 
     final and conclusive. The section further requires that 
     except as otherwise required in this subsection, the 
     Secretary and the CCC must promulgate necessary regulations 
     to implement this title and amendments made by this title 
     within 90 days of enactment of this Act. The section requires 
     that regulations and administration of this title and 
     amendments made by this title as well as sections 10003 and 
     10016 (supplemental coverage option and stacked income 
     protection for producers of upland cotton) of this Act are 
     made in compliance with the Administrative Procedures Act 
     (APA) but without regard to the Paperwork Reduction Act or 
     the Statement of Policy of the Secretary of Agriculture. The 
     section also carries over adjustment authority relating to 
     trade agreement compliance from the 2008 Farm Bill. (Section 
     1601)
       The Senate amendment is similar to the House except that 
     the regulations and administration of the title are not 
     subject to the APA and the Congressional review of agency 
     rulemaking provision from the 2008 Farm Bill is carried over. 
     (Section 1601)
       The Conference substitute adopts the Senate provision. 
     (Section 1601)
     (44) Repeal of Permanent Price Support Authority
       The House bill repeals specific sections of the Agriculture 
     Adjustment Act of 1938 and the Agriculture Act of 1949 
     historically suspended under previous Farm Bills during their 
     effective period except section 377 of the 1938 Act which is 
     suspended during the period of the new Farm Bill as it 
     relates to cotton. (Section 1602)
       The Senate amendment is the same as current law except the 
     suspensions are applicable to the 2014 through 2018 crop 
     years and through December 31, 2018, in the case of dairy. 
     (Section 1602)
       The Conference substitute adopts the Senate provision. 
     (Section 1602)
       The Managers note that, along with the suspension of other 
     authorities, the general permanent price support authority 
     provided under 7 U.S.C. 1446(a) must be suspended by the 2014 
     Farm Bill, as it has been under previous Farm Bills, since 
     section 1446(a) would otherwise require USDA to make 
     available price support for the commodities specified in 
     subsection (a) in a manner that is in accordance or 
     consistent (i.e., not incompatible or in conflict) with the 
     support required to be provided to other commodities under 
     Title II (7 U.S.C. 1446 et. seq.), including as prescribed or 
     previously carried out under 7 U.S.C. 1446(b), (c), or (f), 
     or in any combination of these approaches. In sum, 7 U.S.C. 
     1446(a) provides broad authority to offer the required price 
     support in a manner that is consistent with the tenor of 
     price support provided elsewhere in Title II, and must be 
     suspended for the effective period of the 2014 Farm Bill. 
     Finally, the Managers would observe that there are also 
     additional authorities, including under the other titles of 7 
     U.S.C. 1421 et. seq., that apply to certain commodities 
     specified in 7 U.S.C. 1446(a). Therefore, the additional 
     authorities provided under 7 U.S.C. 1421 et. seq., as they 
     relate to certain commodities under 7 U.S.C. 1446(a), must 
     also be suspended for the effective period of the 2014 Farm 
     Bill. This section accomplishes these objectives.
     (45) Payment Limitations
       The House bill defines legal entity, excluding general 
     partnerships or joint ventures. The section imposes a limit 
     on the amount of payments indirectly or directly received by 
     a person or legal entity for covered commodities and peanuts 
     under Title I to not more than $125,000, with not more than 
     $75,000 consisting of marketing loan gains and loan 
     deficiency payments and not more than $50,000 consisting of 
     other payments made with respect to covered commodities and 
     peanuts under Title I. The section also sets forth spousal 
     equity rules for pay limit purposes, limiting the amount a 
     person and spouse may jointly receive to double the 
     enumerated limits; provides for conforming amendments; and 
     makes the limits effective in time for the 2014 crop year. 
     (Section 1603)
       The Senate amendment limits the total amount of payments 
     received, directly or indirectly, by a person or legal entity 
     (except a joint venture or general partnership) for any crop 
     year under subtitle A of title I of the Act to $50,000 for 
     peanuts and $50,000 for 1 or more other covered commodities. 
     The

[[Page 1963]]

     section provides that the total amount of marketing loan 
     gains and loan deficiency payments received for peanuts may 
     not exceed $75,000 and for 1 or more other loan commodities 
     may not exceed $75,000. The section provides for conforming 
     amendments and that the section is to be effective in time 
     for the 2014 crop year. (Section 1603)
       The Conference substitute adopts the House provision, 
     except that the House definition of legal entity is dropped, 
     a separate payment limit for peanuts is maintained, 
     limitations within the overall payment limit of $125,000 are 
     omitted, and the proposed change to the spousal rule is also 
     dropped. (Section 1603)
       The Managers note that the 2008 Farm Bill provided for a 
     $65,000 payment limitation for Countercyclical Payments and 
     ACRE; a $40,000 payment limitation for Direct Payments; 
     unlimited marketing loan gains (MLGs) and loan deficiency 
     payments (LDPs); as well as $100,000 under the SURE program 
     for a combined total of $205,000, not including marketing 
     loan gains and LDPs. The payment limitations provided for the 
     suite of policies in this section that are intended to 
     replace the 2008 Farm Bill provisions in terms of risks 
     covered are $80,000 less and the cap on payments includes 
     MLGs and LDPs. Specifically, this section provides for one 
     cap of $125,000 under which all PLC, ARC, MLGs, and LDPs must 
     fit. The Managers would particularly stress that this amount 
     does not include any benefit derived by the producer from 
     forfeitures. The Managers fully intend that the marketing 
     assistance loan continue to operate as a nonrecourse loan. 
     The Managers intend that nothing in this section shall be 
     construed to limit the right of a producer to forfeit the 
     crop which the producer has pledged as collateral in full 
     satisfaction of the loan.
     (46) Payment Limited to Active Farmers
       The House bill qualifies how farm managers can qualify as 
     actively engaged in the farming operation. (Section 1603A)
       The Senate amendment is similar to the House bill except 
     with respect to the Farm Managers provision. (Section 1604)
       The Conference substitute adopts the House provision, 
     except that amendments made to the Food Security Act of 1985 
     are dropped and instead a new regulation is required to be 
     promulgated within a specified period of time and with 
     opportunity for notice and comment. The substitute requires 
     the regulation to define significant contribution of active 
     personal management for purposes of carrying out the 
     applicable statute. The substitute further provides that the 
     regulations may, where appropriate, include limits on the 
     number of individuals who may be considered actively engaged 
     when a significant contribution of active personal management 
     is the basis used by an individual or entity to meet actively 
     engaged requirements under the law. The regulation is 
     required to take into account the size, nature, and 
     management requirements of farming operations, the changing 
     nature of active personal management due to advancement of 
     farming operations, and the degree to which the impact of the 
     regulation would adversely impact the long-term viability of 
     the farm. The substitute provides that the regulation does 
     not apply to individuals or entities comprised solely of 
     family members. The substitute requires that the regulation 
     include a plan for monitoring the status of compliance 
     reviews, and prohibits the imposition of any additional 
     paperwork burdens associated with the new regulation on those 
     not subject to the new regulation. Finally, the substitute 
     clarifies that the provision is not to be construed as 
     authorizing broader regulations, and requires that the 
     regulation promulgated apply beginning with the 2015 crop 
     year. (Section 1604)
       The Managers note that the purpose of this rulemaking is to 
     strengthen the verification process for members of a farming 
     operation claiming to be actively engaged under section 1001A 
     of the Food Security Act of 1985 on the basis of a 
     significant contribution of active personal management. From 
     that definition, the Managers intend that the Secretary will 
     develop clear and objective standards that can be easily 
     measured and accounted for by members of the farming 
     operation. The Managers would also stress that this section 
     in no way changes any aspect of current applicable law, 
     referring in this Act to the breadth of title 7 of the United 
     States Code. Rather, the Managers intend that the section 
     only authorizes a rulemaking to modify current regulations to 
     add clarity and objectivity where this section specifically 
     requires in order to better enforce existing law.
       The Managers recognize with the inclusion of subsection (c) 
     that family farming operations are an important part of 
     American agriculture. The Managers do not intend the 
     regulations promulgated pursuant to this subsection to 
     adversely affect the manner in which such family farms 
     allocate responsibilities among the members of their family. 
     However, the Managers also do not intend for subsection (c) 
     to overly restrict the Secretary's authority to implement the 
     reforms under this section, and intend for the term entity to 
     include the entity ultimately receiving the payment.
       The Managers further intend that the Secretary will develop 
     standards that are fair, equitable, and will enhance program 
     integrity. The Managers are aware that under current rules 
     the agency has had difficulty in determining the significance 
     of a management contribution. The Managers also understand 
     that this difficulty is often exacerbated when the person 
     considered to be actively engaged lives a significant 
     distance from the farming operation or does not visit the 
     farming operation on a regular basis.
       The Managers intend that the Secretary take into account 
     the size and complexity of farming operations across 
     different regions of the country. Further, the Managers 
     intend that the Secretary will look carefully at certain 
     activities or services that a person may perform which have a 
     significant impact on the long-term viability of the farming 
     operation. In particular, the Managers expect that the 
     Secretary will give careful consideration to the following 
     activities: labor contracting; decisions made to achieve 
     regulatory compliance; marketing, including hedging and 
     forward contracting; financing, including securing production 
     loans; land utilization management, including conservation 
     planning; decisions made regarding risk management and legal 
     liability, including insurance coverage; decisions made 
     regarding cropping choices; input purchasing; and decisions 
     made regarding equipment, including purchases, financing, and 
     maintenance. The Managers also intend for the Secretary to 
     take into account the changing nature of active personal 
     management due to technological and economic advancements of 
     farming operations, including crop genetics, farming 
     practices such as no-till and minimal-till farming, and 
     telecommuting.
       The Managers intend that any additional paperwork required 
     by these new requirements be focused solely on the 
     individuals and entities subject to the new requirements. 
     Finally, the Managers urge the Secretary to be mindful that 
     stable, predictable and equitable farm policy is essential to 
     the continued viability of commercial farming operations that 
     need access to financing for annual production costs, 
     equipment, and land. Lastly, the Managers stress that 
     accessibility to a strong farm safety net is important to 
     continued prosperity in rural America, particularly in small 
     towns where agriculture is at the center of the local 
     economy.
     (47) Adjusted Gross Income Limitation
       The House bill makes changes to Section 1001D of the Food 
     Security Act of 1985. The section replaces the two income 
     limitation tests (farm and non-farm incomes) with a single 
     $950,000 adjusted gross income limitation for certain 
     commodity programs as well as conservation programs. The 
     section applies the new limit to payments under the Farm Risk 
     Management Election, marketing loan gains or loan deficiency 
     payments, payments from Supplemental Agricultural Disaster 
     Assistance Programs, payments from conservation programs, the 
     Agriculture Management Assistance program authorized in the 
     Federal Crop Insurance Act, and payments from the Noninsured 
     Crop Disaster Assistance Program. The section requires that 
     payment limits in effect on the day before the enactment of 
     this Act apply to the 2103 crop, fiscal or program year. 
     (Section 1604)
       The Senate amendment makes changes to Section 1001D of the 
     Food Security Act of 1985. The section replaces the two 
     income limitation tests (farm and nonfarm incomes) with a 
     single $750,000 adjusted gross income limitation for 
     commodity programs if the average adjusted gross income over 
     the last 3 taxable years is in excess of $750,000. The 
     section applies the new limit to payments under the Adverse 
     Market Program and the Agriculture Risk Coverage program, 
     marketing loan gains or loan deficiency payments, payments 
     from Supplemental Agricultural Disaster Assistance Programs, 
     and payments from the Noninsured Crop Disaster Assistance 
     Program. (Section 1605)
       The Conference substitute adopts the House provision except 
     that the AGI limitation is established at $900,000.
     (48) Geographically Disadvantaged Farmers and Ranchers
       The House bill is the same as current law except authorizes 
     payments for fiscal year 2009 and each succeeding fiscal 
     year. (Section 1605)
       The Senate amendment extends current law through fiscal 
     year 2018. (Section 1606)
       The Conference substitute adopts the House provision. 
     (Section 1605)
     (49) Appeals
       The Senate amendment amends the current appeals process by 
     clarifying, among other things, that the Director of the 
     National Appeals Division shall be free from the direction 
     and control of any person other than the Secretary or the 
     Deputy Secretary of Agriculture. (Section 1609)
       The House bill has no comparable provision.
       The Conference substitute adopts the Senate provision. 
     (Section 1610)
     (50) Technical Corrections
       The House bill includes technical corrections. (Section 
     1608)
       The Senate amendment includes technical corrections. 
     (Section 1610)
       The Conference substitute adopts the House provision with a 
     technical change.

[[Page 1964]]


     (51) Implementation
       The House bill requires the Secretary to seek to reduce 
     administrative burdens and costs to producers by streamlining 
     and reducing paperwork, forms, and other administrative 
     requirements; improve coordination, information sharing, and 
     administrative work with the Risk Management Agency and the 
     Natural Resources Conservation Service; and take advantage of 
     new technologies to enhance efficiency and effectiveness of 
     program delivery to producers. The section also requires the 
     Secretary to maintain records on base acres and payment 
     yields from the 2008 Farm Bill. The section also requires the 
     Secretary to maintain records for the separate base acres of 
     long grain rice and medium grain rice subject to the total 
     base under the 2008 Farm Bill and any adjustment. The section 
     requires the Secretary to make $100 million available to the 
     Farm Service Agency to carry out this title. (Section 1612)
       The Senate amendment has similar streamlining requirements 
     but does not require maintenance of base acres and payment 
     yields. The section also requires the Secretary to maintain a 
     record of farms with upland cotton base acres in effect on 
     the day before the date of enactment of this Act and to make 
     $97 million available to the Farm Service Agency to carry out 
     this title. (Section 1614)
       The Conference substitute adopts the House provision but 
     adds the requirement that the Acreage Crop Reporting and 
     Streamlining Initiative (ACRSI) be implemented and that the 
     ACRSI ensure that a producer, or an agent of the producer 
     acting on the producer's behalf, may report information 
     (including geospatial information) to USDA either 
     electronically or conventionally; that upon the request of 
     the producer or the agent of the producer, USDA must 
     electronically share with the producer or the agent of the 
     producer, in real time and without cost, common land unit 
     data, related farm level data, and other information of the 
     producer; that this reporting and sharing of information must 
     comply with existing privacy requirements. The substitute 
     also provides an additional $10 million to the Farm Service 
     Agency on October 1, 2014 if the Secretary notifies the 
     Agriculture Committees of Congress by September 30, 2014 that 
     substantial progress has been made in implementing ACRSI and 
     the reporting and sharing requirements of this section. An 
     additional $10 million is also provided to FSA if by 
     September 30, 2015 the Secretary reports to the Agriculture 
     Committees that these requirements have been fully 
     implemented and the Committees concur, with the added funding 
     available on the later of the date of concurrence or October 
     1, 2015. The substitute further provides that of the base 
     amount of implementation dollars provided to FSA under this 
     section, $3 million is to be provided by the Secretary to 
     state extension services or equivalent agencies for producer 
     education concerning subtitles A, D, and E of this title and 
     under section 196 of the Federal Agriculture Improvement and 
     Reform Act of 1996. The substitute also requires the 
     Secretary to engage one or more qualified universities to 
     develop web-based decision aids to assist producers in 
     understanding available options under subtitle A, with the 
     FSA required to obligate funds for this purpose within 30 
     days of enactment of the Farm Bill and web-based decision 
     aids to be made available to producers via the internet 
     within 45 days, and with $3 million provided for this 
     purpose. Finally, the substitute provides loan implementation 
     requirements. (Section 1613)
       The Managers intend by this section and the implementation 
     section within the Crop Insurance Title of this Act for the 
     Secretary to undertake the streamlining efforts prescribed. 
     As part of the implementation of ACRSI, the Managers intend 
     for the Secretary to provide for an expedited means for the 
     reporting and sharing of information as required under this 
     section. The Managers would particularly note that this 
     information is the private and proprietary information of the 
     producer and, as such, is strictly protected by statute from 
     disclosure, with very limited and specifically prescribed 
     exceptions, including disclosures made upon the consent of 
     the agricultural producer or owner of the agricultural land. 
     The Managers intend that an agent of the producer evidence 
     the consent of the producer when acting on the producer's 
     behalf in the reporting and sharing of information in a 
     manner that complies with the requirements of section 1619 of 
     the 2008 Farm Bill and without unnecessarily encumbering or 
     delaying the reporting and sharing.
       The Managers also intend that regulations be quickly 
     finalized to allow a Farm Storage Facility Loan of up to 
     $100,000 with no additional security. The Managers recognize 
     that the Farm Service Agency had properly implemented the 
     program in this manner, consistent with Congressional intent, 
     from August of 2012 to February of 2013 before the program 
     reverted back to $50,000 with no additional security. The 
     Managers commend FSA for the agency's work to fulfill 
     Congressional intent and intend that regulations to allow a 
     Farm Storage Facility Loan of $100,000 with no additional 
     security be finalized and implemented without further delay.
       The Managers intend, with respect to loan implementation, 
     that the Secretary would use the authority provided to carry 
     out loans described in subsection (d) in a manner where the 
     loans to producers would be administered as though an order 
     described in that subsection had not been issued for that 
     crop year. The Managers intend that the administration of 
     this subsection not result in the disruption or delay in the 
     orderly marketing of commodities under loans. The Managers 
     intend that a producer that repays a loan under subtitles B 
     or C at an amount equal to the loan rate for the applicable 
     commodity plus interest must repay the amount that is 
     provided pursuant to subsection (d). The Managers do not 
     intend that the amount provided pursuant to subsection (d) be 
     repaid in the case of a producer receiving a loan deficiency 
     payment, a marketing loan gain benefit, or a benefit derived 
     from the forfeiture of a commodity.
     (52) Protection of Producer Information
       The House bill prohibits the Secretary of Agriculture or 
     officials or employees of other federal agencies from 
     releasing certain information given to the government 
     pursuant to Title I or Title II of this Act or other 
     information provided by a producer or owner of agricultural 
     land in order to participate in USDA or other federal agency 
     programs. The section provides for limited exceptions to the 
     rule and a requirement that disclosures made under these 
     exceptions be reported to the Agriculture Committees. 
     (Section 1613)
       The Senate amendment has no comparable provision.
       The Conference substitute deletes the House provision.

                         Title II--Conservation

                Subtitle A--Conservation Reserve Program

     (1) Extension and Enrollment Requirements
       The House bill amends the maximum acres as follows: 
     27,500,000 acres in fiscal year 2014; 26,000,000 acres in 
     fiscal year 2015; 25,000,000 acres in fiscal year 2016; 
     24,000,000 acres in fiscal year 2017; and 24,000,000 acres in 
     fiscal year 2018. Additionally, the House bill caps grassland 
     enrollment at 2,000,000 acres at any one time. (Section 2001)
       The Senate amendment amends the maximum acres as follows: 
     30,000,000 acres in fiscal year 2014; 27,500,000 acres in 
     fiscal year 2015; 26,500,000 acres in fiscal year 2016; 
     25,500,000 acres in fiscal year 2017; and 25,000,000 acres in 
     fiscal year 2018. Additionally, the Senate amendment caps 
     grassland enrollment at 1,500,000 acres at any one time. 
     (Section 2001)
       The Conference substitute adopts the House provision. 
     (Section 2001)
       The Managers agreed to an overall reduction in the maximum 
     acres that could be enrolled in the Conservation Reserve 
     Program (CRP), however, this should not serve as an indicator 
     of declining support for CRP. The Managers intend for CRP to 
     be implemented at authorized levels, using the statutory 
     flexibility, and for the program to continue as one of USDA's 
     key conservation programs in concert with working lands 
     conservation efforts.
       Within the overall acreage cap, the Conference substitute 
     provides for grasslands to be enrolled in CRP and authorizes 
     the Secretary to grant priority to lands expiring from 
     current CRP contracts that will retain grass cover. This 
     modification accommodates acreage that previously would have 
     been eligible for short-term rental contracts under the 
     Grassland Reserve Program (GRP) for working grasslands.
       The specific priority designations for the Chesapeake Bay 
     Region, the Great Lakes Region, and the Long Island Sound 
     Region are removed. The authority for the Secretary to 
     designate conservation priority areas is retained, 
     recognizing the importance of the program for addressing 
     regional and State-identified areas of special environmental 
     sensitivity.
     (2) Farmable Wetland Program
       The House bill decreases the overall cap to 750,000 acres. 
     (Section 2002)
       The Senate amendment contains no comparable amendments and 
     maintains the current law cap of 1,000,000. (Section 2002)
       The Conference substitute adopts the House provision with 
     an amendment to include a clerical amendment from the Senate 
     language. (Section 2002)
     (3) Duties of the Secretary
       The House bill amends current law by striking ``allotment 
     history'' and by moving out certain activities from section 
     1232(a)(8). Additionally, the House bill permits certain 
     activities in case of drought or other emergency caused by a 
     natural disaster where the activity may occur without a 
     reduction in the rental rate. The bill includes a reduction 
     of not less than 25 percent of the rental rate and 
     establishes the frequency during which managed harvesting may 
     be conducted as not more than once every three years. The 
     bill also establishes the frequency during which routine 
     grazing may occur at not more than once every two years and 
     adds a new subsection that requires the Secretary to permit 
     certain haying and grazing practices on grasslands 
     specifically. Lastly, it includes a provision for individuals 
     with expiring contracts to initiate conservation and

[[Page 1965]]

     land improvement practices in the final year of contract. To 
     comply, an owner or operator must develop and implement a 
     conservation plan for these activities. Re-enrollment of such 
     lands is prohibited for five years. (Section 2004)
       The Senate amendment is similar to the House. However, it 
     specifies flooding as an emergency for the purposes of 
     carrying out certain activities without a reduction in the 
     rental rate payment. Such other emergencies do not need to be 
     a result of a natural disaster. Additionally, the Senate 
     amendment allows for limited grazing by a beginning farmer or 
     rancher without any reduction in the rental rate and includes 
     habitat during the primary nesting season for critical birds. 
     The Senate amendment establishes a frequency during which 
     managed harvesting may be conducted at least once every five 
     but not more than once every three years and allows for 
     prescribed grazing for the control of invasive species to 
     occur annually. The frequency for routine grazing is similar 
     to the House bill. However, the Senate amendment specifies 
     that the Secretary must take into account the presence of 
     threatened or endangered wildlife and wildlife habitat and 
     requires conservation and land improvement practices in the 
     last year of the contract to maintain the protection of 
     highly erodible land. Lastly, it states that the annual 
     payment amount shall be reduced by an amount commensurate 
     with any income or compensation received as a result of these 
     activities. (Section 2004)
       The Conference substitute adopts the House provision by 
     eliminating ``allotment history.'' The substitute adopts the 
     Senate language including flooding or other emergencies as an 
     emergency not a result of a natural disaster and adds limited 
     grazing by livestock of a beginning farmer or rancher without 
     a reduction in rental rate.
       The Conference substitute did not specify the range of 
     situations under which CRP could be used to mitigate the 
     impacts on agricultural producers resulting from adverse and 
     extreme weather events or conditions. While these acres can 
     provide additional forage when they are located within the 
     disaster footprint, these forages also could assist in 
     meeting livestock forage needs when near to the affected 
     area, or when CRP contract holders are willing to make their 
     forage available to those affected by the emergency, or when 
     flooding displaces grazing livestock. The Managers expect the 
     Secretary to make this forage available in response to 
     disasters that affect other producers without regard to the 
     location of the enrolled lands. This section establishes the 
     frequency of harvesting and routine grazing on acres enrolled 
     in CRP contracts, consistent with a conservation plan, and 
     provides for the incidental use of buffers adjacent to 
     agricultural lands.
       Authorized activities for newly eligible grasslands include 
     grazing, haying, mowing, or harvesting for seed production. 
     The Secretary shall permit activities such as fire pre-
     suppression, rehabilitation and construction of fire breaks, 
     fencing, livestock watering, and necessary cultural 
     practices. These uses of the land are consistent with those 
     allowed for existing GRP rental contracts and are carried 
     over here to align with the authorized activities for those 
     grasslands to be enrolled in the conservation reserve.
       The substitute adopts the Senate provision on primary 
     nesting season with an amendment to change critical birds to 
     birds in the local area that are in significant decline.
       The substitute adopts the Senate language on managed 
     harvesting frequency, prescribed grazing for invasive 
     species, and installation of wind turbines.
       The substitute adopts the Senate provision on land 
     improvement and practices in the last year of the contract 
     with an amendment. The amendment limits applicability to 
     enrolled land and clarifies that the land can be used for 
     economic use. (Section 2004) Provisions are added to allow 
     conservation and land improvement practices in the final year 
     of a contract, with a commensurate reduction in rental value 
     only when the participant derives economic benefit from use 
     of the forage. Re-enrollment of lands modified through this 
     provision is prohibited for at least five years.
       The Managers intend that the intensity of all specified 
     activities permitted by the revisions to Section 1233(b) of 
     current law be conducted in accordance with the parameters 
     outlined in the statute. The Conference substitute also 
     requires that specified activities are carried out in 
     accordance with soil, water quality, and wildlife habitat 
     conservation plans to control invasive species while also 
     maintaining the health and viability of the established 
     cover. The Secretary should not require management activities 
     at the specified frequency when it is determined to be 
     technically unnecessary for the cover because drought, fire, 
     or other factors have reduced the need for such cover 
     management action. Additionally, the Secretary, with advice 
     from State Technical Committees, shall ensure that the 
     frequency and duration of all specified activities permitted 
     are reflected in associated conservation plans appropriate 
     for the local climatic conditions, precipitation, soils, and 
     other necessary factors in order to meet the purposes of the 
     program.
       The revisions made to section 1233(b)(2) of the current 
     statute clarify the intent of the Managers to expand some 
     uses of the conservation reserve when the activities are 
     consistent with and/or beneficial to the health and viability 
     of the established cover. In doing so, the Managers focused 
     on grasslands-related activities since grasslands are the 
     predominant cover for the program. The Managers intend for 
     this to be sufficient authority to allow such activities to 
     occur when doing so would be a similar benefit to the health 
     and vigor of the cover. For example, the pre-commercial 
     thinning of pine plantings, or the harvesting of pine straw 
     may be allowed with commensurate reduction of rental rates if 
     these activities would be a technically accepted activity for 
     improving the health and viability of the stand, as reflected 
     in the conservation plan. The Managers encourage the 
     Secretary to utilize options other than burning for the 
     disposal of residue removed from CRP lands, as well as lands 
     enrolled in a conservation easement, for contract management 
     and maintenance. The Managers suggest the Secretary 
     coordinate with state government officials to donate this 
     residue to Indian tribes, small and disadvantaged farmers or 
     other similar persons or entities.
     (4) Payments
       The House bill amends the payment section of CRP by 
     eliminating in-kind payments. (Section 2005)
       The Senate amendment allows for incentive payments for 
     thinning activities and allows for the National Agricultural 
     Statistics Service (NASS) survey of dryland cash rental rates 
     to be used as a factor in determining rental rates, as 
     determined by the Secretary. In addition to eliminating in-
     kind payments, the Senate amendment adds requirements that 
     payments be made using funds from the Commodity Credit 
     Corporation.
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment strikes the Commodity Credit 
     Corporation payment requirement. (Section 2005) The Managers 
     recommend that the new authority provided under section 
     1234(c) is used by the Secretary to incentivize owners and 
     operators to conduct practices and utilize management tools 
     that would promote forest management, enhance the overall 
     health of tree stands, improve the condition of resources, or 
     provide valuable habitat for wildlife. Such practices and 
     management tools should be used to encourage landowners to 
     promote pine savannah habitat or other beneficial resource 
     wildlife habitat practices such as tree thinning, disking, 
     and prescribed burning. Further, the Managers intend for the 
     Secretary to determine any other appropriate practices and 
     management tools that could be employed to achieve the 
     objective of the provision. The Managers acknowledge that 
     similar authority was provided by the Food, Conservation, and 
     Energy Act of 2008, but it did not achieve the goal of 
     incentivizing owners and operators to conduct the necessary 
     practices that section 1234(c) is intended to remedy. Under 
     some situations, local market conditions will greatly affect 
     the cost of implementing the appropriate forest management 
     practices making them costly and difficult to implement. The 
     Managers expect USDA to use the authority under section 
     1234(c) to provide incentive payments in an amount that will 
     overcome any disincentive for owners and operators to 
     implement these practices in order to improve the condition 
     of the resources, promote forest management or the enhance 
     the wildlife habitat on the land.
       The Managers intend that CRP continue as one of USDA's key 
     conservation programs. The Managers remain concerned, 
     however, that USDA does not offer annual payments to 
     producers commensurate with local prevailing rental rates to 
     ensure that enrollment is competitive with other land uses. 
     The 2008 Farm Bill authorized the use of NASS surveys of 
     cropland values; even so, the Managers are aware that in some 
     parts of the country, CRP rental rates continue to trail--in 
     some cases by a large margin--local prevailing rental rates. 
     The Managers intend for USDA to use NASS survey data and 
     other local data on cash rental rates and farmland prices, 
     developed through land grant universities or other sources. 
     The Managers expect USDA to review this data at least 
     annually, and update CRP rental rates to reflect local 
     prevailing rental rates.
     (5) Contract Requirements
       The House bill updates the early termination provisions to 
     allow for an early termination option in fiscal year 2015 
     only of a contract that has been in effect for five years and 
     expands the list of land that is eligible for early 
     termination. Additionally, the House bill makes adjustments 
     to the transition option provisions language to allow a 
     retired farmer or rancher to transfer land to a beginning 
     farmer or rancher to prepare such land to plant an 
     agricultural crop. (Section 2006)
       The Senate amendment adds ``veteran farmer or rancher''. 
     (Section 2006)
       The Conference substitute adopts both the House and Senate 
     provisions with amendment changing the year for offering 
     early termination to fiscal year 2015. (Section 2006)
       The Managers are concerned that USDA has not been fully 
     utilizing CRP technical assistance authorities and funding 
     enacted in the 2008 Farm Bill for agency infrastructure, 
     including outreach, training, and other

[[Page 1966]]

     technical services. The Managers expect USDA to better 
     utilize this authority for internal support and to support 
     outreach and partnerships with non-governmental organizations 
     and other qualified entities to ensure that producers and 
     landowners are fully aware of their options under the 
     program.
       The Managers also encourage USDA to continue to make their 
     staff available to attend meetings of agricultural producers 
     at the local, State and national level to educate and inform 
     producers of the programs available to meet natural resource 
     needs on their operations.
       The Managers direct the Secretary to, within one year of 
     enactment, report to Congress on the quality of land 
     currently enrolled in CRP based on the land capability 
     classification system, the erodibility index, other eligible 
     lands criteria, and natural resource benefits. The report 
     should include justification for using the prescribed 
     environmental benefits index threshold for any acres enrolled 
     into the program after enactment. The Secretary shall 
     complete such a report five years thereafter and include the 
     same information on land quality and decisions to enroll 
     types of acres based on the environmental benefits index. If 
     the decision is made to use a different environmental 
     benefits index threshold or methodology for making decisions 
     to enroll program contracts, reasons for the decision should 
     be included in the report.
       Additionally the Managers direct the Secretary, within two 
     years of enactment, to complete a comprehensive economic 
     impact study that specifically evaluates the impact the CRP 
     has had on rural communities. The report should include the 
     average county rental rates and rental rates paid for CRP 
     land.
       The Managers support ongoing USDA efforts to target the CRP 
     through enrollment of highly-desirable practices such as 
     buffers, filter strips, riparian buffers, acreage of 
     importance to States and local communities, certain wetlands, 
     duck and upland bird habitat buffers, highly erodible land, 
     longleaf pine, and pollinator habitat. This widely-supported 
     targeting effort ensures that critical acreage is protected 
     and productive land remains available for production. The 
     Managers intend that USDA accelerate this evolution of 
     targeted practices to include important natural resource 
     priorities. Examples of such priorities include: water 
     quality and quantity, wildlife habitat, and recreation 
     purposes. The Managers encourage the Secretary to include the 
     use of potentially larger tracts than have previously been 
     awarded a contract in order to continue meeting wildlife 
     habitat needs.
       In addition to the Managers' intention that USDA expand the 
     use of continuous and Conservation Reserve Enhancement 
     Program (CREP) practices, the Managers understand that there 
     are concerns in regard to the Department's operation of 
     certain continuous practices, including State Acres for 
     Wildlife Enhancement or so-called ``SAFE'' acres. The 
     Managers encourage the Secretary to continue efforts to meet 
     the demand for these practices, which have proved popular in 
     some states. The Managers also expect the Secretary to 
     utilize these acres to meet demand for acreage that will 
     impact threatened or endangered species or species of 
     economic significance in a state or region.
       The Managers also intend that the provisions in section 
     2602 regarding availability of Commodity Credit Corporation 
     funding for farm bill conservation programs will ensure the 
     Department has adequate acreage available to meet the demand 
     for the various continuous practices.

              Subtitle B--Conservation Stewardship Program

     (6) Conservation Stewardship Program
       The House bill amends the definitions section to strike the 
     definition of ``conservation measurement tool'' and thereby 
     conform with later amendments; relocates the definition of 
     ``eligible land'' and ``agricultural operation'' to the 
     definitions section; adds pasture land to the list of 
     eligible land; and expands other eligible agricultural areas 
     to land capable of being used for livestock production. 
     Additionally, it reauthorized the program for FY 2014 through 
     2018. It states that to be eligible for CSP, a producer must 
     demonstrate that, at the time of the contract offer, the 
     producer meets or exceeds the stewardship threshold for at 
     least two priority resource concerns. The House bill also 
     states that in order to renew the contract, the producer must 
     demonstrate compliance with the initial contract, agree to 
     adopt and continue to integrate conservation activities, and 
     at a minimum meet or exceed the threshold of at least two 
     additional priority resource concerns or exceed the threshold 
     for two existing priority resource concerns. Also, the House 
     bill provides an annual enrollment limitation of 8,695,000 
     acres for FY 2014 through 2021 and provides for additional 
     payments to producers that agree to adopt or improve resource 
     conserving crop rotations. (Section 2101)
       The Senate amendment is similar to the House bill, but does 
     not include ``capable of being used'' for the production of 
     livestock; adds improving and conserving the quality and 
     condition of natural resources on purpose; and states that to 
     be eligible for a payment under the Conservation Stewardship 
     Program (CSP), a producer must demonstrate that, at the time 
     of the contract offer, the producer is meeting the 
     stewardship threshold for at least two priority resource 
     concerns. Also, the amendment requires producers to agree to, 
     at a minimum, meet or exceed the stewardship threshold for at 
     least two additional priority resource concerns. 
     Additionally, the Senate amendment provides an annual 
     enrollment limitation of 10,348,000 acres for FY 2012 through 
     2022. (Section 2101)
       The Conference substitute adopts the House provision to 
     include land capable of being used for livestock production 
     in the definition of other eligible land. Section 1238D in 
     the Conference substitute streamlines and consolidates key 
     definitions for the program. The meaning of agricultural 
     operation is consistent with current law. Conservation 
     activities involve conservation systems, practices, and 
     management measures. The term has an inclusive plain language 
     meaning to encompass, for example, conservation planning. The 
     Managers recognize that in developing a conservation plan, a 
     producer incurs significant costs in time, labor, management, 
     and foregone income. The specific mention in the statute of 
     inclusions does not exclude conservation activities that are 
     otherwise within the definition. The definition of 
     conservation stewardship plan makes it clear the plan is to 
     inventory and identify priority resource concerns and to 
     contain the additional specified elements encompassing new as 
     well as existing conservation activities. Eligible land is 
     defined to mean private and tribal land on which agricultural 
     commodities, livestock, or forest-related products are 
     produced plus associated land on which priority resource 
     concerns could be addressed through a contract under the 
     program.
       A priority resource concern is defined to mean a natural 
     resource concern or problem that is identified at the 
     national, state, or local level as a priority for a 
     particular area, and that represents a significant concern in 
     a state or region that is likely to be addressed successfully 
     through implementing conservation activities. The Managers 
     understand that the process of identifying priority resource 
     concerns should involve consultation at the state and local 
     levels to the maximum extent practicable, such as with State 
     Technical Committees and local work groups. The stewardship 
     threshold is the level of management required to conserve and 
     improve the quality and condition of a natural resource. The 
     stewardship threshold for a natural resource is a science-
     based standard at an advanced level of conservation providing 
     for the long-term continued productivity, use, and quality of 
     the resource.
       The substitute adopts the Senate provision that includes 
     improving and conserving the quality and condition of natural 
     resources as a program purpose.
       The substitute adopts the House provision relating to the 
     requirement that the producer meet or exceed the stewardship 
     threshold of at least two priority resource concerns. It 
     further adopts the House provision on the contract renewal 
     requirement that the producer meet at least two additional 
     resource concerns or exceed two existing resource concerns. 
     The Managers encourage the Secretary to place emphasis on 
     adopting new practices; with new contracts addressing at 
     least one additional priority resource concern and renewing 
     contracts that address at least two priority resource 
     concerns.
       The substitute also adopts the House provision which allows 
     eligible producers to receive supplemental payments for 
     making improvements to resource-conserving crop rotations. 
     The Managers intend for the supplemental payment to encourage 
     producers to adopt new or additional beneficial crop 
     rotations that provide significant conservation benefits. The 
     payments are to be available to producers across the country 
     and should not be limited to a particular crop, cropping 
     system, or region of the country. In the Southeast, peanuts 
     are an example of a crop that responds well to increased 
     rotation lengths, which help peanut producers, conserve 
     water, more effectively control disease, and reduce inputs to 
     control disease and increase productivity. Alfalfa is another 
     important rotation crop in many parts of the country and 
     plays a role in adding value to a producer's operation as 
     well as providing natural resource benefits. The Managers 
     recognizes the very significant contributions that sorghum 
     has made to resource conservation as a water-conserving crop 
     and expects the Secretary to include sorghum in any 
     supplemental payments for resource conserving crop rotations 
     made available under the CSP.
       The substitute lists six criteria for ranking contract 
     offers, prohibits giving a higher ranking to a contract offer 
     based on the applicant's willingness to accept a reduced 
     payment, and allows the development and use of additional 
     criteria to ensure national, state, and local priority 
     resource concerns are addressed effectively. Such additional 
     criteria, should they be developed and used, are not to 
     supersede or be more heavily weighted than the six statutory 
     ranking criteria. The language includes as one of six ranking 
     factors ``the number of applicable priority resource concerns 
     proposed to be treated to meet or exceed the stewardship

[[Page 1967]]

     threshold by the end of the contract.'' The Managers expect 
     that, in using this factor to rank applications, the Natural 
     Resources Conservation Service (NRCS) will verify not only 
     the number of priority resource concerns proposed to be 
     treated at the initial application ranking stage, but also 
     the extent to which the conservation activity proposed for 
     the priority resource concern will meet or exceed the 
     stewardship threshold for that priority resource concern at 
     the expiration of the contract.
       The substitute includes an annual enrollment cap of 
     10,000,000 acres at $18/acre for the program for the 
     remainder of fiscal year 2014 through fiscal year 2022. 
     (Section 2101)
       The Secretary shall prioritize for enrollment in the 
     program lands that are expiring from the CRP in an effort to 
     protect the taxpayer's conservation investment by continuing 
     conservation benefits on those lands and enabling the 
     transition from CRP to a sustainable grass-based or other 
     type of agricultural operation where many of the conservation 
     benefits will continue. The Managers encourage the Secretary 
     to conduct outreach to producers and to facilitate enrollment 
     of such land into the CSP in order to maintain and improve 
     conservation values, such as through grass-based production 
     systems. The subsection also updates the provision excluding 
     land recently converted to cropland.
       The Managers believe conservation programs as implemented 
     by USDA should recognize the use of innovative technology 
     such as enhanced efficiency fertilizers. Enhanced efficiency 
     fertilizers, which reduce nitrate losses to the environment, 
     help protect water quality, and reduce greenhouse gas 
     emissions, include slow- and controlled-release fertilizers 
     (absorbed, coated, occluded or reacted) and stabilized 
     nitrogen fertilizers (nitrification inhibitors and nitrogen 
     stabilizers). These tools are recognized in USDA's 
     conservation standards and specifications for nutrient 
     management and related practices and by State regulators of 
     fertilizers.
       The Managers recognizes the changing nature of agriculture 
     including technological advances, weather-related factors, 
     and markets under which producers must operate their 
     business. During the term of a 5-year agreement, an 
     agriculture operation may make adjustments in production 
     systems in response to the changing markets, weather-related 
     causes, or other necessary actions essential to the 
     continuing their operation. The Managers expect that the 
     Secretary will ensure producers have the opportunity to 
     adjust their operations while maintaining comparable or 
     enhanced conservation performance of the enrolled acreage and 
     still continuing their contracts.

          Subtitle C--Environmental Quality Incentives Program

     (7) Establishment and Administration
       The House bill states that not more than 50 percent of a 
     payment under the Environmental Quality Incentives Program 
     (EQIP) may be made in advance for the purpose of purchasing 
     materials or contracting. Funds not expended in 90 days shall 
     be returned. Additionally, the bill maintains the 60 percent 
     allocation for livestock production and adds a 7.5 percent 
     allocation targeted towards practices benefiting wildlife 
     habitat. The House bill also provides a clerical amendment 
     using the term ``Indian Tribes''. The bill includes payments 
     to producers for practices that support the restoration, 
     development, protection, and improvement of wildlife habitat 
     as well as recurring practices for the term of the contract. 
     It also adds a new provision for alternative funding 
     arrangements with eligible irrigation associations. (Section 
     2202)
       The Senate amendment changes the practices for forgone 
     income payment and gives greater significance to addressing 
     resource concerns such as: soil health; water quality and 
     quantity improvement; nutrient management; pest management; 
     air quality improvement; wildlife habitat development, 
     including pollinator habitat; invasive species management; or 
     other resource issues of regional or national significance. 
     Additionally, the amendment maintains and consolidates the 
     authority for the Wildlife Habitat Incentive Program (WHIP) 
     within EQIP. The amendment also maintains the 60 percent 
     allocation for livestock production, provides at least a 5 
     percent allocation targeted towards practices benefiting 
     wildlife habitat, and strikes the subsection providing for 
     alternative funding arrangements for Native American Indian 
     Tribes and Alaska Native Corporations. Additionally, the 
     alternative funding arrangement provision is expanded to 
     include CSP. The Senate amendment does not include recurring 
     practices for the term of the contract and requires the 
     Secretary to consult at least once a year with the State 
     Technical Committees when determining practices eligible for 
     wildlife habitat incentive payments. The Secretary may make 
     wildlife habitat incentive payments to a state or local 
     government to enroll land that is riparian to or submerged 
     under a water body or wetland. (Section 2202)
       The Conference substitute adopts the Senate provision 
     updating the list of practices the Secretary may give special 
     significance to in determining income forgone with an 
     amendment. The list is revised to better reflect natural 
     resource objectives.
       The Conference substitute adopts the Senate provision with 
     amendment regarding the revision of the practice list the 
     Secretary may give special significance to when determining 
     income forgone. The Managers intend for the revision to 
     better reflect natural resource objectives and to clarify 
     that conservation practices with a longer lifespan may 
     include more than one year of income forgone when it is 
     necessary to encourage full adoption and maintenance of the 
     practice.
       The substitute adopts the House provision that increases 
     the percentage of an EQIP payment that may be made in advance 
     for the purposes of purchasing materials and contracting from 
     30 percent to 50 percent.
       The substitute adopts the Senate provision that maintains 
     the 60 percent allocation for livestock production and 
     further provides for an allocation of at least 5 percent for 
     targeted practices benefiting wildlife habitat. It further 
     adopts the Senate provision striking alternative funding 
     arrangements for Indian Tribes as a conforming amendment to 
     [section 2606] which moves the alternative funding 
     arrangement for EQIP, while adding CSP, to section 1244(l) of 
     the Food Security Act of 1985, as amended. The Managers 
     recognize the broad and significant role of the EQIP program 
     in promoting environmental stewardship among livestock and 
     poultry producers around the country and maintains that 60% 
     of the funding allocation go to these producers. Within six 
     months of enactment, USDA is directed to report to the House 
     Committee on Agriculture and Senate Committee on Agriculture, 
     Nutrition, and Forestry on funds spent over the duration of 
     the last Farm Bill and on whether NRCS has met its statutory 
     obligations.
       The substitute adopts the Senate provision on payments to 
     producers for practices that support the restoration, 
     development, protection, and improvement of wildlife habitat. 
     The Managers acknowledge the need to consolidate and 
     streamline conservation programs which is why WHIP was merged 
     within EQIP with the primary goal to provide farmers and 
     ranchers with assistance to improve wildlife habitat on 
     working lands.
       The substitute deletes the House provision for alternative 
     funding arrangements with eligible irrigation associations.
       The substitute adopts the Senate provision requiring the 
     Secretary to consult at least once a year with the State 
     Technical Committees when determining eligible practices for 
     wildlife habitat incentive payments. The Managers intend that 
     under section 1240B(g)(2) regarding funding of wildlife 
     habitat practices, the Secretary should prioritize fish and 
     wildlife species identified in State, regional, or national 
     wildlife plans and initiatives. However, the Managers did not 
     include the Senate provision that would allow for wildlife 
     habitat incentive payments to a state or local government to 
     enroll land that is riparian to or submerged under a water 
     body or wetland. (Section 2203)
     (8) Limitations on Payments
       The House bill provides for a payment limitation of 
     $450,000 to a person or legal entity for all EQIP contracts 
     entered during FY 2014 through FY 2018. (Section 2205)
       The Senate amendment maintains the $300,000 payment 
     limitation but strikes the six year period timeframe and 
     inserts FY 2014 through FY 2018. The amendment also maintains 
     the waiver authority ``for not more than $450,000'' in 
     current law. (Section 2205)
       The Conference substitute adopts the House provision. 
     (Section 2206)
     (9) Conservation Innovation Grants
       The House bill adds facilitating on-farm research and 
     demonstration activities and facilitating pilot testing of 
     new technologies or innovative conservation practices to the 
     types of project the Secretary may fund with Conservation 
     Innovation Grants. Additionally, the bill eliminates payments 
     to producers who implement practices to address air quality 
     concerns. (Section 2206)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment to include payments to producers who implement 
     practices to address air quality concerns at a reduced 
     funding level of $25 million. (Section 2207) The Managers 
     intend for there to be increased transparency by USDA in the 
     area of innovative conservation projects and monitoring that 
     these innovative conservation approaches are later 
     incorporated into common conservation practices.
     (10) Definitions
       The Senate amendment combines the definitions of ``National 
     Organic Program'' and ``Organic System Plan'' for 
     simplification purposes. (Section 2202)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision. 
     (Section 2202)
       Section 1240B of the Food Security Act of 1985, as amended, 
     provides the Secretary the option to accept financial 
     assistance from other sources. The Secretary should not 
     create additional burdens on the participant, state or 
     private organization in an effort to account for non-Federal 
     resources provided in support of conservation practices 
     installed under the program by this authority.
       The Managers intend that conservation programs should 
     recognize the use of innovative technology, such as enhanced 
     efficiency

[[Page 1968]]

     fertilizers (e.g., slow and controlled-release fertilizers, 
     stabilized nitrogen fertilizers). This innovative technology 
     can help producers to protect water quality and reduce 
     greenhouse emissions, and are recognized by State regulators 
     of fertilizers. In the case of EQIP applications involving 
     manure-to-energy projects, the Managers encourage the 
     Secretary to consider whether the projects include an 
     integrative approach to addressing nutrient management and 
     water quality issues.
       Additionally, the Managers encourage NRCS to evaluate its 
     education program and make sure that it is providing all 
     potential users within each state an opportunity to become 
     educated about the EQIP program and how each farmer can 
     incorporate EQIP into their farm stewardship management 
     plans. There is concern that not all producers may be fully 
     aware of all of the services, practices, components, and 
     other information needed to participate fully in farm bill 
     conservation programs. The state NRCS offices shall notify 
     producers, in a readily accessible and understandable form, 
     the practices available that may be applicable to various 
     livestock species and crops. These notifications shall also 
     include the payment levels available and the period in which 
     payment for a particular practice is available. The Managers 
     also request a breakdown of livestock and poultry operation 
     practices available by state, and what practices were funded 
     in each state to be included in the report. Finally, the 
     Managers encourage USDA to continue to make their staff 
     available to attend meetings of agricultural producers at the 
     local, State and national level to educate and inform 
     producers of the programs available to meet natural resource 
     and energy efficiency needs on their operations.

         Subtitle D--Agricultural Conservation Easement Program

     (11) Agricultural Conservation Easement Program
       The House bill states the definition of ``agricultural land 
     easement'' for the purposes of the new Agricultural 
     Conservation Easement Program (ACEP). The House bill includes 
     land that is conveyed for the purpose of protecting natural 
     resources and the agriculture nature of the land. It also 
     provides the definition of ``eligible land'' in the case of 
     an agricultural land easement. It includes agricultural land 
     that the protection of which will further a State or local 
     policy consistent with the purposes of the program. 
     Additionally, there is a definition of ``eligible land'' in 
     the case of a wetland easement. The bill provides that 
     eligible land includes cropland or grassland that was used 
     for agricultural production prior to the natural overflow of 
     a closed basin lake and adjacent land dependent on it, if the 
     State or other entity is willing to provide 50 percent cost-
     share. It provides for an exception for grasslands of special 
     environmental significance by allowing the Secretary to pay 
     up to 75 percent of the fair market value as the Federal 
     cost-share of the easement. It authorizes an eligible entity 
     to use its own terms and conditions for an agricultural land 
     easement as long as the Secretary determines such terms and 
     conditions meet several requirements, and establishes the use 
     of permanent easements or easements for the maximum duration 
     allowed under State law for agricultural land easements. The 
     bill establishes the method of enrollment for wetland 
     easements and deems 30-year contracts to be considered 30-
     year easements for the purposes of the wetlands easements and 
     establishes a land ownership requirement of 24 months. It 
     also provides that, among other things, an owner entering 
     into a wetland easement shall agree to permanently retire any 
     existing base history. The bill states a wetland easement 
     must include, among other things, a term or condition that 
     provides for the efficient and effective establishment of 
     wildlife functions and values, and the bill allows the 
     Secretary to delegate any easement management, monitoring, 
     and enforcement responsibilities to Federal or State agencies 
     that have the appropriate authority, expertise and resources. 
     It adds authority for the Secretary to delegate any easement 
     management responsibilities to other conservation 
     organizations determined by the Secretary. Lastly, it 
     allocates funding for agricultural land easement at no less 
     than 40 percent in FY 2014 through 2017 and no less than 50 
     percent in fiscal year 2018, and amends the acreage 
     limitation to include the repealed Wetlands Reserve Program 
     (WRP) acres when calculating the 25 percent country acreage 
     cap in addition to CRP and the new wetland easements. 
     (Section 2301)
       The Senate amendment is similar to the House but adds the 
     purpose of promoting agriculture viability for future 
     generations, adds agricultural land the protection of which 
     could conserve grassland or agricultural landscapes of 
     significant ecological value, incorporates ``reserve'' into 
     the definition of a wetland reserve easement, and does not 
     include the 50 percent cost-share included in the House for 
     closed basin lakes. The Senate amendment includes the same 
     exception as the House but also authorizes the Secretary to 
     waive any portion of the eligible entity cash contribution 
     requirement for projects of special significance, subject to 
     an increase of private landowner voluntary donation equal to 
     the amount of the waiver. It includes a requirement that the 
     terms and conditions are permanent or for the maximum 
     duration allowed under State law. It does not provide that 
     30-year contracts should be considered as 30-year easements 
     for wetlands purposes. The amendment establishes a land 
     ownership requirement of 12 months and it also agrees to 
     retire allotment history as included in comparable provision 
     of current law. In the amendment, the term or condition must 
     provide for the efficient and effective establishment of 
     wetland functions and values. The amendment also allows the 
     Secretary to delegate any easement management, monitoring, 
     and enforcement responsibilities to Federal or State agencies 
     that have the appropriate authority, expertise and resources 
     or to other conservation organizations as determined by the 
     Secretary. It includes a limitation that the Secretary shall 
     not delegate monitoring or enforcement to conservation 
     organizations. Finally, land enrolled in WRP, GRP, and 
     Farmland Protection Program (FPP) are considered enrolled in 
     the ACEP program, and the amendment adds to the current law 
     exclusion for shelterbelts and windbreaks; wetland and 
     saturated soils, not subjecting such cropland with subclass w 
     in the land capability classes IV through VII. (Section 2301)
       The Conference substitute adopts the Senate provision on 
     promoting agriculture viability for future generations with 
     an amendment. The amendment includes a reference to 
     agricultural future viability in the Establishment and 
     Purposes section while striking viability for future 
     generations from the definition of agricultural land easement 
     (ALE). The amendment also adopts the Senate provision 
     incorporating ``reserve'' in the definition of a wetland 
     reserve easement.
       The substitute adopts the House definition of eligible land 
     in the case of an agricultural land easement with an 
     amendment. The amendment uses the Senate's concept of better 
     incorporating grasslands into the definition.
       The substitute also adopts the House definition of eligible 
     land in the case of a wetland reserve easement. The Managers 
     do not intend for these slight modifications or adjustments 
     to significantly alter the way NRCS has evaluated, ranked, 
     enrolled and protected wetlands.
       The substitute adopts the Senate provision on the waiver of 
     any portion of the cash contribution requirement for projects 
     of special significance with an amendment. The amendment 
     limits the land to property that is in active agricultural 
     production. To ensure the purpose of the GRP is appropriately 
     included in ALE, the term ``grassland of special 
     significance'' is included as eligible lands for ALE. The 
     term encompasses grasslands with high biodiversity values; 
     large intact natural grassland areas; rare or threatened 
     ecosystems; grasslands with critical ecosystem importance; 
     and grasslands that meet any one or more of these values that 
     are of importance to local communities and working 
     agriculture land preservation efforts.
       The substitute deletes the House provision that deems 30-
     year contracts as easements with an amendment. The amendment 
     includes language in the definition of wetland reserve 
     easement that gives the Secretary discretion to enter into 
     30-year contracts with Indian Tribes where relevant.
       The substitute adopts the House provision establishing a 
     land ownership requirement of 24 months and the House 
     provision that strikes allotment history. The substitute 
     adopts the Senate language on the administrative delegation 
     of easements. The Managers are aware that NRCS enters into 
     cooperative agreements and Memorandums of Understanding with 
     conservation groups and this provision does not prohibit NRCS 
     from continuing these types of agreements under section 
     1242(d) of the Food Security Act of 1985, as amended, to help 
     administer and implement easements.
       The substitute adopts the Senate language on land 
     considered enrolled in ACEP with an amendment to clarify that 
     this language is consistent with the transition language for 
     the repealed programs.
       The substitute deletes the House provision on allocating 
     ACEP funding between the two easements. The Managers expect 
     NRCS to administer the ACEP funding, to the extent 
     practicable, in a manner that allows for State flexibility to 
     prioritize their easement needs while making sure that NRCS 
     distributes funding to address the multiple purposes of the 
     new consolidated program.
       The Managers further intend for the Secretary to have the 
     flexibility to make adjustments to this allocation based upon 
     the Department's stewardship responsibilities for lands 
     already enrolled as the easement portfolio increases over 
     time.
       The substitute further adopts the House provision amending 
     the acreage limitation to include the cropland acreage 
     currently enrolled under the WRP when calculating the 25 
     percent country acreage cap in addition to CRP and the new 
     wetland easements.
       The substitute adopts the Senate provision adding to the 
     current law exclusion for shelterbelts and windbreaks, 
     wetland and saturated soils, not subjecting such cropland 
     with subclass w in the land capability classes IV through VII 
     to statutory acreage limitations. (Section 2301)

[[Page 1969]]



         Subtitle E--Regional Conservation Partnership Program

     (12) Regional Conservation Partnership Program
       The House bill provides the definition of ``eligible 
     activity'' for the new Regional Conservation Partnership 
     Program (RCPP), which includes air quality improvement. It 
     also provides the definition of ``eligible land'' and the 
     definition of ``eligible partner'' for the new RCCP program, 
     which includes a water district, irrigation district, rural 
     water district or association, or other organization with 
     specific water delivery authority to producers on 
     agricultural land. The bill establishes the duties of 
     partners under RCPP including conducting outreach to 
     producers for potential participation, and allows the 
     Secretary to give priority to certain applications. It gives 
     the Secretary discretion to adjust program rules for a 
     covered program, and it allows the Secretary to make payments 
     to producers participating in a project that addresses water 
     quantity concerns for five years in an amount sufficient to 
     encourage conversion from irrigation to dryland farming. The 
     bill provides $100 million in mandatory funding during FY 
     2014 through 2018, reserves 6 percent of funds and acres made 
     available under the covered programs as additional funding to 
     carry out RCPP, and requires the Secretary to allocate, from 
     all funds and acres of the program, 25 percent to projects 
     based on a State competitive process, 50 percent based on a 
     national competitive process, and 25 percent for critical 
     conservation areas. Additionally, the bill requires a report 
     to Congress on December 31, 2014, and every two years 
     thereafter. It states that the Secretary shall designate 
     eight geographical areas as critical conservation areas under 
     RCPP. Lastly, the bill also makes available to the Secretary 
     the authorities under the Watershed Protection and Flood 
     Prevention program (except the Small Watershed Rehabilitation 
     Program) to carry out projects in a designated critical 
     conservation area. (Section 2401)
       The Senate amendment is similar to House except that it 
     does not include air quality improvement or water district 
     language. It does include forest restoration, specifies the 
     conversion of irrigated cropland to the production of less 
     water-intensive agricultural commodities or dryland farming 
     under water quality restoration or enhancement projects, 
     includes a municipal water or wastewater treatment entity, 
     and includes education along with outreach to producers for 
     potential participation as a duty of partners under RCPP. The 
     amendment requires the Secretary to give priority to certain 
     applications and allows the Secretary to give priority to 
     others, and priority for providing innovation in the 
     improvement and delivery of water quality or water quantity. 
     Additionally, the amendment provides operational guidance and 
     requirements for a covered program and non-statutory, 
     regulatory rules or provisions. Further, it includes a 
     provision prohibiting the Secretary from limiting eligibility 
     on the basis of irrigation history for States where 
     irrigation has not been significantly used for agricultural 
     purposes. It requires the Secretary to enter into at least 10 
     but no more than 20 alternative funding arrangements with 
     multi-state water resource agencies or authorities. It also 
     adds producers participating in projects that address water 
     quality concerns in an amount sufficient to encourage 
     adoption of practices that improve nutrient management, and 
     provides $110 million of mandatory funding during FY 2014 
     through 2018. The amendment reserves 8 percent of funds and 
     acres made available under the covered programs as additional 
     funding to carry out RCPP. It requires the Secretary to 
     allocate, from all funds and acres of the program, 25 percent 
     to projects based on a State competitive process, 40 percent 
     based on a national competitive process, and 35 percent for 
     critical conservation areas, and also requires that a 
     description of how the funds are being administered be 
     included in the report. The Secretary shall designate six 
     geographical areas as critical conservation areas under RCPP. 
     The critical conservation area designation expires after five 
     years, subject to redesignation. The Secretary may withdraw 
     from such area. (Section 2401)
       The Conference substitute adopts the House provision on the 
     definition of eligible activity with an amendment. The 
     amendment narrows the language and adds forest restoration as 
     an eligible activity.
       The substitute adopts the House definition of eligible 
     land. It further adopts the House definition of an eligible 
     partner with an amendment. The amendment adds the Senate's 
     inclusion of water or wastewater treatment entity as an 
     eligible partner.
       The substitute adopts the Senate provision that includes 
     education along with outreach as a duty of an eligible 
     partner.
       The substitute adopts the House provision on priority to 
     certain applications.
       The substitute adopts the Senate provision on operational 
     guidance and requirements for a covered program and non-
     statutory, regulatory rules or provisions with clarifying 
     amendments. It further adopts the Senate provision 
     prohibiting the Secretary from limiting eligibility on the 
     basis of irrigation history for States where irrigation has 
     not been significantly used for agricultural purposes.
       The substitute adopts the Senate provision that provides 
     for alternative funding arrangements with an amendment. The 
     amendment allows the Secretary to enter into no more than 20 
     alternative funding arrangements with multi-state water 
     resource agencies but eliminates the requirement that the 
     Secretary enter into at least 10 of the arrangements.
       The substitute adopts the Senate provision on payments to 
     producers for projects that address both water quantity and 
     water quality.
       The substitute adopts the House mandatory funding level of 
     $100 million and sets the percentage of acres reserved for 
     the program at 7 percent.
       The substitute adopts the Senate provision on the 
     allocation of the percentage of the funds going to the 
     states, the Department and reserved for critical conservation 
     areas. It further adopts the Senate provision on reporting by 
     the Department on how funds are being administered.
       The substitute adopts the House provision on the number of 
     critical conservation areas with an amendment. The amendment 
     includes the Senate provisions on expiration of and 
     withdrawal from designation of the critical conservation 
     area.
       The substitute includes the House provision on including 
     authorities under P.L. 566 in the Regional program. (Section 
     2401)
       The Managers encourage the Secretary to distribute funding 
     equitably across the nation and to not ignore different 
     natural resource concerns that may be unique to each region. 
     The substitute includes provisions from the Senate amendment 
     regarding education and outreach duties for partners, which 
     the Managers view as a vital component due to the important 
     role those duties will have in the success of the program and 
     in achieving large-scale conservation benefits on the ground. 
     The Managers recognize the existing capabilities of the land 
     grant institutions in each state, including the Cooperative 
     Extension Service system, which have a proven track record of 
     effectively working with producers providing outreach and 
     education, and encourage the Secretary and potential partners 
     to seek ways to utilize these existing resources and systems.
       The Managers intend that projects not be limited solely to 
     geographic areas but that regional and non-contiguous multi-
     state areas be considered as well, provided that all program 
     requirements are met.
       The Managers expect the contribution of the partner to be a 
     significant portion of the overall costs. The Managers urge 
     the Secretary to resist defining this as a set percentage of 
     the cost as a minimum standard to be applied to all 
     applications. The Secretary should evaluate the overall 
     merits of each proposal and the significance of the partner's 
     contribution to the potential successful implementation. 
     There is concern that a set percentage might preclude 
     proposals from partners that require high financial 
     assistance from USDA to the producer while the partner's 
     support is from a smaller, but essential technical assistance 
     contribution.

                Subtitle F--Other Conservation Programs

     (13) Conservation on Private Land
       The House bill reauthorizes the Conservation on Private 
     Grazing Land program at previous levels of $60 million per 
     year through FY 2018. (Section 2501)
       The Senate amendment reauthorizes the Conservation on 
     Private Grazing Land program at reduced level of $30 million 
     per year through FY 2018. (Section 2501)
       The Conference substitute adopts the House provision. 
     (Section 2501)
     (14) Grassroots Source Water Protection Program
       The House bill reauthorizes the Grassroots Source Water 
     Protection Program at previous levels of $20 million per year 
     through FY 2018. Additionally, it authorizes a one-time $5 
     million in mandatory money to remain available until 
     expended. (Section 2502)
       The Senate amendment reauthorizes the Grassroots Source 
     Water Protection Program at reduced appropriated levels of 
     $15 million per year through FY 2018. (Section 2502)
       The Conference substitute adopts the House provision. 
     (Section 2502)
     (15) Voluntary Public Access and Habitat Incentive Program
       The House bill reauthorizes the Voluntary Public Access and 
     Habitat Incentive Program at a reduced level of $30 million 
     in mandatory money per year from FY 2014 though FY 2018. 
     (Section 2503)
       The Senate amendment reauthorizes the Voluntary Public 
     Access and Habitat Incentive Program at a reduced level of 
     $40 million in mandatory money per year from FY 2014 though 
     FY 2018. Amendments become effective October 1, 2013. 
     (Section 2503)
       The Conference substitute adopts the Senate provision. 
     (Section 2503)
     (16) Small Watershed Rehabilitation Program
       The House bill reauthorizes the Small Watershed 
     Rehabilitation Program at previous appropriated levels of $85 
     million per year through FY 2018 and authorizes $250 million 
     in mandatory money for FY 2014, to remain available until 
     expended. (Section 2505)

[[Page 1970]]

       The Senate amendment reauthorizes the Small Watershed 
     Rehabilitation Program at previous appropriated levels of $85 
     million per year through FY 2018. No mandatory money.
       The Conference substitute adopts the House provision. 
     (Section 2505)
     (17) Agricultural Management Assistance Program
       The House bill eliminates tree plantings and soil erosion 
     control from the list of approved uses, and permanently 
     authorizes the Agricultural Management Assistance Program at 
     $10 million in mandatory money each fiscal year. It sets 
     aside 30 percent to NRCS for conservation, 10 percent to the 
     Agricultural Marketing Service for organic certification, and 
     60 percent to the Risk Management Agency for risk management. 
     (Section 2506)
       The Senate amendment eliminates the specific state 
     designations and tree planting authorities. It adds to the 
     authority for organic certification, risk management 
     education and outreach, and management assistance grants for 
     conservation practices and risk mitigation. It provides for 
     $23 million in funding to be distributed at levels of: 50 
     percent for organic certification; 26 percent for risk 
     management; and 24 percent for conservation and mitigation. 
     (Section 11034)
       The Conference substitute deletes both the House and the 
     Senate provisions.
     (18) Emergency Watershed Protection Program
       The House bill adds a priority for projects that mitigate 
     risks and remediate the effects of catastrophic wildfires on 
     land that is the source of drinking water for landowners and 
     land users. (Section 2507)
       The Senate amendment authorizes the Secretary to modify and 
     terminate floodplain easements provided the current landowner 
     agrees, and the modification or termination addresses a 
     compelling public need where there is no practical 
     alternative and it is in the public interest. (Section 2506)
       The Conference substitute adopts the Senate provision. 
     (Section 2506)
       The substitute provides the Secretary limited authority to 
     modify or terminate a floodplain easement which is similar 
     authority under other conservation programs. The Managers 
     intend for the Secretary to enter into compensatory 
     agreements with third parties to allow for flexibility to 
     modify or terminate the floodplain easements.
     (19) Terminal Lakes Assistance
       The Senate amendment strikes and replaces current law with 
     a Terminal Lakes Assistance program. It adds a definition for 
     eligible land and terminal lake. Additionally, it adds a new 
     voluntary land purchase grant program with a $25 million 
     authorization of appropriations, to remain available until 
     expended. The bill includes a transfer of $150 million in 
     mandatory funds to the Bureau of Reclamation. (Section 2507)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision. 
     (Section 2507)
     (20) Soil and Water Resources Conservation
       The Senate amendment adds Indian tribes as eligible to 
     cooperate with and participate in the soil and water 
     conservation program. (Section 2509)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision. 
     (Section 2508)

                 Subtitle G--Funding and Administration

     (21) Funding
       The House bill provides mandatory funding to carry out CRP 
     including $25 million for FY 2014 through 2018 to facilitate 
     transfer of land from retired or retiring owners and 
     operators to beginning or socially disadvantaged farmers or 
     ranchers. Additionally, the bill provides mandatory funding 
     for ACEP at the following levels: $425 million in FY 2014; 
     $450 million in FY 2015; $475 million in FY 2016; $500 
     million in FY 2017; $200 million in FY 2018. It also provides 
     mandatory funding for EQIP at $1.75 billion each year for FY 
     2014 through 2018 and eliminates Regional Equity. (Section 
     2601)
       The Senate amendment provides mandatory funding to carry 
     out CRP including $10 million to provide cost-share payments 
     for thinning activities and $50 million to facilitate 
     transfer of land from retired or retiring owners and 
     operators to beginning or socially disadvantaged farmers or 
     ranchers. It also provides mandatory funding for ACEP at the 
     following levels: $450 million in FY 2014; $475 million in FY 
     2015; $500 million in FY 2016; $525 million in FY 2017; $250 
     million in FY 2018. The amendment also provides mandatory 
     funding for EQIP at the following levels: $1.5 billion for FY 
     2014; $1.6 billion for FY 2015; $1.65 billion FY 2016 through 
     2018. The Senate amendment also retains regional equity, 
     amends current law by eliminating the $15 million annual 
     requirement, and allows states in the first quarter of the 
     fiscal year to establish that they can use a total of 0.6 
     percent of certain conservation funds, in which case they may 
     receive such funds exclusive of the CRP funding. (Section 
     2603)
       The Conference substitute adopts the Senate provision on 
     mandatory funding for CRP with an amendment. The amendment 
     includes the funding level for transition payments at $33 
     million.
       The Conference substitute adopts the Senate provision for 
     mandatory funding for ACEP with an amendment. Funding levels 
     are: $400 million in FY 2014; $425 million in FY 2015; $450 
     million in FY 2016; $500 million in FY 2017; $250 million in 
     FY 2018.
       The Conference substitute adopts the Senate provision for 
     EQIP with an amendment. The amendment provides mandatory 
     funding for EQIP at the following levels: $1.35 billion for 
     FY 2014; $1.6 billion for FY 2015; $1.65 billion for FY 2016; 
     $1.65 billion for FY 2017; and $1.75 billion in FY 2018. 
     (Section 2602)
       The Conference adopts the Senate provisions for Regional 
     Equity. (Section 2603)
     (22) Technical Assistance
       The House bill continues to make mandatory money for 
     conservation programs available for technical assistance and 
     requires a report from the Secretary not later than December 
     31, 2013, on the amount of funds requested and apportioned. 
     (Section 2602)
       The Senate amendment is similar to the House but requires 
     the apportionment for technical assistance be at the sole 
     discretion of the Secretary. Further, the Senate amendment 
     requires the Secretary to give priority to producers who 
     request technical assistance to comply with subtitles B and C 
     for the first time and submit a report not later than 270 
     days after enactment on the extent to which conservation 
     compliance requirements affect specialty crop growers. The 
     Secretary must also submit, not later than November 1 of each 
     year, a report on highly erodible lands/wetland conservation 
     determinations. (Section 2642)
       The Conference substitute adopts the Senate provision. 
     (Section 2602)
     (23) Reservation of Funds to Provide Assistance to Certain 
         Farmers or Ranchers for Conservation Access
       The House bill reauthorizes the EQIP and CSP set-aside 
     through FY 2018. It also provides a preference for veteran 
     farmers or ranchers eligible under the provision. Amendments 
     take effect on October 1, 2013. (Section 2603)
       The Senate amendment is the same as the House, but has no 
     effective date. (Section 2604)
       The Conference substitute adopts the Senate provision. 
     (Section 2604)
     (24) Annual Report on Program Enrollment and Assistance
       The House bill amends the reporting requirement to reflect 
     the repeal of the relevant programs. The amendments take 
     effect on October 1, 2013. (Section 2604)
       The Senate amendment is similar to the House, but adds 
     reporting requirements for CSP payments and waivers for 
     grasslands under ACEP. It does not include an effective date. 
     (Section 2605)
       The Conference substitute adopts the Senate provision. 
     (Section 2605)
     (25) Review of Conservation Practice Standards
       The House bill requires the Secretary to review the 
     conservation practice standards in effect on the date of 
     enactment of the Farm Bill. (Section 2605)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate amendment 
     making no change to current law.
     (26) Administrative Requirements Applicable to All 
         Conservation Programs
       The House bill makes veteran farmers or ranchers eligible 
     for incentives. Additionally, it makes other clarifying and 
     conforming amendments. The amendments take effect October 1, 
     2013. (Section 2606)
       The Senate amendment allows for flexible funding 
     arrangements for Indian Tribes and includes EQIP and CSP as 
     applicable programs. It does not include an effective date. 
     (Section 2606)
       The Conference substitute adopts the Senate provision. 
     (Section 2606)
       The Conference substitute combines language on improved 
     administrative efficiency and streamlining from individual 
     programs and places it in a central location to apply to all 
     conservation programs. It expands and clarifies requirements 
     for developing a streamlined conservation application 
     process. It clarifies that any payment received under Title 
     II is in addition to and does not affect total payments that 
     an owner or operator is otherwise eligible to receive. The 
     Managers encourage the Secretary to significantly increase 
     the use of computer-based conservation practice planning 
     tools that incorporate Light Detection and Ranging elevation 
     data to modernize and simplify conservation planning, improve 
     efficiency of technical assistance, and improve service to 
     private landowners.
       Further, the Managers encourage the Secretary, in 
     delivering conservation programs, to give priority within the 
     tallgrass prairie region to the use of appropriate tallgrass 
     prairie species for watershed management, flood mitigation/
     prevention, reduction of soil erosion and nutrient loss, 
     biomass crop production, and other conservation measures.
       The Managers recognize the unique challenges facing 
     producers whose operations contain muck soils and encourage 
     the Secretary to continue to work with these farmers to allow 
     them to utilize this productive type of ground.
       The conferees direct NRCS to ensure agency staff, partners, 
     and producers are aware of new and interim conservation 
     practice standards and conservation activity plans to

[[Page 1971]]

     address herbicide-resistant weeds. The agency is also to make 
     certain there is awareness that financial assistance is 
     available through certain conservation programs to assist 
     producers in their efforts to control these weeds.
       The Managers expect that the principles and guidelines 
     developed pursuant to section 103 of the Water Resources 
     Planning Act, or revised pursuant to section 2031 of the 
     Water Resources Development Act of 2007, and any guidelines 
     developed thereunder, shall not apply and require no new 
     administrative process, rulemaking, or administrative 
     procedures for programs administered by NRCS, the Forest 
     Service, RMA, Farm Service Agency (FSA), or Rural 
     Development. With respect to USDA programs, section 103 of 
     the Water Resources Planning Act is intended to only focus on 
     large scale water infrastructure projects, not individual 
     farm based water conservation, water quality, or assistance 
     to rural communities for drinking water.
       As NRCS is the agency responsible for helping farmers and 
     ranchers implement voluntary, incentive-based conservation 
     practices that are all locally-led, the federal objective of 
     the principles and guidelines is already being met. 
     Furthermore, the Forest Service, RMA, FSA and Rural 
     Development all play important roles in helping farmers, 
     ranchers, and rural communities with finding critical 
     solutions to problems that are unique to farming, ranching 
     and rural America, and should not face unnecessary burden in 
     complying with this administrative requirement.
       The Managers are concerned by reports that Federal agencies 
     other than USDA, as well as State and local governments, are 
     seeking to impose more stringent and larger buffer 
     requirements on land being enrolled in USDA conservation 
     programs. The Managers expect NRCS to continue to utilize 
     their own Field Office Technical Guide and conservation 
     planning tools to determine what is reasonable and needed to 
     accomplish the natural resource concerns to be addressed.
     (27) Wetlands Mitigation
       The House bill eliminates the requirement to provide 
     equivalent functions and values when more acreage is needed 
     in wetland conversion mitigation than a 1-for-1 acreage 
     basis. (Section 2609)
       The Senate amendment requires the Secretary to conduct a 
     wetland mitigation study no later than 180 days after 
     enactment to assess the use of wetland mitigation to 
     determine certain impacts on wildlife. The study also should 
     include recommendations for improving wetland mitigation 
     procedures and increasing use of the wetland mitigation 
     process by producers. Lastly, the Senate amendment requires 
     the Secretary to submit a report of its findings to Congress 
     no later than two years after the date of enactment. (Section 
     2508)
       The Conference substitute adopts neither the House nor 
     Senate provisions but provides $10 million in mandatory 
     funding for mitigation banking efforts. (Section 2609) The 
     Managers recognize that the use of wetlands mitigation is an 
     important tool for wetland habitat development and 
     agriculture crop production. The Managers encourage the 
     Secretary to use mitigation with the conversion of a natural 
     wetland and equivalent wetlands functions at a ratio not to 
     exceed a ratio of 1-to-1 acreage.
     (28) Lesser Prairie Chicken Conservation Report
       The House bill requires the Secretary to submit a report to 
     Congress no later than 90 days after enactment which 
     considers all USDA administered programs that benefit the 
     lesser prairie-chicken. (Section 2610)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     amendment. The amendment includes the addition of State plans 
     to the list of programs pertaining to the conservation of the 
     lesser prairie-chicken. (Section 2610)
     (29) Highly Erodible Land and Wetland Conservation for Crop 
         Insurance
       The Senate amendment requires conservation compliance for 
     eligibility to receive premium assistance on crop insurance, 
     creates new provisions for determinations, administration, 
     and penalties unique to crop insurance, and gives technical 
     assistance priority to producers that need to come under 
     compliance. (Section 2609)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision with 
     amendment. (Section 2611) The amendment clarifies that for 
     compliance on highly erodible lands ineligibility for premium 
     assistance can only apply for reinsurance years after the 
     year in which there has been a final determination of a 
     violation and cannot apply to the reinsurance year in which 
     the final determination was made nor any reinsurance year 
     prior to the year the final determination was made. A 
     determination is not final until after the producer has 
     exhausted all administrative appeal rights. The substitute 
     revises the application to existing operations with prior 
     violations so that the date for compliance is the date of 
     enactment of this Act. This means that if a person is found 
     to be out of compliance and would have been out of compliance 
     since that date, had they participated in any programs 
     requiring compliance, then they have two reinsurance years to 
     develop and comply with a conservation plan.
       The substitute also provides for the coordination of 
     certification processes so that the procedures and paperwork 
     that are required by this section for eligibility based on 
     wetlands compliance are also used for determining eligibility 
     based on highly erodible lands compliance. The amendment 
     clarifies the provisions for compliance with wetlands 
     conservation placing all of the components of compliance for 
     crop insurance premium assistance in a separate subsection. 
     The substitute also makes clear that ineligibility only 
     applies to premium assistance in reinsurance years after the 
     year in which a final determination is made and not to the 
     reinsurance year in which the final determination is made nor 
     to any year prior to that year.
       The substitute revises the categories for the application 
     based on the conversion of a wetland. If the wetland is 
     converted at any time after the date of enactment of this 
     Act, the person becomes ineligible for premium assistance in 
     the reinsurance year after final determination, unless an 
     exemption applies or if the wetland converted constitutes 
     less than five acres of the person's entire farm in which 
     case the person can choose to make a contribution to 
     conservation equal to 150 percent of the cost of mitigation. 
     If, however, the wetland was converted at any time prior to 
     the date of enactment of this Act, the person cannot be found 
     in violation and thus ineligible for premium assistance based 
     on that conversion.
       Finally, if a new policy or plan of insurance becomes 
     available after the date of enactment, ineligibility for 
     premium assistance can only apply to conversions that take 
     place after the date the new policy or plan of insurance 
     first becomes available to the person. In this case the 
     person has two reinsurance years to mitigate the conversion 
     before ineligibility can apply to the subsequent reinsurance 
     year. The substitute also clarifies that a person who becomes 
     subject to wetlands compliance solely because of the 
     enactment of this Act has two reinsurance years after the 
     year in which a final determination is made to mitigate the 
     conversion, and that a person who is found to have converted 
     a wetland in good faith is also given two reinsurance years 
     to mitigate the conversion. The Managers do not intend for 
     this language to cause any change in current law or USDA 
     policy relating to third-party or landowner/tenant 
     determinations of compliance, violations, or attribution.
       With regard to the provisions for equitable contribution, 
     the Managers expect that the Secretary will determine the 
     period of violation to be the date on which the violation 
     occurred, then adjust for the later of the following: 1) the 
     first certification period for crop insurance assistance 
     following date of enactment, or 2) the first date for which 
     the individual was eligible for and made application for a 
     crop insurance premium subsidy following the date of 
     violation. The maximum amount will include the equivalent of 
     the insurance subsidy provided in the year of the improper 
     certification and all subsequent years through the date of 
     final determination. Payment of the equitable contribution 
     does not remove or limit their responsibility to comply with 
     the soil erosion requirements or wetland conservation, 
     restoration or mitigation requirements within the prescribed 
     timeframes to retain the benefits of premium assistance in 
     subsequent years. (Section 2611)
     (30) Adjusted Gross Income Limitation for Conservation 
         Programs
       The House bill replaces the two income limitation test 
     (farm and nonfarm income) with a single $950,000 adjusted 
     gross income limitation for commodity and conservation 
     programs. (Section 1604)
       The Senate amendment eliminates the Secretary's waiver 
     authority to protect environmentally sensitive land of 
     special significance. (Section 2610)
       The Conference substitute adopts the House provision with 
     an amendment. The amendment sets the cap to $900,000. 
     (Section 1605)

 Subtitle H--Repeal of Superseded Program Authorities and Transitional 
                    Provisions; Technical Amendments

     (31) Wetlands Reserve Program
       The House bill repeals WRP with transition language for 
     current contracts and easements. It allows the Secretary to 
     use ACEP funds and becomes effective October 1, 2013. 
     (Section 2704)
       The Senate amendment allows the use of prior year Commodity 
     Credit Corporation (CCC) funds for contracts entered into 
     before October 1, 2012. (Section 2704)
       The Conference substitute adopts the Senate provision with 
     technical and clarifying amendments providing authority for 
     the Secretary to continue the necessary administrative 
     actions and utilize prior year funding to fulfill the 
     commitment and obligations of agreements, contracts, and 
     easements entered into prior to date of enactment. (Section 
     2703)
       The Managers expect USDA to exhaust available prior year 
     funding to address any costs associated with fully 
     implementing

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     prior year wetland reserve program easement enrollments, 
     including closing, restoration, management, and maintenance 
     of wetland easements in an effort to protect, restore, and 
     enhance wetland functions and values.
       Section 2712 of the Conference Report is added to address 
     the variety of effective dates distributed through the 
     conservation title in the House bill and the Senate 
     amendment. By including this language the Managers stress to 
     USDA the importance of continuing program services and 
     providing certainty to farmers and ranchers amid the passage 
     of this bill. Therefore, the Managers intend for USDA to 
     continue to operate the existing conservation programs as 
     necessary through the current fiscal year using existing 
     regulations while the Department works to expediently develop 
     the regulations needed to implement the amendments made by 
     this Title. The Managers further intend for existing 
     regulations to be used for the interim administration of EQIP 
     and CSP while the revisions to these programs are being 
     implemented.
     (32) Farmland Protection and Farm Viability Program
       The House bill repeals FPP with transition language for 
     current contracts and easements. The bill also allows the 
     Secretary to use ACEP funds. It includes an effective date of 
     October 1, 2013. (Section 2704)
       The Senate amendment allows the use of prior year CCC funds 
     for contracts entered into before October 1, 2012. It does 
     not allow the use of ACEP funds. No conforming amendment for 
     heading. (Section 2704)
       The Conference substitute adopts the Senate provision with 
     technical and clarifying amendments providing authority for 
     the Secretary to continue the necessary administrative 
     actions and utilize prior year funding to fulfill the 
     commitment and obligations of agreements, contracts, and 
     easements entered into prior to date of enactment. (Section 
     2704)
     (33) Grassland Reserve Program
       The House bill repeals GRP with transition language for 
     current contracts, agreements and easements. (Section 2705)
       The Senate amendment allows the use of prior year CCC funds 
     for contracts entered into before October 1, 2012. (Section 
     2705)
       The Conference substitute adopts the Senate provision with 
     technical and clarifying amendments providing authority for 
     the Secretary to continue the necessary administrative 
     actions and utilize prior year funding to fulfill the 
     commitment and obligations of agreements, contracts, and 
     easements entered into prior to date of enactment. (Section 
     2705)
     (34) Agricultural Water Enhancement Program
       The House bill repeals the Agricultural Water Enhancement 
     Program (AWEP) with transition language for current contracts 
     and agreements. (Section 2706)
       The Senate amendment allows the use of prior year CCC funds 
     for contracts entered into before October 1, 2012. (Section 
     2706)
       The Conference substitute adopts the Senate provision with 
     technical and clarifying amendments providing the authority 
     for the Secretary to continue the necessary administrative 
     actions and utilize prior year funding to fulfill the 
     commitment and obligations of agreements, contracts, and 
     easements entered into prior to date of enactment. (Section 
     2706)
       With the continuation and consolidation of AWEP authorities 
     in the RCPP, the Managers intend the Secretary to continue 
     assistance to agricultural producers that address irrigation 
     and water management challenges across various regions of the 
     country. The Managers urge NRCS to continue to give priority 
     to cost-sharing proposals which incorporate irrigation 
     management systems that involve water metering, soil moisture 
     monitoring, proven irrigation delivery systems, and telemetry 
     to ensure accurate water use measurement and management. The 
     Managers urge NRCS to consider multiple producer applications 
     or applications submitted on behalf of entities representing 
     a group of producers to encourage greater participation in 
     the program and maximize the benefits of water management.
     (35) Wildlife Incentive Program
       The House bill repeals WHIP with transition language for 
     current contracts. It allows use of EQIP funds. (Section 
     2707)
       The Senate amendment allows the use of prior year CCC funds 
     for contracts entered into before October 1, 2012. EQIP funds 
     may be used but only after prior year funding is exhausted. 
     (Section 2707)
       The Conference substitute adopts the Senate provision with 
     technical and clarifying amendments providing authority for 
     the Secretary to continue the necessary administrative 
     actions and utilize prior year funding to fulfill the 
     commitment and obligations of agreements, contracts, and 
     easements entered into prior to date of enactment. (Section 
     2707)
     (36) Great Lakes Basin Program
       The House bill repeals the Great Lakes Basin Program with 
     an effective date of October 1, 2013. (Section 2708)
       The Senate amendment includes the same provision. (Section 
     2708)
       The Conference substitute adopts the House provision with 
     an amendment of the effective date.
       The Managers recognize that the Great Lakes Basin Program 
     has been an important and successful program for 22 years 
     that has implemented over 400 projects that have reduced soil 
     erosion and improved water quality in Great Lakes watersheds. 
     Since 2008, the program has supported implementation of both 
     the Great Lakes Regional Collaboration (GLRC) and the Great 
     Lakes Restoration Initiative (GLRI) by directing resources to 
     priority watersheds. The Managers intend the program to 
     continue serving this purpose for the duration of the GLRI. 
     (Section 2708)
     (37) Chesapeake Bay Watershed Program
       The House bill repeals the Chesapeake Bay Watershed Program 
     with transition language for current contracts, agreements, 
     and easements. The bill allows use of RCPP funds. (Section 
     2709)
       The Senate amendment allows the use of prior year CCC funds 
     for contracts entered into before October 1, 2012. (Section 
     2709)
       The Conference substitute adopts the Senate provision with 
     technical and clarifying amendments. (Section 2709)
       The Managers recognize that the Chesapeake Bay Watershed 
     Program established in 2008 complemented other conservation 
     programs by enhancing their reach and effectiveness within 
     the tributary watersheds. Since 2008, the program has 
     supported farm level implementation of conservation practices 
     benefiting water quality by improving nutrient management, 
     reducing sedimentation, and restoring riparian areas. With 
     the consolidation of the Chesapeake Bay Watershed Program 
     into the Regional Conservation Partnership Program, the 
     Managers intend the RCPP to continue assistance to 
     agricultural producers consistent with the purposes of the 
     Chesapeake Bay Watershed Program.
     (38) Cooperative Conservation Partnership Initiative
       The House bill repeals the Cooperative Conservation 
     Partnership Initiative with transition language for current 
     contracts and agreements. It allows the use of RCPP funds. 
     (Section 2710)
       The Senate amendment allows the use of prior year CCC funds 
     for contracts entered into before October 1, 2012. (Section 
     2710)
       The Conference substitute adopts the Senate provision with 
     technical and clarifying amendments. (Section 2710)
       The Managers recognize that the CCPI established in 2008 
     was built on successful partnership approaches in previous 
     Farm Bills and encouraged the Secretary to work with specific 
     priority regions across the country. As such, the Managers 
     expect the Secretary to build from those lessons learned when 
     and where those projects were most successful.

                            Title III--Trade

     (1) General authority
       The House bill clarifies that Title II emergency and 
     nonemergency assistance is to be implemented by the 
     Administrator of the U.S. Agency for International 
     Development (USAID). The objectives of Title II programs are 
     modified to include building resilience to mitigate food 
     crises and reducing the need for future emergency aid. 
     (Section 3001)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 3001)
       The Managers modified the general authorities in Title II 
     of the Food for Peace Act to place a greater emphasis on 
     projects which focus on building resiliency in the recipient 
     population where food shortfalls and droughts are common. 
     This change is intended to prompt USAID to require measurable 
     outcomes in multiyear projects in order to reduce dependency 
     on foreign aid.
     (2) Support for eligible organizations
       The House bill amends section 202(e)(1) of the Food for 
     Peace Act by reducing the maximum allowable cash assistance 
     available for administrative costs in non-emergency programs 
     from 13% to 11% of the total funds made available for the 
     program. (Section 3002)
       The Senate amendment amends Section 202(e)(1) to increase 
     the maximum allowable cash assistance available for 
     administrative costs in non-emergency programs from 13% to 
     15% of the total funds made available for the program. It 
     also allows funds to be used for activities that ``enhance'' 
     food aid projects. (Section 3001)
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment increases the maximum allowable 
     cash assistance available for administrative costs to 20% of 
     the total funds made available for the program. The amendment 
     also revises the list of purposes for which the cash 
     assistance may be used. (Section 3002)
       The Managers expect that additional funds made available 
     under this provision will provide increased flexibility to 
     USAID. The Managers understand that an array of programs and 
     tools are needed to balance the diverse and complex food aid 
     demands of various countries and regions. As such, the 
     Managers sought to provide additional cash assistance to 
     accompany current monetization policy. The increased 
     flexibility gained by additional cash assistance will allow 
     USAID to better respond and prioritize food aid needs in real 
     time and is intended to assist in the transition of programs 
     from emergency interventions to programs which build

[[Page 1973]]

     resiliency in instances of protracted humanitarian crises.
     (3) Food aid quality
       The House bill amends section 202(h) of the Food for Peace 
     Act by requiring the Administrator to consult with the 
     Secretary in performing the requirements of this subsection 
     related to food aid quality by establishing a mechanism for 
     USDA and USAID to evaluate food aid commodities and implement 
     appropriate changes; by instructing the agencies to update 
     program guidance on the use of new commodities; and by 
     limiting the available funding for these purposes to $1 
     million. (Section 3003)
       The Senate amendment replaces and expands Section 202(h)(1) 
     to require that the Administrator use funds available to 
     carry out Title II to assess types and quality of 
     agricultural commodities donated as food aid; adjust products 
     and formulation as necessary to meet nutrient needs of target 
     populations; test prototypes; adopt new specifications or 
     improve existing specifications for micronutrient food aid 
     products based on the latest development in food and 
     nutrition science; develop new program guidance for eligible 
     organizations to facilitate improved matching of products to 
     purposes; develop improved guidance on how to address 
     nutritional efficiencies among long-term recipients of food 
     aid; and evaluate the performance and cost-effectiveness of 
     new/modified food products and program approaches to meet 
     nutritional needs of vulnerable groups. It also extends 
     authority to fund this section for fiscal years 2014 through 
     FY2018. (Section 3002)
       The Conference substitute adopts the Senate provision. 
     (Section 3003)
       In May 2011, the Government Accountability Office (GAO) 
     completed a report which cites deficiencies in the nutrition 
     and quality controls of U.S. food aid commodities. Included 
     in that report are recommendations that USAID review food aid 
     packaging, track food aid quality throughout the supply 
     chain, and ensure that available food aid commodities meet 
     the nutritional needs of recipients. The Managers expect 
     USAID to set verifiable goals and to maximize strong public-
     private partnerships with food manufacturers and other 
     stakeholders to more quickly address the deficiencies 
     highlighted in the May 2011 report by using currently 
     available studies on food aid quality and nutrition. The 
     Managers encourage USAID to establish multi-year approaches 
     to the procurement of high-value products. Longer term 
     procurement, to the extent practicable, is expected to 
     encourage investment of specialized equipment needed to 
     deliver critical products in a timely and cost-effective 
     manner. In recognition of the importance associated with 
     close collaboration between USDA and USAID on approving new 
     products, the Managers expect both agencies to adopt clear 
     guidelines to facilitate the swift adoption of new products 
     in order to quickly capture the benefits of the research and 
     testing under this section.
     (4) Food Aid Consultative Group
       The House bill amends Section 205 of the Food for Peace Act 
     by reauthorizing the Food Aid Consultative Group (the 
     ``Group'') through December 31, 2018. Section 205 is also 
     amended by adding representatives from the processing sector 
     to the Group. The provision further requires the 
     Administrator to consult with the Group on the implementation 
     of food aid quality provisions and requires the Administrator 
     to provide the Group at least 45 days for review and comment 
     before a proposed regulation handbook or guideline, or 
     revision thereof, becomes final. (Section 3005)
       The Senate amendment reauthorizes FACG through December 31, 
     2018. (Section 3004)
       The Conference substitute adopts the House provision. 
     (Section 3005)
       The Managers note that while USAID places significant 
     burdens for the success of programs upon implementing 
     partners and other stakeholders, feedback from these groups 
     through the Food Aid Consultative Group (FACG) is not 
     adequately incorporated into program guidelines. Before new 
     guidance is finalized, the Managers expect USAID to give 
     sufficient notice to stakeholders when changes are made to 
     the Food for Peace Guidelines and require new guidance to be 
     promulgated in a timely manner after any changes to the Food 
     for Peace Act.
     (5) Oversight, monitoring, and evaluation
       The House bill amends Section 207 (c) by requiring that all 
     regulations and revisions to agency guidance necessary for 
     implementation of the Federal Agricultural Reform and Risk 
     Management Act be issued within 270 days of enactment.
       The provision removes authority for purchasing new computer 
     systems, removes obsolete reporting requirements, and 
     provides $10 million per year for monitoring and evaluation. 
     Further, the provision requires a report on the extent of 
     monitoring and evaluation required by eligible organizations 
     participating in Food for Peace programs. (Section 3006)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment provides $17 million per year for 
     monitoring and evaluation for each of fiscal years 2014 
     through 2018, and permits up to $500,000 of those funds in 
     each fiscal year to be used for maintaining information 
     technology systems. (Section 3006)
       The Managers understand that monitoring is essential to 
     ensuring that USAID's food aid programs in developing 
     countries are implemented as intended. As such, the Managers 
     want to convey their strong support for the Famine Early 
     Warning Systems Network (FEWS Net). FEWS Net is an integral 
     component of our nation's ability to effectively and 
     efficiently respond to crisis situations worldwide.
       The Managers also expect USAID to complete development of 
     IT systems without additional Food for Peace resources. 
     Funding is continued for additional monitoring and evaluation 
     of programs at a level which reflects resources available for 
     Food for Peace programs. The Managers note that in 2009 the 
     GAO concluded that monitoring of programs was inconsistent 
     and that program management was not modified to reflect 
     information gained from the monitoring and evaluation 
     conducted by or for USAID. The Managers expect USAID to make 
     improvements in program guidance based on the monitoring and 
     evaluation conducted.
     (6) General monetization provisions
       The House bill amends section 403 of the Food for Peace Act 
     by requiring USDA and USAID to seek information on the 
     potential benefits of monetization to local economies. The 
     provision clarifies that implementing partners should sell 
     monetized commodities at ``fair market value.'' The Secretary 
     and the Administrator are also instructed to coordinate 
     assessments which guide the use of monetization to ensure 
     consistency across programs. The provision requires USAID to 
     issue a report detailing the use of funds made available for 
     implementing partners, including funds for administrative and 
     indirect costs. (Section 3008)
       The Senate amendment amends Section 403 of the Food for 
     Peace Act to require that the rate of return for a commodity 
     monetized (sold in recipient countries) be at least 70 
     percent. The ``rate of return'' is defined as equal to the 
     proportion that the proceeds the implementing partners 
     generate through monetization bears to the cost to the 
     federal government to procure and ship the commodities to a 
     recipient country for monetization. (Section 3007)
       The Conference substitute adopts the House provision with 
     an amendment. The amendment strikes the clarification 
     regarding monetizing commodities at fair market value and the 
     provision requiring that the Secretary and Administrator 
     coordinate assessments. The amendment revises the report on 
     use of funds to require that the Administrator report on the 
     amount of funds spent on each project; how the funds were 
     used; the rate of return on monetized commodities; and for 
     rates of return less than 70 percent, the reason for such 
     rate of return. (Section 3008)
       In June 2011, GAO reported on inefficiencies and adverse 
     impacts of monetization. The Managers agree that both USDA 
     and USAID should have consistent policies governing both 
     agencies' monetization activities. The Managers expect USAID 
     to consider the full impact of monetization when considering 
     a proposal under Food for Peace. The Managers note existing 
     requirements for USDA and USAID to approve only those sales 
     which will not disrupt the usual marketing and processing of 
     commodities in the recipient country. The Managers support 
     the use of a variety of food assistance modalities in 
     responding to emergency and non-emergency food aid needs, 
     including the use of monetized in-kind commodities. However, 
     the Managers are aware of concerns with lack of 
     accountability and efficiency, including low rates of return 
     realized on monetized commodities. As such, the report 
     requested in this Act seeks to enhance transparency and 
     increase accountability while ensuring rates of return which 
     reflect reasonable market prices on monetized commodities. 
     This is a part of the Managers' larger effort to provide 
     greater flexibility to USAID and USDA so the agencies have 
     the ability to use the most effective food assistance tool in 
     each situation.
     (7) Additional prepositioning sites and testing
       The House bill allows the Administrator discretion to 
     establish additional prepositioning sites based on the 
     results of assessments of need, technology, feasibility, and 
     cost. Funding for prepositioning is increased to $15,000,000 
     per year. (Section 3009)
       The Senate amendment allows funds to be used for the 
     testing of food aid shipments. (Section 3009)
       The Conference substitute adopts the House provision. 
     (Section 3009)
       The Managers note the rapid response which was possible due 
     to prepositioned commodities when USAID responded to a 
     natural disaster in 2013 in the Philippines. The Conference 
     substitute clarifies existing authority for USAID to consider 
     additional prepositioning sites, and the Managers expect that 
     additional funds ensure USAID will be able to effectively 
     deploy and manage critical commodities ahead of any future 
     crisis. The Managers also note USAID's efforts to field 
     additional food aid products and expect prepositioning these 
     products will be

[[Page 1974]]

     useful in responding quickly to acute humanitarian needs.
     (8) Annual report on food aid programs and activities
       The House bill amends section 407(f) of the Food for Peace 
     Act by requiring the annual report regarding food aid 
     programs and activities to include information on the actual 
     beneficiaries of the programs and by specifying the report 
     include the McGovern-Dole International Food for Education 
     and Child Nutrition Program. (Section 3010)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 3010)
     (9) Funding
       The House bill amends section 412 of the Food for Peace Act 
     by reducing the authorization for appropriations from $2.5 to 
     $2 billion per year. (Section 3012)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate position.
     (10) Safebox funding
       The House bill requires a minimum of $400 million be 
     expended for nonemergency assistance in each of fiscal years 
     2014 through 2018. (Section 3012)
       The Senate amendment repeals Section 412(e) and requires 
     that of funds made available under the Food for Peace Act, 
     not less than 20% nor more than 30% shall be expended for 
     nonemergency food aid under Title II. Further, the amount 
     made available to carry out nonemergency food aid programs 
     under Title II shall not be less than $275 million for any 
     fiscal year. (Section 3011)
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment sets the minimum level of 
     nonemergency assistance at $350,000,000. (Section 3012)
       The Managers affirm the importance of maintaining strong 
     development programs in support of building030 resilient 
     communities and reducing dependency on foreign assistance. 
     The Managers expect this flexibility to help USAID 
     efficiently and effectively allocate funds in a timely 
     manner. By including a percentage structure to be applied to 
     annual appropriations, the managers intend to provide USAID 
     the flexibility to respond to urgent situations when needed 
     or to allocate additional funds for development in years 
     without significant emergency needs.
     (11) Farmer-to-Farmer program
       The House bill provides for the Farmer-to-Farmer program 
     not less than the greater of $15,000,000 or 0.5 percent of 
     the funds made available to carry out the Act. (Section 3014)
       The Senate amendment provides for the Farmer-to-Farmer 
     program not less than the greater of $10,000,000 or 0.6 
     percent of the funds made available to carry out the Act. 
     (Section 3014)
       The Conference substitute adopts the House provision with 
     an amendment. The amendment provides not less than the 
     greater of $15,000,000 or 0.6% of the funds made available to 
     carry out this Act for the Farmer-to-Farmer program. The 
     amendment adds a GAO report to review the program and provide 
     recommendations to improve the monitoring and evaluation of 
     the program. (Section 3014)
     (12) Flexibility of CCC funds
       The Senate amendment revises Section 406 of the Food for 
     Peace Act to permit the use of funds available under the Act 
     to pay costs of up to 20% of activities conducted in 
     recipient countries by nonprofit voluntary organizations, 
     cooperative, or intergovernmental organizations. (Section 
     3008)
       The House bill contains no comparable provision.
       The Conference substitute adopts the House position.
     (13) Coordination of foreign assistance programs report
       The Senate amendment strikes the language requiring a 
     report on improved procurement planning. (Section 3012)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision. 
     (Section 3015)
     (14) Prohibition on assistance for North Korea
       The Senate amendment states that Title II funds cannot be 
     used to provide assistance to North Korea. The President can 
     waive this funding prohibition if the President determines 
     and certifies to the House and Senate Agriculture Committees, 
     the House Foreign Affairs Committee and the Senate Foreign 
     Relations Committee that the waiver is in the national 
     interest of the United States. (Section 3015)
       The House bill contains no comparable provision.
       The Conference substitute adopts the House position.
     (15) Export Credit Guarantee programs
       The House bill amends section 211 of the Agricultural Trade 
     Act of 1978 by reauthorizing funding for the Export Credit 
     Guarantee Program through 2018. (Section 3101)
       The Senate amendment extends funding through fiscal year 
     2018 and reduces the amount of allowable credit guarantees to 
     $4.5 billion. (Section 3101)
       The Conference substitute adopts the House provision with 
     an amendment. The amendment removes outdated language 
     applicable to previous fiscal years and allows the Secretary 
     to implement the program in a manner consistent with WTO 
     obligations by including language authorizing the Secretary 
     to adjust the program; reducing the maximum tenor for loan 
     guarantees made available under the program to 24 months; 
     striking a provision requiring that the Secretary maximize 
     the amount of credit guarantees made available each fiscal 
     year; and by striking a provision restricting the Secretary's 
     ability to adjust program fees. (Section 3101)
       The Managers affirm the importance of export programs that 
     yield mutual benefits for both American agriculture and 
     international trading partners. The Managers are aware of 
     outstanding questions generated by the World Trade 
     Organization dispute WTO/DS267, and the Conference substitute 
     includes reforms to improve existing programs. It is the 
     Managers' strong intent that any discretion provided to the 
     Administration with regard to dispute WTO/DS267 be used to 
     reach a negotiated solution to the dispute.
     (16) Food for Progress
       The Senate amendment permits use of funds available under 
     the Food for Peace Act to pay costs of up to 20% of 
     activities conducted in recipient countries by nonprofit 
     voluntary organizations, cooperative, or intergovernmental 
     organizations. It requires that the rate of return for a 
     commodity monetized (sold in recipient countries) be at least 
     70%. The ``rate of return'' is defined as equal to the 
     proportion that the proceeds the implementing partners 
     generate through monetization bears to the cost to the 
     federal government to procure and ship the commodities to a 
     recipient country for monetization. (Section 3201)
       The House bill contains no comparable provision.
       The Conference substitute adopts the House position.
     (17) Spiny Dogfish study
       The House bill requires the Secretary of Agriculture to 
     conduct a study on the market for the U.S. Atlantic Spiny 
     Dogfish. (Section 3205)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 3205)
     (18) Global Crop Diversity Trust
       The House bill amends section 3202(c) of the Food, 
     Conservation, and Energy Act of 2008 by reauthorizing USAID 
     to make a contribution of up to $50 million over 5 years to 
     the Global Crop Diversity Trust. (Section 3206)
       The Senate amendment reauthorizes U.S. contribution to the 
     Global Crop Diversity Trust for fiscal years 2014-2018 at 
     current levels. (Section 3206)
       The Conference substitute adopts the Senate provision. 
     (Section 3206)
     (19) Undersecretary for Foreign Agricultural Services
       The House bill amends Subtitle B of the Department of 
     Agriculture Reorganization Act of 1994 by adding a new 
     section allowing USDA to establish the position of Under 
     Secretary for Foreign Agricultural Services, which would be 
     appointed by the President with the advice and consent of the 
     Senate. (Section 3207)
       The Senate amendment requires the Secretary, in 
     consultation with the House and Senate Agriculture Committees 
     and House and Senate Appropriations Committees to propose a 
     plan for reorganization of the trade functions of USDA, 
     including the establishment of an Under Secretary of 
     Agriculture for Trade and Foreign Agricultural Affairs. The 
     Secretary is required to report on the plan 180 days after 
     the farm bill's enactment, and within one year of submission 
     of the report, the Secretary shall implement the 
     reorganization plan including establishment of the Under 
     Secretary position. (Section 3209)
       The Conference substitute adopts the Senate provision. 
     (Section 3208)
       The Managers recognize that international trade is 
     critically important to the economic vitality of the U.S. 
     agriculture and food industry and a major engine of U.S. 
     economic growth. Trade currently accounts for more than 25 
     percent of U.S. farm receipts, and the production from one 
     out of every three acres planted is exported. Our vast and 
     efficient export system, including handling, processing and 
     distribution of our food and agricultural products, creates 
     millions of U.S. jobs and helps feed hundreds of millions all 
     over the globe. Our $32 billion net trade balance in 
     agriculture and food products in 2012 represented the single 
     largest contribution to our balance of payments.
       The trade organizational structure at USDA has remained 
     unchanged since it was last reorganized in 1978. Over this 
     period, the value and nature of U.S. agriculture exports has 
     changed dramatically. In 1978, U.S. agriculture exports 
     totaled $29 billion, whereas in 2012 they reached $136 
     billion. Meanwhile, over the last 30 years the challenges 
     that U.S. agriculture faces in global markets have increased 
     and markedly changed from primarily tariff barriers to 
     phytosanitary and other non-tariff trade barriers.

[[Page 1975]]

       The Managers agree that an Under Secretary for Trade and 
     Foreign Agricultural Affairs will provide a singular focus on 
     trade and foster more effective coordination of transparent, 
     rules-based trade policies in other USDA agencies. Such a 
     position will bring unified, high level representation to key 
     trade negotiations with senior, foreign officials and within 
     the Executive Branch. Furthermore, the creation of this Under 
     Secretary position will help streamline management, create 
     greater efficiencies and enhance emphasis in the Office of 
     the Under Secretary responsible for key domestic programs.
       Given the importance of this provision, the Managers expect 
     USDA to keep Congress regularly informed as to the progress 
     on the preparation of the reorganization report and, once 
     completed, its efforts to implement the reorganization plan 
     within the statutory deadlines.
     (20) USDA certificates of origin
       The House bill requires the Secretary of Agriculture to 
     seek to ensure that USDA certificates of origin are accepted 
     by any country with which the United States has entered into 
     a Free Trade Agreement providing preferential duty treatment. 
     (Section 3208)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate position.
     (21) Local and regional food aid procurement projects
       The Senate amendment establishes a local and regional 
     procurement program with appropriations of $60 million 
     authorized for each of fiscal years 2014 through 2018. 
     Preference in carrying out this program may be given to 
     eligible organizations that have, or are working toward, 
     projects under the McGovern-Dole International Food for 
     Education and Child Nutrition Program. (Section 3207)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment authorizes appropriations of 
     $80,000,000 for each of fiscal years 2014 through 2018. 
     (Section 3207)
       The Managers further note that the Local and Regional 
     Procurement (LRP) pilot program authorized by Section 3206 of 
     the Food, Conservation, and Energy Act of 2008 was completed, 
     with 23 field-based projects carried out in 2009-2011 by the 
     UN World Food Program and PVOs. A study of the projects was 
     undertaken by a consortium of PVOs participating in the pilot 
     and economists at Cornell University, as well as an 
     independent study conducted as required in the legislation. 
     The statutorily required study found that in the majority of 
     circumstances, food aid commodities procured locally or 
     regionally were both less costly for some commodities and 
     delivered more quickly than comparable commodities sourced in 
     the United States and shipped to the study countries. 
     However, the Managers note the absence of any comparison to 
     prepositioned commodities when reviewing timeliness of 
     deliveries. The Managers further note on page 1 of the study, 
     that ``LRP may pose risks for local markets and vulnerable 
     households'', indicating care should be taken in pursuing the 
     most appropriate areas in which to implement LRP projects. In 
     support of the broader emphasis on building resiliency, the 
     Managers expect USDA to give priority to projects with the 
     greatest long-term developmental benefits.
       Section 3207 extends the LRP pilot program into an 
     authorized program to improve U.S. international food 
     assistance, by providing a new, more flexible programming 
     tool. The Managers intend for the new program to complement 
     existing food aid programs, especially the McGovern-Dole 
     program, and to fill in nutritional gaps for targeted 
     populations or food availability gaps generated by unexpected 
     emergencies. To be eligible for this program, such gaps 
     should be readily addressable by procurement from local or 
     regional food supplies. In order to facilitate meeting the 
     latter objective, some portion of available funds should be 
     reserved for dispersal during the second half of each fiscal 
     year, to be available to address emergencies occurring after 
     program proposal deadlines expire. If, as certified by the 
     Administrator, no such emergencies occur, the conference 
     substitute provides authority for the Secretary to award 
     reserved funds to augment projects approved earlier in the 
     fiscal year.
     (22) Donald Payne Horn of Africa Food Resilience Program
       The Senate amendment establishes a pilot program to 
     effectively integrate all U.S.-funded emergency and long-term 
     development activities that aim to improve food security in 
     the Horn of Africa. It authorizes $10 million to carry out 
     the pilot project, subject to appropriations, and also 
     requires the USAID Administrator to report to appropriate 
     committees of Congress on the outcomes of the project. 
     (Section 3208)
       The House bill contains no comparable provision.
       The Conference substitute adopts the House position.

                          Title IV--Nutrition

     (1) Preventing payment of cash to recipients of supplemental 
         nutrition assistance benefits for the return of empty 
         bottles and cans used to contain food purchased with 
         benefits provided under the program
       The House bill prevents the use of benefits to pay for 
     substantial bottle deposits that can be returned for a cash 
     refund. (Section 4001)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 4001)
     (2) Retail food stores
       The House bill requires retailers to provide perishable 
     items in at least three of the staple food categories. 
     (Section 4002(a)) The House bill requires that retailers will 
     be responsible for purchasing and paying for point-of-sale 
     equipment and supplies and terminates the use of manual 
     vouchers except in cases of disasters or other similar 
     situations and requires parties providing electronic benefit 
     transfer services to maintain unique terminal identification 
     numbers throughout the Supplemental Nutrition Assistance 
     Program (SNAP) routing system. Retailers are also required to 
     maintain a unique business identification number. (Section 
     4002(b)) The House bill amends section 7 of the Act by 
     removing outdated language related to the use of coupons 
     (Section 4002(c)), and amends section 9 of the Act by 
     allowing the Secretary to consider the location of applicants 
     in areas with significantly limited access to food when 
     approving retailers. The House bill also adds and strengthens 
     requirements about the adequacy of the store's Electronic 
     Benefits Transfer (EBT) service. (Section 4002(d))
       The Senate amendment requires that retailers will be 
     responsible for purchasing and paying for point-of-sale 
     equipment and supplies and terminates the use of manual 
     vouchers except in cases of disasters or other similar 
     situations. The Senate amendment requires parties providing 
     electronic benefit transfer services to maintain unique 
     terminal identification numbers throughout the SNAP routing 
     system. The Senate amendment removes outdated language 
     related to the use of coupons and allows the Secretary to 
     consider the location of applicants in areas with 
     significantly limited access to food when approving 
     retailers. The Senate amendment gives USDA authority to 
     consider a store's depth of stock, variety of staple food 
     items, and the sale of excepted items when approving a 
     retailer. (Section 4006(b))
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment strikes the language providing 
     USDA authority to consider a store's depth of stock, variety 
     of staple food items, and the sale of excepted items when 
     approving a retailer. The amendment requires that retailers 
     offer for sale on a continuous basis a variety of at least 
     seven foods in each of the four categories of staple foods 
     categories. The amendment requires that point of sale systems 
     set and enforce sales restrictions based on item eligibility 
     through scanning or product lookup entry and deny benefit 
     tenders for manually entered sales of ineligible items. The 
     amendment also requires that retailer purchase invoices and 
     other program-related records be made available for auditing. 
     (Section 4002)
       The conference substitute reduces fraud at retail stores by 
     requiring a more rigorous standard for stores to become 
     eligible to process SNAP benefits. Section 4002 requires 
     participating retailers to stock perishable items in at least 
     three of the four staple food categories: dairy products; 
     meat, poultry, or fish; fruits or vegetables; and bread or 
     cereals. Currently, a store stocking as few as twelve food 
     items, many of which have limited nutritional value, could be 
     eligible to be a SNAP retailer. To address this, the 
     conference substitute requires retailers to stock, at a 
     minimum, seven food items in each of the staple food 
     categories to be eligible. The Managers intend for this 
     requirement to serve as a minimum requirement and do not 
     intend in any way to discourage or prevent more robust depth 
     of stock. The Managers remain concerned with retailers that 
     meet the minimum of the existing regulations as a way to gain 
     entry into SNAP for the sole purpose of expanding sales of 
     excepted items, including liquor and tobacco, which is 
     decidedly contrary to the intent of the program.
       To further combat fraud, this section places additional 
     preventative control requirements on EBT systems and provides 
     USDA the authority to inspect additional invoice and other 
     program-related records. The Managers intend for these 
     measures to be implemented in a way that reduces fraud 
     without reducing access, stigmatizing SNAP participants, or 
     requiring overly burdensome recordkeeping. Specifically 
     regarding the new EBT system requirements, the Managers 
     expect that USDA will work to ensure that these changes will 
     not result in a considerable increase in transaction errors, 
     will not prevent split transactions, will not increase delays 
     in check-out lines, and will not otherwise increase instances 
     in which SNAP participants are differentiated from other 
     retail customers. Regarding purchase invoices and other 
     program-related records, the Managers believe that retention 
     for not longer than 36

[[Page 1976]]

     months is an appropriate requirement, and is consistent with 
     requirements in other federal nutrition assistance programs.
       This section also requires SNAP retailers to pay 100 
     percent of the cost of electronic benefit transfer (EBT) 
     machines, with some exemptions, and restricts states from 
     issuing manual vouchers for SNAP unless the Secretary deems 
     it necessary for emergency purposes. By including this 
     provision, the Managers are targeting fraud within the 
     program, and do not intend for credit card companies, banks, 
     or others to impose any additional fees in regard to the 
     acceptance of SNAP EBT benefits. Additionally, the Managers 
     expect the Secretary to work with retailers and relevant 
     stakeholders in developing regulations to implement a unique 
     terminal identification system. Credit card associations are 
     considering implementation of this practice across the entire 
     retail industry in the near future, and it is imperative that 
     the Secretary work with SNAP-approved retailers to ensure 
     there are no additional costs or burdens that are duplicative 
     or inconsistent with common commercial practices. The 
     Managers acknowledge that many small businesses and direct-
     to-consumer retailers continue to face challenges related to 
     the cost of utilizing EBT and advanced technologies.
       Having placed new requirements on retailers, the Managers 
     are concerned by the unpredictable and growing variation in 
     the timeline for retailer application approvals. The Managers 
     encourage the Secretary to work with retailers in the 
     licensing approval process in a timely manner.
       The Managers recognize that current SNAP EBT transactions 
     running on the QUEST network do so efficiently and at minimal 
     or no cost to the retailer. The Managers encourage USDA to 
     continue to work with the states to ensure that all retailers 
     maintain the ability to use the QUEST network and do so 
     without being assessed new or added fees for its use.
       Recognizing that issuance of SNAP benefits to all 
     participants on the same date within a month creates many 
     challenges both for suppliers and retailers, the Managers 
     encourage the Secretary to work with states to stagger the 
     monthly issuance of SNAP benefits across an entire month.
       The Managers support preserving food access in food 
     shortage areas and encourage the Secretary to give broad 
     consideration to the impacts additional requirements will 
     have on food access in food deserts or other areas with 
     limited food access.
       The Managers also encourage the Secretary to continue to 
     identify innovative ways in which to assist stores that do 
     provide critical food access to SNAP recipients in improving 
     inventory standards and stocking a robust supply of staple 
     food items.
       The Managers also recognize that, in remote communities in 
     non-contiguous states, it is not unusual for there to be only 
     one retail food store in operation. These retail stores are 
     typically located in communities that are connected neither 
     to the rest of the state's road network nor to a major 
     electrical grid. Food is typically transported to the 
     community via small aircraft, and diesel generators generally 
     provide electrical power to such communities, posing 
     challenges for such stores to operate adequate refrigeration 
     and freezing equipment to store perishable foods. The 
     Managers intend for the Secretary to consider all of the 
     aforementioned unique criteria when evaluating applications 
     by retail food stores located in remote communities in non-
     contiguous states that are either applying to participate in 
     the SNAP program or currently participate in the program.
     (3) Food distribution program on Indian reservations
       The House bill reauthorizes the Traditional and Locally-
     Grown Food Fund in the Food Distribution Program on Indian 
     Reservations (FDPIR). (Section 4004) The House bill requires 
     USDA to study the feasibility of a demonstration project for 
     Tribes administering nutrition assistance programs in lieu of 
     states. (Section 4041)
       The Senate amendment requires USDA to study the feasibility 
     of a demonstration project for Tribes to administer nutrition 
     assistance programs in lieu of states. The Senate amendment 
     allows Tribes to substitute local, tribal foods for up to 
     five percent of their FDPIR entitlement commodities. (Section 
     4002)
       The Conference substitute adopts the Senate provision with 
     an amendment.
       The amendment provides $1,000,000 to conduct the study. The 
     amendment strikes the provision stating that up to five 
     percent of entitlement commodities may be used for purchasing 
     local and tribal foods and directs the Secretary to carry out 
     a demonstration project for the purchase of traditional and 
     local foods. (Section 4004)
       The Managers recognize that federal regulations and 
     certification requirements can often be burdensome for small 
     producers, especially those on reservations. Often located in 
     remote locations, producers on reservations may not be close 
     to the Agricultural Marketing Service (AMS) inspectors 
     necessary for certification needed to provide fruits, 
     vegetables, and other agricultural commodities to federal 
     nutrition programs. Costs, including payments for inspector 
     travel time, make certification unachievable for many 
     producers on reservations. As a result, federal nutrition 
     program recipients lose access to locally-produced, fresh 
     commodities, and producers lose access to a local market that 
     would assist economic development on reservations. To address 
     this issue, the Managers encourage the Secretary to work with 
     Tribal Organizations to enable the use of accredited third 
     party certifiers; existing infrastructure on reservations, 
     such as extension agents; or properly trained and certified 
     Tribal employees or officers to certify producers on 
     reservations.
     (4) Updating program eligibility
       The House bill restricts categorical eligibility for SNAP 
     to only those households receiving cash assistance through 
     other low-income assistance programs. (Section 4005)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate position.
     (5) Exclusion of medical marijuana from excess medical 
         expense deduction
       The House bill prohibits medical marijuana from being 
     treated as a medical expense for purposes of income 
     deductions. (Section 4006)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 4005)
       Currently, eighteen States have state statutory provisions 
     that allow for the prescription of medicinal marijuana to 
     patients in limited circumstances. Five states had previously 
     allowed for the deduction of medicinal marijuana as an 
     allowable medical expense when calculating SNAP benefits. In 
     July 2012, USDA issued guidance to states, reaffirming its 
     long-standing policy that households may not receive a 
     medical deduction for medicinal marijuana. Because the 
     Controlled Substance Act (21 U.S.C. 801 et seq) currently 
     classifies marijuana as a Schedule I controlled substance 
     that has no currently accepted medical use and cannot be 
     prescribed for medicinal purposes, the Managers expect that 
     the Secretary will continue to administer this provision in 
     accordance with current practice and procedures for illegal 
     substances under federal law.
     (6) Standard Utility allowances based on the receipt of 
         energy assistance payments
       The House bill provides that only Low Income Home Energy 
     Assistance Program (LIHEAP) payments above $20 would trigger 
     a standard utility allowance (``SUA'') deduction. (Section 
     4007)
       The Senate amendment provides that only LIHEAP payments 
     above $10 would trigger a SUA deduction. (Section 4003)
       The Conference substitute adopts the House provision. 
     (Section 4006)
     (7) Repeal of work program waiver authority
       The House bill requires all able-bodied adults to meet 
     applicable work requirements by eliminating the ability of 
     the Secretary to grant waivers for states in areas of high 
     unemployment. The House bill maintains states' ability to 
     provide an exemption from the work requirements for 15 
     percent of their Able-Bodied Adults Without Dependents 
     (ABAWD) population. (Section 4009)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate position.
     (8) Technology modernization for retail food stores
       The House bill requires the Secretary of Agriculture to 
     implement a pilot program to test the feasibility of allowing 
     retailers to accept SNAP benefits through mobile 
     transactions. (Section 4012)
       The Senate amendment requires the Secretary of Agriculture 
     to conduct demonstration projects to authorize redemption of 
     SNAP benefits online and with mobile technologies. By 2016, 
     the Secretary shall allow redemption by these processes in 
     all states unless the results of the demonstrations indicate 
     these activities will not be beneficial to the program. 
     (Section 4008)
       The Conference substitute adopts the Senate provision. 
     (Section 4011)
     (9) Mandating State immigration verification
       The House bill requires states to use an electronic 
     immigration status verification system to verify applicants' 
     immigration status. (Section 4015)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 4015)
     (10) Data exchange standardization for improved 
         interoperability
       The House bill establishes requirements, consistent with 
     other means tested programs, for the electronic content and 
     format of data used in the administration of SNAP. (Section 
     4016)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 4016)
       The Conference substitute expands upon the bipartisan work 
     begun by the Committee on Ways and Means Human Resources 
     Subcommittee to allow data both within and across key federal 
     assistance programs to operate more efficiently. These 
     standardization

[[Page 1977]]

     activities promote transparency, flexibility, and consistency 
     so data can be shared across the various information 
     technology platforms established by federal and state 
     agencies, increasing administrative efficiency and reducing 
     improper payments. This provision is not intended to provide 
     additional authority to standardize data but to drive the 
     process to occur across multiple federal agencies. As 
     identity theft and manipulation based fraud is on the rise in 
     the United States, the Managers direct the Secretary to 
     carefully analyze the possibility of identity theft and 
     manipulation-based fraud on SNAP participants and to ensure 
     that the Secretary is taking necessary steps to protect 
     program beneficiaries' personally identifiable information 
     against unauthorized disclosure.
     (11) Pilot projects to improve Federal-State cooperation in 
         identifying and reducing fraud in the supplemental 
         nutrition assistance program
       The House bill requires USDA to implement a pilot program 
     to allow states to operate EBT retailer fraud investigation 
     programs. (Section 4017)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 4017)
     (12) Prohibiting government-sponsored recruitment activities.
       The House bill prevents USDA from conducting recruitment 
     activities, advertising the SNAP program through television, 
     radio and billboard advertisements and from entering into 
     agreements with foreign governments to promote SNAP benefits. 
     The section further prevents states from being reimbursed for 
     similar activities. (Section 4018)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 4018)
       The Managers do not intend to prohibit activities that 
     provide basic program information including rights, program 
     rules, client responsibilities, and benefits. The Managers 
     acknowledge that certain vulnerable populations such as 
     elderly, homeless, or disabled individuals may require 
     additional assistance in applying for SNAP. The Managers do 
     not intend to preclude any specialized services for these 
     populations.
     (13) Performance bonus payments
       The House bill eliminates the performance bonuses provided 
     to states for effectively administering SNAP. (Section 4019)
       The Senate amendment requires states to reinvest bonus 
     payments to prevent fraud and abuse and improve the 
     administration of the SNAP program. (Section 4012)
       The Conference substitute adopts the Senate provision. 
     (Section 4021)
     (14) Funding of employment and training programs
       The House bill reduces the formula-funded allocation to 
     state agencies to carry out employment and training programs 
     from $90 million to $79 million per year. (Section 4020)
       The Senate amendment provides $90 million in mandatory 
     funds in FY2014, FY2015, FY2016, and FY2017. The Senate 
     amendment reduces mandatory funding to $80 million for 2018 
     and each fiscal year thereafter. (Section 4013)
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment provides $90 million per year in 
     mandatory funds. (Section 4022)
     (15) Monitoring employment and training programs
       The House bill requires that the Secretary of Agriculture 
     implement monitoring and performance measures for state 
     employment and training programs. The section requires that 
     the Secretary of Agriculture, in consultation with the 
     Secretary of Labor, develop reporting measures for 
     participants in employment and training programs and that 
     states report annually on such measures. The section further 
     provides that if a state agency's performance is inadequate, 
     the Secretary of Agriculture may require the state agency to 
     modify its employment and training plan. (Section 4021)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 4022)
     (16) Cooperation with program research and evaluation
       The House bill requires entities that participate in SNAP 
     to cooperate with the Department of Agriculture and its 
     agents in conducting evaluations and studies authorized under 
     the Act. (Section 4022)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 4023)
     (17) Pilot projects to reduce dependency and increase work 
         requirements and work effort under supplemental nutrition 
         assistance program
       The House bill requires USDA to conduct a pilot project to 
     identify best practices for employment and training programs 
     to raise the number of work registrants who obtain 
     unsubsidized employment, increase their earned income, and 
     reduce their dependence on public assistance. (Section 4023)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment incorporates certain provisions 
     of the House language into the pilot project described in 
     (32), below. (Section 4022)
     (18) Authorization of appropriations
       The House bill reauthorizes appropriations for SNAP and 
     related programs through FY2016. (Section 4024)
       The Senate amendment reauthorizes appropriations for SNAP 
     and related programs through FY2018. (Section 4014)
       The Conference substitute adopts the Senate provision. 
     (Section 4024)
     (19) Review, report, and regulation of cash nutrition 
         assistance program benefits provided to Puerto Rico
       The House bill ensures that no funds made available to the 
     Commonwealth of Puerto Rico may be used to provide nutrition 
     assistance in the form of cash. (Section 4025)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment directs the Secretary to conduct 
     a review of, and report on, the provision of nutrition 
     assistance in the form of cash in Puerto Rico. The Secretary 
     is directed to phase out the provision of cash assistance by 
     FY 2021. Notwithstanding the phase-out, the Secretary may 
     approve a plan that provides cash to certain categories of 
     participants if the Secretary determines that discontinuation 
     of cash benefits will cause significant adverse effects. 
     (Section 4025)
       Since 1982, Puerto Rico has operated the Nutrition 
     Assistance Program (NAP) from federal funds received as a 
     block grant instead of the Supplemental Nutrition Assistance 
     Program (SNAP). Under the terms of the block grant, Puerto 
     Rico has had broad authority in its administration of these 
     funds, and currently permits up to 25 percent of benefits to 
     be issued in the form of cash. Permission to issue benefits 
     in cash was granted in 2001, intended to alleviate concerns 
     regarding lack of EBT access in Puerto Rico.
       With advancement in technologies and the institution of a 
     Commonwealth-wide sales tax in 2006, the vast majority of 
     food retailers in Puerto Rico now accept EBT unless they 
     choose not to. With this change in EBT capability and the 
     Managers' ongoing interest in ensuring that each dollar of 
     nutrition funding be used to reduce food insecurity, rigorous 
     review and phase out of the use of cash benefits is 
     necessary.
       However, as noted in the 2010 study conducted by Insight 
     Policy research on behalf of the Food and Nutrition Service 
     (FNS), Supplemental Nutrition Assistance Program in Puerto 
     Rico: A Feasibility Study, ``It is difficult to determine 
     what the full impact of a completely non-cash allotment would 
     be on Puerto Rico retailers and participants.'' Recognizing 
     this and that there are factors in Puerto Rico that 
     complicate the ability of program participants to access 
     nutrition through EBT redemption, the Managers have directed 
     the Secretary to review the situation. The Managers expect 
     the Secretary to consider all relevant factors in exercising 
     the discretion provided in exempting program participants or 
     categories of participants that may be harmed by the 
     discontinuation of cash benefits.
     (20) Assistance for community food projects
       The House bill provides an additional $10 million per 
     fiscal year for Community Food Projects and directs that $5 
     million be used for incentives. (Section 4026)
       The Senate amendment continues support for Community Food 
     Projects while incorporating an increased food insecurity 
     focus, along with hunger-free communities goals. Grants under 
     this program are subject to a 50 percent matching requirement 
     and periodic effectiveness reports. The Senate amendment 
     eliminates the Healthy Urban Food Enterprise Development 
     Center and Innovative Programs for Addressing Common 
     Community Problems provisions. Funding remains at $5 million 
     in annual mandatory funds. (Section 4015)
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment provides $9 million in annual 
     mandatory funds. (Section 4026)
     (21) Emergency food assistance
       The House bill provides an additional $70 million in FY2014 
     and FY2015 and an additional $20 million per fiscal year 
     thereafter for Emergency Food Assistance. Inflation 
     adjustments remain in place. (Section 4027)
       The Senate amendment increases funding by $54 million over 
     10 years. Entitlement commodity funding increases are in the 
     first five years of the budget window: +$22 million for 
     FY2014, +$18 million for FY2015, +$10 million for FY2016, +$4 
     million for FY2017. Inflation adjustment between years 
     remains in place. (Section 4016)
       The Conference substitute adopts the House provision with 
     an amendment. The amendment provides an increase in funding 
     of $50 million for fiscal year 2015, $40,000,000 for fiscal 
     year 2016, $20,000,000 for fiscal year 2017, and $15,000,000 
     for fiscal year 2018. Funding for fiscal year 2019 and each 
     fiscal year

[[Page 1978]]

     thereafter will be indexed from the fiscal year 2018 funding 
     level. (Section 4027)
       The Managers strongly encourage the Secretary to review 
     potential bonus and surplus removal purchases on a real-time 
     basis and adjust the timing of mandatory food purchases and 
     deliveries to address periods when bonus and specialty crop 
     deliveries are expected to be low. Having a more balanced 
     delivery of both mandatory and bonus food purchases will 
     enable emergency feeding organizations to better serve those 
     in need.
       The Managers also intend for the Secretary to consider the 
     cost of regulatory changes on the operation of emergency 
     feeding operations in order to prevent such regulatory 
     changes from adversely affecting the services provided by the 
     emergency feeding organizations. The Managers encourage the 
     Secretary to work with emergency feeding organizations to 
     address these concerns.
       Recognizing that some food banks also provide Commodity 
     Supplemental Food Program (CSFP) commodities, the Managers 
     understand the importance of CSFP as a critical nutrition 
     program. Currently, CSFP provides nutritious food, often in 
     the forms of food boxes for home delivery, that are designed 
     to meet the dietary needs of seniors, women and children in 
     39 states, two Indian tribal organizations, and the District 
     of Columbia. In fiscal year 2013, 97 percent of the 
     recipients were elderly individuals with an annual income at 
     or below $14,937. CSFP serves a unique niche by providing 
     nutritious commodities to homebound seniors who are at severe 
     risk for hunger.
       The Managers fully support the continued operation of the 
     program and recognize the need for expansion of the CSFP to 
     reach additional elderly Americans at severe risk for hunger. 
     The Managers note that there are six states that have 
     currently been approved by USDA for entry into CSFP, subject 
     to the availability of appropriations. Provided that 
     sufficient funds are appropriated by Congress, the Managers 
     encourage the Secretary to approve all remaining states for 
     participation and to take action to reach all seniors at 
     severe risk for hunger in all participating states and other 
     jurisdictions.
     (22) Nutrition education
       The House bill adds ``promoting physical activity'' as an 
     allowable use of funding. (Section 4028)
       The House bill reduces funding for FY2014 from $401 million 
     to $372 million and then adjusts for inflation in subsequent 
     years.
       The Senate amendment adds ``promoting physical activity'' 
     as an allowable use of funding. (Section 4017)
       The Conference substitute adopts the Senate provision. 
     (Section 4028)
     (23) Retail food store and recipient trafficking
       The House bill provides USDA $5 million annually in 
     additional mandatory funding to track and prevent SNAP 
     trafficking. (Section 4029)
       The Senate amendment provides USDA $5 million in FY2014 in 
     additional mandatory funding to track and prevent SNAP 
     trafficking using data mining technologies. The Senate 
     amendment also authorizes $12 million subject to 
     appropriations for each year FY2014-FY2018. (Section 4018)
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment provides one-time mandatory 
     funding of $15 million in FY 2014 to remain available until 
     expended, and an authorization of $5 million per year. 
     (Section 4029)
     (24) Tolerance level for excluding small errors
       The House bill prevents the Secretary from excluding 
     payment errors greater than $25 from improper payments 
     calculations. (Section 4031)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment sets the tolerance level for 
     excluding payment errors from improper payment calculations 
     at $37 and indexes the level to the thrifty food plan. 
     (Section 4019)
     (25) Commonwealth of the Northern Mariana Islands pilot 
         program
       The House bill requires the Secretary of Agriculture to 
     conduct a study to assess the capabilities of the 
     Commonwealth of the Northern Mariana Islands (CNMI) to 
     operate the SNAP program in the same manner it is operated in 
     the states. The section requires that if, following the 
     study, the Secretary of Agriculture determines that it is 
     feasible for the CNMI to operate the SNAP program in the same 
     manner it is operated by the states, the Secretary of 
     Agriculture shall establish a pilot program in CNMI for such 
     purposes. (Section 4032)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment provides that if the Secretary 
     does not conduct a pilot with the funds provided in this 
     section, the funds shall be used for program administration 
     within CNMI. (Section 4031)
     (26) Annual State report on verification of SNAP 
         participation
       The House bill requires states to submit an annual report 
     to the Secretary sufficient to show that the state is 
     verifying that its SNAP recipients are not receiving benefits 
     in more than one state, no benefits are being paid to 
     deceased individuals, and no benefits are being paid to 
     previously disqualified individuals. (Section 4033)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment sets the penalty for failure to 
     comply at up to 50 percent of the state's administrative 
     match. The amendment provides that the Secretary is to 
     complete a study on methods to prevent payment of benefits to 
     recipients in multiple states and report to Congress on how 
     to implement the results of the study. (Section 4032)
     (27) Termination of existing agreement
       The House bill terminates the existing agreement for SNAP 
     Outreach between USDA FNS and the Mexican government. 
     (Section 4034)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 4211)
     (28) Service of traditional foods in public facilities
       The House bill grants the Secretary of Agriculture 
     authority to permit the donation, preparation and consumption 
     of traditional Native food in public facilities primarily 
     serving Alaska Natives and American Indians. (Section 4035)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment makes technical and clarifying 
     revisions, including ensuring that food safety laws apply to 
     the donation, preparation, and consumption of foods provided 
     under this section. (Section 4033)
     (29) Testing applicants for unlawful use of controlled 
         substances
       The House bill allows states to conduct drug testing on 
     SNAP applicants at state expense as a condition for receiving 
     benefits. (Section 4036)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate position.
     (30) Eligibility disqualifications for certain convicted 
         felons
       The Senate amendment bars individuals convicted of 
     specified federal crimes (including murder, rape, certain 
     crimes against children), and state offenses determined by 
     the Attorney General to be substantially similar, from 
     receiving SNAP. The Senate amendment still allows the 
     disqualified ex-offender's household members to apply for and 
     potentially receive benefits. The Senate amendment requires 
     the state agency to collect, in writing, information on SNAP 
     applicants' convictions. (Section 4020)
       The House bill is similar to the Senate amendment but 
     specifies that restrictions will only apply to individuals 
     with convictions after the date of enactment. (Section 4037)
       The Conference substitute adopts the House provision with 
     an amendment. The amendment provides that the restrictions 
     only apply to an individual convicted of the stated crimes if 
     the individual is not in compliance with the terms of their 
     sentence. (Section 4008)
     (31) Expungement of unused SNAP benefits
       The House bill requires a state agency to expunge SNAP 
     benefits that have not been accessed by a household after a 
     period of 60 days. (Section 4038)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate position.
     (32) Pilot projects to promote work and increase State 
         accountability in SNAP
       The House bill creates a pilot program to allow states to 
     engage able-bodied parents in Temporary Assistance for Needy 
     Families (TANF)-type work and job training as part of 
     receiving SNAP benefits. The House bill provides that 
     employment and training (E&T) cost share funds are only 
     available to states that adopt the work provisions within 
     this section. (Section 4039)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment directs the Secretary to carry 
     out a pilot program in up to ten states to develop and test 
     methods, including operating work programs that engage able-
     bodied adults in TANF-type work and job training 
     requirements, for employment and training programs and 
     services to raise the number of work registrants who obtain 
     unsubsidized employment, increase the earned income of the 
     registrants, and reduce the reliance of the registrants on 
     public assistance. $200 million in mandatory funds are 
     provided to operate the pilots.
       States must commit to participate in the evaluation 
     described in this section, collaborate with the state 
     workforce board, and not supplant existing employment and 
     training funds. The Secretary is required to select a range 
     of pilot projects in various geographic areas, including 
     projects that require mandatory participation and voluntary 
     participation, as well as projects that target groups of 
     individuals with varying skills and work experience.

[[Page 1979]]

       States that require mandatory participation in work 
     activities are provided specific authority to sanction 
     individuals for failure to participate. The Secretary is 
     required to establish standards for certain employment 
     activities to ensure that failure to work for reasons beyond 
     an individual's control shall not result in ineligibility. 
     Various protections currently provided in SNAP E&T law are 
     incorporated into the program, including ensuring that 
     individuals subject to mandatory work requirements be offered 
     a corresponding work or training activity, individuals be 
     provided adequate transportation and childcare, and that 
     elderly, disabled and those responsible for the care of 
     children under the age of six are exempt from work 
     requirements. (Section 4022)
       The Managers recognize the need for better data and 
     outcomes from current E&T programs. To further improve the 
     accountability of the SNAP E&T program, the conference 
     substitute demands outcomes by requiring states to set 
     performance goals relating to enhancement of skills, 
     training, work, or experience that leads to work, for SNAP 
     participants. In addition, states must report annually on 
     these goals.
       The Managers also recognize that the best way to improve 
     the lives of beneficiaries is through sustainable employment 
     and increased income. Therefore, the Managers direct the 
     Secretary to operate up to ten pilot projects to develop and 
     improve innovative approaches to raise the number of 
     beneficiaries who obtain unsubsidized employment and decrease 
     the need for nutrition assistance. The Managers intend that 
     all state expenses, including for wrap-around services, 
     related to the pilot projects may be reimbursed out of the 
     funds provided under section 16(h)(1)(F)(viii).
       The Managers expect the Secretary to approve pilot projects 
     that test a range of strategies to ensure Congress is 
     provided data on the effectiveness of various employment and 
     training programs. This range should include those that 
     require mandatory participation in a program and are subject 
     to sanctions for non-participation, and those that allow 
     individuals to volunteer to participate in the programs. All 
     pilots shall be subject to the protections and conditions of 
     participation and duration of ineligibility provided under 
     section 6(d) of the Food and Nutrition Act (including 
     household ineligibility provided under paragraph (B)).
       The Managers recognize that a number of states are 
     currently operating innovative and effective employment and 
     training programs and expect the Secretary to test the 
     ability to expand and replicate such programs. The Managers 
     also recognize that some states have developed effective 
     employment and training programs through the TANF Program and 
     encourage the Secretary to test similar mandatory employment 
     and training programs that transition beneficiaries to stable 
     employment.
     (33) Improved wage verification using the National Directory 
         of New Hires
       The House bill requires all states to data-match with the 
     National Directory of New Hires. (Section 4040)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment clarifies that states are only 
     required to data-match at the time of certification. (Section 
     4013)
     (34) Farmers' market nutrition program
       The House bill expands the program purposes to allow 
     additional at-risk populations to be served and by requiring 
     the Secretary to specify terms and conditions to encourage 
     expanding the participation of small scale farmers in federal 
     nutrition programs. The House bill requires that 50 percent 
     of the funds be reserved for seniors. (Section 4046)
       The Senate amendment reauthorizes and continues to provide 
     Commodity Credit Corporation (CCC) mandatory funding of $20.6 
     million annually through FY2018. (Section 4202)
       The Conference substitute adopts the Senate provision. 
     (Section 4203)
     (35) Pilot project for canned, frozen, or dried fruits and 
         vegetables
       The House bill expands the forms of fruits and vegetables 
     made available to students through the Fresh Fruit and 
     Vegetable Program to include canned, frozen, and dried. 
     (Section 4048)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment reauthorizes the Fresh Fruit and 
     Vegetable program without revision. The amendment adds a new 
     section creating a pilot project in schools participating in 
     the Fresh Fruit and Vegetable Program in not less than five 
     states to evaluate the impact of allowing schools to offer 
     all forms of fruits and vegetables as part of the Program. $5 
     million in mandatory funding is provided to carry out the 
     pilot project. (Section 4214)
       The Managers recognize that the Fresh Fruit and Vegetable 
     Program (FFVP) has been highly effective in increasing 
     consumption of fruits and vegetables among low income 
     students. Studies have shown that children participating in 
     FFVP have a statistically significant (15 percent) increase 
     in consumption of fruits and vegetables. The Managers do not 
     intend to minimize the effectiveness of the current FFVP by 
     establishing pilots for all forms. The Managers expect USDA 
     to determine interested schools in an efficient manner and to 
     implement the pilot at the start of the 2014 school year. The 
     Managers expect USDA to quickly inform schools of the ability 
     to participate in the pilot and to develop criteria based on 
     recent school nutrition regulations and the Dietary 
     Guidelines for Americans. Recognizing that food packaging 
     technologies include processes such as shelf-stable cups and 
     pouches that allow for safe handling while maximizing quality 
     and nutrient retention, the Secretary should ensure that this 
     program does not exclude these additional packaging methods. 
     The Managers encourage USDA to work closely with 
     participating schools to gather information on the types of 
     schools that participate, identify how the pilot program is 
     implemented in those schools, determine continued interest in 
     participating in such a program, and learn from students and 
     teachers about students' attitudes and actual behavior during 
     the pilot program. The Managers intend for USDA to conduct a 
     robust evaluation of the outcomes of these pilots, and the 
     Secretary shall provide periodic updates to the House and 
     Senate Committees on Agriculture on the implementation, 
     operation, and evaluation of this pilot.
     (36) Additional authority for purchase of fresh fruits, 
         vegetables, and other specialty food crops/encouraging 
         locally and regionally grown and raised food
       The House bill includes a pilot program that would allow 
     five states to use the fresh fruit and vegetable funding for 
     their own local sourcing of produce. (Section 4049) The House 
     bill allows USDA to permit school food authorities with low 
     annual commodity entitlement values to substitute local foods 
     entirely or partially for USDA provided foods. The House bill 
     gives USDA discretion to establish cost-neutral farm-to-
     school demonstration projects. (Section 4050)
       The Senate amendment continues the ``DoD Fresh Program'' 
     through FY2018. (Section 4201) The Senate amendment requires 
     USDA to conduct demonstration projects ``to facilitate the 
     purchase of unprocessed and minimally processed locally grown 
     and locally raised agricultural products'' for schools that 
     participate in the National School Lunch and Breakfast 
     program. (Section 4208)
       The Conference substitute adopts the House provision with 
     an amendment. The amendment directs the Secretary to carry 
     out a pilot project in not more than eight states that 
     provides the selected states flexibility in procuring 
     unprocessed fruits and vegetables by allowing the states to 
     use multiple suppliers and products and by allowing 
     geographic preference. (Sections 4201 and 4202)
       The Managers acknowledge that USDA is already conducting 
     pilot projects in two states for the purpose of developing 
     new methods for local procurement. The Conference substitute 
     pilots are intended to complement these efforts. The Managers 
     expect the Secretary to select states with a variety of in-
     state agricultural economies, noting that states, such as 
     Vermont, Oregon, and New York, have demonstrated an 
     assortment of local procurement practices. The Managers 
     expect the Secretary to work with the selected states in 
     order to maximize flexibility for geographic preferences, 
     including allowing schools to specifically request local 
     products as long as competition is maintained, during 
     procurement. Further, the Managers expect the Secretary to 
     tailor the pilots to state specific needs regarding the size 
     and structure of school systems and enactment of reporting 
     requirements.
     (37) Review of public health benefits of white potatoes
       The House bill requires the Secretary to conduct a review 
     of the economic and public health benefits of white potatoes 
     on low-income families at nutritional risk. (Section 4051)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate position.
     (38) Review of sole-source contracts in Federal nutrition 
         programs
       The House bill directs USDA to conduct a study on sole-
     source contracting in federal nutrition programs to evaluate 
     the effects such contracts have on program participation, 
     program goals, non-program consumers, retailers and free 
     market dynamics. (Section 4053)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 4212)
     (39) Purchase of Halal and Kosher food for emergency food 
         assistance program
       The House bill requires USDA to facilitate purchases of 
     Kosher and Halal foods within the Emergency Food Assistance 
     Program. (Section 4054)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 4207)
     (40) Quality control standards
       The Senate amendment strikes the Secretary's authority to 
     waive quality control (QC) penalties. (Section 4011)

[[Page 1980]]

       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision. 
     (Section 4020)
     (41) Food Insecurity Nutrition Incentive
       The Senate amendment amends the hunger-free community 
     grants to establish ``incentive grants'' for projects that 
     incentivize SNAP participants to buy fruits and vegetables. 
     The Senate amendment limits federal cost share to 50 percent 
     and provides $100 million in mandatory funding over five 
     years. The Senate amendment provides discretionary authority 
     of $5 million per year. (Section 4204)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment renames the program the Food 
     Insecurity Nutrition Incentive. (Section 4208)
       The Managers intend for these grants to improve access to 
     and reduce the cost of fruits and vegetables for SNAP 
     recipients. The Managers intend for the grants to test new 
     methods and technologies that facilitate the purchase of 
     fresh fruits and vegetables by SNAP recipients from a variety 
     of sources, including direct to consumer markets. The 
     Managers encourage the Secretary to consult with non-profit 
     organizations with experience conducting similar programs on 
     the design and implementation of the incentive grants.
     (42) Pulse crop products
       The Senate amendment creates a pilot project to purchase 
     pulse crops (dry beans, dry peas, lentils, and chick peas) 
     and pulse crop products for schools. The Senate amendment 
     authorizes up to $10 million in discretionary appropriations. 
     (Section 4206)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision. 
     (Section 4213)
     (43) Dietary Guidelines for Americans
       The Senate amendment requires that the guidelines include 
     specifications for pregnant women and children under the age 
     of two years, by no later than the 2020 edition. (Section 
     4207)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision. 
     (Section 4204)
     (44) Multiagency task force
       The Senate amendment requires USDA to establish a 
     multiagency task force to provide guidance to the commodity 
     distribution programs. The task force must be composed of at 
     least four members, representing FNS's Food Distribution 
     Division, Agricultural Marketing Service (AMS), Farm Service 
     Agency (FSA), and Food Safety and Inspection Service (FSIS). 
     The task force is to report to Congress not later than one 
     year after convening. (Section 4209)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision. 
     (Section 4205)
     (45) Food and agriculture service learning program
       The Senate amendment creates a Food and Agriculture Service 
     Learning Program with statutory purposes that include: 
     increasing capacity for food, garden, and nutrition 
     education; complementing the work of the federal farm-to-
     school grants; and coordinating with the related National 
     Institute of Food and Agriculture (NIFA) work. USDA is to 
     evaluate the program regularly and report the results to 
     congressional committees of jurisdiction. $25 million is 
     authorized to be appropriated and is to remain available 
     until expended. 20 percent of funds are set aside for NIFA 
     for particular purposes, and funding is to ``supplement not 
     supplant'' current efforts. (Section 4210)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment places the program under the 
     jurisdiction of the National Institute of Food and 
     Agriculture (NIFA) and structures it as a competitive grant 
     program. Further, the amendment deletes the ``Definitions'' 
     subsection and removes the 20 percent funding set-aside 
     previously designated to NIFA for housing, training, and 
     overseeing participants. (Section 4209)

                            Title V--Credit

     (1) Persons Eligible for Real Estate Loans
       The House bill adds ``and such other legal entities as the 
     Secretary deems appropriate''. It also requires that an 
     owner-operator own at least 75 percent of an embedded entity 
     and gives the Secretary authority to set the appropriate 
     ownership level. It also gives authority to the Secretary to 
     define the acceptable experience necessary to qualify for 
     direct farm ownership loans. (Section 5001)
       The Senate amendment is similar to the House provision but 
     does not require 75 percent ownership of an embedded entity, 
     and does not explicitly require that a farmer prove 
     ``sufficient'' credit is obtainable elsewhere. (Section 3101)
       The Conference substitute adopts the House provision.
     (2) Conservation Loan and Loan Guarantee Program
       The House bill gives USDA discretion to allow alternative 
     legal entities to qualify for conservation loans and 
     increases the maximum conservation loan guarantee to 90 
     percent. It additionally authorizes the conservation loan 
     program through FY 2018. (Section 5002)
       The Senate amendment gives USDA similar discretion, by 
     reference. (Section 3103)
       The Conference substitute adopts the House provision with 
     an amendment. The amendment increases the amount of the 
     conservation loan guarantee from 75 percent to 80 percent. 
     For socially disadvantaged farmers or ranchers and beginning 
     farmers and ranchers, the conservation loan guarantee is 
     increased to 90 percent. The program is authorized to be 
     appropriated $150,000,000 through fiscal year 2018. (Section 
     5002)
     (3) Down payment loan program
       The House bill increases the maximum down payment loan to 
     45 percent of $667,000. (Section 5003)
       The Senate amendment is the same as the House bill. 
     (Section 3107)
       The Conference substitute adopts the House provision. 
     (Section 5005)
     (4) Mineral rights
       The House bill eliminates the requirement that mineral 
     rights be appraised. (Section 5004)
       The Senate amendment is the same as current law. (Section 
     3105)
       The Conference substitute adopts the House provision. 
     (Section 5004)
     (5) Operating loans, Persons who are eligible
       The House bill gives USDA discretion to allow alternative 
     legal entities to qualify for farm operating loans and allows 
     an embedded entity of a borrower to be deemed eligible for an 
     operating loan if the entity borrower owns at least 75 
     percent of the embedded entity. (Section 5101)
       The Senate amendment is the same as the House bill. 
     (Section 3201)
       The Conference substitute adopts the House provision. 
     (Section 5101)
       (5.1) Term Limits on Direct Loans
       The House bill is the same as current law.
       The Senate amendment extends direct loan term limits to ten 
     years and allows borrowers to earn back eligibility, one year 
     in the program for every year out. (Section 3201)
       The Conference substitute adopts the House provision with 
     an amendment. The amendment maintains current law but 
     requires the Secretary of Agriculture to submit an annual 
     report to Congress that details the status of the 
     Department's direct farm operation loan program, and the 
     impact of term limits on direct loan borrowers. (Section 
     5104)
       (5.2) Term Limits on Guaranteed Loans
       The House bill is the same as current law.
       The Senate amendment removes the provision.
       The Conference substitute adopts the Senate provision. 
     (Section 5107)
     (6) Operating loans, rural residency requirements
       The House bill eliminates the rural residency requirement 
     for youth loans. (Section 5102)
       The Senate amendment is the same as current law.
       The Conference substitute adopts the House provision. 
     (Section 5102)
     (7) Personal liability of youth loan borrower
       The House bill gives USDA the option to waive personal 
     liability for youth loans if default is due to circumstances 
     beyond the borrower's control. (Section 5103)
       The Senate amendment allows a borrower who defaults on a 
     youth loan to still qualify for educational loans. (Section 
     3201)
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment authorizes the Secretary of 
     Agriculture to, on a case by case basis, provide debt 
     forgiveness of a youth loan if the borrower was unable to 
     repay the loan due to circumstances beyond the control of the 
     borrower. The debt forgiveness provided by this section shall 
     not be used by other Federal agencies in determining 
     eligibility of the borrower for any loan made or guaranteed 
     by that agency. In no case shall a delinquent borrower or a 
     borrower provided debt forgiveness be denied a loan or loan 
     guarantee from the Federal government to pay for educational 
     expenses of the borrower. (Section 5103)
     (8) Microloans
       The House bill authorizes the Secretary to make operating 
     loans of $35,000 to eligible borrowers with a total microloan 
     indebtedness of $70,000 to any borrower. It also authorizes 
     intermediary lending projects and exempts microloans from 
     counting toward direct loan limits. The bill applies limited 
     resource loan rates to beginning and veteran farmers or 
     ranchers. (Section 5104)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment sets the total indebtedness level 
     at $50,000. It also authorizes the Secretary to conduct a 
     pilot project to contract with community development 
     financial institutions to make or guarantee microloans and to 
     provide business, financial and marketing services to 
     borrowers. The Secretary is limited

[[Page 1981]]

     to $10 million worth of loans through the new pilot project 
     in any fiscal year. (Section 5106)
       To further clarify, the Conference substitute authorizes 
     the Department of Agriculture to establish cooperative 
     lending pilot projects to aid administration of microloans. 
     The Managers believe that the Farm Service Agency should 
     maintain its mission focus on direct lending, and consider 
     the agency's existing staffing and expertise when determining 
     how to operate a pilot. The Managers expect the Secretary to 
     carefully review intermediaries' loan loss reserve funds, 
     underwriting standards, and other factors that preserve 
     program integrity. Therefore, the Conference substitute 
     provides that when carrying out this pilot program, the 
     Department should utilize community financial institutions 
     that have been approved by the Department of the Treasury in 
     order to maximize the effectiveness of U.S. government 
     resources.
     (9) Emergency loans eligibility
       The House bill gives USDA discretion to allow alternative 
     legal entities to qualify for an emergency loan. 
     Additionally, it allows an embedded entity of a borrower to 
     be deemed eligible for an operating loan if the entity 
     borrower owns at least 75 percent of the embedded entity. 
     (Section 5201)
       The Senate amendment is the same as the House bill. 
     (Section 3301)
       The Conference substitute adopts the House provision. 
     (Section 5201)
     (10) Beginning Farmer and Rancher individual development 
         pilot program
       The House bill authorizes current law through 2018. 
     (Section 5301)
       The Senate amendment is the same as the House bill. 
     (Section 3428)
       The Conference substitute adopts the Senate provision. 
     (Section 5301)
     (11) Eligible Beginning Farmers and Ranchers
       The House bill expands the definition of a qualified 
     beginning farmer or rancher to include ``or other such legal 
     entity''. It also changes the acreage ownership limitation 
     from 30 percent of the median acreage of farms in the county 
     to 30 percent of the average acreage of farms in the county. 
     (Section 5302)
       The Senate amendment replaces ``median'' with ``average'' 
     in the definition and has the same 30 percent limitation, but 
     does not give USDA discretion to allow alternative legal 
     entities to qualify as a beginning farmer or rancher. 
     (Section 3002)
       The Conference substitute adopts the House provision with 
     an amendment. The amendment includes language that will 
     ensure that any legal entity included in the definition of 
     beginning farmer or rancher for purposes of qualifying for 
     USDA loans (including cooperatives, corporations, 
     partnerships, joint operations, or other such legal entities 
     as the Secretary considers appropriate), will have members, 
     stockholders, partners, or joint operators who all qualify 
     individually as beginning farmers. This provision is meant to 
     ensure that any priorities given to beginning farmers or 
     ranchers are restricted to individual beginning farmers or 
     ranchers or entities comprised entirely of beginning farmers 
     or ranchers. (Section 5303)
     (12) Loan Authorization Levels
       The House bill reauthorizes the Secretary's ability to make 
     loans under each subtitle through 2018. (Section 5303)
       The Senate amendment is the same as the House bill. 
     (Section 3431)
       The Conference substitute adopts the House provision. 
     (Section 5304)
     (13) Beginning Farmer and Rancher, priorities
       The House bill adds a new priority for beginning farmer and 
     rancher direct loans to those applicants who apply under the 
     down payment loan program or with joint financing 
     arrangements. (Section 5304)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment establishes a floating interest 
     rate with a floor of 2.5 percent for joint financing 
     arrangements (arrangements where the direct farm ownership 
     loan does not exceed 50 percent of any total loan). (Section 
     5003)
       The Managers intend for modifications to the interest rates 
     for joint financing arrangements (in Sec. 307(a)(3)(D) of the 
     Con Act) to encourage Beginning Farmer and Rancher borrowers 
     to first rely on the down payment loan program (in Sec. 310E 
     of the Con Act) for their ownership credit needs. They should 
     then look to joint financing arrangements, and lastly, to the 
     Direct Farm Ownership Loan programs. This will help maximize 
     the number of borrowers served by prioritizing programs that 
     incorporate public-private partnerships or personal 
     investments
     (14) Loan Fund Set-Asides
       The House bill reauthorizes the loan fund set asides 
     through 2018. (Section 5305)
       The Senate amendment is the same as the House bill. 
     (Section 3431)
       The Conference substitute adopts the Senate provision. 
     (Section 5304)
     (15) Conforming amendment
       The House bill strikes ``section 302 (a)(2) or 311 (a)(2)'' 
     and inserts ``section 302 (a)(1)(B) or 311 (a)(1)(B)''. 
     (Section 5306)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 5306)
     (16) Agricultural Mediation programs
       The House bill reauthorizes the state agricultural 
     mediation programs through 2018. (Section 5401)
       The Senate amendment is the same as the House. (Section 
     5101)
       The Conference substitute adopts the Senate provision. 
     (Section 5401)
     (17) Loans to Purchasers of Highly Fractionated Land
       The House bill authorizes the use of a revolving loan fund 
     for purchasers of highly fractionated land. (Section 5501)
       The Senate amendment includes the House language, updates 
     references to other laws, and requires interagency 
     consultation between USDA and the Department of the Interior. 
     Additionally, it simplifies appraisals for purchasers of 
     highly fractionated land by requesting only one appraisal 
     recognized by USDA or the Department of the Interior. 
     (Section 5102 and Section 5103)
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment strikes the requirement that USDA 
     consult with the Department of Interior. (Sections 5402 and 
     5403)
       It is the intent of the Managers that the Department should 
     consult with the Secretary of the Interior when determining 
     regulations and procedures to define eligible purchasers of 
     highly fractionated land relevant to provisions (Sections 
     5402 and 5403) in this Title.
     (18) Compensation disclosure by farm credit system 
         institutions
       The Senate amendment requires the Farm Credit 
     Administration to review rules regarding compensation 
     packages of senior officers in order to improve compensation 
     disclosure. (Section 5104)
       The House bill contains no comparable provisions.
       The Conference substitute adopts the Senate provision. 
     (Section 5404)
       The Managers support reasonable transparency practices at 
     Farm Credit System (FCS) institutions that support 
     stockholders' understanding of the operation of those 
     institutions. The Managers also recognize that the Farm 
     Credit Act clearly authorizes the Farm Credit Administration 
     (FCA) to require appropriate disclosure from FCS 
     institutions, including disclosures describing compensation 
     practices. The Farm Credit Act does not explicitly 
     contemplate stockholder voting on specific issues such as 
     compensation, and the Managers are concerned such actions 
     could interfere with the explicit responsibility and duty of 
     the board. Therefore, the Agency should take this into 
     consideration as it reviews its regulation.
     (19) Emergency loan, equine farmers
       The House bill is the same as current law.
       The Senate amendment does not mention equine farmers and 
     ranchers (nor in Sec. 3301). (Section 3002)
       The Conference substitute adopts the House provision. 
     (Section 5201)
     (20) Repayment Requirements for Farm Ownership Loans
       The House bill is the same as current law.
       The Senate amendment is substantially similar to current 
     law. (Section 3105)
       The Conference substitute adopts the House provision.
     (21) Limited-Resource Loans
       The House bill is the same as current law.
       The Senate amendment is the same as current law. (Section 
     3106)
       The Conference substitute adopts the House provision.
     (22) Beginning Farmer and Socially Disadvantaged Farmer 
         Contract Land Sales Program
       The House bill is the same as current law.
       The Senate amendment is the same as current law. (Section 
     3108)
       The Conference substitute adopts the Senate provision.
     (23) Loans to gleaners
       The Senate amendment creates a pilot program to support 
     Healthy Foods for the Hungry. It authorizes individual loans 
     of between $500 and $5,000 to gleaners and other regular farm 
     operating loan borrowers for the purpose of assisting the 
     borrowers in providing food for the hungry. The program is 
     funded from within the farm operating loan program, up to a 
     maximum total of $500,000 for the entire program. (Section 
     3201)
       The House bill contains no comparable provision.
       The Conference substitute amends and moves this section to 
     Title IV. (Section 4026)
     (24) Direct loans, locally produced agriculture products
       The Senate amendment adds the assistance of a farmer in the 
     production of a locally or regionally produced agricultural 
     food product as a new purpose for direct loans. (Section 3202 
     (a)(11))
       The House bill contains no comparable provision.
       The Conference substitute adopts the House provision.
       Pertaining to (24), (25), (25.1), and (25.2) of this 
     conference report, the Managers affirm the Department's 
     authority to directly lend to and guarantee loans for 
     producers of local/

[[Page 1982]]

     regional foods. Congress expects the Department to 
     incorporate information on local/regional markets and food 
     production into its loan officer training and into any 
     borrower or potential borrower outreach. The Managers also 
     intend that valuations of local/regional food under Section 
     5105 will be incorporated into this training and outreach. 
     Given the potential for price premiums paid for local/
     regional food, the valuation is an important part of 
     understanding the markets for local/regional foods. The 
     Managers expect the Secretary to develop a publically 
     available and defensible methodology for assessing and 
     factoring local food price premiums into loan decisions made 
     by the Department.
     (25) Loan officers, training for loans to local/regional 
         farmers
       The Senate amendment requires the Secretary to train loan 
     officers in pricing of local and regional food production. 
     (Section 3202(e)(1))
       The House bill contains no comparable provision.
       The Conference substitute adopts the House provision.
       (25.1) Valuation for local/regional crops for purposes of 
           lending
       The Senate amendment requires the Secretary to develop 
     valuation methods for local/regional food for purposes of 
     lending to local/regional food producers. (Section 
     3202(e)(2))
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision. 
     (Section 5105)
       (25.2) Outreach for lending to local/regional food 
           producers
       The Senate amendment requires the Secretary to develop an 
     outreach strategy to provide loans to local/regional food 
     producers. (Section 3302(e)(3))
       The House bill contains no comparable provision.
       The Conference substitute adopts the House provision.
     (26) Emergency loans, commercial fishermen
       The Senate amendment adds commercial fishermen to the list 
     of eligible borrowers for emergency loans. (Section 3301(a))
       The House amendment contains no comparable provision.
       The Conference substitute adopts the House provision.
     (27) Hazard insurance, poultry farmers exception
       The Senate amendment omits any exception for poultry 
     farmers in the hazard insurance requirement. (Section 
     3301(d))
       The House bill contains no comparable provision.
       The Conference substitute adopts the House provision.
     (28) Basic Terms for Loans
       The House bill is the same as current law.
       The Senate amendment does not include section 307(a)(5)(B).
       The Conference substitute adopts the House position.
       The Managers of the House Agriculture Committee and the 
     Senate Committee on Agriculture, Nutrition, and Forestry 
     believe it is important to periodically review and update 
     statutory language such as the Consolidated Farm and Rural 
     Development Act and will do so as time allows.
     (29) Guaranteed Farmer Loans
       The House bill is the same as current law.
       The Senate amendment is substantially similar to current 
     law though it eliminates coordination with the state in (i). 
     (Section 3402)
       The Conference substitute adopts the House provision.
     (30) Administrative Provisions
       The House bill is the same as current law.
       The Senate amendment does not include Section 309 (b)-(g) 
     (the Federal Credit reform Act of 1990 rendered these 
     provisions--no longer a revolving fund). Also does not 
     include section 309(i).
       The Conference substitute adopts the House provision.
     (31) Soil Conservation District Loans
       The House bill is the same as current law.
       The Senate amendment does not include Section 314.
       The Conference substitute adopts the House provision.
     (32) Interest rate, term of loan, and line of credit
       The House bill is the same as current law.
       The Senate amendment does not include section 316(b) except 
     for the first two sentences that provide the operating loan 
     at seven years. (Section 3411)
       The Conference substitute adopts the House provision.
       (32.1) Line of Credit Loans, Qualifying Commodities
       The House bill is the same as current law.
       The Senate amendment does not include Section 316 (c)(5)(B) 
     which made line of credit loans available to commodities 
     eligible for price support programs before the 1996 Farm 
     Bill.
       The Conference substitute adopts the House provision.
     (33) Purpose for emergency loans
       The House bill is the same as current law.
       The Senate amendment does not include Section 321(b)(3).
       The Conference substitute adopts the House provision.
     (34) Considerations for making emergency loans
       The House bill is the same as current law.
       The Senate amendment does not include Section 322(a) nor 
     322(b).
       The Conference substitute adopts the House provision.
     (35) Emergency Credit Revolving Fund
       The House bill is the same as current law.
       The Senate amendment does not include Section 326.
       The Conference substitute adopts the House provision.
     (36) Liquidation of loans become part of the Emergency Credit 
         Revolving Fund
       The House bill is the same as current law.
       The Senate amendment does not include Section 327.
       The Conference substitute adopts the House provision.
     (37) General Powers all loan programs
       The House bill is the same as current law.
       The Senate amendment does not include Section 331(a), but 
     see ``Section 3403'' below.
       The Conference substitute adopts the House provision.
     (38) Timing for the processing of farm loan applications
       The House bill is the same as current law.
       The Senate amendment does not include Section 333A(d)-(e), 
     but instead includes Section 3403 as follows:
       ``Section 3403. Provision of information to borrowers.
       ``Approval Notification--The Secretary shall approve or 
     disapprove an application for a loan or loan guarantee made 
     under this subtitle, and notify the applicant of such action, 
     not later than 60 days after the date on which the Secretary 
     has received a complete application for the loan or loan 
     guarantee.
       ``(b) List of Lenders.--The Secretary shall make available 
     to any farmer, on request, a list of lenders in the area that 
     participate in guaranteed farmer program loan programs 
     established under this subtitle, and other lenders in the 
     area that express a desire to participate in the programs and 
     that request inclusion on the list.
       ``(c) Other Information.--
       ``(1) In general.--On the request of a borrower, the 
     Secretary shall make available to the borrower--
       ``(A) a copy of each document signed by the borrower; ''
       ``(B) a copy of each appraisal performed with respect to 
     the loan; and
       ``(C) any document that the Secretary is required to 
     provide to the borrower under any law in effect on the date 
     of the request.
       (2) Rule of construction.--Paragraph (1) shall not 
     supersede any duty imposed on the Secretary by a law in 
     effect on January 5, 1988, unless the duty directly conflicts 
     with a duty under paragraph (1).''
       The Conference substitute adopts the House provision.
     (39) Rules and Regulations for Debt Service and Margin 
         Requirements
       The House bill is the same as current law.
       The Senate amendment does not include Section 339(b) or 
     Section 339(e).
       The Conference substitute adopts the House provision.
     (40) Notice of Loan Service Programs
       The House bill is the same as current law.
       The Senate amendment is the same as current law. (Section 
     3404)
       The Conference substitute adopts the House provision.
     (41) Planting and Production History Guidelines
       The House bill is the same as current law.
       The Senate amendment is the same as current law. (Section 
     3405)
       The Conference substitute adopts the House provision.
     (42) Special Conditions and Limitations on Loans
       The House bill is the same as current law.
       The Senate amendment is similar to current law though it 
     deletes the word ``sufficient''. It also combines the 
     provisions of Section 333 and 333A in current law. (Section 
     3406)
       The Conference substitute adopts the House provision.
     (43) Graduation of Borrowers
       The House bill is the same as current law.
       The Senate amendment is the same as current law. (Section 
     3407)
       The Conference substitute adopts the House provision.
     (44) Debt Adjustment and Credit Counseling
       The House bill is the same as current law.
       The Senate amendment is the same as current law. (Section 
     3408)
       The Conference substitute adopts the House provision.
     (45) Security Servicing
       The House bill is the same as current law.
       The Senate amendment is substantially similar to current 
     law. (Section 3409)
       The Conference substitute adopts the House provision.
     (46) Contracts on Loan Security Properties
       The House bill is the same as current law.
       The Senate amendment is substantially similar to current 
     law. (Section 3410)

[[Page 1983]]

       The Conference substitute adopts the House provision.
     (47) Debt Restructuring and Loan Servicing
       The House bill is the same as current law.
       The Senate amendment is substantially similar to current 
     law. (Section 3411)
       The Conference substitute adopts the House provision.
     (48) Relief for Mobilized military Reservists from Certain 
         Agricultural loan obligations
       The House bill is the same as current law.
       The Senate amendment is the same as current law. (Section 
     3412)
       The Conference substitute adopts the House provision.
     (49) Interest Rate Reduction Program
       The House bill is the same as current law.
       The Senate amendment is substantially similar to current 
     law though it restricts the program to loans under this 
     ``subtitle''. (Section 3413)
       The Conference substitute adopts the House provision.
     (50) Rules and Regulations for Debt Service and Margin 
         Requirements
       The House bill is the same as current law.
       The Senate amendment does not include Section 339(b) or 
     339(e).
       The Conference substitute adopts the House provision.
     (51) Homestead Property
       The House bill is the same as current law.
       The Senate amendment is the same as current law. (Section 
     3414)
       The Conference substitute adopts the House provision.
     (52) Transfer of Inventory Land
       The House bill is the same as current law.
       The Senate amendment is the same as current law. (Section 
     3415)
       The Conference substitute adopts the House provision.
     (53) Target Participation Rates
       The House bill is the same as current law.
       The Senate amendment is the same as current law. (Section 
     3416)
       The Conference substitute adopts the House provision.
     (54) Compromise or adjustment of debts or claims by 
         guaranteed lender
       The House bill is the same as current law.
       The Senate amendment is the same as current law. (Section 
     3417)
       The Conference substitute adopts the House provision.
     (55) Waiver of Mediation Rights by Borrowers
       The House bill is the same as current law.
       The Senate amendment is the same as current law. (Section 
     3418)
       The Conference substitute adopts the House provision.
     (56) Borrower Training
       The House bill is the same as current law.
       The Senate amendment is substantially similar to current 
     law. It eliminates the ``(as determined by the appropriate 
     county committee)''. (Section 3419)
       The Conference substitute adopts the House provision.
     (57) Loan Assessments
       The House bill is the same as current law.
       The Senate amendment is the same as current law. (Section 
     3420)
       The Conference substitute adopts the House provision.
     (58) Supervised Credit
       The House bill is the same as current law.
       The Senate amendment is the same as current law. (Section 
     3421)
       The Conference substitute adopts the House provision.
     (59) Market Placement
       The House bill is the same as current law.
       The Senate amendment is the same as current law. (Section 
     3422)
       The Conference substitute adopts the House provision.
     (60) Recordkeeping of Loans by Gender of Borrower
       The House bill is the same as current law.
       The Senate amendment is the same as current law. (Section 
     3423)
       The Conference substitute adopts the House provision.
     (61) Crop Insurance Requirement
       The House bill is the same as current law.
       The Senate amendment is the same as current law. (Section 
     3424)
       The Conference substitute adopts the House provision.
     (62) Loan and Loan Servicing Limitations
       The House bill is the same as current law.
       The Senate amendment is the same as current law. (Section 
     3425)
       The Conference substitute adopts the House provision.
     (63) Short Form Certification of Farm Program Borrower 
         Compliance
       The House bill is the same as current law.
       The Senate amendment is the same as current law. (Section 
     3426)
       The Conference substitute adopts the House provision.
     (64) Underwriting Forms and Standards
       The House bill is the same as current law.
       The Senate amendment is the same as current law. (Section 
     3427)
       The Conference substitute adopts the House provision.
     (65) Farmer Loan Pilot Projects
       The House bill is the same as current law.
       The Senate amendment authorizes the Secretary to conduct 
     pilot projects of limited scope and duration to evaluate 
     processes and techniques that may improve the efficiency and 
     effectiveness of the programs carried out by this subtitle. 
     (Section 3429)
       The Conference substitute adopts the Senate provision. 
     (Section 5302)
     (66) Prohibition on use of Loans for Certain Purposes
       The House bill is the same as current law.
       The Senate amendment is the same as current law. (Section 
     3430)
       The Conference substitute adopts the House provision.
     (67) Repeal of the application of the Bankhead Jones Act
       The House bill is the same as current law.
       The Senate amendment outlines an AGRICULTURAL CREDIT 
     INSURANCE FUND. The fund established pursuant to section 
     11(a) of the Bankhead-Jones Farm Tenant Act (60 Stat. 1075, 
     chapter 964) shall be known as the Agricultural Credit 
     Insurance Fund (referred to in this section as the `Fund', 
     unless the context otherwise requires) for the discharge of 
     the obligations of the Secretary under agreements insuring 
     loans under this subtitle and loans and mortgages insured 
     under prior authority. (Section 3401)
       The Conference substitute adopts the House provision.
     (68) Definitions
       The House bill is the same as current law.
       The Senate amendment contains the definition of the terms 
     ``farmer'', ``beginning farmer or rancher'', ``United 
     States'', ``direct loan'', ``farmer program loan'', 
     ``qualified beginning farmer'', ``debt forgiveness'', ``rural 
     area'', ``borrower'', ``loan service program'', and ``primary 
     loan servicing program''. Additionally, it does not include 
     the definitions of the terms ``owner-operator'', ``insured'', 
     ``contract of insurance'', ``joint operation'', and 
     ``preservation loan servicing program''. (Section 3002)
       The Conference substitute adopts the House provision.
     (69) Limitations for insured loans and guaranteed loans
       The House bill is the same as current law.
       The Senate amendment does not include Section 344.
       The Conference substitute adopts the House provision.
     (70) Maximum amounts for loans authorized, long-term cost 
         projections
       The House bill is the same as current law.
       The Senate amendment does not include Section 346(a).
       The Conference substitute adopts the House provision.
     (71) Other Federal agencies provisions of technical 
         assistance to farmer with loans
       The House bill is the same as current law.
       The Senate amendment does not include Section 347.
       The Conference substitute adopts the House provision.
     (72) Debt for nature
       The House bill is the same as current law.
       The Senate amendment defines the terms ``highly erodible 
     land'' and ``wildlife'' in Section 3002, but does not include 
     definitions for the terms ``governmental entity'' and 
     ``recreational purposes''. (Section 3002)
       The Conference substitute adopts the House provision.
     (73) Purposes of farm loan programs
       The House bill is the same as current law.
       The Senate amendment does not include Section 350.
       The Conference substitute adopts the House provision.
     (74) Debt restructuring and loan servicing
       The House bill is the same as current law.
       The Senate amendment does not include Section 353(f) or 
     (h).
       The Conference substitute adopts the House provision.
     (75) Rural Development and Farm Loan Program Activities
       The House bill is the same as current law.
       The Senate amendment is the same as current law--included 
     in (Section 3913).
       The Conference substitute adopts the House provision.
     (76) Payment of Interest as a condition of loan servicing for 
         borrowers
       The House bill is the same as current law.
       The Senate amendment does not include Section 372.
       The Conference substitute adopts the House provision.
     (77) Making and Servicing of Loans by Personnel of State, 
         County or Area Committees
       The House bill is the same as current law.
       The Senate amendment does not include Section 376.
       The Conference substitute adopts the House provision.
     (78) Eligibility of Employees of State, County, or Area 
         Committee for loans and loan Guarantees
       The House bill is the same as current law.

[[Page 1984]]

       The Senate amendment does not include Section 377.
       The Conference substitute adopts the House provision.

                      Title VI--Rural Development

     (1) Water, Waste Disposal, and Wastewater Facility Grants
       The House bill reauthorizes the authorization of 
     appropriations for fiscal years 2014 through 2018. (Section 
     6001)
       The Senate amendment is the same as the House. (Section 
     6001)
       The Conference substitute adopts the House provision. 
     (Section 6001)
     (2) Rural Business Opportunity Grants
       The House bill reauthorizes the authorization of 
     appropriations for fiscal years 2014 through 2018. (Section 
     6002)
       The Senate amendment authorizes appropriations of 
     $65,000,000 for fiscal years 2014 through 2018 and combines 
     the Rural Business Enterprise Grant and RBOG programs. 
     (Section 6001)
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment strikes Sections 310B(c) and 
     306(a)(11) in the Con Act and replaces them with the Rural 
     Business Development Grant authority, allocating not more 
     than 10 percent of amounts appropriated for the purposes 
     previously authorized under the Rural Business Opportunity 
     Grant authority. (Section 6012)
       The Managers made an effort to streamline and consolidate 
     programs whenever possible. The conference substitute 
     combines two existing programs, the Rural Business 
     Opportunity Grants program and the Rural Business Enterprise 
     Grants program, into a single program to be known as the 
     Rural Business Development Grants program. The Managers 
     intend for this new program to function in a manner similar 
     to its predecessors and to award competitive grants to public 
     agencies and non-profit community development organizations 
     for business development, planning, technical assistance, or 
     job training in rural areas.
     (3) Elimination of Reservation of Community Facilities Grant 
         Program Funds
       The House bill repeals the reservation of funds. (Section 
     6003)
       The Senate amendment does not include the reservation of 
     funds. (Section 6001)
       The Conference substitute adopts the House provision. 
     (Section 6002)
     (4) Utilization of Loan Guarantees for Community Facilities
       The House bill authorizes the Secretary to utilize loan 
     guarantees for community facilities to the maximum extent 
     possible. (Section 6004)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 6004)
     (5) Rural Water and Wastewater Circuit Rider Program
       The House bill authorizes the Secretary to continue a 
     national rural water and wastewater circuit rider program. 
     Additionally, the bill authorizes appropriations of 
     $20,000,000 for each fiscal year. (Section 6005)
       The Senate amendment authorizes appropriations of 
     $25,000,000 for each fiscal year.
       The Conference substitute adopts the House provision. 
     (Section 6003)
     (6) Tribal College and University Essential Community 
         Facilities
       The House bill authorizes appropriations of $5,000,000 for 
     fiscal years 2014 through 2018. (Section 6006)
       The Senate amendment authorizes appropriations of 
     $10,000,000 for fiscal years 2014 through 2018. Additionally, 
     the amendment authorizes the Secretary to establish the 
     maximum percentage of the cost of the project covered by this 
     grant and limits the amount of non-Federal support to no more 
     than 5 percent of the total cost of the project. The 
     amendment also establishes grant priorities, the maximum 
     grant amount, grant rate and local share requirements 
     applicable to these grants. (Section 6001)
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment reauthorizes the authorization of 
     appropriations through 2018. (Section 6005)
     (7) Essential Community Facilities Technical Assistance and 
         Training
       The House bill authorizes technical assistance and training 
     for essential community facilities. Additionally, the bill 
     reserves not less than 3 nor more than 5 percent of any funds 
     appropriated to carry out each of the community facilities 
     programs authorized under subsection 306(a). (Section 6007)
       The Senate amendment authorizes technical assistance to 
     applicants and participants for community facilities 
     programs. Additionally, under the amendment, the Secretary 
     may not use more than 3 percent of the amount of funds made 
     available to participants for a fiscal year for a community 
     facilities program to provide technical assistance. (Section 
     6001)
       The Conference substitute adopts the House provision. 
     (Section 6006)
       The Managers understand that rural communities, primarily 
     due to limited staffing, often need technical assistance when 
     developing funding applications. The conference substitute 
     authorizes as much as 5 percent of the funding available 
     through the Community Facilities Loan and Grant Program for 
     technical assistance to help smaller communities in the 
     development of their applications to the program.
     (8) Emergency Imminent Community Water Assistance Grant 
         Program
       The House bill authorizes appropriations of $27,000,000 for 
     fiscal years 2014 through 2018. (Section 6008)
       The Senate amendment authorizes appropriations of 
     $35,000,000 for fiscal years 2014 through 2018. (Section 
     6001)
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment reauthorizes the authorization of 
     appropriations through 2018. (Section 6007)
     (9) Household Water Well Systems
       The House bill authorizes appropriations of $5,000,000 for 
     fiscal years 2014 through 2018. (Section 6009)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 6009)
     (10) Rural Business and Industry Loan Program
       The House bill amends subsection 310B(a) to include working 
     capital as a loan purpose. Additionally, paragraph 310B(g)(7) 
     is amended to authorize the Secretary, when determining 
     whether a cooperative organization is eligible for a 
     guaranteed business and industry loan, to take accounts 
     receivable as security for obligations, and a borrower may 
     use accounts receivable as collateral to secure a loan. 
     (Section 6010)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment clarifies that the additional 
     loan purpose is the financing of working capital. (Section 
     6010)
       The Managers recognize the importance of ``Main Street'' 
     businesses to rural communities, and that the recent economic 
     downturn has reduced the affordability of credit in rural 
     areas, putting considerable strain on these small businesses. 
     The Conference substitute addresses this issue through 
     changes to the Business & Industry (B&I) Loan Program 
     intended to ensure working capital is an eligible use of 
     funds.
       The Conference substitute also provides flexibility for the 
     Secretary to consider accounts receivable for the purposes of 
     collateral to allow lenders to help meet the capital needs of 
     small businesses in rural areas. The Managers encourage USDA 
     to examine additional ways to guarantee lending to small 
     brick-and-mortar, community-owned businesses, such as an 
     increased loan guarantee percentage for smaller loans, a 
     streamlined process for making B&I loans of less than 
     $250,000, and making operating lines of credit eligible as a 
     program use.
       Additionally, the Managers encourage USDA to better 
     coordinate with the Small Business Administration on outreach 
     to rural lenders related to the B&I loan guarantee program.
     (11) Rural Cooperative Development Grants
       The House bill authorizes appropriations of $40,000,000 for 
     fiscal years 2014 through 2018. (Section 6011)
       The Senate amendment authorizes appropriations of 
     $50,000,000 for fiscal years 2014 through 2018 and an 
     interagency working group to foster cooperative development 
     and ensure coordination with Federal agencies and cooperative 
     organizations.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment authorizes appropriations of 
     $40,000,000 for each fiscal year 2014 through 2018 and an 
     interagency working group to foster cooperative development 
     and ensure coordination with Federal agencies and cooperative 
     organizations. (Section 6013)
     (12) Locally or Regionally Produced Agricultural Food 
         Products
       The House bill authorizes a reservation of funds through 
     fiscal year 2018 of not less than 5 percent and not more than 
     7 percent of the funds made available to carry out subsection 
     (g), business and industry direct and guaranteed loans. 
     (Section 6012)
       The Senate amendment authorizes a reservation of funds for 
     fiscal years 2014 through 2018, not less than 5 percent of 
     the total amount of funds made available to carry out 
     subsection (e), loans to private business enterprises and 
     business and industry direct and guaranteed loans. (Section 
     6001)
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment reauthorizes the reservation of 
     funds through 2018. (Section 6014)
     (13) Intermediary Relending Program
       The House bill moves the authorization of the Intermediary 
     Relending Program (IRP) to the Consolidated Farm and Rural 
     Development Act (Con Act). Additionally, it authorizes 
     $10,000,000 for fiscal years 2014 through 2018. (Section 
     6013)
       The Senate amendment moves authorization of IRP to the Con 
     Act. Additionally, it authorizes $50,000,000 for fiscal years 
     2014 through 2018. (Section 6001)
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment prohibits the Secretary from

[[Page 1985]]

     making IRP loans under another authority, authorizes 
     appropriations of $25,000,000 for each fiscal year 2014 
     through 2018, and eliminates another authority for the 
     program. (Section 6017)
     (14) Rural College Coordinated Strategy
       The House bill authorizes the Secretary to develop a rural 
     community college coordinated strategy across the Rural 
     Development mission area. (Section 6014)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 6018)
       The Managers recognize the contributions that rural 
     community and technical colleges make in the development of a 
     well-trained workforce in rural communities. These 
     institutions serve over 3.5 million students, and train 
     sixty-percent of first responders and allied health care 
     providers in rural communities. The Managers expect the 
     Secretary to work closely with the rural community and 
     technical colleges to create a coordinated strategy which 
     would guide the investments USDA already makes through rural 
     development programs. Noting that a number of programs have 
     varying eligibility criteria and purposes, the Managers 
     expect the Secretary to look across the entire suite of rural 
     development programs when creating a coordinated strategy to 
     help deploy the most appropriate resources for each of the 
     needs identified in consultation with representatives from 
     the rural community and technical colleges. These investments 
     should continue to utilize appropriate authorities under both 
     the Rural Electrification Act and the Consolidated Farm and 
     Rural Development Act, including investments in technology 
     and facilities, to better serve rural students.
     (15) Rural Water and Waste Disposal Infrastructure
       The House bill authorizes the Secretary, with respect to 
     water and waste disposal direct and guaranteed loans, to 
     encourage to the maximum extent practicable, private or 
     cooperative lenders to finance rural water and waste disposal 
     facilities by maximizing the use of loan guarantees in 
     communities where the population exceeds 5,500, maximizing 
     the use of direct loans where the impact on rate payers will 
     be material when compared to a loan guarantee, in the case of 
     projects that require interim financing above $500,000 
     requiring those projects to initially seek such financing 
     from a private or cooperative lender and determining if 
     existing direct borrowers can refinance with a private or 
     cooperative lender prior to providing a new direct loan. 
     (Section 6015)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 6019)
       The Managers note that there is over $3 billion in pending 
     applications for water and wastewater projects throughout 
     rural America. Reauthorization of water infrastructure 
     programs is a vital component to rural economic development. 
     Access to water systems promotes the health of rural 
     communities and attracts businesses to invest in communities 
     which are well supported by critical infrastructure. To 
     address the current backlog, the Conference substitute 
     directs USDA to maximize the use of guarantees through 
     private or cooperative lenders for projects for larger 
     communities. The Managers expect these provisions to leverage 
     available funds to serve more communities than might 
     otherwise be served solely through direct loans.
     (16) Simplified Applications
       The House bill requires the Secretary, to the maximum 
     extent practicable, to develop a simplified application 
     process for covered programs authorized by the Con Act. It 
     also requires a report to Congress on implementation of the 
     simplified applications. (Section 6016)
       The Senate amendment requires the Secretary to expedite the 
     process of creating user-friendly and accessible application 
     forms and procedures prioritizing programs and applications 
     at the individual level. It also requires the Secretary to 
     offer a simplified application form and process for project 
     proposals requesting less than $50,000 for VAPG. (Section 
     6001)
       The Conference substitute adopts the House provision. 
     (Section 6020)
     (17) Grants for NOAA Weather Radio Transmitters
       The House bill authorizes appropriations of $1,000,000 for 
     fiscal years 2014 through 2018. (Section 6017)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 6022)
     (18) Rural Microentrepreneur Assistance Program
       The House bill authorizes appropriations of $20,000,000 for 
     fiscal years 2014 through 2018. (Section 6018)
       The Senate amendment allots the CCC $3,000,000 funds for 
     each of fiscal years 2014 through 2018 to be available until 
     expended. Additionally, the amendment defines Microenterprise 
     Development Organization to include an organization that is a 
     collaboration of rural nonprofit entities serving a region or 
     State, if one lead nonprofit entity is the sole underwriter 
     of all loans and is responsible for associated risks. The 
     amendment defines the term ``training'' to mean teaching 
     broad business principles or general business skills in a 
     group or public setting and the term ``technical assistance'' 
     to mean working with a business client in a one-to-one 
     manner. The amendment requires 15 percent matching funds, the 
     form of which can be community development block grants. 
     (Section 6001)
       The Conference substitute adopts the House provision with 
     an amendment. The amendment authorizes of funds from the 
     Commodity Credit Corporation $3,000,000 for each fiscal year 
     2014 through 2018 and reauthorizes the authorization of 
     appropriations through 2018. (Section 6023)
     (19) Delta Regional Authority
       The House bill authorizes appropriations of $12,000,000 for 
     fiscal years 2014 through 2018. It also extends the 
     termination of authority until October 1, 2018. (Section 
     6019)
       The Senate amendment authorizes appropriations of 
     $30,000,000 for fiscal years 2014 through 2018. The 
     termination extension is the same as the House. (Section 
     6001)
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment reauthorizes the Authority 
     through 2018 and the authorization of appropriations for 
     fiscal years 2014 through 2018. (Section 6026)
     (20) Northern Great Plains Regional Authority
       The House bill authorizes appropriations of $2,000,000 for 
     fiscal years 2014 through 2018 and extends the termination of 
     authority. (Section 6020)
       The Senate amendment authorizes appropriations of 
     $30,000,000 for fiscal years 2014 through 2018, has a similar 
     termination of authority provision as the House, and amends 
     the annual audit requirement. (Section 6001)
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment reauthorizes the authority 
     through 2018 and the authorization of appropriations for 
     fiscal years 2014 through 2018, as well as requires an annual 
     audit only if funds are appropriated to the subtitle. 
     (Section 6027)
     (21) Rural Business Investment Program
       The House bill authorizes appropriations of $20,000,000 for 
     fiscal years 2014 through 2018. (Section 6021)
       The Senate amendment authorizes appropriations of 
     $25,000,000 through fiscal year 2018 and requires each rural 
     business investment company to meet capital requirements as 
     provided by the Secretary. (Section 6001)
       The Conference substitute adopts the House provision. 
     (Section 6028)
     (22) Definitions, ``Section 3002'''', apply to both Credit 
         and RD in rewrite
       The Senate amendment rewrote and reorganized portions of 
     the Consolidated Farm and Rural Development Act. (Section 
     6001)
       The House bill is the same as current law.
       The Conference substitute adopts the House provision.
     (23) Water and Waste Disposal Loans, Loan Guarantees, and 
         Grants
       The Senate amendment rewrote and reorganized portions of 
     the Consolidated Farm and Rural Development Act. (Section 
     6001)
       The House bill is the same as current law.
       The Conference substitute adopts the House provision.
     (24) Water and Waste Facility Loans and Grants to Alleviate 
         Health Risks and Alaska Water
       The Senate amendment authorizes water and waste facility 
     loans and grants to alleviate health risks and give the 
     Secretary the authority to give priority to applications from 
     eligible entities that provide services to colonias, the 
     residents of Indian reservations, rural or native villages in 
     Alaska and Native Hawaiian Home Lands. The amendment 
     authorizes appropriations for grants at $60,000,000 for each 
     fiscal year and for loans at $60,000,000 for each fiscal 
     year. In addition to the match requirement from the State of 
     Alaska for grants awarded to its rural or native villages, 
     grants to native tribal health consortiums and public 
     agencies shall require a match from the State in which the 
     project shall occur. (Section 6001)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment reauthorizes the authorization of 
     appropriations through 2018. (Section 6008)
     (25) Solid Waste Management Grants
       The Senate amendment authorizes solid waste management 
     grants and authorizes appropriations of $10,000,000 for each 
     fiscal year 2014 through 2018. (Section 6001)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment authorizes appropriations of 
     $10,000,000 for each fiscal year 2014 through 2018. (Section 
     6011)
     (26-31) Consolidated Farm and Rural Development Act
       The Senate amendments rewrote and reorganized portions of 
     the Consolidated Farm and Rural Development Act. (Section 
     6001)

[[Page 1986]]

       The House bill is the same as current law.
       The Conference substitute adopts the House provisions.
     (32) Delta Health
       The Senate amendment authorizes appropriations of 
     $3,000,000 for fiscal years 2014 through 2018. (Section 6001)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment reauthorizes the authorization of 
     appropriations for each fiscal year 2014 through 2018. 
     (Section 6024)
     (33) Value-Added Agricultural Product Market Development 
         Grants
       The Senate amendment allows the Secretary to award grants 
     and gives independent producers direction regarding grantee 
     strategies. The amendment states that priority is given to 
     projects that contribute to increasing opportunities for 
     operators of small and medium sized farms. Priority is given 
     to projects at least \1/4\ of the recipients of which are 
     beginning farmers or socially disadvantaged farmers. The 
     Secretary shall provide substantial weight to these 
     priorities. (Section 6001)
       The House bill contains no comparable provision.
       The Conference substitute adopts the House provision.
     (34) Appropriate Technology Transfer for Rural Areas Program
       The Senate amendment authorizes the Appropriate Technology 
     Transfer for Rural Areas program, and authorizes 
     appropriations of $5,000,000 for each fiscal year 2014 
     through 2018. (Section 6001)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment reauthorizes the authorization of 
     appropriations for each fiscal year 2014 through 2018. 
     (Section 6015)
     (35) B&I Loans
       The Senate amendment rewrote and reorganized portions of 
     the Consolidated Farm and Rural Development Act.
       The House bill is the same as current law.
       The Conference substitute adopts the House provision.
     (36) General Provisions for Loans and Grants
       The Senate amendment rewrote and reorganized portions of 
     the Consolidated Farm and Rural Development Act.
       The House bill is the same as current law.
       The Conference substitute adopts the House provision.
     (37) Regional Authority
       The Senate amendment authorizes a regional priority, 
     including a reservation of funds from funding available for 
     functional categories, for projects that are part of a 
     multijurisdictional development plan. (Section 6001)
       The House bill has no comparable provision.
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment authorizes a priority for 
     specific rural development programs only if an eligible 
     application is carried out solely in a rural area (as 
     described for its functional category) and also supports 
     development plans on a multijurisdictional basis. A higher 
     priority shall be awarded to applications that support 
     multijurisdictional development plans with particular 
     attributes. A ten percent reservation of funds is made 
     available from funding available for functional categories. 
     Any approved application may be amended to qualify for the 
     reservation of funds. All funding, including the reservation 
     of funds, is available to certain approved applications. 
     (Section 6025)
       The Managers expect rural entities to utilize Rural 
     Development programs in a manner that supports projects and 
     initiatives that develop long-term community and economic 
     growth strategies. Traditionally, rural development programs 
     have been used to meet an immediate need. The Managers 
     recognize that it is essential that versatile programs such 
     as the Community Facilities Loan and Grant Program are 
     available to rural residents to address pressing needs and 
     concerns, and the Managers want to ensure that the programs 
     authorized in this title continue to provide that type of 
     assistance. The Managers also understand that regional plans 
     cannot always address every need, and expect USDA will only 
     devote funds specifically to regional projects beyond the 
     funds set aside for this purpose if such can be done without 
     preventing the funding of otherwise eligible projects in 
     areas where regional plans have not been developed or the 
     applicant does not feel it is in their best interest to 
     pursue a regional approach.
       To the extent possible, the Managers encourage USDA to work 
     with rural communities to consider how they might use Rural 
     Development resources to address multi-jurisdictional needs, 
     by leveraging federal, state, local or private funding, or 
     otherwise capitalize upon the unique strengths of the rural 
     area to support successful community and economic 
     development. The Managers recognize the work conducted by the 
     national network of 540 multi-jurisdictional regional 
     planning and development organizations to develop such plans 
     and expect that, where possible, USDA will ensure any 
     priority given to applications under this section to rely on 
     these plans. Further, the Managers expect that priority will 
     be given only to proposals that are consistent with an 
     adopted regional economic or community development plan.
       The Managers believe that projects that reflect the 
     characteristics described above can help to maximize the 
     impact of resources available at all levels of government and 
     ultimately help rural communities reach their full potential. 
     For these reasons, the conference substitute has provided the 
     Secretary with the discretion to prioritize applications for 
     funding that reflect an applicant's efforts to maximize 
     resources and support strategic community and economic 
     development and reserved funding within select programs for 
     this purpose.
     (38) Rural Development Insurance Fund
       The Senate amendment rewrote and reorganized portions of 
     the Consolidated Farm and Rural Development Act.
       The House bill is the same as current law.
       The Conference substitute adopts the House provision.
     (39) Rural Economic Area Partnership Zones
       The Senate authorizes the Secretary to carry out rural 
     economic area partnership zones in effect on the date of 
     enactment of this Act. It also authorizes the Secretary to 
     designate additional rural economic area partnership zones. 
     (Section 6001)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment authorizes the Secretary to carry 
     out rural economic area partnership zones in effect on the 
     date of enactment of this Act. (Section 6016)
     (40) Rural Development Partnership
       The Senate amendment authorizes the State Rural Development 
     Partnership. It does not include the Coordinating Committee 
     in the Partnership. It outlines that the purposes of the 
     Partnership are to be accomplished in a manner that maximizes 
     collaborative public-and-private-sector cooperation and 
     minimizes regulatory redundancy. The Coordinating Panel 
     includes representatives from State rural development 
     councils and shall facilitate effective communication among 
     members of the Partnership. It also authorizes Federal 
     agencies to enter into cooperative agreements with and 
     provide grants and other assistance to State rural 
     development councils and authorizes State rural development 
     councils, but does not include a duty to work with the 
     Coordinating Committee on strategies. It authorizes an annual 
     plan and report to the Secretary and authorizes 
     appropriations of $5,000,000 for each fiscal year 2014 
     through 2018. Federal agencies are authorized to enter into 
     several types of agreements with State rural development 
     councils and terminates such authority on Sept. 30, 2018. 
     (Section 6001)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment reauthorizes the National Rural 
     Development Partnership through 2018. (Section 6021)
     (41-76) Consolidated Farm and Rural Development Act
       The Senate amendment rewrote and reorganized portions of 
     the Consolidated Farm and Rural Development Act. (Section 
     6001)
       The House bill is the same as current law.
       The Conference substitute adopts the House provisions.
     (77) Energy Efficiency
       The House bill authorizes the Secretary to make loans to 
     borrowers for the purpose of relending to ultimate consumers 
     for energy efficiency. It also authorizes the Secretary, 
     acting through the Rural Utilities Service, to make loans and 
     grants from the Cushion Credit subaccount. (Section 6101)
       The Senate amendment authorizes a Rural Energy Savings 
     Program to create jobs, promote rural development, and help 
     rural families and small businesses achieve cost savings by 
     providing loans to qualified consumers to implement durable 
     cost-effective energy efficiency measures. The program 
     provides 0% interest rate loans to eligible Rural Utilities 
     Service borrowers to fund loans to qualified consumers to 
     implement energy efficiency measures. (Section 6203)
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment authorizes a Rural Energy Savings 
     Program to create jobs, promote rural development, and help 
     rural families and small businesses achieve cost savings by 
     providing loans to qualified consumers to implement durable 
     cost-effective energy efficiency measures. The program 
     provides 0% interest rate loans to eligible Rural Utilities 
     Service borrowers to fund loans to qualified consumers. The 
     amendment strikes the authority for Fast Start Demonstration 
     projects and rulemaking requirements as well as authorizes 
     appropriations of $75,000,000 for each fiscal year 2014 
     through 2018. (Section 6205)
       The Managers have authorized this new authority as an 
     addition to any other authority the Secretary may have to 
     offer loans.

[[Page 1987]]


     (78) Fees for Certain Loan Guarantees
       The House bill authorizes the Secretary, at the request of 
     the borrower, to charge an upfront fee to cover the cost of 
     an electrification base load generation loan guarantee equal 
     to the cost of the loan guarantee. (Section 6102)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 6101)
     (79) Rural Utilities Service Contracting Authority
       The House bill amends current law to update its reference 
     to the ``Rural Utilities Service'', reflect the current 
     authorization of cooperative agreements and not allow a 
     contract funded by a borrower to be considered a public 
     contract within the meaning of title 41 of the U.S. Code. 
     (Section 6103)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
     (80) Access to Broadband Telecommunications Services in Rural 
         Areas
       The House bill amends paragraph (c)(2) of the Rural 
     Electrification Act of 1936 to provide the highest priority 
     to applicants that offer to provide broadband service to the 
     greatest proportion of households that would otherwise not 
     have a service provider. It authorizes a priority to 
     applicants where the application is not predominantly for 
     business service only, but offers to provide broadband 
     service to at least 25 percent of customers that are 
     commercial interests. Additionally, it amends paragraph 
     (d)(5) to require the Secretary to publish a notice for each 
     application describing the application including the amount 
     and type of support requested and a list of the census block 
     groups or tracts proposed to be so served. It amends 
     subsection (d) to require the Secretary to establish a 
     process where an incumbent service provider who provides 
     broadband service to a remote rural area may submit to the 
     Secretary information regarding the broadband services that a 
     provider offers in a proposed service territory so that the 
     Secretary may assess whether the application is an eligible 
     project. The bill also amends subsection (e) to require the 
     Secretary, when considering the technology needs of customers 
     in a proposed service territory, to take into consideration 
     the upgrade or replacement cost for the construction or 
     acquisition of facilities and equipment in the territory. 
     Lastly, the House bill reauthorizes the authorization of 
     appropriations and the termination of authority through 
     fiscal year 2018. (Section 6106)
       The Senate amendment amends paragraph (c)(2) to provide the 
     highest priority to applicants that offer to provide 
     broadband service to the greatest proportion of households 
     that would otherwise not have broadband service that meets a 
     minimum acceptable level. It authorizes a priority to 
     projects that serve rural communities with a population of 
     less than 20,000, experiencing outmigration, with a high 
     percentage of low-income residents and which are isolated. It 
     also authorizes evaluation periods each fiscal year to 
     compare applications and prioritize awards to rural 
     communities that do not have residential broadband service 
     that meets a minimum acceptable level. Paragraph (d)(8) 
     requires the Secretary to post on the RUS website information 
     that identifies an applicant, the amount and type of support 
     requested by each applicant and a list of the census block 
     groups or proposed service territory. It amends paragraph 
     (d)(5) to require the Secretary to publish a notice of each 
     application describing the estimated number and proportion 
     relative to the service territory of households without 
     terrestrial-based broadband service. Paragraph (d)(8) 
     requires the Secretary to allow broadband service providers 
     to submit information about the broadband services that the 
     providers offer in the groups or tracts in the list of the 
     census block groups or proposed service territory so that the 
     Secretary may assess whether the application is an eligible 
     project. It authorizes appropriations for $50,000,000 through 
     fiscal year 2018 and program authority through fiscal year 
     2018.
       Additionally, the amendment amends subsection (l) (as 
     redesignated) to authorize from amounts made available for 
     each fiscal year a set aside of at least 1 percent for 
     oversight and implementing accountability measures.
       It also amends Section 601 of the Rural Electrification Act 
     of 1936 by authorizing a grant program for facilities and 
     equipment for broadband service in rural areas, and amends 
     paragraph (b)(3) to define ``rural area'' as any area 
     described in section 3002 of the Consolidated Farm and Rural 
     Development Act. It amends subsection (b) to define the term 
     ``ultra-high speed service''.
       It also amends clause (d)(1)(A)(i) to require an eligible 
     entity to demonstrate the ability to furnish, improve in 
     order to meet a minimum acceptable level of broadband 
     service, or extend service to all or part of an unserved 
     rural area or an area below a minimum acceptable level of 
     broadband service or to demonstrate the ability to carry out 
     a project under a pilot program that provides a proposed 
     service territory with ultra-high speed service. Clause 
     (d)(2)(A)(i) is amended to authorize assistance only if not 
     less than 25 percent of the households in the proposed 
     service territory are unserved or have service levels below a 
     minimum acceptable level. Clause (d)(2)(A)(ii) is amended to 
     authorize assistance only if broadband service is not 
     provided in any part of the proposed service territory by 2 
     or more incumbent service providers. Subparagraph (d)(2)(B) 
     is amended to authorize an increase or decrease to the 25 
     percent requirement under certain circumstances. Clause 
     (d)(2)(C)(i) is amended to provide an exception to the 3 or 
     more incumbent service provider requirement if the incumbent 
     service provider is upgrading broadband service to a minimum 
     acceptable level of service. Clause (d)(2)(C)(ii) is amended 
     to not apply the exception to the 3 or more incumbent service 
     provider requirement if the project is being carried out 
     under a pilot program to provide a proposed service territory 
     with ultra-high speed service, unless an incumbent is 
     providing ultra-high speed service. Subparagraph (d)(2)(C) is 
     amended to require a market survey be certified by an 
     affected community and demonstrated on a broadband map. 
     Paragraph (d)(4) is amended to authorize pilot programs to 
     address areas that are unserved or have service levels below 
     a minimum acceptable level of service, or provide a proposed 
     service territory with ultra-high speed service.
       It amends subsection (d) to authorize certain reporting 
     requirements by the entity receiving assistance to the 
     Secretary including the use by the entity of the assistance 
     and the progress towards fulfilling the objective of the 
     assistance. The Secretary is required to maintain a fully 
     searchable database accessible on the Internet and at no cost 
     to the public that contains information regarding applicants 
     and data regarding entities receiving assistance. The 
     Secretary must also establish written procedures for all 
     broadband programs administered by the Secretary. The 
     Secretary may also establish additional report and 
     information requirements for recipients to ensure compliance. 
     The Secretary is also authorized, if no broadband service 
     provider submits information in regard to whether an 
     application submitted meets the eligibility requirements in 
     the program, to consider the number of providers in the group 
     or tract to be established.
       Subsection (e) is amended to define the minimum acceptable 
     level of broadband service as at least 4-Mbps downstream 
     transmission capacity and a 1-Mbps upstream transmission 
     capacity. The Senate amendment authorizes the Secretary to 
     adjust the minimum acceptable level of service and consider 
     whether the broadband service is fixed or mobile. Paragraph 
     (g)(2) is amended to authorize the Secretary to establish a 
     limited initial deferral period or comparable terms necessary 
     to achieve the financial feasibility and long-term 
     sustainability of the project. Subsection (j) is amended to 
     require the Administrator to report on the number of loans 
     applied for and provided, including any loan terms or 
     conditions for which the Secretary provided additional 
     assistance to unserved areas and the overall progress towards 
     fulfilling the goal of improving the quality of rural life by 
     expanding rural broadband access, as demonstrated by metrics. 
     It amends Section 601 by authorizing the Secretary to require 
     address-level broadband buildout data.
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment requires the Secretary to 
     establish at least 2 evaluation periods each year to compare 
     applications to the program and prioritize applications for 
     all or part of rural communities that do not have residential 
     service that meets the minimum acceptable level of broadband 
     service defined as at least 4-Mbps downstream and 1-Mbps 
     upstream transmission capacity, as reviewed and adjusted by 
     the Secretary. Priority is also authorized for applicants 
     that offer to provide service, not predominantly for 
     businesses, where at least 25 percent of the customers would 
     be commercial interests. The highest priority shall be given 
     to applicants that offer to provide broadband service to the 
     greatest proportion of unserved households or households that 
     do not have service that meets the minimum acceptable level 
     of service as defined. The Secretary is directed to give 
     equal consideration to all qualified applicants, whether or 
     not they are a previous USDA borrower in the program.
       The amendment requires eligible entities to demonstrate the 
     ability to furnish, improve in order to meet the minimum 
     acceptable level of broadband service as defined or extend 
     service to an unserved rural area or an area below the 
     minimum acceptable level of broadband service as defined. An 
     eligible project, in general, requires not less than 15 
     percent of the households in the proposed service territory 
     to be unserved or have service levels below the minimum 
     acceptable level of broadband service as defined. The 
     incumbent service provider requirement for project 
     eligibility will not apply if an incumbent service provider 
     is upgrading broadband service for an existing service 
     territory to meet the minimum acceptable level of broadband 
     service as defined. Information submitted for the market 
     survey requirement must be certified or demonstrated with 
     address-level data or the National Broadband Map.

[[Page 1988]]

       The amendment requires the Secretary to promptly provide a 
     fully searchable database on the RUS website that contains 
     certain information regarding applications received and 
     entities receiving assistance. The Secretary will require any 
     entity receiving assistance to submit a semiannual report for 
     3 years after completion of the project including certain 
     information. The Secretary is also directed, to the maximum 
     extent practicable, to establish written procedures for all 
     broadband programs administered by the RUS to recover funds 
     from loan defaults, deobligate any awards, re-award funds and 
     minimize overlap among programs. The Secretary is directed to 
     allow broadband service providers to submit information 
     concerning the service that they offer in relation to 
     applications received and information posted on the RUS 
     website in order to assess whether the application is 
     eligible and, if no information is received, to consider the 
     number of providers by using the most current National 
     Broadband Map or other data. The amendment authorizes the 
     Secretary to consider whether the recipient is or would be 
     serving an unserved area or one with service levels below the 
     minimum acceptable level of broadband service as defined when 
     determining the terms and conditions of a loan or loan 
     guarantee, and if such determination is made, the Secretary 
     may establish a limited initial deferral period. The 
     Secretary is also required to submit in his annual report 
     information that includes any loan terms or conditions for 
     which the Secretary provided additional assistance to 
     unserved areas, as well as overall progress towards expanding 
     rural broadband access as demonstrated by metrics. The 
     amendment authorizes a study of the ways that data collected 
     under USDA broadband programs could be shared with the FCC to 
     support the national Broadband Map. The amendment 
     reauthorizes the program and authorization of appropriations 
     through 2018.
       It also authorizes the Rural Gigabit Network Pilot Program 
     to provide grants, loans or loan guarantees to furnish or 
     extend ultra-high speed service to rural areas, with an 
     authorization of appropriations of $10,000,000 for each of 
     fiscal years 2014 through 2018. (Sections 6104 and 6105)
       Through the Broadband Program, USDA provides funds for the 
     construction, improvement, and acquisition of facilities and 
     equipment needed to provide broadband service in rural 
     communities. The conference substitute directs the program to 
     target funds to rural communities currently unserved or 
     without a minimum acceptable level of broadband service.
       The conference substitute provides that equal consideration 
     should be given to all qualified applicants, including those 
     that have not previously received loans or loan guarantees. 
     The Managers expect this provision not to be interpreted in a 
     manner that would compel the agency to make loans, regardless 
     of the technology utilized, to provide broadband service in 
     geographic areas in which it has an outstanding telecom or 
     broadband loan. Further, the Managers also expect the agency 
     to have in place processes that ensure that all incumbent 
     service providers, particularly those with existing agency 
     loans, are made aware of all applications in their service 
     areas along with a mechanism for these companies to provide 
     the agency with relevant information on the impact of the 
     proposal. Finally, the managers intend that the provision in 
     subsection (c)(2)(C) be interpreted by the Secretary as not 
     reducing the priority of applications for loans or loan 
     guarantees from applicants with an existing loan or loan 
     guarantee under this program to the extent that the 
     application for additional financing is designed to ensure 
     the financial viability of the project and reduce the risk of 
     loss for the Secretary and taxpayers with respect to the 
     existing loan or loan guarantee.
       The Managers expect the Secretary, when reviewing the 
     minimum broadband speed, to provide updates in the Federal 
     Register through a notice only, and not through a formal 
     rulemaking process.
       The Managers are aware of concerns about network security 
     and data surety, especially as broadband networks expand in 
     part due to efforts supported by this program to promote 
     wider broadband coverage throughout the country. The House 
     Permanent Select Committee on Intelligence has released an 
     investigative report on network security issues in recent 
     months, and the Managers encourage the Department to take 
     reports such as this one into consideration as it administers 
     this program.
       The Conference substitute adopts provisions which encourage 
     USDA to consider the number of business subscribers in a 
     potential project. With economic development at the core of 
     the broadband loan program, the Managers expect USDA to 
     consider the benefits to the community of projects which will 
     provide sufficient levels of service for business 
     connections, both in main-street establishments and those 
     businesses which are operated out of the owner's residence.
       The conference substitute also makes the application 
     process more transparent and strengthens the reporting 
     requirements for successful applicants to ensure the public 
     can access information as to how program funding is utilized.
     (81) Definition of Rural Area
       The Senate amendment amends current law to define the term 
     ``rural area'' as any area described in clause 3002(28)(A)(i) 
     of the Consolidated Farm and Rural Development Act, as 
     amended by Section 6001. That clause defines ``rural'' and 
     ``rural area'' to mean any area other than a city or town 
     that has a population of greater than 50,000 inhabitants. 
     (Section 6101)
       The House bill has no comparable provision.
       The Conference substitute adopts the House provision.
     (82) Distance Learning and Telemedicine
       The House bill authorizes appropriations of $65,000,000 for 
     fiscal years 2014 through 2018. (Section 6201)
       The Senate amendment authorizes appropriations of 
     $100,000,000 through fiscal year 2018. (Section 6201)
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment authorizes appropriations of 
     $75,000,000 for each fiscal year 2014 through 2018. (Section 
     6201)
     (83) Value-Added Agricultural Market Development Program 
         Grants
       The House bill authorizes $50,000,000 of the funds of the 
     Commodity Credit Corporation and reauthorizes appropriations 
     through fiscal year 2018. (Section 6202)
       The Senate amendment reauthorizes appropriations through 
     fiscal year 2017. It also amends section 231(b)(6) to 
     authorize priority for projects that contribute to increasing 
     opportunities for veteran farmers or ranchers. (Section 6207)
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment authorizes a priority to 
     operators of small and medium sized farms and ranches, 
     beginning farmers and ranchers, socially disadvantaged 
     farmers or ranchers and veteran farmers or ranchers when 
     awarding grants to eligible independent producers. The 
     amendment also authorizes a priority to projects that create 
     or increase marketing opportunities for those same groups 
     when awarding grants to eligible agricultural producer 
     groups, cooperatives and majority-controlled producer-based 
     ventures. The amendment also authorizes $63,000,000 in 
     mandatory funding on the date of enactment of this Act and 
     reauthorizes the authorization of appropriations through 
     2018. (Section 6203)
       The conference substitute includes $63 million in mandatory 
     funding for the Value-Added Agricultural Product Market 
     Development Grant Program. The Managers are aware of the 
     increasing interest of local and regional supply chains and 
     food hubs in securing assistance through the program. Mid-
     tier value chains that include independent producers or farm 
     cooperatives and businesses controlled by producers as full 
     partners in marketing and pricing strategy decisions already 
     have funds reserved for them under the program. The Managers 
     encourage the Department to define those eligible for the 
     mid-tier value chain reserved fund to include food 
     distribution networks and centers that coordinate 
     agricultural production and the aggregation, storage, 
     processing, distribution, or marketing of locally or 
     regionally produced agricultural products, provided that such 
     entities and networks are otherwise eligible.
       The Managers recognize the importance of ensuring a diverse 
     portfolio of projects which help to build markets for farmers 
     and farmer cooperatives. While the conference substitute 
     maintains set-asides established in the 2008 Farm Bill 
     designed to encourage the participation of selected groups, 
     the Managers are cognizant of concerns expressed by some 
     stakeholders that program funds have been too narrowly 
     targeted. The Managers urge USDA to ensure the program funds 
     a range of projects. In particular, the Managers recognize 
     that farmer cooperatives efficiently spread the benefits of 
     the VAPG among a large number of producers in the aggregate. 
     Cooperatives by their nature bring many producers together 
     who individually do not have the size, expertise and 
     resources to take advantage of the value chain beyond the 
     farm gate, and they give them the opportunity to profit from 
     those down-stream activities. Therefore, funds invested and 
     the benefits of projects generated by cooperatives through 
     the VAPG are distributed to a wide number of producers. 
     Likewise, by investing in initiatives of cooperatives, such 
     projects lower the overall costs to the government in program 
     administration per individual farmer that benefits. 
     Therefore, the Managers encourage USDA to view cooperatives 
     as a priority in administering the VAPG.
     (84) Agriculture Innovation Center Demonstration Program
       The House bill allots $1,000,000 authorization of 
     appropriations for fiscal years 2014 through 2018. (Section 
     6203)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 6204)
     (85) Program Metrics
       The House bill requires the Secretary to collect data 
     regarding economic activities created through grants and 
     loans, including any technical assistance provided as a 
     component of the grant or loan, and measure the

[[Page 1989]]

     short and long term viability of award recipients and any 
     entities to whom those recipients provide assistance using 
     award funds under certain covered programs. It also requires 
     the Secretary to submit a periodic report to Congress. 
     (Section 6204)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment requires the Secretary to collect 
     data regarding economic activities created through grants and 
     loans, including technical assistance, and measure the short 
     and long term viability of award recipients and any entities 
     to whom those recipients provide assistance using award funds 
     under certain covered programs. The amendment requires the 
     Secretary to submit a periodic report to Congress with 
     information including the percentage increase of employees 
     and the number of business starts and clients served. 
     (Section 6209)
       In recognition of GAO recommendations to measure the 
     effectiveness of rural development programs, the Managers 
     expect the Secretary to collect data regarding economic 
     activity created through the loans and grants provided to 
     rural communities. The Managers expect these efforts will 
     create a harmonized baseline of information for effective use 
     by USDA and Congress. It is the intent of the Managers that 
     this collected information be integrated with program changes 
     and rulemaking. Through implementation of this section, the 
     Managers expect USDA to create a universal form or 
     appropriate type of notice to ensure applicants are aware of 
     the reporting requirements and will be prepared to provide 
     the information in a timely manner.
     (86) Study of Rural Transportation Issues
       The House bill authorizes an updated version of the study 
     described in Section 6206 to be reported to Congress. It also 
     amends the study to include the sufficiency of infrastructure 
     along waterways of the U.S. and the impact on the movement of 
     agricultural goods, as well as the benefits derived through 
     upgrades and repairs to locks and dams. (Section 6205)
       The Senate amendment reauthorizes the study in Section 6206 
     to be reported to Congress. It also requires a triennial 
     update of the study. (Section 6205)
       The Conference substitute adopts the House provision. 
     (Section 6206)
       The Managers agree that collecting information to determine 
     the status of critical river infrastructure is an important 
     component of updating the study, but expect USDA to seek 
     available information from the Army Corps of Engineers, or 
     any other appropriate Federal entity, to the greatest extent 
     practicable in order to expedite the collection of data and 
     to minimize the time and cost of implementing this section.
     (87) Certain Federal Actions not to be Considered Major
       The House bill states that an action by the Secretary that 
     does not involve the provision of Federal dollars or a 
     Federal loan guarantee shall not be considered a major 
     Federal action in the case of a loan, loan guarantee, or 
     grant program in the rural development mission area of USDA. 
     (Section 6206)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
       The Managers intend for the Secretary, acting through the 
     Rural Utilities Service, to act in accordance with 7 C.F.R. 
     1794.3 as finalized in 1998, consistent with applicable law.
     (88) Telemedicine and Distance Learning Services in Rural 
         Areas
       The House bill amends subsection 2333 (d) to authorize a 
     priority based on whether the applicant is located in a 
     designated health professional shortage area. (Section 6207)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
     (89) Definition of Rural Area for Purposes of the Housing Act 
         of 1949
       The Senate amendment amends section 520 of the Housing Act 
     of 1949 so that any area with a population of less than 
     35,000 that has been deemed to be a ``rural area'' for 
     purposes of this title any time prior to or after October 1, 
     1990, and any time during the period between January 1, 2000, 
     and ending on December 31, 2010, shall continue to be so 
     deemed until the 2020 Census data is received by USDA. 
     (Section 6202)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision. 
     (Section 6208)
     (90) Funding of Pending Rural Development Loan and Grant 
         Applications
       The Senate amendment funds pending rural development loan 
     and grant applications according to the terms and conditions 
     in Section 6029 from Commodity Credit Corporation funds in 
     the amount of $150,000,000, to remain available until 
     expended. (Section 6204)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision. 
     (Section 6210)
     (91) Agriculture Transportation Policy
       The Senate amendment amends Section 203 of the Agricultural 
     Marketing Act of 1946 to direct the Secretary to participate 
     in all proceedings of the Surface Transportation Board that 
     may establish freight rail transportation policy affecting 
     agriculture and rural America. (Section 6206)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment authorizes the Secretary to make 
     complaint to or petition the Surface Transportation Board. 
     (Section 6202)

                          Title VII--Research

  Subtitle A--National Agricultural Research, Extension, and Teaching 
                           Policy Act of 1977

     (1) Option to be included as Non-Land-Grant College of 
         Agriculture
       The House bill authorizes a Hispanic-serving Agricultural 
     College and University and any institution eligible to 
     receive funds under the McIntire-Stennis Cooperative Forestry 
     Act of 1962 to opt out of their respective designation in 
     order to qualify as a Non-Land-Grant College of Agriculture. 
     (Section 7101)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment allows a Hispanic-serving 
     agricultural college and university and any institution 
     eligible to receive funds under the McIntire-Stennis 
     Cooperative Forestry Act to opt out of their respective 
     designation in order to qualify as a Non-Land-Grant College 
     of Agriculture. The amendment also requires a NLGCA 
     institution to offer a baccalaureate or higher degrees in the 
     study of food and agricultural sciences and the Secretary to 
     establish a process for NLGCA designation. (Section 7101)
       The Managers do not take a position on how an institution 
     should be designated, but have provided the Hispanic Serving 
     Agricultural Colleges and Universities, as well as 
     institutions eligible to receive funding under the McIntire-
     Stennis Cooperative Forestry Research Program, with the 
     option to choose whether to be designated as such or to opt 
     out of their designation for purposes of access to program 
     funding eligibility. The Managers believe institutions with 
     degree programs in the agricultural sciences that may 
     automatically qualify as a Hispanic Serving Institution or as 
     a McIntire-Stennis Cooperative Forestry Research institution 
     should not be precluded from being able to opt out of those 
     programs in favor of qualifying as a Non-Land-Grant College 
     of Agriculture.
     (2) Specialty Crop Committee
       The House bill authorizes the current annual report to 
     include recommendations regarding the improvement of quality 
     and taste of processed specialty crops and programs that 
     would improve remote sensing. (Section 7103)
       The Senate amendment authorizes the current annual report 
     to include an analysis of alignment of Specialty Crop 
     Committee recommendations with specialty crop research 
     initiative grants, requires membership on the Specialty Crop 
     Committee to reflect diversity in the specialty crops 
     represented and that the Specialty Crop Committee to consult 
     on an ongoing basis with diverse sectors of the specialty 
     crop industry. (Section 7102)
       The Conference substitute adopts the Senate provision, 
     including Section 12212, with an amendment. The amendment 
     requires that the Specialty Crop Committee membership reflect 
     diversity in the specialty crops represented, that the annual 
     report include recommendations regarding the improvement of 
     quality and taste of processed specialty crops, programs that 
     would improve remote sensing, and an analysis of alignment of 
     committee recommendations with specialty crop research grants 
     and that the specialty crops committee to consult with 
     diverse sectors of the specialty crop industry. The amendment 
     also establishes a Citrus Disease Subcommittee and its 
     duties. (Section 7103)
       The Managers intend the NAREEEAB and Specialty Crop 
     Committee to consult with industry groups on agricultural 
     research, extension, education, and economics, and to make 
     recommendations to the Secretary and Congress based on that 
     consultation.
       In creating the NAREEEAB and Specialty Crop Committee, 
     Congress intended for these entities to recommend policies, 
     to identify short and long-term national priorities for REE 
     programs, and to evaluate program results and effectiveness 
     among other assigned duties. Congress has since added 
     multiple duties and consultative functions to the Board's 
     mandate. In doing so, the Managers are aware that the work 
     load and learning curve of the volunteer members is high. It 
     has become apparent to the Managers that it can take several 
     years for new board members to become comfortable not only 
     with the diverse subject matter under review, but likewise 
     the law and administrative functions they are required to 
     evaluate. While the statute defines the length of a board

[[Page 1990]]

     member's individual term, Congress has never intended for 
     board members to be subject to a limit on the number of terms 
     they can serve. Unfortunately, the Managers have become aware 
     that USDA has instituted an arbitrary term limit policy on 
     advisory board members that inhibits the individual members 
     and the advisory board's effectiveness. The Managers strongly 
     encourage the Secretary to reverse this policy.
       The Managers recognize the interest in growing agricultural 
     commodities in less traditional production areas. As such, 
     the Managers encourage the Secretary in consultation with the 
     NAREEEAB, in both the intramural research carried out by the 
     Agricultural Research Service and in the competitive grants 
     programs carried out through AFRI and other authorities, to 
     carry out and fund research into the unique situations facing 
     producers in urban areas. These unique situations may include 
     reclaiming land previously used for industrial purposes or 
     neglected residential areas, and addressing needs such as the 
     remediation of soils to make them capable of producing 
     agricultural commodities for human consumption.
     (3) Veterinary Services Grant program
       The House authorizes a Veterinary Services Grant program to 
     award competitive grants to develop, implement and sustain 
     veterinary services. (Section 7104)
       The Senate amendment authorizes a Veterinary Service Grant 
     program to award competitive grants to develop, implement and 
     sustain veterinary services. The amendment authorizes the 
     Secretary to develop additional grant preferences and 
     requires a 25 percent match requirement unless waived by the 
     Secretary. (Section 7103)
       The Conference substitute adopts the House provision. 
     (Section 7104)
       Our veterinary workforce is responsible for ensuring that 
     the food we eat is safe, but the nation faces a critical 
     shortage in the public, private, industrial and academic 
     sectors. Our nation's large-animal veterinarians are truly on 
     the front lines of food safety, public health, animal health 
     and national security. The demand for large-animal 
     veterinarians is increasing, and the lack of these 
     specialists in many areas of the country will continue to put 
     our agricultural economy and the safety of our food supply at 
     risk.
       Since the fall of 2000, the House and Senate Agriculture 
     Committees have worked on ways of resolving the serious 
     veterinary shortage problem confronting many rural 
     communities. With the passage of the National Veterinary 
     Medical Service Act in December of 2003, a program was 
     authorized to incentivize large animal veterinarians to 
     practice in communities that USDA designated as veterinarian 
     shortage areas. With this program in place, large animal 
     veterinarians are able to apply on a competitive basis for 
     educational loan repayment assistance in exchange for their 
     commitment to practice in shortage areas.
       To the extent that the loan program is successful, it is 
     important to consider that this was just the first step. 
     While this assistance will be very helpful in attracting 
     veterinarians to these communities, gaps remain in 
     veterinarian recruitment, attracting and training technical 
     support staff, and simply meeting the long-term costs of 
     operating veterinarian practices in these communities.
       The Veterinarian Services Investment Act is meant to 
     address these secondary needs and is designed to complement 
     the loan repayment program to help large animal veterinarians 
     become established in these rural communities.
       The Conference substitute recognizes and addresses a real 
     problem in rural America by authorizing grants to address 
     workforce shortages based on the needs of underserved areas. 
     For example, grants could be used to recruit veterinarians 
     and veterinary technicians in shortage areas and communities, 
     expanding and establishing practices in high-need areas. The 
     program could also establish mobile portable clinics and 
     televet services and establish education programs, including 
     continuing education, distance education, and increase 
     recruitment in veterinary science.
     (4) Policy Research Centers
       The House bill requires the Secretary, acting through the 
     Office of the Chief Economist, to make competitive grants to 
     or enter into cooperative agreements with eligible recipients 
     that possess a history of providing unbiased, nonpartisan 
     economic analysis to Congress. The provision authorizes other 
     public research institutions and organizations as eligible 
     recipients. The Secretary is directed to give a preference to 
     policy research centers that have extensive databases, models 
     and demonstrated experience in providing Congress with 
     agricultural market projections, rural development and 
     agricultural policy analysis and baseline projections at the 
     farm, multiregional, national, and international levels. The 
     bill also authorizes appropriations of $5,000,000 for each 
     fiscal years 2014 through 2018. (Section 7106)
       The Senate amendment requires the Secretary, acting through 
     the Office of the Chief Economist, to enter into agreements 
     with eligible recipients that possess a history of providing 
     unbiased, nonpartisan economic analysis to Congress. The 
     amendment authorizes other public research institutions and 
     organizations as eligible recipients. The Secretary is 
     directed to give a preference to policy research centers that 
     have extensive databases, models and demonstrated experience 
     in providing Congress with agricultural market projections, 
     rural development and agricultural policy analysis and 
     baseline projections at the farm, multiregional, national, 
     and international levels, including information, analysis and 
     research relating to drought mitigation. The amendment also 
     authorizes appropriations of $10,000,000 for fiscal year 2013 
     and each fiscal year thereafter and authorizes funding for 
     activities including developing theoretical applied and 
     research methods. (Section 7015)
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment requires the Secretary, acting 
     through the Office of the Chief Economist, to make 
     competitive grants or cooperative agreements with eligible 
     recipients and to award a preference to policy research 
     centers with extensive databases, models and demonstrated 
     experience in providing Congress with various types of 
     information or drought mitigation information, analysis and 
     research. The amendment also authorizes funding for applied 
     research methods and authorizes appropriations of $10,000,000 
     for each of fiscal years 2014 through 2018. (Section 7106)
       The Managers recognize the invaluable role that the Drought 
     Monitor, produced at the National Drought Mitigation Center, 
     in coordination with USDA and the National Oceanic and 
     Atmospheric Administration, plays on several fronts. The 
     conference substitute includes the provision of information, 
     analysis and research relating to drought mitigation as one 
     of the preferences for funding under this section. The 
     Managers expect that the Drought Monitor will continue to be 
     available for use in determining eligibility for Federal 
     disaster response programs, as well as providing invaluable 
     information for other segments of government, agricultural 
     producers and the sectors that support agricultural 
     production.
     (5) Human Nutrition Intervention and Health Promotion 
         Research program
       The House bill repeals section 1424. (Section 7107)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 7108)
       The Conference substitute builds upon the efforts from 
     2008, either repealing or allowing unfunded and unused 
     program authorities to expire with fiscal year 2013, and 
     combining, consolidating and streamlining authorities to make 
     a more concentrated and effective use of limited funding. The 
     remaining authorities are extended through fiscal year 2018 
     with few changes.
     (6) Pilot research program to combine medical and 
         agricultural research
       The House bill repeals section 1424A. (Section 7108)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 7109)
     (7) Continuing animal health and disease research programs
       The House bill authorizes appropriations of $15,000,000 for 
     each fiscal year 2014 through 2018. (Section 7110)
       The Senate amendment reauthorizes appropriations through 
     fiscal year 2018. (Section 7108)
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment reauthorizes and allocates the 
     authorization of appropriations through 2018 between the 
     capacity program in current law and the newly authorized 
     competitive grant program. (Section 7111)
       The Managers have heard concerns from stakeholders that 
     there has been a lack of emphasis on animal science by USDA. 
     Additional focus needs to be placed on critical issues facing 
     animal agriculture. Advancements in animal science will play 
     an important role in meeting a growing global demand for food 
     while making efficient use of natural resources, 
     strengthening the competitiveness of American agriculture and 
     addressing critical animal health issues. The expansion of 
     Section 1433 includes a competitive mechanism that will 
     enable the Department to better focus resources on key animal 
     science priorities.
       The Managers appreciate the efforts brought forward by the 
     Farm Animal Integrated Research 2012 (FAIR 2012) priority 
     setting process which identified food security, one health 
     and stewardship as key focal areas for future investments in 
     animal science. The Managers encourage the Department to use 
     these focal areas and the underlying priorities identified in 
     FAIR 2012 as a starting point and to regularly consult with 
     industry when developing requests for proposal under the new 
     competitive component of Section 1433.
     (8) Research on national or regional programs
       The House bill repeals section 1434. (Section 7111)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
       The Conference substitute reauthorizes many critical 
     agricultural research programs. In so doing, the Managers 
     recognize

[[Page 1991]]

     the need to streamline the authorities in this title and 
     permitted some authorities that had not received funding in 
     recent years to expire.
     (9) Grants to upgrade agriculture and food science facilities 
         and equipment at insular area land-grant institutions
       The House bill authorizes grants to support tropical and 
     subtropical agricultural research, including pest and disease 
     research and reauthorizes appropriations through fiscal year 
     2018. (Section 7113)
       The Senate amendment reauthorizes appropriations through 
     fiscal year 2018. (Section 7110)
       The Conference substitute adopts the House provision. 
     (Section 7113)
     (10) National research and training virtual centers
       The House bill repeals section 1448. (Section 7114)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 7114)
     (11) Competitive grants program for Hispanic agricultural 
         workers and youth
       The House bill authorizes the award of competitive grants 
     to provide for training in the food and agricultural sciences 
     of Hispanic agricultural workers and Hispanic youth working 
     in the food and agricultural sciences. (Section 7116)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 7116)
     (12) Research equipment grants
       The House bill declares repeals section 1462A. (Section 
     7118)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 7118)
     (13) Auditing, reporting, bookkeeping, and administrative 
         requirements
       The House bill states that notwithstanding any other 
     provision of law, the Secretary may retain not more than 4 
     percent of amounts made available for agricultural research, 
     extension, and teaching assistance programs for the 
     administration of those programs authorized under this Act or 
     any other Act, except for peer panel expenses or any other 
     provision that contains a limitation of less than 4 percent. 
     The Secretary is authorized, to the maximum extent 
     practicable and for the purposes of supporting ongoing 
     research and information dissemination activities, to enter 
     into grants, contracts, cooperative agreements, or other 
     legal instruments with former Department of Agriculture 
     agricultural research facilities. The Secretary is also 
     authorized, for the purposes of receiving support for 
     agricultural research, to enter into grants, contracts, 
     cooperative agreements or other legal instruments with 
     agricultural research organizations. (Section 7121)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment authorizes the Secretary to enter 
     into agreements with former USDA agricultural research 
     facilities. (Section 7121)
       Agricultural research, extension, and education programs 
     serve the food and agriculture sector, consumers of American 
     agricultural products, and rural communities throughout the 
     United States. Research programs and funding are primarily 
     delivered by two agencies at USDA: the Agriculture Research 
     Service (ARS), which focuses on `intramural' research and 
     basic research; and the National Institute of Food and 
     Agriculture (NIFA) which was created by the 2008 Farm Bill to 
     restructure, combine and improve `extramural' research 
     functions at USDA to make better use of limited funds.
       The Managers are concerned about the increasing use of 
     assessments, fees, and higher indirect costs rates imposed on 
     its university partners by ARS. These university partners 
     play a major role in achieving ARS research priorities and 
     objectives. In a time of scarce budgetary resources, ARS must 
     ensure limited research dollars are maximized and 
     administrative costs are reduced to the fullest extent 
     possible. In recent years, ARS has imposed a variety of 
     administrative assessments on its university partners, 
     effectively reducing funds intended for important research 
     projects. The Managers expect ARS to operate within 
     historical administrative cost parameters, namely by imposing 
     a total indirect cost rate not exceeding four percent. All 
     administrative assessments, fees, dues, or charges, of any 
     type, must be included within this overall administrative 
     cost cap. ARS must administer its programs more efficiently 
     to ensure valuable research funds are maximized so it may 
     continue to maintain a robust agricultural research 
     enterprise. The Managers encourage ARS to continue university 
     research partnerships to ensure our nation's premier 
     educational and clinical institutions play a major role in 
     achieving ARS and congressional research objectives.
       The Managers encourage the Secretary, acting through ARS, 
     to continue and expand the Agricultural Technology Innovation 
     Partnership (ATIP). The Managers recognize the success of the 
     ATIP initiative in facilitating technology transfer from USDA 
     to the private sector, and particularly encourage the 
     Secretary to support the further development of public-
     private partnerships to provide venture development training, 
     promote the sustainability of soil health for multiple 
     agricultural uses, and expand the National Nutrient Database 
     to facilitate a healthier food supply.
       The Managers encourage the Secretary to review and assess 
     technological solutions for the disposal of acid whey 
     associated with the production of certain dairy products. The 
     Managers recognize that USDA and the ARS can maximize 
     resources through public-private partnerships to develop 
     technologies to effectively process acid whey in an effort to 
     address concerns of the dairy and food industries.
     (14) Special authorization for biosecurity planning and 
         response
       The House bill authorizes authorization of appropriations 
     of such sums as necessary through fiscal year 2013 and 
     $10,000,000 for fiscal years 2014 through 2018. (Section 
     7126)
       The Senate amendment amends the authorization of 
     appropriations of such sums as necessary through fiscal year 
     2013 and $20,000,000 for each fiscal year 2014 through 2018. 
     (Section 7119)
       The Conference substitute adopts the Senate provision. 
     (Section 7126)
     (15) Matching funds requirement
       The House bill authorizes the requirement of matching funds 
     from the recipient of competitive grants under certain 
     covered laws. The recipient shall provide, from sources other 
     than funds provided through the grant, funds or in-kind 
     contributions or a combination of both to match at least 100 
     percent of the amount of the grant. The match requirement 
     shall not apply to grants awarded to a research agency of the 
     USDA, an entity eligible to receive funds under a capacity 
     and infrastructure program as defined in the Department of 
     Agriculture Reorganization Act of 1994 or to the partner of 
     such eligible entity. (Section 7128)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment requires at least a 100 percent 
     match from the recipient of competitive grants under certain 
     covered laws but exempts grants awarded to a research agency 
     of the USDA and entities, including their partners, that are 
     eligible to receive capacity funds. The amendment authorizes 
     the Secretary to waive the match requirement if the grant 
     involves research or extension activities that the NAREEE 
     Advisory Board has determined is a national priority specific 
     to a statutory purpose of the program under which the grant 
     is awarded. The match policy will apply to new grants awarded 
     after October 1, 2014. (Section 7128)
       The use of matching funds has proven to be an effective 
     tool in leveraging limited Federal resources with commitments 
     from those benefitting from agricultural research and 
     extension. Unfortunately, concerns about the consistency of 
     USDA's application of these policies have been brought to the 
     attention of the Managers.
       Efforts by the Congress to develop a comprehensive policy 
     on research and extension matching funds originated during 
     the development of the 2008 farm bill. At the time, it was 
     noted that as research programs have been authorized or 
     modified, the incorporation of matching requirements was done 
     in a subjective manner. An effort was initiated during the 
     2008 farm bill conference to harmonize the matching 
     requirements, but due to the complexity of the task and time 
     constraints, the effort was dropped with the understanding 
     that the Congress and USDA would undertake a stakeholder 
     process designed to provide recommendations in advance of the 
     2012 farm bill. Unfortunately that process never materialized 
     after passage of the 2008 bill.
       The House Agriculture Committee maintained an interest in 
     engaging stakeholders in a discussion about how to harmonize 
     these policies to improve consistency and transparency in 
     their application. Several requests were made for suggestions 
     on how best to approach this issue and the consensus seemed 
     to be that the Committee should propose a discussion draft. 
     The language included in the 2012 House Committee legislation 
     was the result of technical assistance received by the USDA 
     and was meant to begin this discussion.
       As part of the discussion that commenced following release 
     of the 2012 House Agriculture Committee farm bill draft, 
     several comments were received and a consensus was formed 
     regarding an effort to utilize matching fund policies to 
     leverage Federal investment, while at the same time reducing 
     the administrative and accounting burden on USDA and grant 
     recipients.
       The Conference substitute recognizes the value of matching 
     funds, but likewise takes into account the long-standing 
     Federal investment in research, extension and teaching 
     capacity and infrastructure programs (as defined in Sec. 
     251(f)(1)(C) of the Department of Agriculture Reorganization 
     Act of 1994). Whereas the 2012 House draft bill allowed for 
     capacity and infrastructure program funds

[[Page 1992]]

     to be utilized in meeting the matching requirement for 
     competitive research and extension grants, the resulting 
     accounting burden was deemed to be counterproductive. In the 
     conference substitute, eligibility to receive capacity and 
     infrastructure program funds is deemed to be sufficient to 
     authorize a blanket exemption from competitive grant matching 
     requirements. Likewise, any individual grant awarded to 
     multiple recipients would be exempt from matching 
     requirements if at least one of the recipients is eligible to 
     receive capacity and infrastructure program funds from USDA.
       The Conference substitute includes a provision requiring 
     the Secretary to establish an ongoing process through which 
     institutions may apply for designation as a Non-Land Grant 
     College of Agriculture. The Managers expect the Secretary to 
     take all reasonable steps for the purposes of ensuring 
     additional institutions that meet the criteria can be 
     designated as a Non-Land Grant College of Agriculture.
       Additionally, the conference substitute provides the 
     Secretary the authority to issue a waiver of the matching 
     funds requirement for competitively awarded grants that 
     support research or extension activities that the National 
     Agricultural Research, Extension, Education, and Economics 
     Advisory Board has deemed to be a national priority. The 
     Managers expect the national priorities identified by the 
     Board to be consistent with the priorities established in the 
     authorizing statute for the various agricultural research, 
     education and extension programs.
     (16) Sense of Congress regarding expansion of the Land Grant 
         program
       The House bill provides a Sense of Congress that land-grant 
     programs should be expanded to include enhanced funding and 
     additional institutions should be considered. (Section 7129)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment designates Central State 
     University as a land grant institution, but prohibits the 
     University from receiving formula funds for two years. 
     (Section 7129)
     (17) Education grants program for Alaska and Hawaiian Native 
         serving institutions
       The Senate amendment eliminates grants without regard to 
     any requirement for competition and reauthorizes 
     appropriations through 2018. (Section 7106)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision. 
     (Section 7107)

    Subtitle--Food, Agriculture, Conservation, and Trade Act of 1990

     (18) Sustainable agriculture technology development and 
         transfer
       The House bill authorizes authorization of appropriations 
     of $5,000,000 for fiscal years 2014 through 2018. (Section 
     7203)
       The Senate amendment amends authorization of appropriations 
     of such sums as necessary for fiscal years 2014 through 2018. 
     (Section 7203)
       The Conference substitute adopts the House provision. 
     (Section 7203)
     (19) National Agricultural Weather Information System
       The House bill repeals Title XVI. (Section 7206)
       The Senate amendment authorizes appropriations of 
     $1,000,000 for fiscal years 2014 through 2018. (Section 7206)
       The Conference substitute adopts the Senate provision. 
     (Section 7206)
       The Managers are aware that advanced weather forecasts, 
     using systems such as Tropospheric Airborne Meteorological 
     Data Reporting, have been utilized by various Federal 
     agencies for nearly a decade. The Managers support advanced 
     forecasting in that it enhances U.S. meteorological 
     forecasting systems, which are particularly useful in 
     agricultural weather forecasts. The Managers therefore 
     encourage continued use of these systems.
     (20) Rural Electronic Commerce Extension Program
       The House bill repeals section 1670. (Section 7207)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 7207)
     (21) Agricultural Genome Initiative
       The House bill repeals Section 1671. (Section 7208)
       The Senate amendment authorizes the Secretary to encourage 
     awards to consortia of eligible entities. (Section 7207)
       The Conference substitute adopts the Senate provision. 
     (Section 7208)
     (22) High-priority research and extension initiatives
       The House bill repeals high-priority research and extension 
     areas in subsections (e), (f) and (i). Pollinator protection 
     is reauthorized through fiscal year 2018 and an annual report 
     is amended to address honey bee health disorders and best 
     management practices. A coffee plant health initiative is 
     authorized as well as the authorization of appropriations 
     through 2018. Section 7405(b)(2)(C) addresses research needs 
     regarding cervidae and Section 6405 authorizes a Pulse Health 
     Initiative. (Section 7209)
       The Senate amendment repeals certain high-priority research 
     and extension areas. Pollinator protection is reauthorized 
     through fiscal year 2018. A cervidae initiative, a Corn, 
     Soybean Meal, Cereal Grains, and Grain Byproducts Research 
     and Extension priority, Forestry Products Advanced 
     Utilization Research, Training Coordination for Food and 
     Agriculture Protection, and Farm Animal Agriculture 
     Integrated Research are authorized as well as the 
     authorization of appropriations through 2018. (Section 7208)
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment reauthorizes the authorization of 
     appropriations through 2018, strikes certain high-priority 
     research and extension areas, authorizes a coffee plant 
     health initiative, a corn and soy meal high-priority research 
     and extension area, a pulse crop health initiative, and 
     training coordination for food and agriculture protection. 
     Pollinator protection is reauthorized and amended to include 
     health and population status surveillance. The amendment also 
     authorizes Forestry products advanced utilization research in 
     Section 7310. (Section 7209 and 7310)
       The Managers recognize that it is in the economic interest 
     of agricultural producers and American consumers to ensure a 
     healthy, sustainable population of native and managed 
     pollinators, including managed honey bees. Pollinators are 
     essential to the production of an estimated one-third of the 
     human diet and to the reproduction of at least 80 percent of 
     flowering plants. Insect-pollinated agricultural commodities 
     result in significant income for agricultural producers and 
     account for about $20 billion in U.S. agricultural output 
     yearly.
       The Managers remain concerned about the decline in the 
     health and viability of managed honey bees due in part to a 
     loss of appropriate habitat. As a result, the conference 
     substitute continues to include a priority for creating 
     pollinator habitat utilizing the Title II conservation 
     programs. The Managers remain committed to pollinator 
     protection activities, including the granting of priority 
     treatment to conservation program applicants who commit to 
     providing pollinator habitat. The Managers expect the 
     Secretary to continue to utilize conservation programs to 
     create, restore and enhance native and managed pollinator 
     habitat quantity and quality, and specifically encourage the 
     Secretary to ensure that conservation programs are resulting 
     in sufficient high-quality pollinator habitat for managed 
     honey bees--habitat that includes common alfalfa and sweet 
     clover varieties utilized effectively in farm bill 
     conservation programs.
       The Conference substitute also continues the authorization 
     for research on pollinator protection, and adds a 
     consideration for honey bee health disorders and best 
     management practices related to colony collapse disorder to 
     the annual report that the Secretary is required to submit to 
     Congress. The Managers also recognize the need to assist 
     honey bee producers who suffer from disasters in the 
     commodity title with the funding provided for the emergency 
     assistance program that includes honey bees. Additionally, 
     the Managers are aware that specialty crop producers groups 
     are working collaboratively with institutions of higher 
     learning on research and education activities. The Managers 
     applaud these actions and encourage the Secretary to support 
     their efforts.
       The Cooperative Extension system is a nationwide, non-
     formal educational network. Each state, territory, and the 
     District of Columbia has an office at its land-grant 
     universities and a network of local or regional offices which 
     are staffed by experts who provide practical, research-based 
     education to agricultural producers, small business owners, 
     youth, consumers, and others in rural and urban communities. 
     The Managers encourage the Secretary to ensure that 
     Cooperative Extension is effectively utilized to deliver the 
     educational component of USDA programs. The Secretary is also 
     encouraged to engage in discussions with other federal 
     departments and agencies to consider ways to use the 
     Cooperative Extension to deliver education for other federal 
     programs as practicable.
       In addition, the Managers recognize the unique knowledge 
     and information that the Cooperative Extension system experts 
     provide to various groups regarding farm and food systems. As 
     mentioned, this education and information is disseminated 
     through a network of local or regional offices, and when the 
     Secretary utilizes the Cooperative Extension to deliver the 
     educational component of the various programs at the 
     Department, to the extent practicable, the Rural Development 
     mission area programs should be included.
       During the creation of the Reservation Extension Agent 
     Program, the Congress required the Secretary to consult with 
     Native American farmers and ranchers in establishing 
     Extension programs on Indian reservations and tribal 
     jurisdictions. The Managers understand that changes in the 
     operation of grant programs have impacted this consultation, 
     and expect that the Secretary would find ways to continue the 
     dialogue on the operation of these Extension programs with 
     the populations that they are serving.

[[Page 1993]]

       The Conference substitute moves the Forestry Products 
     Advanced Utilization Research Initiative provision from High 
     Priority Research and includes it as a separate provision in 
     the Agricultural Research, Extension, and Education Reform 
     Act of 1998. The Managers intend for this provision to 
     address research needs of the forestry sector and their 
     respective regions. The Conference substitute directs the 
     Secretary to ensure that this program is administered in 
     coordination with the U.S. Forest Service Research and 
     Development Program and the Forest Products Laboratory. The 
     Managers encourage the U.S. Forest Service Research and 
     Development Program to contribute funding to carry out this 
     initiative. The Managers also recognize the benefits the Land 
     Grant System can offer this initiative in terms of developing 
     and disseminating science-based tools through research and 
     extension activities.
     (23) Nutrient management research and extension initiative
       The House bill repeals section 1672A. (Section 7210)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 7210)
     (24) Organic agriculture research and extension initiative
       The House bill eliminates the funds transfer, encourages 
     farm business management, authorizes $20,000,000 in mandatory 
     funding for each fiscal year 2014 through 2018 and 
     reauthorizes appropriations for 2014 through 2018. (Section 
     7211)
       The Senate amendment eliminates the funds transfer and 
     authorizes $16,000,000 in mandatory funding for each fiscal 
     year 2014 through 2018. (Section 7209)
       The Conference substitute adopts the House provision with 
     an amendment. The amendment authorizes competitive grant 
     purposes, including farm business management, reauthorizes 
     the authorization of appropriations and authorizes 
     $20,000,000 of Commodity Credit Corporation funds for each 
     fiscal year 2014 through 2018. (Section 7211)
       The Conference substitute provides additional funding for 
     the Organic Research and Education Initiative. One of the 
     primary activities necessary to encourage continued market 
     growth, improved food safety and risk management for both of 
     these industries is adequate dedicated research support. The 
     Managers recognize that research is one of the primary means 
     by which the Farm Bill provides assistance to organic 
     farmers, so conference substitute increases funding beyond 
     the levels in the 2008 Farm Bill, consistent with increased 
     market needs.
       The Managers encourage the USDA to explore technology that 
     meets the requirements of the National Organic Program and 
     that can control weeds and pests while maintaining healthy 
     water resources.
     (25) Agricultural bioenergy feedstock and energy efficiency 
         research and extension initiative
       The House bill repeals section 1672C. (Section 7212)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 7212)
     (26) Centers of excellence
       The House bill moves the authority in subsection 1672(i) 
     requiring the Secretary to prioritize any center of 
     excellence established for specific agricultural commodities 
     for the receipt of funding for any competitive research or 
     extension program administered by the Secretary. A center of 
     excellence is composed of 1 or more eligible entities 
     specified in subsection (b)(7) of the Competitive, Special, 
     and Facilities Research Grant Act that provide financial or 
     in-kind support to the center. Certain criteria will be 
     considered for recognition as a center of excellence and 
     where practicable, the criteria for consideration shall 
     include efforts to improve teaching capacity and 
     infrastructure at colleges and universities. (Section 7214)
       The Senate amendment moves the authority in subsection 
     1672(i) providing that the Secretary may prioritize regional 
     centers of excellence established for specific agricultural 
     commodities for the receipt of funding and authorizes 
     appropriations of $10,000,000 for fiscal years 2014 through 
     2018. (Section 7211)
       The Conference substitute adopts the House provision with 
     an amendment. The amendment authorizes the Secretary to 
     prioritize centers of excellence established for the purposes 
     of carrying out research, extension, and education activities 
     relating to the food and agricultural sciences for the 
     receipt of funding for any competitive research or extension 
     program. (Section 7214)
       With limited resources to invest in critical programs, the 
     Managers considered multiple options by which Federal funds 
     can be leveraged to improve overall program effectiveness. 
     With the recognition that multiple institutions and 
     organizations participate in projects of similar interest, 
     the Managers have sought to incentivize the formation of 
     formal partnerships and other organizational structures as 
     Centers of Excellence. The conference substitute directs that 
     such centers that meet established criteria be granted 
     priority in receipt of competitive research and extension 
     grants.
       The Managers would recommend that USDA establish procedures 
     to implement this provision in accordance with appropriate 
     regulatory procedures in order to allow interested 
     stakeholders to gain a firm understanding of USDA's 
     implementation of the provision.
     (27) Red Meat Safety Research Center
       The House bill repeals section 1676. (Section 7215)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 7215)
     (28) Assistive Technology Program for Farmers with 
         Disabilities
       The House bill authorizes appropriations of $6,000,000 for 
     fiscal year 2013 and $3,000,000 for each fiscal year 2014 
     through 2018. (Section 7216)
       The Senate amendment authorizes appropriations of 
     $6,000,000 for fiscal year 2013 and $5,000,000 for each 
     fiscal year 2014 through 2018. (Section 7212)
       The Conference substitute adopts the Senate provision. 
     (Section 7216)

Subtitle C--Agricultural Research, Extension, and Education Reform Act 
                                of 1998

     (29) Coordinated program to improve visibility of small and 
         medium size dairy, livestock and poultry operations
       The House bill repeals section 407. (Section 7303)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
     (30) Fusarium Graminearum
       The House bill authorizes appropriations of such sums as 
     necessary through fiscal year 2013 and $7,500,000 for each 
     fiscal year 2014 through 2018. (Section 7304)
       The Senate amendment authorizes appropriations of 
     $10,000,000 for each fiscal year 2014 through 2018. (Section 
     7303)
       The Conference substitute adopts the Senate provision. 
     (Section 7303)
     (31) Bovine Johne's Disease Control Program
       The House bill repeals section 409. (Section 7305)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 7304)
     (32) Specialty Crop Research Initiative
       The House bill authorizes research in plant breeding, 
     genetics and genomics to include other methods and also 
     authorizes handling and processing. It authorizes the 
     Secretary to award competitive grants on the basis of an 
     initial scientific peer review and a final funding 
     determination made by the Secretary based on a review and 
     ranking for merit, relevance and impact conducted by a panel 
     of specialty crop industry representatives for the specific 
     crop. $50,000,000 of mandatory monies is authorized for 
     fiscal years 2014 and 2015, $55,000,000 for fiscal years 2016 
     and 2017, and $65,000,000 for fiscal year 2018 and each 
     fiscal year thereafter and the authorization of 
     appropriations is reauthorized for 2014 through 2018. Section 
     6128 provides a universal match policy that applies to this 
     provision. (Section 7307)
       The Senate amendment authorizes the Secretary to consult 
     with the Specialty Crops Committee during the peer and merit 
     review process. $25,000,000 of mandatory monies is authorized 
     for fiscal year 2014, $30,000,000 for fiscal years 2015 and 
     2016, $65,000,000 for fiscal year 2017 and $50,000,000 fiscal 
     year 2018 and each fiscal year thereafter. The amendment also 
     eliminates the non-federal funds limitation on the match 
     requirement. (Section 7305)
       The Conference substitute adopts the House provision with 
     an amendment. The amendment authorizes the initiative to 
     address research in genomics and other methods as well as 
     efforts to improve handling and processing. The Secretary is 
     directed to award competitive grants on the basis of a 
     scientific peer review and a review and ranking for merit, 
     relevance and impact and to consult each fiscal year with the 
     Specialty Crops Committee and report to Congress the results 
     of the consultation and the committee's review of the grants 
     awarded in the previous year, including the Citrus Disease 
     subcommittee's consultation and grant review in Section 
     1408(g) of the National Agricultural Research, Extension, and 
     Teaching Policy Act of 1977. The amendment also authorizes 
     $80,000,000 of Commodity Credit Corporation funds for discal 
     year 2014 and each fiscal year thereafter and reauthorizes 
     the authorization of appropriations for each year 2014 
     through 2018.
       The amendment also adopts the Senate amendment, Section 
     12212, with an amendment, authorizing an Emergency Citrus 
     Disease Research and Extension Program with a reservation of 
     Commodity Credit Corporation funds authorized for SCRI of 
     $25,000,000 for fiscal year 2014 through 2018, available and 
     reserved until expended, and an authorization of 
     appropriations of $25,000,000 for each fiscal year 2014 
     through 2018. (Section 7306)
       The Managers are aware of concerns that the current merit 
     review process for competitive research grants generally and 
     the

[[Page 1994]]

     Specialty Crops Research Initiative can provide a 
     significantly better approach to evaluating the relevancy of 
     the proposed research projects through industry 
     participation. The conference substitute incorporates 
     amendments to strengthen the merit review process to address 
     these shortcomings.
       As the Secretary implements the amendments to sections 103 
     and 412 of the Agricultural Research, Extension, and 
     Education Reform Act of 1998; and section 1408A of the 
     National Agricultural Research, Extension, and Teaching 
     Policy Act of 1977, the Managers intend the Secretary to 
     institute a grant review process that will consist of a 
     scientific peer review and a merit/relevance review of 
     proposals to be conducted by panels of industry 
     representatives for the specific crop or livestock species 
     being evaluated to assess industry relevance.
       While the Managers do not specify the order of review 
     between scientific peer review and merit/relevance review, it 
     is understood that there exists an initial preference among 
     industry, academia and the Department that merit/relevance 
     review should be sequenced first. If the Secretary chooses to 
     sequence merit/relevance review prior to scientific peer 
     review, the Managers expect future modifications to the 
     overall process to be guided by an ongoing evaluation to be 
     conducted by the National Agricultural Research, Extension, 
     Education, and Economics Advisory Board, and the Specialty 
     Crop Committee (for merit/relevance review related to the 
     Specialty Crop Research Initiative). The advisory committee 
     review of this process should occur before and after each 
     annual funding cycle. The results of these reviews should be 
     made publicly available and forwarded to the House Committee 
     on Agriculture, the Senate Committee on Agriculture, 
     Nutrition and Forestry, and the Appropriations Subcommittees 
     on Agriculture, Rural Development, Food and Drug 
     Administration, and Related Agencies in the House and Senate.
       The Managers further understand that the Department is 
     considering a pre-proposal process to conduct an enhanced 
     merit/relevance review. While a pre-proposal process is 
     neither authorized nor prohibited, the Managers expect that 
     if the Secretary uses his discretion to pursue this process, 
     this too would be evaluated as part of the ongoing review of 
     program effectiveness.
       In order to sufficiently evaluate the pre-proposals for 
     merit/relevance, the Managers expect the submission must 
     include: the process used to obtain stakeholder input to 
     identify the industry need and proposed project objectives; 
     the problem, rationale, significance, and hypotheses; how the 
     proposed research approach will address each objective; the 
     process to be used for continued stakeholder engagement to 
     achieve project objectives; how the project will translate 
     results into delivery of usable information to the entire 
     stakeholder community in a timely fashion; and documentation 
     of the relevance of the Principal Investigator(s) scientific 
     background to project objectives.
       Applicants submitting project pre-proposals that are found 
     to rank high on merit/relevance review would then be invited 
     to submit full proposals for scientific peer review conducted 
     by a panel of subject matter experts from Federal agencies, 
     non-Federal entities, and the industry. Among those project 
     proposals that pass scientific peer review, final awards 
     determinations should, to the maximum extent practicable, 
     emphasize the results of the merit/relevance review process.
       The Managers encourage the Secretary to prioritize 
     competitive grants to address imminent threats which may 
     impact the future of specialty crop production in this 
     country.
       The Conference substitute provides additional funding for 
     the Initiative. One of the primary activities necessary to 
     encourage continued market growth, improved food safety, and 
     risk management is adequate dedicated research support. The 
     Managers recognize that research is one of the primary means 
     by which the Farm Bill provides assistance to specialty crop 
     producers, so the reported bill significantly increases 
     funding beyond the levels in the 2008 Farm Bill, consistent 
     with increased market needs.
       The U.S. citrus industry has been devastated by 
     huanglongbing, an invasive disease also known as citrus 
     greening disease, which has been spread by a foreign pest 
     known as the Asian Citrus Psyllid. Citrus greening poses an 
     imminent threat to the viability of this multibillion dollar 
     industry in several states and promises to ravage the rest of 
     the U.S. citrus producing sector if a cure or effective 
     treatment is not found expeditiously. USDA has already 
     affirmed this emergency with the citrus quarantine for 
     Florida, Alabama, Georgia, Hawaii, Louisiana, and Mississippi 
     as well as parts of California, South Carolina, and Arizona 
     in October 2012. Citrus greening spreads quickly, and because 
     of its dormancy period, surrounding groves are often already 
     destroyed by the time the disease has been discovered.
       The conference substitute establishes a research program 
     dedicated to discovering or developing a cure or effective 
     treatment for citrus greening and any other diseases and 
     pests, domestic or invasive, that emerge to threaten the U.S. 
     citrus producing and processing industry. The Managers 
     recognize the need to target research toward citrus greening 
     in a sustained and adequately funded manner. The urgent need 
     to find a cure or effective treatments for citrus greening 
     that will be useful in all of the major citrus-producing 
     states of Arizona, California, Florida, and Texas is 
     paramount. This urgency should guide the Department's 
     operation of this program.
       The Managers also recognize the importance of ensuring 
     close collaboration between the Department, the industry 
     stakeholders described in this section, and the relevant 
     entities engaged in scientific research under this program. 
     The Managers intend that the Department will consult closely 
     and regularly with the industry stakeholders in the 
     formulation, consideration, and approval of research projects 
     performed under this program and will give great weight to 
     input from these stakeholders. Those persons selected to 
     serve as industry stakeholders should be chosen in a manner 
     that reflects the views and interests of the commercial 
     citrus-producing sectors in the major citrus-producing 
     states.
     (33) National Swine Research Center
       The House bill repeals section 612. (Section 7309)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 7308)
     (34) Studies of agricultural research, extension and 
         education
       The House bill repeals Subtitle C of title VI. (Section 
     7311)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 7311)

                         Subtitle D--Other Laws

     (35) Equity in Educational Land-Grant Status Act of 1994
       The House bill adds Aaniih Nakota College, College of the 
     Muscogee Nation, Keweenaw Bay Ojibwa Community College, and 
     Navajo Technical College and removes Crownpoint Institute of 
     Technology, Fort Belknap College, and Si Tanka/Huron 
     University to the authority and updates the names of Chief 
     Dull Knife College and Sisseton Wahpeton College. The bill 
     reauthorizes appropriations through fiscal year 2018 and 
     requires certification that research will be performed under 
     a cooperative agreement with ARS or at least one other land 
     grant college or university (exclusive of another 1994 
     Institution), at least one non-land grant college of 
     agriculture or at least one cooperating forestry school. 
     (Section 7402)
       The Senate amendment adds the same institutions as the 
     House bill and updates the name of the Sisseton Wahpeton 
     College, reauthorizes appropriations through fiscal year 2018 
     and requires the same certification as the House provision.
       Amends subsection (a)(2)(A)(ii) to except 1994 Institutions 
     as provided under section 3(b)(3) of Smith-Lever, and for 
     programs for children, youth and families at risk and for 
     Federally recognized tribes implemented under section 3(d) of 
     that Act (subsection (b)). (Section 7402)
       The Conference substitute adopts the House provision. 
     (Section 7402)
       The Managers remain concerned about the agency's operation 
     of FRTEP as if it were a 3(d) program. The Reservation 
     Extension Agent Program was not authorized under Section 3(d) 
     of the Smith-Lever Act. While this may have made 
     administration of grants easier for the agency, it has led to 
     confusion and unintended consequences. The Managers encourage 
     the agency to follow congressional intent when implementing 
     programs, old and new.
     (36) Carbon cycle research
       The House bill repeals section 221. (Section 7404)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
       The Managers encourage the Agricultural Research Service to 
     continue their field studies around the country to assess how 
     biochar affects crop productivity and soil quality. 
     Preliminary studies show promising results of how hardwood 
     biochar can improve soil structure and the ability of sandy 
     soils to retain water.
     (37) Competitive, Special, and Facilities Research Grant Act
       The House bill reauthorizes appropriations through fiscal 
     year 2018. The provision authorizes priority areas on plant-
     based foods that are major sources of nutrients of concern, 
     the research and development of surveillance methods, 
     vaccines, vaccination delivery systems or diagnostic test for 
     pests and diseases in wildlife reservoirs, the identification 
     of animal drug needs, conservation practices and technologies 
     addressing nutrient loss and improving water quality, and the 
     economic costs of adopting conservation practices and 
     technologies to improve water quality. The bill requires the 
     Secretary to establish procedures under which State or 
     Federal commodity promotion entities may directly submit 
     proposals for requests for applications to address issues 
     related to established priorities and award grants to 
     eligible entities that submit proposals. Eligible entities 
     are amended to include foundations. The

[[Page 1995]]

     Inter-regional research project number 4 is amended to 
     include pesticides for use on specialty crops. Subsection (k) 
     is repealed. (Section 7405)
       The Senate amendment reauthorizes appropriations through 
     fiscal year 2018. Section 7208(6) authorizes the Pulse Health 
     Initiative, including an authorization of appropriations of 
     $25,000,000 for fiscal years 2014 through 2018. Sec. 12101 
     amends Title IV of the Agricultural Research, Extension, and 
     Education Reform Act of 1998 to establish a wildlife 
     reservoir zoonotic disease initiative to provide grants for 
     research and development of surveillance methods, vaccines, 
     vaccination delivery systems, or diagnostic tests for covered 
     diseases. Sec. 7308 authorizes four regional integrated pest 
     management centers to provide research and extension 
     programs, outreach, and response to information needs, among 
     other purposes. The amendment also requires that not less 
     than 30 percent of funding be made available for integrated 
     research, extension and education activities and requires the 
     Secretary to submit a report to Congress regarding 
     streamlining the AFRI grant application process. (Section 
     7404)
       The Conference substitute adopts the House provision with 
     an amendment. The amendment authorizes appropriations through 
     2018, and adds priority areas to the competitive grant 
     program and foundations to the list of eligible entities. The 
     amendment also directs the Secretary to establish procedures 
     under which a commodity promotion board or a State commodity 
     board (or its equivalent) may submit to the Secretary for 
     consideration proposals for requests for applications that 
     address issues related to the priority areas of this grant 
     program. Grants will not be funded under this authority 
     unless the grant is matched with an equal contribution of 
     funds from the entities submitting proposals for requests for 
     applications. The Inter-regional research project number 4 is 
     amended to include specialty crops. (Section 7404)
       The Agriculture and Food Research Initiative (AFRI) is the 
     premier competitive research and extension grants program 
     within the USDA. The AFRI program was established in 2008 as 
     a successor program to the National Research Initiative 
     Competitive Grants Program and the Initiative for Future 
     Agriculture and Food Systems. The statutory priorities for 
     the AFRI program are purposefully broad. In developing these 
     priorities, the Congress was aware that as science evolves, a 
     balance needed to be achieved between the need for 
     flexibility to respond to new and emerging threats and 
     opportunities, and the need for transparency and 
     accountability in the expenditure of taxpayer funds.
       Concerns are periodically raised regarding the annual 
     allocations among the various statutory programmatic 
     priorities and sub priorities. The Managers were aware of 
     these qualitative concerns but lacked quantitative 
     information on which to base any policy modifications. As a 
     continuation of the programmatic audit carried out by the 
     House Committee on Agriculture in preparation for developing 
     the FARRM Act, USDA was requested to provide a listing of 
     recent awards under the AFRI program sorted according to the 
     corresponding statutory priorities and sub priorities. That 
     data revealed a dramatic shift in awards funding away from 
     traditional areas of production agriculture. For instance, 
     awards for research in plant systems dropped from 38.7 
     percent of available funds in fiscal year 2007, the final 
     full year under the predecessor programs, to 18.4 percent in 
     2011. Awards for research in animal systems fell from 22.4 
     percent to 9.4 percent over the same time period.
       Following receipt of a final report in February 2013, there 
     remained concern that the allocation of research and 
     extension awards under the AFRI program was inconsistent with 
     national priorities. As a result of the analysis, commitments 
     were made by senior leadership of the National Institutes of 
     Food and Agriculture (NIFA) to address these concerns. 
     Efforts undertaken by the Director of NIFA to incorporate 
     enhancements in the fiscal year 2014 budget submission, while 
     still lacking in certain respects, demonstrate the 
     seriousness to which these commitments are being upheld.
       While the Managers are encouraged by the progress being 
     made, there remains a desire to codify the transparency and 
     accountability measures contained within this budget 
     submission language. (section 7513)
       The Managers recognize the importance of basic animal 
     health research. The Conference substitute includes a 
     priority for the research and development of surveillance 
     methods, vaccines, vaccination delivery systems and 
     diagnostic tests for pests and diseases that cause epizootic 
     diseases in domestic livestock (including deer, elk, bison, 
     and other cervidae) and zoonotic diseases (including bovine 
     brucellosis and bovine tuberculosis) in domestic livestock or 
     wildlife reservoirs that present a potential concern to 
     public health.
       The Managers recognize the growing importance of and need 
     for comprehensive and practical scientific and economic 
     assessments of agricultural practices and technologies 
     intended to improve agriculture's water quality and quantity 
     performance. This is particularly the case as states work 
     with producers on high priority or high profile water quality 
     challenges. Such scientific and economic assessments are 
     needed for the major crop producing regions of the country, 
     taking into account soils, climate, crops grown, and the 
     technologies and agricultural practices in use. The goal of 
     such assessments should be to develop information and 
     continue to build on the tools already in place. The 
     assessments should continue to develop new and innovative 
     approaches to help producers and policy makers in states 
     understand what is affordable, achievable and sustainable for 
     producers. The assessment can then be used to consider how 
     different water quality policy choices relate to other 
     important societal objectives involving agriculture. The 
     Managers encourage the Secretary to initiate a multi-year 
     effort to help the states and USDA continue to develop this 
     base of science and knowledge through the funding of 
     proposals from qualified institutions capable of supporting 
     interdisciplinary teams of researchers and experts to carry 
     out such efforts.
       The Managers recognize the success of the Conservation 
     Effects Assessment Project (CEAP) and the cross collaborative 
     approach between multiple agencies at USDA, and strongly 
     encourages USDA to continue and expand on those efforts. The 
     Managers do not intend for this provision to be a replacement 
     for or duplication of CEAP, but rather as a source of sound, 
     complementary economic and technical information that could 
     be used in conjunction with CEAP to create more accurate 
     assessments of the effects of prospective conservation 
     measures on agricultural land.
       The Managers recognize that maintaining and enhancing wild 
     rice, a uniquely American specialty crop, depends on 
     continued use of traditional breeding methods, along with the 
     application of new genetic tools to make conventional 
     breeding more efficient. Genetic analysis of shattering, 
     disease resistance, reduced plant height, and other traits 
     require not only development of new genetic markers for wild 
     rice, but also new methods for gathering accurate phenotypic 
     information on the plants. The use of these improved genetic 
     resources in the future depends on their continued 
     availability through reliable seed storage methods. Some 
     research has been done on maintaining viability of stored 
     seeds, but these need to be translated into reliable and 
     useful methods at the local level to ensure breeding 
     progress.
       The Managers would hope that the Secretary would consider 
     the following research objectives regarding wild rice genetic 
     resources: preserving and enhancing wild rice breeding lines 
     for testing and release as future varieties; developing 
     phenotyping methods and genotypic markers for various traits; 
     using genotypic and phenotypic information to identify 
     superior genetic resources for breeding and to develop more 
     efficient breeding methods; evaluating and maintaining the 
     genetic distinctiveness of wild rice breeding lines and 
     populations; and developing improved methods for short- and 
     medium-term storage of wild rice breeding lines and 
     populations.
       The Managers are concerned about the spread of tick-borne 
     illnesses, particularly Lyme Disease in humans. The disease 
     is heavily concentrated in the Northeast and upper Midwest. 
     Lyme Disease, along with other tick-borne illnesses which 
     affect livestock, presents a public health concern, 
     particularly in the Agriculture community. Recognizing the 
     impact of pests such as ticks, the Managers have reauthorized 
     important research and development priorities and urge NIFA, 
     in conjunction with other agencies, to build upon its 
     existing efforts and pest management resources to protect 
     humans and livestock from tick-borne illnesses.
       The Managers recognize that eligible applicants with 
     limited institutional capacity may face unique challenges in 
     successfully competing for funding administered by NIFA. The 
     Managers encourage the Secretary to assess these challenges 
     and to consider appropriate methods of streamlining the 
     competitive grants application process.
     (38) Remote sensing data
       The House bill repeals section 892. (Section 7408)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 7407)
     (39) Reports under Farm Security and Rural Investment Act of 
         2002
       The House bill repeals Sections 7409, 7410 and 7411. 
     (Section 7409)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 7408)
     (40) Beginning Farmer and Rancher Development Program
       The House bill amends the authorized areas for programs and 
     services and includes school-based agricultural educational 
     organizations as a priority recipient. The bill requires that 
     not less than 5 percent of the funds in a fiscal year used to 
     make grants be used to support programs and services that 
     address the needs of military veteran beginning farmers and 
     ranchers and authorizes

[[Page 1996]]

     the Secretary to coordinate between a recipient of a grant 
     used for this purpose and a recipient of a grant under 
     section 1680 of the Food, Agriculture, Conservation and Trade 
     Act of 1990 in addressing the needs of military veteran 
     beginning farmers and ranchers with disabilities. The 
     provision prohibits a recipient of a grant from using more 
     than 10 percent of grant funds for the indirect costs of 
     carrying out an authorized grant initiatives. Of the funds of 
     the Commodity Credit Corporation, $20,000,000 for each fiscal 
     year 2014 through 2018 is authorized and the authorization of 
     appropriations is extended for fiscal years 2014 through 
     2018. (Section 7410)
       The Senate amendment includes beginning farmers and 
     ranchers who are veterans in the current set-aside of funding 
     and authorizes competitive grants to States to establish and 
     improve farm safety program at the local level. Of the funds 
     of the Commodity Credit Corporation, $17,000,000 for each 
     fiscal year 2014 through 2018 is authorized and the 
     authorization of appropriations is extended for fiscal years 
     2014 through 2018. (Section 7408)
       The Conference substitute adopts the House provision with 
     an amendment. The amendment authorizes grant purposes 
     including farm safety and awareness and a priority for 
     school-based agricultural educational organizations. It also 
     specifies that an eligible entity may be a community-based or 
     nongovernmental organization and provides at least a 5 
     percent set-aside for those programs and services already 
     qualified for the set-aside in current law as well as another 
     5 percent set-aside for veteran farmers and ranchers. The 
     amendment limits indirect costs and permits coordination with 
     recipients of an assistive technology program for farmers 
     with disabilities grant. $20,000,000 of Commodity Credit 
     Corporation funds for each fiscal year 2014 through 2018, to 
     remain available until expended, is authorized and the 
     authorization of appropriations is extended through 2018. 
     (Section 7409)
       The Conference substitute reauthorizes and provides 
     mandatory funding to the Beginning Farmer and Rancher 
     Development Program, which develops and offers education, 
     training, outreach and mentoring programs to ensure the 
     success of the next generation of farmers. The conference 
     substitute expands eligibility to include military veterans 
     who wish to begin a career in agriculture.
     (41) McIntire-Stennis Cooperative Forestry Act
       The House bill amends the definition of state to include 
     American Samoa, the Federated States of Micronesia and the 
     Commonwealth of the Northern Mariana Islands. (Section 7411)
       The Senate amendment amends the definition of state to 
     include the Federated States of Micronesia, American Samoa, 
     the Northern Mariana Islands and the District of Columbia and 
     exempts eligible 1890 Institutions from the matching funds 
     requirement if the allocation is below $200,000. (Section 
     8301)
       The Conference substitute adopts neither the House nor the 
     Senate provision. Both the House bill and Senate amendment 
     included amendments to the McIntire-Stennis cooperative 
     forestry program to extend eligibility to the 1862 land grant 
     colleges in insular areas not currently specified in the Act. 
     USDA has since provided the Managers with technical 
     assistance clarifying that those institutions were already 
     eligible to participate by virtue of other law, specifically 
     section 1361(a) of P.L. 96-374, thus negating the need for 
     this provision.
       The National Association of University Forest Resources 
     Programs (NAUFRP), (formerly the National Association of 
     Professional Forestry Schools and Colleges) represents 69 of 
     our nation's universities and their respective scientists, 
     educators and extension specialists. NAUFRP's purpose is to 
     advance the health, productivity, and sustainability of 
     America's forests by providing university-based natural 
     resource education, research, science, extension and 
     international programs. The Managers would encourage USDA to 
     engage in discussions with NAUFRP to ensure that their 
     proposals for resource management are appropriately 
     addressed.

         Subtitle E--Food, Conservation, and Energy Act of 2008

     (42) Enhanced Use Lease Authority Pilot Program
       The House bill states that section 308 is amended to 
     terminate 10 years after the date of enactment of section 308 
     and reports are required not later than 6, 8, and 10 years 
     after enactment. (Section 7511)
       The Senate amendment states that subparagraph (b)(6)(A) is 
     amended to extend the authority of this section on September 
     30, 2018. (Section 7405)
       The Conference substitute adopts the House provision. 
     (Section 7511)
     (43) Grazinglands Research Laboratory
       The House bill amends section 7502 to extend the authority 
     for 10 years beginning on the date of enactment of the Act. 
     (Section 7512)
       The Senate amendment amends section 7502 to extend the 
     authority until September 30, 2018. (Section 7511)
       The Conference substitute adopts the House provision. 
     (Section 7512)
     (44) Budget submission and funding
       The House bill requires information regarding each research 
     program carried out by the ARS or ERS for which annual 
     appropriations are requested in the annual budget submission 
     of the President and each competitive program carried out by 
     the NIFA for which annual appropriations are requested in the 
     annual budget submission of the President, requires 
     additional information for each funding request for a covered 
     program to be submitted to Congress each year together with 
     the annual budget submission of the President, prohibits the 
     President from carrying out any program under certain 
     authorities during the fiscal year unless the President 
     submits the information required and described for a fiscal 
     year and requires an annual report to Congress. (Section 
     7512)
       The Senate amendment requires information regarding each 
     research program carried out by the ARS or ERS for which 
     annual appropriations are requested in the annual budget 
     submission of the President and each competitive program 
     carried out by the NIFA for which annual appropriations are 
     requested in the annual budget submission of the President, 
     requires additional information for each funding request for 
     a covered program to be submitted to Congress each year 
     together with the annual budget submission of the President, 
     and requires an annual report to Congress. (Section 7512)
       The Conference substitute adopts the House provision. 
     (Section 7513)
       The Managers are aware of the need for the statutory 
     priorities for the various agricultural research, education 
     and extension programs to be written with sufficient 
     flexibility so that the Administrators of the USDA research 
     agencies can respond quickly and efficiently to emerging 
     problems and opportunities. Further, recent changes in 
     Congressional appropriations procedures have only enhanced 
     USDA's flexibility in administering these programs. The 
     Managers are nevertheless cognizant of the need for taxpayer 
     funds to be used in a transparent and accountable manner.
       Given the spending discretion that USDA has gained in 
     recent years, it is incumbent upon the Department to manage 
     the research, education and extension programs in a most 
     transparent manner. This transparency assures Congress and 
     stakeholders of the integrity of these programs.
       In the past year, the Managers have expressed concerns 
     about funding allocations under various research, education, 
     and extension programs to the senior leadership of the 
     National Institute of Food and Agriculture (NIFA). These 
     fruitful discussions with NIFA leadership resulted in several 
     commitments to address the underlying concerns of the 
     Managers as well as to enhance the information available in 
     future budget submissions.
       In order to increase the ability of Congress to 
     appropriately oversee funding allocations, the conference 
     substitute seeks to codify the commitments that have been 
     made by NIFA leadership in order to provide transparency and 
     accountability with regard to the research, extension and 
     education budget. It is the intent of the Managers that USDA 
     provide increasingly detailed spending plans to Congress in 
     advance of the development of annual appropriations measures 
     so that Congress and interested constituencies can weigh the 
     merits of these allocations against evolving priorities, and 
     as a representative body, Congress can approve or disapprove 
     of the proposed allocations.
       The Managers believe that receipt of the information 
     requested in this section will be beneficial to the long-term 
     goal of expanding resources available for agricultural 
     research, extension and education. The Managers believe that 
     enhanced transparency in the budgeting process can only 
     increase awareness and broad-based support for these critical 
     programs.
       It is likewise the intent of the Managers that the process 
     of submitting information concerning the budget outline would 
     be an iterative process and that the research agencies would 
     consult with the Congressional authorizing committees and 
     appropriating subcommittees to ensure clarity of the budget 
     request. To this end, the conference substitute specifically 
     authorizes the research agencies to submit corrections and 
     clarifications in a reasonable period of time to fulfill the 
     requirements of this section.
       The Managers are aware that the ARS is shifting its funding 
     priorities from core work in areas impacting crop protection 
     and livestock production to environmental stewardship. The 
     Managers are concerned that this action is short-sighted, 
     especially in light of the fact that many plant disease 
     issues may be magnified under varying weather conditions, and 
     this is especially the case in the work on fusarium head 
     blight in wheat and barley.
       The Managers are aware of budgetary constraints throughout 
     the Department; nevertheless, the Managers question the 
     priority setting process on how funds are allocated with 
     regard to aquaculture. In particular, the Managers are aware 
     of the continuing threat of predators to aquaculture 
     operations and encourage the Secretary to continue to fund 
     these important livestock protection programs.
       The Managers recognize that historical funding levels for 
     equine sciences have been

[[Page 1997]]

     limited and encourage the Secretary to consider increasing 
     resources allocated to research priorities for equine health 
     in the Department's annual budget submission.
       The Mangers recognize that historical funding levels for 
     rangeland and prairie grass research has been limited and 
     encourage the Secretary to consider increasing resources 
     allocated to research priorities for rangeland and prairie 
     grass research, including tall-grass and other native 
     vegetation.
       The Managers recognize the importance of nationally 
     coordinated, regionally managed canola research and education 
     programs. In awarding grants for these activities, the 
     Managers encourage the Secretary to seek input from 
     stakeholders and give priority consideration to proposals 
     that address research needs in production areas with the 
     greatest potential to expand as well as those where canola 
     production is established and needs to be maintained.
       The Managers would like to encourage the Secretary to fund 
     competitive research into the fundamental issues of 
     stabilizing food prices to enhance food security in the U.S. 
     and globally. One area of interest is an examination of the 
     economic factors leading to increased food security in the 
     U.S. The Managers are also interested in how financial 
     markets and the expansion of the bioenergy industry globally 
     has impacted global food prices.
     (45) Research and education grants for the study of 
         antibiotic-resistant bacteria
       The House bill reauthorizes appropriations through 2018. 
     (Section 7514)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
     (46) Farm and Ranch Stress Assistance Network
       The House bill repeals Section 7522. (Section 7515)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
     (47) Seed distribution
       The House bill repeals Section 7523. (Section 7516)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 7514)
     (48) Sun Grant Program
       The House bill authorizes the Secretary to coordinate among 
     appropriate Federal agencies, authorizes grants to be used 
     towards integrated, multistate research, extension and 
     education programs on technology development and 
     implementation repeals Funding allocations for specific 
     programs, amends requirements for the plan for research 
     activities to be funded to address bioproducts and priorities 
     of appropriate Federal agencies and reauthorizes the program. 
     (Section 7518)
       The Senate amendment authorizes the Secretary to coordinate 
     among appropriate Federal agencies, authorizes grants to be 
     used towards integrated, multistate research, extension and 
     education programs on technology development and 
     implementation repeals Funding allocations for specific 
     programs, amends requirements for the plan for research 
     activities to be funded to address bioproducts and priorities 
     of appropriate Federal agencies, reauthorizes the program, 
     and authorizes grants to a Sun Grant Center for each region. 
     (Section 7514)
       The Conference substitute adopts the Senate provision. 
     (Section 7516)
       The Conference substitute directs the Secretary to utilize 
     and leverage the investment, resources, and capacities of the 
     current regional Sun Grant Program Centers and Sub-center to 
     continue their leadership and management of the regional Sun 
     Grant competitive grants program.
       The Conference substitute reauthorizes, consolidates, and 
     amends the Sun Grant Program to expand input from other 
     appropriate federal agencies, authorize bio products, 
     eliminate authorization for gasification research and make 
     the program competitive. The Managers recognize the 
     leadership and work of the Sun Grant Centers in each region 
     and intends that the revisions to the program to make it 
     competitive do not reduce the effectiveness of the overall 
     program. The Managers also recognize the importance of the 
     collaborative nature of the Sun Grant Centers and is 
     requiring that applicants represent consortia of universities 
     with prior experience working collaboratively to pursue the 
     intent of the program. The Managers recognize the importance 
     of demonstrated experience in working with multiple federal 
     agencies and in awarding and managing funding provided 
     through competitive grants to land grant institutions and 
     institutions partnering with land grant institutions. 
     Accordingly, the Secretary is encouraged to competitively 
     select a single association of universities that will 
     implement the Sun Grant Program for the duration of this farm 
     bill authorization. This association of universities should 
     be made up of a university from each of the sun grant regions 
     and sub region that will serve as the Sun Grant Center or Sub 
     center for that region or sub region. In making the 
     competitive selection, the Secretary should consider giving 
     preference to an association of universities that has 
     demonstrated experience in managing regional competitive 
     grant programs for research and education programs that 
     support the development of bioenergy, biomass feedstocks, and 
     biobased products. Finally, the Managers recognize the value 
     and importance of committed use of peer review principles and 
     other research best practices in the selection, management, 
     and dissemination of research projects.
     (49) Study and report on food deserts
       The House bill repeals Section 7527. (Section 7519)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 7517)
     (50) Agricultural and rural transportation research and 
         education
       The House bill repeals Section 7529. (Section 7520)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 7518)

                  Subtitle F--Miscellaneous Provisions

     (51) Agreements with nonprofit organizations for National 
         Arboretum
       The House bill authorizes the Secretary to negotiate 
     agreements with nonprofit organizations that support the 
     purpose of the National Arboretum and use the proceeds of the 
     organizations towards operation and maintenance of the 
     facilities. In addition, a nonprofit organization that 
     entered into such agreement may recognize donors if such 
     recognition is approved by the Secretary. (Section 7601)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment authorizes the Secretary to 
     negotiate concessions and agreements for the National 
     Arboretum with nonprofit scientific or educational 
     organizations and nonprofit organizations that entered into a 
     concession or agreement to recognize donors. (Section 7602)
     (52) Cotton Disease Research Report
       The House bill requires the Secretary to submit to Congress 
     a Cotton Disease Research Report. (Section 7602)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 7604)
     (53) Acceptance of facility for Agricultural Research Service
       The House bill authorizes the Secretary to allow a non-
     Federal entity to construct a facility for use and on land 
     owned by the Agricultural Research Service under certain 
     conditions. (Section 7603)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
     (54) Technical Corrections
       The House bill makes miscellaneous technical corrections. 
     (Section 7604)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 7605)
     (55) Legitimacy of industrial hemp research
       The House bill authorizes research using industrial hemp at 
     an institution of higher education if the growing or 
     cultivating of industrial hemp is allowed under the laws of 
     the State where the institution of higher education is 
     located and the research occurs. Industrial hemp is defined. 
     (Section 7605)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment authorizes an institution of 
     higher education or State department of agriculture to grow 
     or cultivate industrial hemp for research purposes if the 
     laws of the State permit its growth and cultivation. (Section 
     7606)
     (56) Foundation for food and agriculture research
       The Senate amendment authorizes a foundation for food and 
     agriculture research, a new nonprofit corporation designed to 
     supplement USDA's basic and applied research activities. On 
     Oct. 1, 2013, of the funds of the Commodity Credit 
     Corporation, the Secretary shall transfer to the Foundation 
     $200,000,000 to remain available until expended. (Section 
     7601)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment authorizes a foundation for food 
     and agricultural research designed to supplement USDA's basic 
     and applied research activities and $200,000,000 of Commodity 
     Credit Corporation funding to the Foundation to remain 
     available until expended. (Section 7601)
       The Managers recognize the significant need for 
     agricultural research and the challenge to find funding in 
     the current fiscal environment. As such the conference 
     substitute creates a new non-profit foundation, the 
     Foundation for Food and Agriculture Research, to leverage 
     private funding, matched with federal dollars, to support 
     public agricultural research. This approach will foster 
     continued innovation in agricultural research.

[[Page 1998]]

       The increased productivity and boost in crop yields 
     experienced by American farmers can be attributed to research 
     investments made 30 to 50 years ago. Federal investment in 
     public agricultural research has been trending downward at a 
     time when the demands of a growing population require that 
     American agriculture research again take a leading role in 
     pushing forward food production. USDA, the National Academy 
     of Sciences, the National Science Foundation and agricultural 
     research stakeholders will play an integral role in 
     establishing the Foundation.
       The Managers do not intend for the Foundation to be 
     duplicative of current funding or research efforts, but 
     rather to foster public-private partnerships among the 
     agricultural research community, including federal agencies, 
     academia, non-profit organizations, corporations and 
     individual donors to identify and prioritize the most 
     pressing needs facing agriculture. It is the Managers view 
     that the Foundation will complement the work of USDA basic 
     and applied research activities and further advance USDA's 
     research mission. Furthermore, the Managers do not intend in 
     any way for the Foundation's funding to offset or allow for a 
     reduction in the appropriated dollars that go to agricultural 
     research.
     (57) Agricultural and food law research, legal tools and 
         information
       The Senate amendment authorizes the Secretary, acting 
     through the National Agricultural Library, to support the 
     dissemination of agricultural and food law research, legal 
     tools and information by entering into cooperative agreements 
     with institutions of higher education. The Secretary may not 
     use more than $5,000,000 of the amounts made available to the 
     national Agricultural Library. (Section 7602)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment directs the Secretary, through 
     the National Agricultural Library, to support the 
     dissemination of agricultural and food law research, legal 
     tools and information by entering into cooperative agreements 
     with institutions of higher education and authorizes 
     $5,000,000 in appropriations for fiscal year 2014 and each 
     year thereafter. (Section 7603)
       The Managers recognize that farms, ranches, and forests in 
     the United States are impacted by a complex and rapidly 
     evolving web of competition and international, Federal, 
     State, and local laws, including regulations. The 
     agricultural community of the United States, including 
     farmers, ranchers, foresters, attorneys, policymakers, and 
     extension personnel, need access to agricultural and food law 
     research and information provided by objective, scholarly, 
     and neutral sources.

                          Title VIII--Forestry

            Subtitle A--Repeal of Certain Forestry Programs

     (1) Watershed Forestry Assistance Program
       The House bill repeals the Watershed Forestry Assistance 
     Program in the Cooperative Forestry Assistance Act of 1978, 
     effective on October 1, 2013. (Section 8002)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment eliminates the effective date. 
     (Section 8002)
     (2) Expired Cooperative National Forest Products Marketing 
         Program
       The House bill repeals the Cooperative National Forest 
     Products Marketing Program in the Cooperative Forestry 
     Assistance Act of 1978 which has been expired. (Section 8003)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 8003)
     (3) Separate forest service decision making and appeals 
         process
       The House bill repeals Section 322 of the Department of the 
     Interior and Related Agencies Appropriations Act, 1993. It 
     prohibits application of Section 428 of the Consolidated 
     Appropriations Act, 2012 to any project or activity 
     implementing a land and resource management plan that is 
     categorically excluded from an EA or EIS under NEPA. (Section 
     8006)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 8006)
       This provision clarifies the intent of Congress regarding 
     administrative review of projects and activities implementing 
     land and resource management plants. This language came as a 
     result of a federal court decision in March 2012 that the 
     Forest Service must engage in this process for 
     noncontroversial, common sense actions that provide jobs, 
     public safety, community fire protection, and clean water. 
     This is not required of the Department of Interior or any 
     other federal agency. This provision would return the agency 
     to the procedures that were in place prior to the 2012 court 
     decision.

 Subtitle B--Reauthorization of Cooperative Forestry Assistance Act of 
                             1978 Programs

     (4) State-wide assessment and strategies for forest resources
       The House bill requires the State Forester or equivalent 
     State official in developing or updating the State-wide 
     assessment and strategy for forest resources to coordinate 
     with, when feasible, appropriate military installations. 
     (Section 8101)
       The Senate amendment extends the authorization of 
     appropriations for the state-wide assessment and strategies 
     for forest resources through 2018.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment provides for the extension of the 
     authorization of appropriations for state-wide assessment and 
     strategies for forest resources that was in the Senate 
     amendment. (Section 8101)
       The 2008 farm bill conference report included language 
     directing state foresters to perform statewide assessments of 
     forest lands within their borders to better understand how to 
     properly manage these resources. The first reports came back 
     in 2010. The Managers considered these reports a success and 
     adopted the House provision that directs state foresters to 
     coordinate with military facilities within their borders when 
     developing future plans.
     (5) Forest Legacy Program
       The House bill eliminates the authorization for the Forest 
     Legacy Program of such sums as necessary and replaces it with 
     an authorization of appropriations of $55,000,000 for fiscal 
     years 2014 through 2018. (Section 8102)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
     (6) Community Forest and Open Space Conservation Program
       The House bill eliminates the authorization for the 
     Community Forest and Open Space Conservation Program of such 
     sums as necessary and replaces it with an authorization of 
     appropriations of $1,500,000 for fiscal years 2014 through 
     2018. (Section 8103)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.

       Subtitle C--Reauthorization of Other Forestry-Related Laws

     (7) Office of International Forestry
       The House bill authorizes appropriations of $6,000,000 for 
     fiscal years 2014 through 2018 for the Office of 
     International Forestry. (Section 8202)
       The Senate amendment extends authorization of 
     appropriations through fiscal year 2018. (Section 8202)
       The Conference substitute adopts the Senate provision. 
     (Section 8202)
     (8) Change in funding source for Healthy Forests Reserve 
         Program
       The House bill authorizes appropriations of $9,750,000 for 
     fiscal years 2014 through 2018. Appropriated funds may be 
     used to carry out the Soil Conservation and Domestic 
     Allotment Act for land enrolled in the program. (Section 
     8203)
       The Senate amendment is the same as the House. It defines 
     the term ``Acreage Owned by Indian Tribes'' for the purposes 
     of Section 502(e)(3). (Section 8205)
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment increases the authorization 
     levels from $9,750,000 to $12,000,000. (Section 8203)
       The Managers intend to clarify the definition of Indian-
     owned acreage for the program managed by NCRS. Further, as a 
     result of the potential increase in participation in the 
     program, the Managers increased the authorization level.
     (9) Stewardship end result contracting project authority
       The House bill states that section 347 of the Department of 
     the Interior and Related Agencies Appropriations Act, 1999 is 
     reauthorized through fiscal year 2018. It authorizes the 
     Secretary to consider a Stewardship Contract as a contract 
     for the sale of property. Further, it requires the Chief of 
     the Forest Service and the Director of Bureau of Land 
     Management to issue fire liability provisions for use in all 
     contracts and agreements under section 347. (Section 8204)
       The Senate amendment repeals Section 347 of the Department 
     of the Interior and Related Agencies Appropriations Act, 
     1999. It authorizes the Secretary to consider a Stewardship 
     Contract as a contract for the sale of property. It further 
     adds Stewardship End Result Contracting Projects to the 
     Healthy Forests Restoration Act of 2003, authorizing the 
     Forest Service and Bureau of Land Management to enter into 
     stewardship end-result contracting projects (Stewardship 
     Contracts) for services that achieve land management goals. 
     The authorization is permanent. (Section 8204)
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment includes the House language that 
     requires the Chief of the Forest Service and the Director of 
     the Bureau of Land Management to issue fire liability 
     provisions for use in all contracts and agreements under 
     section 347. (Section 8205)

[[Page 1999]]

       The Managers provide the Forest Service with a permanent 
     extension of stewardship contracting authority. This approach 
     to land management has proved to be effective nationwide 
     since it was first authorized in 1999 and extended in 2003. 
     Stewardship Contracting allows the Forest Service to conduct 
     important forest restoration work by allowing the value of 
     wood removed to help offset the cost of needed restoration 
     treatments, like forest thinning, introduction of prescribed 
     fire, and habitat improvements for a variety of species. The 
     Managers include in this extension, provisions that allow for 
     designation by prescription for the marking of timber under 
     this program. The Conference substitute also includes 
     language which provides the same fire liability provisions 
     utilized under the current timber sales program to be 
     available for Stewardship Contracts. The Managers do not 
     intend for Stewardship Contracting to replace, diminish, or 
     adversely impact the U.S. Forest Service's timber sales 
     program.
       The Managers expect the Chief to work with purchasers of 
     Forest Service timber to address concerns they have raised 
     about methods of selecting the winning bidders on Stewardship 
     Contracts, and to provide feedback to losing bidders to help 
     increase their understanding of the process to become more 
     effective in the future.
     (10) Insect and disease infestation
       The Senate amendment authorizes the designation of 
     treatment areas, as part of an insect and disease treatment 
     program, one or more subwatersheds in at least one National 
     Forest in each State that is experiencing an insect or 
     disease epidemic within 60 days after the date of enactment 
     of this Act. Additional areas may be designated as needed 
     after the initial 60 day period. The Secretary may carry out 
     priority projects on Federal land in designated subwatersheds 
     to reduce the risk or extent of, or increase the resilience 
     to, insect or disease infestation. Priority projects shall 
     maximize the retention of old-growth and large trees, as 
     appropriate and to the extent the trees promote stands 
     resilient to insects and disease. The Senate amendment 
     authorizes appropriations of $200,000,000 for fiscal years 
     2014 through 2018. (Section 8203)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment replaces the subwatershed size 
     treatment area with a landscape scale and includes a limited 
     categorical exclusion for projects smaller than 3,000 acres. 
     The program is authorized for 10 years through 2024. (Section 
     8204)
       The outbreak of the pine bark beetle afflicting states 
     across the nation is a great concern to the Managers. To 
     date, an estimated 41 million acres have been affected across 
     the United States, creating potentially hazardous fuel loads 
     in several western states. The Managers agreement includes 
     provisions to provide the Forest Service with increased 
     flexibility to address this issue and work with partners to 
     mitigate the potential damage.
       The Conference substitute recognizes that the current 
     system for managing national forests affected by historic 
     insect infestations has not been responsive to the speed and 
     widespread impact of the infestations. The final language 
     builds on current law familiar to all stakeholders, the 
     Healthy Forests Restoration Act, by targeting the law's 
     application for a ten-year period to insect- and disease-
     affected forests. It appropriately focuses on landscape-scale 
     restoration work and protects old-growth and large trees to 
     the extent their retention promotes resilient stands in a 
     given type of forest. The final language also includes a 
     Categorical Exclusion (CE) under the National Environmental 
     Policy Act that is subject to several critical sideboards.
       The most important limitation is that any projects subject 
     to a CE must be developed and implemented through a 
     collaborative process that is transparent, nonexclusive, and 
     includes multiple and diverse stakeholders. Collaborative 
     forest restoration partnerships have a proven record of 
     fostering the social license that is crucial to managing our 
     public lands appropriately. The Conference substitute 
     recognizes the success of forest collaboratives and 
     encourages their continued work across the country. 
     Additional limitations to use of the CE include that projects 
     may be no larger than 3,000 acres; projects may only take 
     place in the wildland-urban interface or in forests facing a 
     risk of fire greater than their historical norm; no permanent 
     roads may be constructed and any temporary roads must be 
     decommissioned within three years; and the Forest Service 
     must report to Congress each year about its use of the CE.
       The Mountain Pine Beetle Response Project (MPBR) in the 
     Black Hills National Forest can be used as a model for the 
     type and scale of projects that are to be conducted with 
     these provisions to keep pace with expanding insect 
     infestations. The MPBR Project encompasses approximately 
     248,000 acres of National Forest System lands and includes 
     approximately 122,000 acres of thinning or other measures 
     aimed at reducing stand density and hazardous fuels. The 
     Managers expect that acres covered by the projects are 
     tailored to the local circumstances depending on the size of 
     the forest and scope of the infestation. The authority in 
     these provisions provides the Forest Service with additional 
     tools to replicate these types of landscape scale projects 
     across the country in coordination with local stakeholders.

           Subtitle D--National Forest Critical Area Response

     (11) Definitions
       The House bill defines the terms ``Critical Area'', 
     ``National Forest System'', and ``Secretary'' for the 
     purposes of this title. (Section 8301)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
     (12) Designation of critical areas
       The House bill provides for the designation of critical 
     areas within the National Forest System to address 
     deteriorating forest health conditions due to insect 
     infestation, drought, disease or storm damage and the future 
     risk of insect infestations or disease outbreaks through 
     preventative treatments. (Section 8302)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
     (13) Application of expedited procedures and activities of 
         the Healthy Forests Restoration Act of 2003 to critical 
         areas
       The House bill authorizes the application of Title I of the 
     Healthy Forests Restoration Act of 2003 to all Forest Service 
     projects and activities carried out in a critical area and 
     requires the same projects and activities be consistent with 
     the applicable land and resource management plan. However, 
     Sec. 322 of P.L. 102-381 will not apply to projects conducted 
     in accordance with this section, and in applying Title I, the 
     authority shall apply to the entire critical area and all 
     projects and activities of the Forest Service shall be 
     considered as authorized hazardous fuel reduction projects. 
     Certain smaller projects shall be considered an action 
     categorically excluded from the requirements of an 
     environmental assessment or an environmental impact statement 
     and exempt from section 105 of the Healthy Forests 
     Restoration Act of 2003. (Section 8303)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
     (14) Good neighbor authority
       The House bill authorizes the Secretary to enter into 
     cooperative agreements or contracts with a state forester to 
     provide forest, rangeland, and watershed restoration, 
     management and protection services on National Forest System 
     land. (Section 8304)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. (Section 8206)
       The Conference substitute includes language that allows for 
     the Secretary to enter into cooperative agreements with state 
     foresters nationwide to engage in management activity, 
     otherwise known as Good Neighbor Authority. This practice 
     allows for better coordination between federal and state 
     officials in promoting healthy state forests. The Managers 
     note the successful implementation of this program in 
     Colorado and Utah and recognize the benefit to extending this 
     authority nationwide. The Managers expect the Secretary to 
     seek projects which utilize the full range of contracting 
     tools available to accomplish the objectives of Good Neighbor 
     Authority.

                  Subtitle E--Miscellaneous Provisions

     (15) Forest service participation in ACES program
       The House bill authorizes the Secretary to use funds from 
     conservation-related programs on National Forest lands to 
     utilize the Agriculture Conservation Experienced Services 
     Program to provide technical service on conservation-related 
     programs. (Section 8402)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 8302)
       The Managers are concerned about the increasing number of 
     retirements among Forest Service employees in recent years 
     and the loss of institutional knowledge as a result. The 
     Conference substitute includes language to allow the Forest 
     Service to hire retired employees under the Agriculture 
     Conservation Experienced Services (ACES) program. The Forest 
     Service will continue to see a large number of retirements in 
     the coming years. Allowing the Forest Service to participate 
     in the ACES program allows the agency to retain the 
     institutional knowledge acquired through the years by these 
     senior employees.
     (16) Green Science and Technology Transfer Research under 
         Forest and Rangeland Renewable Resources Research Act of 
         1978
       The House bill includes as a priority science and 
     technology transfer through the Forest Products Lab to 
     demonstrate the beneficial characteristics of wood as a green 
     building material. It requires the Secretary

[[Page 2000]]

     to submit an annual report describing the research conducted 
     in furtherance of the priority added above, the number of 
     buildings the Forest Service has built with wood and the 
     investments made by the Forest Service in green building wood 
     promotion. (Section 8403)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
     (17) Extension of stewardship contract authority
       The House bill authorizes designation by description and 
     designation by prescription as valid methods of designation 
     for timber sales. Both methods may be supervised by use of 
     post-harvest cruise, sample weight scaling or other methods. 
     (Section 8404)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 8303)
     (18) Reimbursement of fire funds
       The House bill requires that the State seeking 
     reimbursement and the State providing reimbursement must each 
     have a mutual assistance agreement with the Forest Service or 
     an agency of the Department of the Interior. (Section 8405)
       The Senate amendment requires that the State seeking 
     reimbursement and the State providing reimbursement must each 
     have a mutual assistance agreement with the Forest Service or 
     another Federal agency. (Section 8303)
       The Conference substitute adopts the Senate provision. 
     (Section 8304)
     (19) Ability of National Forest System lands to meet needs of 
         local wood producing facilities for raw materials
       The House bill requires the Secretary to submit to Congress 
     a report regarding raw material needs of wood producing 
     facilities within the boundaries of each National Forest 
     System unit or within 100 miles of such boundaries and the 
     ability of each unit to meet the needs of such facilities, 
     including information on the volume of timber available, sold 
     and harvested from each unit. (Section 8406)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
       Although the Managers did not adopt the House provision 
     directing the Secretary to issue a report to Congress on its 
     ability to provide raw material to facilities within 100 
     miles of a national forest, the Managers encourage the Forest 
     Service to engage with the sawmill owners who utilize 
     material harvested from National Forest System land. The 
     Managers are concerned that certain regions within the 
     National Forest System are not meeting the timber production 
     target laid out in their management plans. The Managers note 
     that many wood producing facilities are dependent on material 
     produced on National Forest land and that all 10 regions of 
     the National Forest System should strive to meet their target 
     where appropriate.
     (20) Report on the National Forest System roads
       The House bill requires the Secretary to submit to Congress 
     a report regarding National Forest System roads and trails. 
     (Section 8407)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
       Although the Managers did not adopt the House provision 
     which required the Secretary to issue a report to Congress on 
     the state of the National Forest System roads, the Managers 
     believe this is an important issue and encourage the Forest 
     Service to prioritize the maintenance of currently used 
     roads.
     (21) Forest Service Large Airtanker and Aerial Asset 
         Firefighting Recapitalization Pilot Program
       The House bill authorizes the Secretary to establish a 
     large airtanker and aerial asset lease program. (Section 
     8408)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 8305)
       The 2012 and 2013 wildfire seasons have been some of the 
     worst on record. The devastating wildfires are important 
     reminders that the Forest Service's current available large 
     airtanker fleet is vastly inadequate to meet our expected 
     firefighting needs now or in the coming years. The U.S. 
     Forest Service's Large Airtanker Modernization Strategy, 
     released in 2012, recommended a ``next generation'' aerial 
     solution and specifically stated that ``[airtankers] are 
     important to the Federal, state, and local wild land 
     firefighting missions of protecting communities and natural 
     resources from wildfires and to successfully managing 
     wildfires in this country.'' The report also stated that 
     ``the current fleet of large airtankers is old, with an 
     average of age of more than 50 years. With rising age, the 
     cost of maintaining large airtankers is rapidly increasing, 
     as are the risks associated with using them.'' Support for 
     implementing the modernization strategy is urgently needed 
     before the Forest Service is unable to adequately respond to 
     future fires. The Managers strongly support the establishment 
     of a large airtanker and aerial asset lease program to 
     support the Forest Service's vital modernization strategy for 
     its firefighting large airtanker fleet.
     (22) Land conveyance, Jefferson National Forest in Wise 
         County, Virginia
       The House bill authorizes the Secretary to convey upon 
     payment all right, title and interest of the U.S. in and to a 
     parcel of National Forest System land in the Jefferson 
     National Forest in Wise County, Virginia. (Section 8409)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 8306)
     (23) Categorical exclusion for forest projects in response to 
         emergencies
       The House bill states that any forest project carried out 
     to clean up or restore damaged National Forest System land 
     during a two-year period following the date of a presidential 
     disaster or emergency declaration shall be categorically 
     excluded from an environmental assessment or environmental 
     impact statement. (Section 8410)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.

                            Title IX--Energy

     (1) Definitions
       The House bill modifies the definition of ``biobased 
     product'' to explicitly include forestry materials and forest 
     products that meet biobased content requirements, 
     notwithstanding the market share the product holds, the age 
     of the product, or whether the market for the product is new 
     or emerging. (Section 9001(1)) The bill also defines ``forest 
     product'' to ensure that mature forest products are treated 
     in the same manner as other biobased products. (Section 
     9001(3)) Additionally, the bill defines ``renewable energy 
     system'' to limit the eligible projects in the Rural Energy 
     for America Program. (Section 9001(4))
       The Senate amendment defines ``renewable chemical'' as a 
     monomer, polymer, plastic, formulated product, or chemical 
     substance produced from renewable biomass. (Section 9002(3))
       The Conference substitute adopts the House provision with 
     an amendment. The amendment includes the Senate definition of 
     ``renewable chemical''. The modification of the definition of 
     ``biobased product'' is moved to Section 9002. (Section 9001)
     (2) Biobased Markets
       The House bill extends current law through FY2018. No 
     mandatory funding is authorized. The bill authorizes to be 
     appropriated $2 million annually for FY2014-FY2018. (Section 
     9002(h))
       The Senate amendment establishes a targeted biobased-only 
     procurement requirement for federal agencies. The amendment 
     limits reporting on the availability, relative price, 
     performance and environmental and public health benefits of 
     biobased materials subject to the availability of data. It 
     adds reporting requirements of quantities and types of 
     biobased products purchased by procuring federal agencies and 
     a focus on biobased content requirements (explicitly 
     including forest products). The amendment mandates (within 
     one year of enactment) designation of intermediate 
     ingredients or feedstocks and assembled and finished biobased 
     products according to guidelines. (Section 9002(a)(1)) 
     Additionally, the amendment adds auditing and compliance 
     activities to ensure proper use of biobased labeling. 
     (Section 9002(a)(2)) It adds an outreach, education, and 
     promotion component (with annual reports) to increase 
     awareness of biobased products. (Section 9002(a)(4)) It also 
     mandates a study (and report) by USDA to assess the economic 
     impact of the biobased product industry, due 180 days after 
     enactment. It encourages coordination, review and approval 
     (with appropriate technical assistance) of forest-related 
     biobased products. (Section 9002(a)(5)) The amendment also 
     authorizes mandatory funding of $3 million annually for 
     FY2014-FY2018. Lastly, it authorizes to be appropriated $2 
     million annually for FY2014-FY2018. (Section 9002(a)(7))
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment removes the outreach, education 
     and promotion component and provides that the economic impact 
     study be completed within one year of enactment. (Section 
     9002)
       The Conference substitute reauthorizes the BioPreferred 
     Program and the Federal Government Procurement Preference 
     Program with modifications to include reporting of biobased 
     purchases by the federal agencies, as well as providing for 
     auditing and enforcement of biobased purchasing activities. 
     The Conference substitute also clarifies that all forest 
     products are eligible for inclusion in the BioPreferred 
     Program and the Federal Government Procurement Program if 
     they meet biobased content requirements and the innovation 
     standards for the program as outlined in Section 
     9002(a)(1)(B)(i)(III)(vi). Finally, the Conference substitute 
     provides $3 million in mandatory funding each fiscal year.
       The Managers are cognizant of concerns that the USDA 
     Biobased Markets Program has excluded most forest products. 
     This exclusion, created in USDA rulemaking, has effectively 
     made many forest products ineligible for the program. 
     Therefore, Sections

[[Page 2001]]

     9001(2) and 9002(a)(1)(B)(i)(III) are intended to clarify 
     that all forest products, regardless of the market share the 
     product holds, the age of the product, or whether the 
     product's market is new or emerging, are eligible for the 
     procurement and labeling program as long as the product meets 
     biobased content requirements and the innovation standards 
     for the program as outlined in Section 9002(a)(1)(B)(i)(III). 
     It is the Managers' intention that all products in the 
     program use innovative approaches in the growing, harvesting, 
     sourcing, procuring, processing, manufacturing, or 
     application of the biobased product.
       The Managers believe that most forest products, including 
     products with recovered fiber content, apply innovative 
     approaches in the growing, harvesting, sourcing, procuring, 
     and manufacturing of the product. Innovative approaches for 
     forest products include, but are not limited to, sourcing 
     fiber from non-controversial, responsible or certified 
     sources identified in the ASTM 7612-10 standard; using an 
     environmental product declaration that meets the ISO 
     14025:2006 standard; improving wood, recovered fiber and 
     virgin fiber processing technologies; or modifying 
     manufacturing facilities to make them more energy efficient 
     and enhance their ability to use renewable energy sources. 
     The Managers also believe innovative approaches should 
     capture any innovation in the application of the forest 
     product. Such innovative approaches should include the use of 
     raw forestry materials, processed forestry materials, as well 
     as recovered fiber. The Managers direct USDA to work through 
     the USDA Forest Products Laboratory to provide technical 
     assistance as necessary to forest product applicants to 
     ensure that forest products are included in the program.
       Finally, the Managers recognize the tremendous opportunity 
     that exists for Biobased products to be used in food 
     packaging and the food service industry. Products made from 
     wheat straw can play an important role in this effort, and 
     the Managers expect USDA to continue to work with companies 
     bringing these types of products to market under the 
     BioPreferred label.
     (3) Biorefinery Assistance
       The House bill eliminates grant funding to ensure that 
     program funds are spent more efficiently through loan 
     guarantees. (Section 9003(a)) Additionally, no mandatory 
     funding is authorized. The bill authorizes to be appropriated 
     $75 million annually for FY2014-FY2018. (Section 9003(b))
       The Senate amendment renames the program as the 
     Biorefinery, Renewable Chemical, and Biobased Product 
     Manufacturing Assistance Program. It extends and expands the 
     program to include renewable chemical and biobased product 
     manufacturing (defined as development, construction, and 
     retrofitting of technologically new commercial-scale 
     processing and manufacturing equipment and required 
     facilities used to convert renewable chemicals and other 
     biobased outputs into commercial-scale end products). It 
     extends grant and loan guarantee availability to the 
     development and construction of renewable chemical and 
     biobased product manufacturing facilities. (Section 9003(a)) 
     The amendment authorizes mandatory funding of $100 million 
     for FY2014 and $58 million each for FY2015-FY2016, but not 
     more than $25 million of FY2014-FY2015 may be used to promote 
     biobased product manufacturing. It authorizes to be 
     appropriated $150 million annually for FY2014-FY2018. 
     (Section 9003(b))
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment eliminates grant funding, directs 
     the Secretary to ensure that there is diversity in the types 
     of projects approved, and caps the amount of funds used for 
     loan guarantees to promote biobased product manufacturing at 
     15% of the total available mandatory funds. Mandatory funding 
     of $100,000,000 is provided for FY2014, $50,000,000 for each 
     of FY2015 and FY2016 and an authorization of $75,000,000 is 
     provided for each of fiscal years 2014 through 2018. (Section 
     9003)
     (4) Repowering Assistance Program
       The House bill extends current law through FY2018. 
     Additionally, no mandatory funding is authorized. It 
     authorizes to be appropriated $10 million annually for 
     FY2014-FY2018. (Section 9004)
       The Senate amendment has no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment provides mandatory funding of 
     $12,000,000 in fiscal year 2014, available until expended. 
     (Section 9004)
     (5) Bioenergy Program for Advanced Biofuels
       The House bill extends the program through FY2018. 
     Additionally, no mandatory funding is authorized. The bill 
     authorizes to be appropriated $50 million annually for 
     FY2014-FY2018. (Section 9005)
       The Senate amendment extends the program through FY2018. 
     Additionally, no mandatory funding is authorized. It 
     authorizes to be appropriated $20 million annually for 
     FY2014-FY2018. (Section 9004)
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment provides mandatory funding of 
     $15,000,000 for each of fiscal years 2014 through 2018. 
     (Section 9005)
     (6) Biodiesel Fuel Education Program
       The House bill extends the Biodiesel Fuel Education Program 
     through FY2018. Additionally, no mandatory funding is 
     authorized. The bill authorizes to be appropriated $2 million 
     annually for FY2014-FY2018.
       The Senate amendment extends the Biodiesel Fuel Education 
     Program through FY2018. The amendment authorizes mandatory 
     funding of $1 million annually for FY2014-FY2018. It 
     authorizes to be appropriated $1 million annually for FY2014-
     FY2018.
       The Conference substitute adopts the Senate provision. 
     (Section 9006)
     (7) Rural Energy for America Program
       The House bill creates a three-tiered application process 
     for loan guarantees and grants. (Section 9007(a)) 
     Additionally, no mandatory funding is authorized. The bill 
     authorizes to be appropriated $45 million annually for FY 
     2014-FY2018. (Section 9007(b))
       The Senate amendment creates a three-tiered application 
     process with language similar to the House provision. The 
     amendment adds a council (as defined in section 1528 of the 
     Agriculture and Food Act of 1981) as an eligible entity, and 
     adds ``such as for agricultural and associated residential 
     purposes'' to clarify the type of renewable energy systems 
     that may be purchased. It repeals the use of REAP funds for 
     feasibility studies and limits grants to the lesser of 
     $500,000 or 25% of the cost of the RES or EEI activity. 
     (Section 9006(a)) The amendment authorizes mandatory funding 
     of $68.2 million annually for FY2014-FY2018. It authorizes to 
     be appropriated $20 million annually for FY2014-FY2018. 
     (Section 9006(b))
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment strikes the provision clarifying 
     the type of renewable energy systems that may be purchased 
     and strikes the $500,000 cap on grants for renewable energy 
     systems and energy efficiency improvements. Mandatory funding 
     of $50,000,000 is provided for fiscal year 2014 and each 
     fiscal year thereafter. (Section 9007)
       The Managers encourage the Department to continue to 
     support renewable and energy efficiency projects to help 
     farmers and rural small businesses cut costs. The Managers 
     also encourage the Department to consider and fund a diverse 
     range of projects.
       The Managers clarify that the intent of the program has 
     been to promote energy efficiency and the production of 
     renewable energy, rather than energy delivery. Therefore, 
     renewable fuel blender pumps or other mechanisms to dispense 
     fuel are not a use of the program consistent with this 
     purpose.
     (8) Biomass Research and Development
       The House bill extends BRDI through FY2018. Additionally, 
     no mandatory funding is authorized. The bill authorizes to be 
     appropriated $20 million annually for FY2014-FY2018. (Section 
     9008)
       The Senate amendment extends BRDI through FY2018. The 
     amendment authorizes mandatory funding of $26 million 
     annually for FY2014-FY2018. It authorizes to be appropriated 
     $30 million annually for FY2014-FY2018. (Section 9007)
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment provides mandatory funding of 
     $3,000,000 for each of fiscal years 2014 through 2017 and 
     discretionary funding of $20,000,000 for each of fiscal years 
     2014 through 2018. (Section 9008)
       The purpose of the Biomass Research and Development 
     Initiative (BRDI) is to promote research and development 
     regarding the production of biofuels and biobased products. 
     The Managers encourage the Department to support research, 
     development and demonstration efforts focused on reducing the 
     costs of producing sugars from cellulosic biomass. The 
     Managers also encourage the Department to prioritize and 
     focus investment in projects that use pre-commercialization 
     processes and methods to advance product development.
       The Managers are aware of a number of advanced 
     manufacturing facilities around the country that can play an 
     active part in the development phase of biofuels and biobased 
     products and urge the Secretary to encourage their 
     involvement in BRDI projects.
     (9) Biomass Crop Assistance Program
       The House bill eliminates collection, harvest, storage, and 
     transportation payments. The bill adds ``existing project 
     areas that have received funding'' to the factors the 
     Secretary shall consider when selecting project areas. 
     Additionally, no mandatory funding is authorized. The bill 
     authorizes to be appropriated $75 million annually for 
     FY2014-FY2018. (Section 9010)
       The Senate amendment rewrites Sec. 9011 of Farm Security 
     and Rural Investment Act of 2002 including the following 
     revisions: changes enrolled land eligibility; includes 
     residue from crops receiving Title I payments as eligible 
     material, but extends exclusion to any whole grain from a 
     Title I crop, as well as bagasse and algae. One-time 
     establishment payments are limited to no more than 50% of 
     cost of establishment, not to exceed $500 per acre ($750/acre 
     for socially disadvantaged farmers or ranchers). CHST 
     matching payments may not exceed $20 per dry ton but are 
     available for a four year period. Not later than four years 
     after enactment, USDA shall submit a report on best

[[Page 2002]]

     practice data and information gathered from participants. It 
     authorizes mandatory funding of $38.6 million annually for 
     FY2014-FY2018. Not less than 10% or more than 50% of funding 
     may be used for CHST. (Section 9011)
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment provides that CHST payments are 
     available for a period of two years and provides that funding 
     under the subsection shall be available for technical 
     assistance. The amendment provides mandatory funding of 
     $25,000,000 for each of fiscal years 2014 through 2018. 
     (Section 9010)
     (10) Forest Biomass for Energy
       The Senate amendment repeals the program. (Section 9010)
       The House bill has no comparable provision.
       The Conference substitute adopts the Senate provision. 
     (Section 9011)
     (11) Community Wood Energy Program
       The House bill extends the Community Wood Energy Program 
     through FY2018. The bill authorizes to be appropriated $2 
     million annually for FY2014-FY2018. (Section 9011)
       The Senate amendment defines ``Biomass Consumer 
     Cooperative''. The amendment authorizes grants of up to 
     $50,000 to be made to establish or expand biomass consumer 
     cooperatives that will provide consumers with services or 
     discounts relating to the purchase of biomass heating systems 
     or products (including their delivery and storage). Any 
     biomass consumer cooperative that receives a grant must match 
     at least the equivalent of 50% of the funds toward the 
     establishment or expansion of a biomass consumer cooperative. 
     (Section 9011(a)-(c)) It authorizes to be appropriated $5 
     million annually for FY2014-FY2018. (Section 9011(d))
       The Conference substitute adopts the Senate provision. 
     (Section 9012)
     (12) Biofuels Infrastructure Study
       The House bill repeals the study. (Section 9012)
       The Senate amendment has no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 9013)
     (13) Renewable Fertilizer Study
       The House bill repeals the study. (Section 9013)
       The Senate amendment repeals the study. (Section 9012)
       The Conference substitute adopts the House provision. 
     (Section 9014)
     (14) Energy Efficiency Report for USDA Facilities
       The House bill requires USDA to submit a report to the 
     House and Senate Agriculture Committees on energy use and 
     energy efficiency projects at USDA facilities within 180 
     days.
       The Senate amendment has no comparable provision.
       The Conference substitute adopts the House provision 
     (Section 9015)

                         Title X--Horticulture

     (1) Farmers' Market and Local Food Promotion Program
       The House bill amends section 6 of the Farmer-to-Consumer 
     Direct Marketing Act of 1976 to authorize local food 
     promotion and assist in the development of local food 
     business enterprises. Program purposes are amended to include 
     the increase of domestic consumption and consumer access to 
     locally and regionally produced agricultural products. The 
     purposes are further amended to include local and regional 
     food business enterprises that process, distribute, 
     aggregate, and store locally or regionally produced food 
     products. Eligible entities receiving a grant from this 
     program must provide a 25 percent match and may not use the 
     grant towards a building or structure. The section authorizes 
     $30,000,000 of Commodity Credit Corporation funds for fiscal 
     years 2014 through 2018 and $10,000,000 in appropriated funds 
     for fiscal years 2014 through 2018. It requires 50 percent of 
     the funds made available to carry out the program in a fiscal 
     year be used towards domestic farmers' markets, roadside 
     stands, community-supported agriculture programs, agritourism 
     activities and other direct producer-to-consumer market 
     opportunities and the other 50 percent to be used towards 
     local and regional food business enterprises. The section 
     further limits administrative expenses to not more than 3 
     percent. (Section 10003)
       The Senate amendment amends section 6 of the Farmer-to-
     Consumer Direct marketing Act of 1976 is amended to authorize 
     local food promotion and local food capacity development. The 
     program purposes are amended to include the increase of 
     domestic consumption and consumer access to locally and 
     regionally produced agricultural products. This purpose is 
     authorized to be accomplished by developing, improving, 
     expanding and providing outreach, training and technical 
     assistance. Program purposes are further amended to include 
     local and regional food enterprises that are not direct 
     producer-to-consumer markets but process, distribute, 
     aggregate, store and market locally or regionally produced 
     food products. The section authorizes $20,000,000 of 
     Commodity Credit Corporation funds for fiscal years 2014 
     through 2018 and $20,000,000 of appropriated funds for fiscal 
     years 2014 through 2018. It limits administrative expenses to 
     not more than 10 percent. The section further authorizes 
     priorities for grant applications that benefit underserved 
     communities, develop market opportunities for small and mid-
     sized farm and ranch operations and include a strategic plan 
     to maximize the use of fund to build capacity for local and 
     regional food systems in a community. (Section 10003)
       The Conference substitute adopts the House provision with 
     amendment. The amendment includes the Senate language on the 
     purposes of the program as well as food enterprises that are 
     not direct-to-consumer markets. The amendment sets the 
     limitation of administrative expenses at 4 percent. It 
     further includes the Senate language on giving priority to 
     applications that include projects that benefit underserved 
     communities. (Section 10003)
       The Managers do not intend for this language to restrict 
     resources for other key uses such as cold storage or 
     equipment including mobile processing units or shelf stable 
     packing activities.
     (2) Organic Agriculture
       The House bill reauthorizes the organic production and 
     market data initiative authorization of appropriations for 
     fiscal years 2014 through 2018, amends the Organic Foods 
     Production Act to authorize the Secretary to modernize 
     database and technology systems of the National Organic 
     Program (NOP) and authorizes appropriations of $11,000,000 
     for fiscal years 2014 through 2018 for the same. The House 
     bill also repeals the National Organic Certification Cost-
     Share Program. In addition, section 501 of the Federal 
     Agriculture Improvement and Reform Act of 1996 is amended to 
     exempt certified organic products from promotion order 
     assessments regardless of whether a person also handles 
     conventional products and authorize an organic commodity 
     promotion order and section 513(1) of the Commodity 
     Promotion, Research, and Information Act of 1996 is amended 
     to add organic products as a class to the definition of 
     ``agricultural commodity''. (Section 10004)
       The Senate amendment reauthorizes the organic production 
     and market data initiative authorization of appropriations 
     for fiscal years 2014 through 2018, and authorizes $5,000,000 
     in mandatory monies to remain available until expended and an 
     annual report to Congress regarding implementation of the 
     program and additional data needs as well as a description of 
     how data collection agencies are coordinating with data user 
     agencies to ensure data collected can be used by data users, 
     including RMA to offer price elections for all organic crops. 
     The amendment also authorizes the Secretary to modernize 
     database and technology systems of the NOP, provides an 
     authorization of appropriations of $15,000,000 for fiscal 
     years 2014 through 2018 as well as $5,000,000 in mandatory 
     monies towards modernization. Section 11034(b)(1)(A) of 
     Senate Amendment requires 50 percent of the funds to go to 
     organic certification. In addition, section 501 of the 
     Federal Agriculture Improvement and Reform Act of 1996 is 
     amended to exempt certified organic products from promotion 
     order assessments regardless of whether a person also handles 
     conventional products and authorize an organic commodity 
     promotion order and section 513(1) of the Commodity 
     Promotion, Research, and Information Act of 1996 is amended 
     to add organic products as a class to the definition of 
     ``agricultural commodity''. (Section 10005)
       The Conference substitute adopts the House provision with 
     an amendment. The amendment authorizes an Organic Production 
     and Market Data Initiative annual report to Congress, 
     including a description how data collection and user agencies 
     are coordinating to ensure data can be utilized, and 
     reauthorizes $5,000,000 of Commodity Credit Corporation funds 
     for this initiative and the authorization of appropriations 
     through fiscal year 2018. The amendment authorizes annual 
     appropriations of $15,000,000 for fiscal years 2014 through 
     2018 for the National Organic Program and $5,000,000 of 
     Commodity Credit Corporation funds for modernization and 
     technology upgrades. The National Organic Certification Cost 
     Share Program is reauthorized with $11,500,000 of Commodity 
     Credit Corporation funds for each fiscal year 2014 through 
     2018, to remain available until expended. The amendment also 
     authorizes an exemption of certified organic products from 
     promotion order assessments and an organic commodity 
     promotion order. (Section 10004)
       In the Conference substitute, research and promotion 
     programs or ``checkoffs'' occupy a unique place within the 
     broad range of programs overseen by USDA's Agricultural 
     Marketing Service (AMS). One distinctive attribute of these 
     programs is their structure, under which the message of the 
     promotional campaign undertaken is effectively controlled by 
     the Federal Government itself. Johanns v. Livestock Marketing 
     Ass'n, 544 U.S. 550 (2005).
       The organic checkoff program as agreed to by the Managers 
     would differ from existing checkoffs, which are specific to a 
     particular commodity. For the first time, a checkoff program 
     is not solely commodity-specific, but could be established on 
     the basis of a specific set of production and processing 
     practices.

[[Page 2003]]

       The Commodity Promotion, Research and Information Act of 
     1996, under which this provision is established, prohibits 
     any advertising that may be disparaging to another commodity. 
     As with any time a new checkoff is formed, a new potential 
     for disparagement of all types of products arises. As with 
     all checkoff programs, the Managers remain concerned about 
     the potential for disparagement of other commodities, 
     production and processing methods for the same commodity, 
     competitors, processes, and products under this new 
     authority.
       Should an organic checkoff program be developed and 
     approved, the Managers strongly encourage USDA AMS to review 
     and revise, as appropriate, the November 4, 2010, 
     ``Guidelines for AMS Oversight of Commodity Research and 
     Promotion Programs'' to ensure these guidelines address 
     potential disparagement in both commodity and process based 
     checkoff programs.
     (3) Organic Enforcement
       The House bill authorizes recordkeeping requirements and 
     investigative powers to the Secretary as well as suspension 
     and revocation of an organic certification of a producer, 
     handler or the accreditation of a certifying agent. (Section 
     10005)
       The Senate amendment authorizes recordkeeping requirements 
     and investigative powers to the Secretary as well as the stop 
     sale of an agricultural product and revocation of an organic 
     certification of a producer, handler or the accreditation of 
     a certifying agent. (Section 10005)
       The Conference substitute adopts the House provision with 
     an amendment. The amendment authorizes investigative powers 
     to the Secretary and recordkeeping requirements for persons 
     who sell, label or represent agricultural products as 
     produced or handled using organic methods. Refusal to provide 
     accurate information is made unlawful and a violation of the 
     Organic Foods Production Act. Information shall be made 
     public in a manner that ensures confidentiality. (Section 
     10005)
     (4) Food Safety Education Initiatives
       The House bill amends Section 10105 of the Food, 
     Conservation and Energy Act of 2008 to authorize the 
     education of farm workers and education regarding additional 
     food safety practices and contamination. It reauthorizes 
     appropriations for fiscal years through 2018. (Section 10006)
       The Senate amendment reauthorizes appropriations for fiscal 
     years through 2018. (Section 10006)
       The Conference substitute adopts the Senate provision. 
     (Section 10006)
     (5) Specialty Crop Block Grants
       The House bill reauthorizes section 101 of the Specialty 
     Crops Competitiveness Act of 2004 through fiscal year 2018. 
     The section provides that the amount of grants to the States 
     be based on value production and acreage. It further amends 
     eligibility requirements to include an application that 
     contains an assurance that any grant funds for equipment or 
     capital-related research costs will be supplemented by State 
     funds at not less than 50 percent during the fiscal year and 
     completely replaced by State funds after the fiscal year is 
     over. The House section requires the Secretary to issue 
     guidance for the purpose of making grants for projects 
     involving food safety, plant pests and disease, research and 
     crop-specific projects. It makes certain administrative 
     requirements including an authorization of multistate 
     projects. Of the funds of the Commodity Credit Corporation, 
     $72,500,000 for fiscal years 2014 through 2017 and 
     $85,000,000 for fiscal year 2018 is authorized. (Section 
     10007)
       The Senate amendment is similar to the House language. 
     However, it requires the Secretary to issue guidance for the 
     purpose of making grants for projects involving food safety, 
     plant pests and disease and crop-specific projects. Of the 
     funds of the Commodity Credit Corporation, $70,000,000 for 
     fiscal year 2014 and each fiscal year thereafter is 
     authorized. (Section 10008)
       The Conference substitute adopts the House provision with 
     amendment. The amendment eliminates the House language on the 
     State supplement for equipment or capital-related research 
     costs. The amendment further established the mandatory 
     funding level for fiscal year 2018 and each of the fiscal 
     years thereafter. (Section 10010)
       The Managers recognize the difficulty in coordinating and 
     funding multi-state projects within the block grant program, 
     and the Managers expect the USDA to issue guidance and work 
     with states in making grants available for such projects. 
     These multi-state projects may include food safety, research, 
     plant pest and disease, and crop specific projects. These 
     projects have the ability to link growers across state lines 
     and promote much needed collaborative research. The Managers 
     also encourage the Department to work with states to allow 
     for funding for priority research objectives that are 
     supported by the states and that comply with the purposes of 
     the Specialty Crops Competitiveness Act.
       The Managers believe that many specialty crop growers 
     benefit from the programs dedicated to the production and 
     marketing of specialty crops and products derived from them. 
     Throughout this legislation, the Managers have sought to 
     bolster support for the specialty crop sector, but recognize 
     that some specialty crop products continue to have production 
     and marketing concerns outside of the policies specifically 
     addressed in this legislation. One such specialty crop 
     product is olive oil. In addition to the challenges 
     associated with the production of an agriculture commodity, 
     olive growers and olive oil processors face additional 
     concerns related to trade and product standards of identity. 
     With reference to international trade, tariff disparities 
     pose a significant barrier to our export potential.
       Regarding standards, the International Olive Council, an 
     intergovernmental organization under the auspices of the 
     United Nations, has traditionally set standards for olive oil 
     throughout the world. USDA standards for olive oil closely 
     match those of the IOC, even though the United States is not 
     an IOC member.
       However, testing standards continue to be an area of 
     dispute due to differences in naturally occurring compounds, 
     rapid chemical decomposition in olive oil, challenges related 
     to sensory testing, and disagreement over what constitutes 
     adulteration. Because of the difficulty in establishing an 
     enforceable national standard of identity, there is potential 
     for consumer confusion in cases where blending of oils and 
     lesser quality oils into extra virgin olive oil is alleged to 
     have occurred. In fact, Connecticut, New York, and Oregon 
     have recently enacted olive oil grade standards to address 
     consumer concerns.
       A recent U.S. International Trade Commission report, 
     ``Olive Oil: Conditions of Competition between U.S. and Major 
     Foreign Supplier Industries (Investigation No. 332-537),'' 
     issued September 12, 2013, at the behest of the U.S. House of 
     Representatives Committee on Ways and Means documents some of 
     these concerns.
       The Commission's staff interviewed U.S. olive oil 
     importers, European olive oil producers and exporters, U.S. 
     olive growers and processors, government officials and others 
     involved in the world olive oil industry. In the U.S. the 
     total value of domestic and imported olive oil exceeds $1 
     billion and at the retail level the value is in excess of $5 
     billion. The report provided evidence of different olive oil 
     standards in the U.S. and in foreign markets, which adds to 
     the confusion.
       Highlights from the report point indicate that:

     Current international standards for extra virgin olive oil 
     allow a wide range of oil qualities to be marketed as extra 
     virgin. In addition, the standards are widely unenforced. 
     Mandatory testing with penalties for noncompliance exists 
     only in Canada and the European Union. However, testing in 
     the EU is only mandatory for a very small share of production 
     (0.1 percent). Broad and unforced standards lead to 
     adulterated and mislabeled products, weakening the 
     competitiveness of high-quality producers, such as those in 
     the United States, who try to differentiate their product 
     based on quality.

       Olive oil consumption has risen due to a recent focus on 
     the benefits of a healthy diet, and as a result, the olive 
     oil industry has great potential for our nation's farmers. 
     However, barriers remain for domestic production. Many 
     consumers also make purchasing decisions based on price. The 
     Managers acknowledge that additional testing procedures could 
     have an effect on olive oil importers and consumers.
       The Managers urge the U.S. Department of Agriculture, U.S. 
     Trade Representative and the U.S. Food and Drug 
     Administration to study the U.S. International Trade 
     Commission report and take action to remove the obstacles 
     that are preventing the U.S. olive oil industry from reaching 
     its potential. The Managers encourage USDA to collaborate 
     with industry officials to determine if a marketing order for 
     olive oil would effectively address concerns, benefit the 
     U.S. consumer, and protect domestic growers and importers.
       The Managers expect the Secretary to enforce the 
     regulations contained in 7 CFR Part 46.44, Good Delivery 
     Standards for Lettuce. The Managers are particularly 
     concerned about contracts and invoices that use disclaimers 
     to exempt product from the condition standards for damages 
     due to bruising and discoloration following bruising. The 
     Managers expect the Secretary to investigate any contracts or 
     invoices that violate standards and leave perishable product 
     receivers no recourse for damages beyond the Good Delivery 
     Standards for Lettuce.
       Another important issue to the specialty crop industry is 
     the challenges surrounding a federal standard of identity for 
     honey.
       The conference substitute requires the Secretary to consult 
     with honey industry stakeholders, including the American 
     Honey Producers Association, the American Beekeeping 
     Federation, the National Honey Packers and Dealers 
     Association, the Sioux Honey Association, and the Western 
     States Honey Packers and Dealers Association, on a report 
     describing the contents of a new federal standard of identity 
     for honey. The honey industry is currently faced with a 
     number of major challenges, including the dilution of honey 
     with increased quantities of other substances as well as the 
     addition or substitution of substances in order to mask 
     dilution. The subsection requires that this report be 
     submitted to the Commissioner of the Food and Drug 
     Administration (FDA) within 180 days of enactment.

[[Page 2004]]

       A citizens' petition was filed with the FDA in March 2006, 
     which represents the honey industry's previous effort to 
     develop a federal honey standard of identity. Since 2006, a 
     number of states have enacted differing honey standards 
     raising concerns about inconsistencies, the flow of commerce 
     within the honey industry, confusion in the market place and 
     unanticipated legal challenges. The honey industry is now 
     undertaking efforts to develop a consensus federal standard 
     of identity for consideration in the Secretary's report to 
     the FDA.
     (6) Department of Agriculture Consultation Regarding 
         Enforcement of Certain Labor Law Provisions
       The House bill Requires the Secretary of Agriculture to 
     consult with the Secretary of Labor regarding the restraining 
     of shipments of agriculture commodities or the confiscation 
     of such commodities by the Department of Labor for actual or 
     suspected labor law violations to consider the perishable 
     nature of such commodities, impact on economic viability of 
     farming operations and the competitiveness of specialty crops 
     through the Specialty Crop Block Grant Program. (Section 
     10008)
       The Senate amendment has no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment requires the consultation between 
     the Secretaries of Agriculture and Labor regarding the 
     restraining of shipments or confiscation of agriculture 
     commodities by the DoL for labor law violations as well as a 
     report to Congress describing the number of instances that 
     the DoL has contacted a purchaser of perishable agricultural 
     commodities to notify them of an investigation or pending 
     enforcement action against a producer from whom the purchaser 
     bought such commodities. (Sec. 10011)
     (7) Bulk Shipment of Apples to Canada
       The House bill amends Section 4 of the Export Apple Act to 
     allow apples shipped to Canada in bulk bins without complying 
     with the Act. It requires the Secretary to issue regulations 
     to carry out this provision. (Section 10010)
       The Senate amendment provides that the Secretary of 
     Agriculture has no authority to inspect apples in bulk bins 
     prior to export in Canada. (Section 10011)
       The Conference substitute adopts the House provision with 
     amendment. The amendment clarifies that the section applies 
     to apples shipped in any bulk container and is not limited to 
     bulk bins. (Section 10009)
     (8) Consolidation of Plant Pest and Disease Management and 
         Disaster Prevention Programs
       The House bill relocates legislative language authorizing 
     the National Clean Plant Network to the Plant Protection Act, 
     authorizes funds of the Commodity Credit Corporation, 
     $62,500,000 for fiscal years 2014 through 2017 and 
     $75,000,000 for fiscal year 2018, including $5,000,000 of 
     those funds for the Clean Plant Network, and provides 
     technical assistance shall not be considered an allotment or 
     fund transfer from the CCC for purposes of the limit on 
     expenditures for technical assistance. (Section 10011)
       The Senate amendment provides relocates legislative 
     language authorizing the National Clean Plant Network, 
     authorizes funds of the Commodity Credit Corporation, 
     $60,000,000 for fiscal years 2014 through 2017 and 
     $65,000,000 for fiscal year 2018, and provides technical 
     assistance shall not be considered an allotment or fund 
     transfer from the CCC for purposes of the limit on 
     expenditures for technical assistance. (Section 10007)
       The Conference substitute adopts the House provision with 
     an amendment. The amendment relocates the authorization of 
     the National Clean Plant Network, authorizes $62,500,000 for 
     fiscal years 2014 through 2017 and $75,000,000 for fiscal 
     year 2018 and each fiscal year thereafter of Commodity Credit 
     Corporation funds for Plant Pest and Disease Management and 
     Disaster Prevention, including $5,000,000 of such funds for 
     the National Clean Plant Network, and limits indirect costs 
     for cooperative agreements. The amendment also prohibits CCC 
     funds used for technical assistance under this title to be 
     considered an allotment or fund transfer from the CCC for the 
     purpose of the limit on expenditures for technical 
     assistance. (Sections 10007 and 10017)
       The Managers have combined this program with the Pest and 
     Disease program and increased baseline funding for both to 
     ensure the continued availability of funding for the 
     important work of the National Clean Plant Network. The 
     Conference substitute sets a funding floor of $5 million per 
     year to the National Clean Plant Networks but further 
     encourages the Secretary to provide from within the overall 
     allocation under this section additional funds if deemed 
     necessary. These funds may be provided to the Network without 
     regard to the process for distributing funds to address the 
     other provisions of Section 420 of the Plant Protection Act. 
     The Managers recognize that Disease Management and Disaster 
     Prevention Programs as previously authorized in the Food, 
     Conservation, and Energy Act of 2008 includes imminent 
     pressing and persistent threats from pests and disease, such 
     as Citrus Greening, to agriculture production.
       The Managers recognize the importance of the Federal 
     government, specifically the USDA, developing and maintaining 
     the highest technological capability of identifying plant 
     pests and invasive species. Further, the Managers believe 
     that the advanced technological capabilities acquired through 
     development of plant pest and disease detection technologies 
     should facilitate the development of a coordinated, 
     interagency response plan for the federal government to 
     effectively mitigate plant pests and disease. The Managers 
     encourage USDA to take the appropriate steps to facilitate 
     information and technology sharing with other appropriate 
     agencies of the Federal government involved in managing 
     invasive pests such as Department of the Interior, 
     Environmental Protection Agency, U.S. Customs and Border 
     Protection, U.S. Coast Guard and the U.S. Army Corps of 
     Engineers.
     (9) Modification Cancellation, or Suspension on Basis of a 
         Biological Opinion
       The House bill provides that except in the case of a 
     voluntary request from a registrant under section 3 of the 
     Federal Insecticide, Fungicide, and Rodenticide Act (7 U.S.C. 
     136a), a registration may be modified, canceled or suspended 
     on the basis of the implementation of a Biological Opinion 
     issued by the NMFS or the USFWS prior to the completion of 
     the National Academy of Sciences study commissioned by the 
     Administrator of the EPA or Jan. 1, 2015, whichever is 
     earlier, only if the action is taken pursuant to section 6 of 
     the Act and the Biological Opinion complies with the 
     recommendations contained in the study. The study shall 
     include at minimum: (1) a formal, independent, and external 
     peer review, consistent with OMB policies of each Biological 
     Opinion, (2) an assessment of economic impacts of measures or 
     alternatives recommended in each Biological Opinion, (3) an 
     examination of specific scientific and procedural questions 
     and issues pertaining to economic feasibility contained in a 
     June 23, 2011 letter sent to the Administrator and other 
     Federal officials from Members of Congress. (Section 10012)
       The Senate amendment has no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment authorizes two reports to 
     Congress that describe approaches and actions taken by the 
     EPA, the US Fish and Wildlife Service, and the National 
     Marine Fisheries Service to implement recommendations of the 
     report, ``Assessing Risks to Endangered and Threatened 
     Species from Pesticides'', to ensure public participation and 
     transparency during such implementation and to minimize 
     delays in integrating applicable pesticide registration and 
     registration review requirements and the species and habitat 
     protection processes described in sections 7 and 10 of the 
     Endangered Species Act (ESA). The final report to Congress 
     shall include an evaluation to establish that approaches 
     utilize the best available science, reasonable and prudent 
     alternatives (RPA) are technologically and economically 
     feasible, reasonable and prudent measures (RPM) are necessary 
     and appropriate and the agencies ensure public participation 
     and transparency in the development of RPA's and RPM's. The 
     amendment also authorizes an update of a study to identify 
     reasonable and prudent measures to implement the endangered 
     species pesticides labeling program which would comply with 
     the ESA and allow the continued production of food and fiber 
     and the report to Congress regarding the results of the 
     study. (Section 10013)
       Overall Purpose of Provision
       This provision addresses the activities of the 
     Environmental Protection Agency (EPA) and the Fish and 
     Wildlife Service and National Marine Fisheries Service 
     (collectively, the Services) in addressing the integration of 
     the consultation requirements of the Endangered Species Act 
     (ESA) and the pesticides registration requirements of the 
     Federal Insecticide, Fungicide and Rodenticide Act (FIFRA).
       A longstanding and well-documented inability to resolve 
     fundamental scientific issues central to the integration of 
     these statutory requirements led the EPA Administrator and 
     the Secretaries of the United States Department of 
     Agriculture (USDA), Department of Interior and Department of 
     Commerce to ask the National Research Council (NRC) of the 
     National Academy of Sciences (NAS) to provide guidance on 
     certain scientific issues.
       The final report from the NRC, Assessing Risks to 
     Endangered and Threatened Species from Pesticides, was 
     completed on April 30, 2013 (NAS Report). For the following 
     five months EPA, the Services, and USDA worked together and 
     produced an ``interim'' implementation plan (the ``Interim 
     Plan'') that was shared with stakeholders in mid-November of 
     2013. However, the Managers believe that further work needs 
     to be done to adequately address the concerns regarding the 
     ``Interim Plan.''
       It is the Managers intent through routine oversight to keep 
     all involved government entities focused on promptly building 
     the ``Interim Plan'' into a final set of processes and 
     procedures that will maximize the efficient use of limited 
     governmental resources, minimize delays in registration 
     actions under Sections 3 and 33 of FIFRA, make it

[[Page 2005]]

     possible for EPA to comply with the FIFRA requirement that 
     all registrations be reviewed every fifteen years, and ensure 
     meaningful public participation. Additionally, the Managers 
     through this provision reemphasize Congress's intention that 
     all reasonable and prudent alternatives to address ESA 
     concerns are economically and technologically feasible.
       Intent of Specific Subsections
       Subsection (a) requires that two reports be provided to the 
     Committees on Agriculture and Natural Resources of the House 
     of Representatives and the Committees on Agriculture, 
     Nutrition, and Forestry and Environment and Public Works of 
     the Senate jointly by the Administrator of the Environmental 
     Protection Agency and the Secretaries of Commerce, 
     Agriculture and the Interior, the first to be delivered 180 
     days after enactment of the legislation, and the second six 
     months later. Both reports are to describe the actions taken 
     and approaches underway to implement the NAS Report's 
     recommendations and otherwise minimize delays in integrating 
     FIFRA's pesticide registration and registration review 
     requirements and the ESA's species and habitat protection 
     processes. The Managers expect that each report should 
     include an explanation of how any remaining delays in this 
     integration are expected to be overcome, and a schedule for 
     doing so.
       The provision references both Section 3 and 33 of FIFRA 
     because both require timely EPA registration and registration 
     review actions, including specific deadlines for action. It 
     is the view of the Managers that the need for ESA compliance 
     does not override these deadlines. It is important that the 
     integration processes and procedures developed by EPA and the 
     Services assure EPA can meet its statutory deadlines. 
     Similarly, the Services should be exploring how habitat 
     conservation plans as part of an Incidental Take Permit under 
     Section 10 could be employed to simplify the consultation 
     process under Section 7 when processing a permit application.
       The provision underlines the importance of meaningful 
     public participation and transparency. In addition to 
     describing approaches and actions to ensure public 
     participation and transparency, the Managers specifically 
     expect the report to address experience with the process 
     described in EPA's March 2013 paper, Enhancing Stakeholder 
     Input in the Pesticide Registration Review and ESA 
     Consultation Processes and Development of Economically and 
     Technologically Feasible Reasonable and Prudent Alternatives 
     and any modifications of that process that have been adopted 
     or are anticipated.
       The conference report requires that the second report to 
     Congress address, in addition to an update of the matters 
     discussed in the first report, a number of other matters. 
     First, in identifying specific actions yet to be undertaken, 
     the report should provide a schedule for the initiation and 
     completion of each, which should be realistic and allow for 
     public participation.
       Second, the processes adopted both before and after 
     completion of the two reports should recognize EPA's 
     obligations to meet the requirements for timely action set 
     forth in FIFRA Sections 3 and 33 and the resources available 
     to the Services to address pesticide-related consultations.
       Third, the report should comprehensively explain why the 
     approaches and actions that have been or will be taken to 
     address Congress's concerns in enacting this provision 
     utilize the best available science, assure that reasonable 
     and prudent alternatives presented in biological opinions are 
     technologically and economically feasible and that reasonable 
     and prudent measures are necessary and appropriate. Among 
     other matters, this explanation should explain how the 
     substantive and procedural concerns that resulted in the 
     vacating of certain portions of the regulation appearing in 
     Subpart D of Part 402 of the Code of Federal Regulations in 
     Washington Toxics Coalition v. USEPA, 457 F.Supp. 2d 1158 
     (W.D. Wash. 2006), have been overcome; how the January 4, 
     2004 letter from the Director of the U.S. Fish and Wildlife 
     Service and Assistant Administrator of the National Marine 
     Fisheries Service to the Principal Deputy Assistant 
     Administrator of the Office of Prevention, Pesticides and 
     Toxic Substances of the Environmental Protection Agency has 
     been updated and revised; and how the Alternative 
     Consultation Agreement entered into in August, 2004 by the 
     Acting Assistant Administrator of the Office of Prevention, 
     Pesticides and Toxic Substances of the Environmental 
     Protection Agency, the Director of the U.S. Fish and Wildlife 
     Service, and the Assistant Administrator for Fisheries, 
     National Oceanic and Atmospheric Administration has been 
     revised or whether it is scheduled to be revised.
       Fourth, the report should include an update of the study 
     and report on how ESA implementation is being undertaken 
     while minimizing the impacts on persons engaged in the 
     production of agricultural food and fiber commodities and 
     other affected pesticide users and applicators.
     (10) Use and Discharge of Authorized Pesticides
       The House bill amends section 3(f) of the Federal 
     Insecticide, Fungicide, and Rodenticide Act prohibiting the 
     Administrator or a State from requiring a permit under the 
     Federal Water Pollution Control Act for pesticide 
     applications authorized under the Federal Insecticide, 
     Fungicide and Rodenticide Act, except in certain instances 
     and amends section 402 of the Federal Water Pollution Control 
     Act prohibiting the Administrator or a State from requiring a 
     permit under section 402 for the application into navigable 
     waters of a pesticide applications authorized under the 
     Federal Insecticide, Fungicide, and Rodenticide Act. 
     Subsection (s)(2) provides exceptions for certain instances. 
     (Section 10013)
       The Senate amendment has no comparable provision.
       The Conference substitute adopts the Senate provision.
     (11) Seed not Pesticide or Device for Purposes of Importation
       The House bill amends the Federal Insecticide, Fungicide, 
     and Rodenticide Act to eliminate the requirement to notify 
     the Administrator for seeds, including treated seeds, of the 
     arrival of pesticides and devices. (Section 10014)
       The Senate amendment has no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment prohibits the requirement of 
     notification to the Administrator of the EPA of the arrival 
     of a plant-incorporated protectant (PIP) contained in a seed. 
     The Secretary, if requested, shall provide to the 
     Administrator a list of seeds containing PIPs. The amendment 
     does not limit the Secretary's other authorities regarding 
     the movement of seeds. (Section 10008)
     (12) Stay on Regulations Related to Christmas Tree Promotion, 
         Research and Information Order
       The House bill requires the Secretary, within 60 days of 
     the enactment of this Act, to lift the administrative stay 
     imposed by the rule establishing an industry-funded 
     promotion, research and information program for fresh cut 
     Christmas trees. (Section 10015)
       The Senate amendment has no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 10014)
     (13) Study on Proposed Order Pertaining to Sulfuryl Flouride
       The House bill authorizes a report to Congress regarding 
     the potential economic and public health effects that would 
     result from finalization of the proposed order pertaining to 
     sulfuryl fluoride. (Section 10016)
       The Senate amendment has no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment directs the Administrator of the 
     EPA to exclude nonpesticidal sources of fluoride from 
     aggregate exposure assessments required under section 408 of 
     the FFDCA when assessing tolerances associated with residues 
     from the pesticide. (Section 10015)
     (14) Study on Local and Regional Food Production and Program 
         Evaluation
       The House bill requires the Secretary to collect data on 
     the production and marketing of locally or regionally 
     produced agricultural food products, facilitate data sharing, 
     and monitor programs designed to aid local and regional food 
     systems. The bill further provides a sunset date of September 
     30, 2018 for the annual report. (Section 10017)
       The Senate amendment is similar to the House bill but does 
     not include the sunset date.
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment adds further requirements for the 
     Secretary to collect data on regulatory compliance costs, 
     monitor regulatory barriers, and evaluate local food systems. 
     (Sec. 10016)
     (15) Annual Report
       The House bill authorizes a report and annual update to 
     Congress regarding invasive species including a list of each 
     invasive species that is in the U.S. as of the date of the 
     report and information regarding each invasive species 
     listed, including the means in which the species entered the 
     U.S., cost estimates of the species to the public and private 
     sectors and a description of any legal recourse available to 
     people affected by the species. (Section 10018)
       The Senate amendment has no comparable provision.
       The Conference substitute adopts the Senate provision.
     (16) Effective Date
       The Senate amendment provides an effective date of this 
     title as October 1, 2013. (Section 10013)
       The House bill has no comparable provision.
       The Conference substitute adopts the House provision.

                        Title XI--Crop Insurance

     (1) Information sharing
       The House bill, in section 11001(a), requires the Farm 
     Service Agency (FSA), when authorized by the producer, to 
     provide in a timely manner information to an agent or an 
     approved insurance provider (AIP) that may

[[Page 2006]]

     assist the agent or AIP in insuring the producer, providing 
     for privacy protection and limited sharing. Section 11001(b) 
     requires disclosure (by name) of the amount of crop insurance 
     assistance received by Members of Congress, Cabinet 
     Secretaries, and members of their immediate families. 
     (Section 11001)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment deleting the disclosure requirements under 
     section 11001(b). (Section 11001)
       The Managers intend that the information sharing required 
     under this section be effective upon enactment of the Farm 
     Bill. The Managers view the requirement of this section as an 
     important measure to ensure the timely correction and 
     prevention of errors. The Managers intend that the Farm 
     Service Agency provide agents or AIPs with information in a 
     timely fashion to fully effectuate the intent of this 
     section.
     (2) Publication of information on violations of prohibition 
         on premium adjustments
       The House bill requires the Federal Crop Insurance 
     Corporation (the Corporation) to publish information 
     regarding each violation of the prohibition on rebates or 
     premium adjustments, including any sanctions imposed, in 
     sufficient detail so that the information may serve as 
     effective guidance to AIPs, agents, and producers. (Section 
     11002)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 11002)
       The Managers stress the importance of timely enforcement 
     and publication of violations, especially in the heavy sales 
     period prior to the sales closing date. The Managers also 
     intend for the Risk Management Agency to investigate reports 
     of violations made to the Risk Management Agency by agents or 
     AIPs in the field. The Managers observe that the prohibition 
     on rebating under the Federal Crop Insurance Act (FCIA) has 
     not been construed to limit customary client relations, 
     including but not limited to providing risk management 
     education, maps, or help explaining coverage to lenders; 
     promotional materials such as pens, caps, notepads; or 
     engagement of clients in a social or civic setting. The 
     Managers view these services and activities as ordinary 
     business expenses common to the industry.
     (3) Supplemental coverage option
       The House bill, in section 11003(a), amends section 
     508(c)(3) of the Federal Crop Insurance Act to establish the 
     Supplemental Coverage Option (SCO). Section 508(c)(3)(A) and 
     (B) (as amended by section 11003(a) of the House bill) offers 
     producer the option of purchasing additional coverage based 
     on: (1) an individual yield and loss basis; (2) an area yield 
     and loss basis; or (3) an individual yield and loss basis 
     supplemented with coverage based on an area yield and loss 
     basis to cover part of the deductible under the individual 
     yield and loss policy. Section 508(c)(3)(C) (as amended by 
     section 11003(a) of the House bill) establishes coverage on a 
     margin basis alone or in combination with coverage on an 
     individual yield and loss basis or on an area yield and loss 
     basis, or an individual yield and loss basis supplemented 
     with coverage based on an area yield and loss basis. 
     Subsection (b) amends section 508(c)(4) of the Federal Crop 
     Insurance Act to establish the level of coverage available 
     under SCO. Section 508(c)(4)(C)(i) (as amended by section 
     11003(b) of the House bill) requires SCO to be available at a 
     county-wide level to the fullest extent practicable or, in 
     counties that lack sufficient data, on the basis of a larger 
     area that the Corporation determines will provide sufficient 
     data. Section 508(c)(4)(C)(ii) (as amended by section 
     11003(b) of the House bill) stipulates that indemnities will 
     be triggered only if losses in the area exceed 10 percent of 
     normal levels. Section 508(c)(4)(C)(iii) (as amended by 
     section 11003(b) of the House bill) establishes coverage in 
     an amount that does not exceed the difference between 90 
     percent and the coverage level selected by the producer for 
     the underlying policy or plan of insurance. Section 
     508(c)(4)(C)(iv) (as amended by section 11003(b) of the House 
     bill) stipulates that crops enrolled in Revenue Loss Coverage 
     or acres enrolled in stacked income protection for producers 
     of upland cotton (STAX) are not eligible for SCO. Section 
     508(c)(4)(C)(v) (as amended by section 11003(b) of the House 
     bill) establishes the premium for SCO at an amount that is 
     sufficient to cover anticipated losses and a reasonable 
     reserve and include an amount for operating and 
     administrative expenses. Subsection (c) amends section 
     508(e)(2) of the Federal Crop Insurance Act to establish 
     premium support for SCO at 65 percent of the additional 
     premium associated with the coverage and A&O at 12 percent of 
     the premium used to define loss ratio. Subsection (d) 
     requires the provision of SCO beginning with the 2014 crop 
     year. (Section 11003)
       The Senate amendment amends section 508(c)(3) of the 
     Federal Crop Insurance Act to establish SCO in the same 
     manner as the House provision. Section 11001(a) amends 
     section 508(c)(3) of the Federal Crop Insurance Act to 
     establish SCO. Section 11001(b) amends section 508(c)(4) of 
     the Federal Crop Insurance Act to establish the level of 
     coverage available under the SCO. Section 508(c)(4)(C)(i) (as 
     amended by section 11001(b) of the Senate amendment) requires 
     SCO to be available if sufficient data is available (as 
     determined by the Corporation). Section 508(c)(4)(C)(ii)) (as 
     amended by section 11001(b) of the Senate amendment) makes 
     coverage under this section subject to a deductible. If a 
     producer selects Agriculture Risk Coverage (ARC), the amount 
     of the deductible is equal to 22 percent of the expected 
     value of the crop. For all other producers, the deductible is 
     established at 10 percent. Section 508(c)(4)(C)(iii) ) (as 
     amended by section 11001(b) of the Senate amendment) 
     establishes coverage in an amount that does not exceed the 
     difference between 100 percent and the coverage level 
     selected by the producer for the underlying policy or plan of 
     insurance. Section 508(c)(4)(C)(iv) establishes the premium 
     for A&O in the same manner as the House provisions. 
     Subsection (c) establishes premium support and A&O in the 
     same manner as the House provision. Subsection (d) provides 
     for a conforming amendment. Section 11013, which establishes 
     a new section 508B of the Federal Crop Insurance Act, 
     provides that acres enrolled in STAX are ineligible for 
     supplemental coverage. (Sections 11001, 11013)
       The Conference substitute adopts the House provision with 
     amendments dropping the establishment of margin coverage 
     provided in the House provision from the SCO section, 
     establishing that SCO coverage will only be triggered if 
     losses in the area exceed 14 percent of normal levels, 
     limiting SCO coverage to not exceed the difference between 86 
     percent and the coverage level selected by the producer under 
     the underlying policy, disallowing SCO coverage for crops 
     enrolled in ARC (as well as acreage when enrolled in STAX), 
     and requiring SCO to be made available beginning with the 
     2015 crop year. (Section 11003)
       The Managers intend the Supplemental Coverage Option to be 
     made available by the Corporation for sale by agents and AIPs 
     in time for the 2015 crop year. This is essential given crop 
     insurance is assuming a larger role in the risk management of 
     producers in the wake of reduced support under the Commodity 
     Title. The Managers particularly note that a producer may 
     purchase a STAX policy and SCO coverage on the same cotton 
     crop in the same county provided that they are purchased for 
     separate acreage. The language in this section is clear on 
     this point, precluding SCO coverage and ARC on the same crop 
     but precluding SCO and STAX on the same acres. The Managers 
     intend that producers of hybrid seed, including but not 
     limited to hybrid seed corn, hybrid popcorn seed, hybrid 
     sweet corn seed, hybrid sorghum seed, and hybrid rice seed, 
     may supplement their coverage with either a revenue or yield 
     SCO coverage option, at the producer's election. The Managers 
     intend that cotton producers may supplement their cottonseed 
     coverage with SCO yield coverage.
       The Managers strongly urge the Corporation to allow popcorn 
     producers to be covered under area risk protection insurance 
     under written agreement until applicable policy provisions 
     are amended to allow for such coverage.
       Margin Coverage Option
       The House bill, in section 11003(a), authorizes margin 
     coverage for producers to elect alone, or in combination with 
     individual yield and loss coverage or area yield and loss 
     coverage, or in combination with both individual yield and 
     loss coverage and area yield and loss coverage. (Section 
     11003)
       The Senate amendment authorizes margin coverage to be made 
     available alone or in combination with either individual 
     yield and loss coverage or area yield and loss coverage. 
     (Section 11002)
       The Conference substitute adopts the House provision but 
     authorizes margin coverage under a separate section in the 
     Farm Bill from SCO. (Section 11004)
       The Managers intend that margin coverage be approved and 
     made available by the Corporation for sale by agents and AIPs 
     in time for the 2015 crop year. Timely approval and 
     availability is important to wheat, rice, and interested 
     producers of other commodities.
     (4) Premium amounts for catastrophic risk protection
       The House bill requires the CAT premium to be reduced by 
     the percentage equal to the difference between the average 
     loss ratio for the crop and 100 percent, plus a reasonable 
     reserve. (Section 11004)
       The Senate amendment is the same as the House, except the 
     reasonable reserve is ``as determined by the Corporation.'' 
     (Section 11003)
       The Conference substitute adopts the Senate provision. 
     (Section 11005)
     (5) Repeal of performance-based discount
       The House bill repeals the performance-based discount. 
     (Section 11005)
       The Senate amendment contains no comparable provision.
       The Conference substitute deletes the House provision.
     (6) Permanent enterprise unit subsidy
       The House bill makes permanent the Corporation's authority 
     to pay a higher portion of the premiums for policies that 
     insure on an enterprise unit basis. (Section 11006)

[[Page 2007]]

       The Senate amendment is the same as the House. (Section 
     11004)
       The Conference substitute adopts the House provision. 
     (Section 11006)
     (7) Enterprise units for irrigated and non-irrigated crops
       The House bill requires the Corporation to make available 
     separate enterprise units for acreages of irrigated and non-
     irrigated crops beginning with the 2014 crop year. (Section 
     11007)
       The Senate amendment is the same as the House except that 
     separate enterprise units are to be made available beginning 
     with the 2013 crop year. (Section 11005)
       The Conference substitute adopts the House provision but 
     makes separate enterprise units available beginning with the 
     2015 crop year. (Section 11007)
       The Managers intend for Enterprise Units by practice to be 
     made available by the Corporation in time for the 2015 crop 
     year.
     (8) Data collection
       The House bill provides authority for the use of data 
     collected by the Risk Management Agency (RMA), the National 
     Agricultural Statistics Service (NASS), or both, to determine 
     yields. Where sufficient county data is not available, the 
     Secretary is authorized to use data from other sources. 
     (Section 11008)
       The Senate amendment is the same as the House. (Section 
     11006)
       The Conference substitute adopts the House provision. 
     (Section 11008)
       The Managers would note that the effectiveness of the 
     improvements made by this Act to the Federal Crop Insurance 
     Act hinges considerably on ensuring that necessary data is 
     available for implementation of improvements in a manner that 
     benefits all producers. The Managers intend that the 
     Corporation will use this authority effectively to fully 
     accomplish the objectives of the crop insurance title of the 
     Farm Bill.
     (9) Adjustment in actual production history to establish 
         insurable yields
       The House bill strikes the 60 percent yield plug in current 
     law and replaces it with a 70 percent yield plug. (Section 
     11009)
       The Senate amendment provides for a yield plug at 65 
     percent but only with respect to yields for the 2014 and 
     subsequent crop years. (Section 11007)
       The Conference substitute adopts the House provision with 
     an amendment that drops the proposed replacement of the yield 
     plug in current law and authorizes producers to exclude 
     certain yield history from their APH database. The provision 
     amends section 508(g) (as amended by section 11009 of the 
     Farm Bill) by subjecting actual production history 
     requirements under section 508(g)(2)(A) to the new yield 
     exclusion authority and, under section 508(g)(4), by 
     requiring an appropriate adjustment in premium when a 
     producer elects to exclude yields pursuant to the authorities 
     provided by this provision. The new section 508(g)(4)(C)(i) 
     authorizes a producer to exclude any recorded or appraised 
     yield for any crop year in which the per planted acre yield 
     of the agricultural commodity in the county of the producer 
     was at least 50 percent below the simple average of the per 
     planted acre yield of the agricultural commodity in the 
     county during the previous 10 consecutive crop years. Section 
     508(g)(4)(C)(ii) provides that for any crop year in which a 
     producer is able to make an election to exclude a yield under 
     clause (i), a producer in a contiguous county may also elect 
     to exclude a yield under the authority granted by this 
     provision. Section 508(g)(4)(C)(iii) requires this provision 
     to be implemented by irrigation practice. (Section 11009)
       The Managers intend that when a producer elects to exclude 
     a yield under this section that the Corporation would also 
     exclude a year for purposes of calculating the producer's 
     average actual production history. For example, if a producer 
     has 10 years of history and elects to exclude one year 
     pursuant to this section, the conferees intend that the 
     Corporation will add the yields from the 9 remaining years in 
     the database and divide the total by 9, not 10. The amendment 
     to the Act specifically declares that a producer may make an 
     election to exclude one or more yields notwithstanding 
     section 508(g)(2)(A) which requires a data base building up 
     to 10 consecutive crop years. Since the statute does not 
     drill down further as to how the producer's average Actual 
     Production History is to be calculated by the Corporation, 
     the Managers intend that the more general directive in this 
     section along with this clarifying report language is 
     sufficient to ensure proper implementation as intended by the 
     Managers without the need to amend Corporation regulations. 
     The Managers note that this provision is effective upon the 
     date of enactment of the Farm Bill. To the extent that it is 
     not feasible to implement for the 2014 crop year due to the 
     reinsurance year already having begun, the Managers intend 
     that the provision will be implemented in time for the 2015 
     crop year. The Managers would observe that this provision 
     applies to any yield in a producer's actual production 
     database, including any yield that predates the enactment of 
     this section.
       The Managers strongly urge the Corporation to discontinue 
     use of downward trending with respect to databases of 
     perennial crops of 5 years or less due to the hardship this 
     inflicts on specialty crop producers, including peach 
     producers, who, under the current rules, are not allowed to 
     use their own proven APH despite the requirements of section 
     508(g)(2)(A). The Managers also strongly urge that vertically 
     integrated producers be permitted to use adjusters' 
     appraisals to settle claims and that transition yields for 
     peaches be updated to account for technology and innovation.
     (10) Submission and review of policies
       The House bill, in section 11010(a), requires the 
     Corporation to review and submit to the Federal Crop 
     Insurance Corporation Board of Directors (Board) any policy 
     developed under research and development contracting 
     authority or pilot program authority if the Corporation, at 
     its sole discretion, finds the policy will likely result in a 
     viable and marketable policy, would provide crop insurance 
     coverage in a significantly improved form, and adequately 
     protects producer interests. The provision also establishes 
     priorities for consideration and approval under section 
     508(h) of the Federal Crop Insurance Act, including a revenue 
     policy for peanuts, a margin policy for rice producers, and 
     separate enterprise units by risk rating in time for the 2014 
     crop year. Section 11010(b) allows for up to 75 percent of 
     research and development cost to be paid in advance. (Section 
     11010)
       The Senate amendment, in section 11008, is substantially 
     similar to the House provision except that the Senate 
     amendment does not include the House priorities. Section 
     11009 also proposes new policy review and approval criteria, 
     requiring the Board to approve a new policy, plan of 
     insurance, or other material for reinsurance and for sale by 
     approved insurance providers to producers at actuarially 
     appropriate rates and under appropriate terms and conditions 
     if the Board determines, at its sole discretion, that the 
     interests of producers are adequately protected; the rates of 
     premium and price election methodology are actuarially 
     appropriate; the terms and conditions are appropriate and 
     would not unfairly discriminate among producers; the proposed 
     policy or plan of insurance will, at the Board's sole 
     discretion, result in viable and marketable policy, will 
     provide crop insurance in a significantly improved form or in 
     a manner that addresses a recognized flaw or problem, and 
     will provide an improved kind of coverage for crops without 
     insurance or experiencing low participation in crop 
     insurance; the proposed policy or plan of insurance would 
     not, in the sole discretion of the Board, have a significant 
     adverse impact on the crop insurance delivery system; and the 
     policy or plan meets other requirements determined 
     appropriate by the Board. Section 11009 also provides that 
     the Board, at its sole discretion, may establish annual 
     priorities which would be made available on the Corporation 
     website as well as a process where priority submissions would 
     be considered and approved first. The Board is to consider 
     making the highest priority those submissions designed to 
     serve underserved commodities, including commodities for 
     which there is no insurance, and those designed to address 
     existing policies where there is inadequate coverage or low 
     participation levels. Section 11018 of the Senate provision 
     modifies the approval of costs for research and development, 
     including the allowance of a waiver on the 50 percent limit 
     on advance costs, permitting the Board to approve an 
     additional 25 percent advance payment to a submitter of a 
     policy intended to provide coverage for a region or crop that 
     is underserved by federal crop insurance, including specialty 
     crops. (Sections 11008, 11009, 11018)
       The Conference substitute adopts the Senate provisions, 
     combining them into one section with the following 
     amendments. The Board is required to review and approve for 
     reinsurance and for sale by approved insurance providers to 
     producers at actuarially appropriate rates and under 
     appropriate terms and conditions any policy, plan of 
     insurance, or other material where the Board determines that 
     the interests of producers are protected. In addition, the 
     Board must determine that the proposed policy or plan of 
     insurance will provide a new kind of coverage that is likely 
     to be viable and marketable, provide insurance coverage in a 
     manner that addresses a clear and identifiable flaw or 
     problem in an existing policy, or provide a new kind of 
     coverage for a commodity that previously had no crop 
     insurance or has demonstrated a low level of participation or 
     coverage level under existing coverage. The Board must also 
     determine that the policy or plan of insurance will not have 
     a significant adverse impact on the crop insurance delivery 
     system. The Board is required, in a timely manner, to first 
     consider policies or plans of insurance that address 
     underserved commodities, including commodities for which 
     there is no insurance; secondly, to consider modifications to 
     existing policies or plans of insurance for which there is 
     inadequate coverage or there exists low participation levels 
     for a crop; and finally to consider other submissions under 
     section 508(h). The Board is required to make a priority the 
     approval of a revenue policy for peanuts and a margin 
     coverage policy for rice in time for the 2015 crop year; and 
     the Board is authorized to approve another priority in time 
     for the 2015 crop year, a submission that allows separate

[[Page 2008]]

     Enterprise Units by risk rating. With respect to approval of 
     costs for research and development, the requirement that a 
     policy address ``a unique need of agricultural producers'' is 
     dropped as part of the qualifying criteria for the 50 percent 
     advance, and the submitter not having sufficient financial 
     resources to complete the development of the submission into 
     a viable or marketable policy is dropped as part of the 
     criteria for an additional 25 percent advance. (Section 
     11010)
       The Managers observe the importance of a section 508(h) 
     submission process that is highly conducive to the 
     development, approval, and availability of new risk 
     management products for producers. The Managers intend that, 
     provided that largely objective standards are met by a 
     submission under section 508(h), the Board must approve the 
     policy. The Managers intend that the Board will honor the 
     general priorities as required under the amendments made to 
     section 508(h) under this section but in a manner that also 
     provides for the timely consideration of other policies. The 
     Managers specifically intend for the Board to approve a 
     peanut revenue policy and a margin policy for rice producers 
     in time for the 2015 crop year, as required under this 
     section, and intend for the Board to use the authority 
     granted under this section to consider and approve a 
     submission providing for separate Enterprise Units by risk 
     rating also in time for the 2015 crop year. The Managers 
     would also strongly urge the Board to place a high priority 
     on the approval of a specialized irrigated grain sorghum 
     policy that establishes improved rates and t-yields based on 
     a certain high level of crop management.
     (11) Equitable relief for specialty crop policies
       The House bill provides that for each of the 2011 through 
     2015 reinsurance years, the Corporation must provide $41 
     million in reimbursement (in addition to the total amount of 
     funding for A&O reimbursement) with respect to eligible 
     insurance contracts for any agricultural commodity that is 
     not eligible for a benefit under subtitles A, B or C of Title 
     I of this Act. (Section 11011)
       The Senate amendment contains no comparable provision.
       The Conference substitute deletes the House provision.
     (12) Consultation
       The Senate amendment requires the submitter of a proposed 
     policy to, as part of the 508(h) review process, consult with 
     groups representing producers of agricultural commodities in 
     all major producing areas for the commodities to be served or 
     potentially impacted, either directly or indirectly. Any 
     submission to the Board must include a summary assessment of 
     the consultation and the Board must use the assessment to 
     determine if the submission will create adverse market 
     distortions. (Section 11010)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision but 
     confines the scope of the new consultation requirements to 
     fruits, vegetables, tree nuts, dried fruits, horticulture, 
     nursery crops, and floriculture. (Section 11011)
     (13) Budget limitations on renegotiation of the Standard 
         Reinsurance Agreement
       The House bill requires that, to the maximum extent 
     practicable, any new SRA negotiated under section 
     508(k)(8)(A)(ii) shall be budget neutral as compared to the 
     previous SRA, that in no event may a new SRA significantly 
     depart from budget neutrality, and that any incidental 
     savings realized from the renegotiation of the Standard 
     Reinsurance Agreement be used to increase premium subsidies, 
     A&O reimbursements, or fund pilot programs. (Section 11012)
       The Senate amendment is similar except that the provision 
     requires any savings realized from the renegotiation of the 
     Standard Reinsurance Agreement ``be used for programs 
     administered or managed by the Risk Management Agency.'' 
     (Section 11011)
       The Conference substitute adopts the House provision with 
     an amendment to clarify that, to the maximum extent 
     practicable, estimated underwriting gains under any new SRA 
     must be budget neutral as compared to estimated underwriting 
     gains under the immediately preceding SRA were the preceding 
     SRA extended over the same period of time (Subparagraph 
     (F)(i)(I)). The substitute also clarifies that any future SRA 
     must comply with provisions of the Federal Crop Insurance Act 
     governing A&O rates but that this requirement is subject to 
     the requirement that, to the maximum extent practicable, the 
     estimated total amount of A&O under any new SRA shall not be 
     less than the estimated total amount of A&O under the 
     immediately preceding SRA were the preceding SRA extended 
     over the same period of time, as estimated on the date of 
     enactment of the Farm Bill (Subparagraph (F)(i)(II)). The 
     substitute requires in the same clause that in no event shall 
     a new SRA significantly depart from the budget neutrality as 
     defined in each of subclauses (I) and (II) unless otherwise 
     required by the Federal Crop Insurance Act (Subparagraph 
     (F)(i)(III)). The substitute further requires that to the 
     extent there are any budget savings from a future SRA and 
     they do not result in a significant departure from the budget 
     neutrality required under each of subparagraphs (F)(i)(I) and 
     (F)(i)(II), the savings must be used to increase A&O or 
     underwriting gains (Subparagraph (F)(ii)). (Section 11012)
       The Managers note that Federal Crop Insurance has been 
     reduced by about $17 billion over the past six years, 
     including directly in the 2008 Farm Bill, in the context of 
     the 2011 Standard Reinsurance Agreement negotiated in 2010 
     pursuant to section 508(k)(8)(A)(i), and in the subsequent 
     premium rerating of policies. The Managers intend that, in 
     compliance with this section, any SRA negotiated pursuant to 
     section 508(k)(8)(A)(ii) shall not be used as a means of 
     achieving further cuts to Federal Crop Insurance. To this 
     end, this provision of law requires forbearance from further 
     cuts in any future SRA negotiations to the maximum extent 
     practicable. The Managers observe that this provision imposes 
     a clear duty on the FCIC to fulfill the statutory command to 
     the extent that it is feasible or possible to do so while 
     still fulfilling the purposes of the statute, namely the 
     provision of crop insurance to farmers and ranchers through 
     approved insurance providers and private sector agents. 
     Absent clear directive under a future Act of Congress, the 
     Managers expect that forbearance from budget reductions under 
     any future SRA is, in fact, both feasible and possible. In 
     requiring budget neutrality, it is the intent of the Managers 
     that the authority of the Corporation to carry out its 
     authorities under this subtitle to establish or revise 
     premium rates shall not be affected by this amendment.
       The Managers note that this provision of law establishes an 
     effective floor for estimated underwriting gains (UWGs) and 
     A&O amounts under any future SRA that is based on estimates 
     under the current SRA. Subject to the prescribed minimum 
     amount of A&O, the Managers also note that the provision 
     requires the FCIC to comply with applicable provisions of the 
     FCIA when establishing A&O rates. In contrast to UWGs where 
     there is no statutory instruction, there is significant 
     statutory instruction and history with respect to A&O rates. 
     For instance, section 508(k)(4)(A)(ii) established a maximum 
     A&O rate of 24.5 percent of premium used to define loss ratio 
     beginning with the 1999 reinsurance year. Section 
     508(k)(4)(E) subsequently fixed the rate of A&O at 2.3 
     percentage points below the rate in effect on the date of 
     enactment of the 2008 Farm Bill with respect to the 2009 and 
     subsequent reinsurance years. And section 508(k)(8)(E) 
     authorized alternative methods to determine A&O rates for 
     covered reinsurance years under the SRA that took effect 
     beginning with the 2011 reinsurance year. The Managers would 
     observe that the applicable statutory A&O rates are made 
     subject to the estimated minimum amount of A&O required under 
     this provision of law as well as to any additional A&O 
     required in the event of incidental savings from a future SRA 
     negotiated under section 508(k)(8)(A)(ii). The Managers note 
     that Subparagraph (F)(i)(III) enforces the overarching 
     purpose of this provision of law which is to avoid future 
     spending reductions by maintaining budget neutrality. The 
     Managers do not intend that this provision be construed to 
     require that funding be increased or decreased with respect 
     to either A&O or UWGs in a manner that would increase or 
     decrease such funding relative to a future SRA negotiated 
     under section 508(k)(8)(A)(ii) unless an increase or decrease 
     is otherwise required by the operation of law.
       Subparagraph (F)(i)(III) generally restates the overarching 
     purpose of this provision of law which is to maintain budget 
     neutrality unless the statute requires otherwise. The 
     Managers note that budget neutrality requirements as defined 
     in each of subclauses (I) and (II) and each enforced by 
     subclause (III) may not be construed to require a reduction 
     to another program. Subparagraph (F)(ii) holds that any 
     savings from an SRA negotiated under section 508(k)(8)(A)(ii) 
     shall be purely incidental and any such savings must be 
     redirected back into A&O and UWGs. Thus, the Managers intend 
     that any savings under a future SRA be, in fact, purely 
     incidental and that these savings be used to increase A&O and 
     UWGs in a manner that is not discriminatory or prejudicial to 
     any approved insurance provider or agent. The Managers 
     further intend that incidental savings from UWGs should be 
     redirected to UWGs and, likewise, incidental savings from A&O 
     should be redirected to A&O.
     (14) Test weight for corn
       The Senate amendment requires the Corporation to establish 
     procedures to allow insured producers not more than 120 days 
     to settle claims, in accordance with procedures established 
     by the Secretary, involving corn that is determined to have 
     low test weight. As soon as practicable after the date of 
     enactment of this provision, the Corporation is required to 
     implement this provision on a regional basis based on market 
     conditions and the interests of producers. The authority 
     under this section terminates 5 years from implementation. 
     (Section 11012)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision. 
     (Section 11013)
     (15) Crop production on native sod
       The House bill amends Section 508(o) of the Federal Crop 
     Insurance Act. The provision

[[Page 2009]]

     amends the definition of native sod to include land that a 
     producer cannot substantiate has ever been tilled. With 
     respect to native sod, the provision requires a reduction in 
     crop insurance premium support, and is denied NAP payments or 
     Commodity Title payments. The provision requires that during 
     the first 4 years of planting a crop on native sod, the 
     premium support for crop insurance will be reduced by 50 
     percentage points. The provision also provides that the 
     required reduction in benefits will apply to 65 percent of 
     the transitional yield of the producer and that a producer 
     may not substitute yields on native sod ground. The provision 
     is limited in application to the Prairie Pothole National 
     Priority Area. The provision amends the Non-Insured Crop 
     Disaster Assistance Program (NAP) program in the same 
     fashion. Section 10013(c) requires a cropland report to the 
     House and Senate Agriculture Committees and annual updates. 
     (Section 11013)
       The Senate amendment requires the same reduction in 
     benefits as the House provision except that the Senate 
     provision makes the reduction in benefits for planting on 
     native sod nationwide. It further requires a cropland report 
     and annual updates. (Section 11035)
       The Conference substitute provides for a reduction in 
     benefits for a producer that has tilled native sod for the 
     production of an annual crop under both the Federal Crop 
     Insurance Act and NAP. Under the Federal Crop Insurance Act, 
     a producer is subject to a reduction in benefits during the 
     first four crop years of planting. The crop insurance insured 
     yield would be determined using a yield of 65 percent of the 
     transitional yield of the producer. The reduced subsidy would 
     be 50 percentage points less than the premium subsidy that 
     would otherwise apply. The reduction in benefits does not 
     apply to catastrophic level coverage.
       In the case of benefits under NAP, a producer planting on 
     native sod during the first four years is subject to a 
     reduction in benefits. The reduced approved yield is 
     determined by a yield that is 65 percent of the T yield of 
     the producer. The service fees or premiums would be equal to 
     200% of the service fee or premium.
       The conference substitute provides that the reduction in 
     benefits for both federal crop insurance and NAP apply only 
     on native sod in the states of Minnesota, Iowa, North Dakota, 
     South Dakota, Montana, and Nebraska.
       The conference substitute adopts the Senate provision on 
     the requirement for a crop land report and annual updates. 
     (Section 11014)
       The Managers do not intend for approved insurance providers 
     (AIP) or agents to be responsible for making any 
     determinations relative to this section, nor for AIPs or 
     agents to undertake any liability for changes in eligibility 
     determinations.
     (16) Coverage levels by practice
       The House bill allows a producer that produces an 
     agricultural commodity on both dry land and irrigated land to 
     elect a different coverage level for each production practice 
     beginning with the 2015 crop year. (Section 11014)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 11015)
       The Managers intend that this provision will be implemented 
     in time for the 2015 crop year. The Managers would observe 
     that the risks relative to producing crops on dry land 
     acreage versus irrigated acreage are considerably different 
     and that many producers seek different coverage levels that 
     are tailored to those differing risks.
     (17) Beginning farmers and rancher provisions
       The House bill, in section 11015, defines a beginning 
     farmer or rancher as one who has not actively operated and 
     managed a farm or ranch with a bona fide interest in a crop 
     or livestock as an owner-operator, landlord, tenant, or 
     sharecropper for more than 5 crop years. Except in the case 
     of CAT coverage, beginning farmers and ranchers receive 
     premium assistance that is 10 percentage points higher than 
     premium assistance otherwise provided. The section requires 
     that a beginning farmer or rancher previously involved in a 
     farming or ranching operation, including in decision making 
     or physical involvement, be assigned a yield that is the 
     higher of the APH of the previous producer of the crop or 
     livestock on the acreage or the yield of the producer as 
     otherwise provided by statute. The section further provides 
     beginning farmers and ranchers with a higher yield plug of 80 
     percent of the applicable transitional yield. (Section 11015)
       The Senate amendment is similar to the House. (Section 
     11032)
       The Conference substitute adopts the House provision. 
     (Section 11016)
       The Managers intend this section to be implemented in a 
     manner that does not discriminate against producers who grew 
     up on a farm or ranch, left for post-secondary education or 
     military service, and returned to the farm or ranch. When 
     calculating the 5 crop years in this section, the Managers 
     intend that any year when a producer was under the age of 18, 
     in post-secondary studies, or serving in the U.S. military 
     should not be counted.
     (18) Stacked income protection plan for producers of upland 
         cotton
       The House bill, in section 11016(a), requires the 
     Corporation to make available to upland cotton producers, 
     beginning with the 2014 crop year, a new additional policy 
     which is to provide coverage consistent with the Group Risk 
     Income Protection (GRIP) Plan along with the Harvest Revenue 
     Option Endorsement offered in the 2011 crop year. The section 
     authorizes the Corporation to modify the policy on a program-
     wide basis provided the plan complies with certain 
     requirements. The section requires coverage for revenue loss 
     of not less than 10 percent and not more than 30 percent of 
     expected county revenue, offered in increments of 5 percent. 
     The section establishes a deductible under the policy of 10 
     percent of revenue loss in a county. The section requires 
     that the policy be made available to all upland cotton 
     producers in all counties of production at a county-wide 
     level to the fullest extent practicable, or in counties that 
     lack sufficient data, on the basis of a larger geographical 
     area as determined by the Corporation. The section provides 
     that this coverage may be purchased alone or in addition to 
     any other individual or area coverage on the same acreage 
     except that in the latter case the coverage may not exceed 
     the deductible of the other policy. The section requires that 
     coverage be based on the expected price established under 
     existing GRIP or area wide policy offered by the Corporation 
     for the county or area and crop year and an expected county 
     yield. The section requires that the expected county yield be 
     the higher of the expected county yield for existing area 
     wide plans for the applicable county (or area) and crop year 
     (or in geographic areas where area-wide plans are not 
     offered, an expected yield determined in a consistent manner 
     with an area wide plan) or the average of the applicable 
     yield data for the county (or area) for the most recent 5 
     years, excluding the high and low, as observed by RMA, NASS, 
     or both, or other data determined appropriate by the 
     Secretary if sufficient county data is not available. The 
     section requires use of a multiplier factor of not less than 
     the higher of the level established on a program wide basis 
     or 120 percent. The section requires an indemnity to be paid 
     based on the amount that expected county revenue exceeds 
     actual county revenue as applied to the individual coverage 
     of the producer, except that indemnities may not include or 
     overlap the producer's selected deductible. The section 
     requires the availability of this coverage by irrigation 
     practice in all counties where data is available. The section 
     establishes the amount of premium and premium support and 
     specifies the amount of A&O required for the policy. The 
     section clarifies that the policy is in addition to all other 
     coverage available to producers of upland cotton. Finally, 
     section 11016(b) provides for a conforming amendment.
       The Senate amendment: Section 11013 is similar to the House 
     bill except that the Senate requires the stacked income 
     protection plan to be made available beginning with the 2014 
     crop year if practicable and requires such protection to be 
     made available by irrigation practice to the maximum extent 
     practicable. (Section 11013)
       The Conference substitute adopts the House provision except 
     that stacked income protection for upland cotton producers is 
     required to be made available beginning not later than the 
     2015 crop year. (Section 11017)
       The Managers intend that the Stacked Income Protection Plan 
     for Producers of Upland Cotton be implemented in a manner 
     that if a producer participates in both the Stacked Income 
     Protection Plan and an area-wide policy, the total 
     indemnification under both policies combined does not exceed 
     the total insured value of the crop. The Managers intend that 
     the Stacked Income Protection Plan for Producers of Upland 
     Cotton be implemented in a manner that includes the features 
     of existing area-wide crop insurance products, including 
     allowing for producers to select or decline the Harvest Price 
     Option. The Managers further intend that Stacked Income 
     Protection Plan be fully implemented by the Corporation as 
     expeditiously as possible.
     (19) Peanut revenue crop insurance
       The House bill, in Section 11017, requires the Corporation 
     to make available revenue insurance for peanut producers 
     beginning with the 2014 crop year. The section establishes an 
     effective price for revenue and multiple peril insurance at a 
     price equal to the Rotterdam price index for peanuts, 
     adjusted to reflect the farmer stock price of peanuts in the 
     U.S. The section authorizes RMA to adjust the effective price 
     to correct distortions in an open and transparent manner with 
     a report to the Agriculture Committees on the reasons for the 
     adjustment. (Section 11017)
       The Senate amendment is similar to the House provision. 
     (Section 11014)
       The Conference substitute adopts the House provision except 
     that peanut revenue coverage is required beginning with the 
     2015 crop year and the effective price must be either the 
     Rotterdam price or other appropriate price as determined by 
     the Secretary. (Section 11018)
       The Managers note that peanut revenue coverage is required 
     to be made available to

[[Page 2010]]

     peanut producers in time for the 2015 crop year and that a 
     separate section within the crop insurance title of this Act 
     requires that the approval of a peanut revenue policy be made 
     a priority.
     (20) Authority to correct errors
       The House bill amends section 515(c) of the Federal Crop 
     Insurance Act to allow an agent or an AIP to correct 
     unintentional errors in information that are provided by a 
     producer. Section 515(c)(3)(A) (as amended by section 11018 
     of the House bill) specifies that the authority granted by 
     section 10018 shall be in addition to any corrections already 
     permitted and in place on the date of enactment of this Act. 
     Section 515(c)(3)(A)(i) provides agents and AIPs authority to 
     correct unintentional errors in information provided by the 
     producer to obtain insurance within a reasonable period 
     following the sales closing date. Section 515(c)(3)(A)(ii)(I) 
     also provides that, within a reasonable time following the 
     acreage reporting date, agents and AIPs may correct 
     unintentional errors in factual information that are provided 
     by a producer after the sales closing date to reconcile the 
     information with the information reported by the producer to 
     FSA. Section 515(c)(3)(A)(ii)(II) provides that agents and 
     AIPs may make corresponding corrections within a reasonable 
     amount of time following the date of any subsequent 
     correction of data by the FSA made as a result of the 
     verification of information. Section 503(c)(3)(A)(iii) 
     provides that AIPs and agents may at any time correct 
     unintentional errors made by FSA, agents, or AIPs in 
     transmitting the information provided by the producer to the 
     approved insurance provider or the Corporation. Section 
     515(c)(3)(B) provides that in accordance with Corporation 
     procedures, the corrections permitted under clauses (i) and 
     (ii) may only be made if the corrections do not allow the 
     producer to avoid ineligibility requirements; to obtain, 
     enhance or increase an insurance guarantee or avoid a premium 
     owed if a cause of loss exists or has occurred before any 
     correction has been made; or to avoid an obligation or 
     requirement under federal or state law. Section 515(c)(3)(C) 
     exempts errors corrected pursuant to this section from any 
     late filing sanctions. (Section 11018)
       The Senate amendment amends section 515(c) of the Federal 
     Crop Insurance Act to require the Corporation to establish 
     procedures to allow an agent or an AIP to, within a 
     reasonable amount of time after the sales closing date, 
     correct errors in specified information that is provided by a 
     producer to ensure the information is consistent with 
     information reported to FSA. The section limits the ability 
     to correct errors if allowance would allow the producer to 
     obtain a disproportionate benefit under crop insurance or 
     other USDA program, avoid ineligibility requirements for crop 
     insurance, or avoid an obligation under federal or state law. 
     (Section 11015)
       The Conference substitute adopts the House provision but 
     requires the Corporation to establish procedures to implement 
     the authority to correct errors that are in addition to 
     authorities to correct errors in place as of the day before 
     the date of enactment of this Act. The substitute also 
     clarifies that the authority granted under Section 
     508(c)(3)(A)(i) is also to ensure that the information is 
     consistent with information reported by the producer for 
     other programs administered by the Secretary. The substitute 
     allows an agent or approved insurance provider to make 
     corresponding corrections within a reasonable amount of time 
     following the date of any correction by the FSA made as a 
     result of the verification of information. The substitute 
     also clarifies that at any time an agent or an approved 
     insurance provider may correct their electronic transmission 
     errors, or the electronic transmission errors of FSA or other 
     USDA agencies to the extent that the agent or AIP relied on 
     that information. The substitute also provides authority to 
     allow a producer to make late payment for crop insurance 
     under certain conditions. (Section 11019)
       The Managers would note that the authority to correct 
     errors is in addition to any authorities to correct errors in 
     existence on the day before the date of enactment of this 
     Act, and that the additional authority provided under this 
     section does not preclude the agency from administratively 
     providing other additional authorities to correct errors.
     (21) Implementation
       Section 11020 requires the Secretary to maintain and 
     upgrade information management systems used in the 
     administration and enforcement of the FCIA. The section 
     requires the Secretary to ensure that new hardware and 
     software are compatible with the same used by other USDA 
     agencies. The section requires the Secretary to develop and 
     implement an acreage report streamlining initiative project. 
     Mandatory funds are authorized by the section for systems 
     upgrades ($25 million for FY2014 and $10 million for each 
     fiscal year from FY2015 through FY2018) with additional 
     funding (an additional $5 million for each fiscal year from 
     FY2015 through FY2018) made available upon completion of the 
     Acreage Crop Reporting Streamlining Initiative (ACRSI). The 
     section requires a report to the Agriculture Committees upon 
     the substantial completion of ACRSI. (Section 11019)
       The Senate amendment is similar to the House provision and 
     the funding levels are the same, except the expected 
     completion date for ACRSI and the submission date of the 
     report to the Agriculture Committees of Congress are 
     different. (Section 11016)
       The Conference substitute adopts the House provision except 
     with reduced funding levels, with $14 million in FY2014 and 
     $9 million in each fiscal year from FY2015 through FY2018 
     with an additional $5 million for each fiscal year from 
     FY2015 through FY2018 if the specified conditions are met. 
     (Section 11020)
     (22) Crop insurance fraud
       The Senate amendment amends section 516(b)(2) to require 
     that beginning with the 2014 reinsurance year and for each 
     reinsurance year thereafter, the Corporation may use up to $5 
     million from the insurance fund to pay costs to reimburse 
     expenses incurred for the review of policies, plans of 
     insurance, and related materials and assist the Corporation 
     in maintaining program integrity and, in addition to other 
     amounts for this purpose, costs incurred by RMA for 
     compliance operations. (Section 11017)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision with 
     modifications. The substitute provides that the Corporation 
     may use from the insurance fund not more than $9 million for 
     each of the 2014 and subsequent reinsurance years to 
     reimburse expenses incurred for the operations and review of 
     policies, plans of insurance, and related materials, and to 
     assist the Corporation in maintaining program actuarial 
     soundness and financial integrity. The substitute further 
     provides that Secretary may, without further appropriation 
     merge some or all of the funds made available under this 
     subparagraph into the accounts of the Risk Management Agency 
     and obligate those funds. The substitute also provides that 
     the funds made available under this subparagraph are in 
     addition to other funds made available for costs incurred by 
     the Corporation. (Section 11021)
     (23), (24), (26) Research and development priorities, 
         Additional Research and Development Contracting 
         Requirements, Alfalfa Crop Insurance Policy
       The House bill authorizes the Corporation to conduct 
     research and development in addition to current authority to 
     enter into contracts for research and development. The 
     section also makes underserved agricultural commodities, 
     including sweet sorghum, biomass sorghum, rice, peanuts, 
     sugarcane, alfalfa, pennycress, and specialty crops research 
     and development priorities. (Section 11020)
       The Senate amendment is similar to the House provision but 
     excludes rice, peanuts, alfalfa, and pennycress while adding 
     dedicated energy crops. The section also requires the 
     Corporation to follow consultation requirements before 
     conducting research and development or entering into a 
     contract. (Section 11028)
       The Conference substitute adopts the House provision and, 
     within the same section, incorporates specific research and 
     development requirements from section 10021 of the House bill 
     and sections 11019, 11020, 11021, 11022, 11023, 11026 of the 
     Senate bill, including House section 11021's margin coverage 
     for catfish (which is the same as Senate section 11022); 
     House section 11021's biomass and sweet sorghum energy crop 
     insurance policies, which is similar to Senate section 11025; 
     the House study on swine catastrophic disease program, which 
     is similar to the study in Senate section 11021 except that 
     under the Substitute the Corporation is required to contract 
     with 1 or more qualified entities; the House whole farm 
     diversified risk management insurance plan, which is similar 
     to Senate section 11019, except that the Corporation is given 
     up to two years to reach resolution before having to follow 
     the directive of the section under the Substitute; the House 
     section 11021 study on poultry catastrophic disease program; 
     the House section 11021 poultry business interruption 
     insurance policy which is similar to Senate section 11023 
     except that under the Substitute any coverage is limited to a 
     portion of losses; the House section 11021 study of food 
     safety insurance which is similar to Senate section 11020; 
     and Senate section 11026 regarding alfalfa crop insurance 
     policy. (Section 11022)
       The Managers would note that sweet sorghum and biomass 
     sorghum are listed as underserved commodities and intend that 
     the Corporation give proper priority to the development and 
     ultimate availability of coverage for these crops. The 
     listing of rice and peanuts as underserved commodities also 
     prioritizes development and availability of new policies 
     serving these crops, including margin coverage for rice and 
     revenue coverage for peanuts.
       The Mangers recognize alfalfa to be an important domestic 
     forage crop valued for nitrogen fixation, soil conservation, 
     crop rotation, and as a natural habitat. The Mangers view 
     alfalfa as having great potential for the national cash hay 
     market and as an affordable means of supporting the forage 
     and intensive grazing needs of the horse, cattle, and dairy 
     sectors. However, from 2002 through 2011, alfalfa acreage has 
     declined 15.7

[[Page 2011]]

     percent, and in 2012 alone acreage declined an additional 10 
     percent. The Mangers stress the importance of an alfalfa crop 
     insurance policy to ensure that producers have the risk 
     management protection that they need to produce this 
     important crop. The Managers urge the Secretary to include 
     information regarding regional differences in cultivation in 
     the alfalfa crop insurance study.
       In developing the whole farm diversified risk management 
     insurance policy, the Managers recognize that the Corporation 
     may include coverage for the value of any packing, packaging, 
     or any other similar on-farm activity the Corporation 
     determines to be the minimum required in order to remove the 
     commodity from the field. Making a crop market-ready may 
     require incidental on-farm processing that could occur either 
     in-field or off-field. This activity includes packing, 
     packaging, washing, labeling, trimming, and other similar 
     activities that occur after harvest in order to ensure a 
     marketable commodity. It is the Managers' view that the 
     production cost of such activities does not add value to the 
     product beyond making it a saleable commodity.
       In conducting the study on food safety insurance, the 
     Managers do not intend to delay RMA's on-going efforts on 
     these issues. The Managers are aware of existing RMA pilots 
     on quarantine and encourages additional on-the-ground 
     exploration into how risk management might work for 
     quarantine in a specialty crop setting in both perennial and 
     annual crops. The Managers acknowledge that naturally 
     occurring food safety pathogens (a natural peril) could be 
     insurable as cause of loss, but in light of the historical 
     challenges of insuring these perils urges the agency to make 
     examination of data collection into the extent and severity 
     of these perils a priority for this report. The Managers 
     likewise encourage RMA to continue to refine how crop 
     insurance might protect against the risks associated by 
     naturally occurring food safety pathogens. These risks could 
     be associated with either revenue or yield and RMA's on-the-
     ground product development should not be slowed by this 
     study. This study is designed to help specialty crop 
     producers and Congress understand how these risks are already 
     being, or could be, addressed by the crop insurance system. 
     Special emphasis should be placed on the types of practical 
     challenges that RMA believes are present that need to be 
     overcome in order to create actuarially sound products as is 
     required by statute, including, for example, data collection 
     challenges that may be different or unique to specialty crops 
     vis-a-vis row crops and the implementation of new insurance 
     products on a pilot basis is encouraged as a part of an 
     insurance-relevant data collection effort.
       In establishing appropriate maintenance payments under 
     Section 522(b)(4)(D)(ii) of the Federal Crop Insurance Act, 
     the Managers urge the Corporation to consider whether it is 
     appropriate to establish such payments at an amount totaling 
     not less than the greater of $10 per policy (as adjusted 
     periodically for inflation); one half of one percent of the 
     total risk premium applicable to the policy; or, if 
     applicable, the fee per policy approved by the Board under 
     this paragraph that was in effect for crop year 2013.
     (25) Study of crop insurance for seafood harvesters
       The Senate amendment requires the Corporation to conduct a 
     feasibility study of insuring seafood harvesters and report 
     to Congress on the results of the study. (Section 11024)
       The House bill contains no comparable provision.
       The Conference substitute deletes the Senate provision.
     (27) Crop insurance for organic crops
       The Senate amendment requires as soon as possible but not 
     later than for the 2015 reinsurance year, the Corporation 
     shall offer producers of organic crops price elections for 
     all organic crops, produced in compliance with USDA 
     standards, that reflect the retail or wholesale price, as 
     appropriate. The provision requires the Corporation to then 
     report to Congress on progress made in developing and 
     improving crop insurance for organic crops. (Section 11027)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision. 
     (Section 11023)
     (28) Program compliance partnerships
       The House bill provides that the purpose of subsection 
     522(d) of the Federal Crop Insurance Act is to authorize the 
     Corporation to enter into partnerships with private and 
     public entities for the purpose of either increasing 
     availability of loss mitigation, financial, and other risk 
     management tools for producers, with a priority given to risk 
     management tools for producers covered by the Non-Insured 
     Assistance program (NAP), specialty crops, and underserved 
     commodities or improving analysis tools and technology 
     regarding compliance or identifying and using innovative 
     compliance strategies. (Section 11022)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment that rewrites the purposes of section 522(d), as 
     proposed in the House provision, and adds to the objectives 
     provided under section 522(d)(3) the improvement of analysis 
     tools and technology regarding compliance or identifying and 
     using innovative compliance strategies. (Section 11024)
       In expanding the Partnerships for Risk Management 
     Development and Implementation to include both improving 
     analytical tools and technology and using innovative 
     strategies for compliance with the federal crop insurance 
     program, the Managers urge the Corporation to utilize this 
     new authority to provide the government and industry with 
     additional options with regard to ensuring program 
     compliance.
     (29) Index-based weather insurance pilot programs
       The Senate amendment authorizes $10 million in each of 
     fiscal years 2014 through 2018 for the Corporation to conduct 
     a pilot program to provide financial assistance for producers 
     of underserved crops and livestock (including specialty 
     crops) to purchase an index-based weather insurance product 
     from a private insurance company. The Corporation may pay a 
     portion of the premium but not in excess of 60 percent. The 
     provision also provides certain eligibility requirements for 
     providers, as well as procedures for administration of the 
     pilot program. (Section 11030)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision with 
     modifications. The substitute defines livestock to include 
     cattle, sheep, swine, goats, poultry, and pasture, rangeland, 
     and forage as a source of a feed for livestock. The 
     substitute authorizes the Corporation to conduct two or more 
     pilot programs to provide producers of underserved specialty 
     crops and livestock with index-based weather insurance. The 
     substitute requires the Board of the FCIC to approve two or 
     more policies or plans of insurance of AIPs if the Board 
     determines the pilot programs meet the requirements above and 
     additional requirements that the AIPs must: have adequate 
     experience underwriting and administering the kinds of 
     policies proposed under the pilot; have sufficient assets or 
     reinsurance and have sufficient credit rating; and have 
     applicable authority and approval from each state in which 
     the policy will be offered. Pilot program applications 
     submitted pursuant to this section are required to be 
     reviewed in a manner consistent with section 508(h) as well 
     as the actuarial soundness requirements applied to other 
     policies or plans of insurance. The substitute provides 
     priority to pilot program policies that provide a new kind of 
     coverage for specialty crops and livestock that have no 
     available crop insurance or demonstrate low participation 
     under available coverage. The substitute requires the 
     Corporation to pay a percentage of premium, except that the 
     premium support may not exceed 60 percent of total premium. 
     The substitute prescribes the calculation of premium support 
     and requires that the Corporation pay the premium support in 
     the same manner and under the same terms and conditions as 
     premium support for other policies. The Substitute authorizes 
     A&O unless such costs are included in the premium but 
     prohibits federal reinsurance, research and development cost 
     reimbursement, or other reimbursements or maintenance fees. 
     The substitute provides that the AIP that submitted the pilot 
     program may offer the policy exclusively unless, in an 
     exception to the prohibitions on fees, another AIP agrees to 
     pay agreed upon maintenance fees that are reasonable and 
     appropriate and the other AIP meets other eligibility 
     requirements. The substitute requires the requirements of 
     paragraph (4) to be met notwithstanding confidentiality 
     requirements in paragraph (6). The substitute establishes 
     oversight requirements, provides for confidentiality, and 
     prohibits any policy or plan of insurance to be approved if 
     it is substantially similar to privately available hail 
     insurance. The substitute provides $12.5 million for each 
     fiscal year 2015 through 2018 with such amounts to be made 
     available until expended. The substitute clarifies that these 
     amounts for the pilot program are in addition to amounts made 
     available under other provisions in the Act. (Section 11026)
       The Managers note that many producers of specialty crops 
     and livestock are not adequately served by the existing suite 
     of crop insurance products and that alternative approaches, 
     such as this provision, may be appropriate to extend 
     insurance coverage to those producers. Further, the Managers 
     would urge the Corporation to use this pilot authority to 
     develop new expertise and collect as much information as 
     possible about the future development and use the weather-
     based index insurance as a method for covering producers who 
     are currently underserved by existing crop insurance 
     products. Consistent with the requirements of this section, 
     the Managers intend for RMA to look at states or regions 
     where the level of crop insurance coverage for a particular 
     commodity is significantly below the national average.
     (30) Enhancing producer self-help through farm financial 
         benchmarking
       The Senate amendment adds ``farm financial benchmarking'' 
     to the list of objectives

[[Page 2012]]

     under the partnerships authorized under section 522(d) and 
     the education and risk management assistance authorized under 
     section 524(a). (Section 11031)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision. 
     (Section 11027)
     (31) Limitation on premium subsidy based on average adjusted 
         gross income
       The Senate amendment requires that, beginning with the 2014 
     reinsurance year, the total amount of premium subsidy for 
     additional coverage for any person or entity that has an 
     average adjusted gross income in excess of $750,000 be 15 
     percentage points less than the premium subsidy that would 
     otherwise be available for the applicable policy. This 
     section would only take effect if the Secretary, in 
     consultation with the Government Accountability Office, finds 
     that the limitation would not: (1) significantly increase the 
     amount of premium paid by producers with a lower AGI; (2) 
     result in a decline in coverage available; and (3) increase 
     the total cost of the federal crop insurance program. 
     (Section 11033)
       The House bill contains no comparable provision.
       The Conference substitute deletes the Senate provision.
     (32) Agricultural management assistance, risk management 
         education, and organic certification cost share 
         assistance
       The House bill eliminates tree plantings and soil erosion 
     control from the list of approved uses, and permanently 
     authorizes the Agricultural Management Assistance Program at 
     $10 million in mandatory money each fiscal year. It sets 
     aside 30 percent to NRCS for conservation, 10 percent to the 
     Agricultural Marketing Service for organic certification, and 
     60 percent to the Risk Management Agency for risk management. 
     (Section 2506)
       The Senate amendment eliminates the list of states eligible 
     for agricultural management assistance and specified uses for 
     such assistance and authorizes Agricultural Management 
     Assistance, Risk Management Education, and Organic 
     Certification Cost Share Assistance. The provision applies a 
     payment limit of $50,000. The provision provides $23 million 
     in mandatory funding for each of fiscal years 2014 through 
     2018. (Section 11034)
       The Conference substitute deletes both the House and Senate 
     provisions.
     (33) Technical amendments
       The House bill strikes the crop insurance coverage 
     requirement to receive certain benefits. The provision also 
     eliminates the exclusion from assistance for losses due to 
     drought conditions under the Livestock Forage Disaster 
     Program. (Section 11024)
       The Senate amendment strikes the crop insurance coverage 
     requirement to receive certain benefits. (Section 11036)
       The Conference substitute adopts the House provision with 
     amendments to clarify that premium subsidy for area revenue 
     and area yield plans are separately provided for, and that 
     the Corporation must provide notice to Congress if it elects 
     to renegotiate an SRA pursuant to section 508(k)(8)(A)(ii). 
     (Section 11029)
     (34) Advance public notice of crop insurance policy and plan 
         changes
       The House bill requires any changes to the terms and 
     conditions of a policy to be published in the Federal 
     Register at least 60 days before June 30 for fall planted 
     crops and at least 60 days before November 30 for spring 
     planted crops. (Section 11025)
       The Senate amendment contains no comparable provision.
       The Conference substitute deletes the House provision.
     (35) Greater accessibility for crop insurance
       The Senate amendment requires that when issuing regulations 
     and guidance relating to plans and policies of crop 
     insurance, RMA and the Corporation use plain language, to the 
     greatest extent practicable, as required under Executive 
     Orders 12866 and 12988. The provision requires the Secretary 
     to improve the website on which crop insurance information is 
     disseminated and to report to Congress on efforts to 
     accelerate compliance. (Section 11037)
       The House bill contains no comparable provision.
       The Conference substitute deletes the Senate provision.
     (36) GAO crop insurance fraud report
       The Senate amendment requires the Comptroller General of 
     the United States, as soon as practicable after the date of 
     enactment of this paragraph, to conduct and submit to 
     Congress a report describing the results of a study regarding 
     fraudulent claims filed and benefits provided under this 
     subtitle. (Section 11038)
       The House bill contains no comparable provision.
       The Conference substitute deletes the Senate provision.

                        Title XII--Miscellaneous

                         Subtitle A--Livestock

     (1) Repeal of the National Sheep Industry Improvement Center
       The House bill repeals the National Sheep Industry 
     Improvement Center. (Section 12101)
       The Senate amendment moves the Sheep Center from the 
     Consolidated Farm and Rural Development Act to the 
     Agricultural Marketing Act of 1946. It establishes a 
     competitive grant program in the Agricultural Marketing 
     Service to improve the sheep industry. It also provides 
     $1,500,000 in Commodity Credit Corporation funds for fiscal 
     year 2014, to remain available until expended. Additionally, 
     the amendment increases the amount of funds that can be used 
     for administration from 3 percent to 10 percent, and it 
     eliminates the authorization of appropriations. (Section 
     12104)
       The Conference substitute adopts the Senate provision. 
     (Section 12102)
     (2) Repeal of certain regulations under the Packers and 
         Stockyards Act, 1921
       The House bill repeals the requirement to promulgate 
     regulations with respect to the Packers and Stockyards Act; 
     repeals the definition of additional capital investment; and 
     prohibits enforcement of certain already promulgated 
     regulations. (Section 12102)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
     (3) Country of origin labeling
       The House bill requires the Secretary to conduct an 
     economic analysis of USDA's March 12, 2013, proposed rule on 
     country of origin labeling for beef, pork, and chicken. 
     (Section 12105)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment to clarify that the analysis should be conducted 
     on USDA's final version of the rule. (Section 12104)
     (4) Repeal of duplicative catfish inspection program
       The House bill repeals section 11016 of the 2008 Farm Bill, 
     thus no longer specifying catfish as amenable species and 
     eliminating the grading program. (Section 12107)
       The Senate amendment contains no comparable provision.
       The Conference substitute amends section 11016 of the 2008 
     Farm Bill by clarifying the definition of ``catfish.'' It 
     also requires the Food Safety and Inspection Service (FSIS) 
     and the Food and Drug Administration (FDA) to enter into a 
     memorandum of understanding to ensure that inspections of 
     dual jurisdiction facilities by the FSIS satisfy the 
     requirements of the FDA, thereby preventing duplicative 
     inspection oversight. (Section 12106)
       It is the intent of the Managers to ensure the safety of 
     the American food supply from food containing dangerous 
     contaminants and banned substances. The Conference substitute 
     amends section 11016 of the 2008 Farm Bill to address 
     perceived concerns regarding duplication; to provide 
     direction to the Secretary regarding covered species; and to 
     otherwise expedite implementation. The Managers are aware 
     that the inappropriate and unregulated use of chemicals and 
     veterinary drugs in aquaculture in some countries raises 
     questions regarding health effects. There exists scientific 
     evidence that demonstrates that the use of substances such as 
     malachite green, nitrofurans, fluoroquinolones, and gentian 
     violet during the stages of production can result in 
     continued presence in edible Siluriforme products. The 
     Managers believe that continuous inspection of farm-raised 
     fish species is a legitimate tool to address these concerns. 
     The Managers believe that the catfish inspection program 
     authorized in the 2008 farm bill is consistent with the 
     principles of most-favored-nation and national treatment, in 
     that U.S. and foreign producers, processors, and products 
     would be treated equally. Therefore, implementation of the 
     program should proceed, as it upholds World Trade 
     Organization responsibilities.
       The Managers are aware of claims that implementation of the 
     2008 mandate has been delayed due to confusion related to the 
     definition of catfish to be utilized by the FSIS. The 
     Conference substitute clarifies this definition in a manner 
     that achieves consistency in the application of the program 
     and avoids arbitrary or unjustifiable distinctions in the 
     level of inspection.
       While the Managers fundamentally disagree with claims that 
     a transfer of responsibility from one Federal agency to 
     another somehow duplicates government oversight, the Managers 
     are nevertheless sensitive to historical examples of 
     bureaucratic jurisdictional conflict and have taken steps to 
     address this concern. Specifically, the conference substitute 
     directs the FSIS and FDA to exercise their existing authority 
     to enter into a memorandum of understanding to improve 
     interagency cooperation and to ensure that inspections of 
     dual jurisdiction facilities by the FSIS satisfy the 
     requirements of the FDA, thereby negating any requirement 
     (real or perceived) for duplicative inspection oversight. 
     Moreover, FSIS should work in collaboration with FDA to 
     improve analysis and share information with regard to risk. 
     The Managers are dissatisfied that the implementation process 
     has already exceeded 5 years and see no barrier to FSIS 
     completing this MOU and fully implementing the underlying 
     inspection mandate within 60 days from the date of enactment 
     of this Act. (Section 12106)

[[Page 2013]]


     (5) National Poultry Improvement Program
       The House bill requires the Secretary to administer the 
     surveillance program for low pathogenic avian influenza for 
     commercial poultry without amending the regulations for the 
     governance of the General Conference Committee. Requires that 
     the funding levels stay at FY 2013 levels. (Section 12108)
       The Senate amendment requires the Secretary to continue to 
     administer the avian influenza surveillance program in 
     commercial poultry through NPIP. Requires the Secretary to 
     ensure it meets any relevant standards established by WTO. 
     (Section 12107)
       The Conference substitute adopts the House provision with 
     an amendment changing ``Program'' to ``Plan'' in the Section 
     heading. (Section 12107)
     (6) Report on bovine tuberculosis in Texas
       The House bill requires the Secretary to submit a report on 
     the incidence of bovine tuberculosis in Texas from January 1, 
     1997 to December 31, 2013. (Section 12109)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
     (7) Economic fraud in wild and farm-raised seafood
       The House bill requires the Secretary to submit a report to 
     Congress on the economic implications for consumers, 
     fishermen, and aquaculturists of fraud and mislabeling of 
     wild and farm-raised seafood. The report must be submitted 
     within 180 days. (Section 12110)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
     (8) Feral swine eradication pilot program
       The Senate amendment establishes a pilot program to study 
     the extent of damage caused by feral swine and to develop 
     methods to eradicate or control and to restore damage cause 
     by feral swine. The amendment includes a 75 percent Federal 
     cost-share, and it authorizes $2 million in appropriated 
     funds for each of fiscal years 2014 through 2018. (Section 
     12105)
       The House bill contains no comparable provision, authority 
     expires.
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment revises the language as a Sense 
     of Congress urging the Secretary of Agriculture to recognize 
     the threat feral swine pose to the agricultural industry and 
     to prioritize eradication of feral swine. (Section 12108)

   Subtitle B--Socially Disadvantaged Producers and Limited Resource 
                               Producers

     (9) Socially Disadvantaged Farmers and Ranchers Policy 
         Research Center
       The House bill requires the Secretary to establish a center 
     for developing policy recommendations for the protection and 
     promotion of the interests of socially disadvantaged farmers 
     and ranchers. (Section 12203)
       The Senate amendment is similar to the House, but uses a 
     competitive grant program. (Section 12002)
       The Conference substitute adopts the House provision. 
     (Section 12203)
     (10) Receipt for or denial of service from certain Department 
         of Agriculture agencies
       The House bill requires USDA to provide a receipt for 
     service to all persons requesting a benefit offered by the 
     Department. (Section 12204)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 12204)

                   Subtitle C--Other Misc. Provisions

     (11) Program benefit eligibility status for participants in 
         high plains water study
       The House bill amends Section 2901 to prohibit 
     ineligibility for program benefits under the Federal 
     Agriculture Reform and Risk Management Act of 2013 or an 
     amendment made by that Act. (Section 12302)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 12302)
       The Managers recognize that the ongoing depletion of the 
     Ogallala Aquifer is an acute concern for the eight States 
     that depend on it for agricultural, domestic, industrial 
     uses, and other uses. This provision will allow agricultural 
     producers to participate in a one-time study of aquifer 
     recharge potential that will help inform State and local 
     water conservation investment and policy to aid in managing 
     this critical aquifer. The study is narrowly focused on a 
     small number of playa lakes situated on agricultural land 
     over the Ogallala Aquifer.
       Playas are temporary wetlands unique to the High Plains of 
     North America, numbering more than 60,000. Playas not only 
     serve as the primary source of recharge for the Ogallala 
     Aquifer, they are the most important wetland type for 
     wildlife in this region. The Managers encourage the 
     Department to further recognize the importance of playas 
     through increased communication to landowners of the benefits 
     of playas and conservation programs available. The Managers 
     also encourage the Department to work with the Playa Lakes 
     Joint Venture to enhance the use of such programs like CRP to 
     help ensure the protection of playas.
     (12) Military Veterans Agricultural Liaison
       The House bill authorizes the position and duties of a 
     Military Veterans Agricultural Liaison at the Department of 
     Agriculture. (Section 12304)
       The Senate amendment provides the Liaison the additional 
     authority to enter into contracts or cooperative agreements 
     with the research centers of the Agricultural Research 
     Service, institutions of higher education or nonprofit 
     organizations for specific purposes. (Section 12201)
       The Conference substitute adopts the Senate provision. 
     (Section 12304)
     (13) Prohibition on keeping GSA leased cars overnight
       The House bill prohibits Farm Service Agency employees that 
     are issued government cars from taking the cars home 
     overnight unless they are on official travel involving per 
     diem. (Section 12305)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
     (14) Noninsured Crop Assistance Program
       The House bill allows producers to obtain NAP coverage that 
     is equivalent to additional coverage provided under 
     subsections (c) and (h) of the Federal Crop Insurance Act 
     except the coverage level may not exceed 65 percent. The 
     provision expands availability of NAP coverage for crops for 
     which coverage under subsections (c) and (h) of the Federal 
     Crop Insurance Act are not available and specifically 
     includes sweet sorghum and biomass sorghum. The provision 
     establishes a premium payment and application deadline date 
     and requires the changes to NAP to become effective beginning 
     with the 2015 crop. (Section 12306)
       The Senate amendment is similar to the House provision 
     except the provision excludes crops and grasses used for 
     grazing, as well as ferns and tropical fish. The provision 
     increases NAP fees per crop per county, per producer per 
     county, and the maximum fee amount. The provision provides 
     additional availability of NAP with respect to producers 
     suffering losses to their 2012 annual fruit crop grown on a 
     bush or tree and producers suffering losses in a county 
     covered by a Secretarial disaster declaration due to freeze 
     and frost. The provision is repealed effective October 1, 
     2018 upon which date the provision shall be construed to have 
     never been enacted, except the exclusions from coverage 
     provided under the provision are made permanent. (Section 
     12204)
       The Conference substitute adopts the Senate provision 
     except that crops and grasses for grazing may receive NAP 
     coverage equivalent to CAT coverage but not additional 
     coverage; sweet sorghum and biomass sorghum, including that 
     which is grown for biofuels, renewable electricity, or 
     biobased products is covered under NAP; the Secretary may 
     waive the fees with respect to CAT equivalent NAP for 
     beginning, limited resource, and socially disadvantaged 
     farmers and these producers pay 50 percent less than 
     otherwise required for additional coverage NAP; the 
     applicable pay limit is included in the calculation of 
     premium; the effective period for the provision is for the 
     2014 through 2018 crop years; and the Federal Crop Insurance 
     Act is amended to exclude CAT coverage for crops and grasses 
     uses for grazing. (Section 12305)
       The Managers would observe that NAP is made available with 
     respect to crops for which crop insurance has not yet been 
     made available. The Managers stress that it is the objective 
     of Congress that all crops, to the maximum extent practicable 
     and unless otherwise provided for in law, should ultimately 
     be covered by crop insurance, rather than NAP, where 
     producers pay actuarially sound premiums in consideration for 
     coverage and where private sector delivery has proven very 
     effective. The Managers intend that the additional financial 
     resources and the adjustments to the policy submission 
     process under section 508(h), the research and development 
     process, and the pilot program process will achieve this 
     goal.
     (15) Ensuring high standards for agency use of scientific 
         information
       The House bill requires federal agencies, by January 1, 
     2014, to have in effect guidelines to ensure and to maximize 
     the quality, objectivity, utility, and integrity of the 
     scientific information upon which the agencies rely. It 
     prohibits any policy decision issued by an agency after 
     January 1, 2014, from taking effect unless such agency has in 
     effect guidelines for use of scientific information that have 
     been approved by the Director of the White House Office of 
     Science and Technology Policy. (Section 12307)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
     (16) Evaluation required for purposes of prohibition on 
         closure or relocation of county office for the FSA
       The House bill requires a workload assessment before any 
     Farm Service Agency county office closures take place. 
     (Section 12308)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.

[[Page 2014]]


     (17) Acer Access and Development Program
       The House bill authorizes grants to state and tribal 
     governments and research institutions for the purpose of 
     promoting the domestic maple syrup industry. It authorizes 
     $20 million in appropriated funds for each of fiscal years 
     2014 through 2018. (Section 12309)
       The Senate amendment does not specify that the grants are 
     run on a competitive basis and does not include research 
     institutions as eligible for receiving grants. It authorizes 
     appropriations for fiscal years 2014 and 2015. (Section 
     12208)
       The Conference substitute adopts the House provision. 
     (Section 12306)
     (18) Regulatory review by the Secretary of Agriculture
       The House bill requires the Secretary of Agriculture to 
     review publications that provide notice of Environmental 
     Protection Agency guidance, policy, memorandums, regulations 
     or statements, for significant impacts on agricultural 
     entities and then take certain, specified action. (Section 
     12310)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment authorizes a standing 
     agriculture-related committee to provide scientific and 
     technical advice to the science advisory committee and a 
     report to Congress regarding the activities of the committee. 
     (Section 12307)
       The Managers expect the Administrator to consider requests 
     received from the House Committee on Agriculture or the 
     Senate Committee on Agriculture, Nutrition and Forestry in 
     regard to issues or questions that the Committees believe 
     merit action by the agriculture-related standing committee.
     (19) Animal fighting venture
       The House bill amends Section 26(a)(1) of the Animal 
     Welfare Act to prohibit knowingly attending an animal 
     fighting venture or causing a minor to attend an animal 
     fighting venture. Penalties are covered by existing 
     authorities in 18 U.S.C. 49. (Section 12311)
       The Senate amendment is the same as the House. It confirms 
     that penalties for violations are prescribed and enforced. 
     The amendment sets the penalty for each violation for 
     attending an animal fighting venture. It also sets the 
     penalty for causing a minor to attend an animal fighting 
     venture. (Section 12209)
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment changes the age of a minor from a 
     person under the age of 18 years old to a person under the 
     age of 16 years old. (Section 12308)
       The Conference substitute amends the Animal Welfare Act by 
     providing ``that a dealer or exhibitor shall not be required 
     to obtain a license as a dealer or exhibitor under this Act 
     if the size of business is determined by the Secretary to be 
     de minimus.'' By limiting the scope of dealers and exhibitors 
     who are required to obtain a license, the conference 
     substitute allows the Secretary of Agriculture to focus the 
     U.S. Department of Agriculture Animal and Plant Health 
     Inspection Service's limited budget and inspection and 
     enforcement staff on entities that pose the greatest risks to 
     animal welfare and public safety. USDA has found that no 
     license is required for small-scale breeders of certain 
     animals (i.e., those that maintain four or fewer breeding 
     cats and dogs and who sell only the offspring of those 
     animals which were born and raised on the premises for pets 
     or exhibition) and the Conference substitute codifies this 
     exemption, allowing USDA to determine that animal breeders 
     who raise animals on their own premises need not obtain a 
     license if the number of animals they breed or sell, or the 
     gross annual dollar amounts earned from such activities, are 
     so minor as to merit disregard. The Managers continue to 
     recognize the importance of ensuring that all animals bred, 
     transported, and sold in (or substantially affecting) 
     interstate commerce are humanely treated. The Conference 
     substitute also allows USDA to determine that certain 
     exhibition businesses are de minimus. An exhibitor's business 
     must not be considered de minimus merely because the facility 
     operates as a non-profit corporation, nor is the exhibition 
     of a small number of dangerous animals (including, but not 
     limited to, big cats, bears, wolves, nonhuman primates, or 
     elephants) de minimus.
       The Managers expect APHIS to complete this rulemaking 
     expeditiously and would suggest a timeframe not to exceed one 
     year from the date of enactment in order that the agency 
     begin receiving the benefit the policy provides related to 
     resource allocation. Furthermore, by freeing up resources and 
     more effectively focusing its regulatory program, the 
     Managers observe that this policy eliminates a direct 
     obstacle to lifting the stay on the agency's contingency rule 
     and issuance of the proposed rule to regulate bird dealers 
     and exhibitors, and expect action to be taken on these rules 
     without delay.
       The Animal Welfare Act (AWA or the Act, 7 U.S.C. 2131 et 
     seq.) seeks to ensure the humane handling, care, treatment, 
     and transportation of certain animals that are sold at 
     wholesale and retail for use in research facilities, for 
     exhibition purposes, or for use as pets by means of federal 
     licensing and inspection. A revised definition of retail pet 
     store included in the Final Rule published by USDA on 
     September 10, 2013, and effective November 18, 2013, restored 
     and amended the exemption in Sec. 2.1(a)(3)(vii) so that any 
     person including, but not limited to, purebred dog or cat 
     fanciers, who maintains a total of four or fewer breeding 
     female dogs, cats, and/or small exotic or wild mammals, and 
     who sells, at retail, only the offspring of these dogs, cats, 
     and/or small exotic or wild mammals, which were born and 
     raised on his or her premises, for pets or exhibition, and is 
     not otherwise required to obtain a license, is also 
     considered a retail pet store for regulatory purposes.
       The Managers are aware of confusion among the regulated 
     industry and request clarification of two principles 
     pertaining to the sale of pets: (1) Current regulatory 
     language uses the term ``breeding female'' which does not 
     appear in statute and thus lacks statutory direction. The 
     Managers urge APHIS to clarify that only those female animals 
     capable of reproduction and actively being used in a breeding 
     program qualify as breeding females. (2) The Managers also 
     recommend clarifying that USDA oversight of such sales 
     pertains to those transactions in interstate commerce as 
     provided for under the Commerce Clause (U.S. Const. amend. I, 
     Sec. 8.)] [and as referenced in Sec. 2132(c) of the Animal 
     Welfare Act and regulated under authority of the United 
     States department of Agriculture].
     (20) Prohibition against interference by state and local 
         governments with production or manufacture or items in 
         other states
       The House bill prohibits any state or local government from 
     setting standards or conditions on the production or 
     manufacture of agricultural products and preventing 
     interstate sales of such agricultural products. The term 
     ``agricultural product'' is as defined in the Agricultural 
     Marketing Act of 1946. (Section 12312)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
     (21) Increased protection for agricultural interests in the 
         Missouri River basin
       The House bill directs the Secretary to take action to 
     promote immediate increased flood protection to agricultural 
     interests in the Missouri River basin. (Section 12313)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
     (22) Increased protection for agricultural interests in the 
         Black Dirt region
       The House bill directs the Secretary to take action to 
     promote immediate increased flood protection for agricultural 
     interest around the Wallkill River and the Black Dirt region. 
     (Section 12314)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
     (23) Protection of honey bees and other pollinators
       The House bill requires the Secretary to carry out 
     activities to protect and ensure the long-term viability of 
     populations of honey bees, wild bees, and other beneficial 
     insects of agricultural crops, horticultural plants, wild 
     plants, and other plants. The bill directs the Secretary to 
     establish a task force to coordinate Federal efforts 
     addressing the decline in bee health and assess Federal 
     efforts to mitigate pollinator loss. It requires the 
     Secretary to report to Congress within 180 days from the date 
     of enactment. The Secretary may conduct feasibility studies 
     to consider relocating and modernizing pollinator research 
     labs. (Section 12315)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
     (24) Produce represented as grown in the US when it is not in 
         fact grown in the US
       The House bill requires the Secretary to provide technical 
     assistance to U.S. Customs and Border Protection for 
     identifying produce that is falsely represented as grown in 
     the United States. Requires the Secretary to submit to the 
     Agriculture Committees a report on produce represented as 
     grown in the US. (Section 12316)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision. 
     (Section 12309)
     (25) Urban agricultural coordination
       The House bill requires the Secretary to compile a list of 
     programs for which urban farmers can apply, to adjust 
     programs to enable urban farmers to participate, and to 
     streamline the process for urban farmer participation. 
     (Section 12317)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
       Urban agriculture may include the use of backyard, roof-
     top, and balcony gardening, community gardening in vacant 
     lots and parks, roadside urban fringe agriculture and 
     livestock grazing in open space.

[[Page 2015]]

       The Managers are aware of the importance of urban 
     agriculture to many urban residents, and its potential for 
     increased entrepreneurship, work opportunities, access to 
     nutritious food, and improved quality of life.
       The Managers are also aware that USDA has a number of 
     resources and tools available that are applicable to urban 
     farmers. The Managers encourage the Secretary to ensure that 
     relevant USDA employees are knowledgeable regarding ways in 
     which urban farmers can participate in their programs and 
     include urban farmers in their ongoing outreach efforts to 
     build awareness of the assistance and services that USDA can 
     offer.
       The Managers also encourage USDA to consider additional 
     ways to expand its support of urban agriculture, which may 
     take the form of economic analysis, statistical reports, 
     dissemination of best practices, in addition to the vast 
     quantity of knowledge and assistance already available 
     through USDA's research, education and extension programs.
     (26) Sense of Congress on increased business opportunities 
         for black farmers, women, minorities, and small business
       The House bill includes the sense of Congress that the 
     Federal Government should increase the number of contracts 
     awarded to black farmers, businesses owned and controlled by 
     women, businesses owned and controlled by minorities, and 
     small business concerns. (Section 12318)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
       The Managers expect the Secretary to continue efforts to 
     ensure that women and minority owned and controlled 
     businesses and small businesses have the opportunity to do 
     business with the Department of Agriculture. The Conference 
     Substitute continues efforts to ensure that socially-
     disadvantaged, beginning, and limited resource farmers and 
     ranchers are aware of the programs and services available to 
     them through USDA offices and initiatives.
     (27) Sense of Congress on agricultural security problems
       The House bill includes the sense of Congress that 
     nutrients and chemicals play an important role in 
     agricultural production. The Secretary should coordinate with 
     the Department of Homeland Security to develop regulations 
     and procedures to handle these agricultural chemicals. 
     (Section 12319)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
       Federal agencies have recently proposed a number of 
     regulations in an effort to secure potentially dangerous 
     amounts of chemical ingredients without hampering legitimate 
     use in commercial grade fertilizers. While the Managers 
     support regulations to properly secure, store and handle such 
     ingredients, there are valid concerns that proposed 
     regulations could unnecessarily impede American farmers' 
     access to essential crop input products.
       The Managers remind the Office of Homeland Security and 
     Emergency Coordination within the Department of Agriculture's 
     Office of the Secretary to actively work with the Federal 
     departments and agencies responsible for the development and 
     implementation of security programs that affect the 
     availability, storage, transportation and use of a variety of 
     chemicals and products used in agriculture.
       The Managers recommend that the Office regularly engage 
     with the Federal agencies responsible for establishing 
     security programs to ensure they have the information 
     necessary from manufacturers, retailers of crop input 
     products, and the general farm community to develop 
     procedures for effective security administration and 
     enforcement while minimizing the potential for adverse impact 
     on domestic agricultural productivity.
     (28) Report on water sharing
       The House bill requires the Secretary of State to submit a 
     report to Congress on Mexico's Rio Grande water deliveries to 
     the U.S., and the benefits to the U.S. of cooperation with 
     Mexico on reservoir conservation in the Colorado River basin. 
     The report is due 120 days from the date of enactment. 
     (Section 12320)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment to strike from the report the paragraph relating 
     to the benefits to the U.S. (Section 12310)
     (29) Scientific and economic analysis of the FDA Food Safety 
         Modernization Act
       The House bill requires the Secretary of Health and Human 
     Services to provide a scientific economic analysis for the 
     Food Safety Modernization Act (FSMA) before enforcing final 
     regulations and to report to the Agriculture Committees on 
     the impact of implementation of FSMA one year after date of 
     enactment of the Farm Bill. (Section 12321)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment eliminates the prohibition of 
     enforcement of the regulations and instead simply requires 
     the Secretary, when publishing the final rule on Standards 
     for the Growing, Harvesting, Packing, and Holding of Produce 
     for Human Consumption, to include analysis of the information 
     used in promulgating the final rule; an analysis on the 
     economic impact of the rule; and a plan to evaluate any 
     impacts and respond to producer concerns. The amendment 
     further limits the reporting requirement from an annual 
     report on the FDA Food Safety Modernization Act to two 
     reports on the plan to evaluate the impact of the produce 
     provisions and the evaluation and response to concerns, 
     specifically. (Section 12311)
     (30) Improved Department of Agriculture consideration of 
         economic impact of regulation on small business
       The House bill requires the Secretary to complete the 
     procedures consistent with 5 U.S.C. 609(b) when it 
     promulgates any rule that will have a significant economic 
     impact on small entities. (Section 12322)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
     (31) Silvicultural activities
       The House bill restores the specified silvicultural 
     activities to nonpoint source status by exempting the listed 
     activities from permits and the discretionary authority of 
     the Environmental Protection Agency (EPA) under section 
     402(p)(6) of the Clean Water Act (CWA). (Section 12323)
       The Senate bill contains no comparable provisions.
       The Conference substitute adopts the House provision with 
     an amendment. The amendment clarifies that the exemption 
     applies to permits but does not extend to other authorities, 
     including CWA section 402(p)(6). It further provides that the 
     specific silvicultural activities are excluded from citizen 
     enforcement actions under section 505(a) of the CWA (Section 
     12313)
       The managers believe that that substitute will help resolve 
     legal and economic uncertainty, and also help ensure that 
     forests continue to provide important public benefits, like 
     good paying jobs, renewable consumer products, and outdoor 
     recreational opportunities.
       The Conference substitute provides legal and economic 
     certainty by codifying the EPA's long-standing policy that 
     the specified silvicultural activities do not require a 
     National Pollutant Discharge Elimination System (NPDES) 
     permit. The amendment explicitly excludes the specified 
     activities from the NPDES permit requirement. The substitute 
     also recognizes that these activities are standard industry 
     practice, which refers to normal silviculture as practiced in 
     each state.
       The substitute leaves EPA authority to take measures 
     regarding these activities if future circumstances 
     demonstrate the need to address adverse impacts to water 
     quality caused by point source discharges of stormwater from 
     silvicultural activities. The Managers expect the Agency to 
     exercise this authority based on identified threats to water 
     quality.
       The Conference substitute amends the savings provisions. 
     The House bill reiterated clarification provided in the EPA 
     Silviculture Rule that the amendment does not affect the 
     regulation of dredged and fill discharges under CWA section 
     404. The Managers clarify that nothing in the provision 
     should be construed to affect any existing NPDES permit 
     requirement, nor should it be construed to affect any other 
     application of Federal law to these activities.
       By defining these silvicultural activities as nonpoint 
     sources in 1976, EPA effectively excluded them from citizen 
     enforcement actions under CWA section 505. The Conference 
     substitute recognizes this by excluding any program adopted 
     by EPA under section 402(p)(6) for the specified 
     silvicultural activities from citizen enforcement actions 
     under CWA section 505. The Managers ensure that no EPA 
     measure adopted to address runoff associated with the 
     specified silvicultural activities as expressly described in 
     this section will be considered an effluent limitation 
     subject to citizen enforcement actions under CWA section 505.
     (32) Applicability of spill prevention, control, and 
         countermeasure rule
       The House bill amends the volume threshold that would 
     require a Professional Engineer to certify a Spill 
     Prevention, Control, and Countermeasure (SPCC) plan to farms 
     with individual aboveground storage tanks larger than 10,000 
     gallons, aggregate aboveground storage of greater than 42,000 
     gallons, or a history of spills. Farms with aggregate 
     aboveground storage of more than 10,000 gallons, but less 
     than 42,000 gallons, and no spill history may self-certify. 
     Farms with less than 10,000 gallons and no spill history are 
     exempt from all SPCC requirements. For calculating 
     aboveground storage capacity, containers on separate parcels 
     of less than 1,320 gallons and containers approved by FDA for 
     livestock feed are exempt. (Section 12324)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.

[[Page 2016]]


     (33) Agricultural producer information disclosure
       The House bill prohibits the Environmental Protection 
     Agency (EPA) from publicly disclosing names, telephone 
     numbers, email addresses, physical addresses, GPS 
     coordinates, or other identifying information of any owner, 
     operator, or employee of an agricultural or livestock 
     operation. The prohibition does not apply when: (1) 
     information is in a statistical or aggregated form at the 
     county or higher level; (2) the producer consents; or (3) a 
     state agency has the authority to collect data. EPA is 
     prohibited from requiring information disclosure for the 
     purposes of the approval of a permit, practice, or program 
     administered by the agency. (Section 12325)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
     (34) Report on National Ocean Policy
       The House bill requires that the Inspector General of USDA 
     submit to the Agriculture Committees, within 90 days after 
     enactment, a report on the activities and resources expended 
     on Executive Order 13547 since July 19, 2010. The report 
     shall include any budget requests for FY2014 for the 
     implementation of the executive order. (Section 12326)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
     (35) Sunsetting of programs
       The House bill sunsets all discretionary programs in the 
     Farm Bill upon expiration of the five-year authorization. 
     (Section 12327)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
     (36) Information gathering
       The Senate amendment requires the disclosure of information 
     to state and local agencies or subdivisions as needed to 
     implement state programs. Information can only be used by the 
     state and is not subject to citizen request. (Section 12202)
       The House bill contains no comparable provision.
       The Conference substitute adopts the House provision.
     (37) Bioenergy coverage in noninsured crop assistance program
       The Senate amendment adds industrial crops grown expressly 
     for the purpose of producing a feedstock for renewable 
     biofuel, renewable electricity, or biobased products to the 
     list of included crops under the Noninsured Crop Assistance 
     Program. (Section 12205)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision. 
     (Section 12305)
     (38) Pima Cotton Trust Fund
       The Senate amendment establishes a trust fund in the 
     Treasury, funded through appropriations, for the Secretary to 
     make payments to nationally recognized associations that 
     promote pima cotton use, yarn spinners who produced ring spun 
     cotton from January 1, 1998 to December 21, 2003, and 
     manufacturers who cut and sew cotton shirts and used imported 
     cotton fabric from January 1, 1998 through July 1, 2003. 
     Payments to spinners and manufacturers are based on a 
     production ratio and must be certified through affidavit. 
     (Section 12210)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment alters the funding mechanism for 
     the Trust Fund to use funds from the Commodity Credit 
     Corporation. (Section 12314)
     (39) Agricultural Wool Apparel Manufacturers Trust Fund
       The Senate amendment establishes a trust fund in the 
     Treasury, funded through appropriations, for the Secretary to 
     make payments to eligible manufacturers under paragraphs (3) 
     and (6) of section 4002(c) of the Wool Suit and Textile Trade 
     Extension Act of 2004. Payments are to be made to eligible 
     manufacturers for years 2010-2013, no later than 30 days 
     after funds are transferred to the trust fund. For years 
     2014-2019, payments are to be made no later than April 15 of 
     the year of payment. (Section 12211)
       The House bill contains no comparable provision.
       The Conference substitute adopts the Senate provision with 
     an amendment. The amendment alters the funding mechanism for 
     the Trust Fund to use funds from the Commodity Credit 
     Corporation. (Section 12315)
     (40) Citrus Disease Research and Development Trust Fund
       The Senate amendment establishes a trust fund in the 
     Treasury, funded through appropriations, for the Secretary to 
     make payments to entities engaged in 1) scientific research 
     on diseases and pests; 2) the dissemination and 
     commercialization of relevant information, techniques, or 
     technology to solve citrus production disease or pest 
     problems; and 3) the Citrus Disease Research and Development 
     Trust Fund Advisory Board, if established. The Citrus 
     Advisory Board would have five members from Florida, three 
     from Arizona or California, and one from Texas. Not more than 
     5 percent of the Citrus Trust Fund may be used for the 
     operations of the advisory board. The Secretary shall give 
     strong deference to funding research projects on the 
     proximity of citrus producers and the effects of such 
     diseases as huanglongbing (citrus greening). (Section 12212)
       The House bill contains no comparable provision.
       The Conference substitute amends and moves this provision 
     to Title VII. (Sections 7103 & 7306)

         Subtitle D--Chesapeake Bay Accountability and Recovery

     (41) Chesapeake Bay Accountability Act of 2013
       The House bill requires the Director of OMB to submit to 
     Congress a crosscut budget on federal and state restoration 
     activities in the Chesapeake Bay. It requires the 
     Administrator of the Environmental Protection Agency (EPA) to 
     develop a plan to provide assistance to Chesapeake Bay States 
     to employ adaptive management in carrying out restoration 
     activities. The Administrator shall update the plan every two 
     years and report annually to Congress on the implementation 
     of the plan. The amendment also requires the Administrator to 
     appoint an Independent Evaluator to review and report on 
     restoration activities and the use of adaptive management in 
     the Chesapeake Bay watershed. (Section 12401)
       The Senate amendment contains no comparable provision.
       The Conference substitute adopts the Senate provision.
       The Managers continue to support the efforts of farmers in 
     the Chesapeake Bay watershed to reduce nutrient and sediment 
     runoff. The Managers made significant investments in Title II 
     programs aimed at providing financial and technical 
     assistance to producers within the watershed. The Managers 
     note the newly-created Regional Conservation Partnership 
     Program which will provide USDA additional authorities to 
     promote conservation practices within the watershed.

   COMPLIANCE WITH RULES OF THE HOUSE OF REPRESENTATIVES AND SENATE 
      REGARDING EARMARKS AND CONGRESSIONAL DIRECTED SPENDING ITEMS

       Pursuant to clause 9 of rule XXI of the Rules of the House 
     of Representatives and Rule XLIV of the Standing Rules of the 
     Senate, neither this conference report nor the accompanying 
     joint statement of managers contains any congressional 
     earmarks, congressionally directed spending items, limited 
     tax benefits, or limited tariff benefits, as defined in such 
     rules.
     From the Committee on Agriculture, for consideration of the 
     House amendment and the Senate amendment, and modifications 
     committed to conference:
     Frank D. Lucas,
     Randy Neugebauer,
     Mike Rogers of Alabama,
     Michael K. Conaway,
     Glenn Thompson of Pennsylvania,
     Austin Scott,
     Eric A. ``Rick'' Crawford,
     Martha Roby,
     Kristi L. Noem,
     Jeff Denham,
     Rodney Davis of Illinois,
     Collin C. Peterson,
     Mike McIntyre,
     Jim Costa,
     Timothy J. Walz,
     Kurt Schrader,
     Suzan K. DelBene,
     Gloria Negrete McLeod,
     Filemon Vela,
     From the Committee on Foreign Affairs, for consideration of 
     title III of the House amendment, and title III of the Senate 
     amendment, and modifications committed to conference:
     Edward R. Royce,
     Tom Marino,
     Eliot L. Engel,
     From the Committee on Ways and Means, for consideration of 
     secs. 1207 and 1301 of the House amendment, and secs. 1301, 
     1412, 1435, and 4204 of the Senate amendment, and 
     modifications committed to conference:
     Dave Camp,
     Sam Johnson of Texas,
     For consideration of the House amendment and the Senate 
     amendment, and modifications committed to conference:
     Steve Southerland, II,
     Marcia L. Fudge,
                                Managers on the Part of the House.

     Debbie Stabenow,
     Patrick J. Leahy,
     Tom Harkin,
     Max Baucus,
     Sherrod Brown,
     Amy Klobuchar,
     Michael F. Bennet,
     Thad Cochran,
     Saxby Chambliss,
     John Boozman,
     John Hoeven,
                               Managers on the Part of the Senate.

[[Page 2017]]



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