[House Report 107-191]
[From the U.S. Government Publishing Office]
107th Congress Rept. 107-191
HOUSE OF REPRESENTATIVES
1st Session Part 3
======================================================================
FARM SECURITY ACT OF 2001
_______
September 10, 2001.--Committed to the Committee of the Whole House on
the State of the Union and ordered to be printed
_______
Mr. Hyde, from the Committee on International Relations, submitted the
following
R E P O R T
[To accompany H.R. 2646]
The Committee on International Relations, to whom was
referred the bill (H.R. 2646) to provide for the continuation
of agricultural programs through fiscal year 2011, having
considered the same, report favorably thereon with amendments
and recommend that the bill as amended do pass.
CONTENTS
Page
The Amendment.................................................... 2
Purpose and Summary.............................................. 14
Background and Need for the Legislation.......................... 15
Hearings......................................................... 15
Committee Consideration.......................................... 16
Votes of the Committee........................................... 16
Committee Oversight Findings..................................... 16
New Budget Authority and Tax Expenditures........................ 17
Committee Cost Estimate.......................................... 17
Performance Goals and Objectives................................. 17
Constitutional Authority Statement............................... 17
Section-by-Section Analysis...................................... 17
New Advisory Committees.......................................... 27
Congressional Accountability Act................................. 27
Federal Mandates................................................. 27
Changes in Existing Law Made by the Bill, as Reported............ 27
The Amendment
The amendments are as follows:
Amend title III of the bill to read as follows (and conform
the table of contents accordingly):
TITLE III--TRADE
SEC. 301. MARKET ACCESS PROGRAM.
Section 211(c)(1) of the Agricultural Trade Act of 1978 (7
U.S.C. 5641(c)(1)) is amended--
(1) by striking ``and not more'' and inserting
``not more'';
(2) by striking ``2002'' and inserting ``2001'';
and
(3) by inserting ``and not more than $180,000,000
for each of fiscal years 2002 through 2007,'' after
``2001,''.
SEC. 302. FOOD FOR PROGRESS.
(a) In General.--Subsections (f)(3), (g), and (k) of
section 1110 of the Food Security Act of 1985 (7 U.S.C. 1736o)
are each amended by striking ``2002'' and inserting ``2007''.
(b) Increase in Funding.--Section 1110(l)(1) of the Food
Security Act of 1985 (7 U.S.C. 1736o(l)(1)) is amended--
(1) by striking ``fiscal years 1996 through 2002''
and inserting ``fiscal years 2002 through 2007''; and
(2) by striking ``$10,000,000 (or in the case of
fiscal year 1999, $12,000,000)'' and inserting
``$15,000,000''.
(c) Exclusion From Limitation.--Section 1110(e)(2) of the
Food Security Act of 1985 (7 U.S.C. 1736o(e)(2)) is amended by
inserting before the period ``, and subsection (g) does not
apply to such commodities furnished on a grant basis or on
credit terms under title I of the Agricultural Trade
Development and Assistance Act of 1954''.
(d) Transportation Costs.--Section 1110(f)(3) of the Food
Security Act of 1985 (7 U.S.C. 1736o(f)(3)) is amended by
striking ``$30,000,000'' and inserting ``$40,000,000''.
(e) Amounts of Commodities.--Section 1110(g) of the Food
Security Act of 1985 (7 U.S.C. 1736o(g)) is amended by striking
``500,000'' and inserting ``1,000,000''.
(f) Multiyear Basis.--Section 1110(j) of the Food Security
Act of 1985 (7 U.S.C. 1736o(j)) is amended--
(1) by striking ``may'' and inserting ``is
encouraged''; and
(2) by inserting ``to'' before ``approve''.
(g) Monetization.--Section 1110(l)(3) of the Food Security
Act of 1985 (7 U.S.C. 1736o(l)(3)) is amended by striking
``local currencies'' and inserting ``proceeds''.
(h) New Provisions.--Section 1110 of the Food Security Act
of 1985 (7 U.S.C. 1736o) is amended by adding at the end the
following:
``(p) The Secretary is encouraged to finalize program
agreements and resource requests for programs under this
section before the beginning of the relevant fiscal year. By
November 1 of the relevant fiscal year, the Secretary shall
provide to the Committee on Agriculture and the Committee on
International Relations of the House of Representatives, and
the Committee on Agriculture, Nutrition, and Forestry of the
Senate a list of approved programs, countries, and commodities,
and the total amounts of funds approved for transportation and
administrative costs, under this section.''.
SEC. 303. SURPLUS COMMODITIES FOR DEVELOPING OR FRIENDLY COUNTRIES.
(a) Use of Currencies.--Section 416(b)(7)(D) of the
Agricultural Act of 1949 (7 U.S.C. 1431(b)(7)(D)) is amended--
(1) in clauses (i) and (iii), by striking ``foreign
currency'' each place it appears;
(2) in clause (ii)--
(A) by striking ``Foreign currencies'' and
inserting ``Proceeds''; and
(B) by striking ``foreign currency''; and
(3) in clause (iv)--
(A) by striking ``Foreign currency
proceeds'' and inserting ``Proceeds'';
(B) by striking ``country of origin'' the
second place it appears and all that follows
through ``as necessary to expedite'' and
inserting ``country of origin as necessary to
expedite'';
(C) by striking ``; or'' and inserting a
period; and
(D) by striking subclause (II).
(b) Implementation of Agreements.--Section 416(b)(8)(A) of
the Agricultural Act of 1949 (7 U.S.C. 1431(b)(8)(A)) is
amended--
(1) by inserting ``(i)'' after ``(A)''; and
(2) by adding at the end the following new clauses:
``(ii) The Secretary shall publish in the Federal Register,
not later than October 31 of each fiscal year, an estimate of
the commodities that shall be available under this section for
that fiscal year.
``(iii) The Secretary is encouraged to finalize program
agreements under this section not later than December 31 of
each fiscal year.''.
SEC. 304. EXPORT ENHANCEMENT PROGRAM.
Section 301(e)(1)(G) of the Agricultural Trade Act of 1978
(7 U.S.C. 5651(e)(1)(G)) is amended by inserting ``and for each
fiscal year thereafter through fiscal year 2007'' after
``2002''.
SEC. 305. FOREIGN MARKET DEVELOPMENT COOPERATOR PROGRAM.
(a) In General.--Section 703 of the Agricultural Trade Act
of 1978 (7 U.S.C.5723) is amended--
(1) by striking ``There are authorized'' and
inserting ``(a) Prior Years.--There are authorized'';
(2) by striking ``2002'' and inserting ``2001'';
and
(3) by adding at the end the following new
subsection:
``(b) Fiscal 2002 and Later.--For each of fiscal years 2002
through 2007 there are authorized to be appropriated such sums
as may be necessary to carry out this title, and, in addition
to any sums so appropriated, the Secretary shall use
$40,000,000 of the funds of, or an equal value of the
commodities of, the Commodity Credit Corporation to carry out
this title.''.
(b) Report to Congress.--Section 702 of the Agricultural
Trade Act of 1978 (7 U.S.C. 5722) is amended by adding at the
end the following:
``(c) Report to Congress.--
``(1) In general.--The Secretary shall report
annually to the appropriate congressional committees
the amount of funding provided, types of programs
funded, the value added products that have been
targeted, and the foreign markets for those products
that have been developed.
``(2) Definition.--In this subsection, the term
`appropriate congressional committees' means--
``(A) the Committee on Agriculture and the
Committee on International Relations of the
House of Representatives; and
``(B) the Committee on Agriculture,
Nutrition and Forestry and the Committee on
Foreign Relations of the Senate.''.
SEC. 306. EXPORT CREDIT GUARANTEE PROGRAM.
(a) Reauthorization.--Section 211(b)(1) of the Agricultural
Trade Act of 1978 (7 U.S.C. 5641(b)(1)) is amended by striking
``2002'' and inserting ``2007''.
(b) Processed and High Value Products.--Section 202(k)(1)
of the Agricultural Trade Act of 1978 (7 U.S.C. 5622(k)(1)) is
amended by striking ``, 2001, and 2002'' and inserting
``through 2007''.
(c) Report.--Section 211 of the Agricultural Trade Act of
1978 (7 U.S.C. 5641) is amended by adding at the end the
following:
``(d) Report on Agricultural Export Credit Programs.--
``(1) In general.--Not later than one year after
the date of the enactment of the Farm Security Act of
2001, and annually thereafter, the Secretary shall
prepare and submit to the designated congressional
committees a report on the status of multilateral
negotiations regarding agricultural export credit
programs at the World Trade Organization and the
Organization of Economic Cooperation and Development in
fulfillment of Article 10.2 of the Agreement on
Agriculture (as described in section 101(d)(2) of the
Uruguay Round Agreements Act). The report submitted
under this paragraph shall be submitted in unclassified
form, but may contain a classified annex.
``(2) Definition.--In this subsection, the term
`designated congressional committees' means the
Committee on Agriculture and the Committee on
International Relations of the House of Representatives
and the Committee on Agriculture, Nutrition and
Forestry of the Senate.''.
SEC. 307. FOOD FOR PEACE (PL 480).
The Agricultural Trade Development and Assistance Act of
1954 (7 U.S.C. 1691 et seq.) is amended--
(1) in section 2 (7 U.S.C. 1691), by striking
paragraph (2) and inserting the following:
``(2) promote broad-based, equitable, and
sustainable development, including agricultural
development as well as conflict prevention;'';
(2) in section 202(e)(1) (7 U.S.C. 1722(e)(1)), by
striking ``not less than $10,000,000, and not more than
$28,000,000'' and inserting ``not less than 5 percent
and not more than 10 percent of such funds'';
(3) in section 203(a) (7 U.S.C. 1723(a)), by
striking ``the recipient country, or in a country'' and
inserting ``one or more recipient countries, or one or
more countries'';
(4) in section 203(c) (7 U.S.C. 1723(c))--
(A) by striking ``foreign currency''; and
(B) by striking ``the recipient country, or
in a country'' and inserting ``one or more
recipient countries, or one or more
countries''; and
(5) in section 203(d) (7 U.S.C. 1723(d))--
(A) by striking ``Foreign currencies'' and
inserting ``Proceeds'';
(B) in paragraph (2)--
(i) by striking ``income
generating'' and inserting ``income-
generating''; and
(ii) by striking ``the recipient
country or within a country'' and
inserting ``one or more recipient
countries, or one or more countries'';
and
(C) in paragraph (3), by inserting a comma
after ``invested'' and ``used'';
(6) in section 204(a)(1) (7 U.S.C. 1724(a)(1))--
(A) by striking ``1996 through 2002'' and
inserting ``2002 through 2007''; and
(B) by striking ``2,025,000'' and inserting
``2,250,000'';
(7) in section 205(f) (7 U.S.C. 1725(f)), by
striking ``2002'' and inserting ``2007'';
(8) in section 207(a) (7 U.S.C. 1726a(a))--
(A) by redesignated paragraph (2) as
paragraph (3); and
(B) by striking paragraph (1) and inserting
the following:
``(1) Recipient countries.--A proposal to enter
into a non-emergency food assistance agreement under
this title shall identify the recipient country or
countries subject to the agreement.
``(2) Time for decision.--Not later than 120 days
after receipt by the Administrator of a proposal
submitted by an eligible organization under this title,
the Administrator shall make a decision concerning such
proposal.''; and
(9) in section 403 (7 U.S.C. 1733), by inserting
after subsection (k) the following:
``(l) Sales Procedures.--Subsections (b) and (h) shall
apply to sales of commodities to generate proceeds for titles
II and III of this Act, section 416(b) of the Agricultural Act
of 1949, and section 1110 of the Food and Security Act of 1985.
Such sales transactions may be in United States dollars and
other currencies.''.
SEC. 308. EMERGING MARKETS.
Section 1542 of the Food, Agriculture, Conservation, and
Trade Act of 1990 (7 U.S.C. 5622 note) is amended--
(1) in subsections (a) and (d)(1)(A)(i), by
striking ``2002'' and inserting ``2007''; and
(2) in subsection (d)(1)(H), by striking
``$10,000,000 in any fiscal year'' and inserting
``$15,000,000 for each of fiscal years 2002 through
2007''.
SEC. 309. BILL EMERSON HUMANITARIAN TRUST.
Subsections (b)(2)(B)(i), (h)(1), and (h)(2) of section 302
of the Bill Emerson Humanitarian Trust Act (7 U.S.C. 1736f-1)
are each amended by striking ``2002'' each place it appears and
inserting ``2007''.
SEC. 310. FEE FOR SERVICES.
(a) Authority To Charge Fee.--The Secretary of Agriculture
may, subject to subsection (c), charge and retain a fee to
cover the costs for providing persons (other than an agency of
the United States Government) with commercial services
performed abroad on matters within the authority of the
Department of Agriculture administered through the Foreign
Agricultural Service or any successor agency.
(b) Treatment of Fees.--Fees collected under the authority
of subsection (a) shall be deposited as an offsetting
collection to any Department of Agriculture appropriation
account to recover the cost of providing commercial services.
(c) Compliance with Budget Act.--Fees collected under the
authority of subsection (a) shall be collected and available to
the Secretary of Agriculture only to such extent or in such
amounts as are provided in advance in an appropriations Act
and, after so provided in an appropriations Act, shall remain
available until expended.
SEC. 311. MULTIYEAR AGRICULTURAL TRADE STRATEGY.
(a) In General.--Not later than one year after the date of
the enactment of this Act, the Secretary of Agriculture shall
develop and implement a comprehensive long-term agricultural
trade strategy that meets the goals described in subsection
(b).
(b) Goals.--The agricultural trade strategy described in
subsection (a) shall ensure--
(1) the elimination of export subsidies and other
measures that distort agricultural trade in order to
reduce levels of protection, foster market growth, and
promote global food security;
(2) the efficient and coordinated use of United
States Government programs designed to promote the
export of United States agricultural commodities; and
(3) the improvement in the commercial potential of
markets in both developed and developing countries for
United States agricultural commodities.
(c) Policy Coordination.--In implementing the agricultural
trade strategy described in subsection (a), the Secretary shall
consult with--
(1) the United States Trade Representative to
ensure that the strategy is coordinated with the
national trade policy agenda and the annual report of
the President on the trade agreements program;
(2) the Secretary of Commerce to ensure that all
the programs and activities of the Foreign Agricultural
Service of the Department of Agriculture are
coordinated with the programs and activities of the
United States and Foreign Commercial Service of the
Department of Commerce; and
(3) each of the designated representatives of 19
Federal agencies included on the Trade Promotion
Coordinating Committee to coordinate and report on
government-wide United States export promotion,
financing, and policy activities.
(d) Report.--Not later than one year after the date of the
enactment of this Act, the Secretary shall submit to the
designated congressional committees a report on the development
and implementation of the comprehensive long-term agricultural
trade strategy under this section.
(e) Definition.--In this section, the term ``designated
congressional committees'' means the Committee on Agriculture
and the Committee on International Relations of the House of
Representatives and the Committee on Agriculture, Nutrition and
Forestry of the Senate.
SEC. 312. GEORGE MCGOVERN-ROBERT DOLE INTERNATIONAL FOOD FOR EDUCATION
AND CHILD NUTRITION PROGRAM.
(a) In General.--In fiscal year 2002 or any subsequent
fiscal year during which the President determines to use the
authority of section 416(b) of the Agricultural Act of 1949
(hereinafter in this section referred to as ``section 416(b)'')
to initiate, continue, and expand--
(1) preschool and school feeding programs to
improve food security, reduce the incidence of hunger,
and improve literacy and primary education,
particularly with respect to girls; and
(2) maternal, infant, and child nutrition programs
for pregnant women, nursing mothers, infants, and
children who are five years of age or younger;
the President shall direct the purchase of commodities and the
provision of financial and technical assistance to carry out
such programs.
(b) Eligible Commodities and Cost Items.--Notwithstanding
any other provision of law--
(1) any agricultural commodity is eligible for
distribution under this section;
(2) the Commodity Credit Corporation shall purchase
agricultural commodities for use under this section if
its stocks are not sufficient to meet commitments
entered into under this section;
(3) as necessary to achieve the purposes of this
section--
(A) Commodity Credit Corporation funds
shall be used to pay the transportation costs
incurred in moving commodities (including
prepositioned commodities) provided under this
section from the designated points of entry or
ports of entry of one or more recipient
countries to storage and distribution sites in
these countries, and associated storage and
distribution costs;
(B) Commodity Credit Corporation funds
shall be used to pay the costs of activities
conducted in the recipient countries by a
nonprofit voluntary organization, cooperative,
or intergovernmental agency or organization
that would enhance the effectiveness of the
activities implemented by such entities under
this section; and
(C) Commodity Credit Corporation funds
shall be provided to meet the allowable
administrative expenses of private voluntary
organizations, cooperatives, or
intergovernmental organizations which are
implementing activities under this section; and
(4) for the purposes of this section, the term
``agricultural commodities'' includes any agricultural
commodity, or the products thereof, produced in the
United States.
(c) General Authorities.--The President shall designate one
or more Federal agencies to--
(1) implement the program established under this
section;
(2) ensure that the program established under this
section is consistent with the foreign policy and
development assistance objectives of the United States;
and
(3) consider, in determining whether a country
should receive assistance under this section, whether
the government of the country is taking concrete steps
to improve the preschool and school systems in its
country.
(d) Eligible Recipients.--Assistance may be provided under
this section to private voluntary organizations, cooperatives,
intergovernmental organizations, governments and their
agencies, and other organizations.
(e) Procedures.--
(1) In general.--The President shall assure that
procedures are established that--
(A) provide for the submission of proposals
by eligible recipients, each of which may
include one or more recipient countries, for
commodities and other assistance under this
section;
(B) provide for eligible commodities and
assistance on a multi-year basis;
(C) ensure eligible recipients demonstrate
the organizational capacity and the ability to
develop, implement, monitor, report on, and
provide accountability for activities conducted
under this section;
(D) provide for the expedited development,
review, and approval of proposals submitted in
accordance with this section;
(E) ensure monitoring and reporting by
eligible recipients on the use of commodities
and other assistance provided under this
section; and
(F) allow for the sale or barter of
commodities by eligible recipients to acquire
funds to implement activities that improve the
food security of women and children or
otherwise enhance the effectiveness of programs
and activities authorized under this section.
(2) Priorities for program funding.--In carrying
out paragraph (1) with respect to criteria for
determining the use of commodities and other assistance
provided for programs and activities authorized under
this section, the implementing agency shall consider
the ability of eligible recipients to--
(A) identify and assess the needs of
beneficiaries, especially malnourished or
undernourished mothers and their children who
are five years of age or younger, and school-
age children who are malnourished,
undernourished, or do not regularly attend
school;
(B)(i) in the case of preschool and school-
age children, target low-income areas where
children's enrollment and attendance in school
is low or girls' enrollment and participation
in preschool or school is low, and incorporate
developmental objectives for improving literacy
and primary education, particularly with
respect to girls; and
(ii) in the case of programs to benefit
mothers and children who are five years of age
or younger, coordinate supplementary feeding
and nutrition programs with existing or newly-
established maternal, infant, and children
programs that provide health-needs
interventions, and which may include maternal,
prenatal, and postnatal and newborn care;
(C) involve indigenous institutions as well
as local communities and governments in the
development and implementation to foster local
capacity building and leadership; and
(D) carry out multiyear programs that
foster local self-sufficiency and ensure the
longevity of recipient country programs.
(f) Use of Food and Nutrition Service.--The Food and
Nutrition Service of the Department of Agriculture may provide
technical advice on the establishment of programs under
subsection (a)(1) and on their implementation in the field in
recipient countries.
(g) Multilateral Involvement.--The President is urged to
engage existing international food aid coordinating mechanisms
to ensure multilateral commitments to, and participation in,
programs like those supported under this section. The President
shall report annually to the Committee on International
Relations and the Committee on Agriculture of the United States
House of Representatives and the Committee on Foreign Relations
and the Committee on Agriculture, Nutrition, and Forestry of
the United States Senate on the commitments and activities of
governments, including the United States government, in the
global effort to reduce child hunger and increase school
attendance.
(h) Private Sector Involvement.--The President is urged to
encourage the support and active involvement of the private
sector, foundations, and other individuals and organizations in
programs assisted under this section.
(i) Cooperation With Other Government Agencies.--
Notwithstanding section 11 of the Commodity Credit Corporation
Charter Act (15 U.S.C. 714i), Commodity Credit Corporation
funds may be used to pay the administrative expenses of any
agency of the Federal Government, including any bureau, office,
administration, or agency of the Department of Agriculture,
implementing or assisting in the implementation of this
section.
SEC. 313. FARMERS FOR AFRICA AND CARIBBEAN BASIN PROGRAM.
(a) Findings.--Congress finds the following:
(1) Many African farmers and farmers in Caribbean
Basin countries use antiquated techniques to produce
their crops, which result in poor crop quality and low
crop yields.
(2) Many of these farmers are losing business to
farmers in European and Asian countries who use
advanced planting and production techniques and are
supplying agricultural produce to restaurants, resorts,
tourists, grocery stores, and other consumers in Africa
and Caribbean Basin countries.
(3) A need exists for the training of African
farmers and farmers in Caribbean Basin countries and
other developing countries in farming techniques that
are appropriate for the majority of eligible farmers in
African or Caribbean countries, including standard
growing practices, insecticide and sanitation
procedures, and other farming methods that will produce
increased yields of more nutritious and healthful
crops.
(4) African-American and other American farmers, as
well as banking and insurance professionals, are a
ready source of agribusiness expertise that would be
invaluable for African farmers and farmers in Caribbean
Basin countries.
(5) A United States commitment is appropriate to
support the development of a comprehensive agricultural
skills training program for these farmers that focuses
on--
(A) improving knowledge of insecticide and
sanitation procedures to prevent crop
destruction;
(B) teaching modern farming techniques,
including the identification and development of
standard growing practices and the
establishment of systems for recordkeeping,
that would facilitate a continual analysis of
crop production;
(C) the use and maintenance of farming
equipment that is appropriate for the majority
of eligible farmers in African or Caribbean
Basin countries;
(D) expansion of small farming operations
into agribusiness enterprises through the
development and use of village banking systems
and the use of agricultural risk insurance
pilot products, resulting in increased access
to credit for these farmers; and
(E) marketing crop yields to prospective
purchasers (businesses and individuals) for
local needs and export.
(6) The participation of African-American and other
American farmers and American agricultural farming
specialists in such a training program promises the
added benefit of improving access to African and
Caribbean Basin markets for American farmers and United
States farm equipment and products and business
linkages for United States insurance providers offering
technical assistance on, among other things,
agricultural risk insurance products.
(7) Existing programs that promote the exchange of
agricultural knowledge and expertise through the
exchange of American and foreign farmers have been
effective in promoting improved agricultural techniques
and food security, and, thus, the extension of
additional resources to such farmer-to- farmer
exchanges is warranted.
(b) Definitions.--In this section:
(1) Agricultural farming specialist.--The term
``agricultural farming specialist'' means an individual
trained to transfer information and technical support
relating to agribusiness, food security, the mitigation
and alleviation of hunger, the mitigation of
agricultural and farm risk, maximization of crop
yields, agricultural trade, and other needs specific to
a geographical location as determined by the Secretary.
(2) Caribbean basin country.--The term ``Caribbean
basin country'' means a country eligible for
designation as a beneficiary country under section 212
of the Caribbean Basin Economic Recovery Act (19 U.S.C.
2702).
(3) Eligible farmer.--The term ``eligible farmer''
means an individual owning or working on farm land (as
defined by a particular country's laws relating to
property) in the sub-Saharan region of the continent of
Africa, in a Caribbean Basin country, or in any other
developing country in which the Secretary determines
there is a need for farming expertise or for
information or technical support described in paragraph
(1).
(4) Program.--The term ``Program'' means the
Farmers for Africa and Caribbean Basin Program
established under this section.
(c) Establishment of Program.--The President shall
establish a grant program, to be known as the ``Farmers for
Africa and Caribbean Basin Program'', to assist eligible
organizations in carrying out bilateral exchange programs
whereby African-American and other American farmers and
American agricultural farming specialists share technical
knowledge with eligible farmers regarding--
(1) maximization of crop yields;
(2) use of agricultural risk insurance as financial
tools and a means of risk management (as allowed by
Annex II of the World Trade Organization rules);
(3) expansion of trade in agricultural products;
(4) enhancement of local food security;
(5) the mitigation and alleviation of hunger;
(6) marketing agricultural products in local,
regional, and international markets; and
(7) other ways to improve farming in countries in
which there are eligible farmers.
(d) Eligible Grantees.--The President may make a grant
under the Program to--
(1) a college or university, including a
historically black college or university, or a
foundation maintained by a college or university; and
(2) a private organization or corporation,
including grassroots organizations, with an established
and demonstrated capacity to carry out such a bilateral
exchange program.
(e) Terms of Program.--(1) It is the goal of the Program
that at least 1,000 farmers participate in the training program
by December 31, 2005, of which 80 percent of the total number
of participating farmers will be African farmers or farmers in
Caribbean Basin countries and 20 percent of the total number of
participating farmers will be American farmers.
(2) Training under the Program will be provided to eligible
farmers in groups to ensure that information is shared and
passed on to other eligible farmers. Eligible farmers will be
trained to be specialists in their home communities and will be
encouraged not to retain enhanced farming technology for their
own personal enrichment.
(3) Through partnerships with American businesses, the
Program will utilize the commercial industrial capability of
businesses dealing in agriculture to train eligible farmers on
farming equipment that is appropriate for the majority of
eligible farmers in African or Caribbean Basin countries and to
introduce eligible farmers to the use of insurance as a risk
management tool.
(f) Selection of Participants.--(1) The selection of
eligible farmers, as well as African-American and other
American farmers and agricultural farming specialists, to
participate in the Program shall be made by grant recipients
using an application process approved by the President.
(2) Participating farmers must have sufficient farm or
agribusiness experience and have obtained certain targets
regarding the productivity of their farm or agribusiness.
(g) Grant Period.--The President may make grants under the
Program during a period of 5 years beginning on October 1 of
the first fiscal year for which funds are made available to
carry out the Program.
(h) Authorization of Appropriations.--There are authorized
to be appropriated to carry out this section $10,000,000 for
each of fiscal years 2002 through 2007.
SEC. 314. INTERNATIONAL FOOD RELIEF PARTNERSHIP.
(a) Assistance for Stockpiling and Rapid Transportation,
Delivery, and Distribution of Shelf-Stable Prepackaged Foods.--
Section 208(f) of the Agricultural Trade Development and
Assistance Act of 1954 (7 U.S.C. 1726b(f)) is amended by
striking ``fiscal years 2001 and 2002'' and inserting ``fiscal
years 2001 through 2007''.
(b) Prepositioning of Commodities.--Section 407(c)(4) of
the Agricultural Trade Development and Assistance Act of 1954
(7 U.S.C. 1736a(c)(4)) is amended by striking ``fiscal years
2001 and 2002'' and inserting ``each of fiscal years 2001
through 2007''.
SEC. 315. TECHNICAL ASSISTANCE FOR SPECIALTY CROPS.
(a) Establishment.--The Secretary of Agriculture shall
establish an export assistance program (referred to in this
section as the ``program'') to address unique barriers that
prohibit or threaten the export of United States specialty
crops.
(b) Purpose.--The program shall provide direct assistance
through public and private sector projects and technical
assistance to remove, resolve, or mitigate sanitary and
phytosanitary and related barriers to trade.
(c) Priority.--The program shall address time sensitive and
strategic market access projects based on--
(1) trade effect on market retention, market
access, and market expansion; and
(2) trade impact.
(d) Funding.--The Secretary shall make available $3,000,000
for each of fiscal years 2002 through 2007 of the funds of, or
an equal value of commodities owned by, the Commodity Credit
Corporation.
In section 461(c)(3)(A)(iii) of the bill, strike
``Congress'' and insert ``the appropriate congressional
committees''.
In section 461(d)(3)(C)(ii) of the bill, insert after the
final period the following: ``Not less than one year of the
Fellowship shall be dedicated to fulfilling the requirement of
subparagraph (B)(i)(I).''.
In section 461(d)(3)(D)(ii)(V) of the bill, strike ``and''
at the end.
In section 461(d)(3)(D)(ii)(VI) of the bill, strike the
period and insert ``; and''.
In section 461(d)(3)(D)(ii) of the bill, add at the end the
following:
(VII) such other attributes
as determined to be appropriate
by the Board of Trustees.
In section 461(f)(4)(C) of the bill, strike ``Congress''
the second place it appears and insert ``appropriate
congressional committees''.
In section 461(h) of the bill, strike ``Congress'' and
insert ``the appropriate congressional committees''.
In section 461 of the bill, add at the end the following:
(j) Definition.--In this section, the term ``appropriate
congressional committees'' means--
(1) the Committee on Agriculture and the Committee
on International Relations of the House of
Representatives; and
(2) the Committee on Agriculture, Nutrition and
Forestry and the Committee on Foreign Relations of the
Senate.
Purpose and Summary
The principal purpose of the Committee's consideration of
title III of H.R. 2646, ``The Farm Security Act of 2001'' was
(1) the reform of procedures and policies relating to
international food assistance programs which are administered
jointly by the United States Agency for International
Development, USAID, and the United States Department of
Agriculture, USDA, including, in particular, a discretionary
authority for a global school feeding program with
developmental objectives designed to improve literacy and
primary education, particularly with respect to girls, and (2)
ensuring proper oversight of and funding levels for U.S.
agricultural promotion programs. The Committee is authorizing
these programs through 2007 because there are several new
programs being permanently authorized and others that are being
reformed and brought up to date. In addition to the need to
monitor the progress of these programs, the dynamic nature of
the trade and food assistance environments demand a shorter
review than 10 years for these programs.
Background and Need for the Legislation
The goal of the Committee is to ensure that the food and
development objectives of the U.S. Government are well
coordinated with all of the private voluntary organizations
that administer the emergency and non-emergency food assistance
programs. In addition, it would like to see more simplified and
expedited food aid delivery services. The challenge confronting
the Committee is to ensure that food aid reaches its intended
recipients without disrupting local agricultural production and
creating a permanent dependence on U.S. food aid. The
provisions in the bill provide authority to fund multi-country
food aid programs, provide greater flexibility in using any
currency in food aid transactions and encourage streamlined
approval of food aid proposals.
In addition, the Committee proposes some funding increases
for several key agricultural export promotion programs operated
by the Foreign Agricultural Service, FAS, of the U.S.
Department of Agriculture with the goal of opening markets for
agriculture to benefit the entire U.S. economy. Expanding
existing market access and opening new markets will
significantly boost U.S. agricultural export sales. Close to
one third of our farm and food system is geared toward serving
these overseas markets and U.S. agriculture is one of the few
sectors of our economy that consistently enjoys a trade
surplus.
The Committee proposes funding increases for the Market
Access Program, the Foreign Market Development Cooperator
Program and the Emerging Markets Program and a reauthorization
period through 2007 designed to ensure close oversight and
scrutiny of these programs. In addition, it provides the FAS
with additional policy guidance and authorities designed to
ensure that it can meet the emerging threats to our overseas
markets while it can more effectively coordinate its export
promotion activities with all other government agencies.
The Committee also establishes a program to complement the
bilateral exchange programs which are currently being
administered by USDA and USAID. The existing programs bring
together American farmers with their Sub-Saharan African and
Caribbean counterparts to share expertise and experiences. The
Committee's proposed program provides technical advice and
training to farmers in African and Caribbean Basin countries
and other developing countries in farming techniques that are
appropriate for the majority of eligible farmers in these
countries. Such techniques include modern pre- and post-harvest
techniques for standardization of quality assurance purposes,
systematic development of efficient indigenous growing
practices, insecticide and sanitation procedures, and
``organic'' farming methods that consistently increase yields
of nutritious crops.
Hearings
While the Committee was unable to hold any hearings prior
to the consideration of the amendment to H.R. 2646 owing to the
urgent need to report the bill prior to its consideration by
the House, extensive briefings were held with representatives
from farm and commodity groups, private voluntary organizations
and with Administration officials from the Department of
Agriculture and the Agency for International Development on
food aid and agricultural export promotion programs included in
the amendment.
Committee Consideration
H.R. 2646 was introduced by Representative Combest on July
26, 2001, and was referred to the House Committee on
Agriculture. On August 2, 2001, the Committee on Agriculture
favorably reported the bill to the House (H. Rept. 107-191,
Part I). On August 31, 2001, a supplemental report was filed by
the Committee on Agriculture (H. Rept. 107-191, Part II). On
August 2, 2001, H.R. 2646 was sequentially referred to the
House Committee on International Relations for a period ending
not later than September 7, 2001, for consideration of such
provisions of the bill and amendment as fall within the
jurisdiction of the Committee.
On September 6, 2001, the Committee met in open session and
ordered favorably reported the bill H.R. 2646, with amendment,
by voice vote, a quorum being present.
The Committee adopted three amendments. The first was an
amendment en bloc offered by Chairman Hyde. The second
amendment, offered by Mr. Bereuter to the Hyde amendment,
ensures that the Agency for International Development keeps in
place its current requirement mandating that value-added
commodities comprise no less than 75% of non-emergency P.L.
480, title II food aid. The Bereuter amendment was agreed to by
voice vote.
Mr. Blumenauer offered the third amendment, an amendment to
the Hyde amendment which strikes Sec. 301(b) of the Hyde
amendment. The Hyde amendment incorporated a provision inserted
by the Agriculture Committee allowing leaf tobacco to be
included as an eligible commodity under the Market Access
Program. The Blumenauer amendment was agreed to by a record
vote of 24 ayes to 7 noes.
The Hyde en bloc amendments, as amended, were agreed to by
voice vote.
Votes of the Committee
Clause (3)(b) of rule XIII of the Rules of the House of
Representatives requires that the results of each record vote
on an amendment or motion to report, together with the names of
those voting for or against, be printed in the committee
report.
Mr. Blumenauer offered an amendment to the Hyde amendment
which strikes Sec. 301(b) of the Hyde amendment. The amendment
was agreed to by a record vote of 24 ayes to 7 noes.
Voting yes: Hyde, Gilman, Leach, Bereuter, Smith (NJ),
Chabot, Paul, Pitts, Issa, Flake, Davis (VA), Lantos, Ackerman,
Brown, Wexler, Engel, Meeks, Lee, Crowley, Hoeffel, Blumenauer,
Berkley, Napolitano, and Schiff.
Voting no: Ros-Lehtinen, Ballenger, Burr, Smith (MI),
Cantor, Kerns, and Hilliard.
Committee Oversight Findings
In compliance with clause 3(c)(1) of rule XIII of the Rules
of the House of Representatives, the Committee reports that the
findings and recommendations of the Committee, based on
oversight activities under clause 2(b)(1) of rule X of the
Rules of the House of Representatives, are incorporated in the
descriptive portions of this report.
New Budget Authority and Tax Expenditures
Clause 3(c)(2) of House Rule XIII is inapplicable because
this legislation does not provide new budgetary authority or
increased tax expenditures.
Committee Cost Estimate
In compliance with clause 3(d)(2) of rule XIII of the Rules
of the House of Representatives, the Committee believes that
the Amendment to H.R. 2646 would have no cost for the current
fiscal year, and that it would result in approximately $667
million in budget authority and outlays between fiscal years
2002 through 2007.
Performance Goals and Objectives
The goals and objectives are limited to those sections of
title III and IV that are being marked up by the Committee on
International Relations.
Constitutional Authority Statement
Pursuant to clause 3(d)(1) of rule XIII of the Rules of the
House of Representatives, the Committee finds the authority for
this legislation in article I, section 8, clause 18 of the
Constitution (relating to making all laws necessary and proper
for carrying into execution powers vested by the Constitution
in the government of the United States)..
Section-by-Section Analysis and Discussion
Section 301. Market Access Program.
The Market Access Program, MAP, is designed to encourage
the creation, maintenance and expansion of foreign markets for
U.S. agricultural, fish, and forests products. MAP operates
through public-private partnerships among non-profit U.S.
agricultural trade associations, U.S. agricultural
cooperatives, non-profit state-regional trade groups, small and
medium sized U.S. businesses, and the Commodity Credit
Corporation of the U.S. Department of Agriculture to share the
costs of overseas marketing and promotional activities such as
consumer promotions, market research, trade shows, and trade
services.
Each year, MAP helps launch and expand sales of a wide
variety of U.S. agricultural, fish and forest products
overseas. Since its inception, the program has been used to
transform a potential market to a consuming market and to
ensure that mature markets continue to see expansion of U.S.
agricultural products. In combination with programs under the
Foreign Market Development Program, it has been used in the
past, for example, to educate consumers abroad about health
risks and those measures taken by the U. S. to protect against
BSE, thereby assuring continued expansion of U.S. meat exports.
First established as the Targeted Export Assistance, TEA,
the Committee had a role in reauthorizing the program in the
1990 Farm Bill as the Market Promotion Program and ensuring in
subsequent years that it was used to help U.S. agricultural
producers and industries overcome the unfair trading practices
of its international trading competitors. The Committee
supports the proposed funding increase for MAP to $180 million
per year for the period 2002 through 2007. This proposed
increase would bring the program back very close to the funding
level attained 15 years ago in 1986, ensuring that we can begin
to compete more effectively with the member states of the
European Union and the Cairns Group.
Our competitors' investment in market development is much
larger and has grown faster since the Uruguay Trade Round with
the U.S. being regularly outspent by our trading competitors on
a magnitude of 4 to 1. Increases in agriculture export market
development spending have been especially noteworthy for the
Cairns Group which alone spent $592 million on market
development in 1998 compared to $295 million for the U.S.
In light of the unprecedented market access and market
development challenges facing U.S. agriculture and U.S.
agricultural exports from our trading competitors, the
Committee recommends a 6-year authorization of this program and
all other programs in this title.
The Committee notes the past controversies surrounding MAP
and believes that its proposed funding increase and
reauthorization should continue to receive close and periodic
scrutiny and that a 10-year reauthorization period is too long
to meet the potential challenges facing our agricultural
exports in the next round of trade negotiations in the context
of the World Trade Organization.
We must ensure that our market development programs can
keep pace with the evolution of the global trading environment,
especially with such major prospective developments as the Free
Trade Area of the Americas due to be finalized in 2005, and the
many potential threats that may emerge for U.S. agriculture in
the future, and with any emerging threats to U.S. agricultural
exports. We will need, for example, in the near future to
address the market access, regulatory and marketing issues in
agricultural biotechnology trade.
Section 302. Food for Progress.
The purpose of the Food for Progress program is to finance
the sale and export of agricultural commodities on credit
terms, or on a grant basis, to support developing countries and
countries that are emerging democracies and have made
commitments to introduce or expand free enterprise elements
into their agricultural economies. Under the Food for Progress
program, commodities may be provided under the authority of
P.L. 480, title I, or section 416(b). Under certain conditions,
the Commodity Credit Corporation (CCC) may also purchase
commodities for use in Food for Progress programs if the
commodities are currently not held by CCC. For commodities
furnished on a grant basis, the CCC may pay, in addition to
acquisition costs and ocean transportation, such related
commodity and delivery charges.
The Food for Progress program is currently limited by a
global 500,000 metric ton ceiling, by a $30 million cap on non-
commodity costs (primarily transportation) and by a $10 million
cap on administrative expenses.
The Committee recognizes the need for this program, since
its inception in the 1985 Food Security Act. The goals of the
program include making use of the food resources of United
States agriculture in order to support countries that are
committed to policies that promote economic freedom, private,
domestic production of food commodities for domestic
consumption and the creation of and expansion of domestic
markets for the purchase and sale of these commodities.
The Committee determined that the amount of commodities
provided through the Food for Progress program should increase
and thereby the Committee increases the ceiling from 500,000
metric tons to 1,000,000 metric tons. Furthermore, the limit on
transportation costs is increased to $40 million per year and
the limit on administrative costs to $15 million per year so
that additional commodities may be allocated to eligible
countries. In addition, since the Food for Progress program
allows for the use of commodities from P.L.480, title I, the
Committee makes clear that the limitation on commodities for
Food for Progress does not apply to commodities from P.L.480,
title 1 that are used under the Food for Progress program.
The Committee is authorizing the use of U.S. dollars and
other currencies for the monetization of commodities in
recognition of the need to hedge against inflation and maintain
the value of the proceeds of such sales in developing
countries. In addition, the Committee recognizes that
international financial transactions are increasingly
negotiated using U.S. dollars and other hard currencies.
Nevertheless, the Committee is mindful of the need to ensure
that the proceeds of such sales are to be used only in the
country in which the transaction is carried out unless
otherwise authorized in the agreements executed between private
voluntary organizations and other eligible organizations with
USDA or USAID.
Efficient administration of the Food for Progress program
is essential and therefore the Secretary is encouraged to make
determinations regarding final program agreements and requests
for this program before the beginning of the fiscal year. The
Committee directs the Secretary to report, by November 1 of
each fiscal year, on the programs, countries and commodities
approved for the Food for Progress program for that fiscal
year. Additionally the Secretary will include in that report
the amount of funds approved for transportation and
administrative costs.
Section 303. Surplus Commodities for Developing or Other Friendly
Countries.
This section amends section 416(b) of the Agricultural Act
of 1967 and authorizes the Secretary to allow the Commodity
Credit Corporation to provide funds to nonprofit and voluntary
organizations and cooperatives for the administration,
monitoring and implementation of technical assistance and
logistics related to food assistance programs under this
section.
The Committee is authorizing the use of U.S. dollars and
other currencies for the monetization of commodities in
recognition of the need to hedge against inflation and maintain
the value of the proceeds of such sales in developing
countries. In addition, the Committee recognizes that
international financial transactions are increasingly
negotiated using U.S. dollars and other hard currencies.
Nevertheless, the Committee is mindful of the need to ensure
that the proceeds of such sales are to be used only in the
country in which the transaction is carried out unless
otherwise authorized in the agreements executed between private
voluntary organizations and other eligible organizations with
USDA or USAID.
The Committee is requiring the Secretary to publish in the
Federal Register by October 31 of each fiscal year an estimate
of the total commodities available under this section for that
fiscal year and encourages the Secretary to finalize program
agreements by December 31 of each fiscal year. The Committee
recognizes that any estimates are likely to change through out
the course of the year and that availability of additional
commodities may make it difficult to meet set deadlines.
However, the Committee feels such information will assist the
Private Voluntary Organizations and International Organizations
community in making programmatic and administrative decisions.
Section 304. Export Enhancement Program.
The Export Enhancement Act (EEP) is reauthorized at the
maximum level of $478 million through fiscal year 2007.
Operated under the authority of the 1978 Agricultural Trade
Act, the Uruguay Round Agreements Act and the Federal
Agriculture Improvement and Reform Act of 1996, this program
allows the USDA through the Commodity Credit Corporation to
provide bonuses to make U.S. commodities more competitive and
to offset the adverse effects of unfair trade practices.
Consistent with the quantity limitations of the Uruguay Round
Agreement on Agriculture, the program provides for limited
allocations of certain commodities in countries impacted by
unfair trade practices or subsidies. Eligible commodities for
EEP include wheat, wheat flour, rice, frozen poultry, barley,
barley malt, table eggs and vegetable oil.
Section 305. Foreign Market Development Cooperator Program
The Foreign Market Development (Cooperator) Program uses
CCC funds to aid in the creation and expansion of long-term
export markets for U.S. agricultural products. The program
functions as a trade promotion partnership between the U. S.
Department of Agriculture's Foreign Agricultural Service and
agricultural producers and processors who are represented by
non-profit commodity or trade associations called Cooperators.
Under this partnership, where industry contributions now exceed
those from the USDA, the government and the private sector pool
their technical and financial resources to develop foreign
markets and remove trade barriers of all types.
Agricultural exports are important to the overall economy
and in fiscal year 1999 they totaled $49 billion, generating
some 750,000 full-time jobs, and more than one million full and
part-time jobs, relating to the production, processing and
distribution of agricultural products for export. They are on
average better paying jobs than those in the non-export sector.
All regions of the country benefit from this program which
remains underfunded in its efforts to maintain existing market
share in established markets and to develop new markets for a
wide range of commodities. The Committee would note proposed
European Union guidelines on biotechnology in agriculture are
likely inconsistent with World Trade Organization obligations
and could result in billions of dollars of lost U.S. exports.
The Committee believes that the Cooperator program plays an
important and growing role in promoting US agricultural
exports. The Committee has therefore recommended increasing
program funding to $40 million annually through fiscal year
2007 in part to assist such new industries as biotechnology in
identifying and overcoming any potential tariff and non-tariff
barriers that they may face in exporting their products.
Program supporters point out that a minimum program level
of $43.25 million is needed to give this program the same level
of funding as was provided some 15 years ago in 1986.
Section 306. Export Credit Guarantee Program.
The Export Credit Guarantee Program (sec. 211 (b)(1) of the
Agricultural Trade Act of 1978) is reauthorized at current
levels through 2007. In addition, CCC will continue the
requirement that not less than 35 percent of the export credit
guarantees issued be used to promote the export of processed or
high-value agricultural exports.
The Committee notes that GSM usage continues well below the
statutory minimum of $5.5 billion in guarantees required each
year. The export credit guarantee programs, GSM-102 and GSM-
103, were designed to facilitate sales of United States
agricultural exports and have always enjoyed the enthusiastic
support of the Committee.
The ongoing negotiations in the Organization for Economic
Cooperation and Development (OECD) raise several concerns about
whether these programs will remain viable for supporting
exports of United States agricultural products. This section
provides for an annual report on the status of negotiations
regarding export credit programs at the World Trade
Organization and the Organization for Economic Cooperation and
Development. The Committee would expect that any classified or
sensitive information about these negotiations be provided in a
classified annex to this report.
Section 307. Food for Peace (P.L. 480).
The Committee reauthorizes the Food for Peace and the
International Food Relief Partnership Act through 2007,
increases the minimum level of commodities under this section
from 2,025,000 metric tons to 2,250,000 metric tons and
provides several additional authorities and program
modifications including mandating of minimum and maximum
percentage levels for the funding for transportation, storage
and handling of P.L. 480 commodities; authority to fund multi-
country programs; greater flexibility in using any currency in
food aid transactions; and provision for expedited and
streamlined approval and sales procedures and for the issuance
of implementing regulations.
The Committee strongly encourages USAID to consult with
private voluntary organizations and other eligible
organizations on any proposed policy directives prior to their
issuance by the agency. While the Committee is cognizant of the
prerogatives of USAID to formulate U.S. policies and procedures
with regard to the implementation and administration of U.S.
food assistance programs, it is also important that USAID
consult on a timely and regular basis with private voluntary
organizations and other eligible organizations on changes to
policies and procedures that could affect ongoing food
assistance programs that are administered by private voluntary
and other eligible organizations.
The Committee authorizes the use of U.S. dollars and other
currencies for the monetization of commodities in recognition
of the need to hedge against inflation and maintain the value
of the proceeds of such sales in developing countries. In
addition, the Committee recognizes that international financial
transactions are increasingly negotiated using U.S. dollars and
other hard currencies. Nevertheless, the Committee is mindful
of the need to ensure that the proceeds of such sales are to be
used only in the country in which the transaction is carried
out unless otherwise authorized in the agreements executed
between private voluntary and other eligible organizations and
USAID.
The Committee strongly recommends that the Department of
Agriculture consult with USAID on best practices in the
implementation of microfinance programs and that it participate
in the preparation of the President's Report to Congress on
international microfinance programs as required by P.L. 106-
309.
The Committee understands that there may be benefits to
monetization of emergency food commodities to help meet
emergency humanitarian needs. The Committee encourages the
Administrator of USAID to examine possible increases in the
amount of emergency food commodities that are monetized, or
sold, with the sales proceeds to be used to meet emergency
humanitarian needs, including famine relief. The purpose of
this approach is the stabilization of commodity prices in the
area undergoing the emergency. The Committee expects to be
consulted by the Agency as this policy idea develops.
The Committee also encourages a linkage between Food Aid
programs and HIV/AIDS programs. The global AIDS pandemic is one
of the greatest humanitarian, economic, social and national
security threats of our time. In particular, in addressing the
AIDS crisis in sub-Saharan Africa and other affected regions,
the Committee encourages a multi-sectoral and multi-faceted
strategy that incorporates food aid programs. Despite progress
in recent years, sub-Saharan Africa enters the new millennium
with many of the world's poorest countries; it is an area of
the world where hunger is both pervasive and increasing. Nearly
half of sub-Saharan Africa's total population lives on less
that $1 a day. One out of seven children dies before their
fifth birthday; half of these deaths are due to malnutrition.
Further exacerbating these challenges is the toll of HIV/AIDS
and other diseases. As AIDS impacts the continent of Africa,
lack of adequate nutrition also impacts the ability of people
living with HIV/AIDS to manage their AIDS-related illnesses.
Malnutrition is a factor which accelerates the rate of AIDS-
related complications and disease progression. The Committee
encourages the targetting of food aid resources toward persons
or groups affected by HIV/AIDS. The Committee also encourages
the Administration to examine, develop, and implement long term
agricultural strategies in the context of addressing the AIDS
crisis. The Committee supports programming that seeks to
incorporate HIV/AIDS nutritional support strategies.
The Committee has included a provision that requires the
Administrator of USAID to make a decision on program proposals
received from private voluntary and other eligible
organizations not later than 120 days after receipt of a
proposal by the Administrator. Receipt of a proposal by the
Administrator shall mean the first receipt of a proposal by
either USAID headquarters or field missions and does not
preclude the Administrator from consulting with field missions
on any proposal submitted by a private voluntary or eligible
organization whether or not such proposal was submitted to a
USAID headquarters or field mission.
Section 308. Emerging Markets.
The Emerging Markets Program is designed to foster growth
in U.S. agricultural exports in low to middle income countries
that offer viable markets for U.S. agricultural products.
Originally authorized by the Food, Agriculture, Conservation
and Trade Act of 1990 and the FAIR Act of 1996, the program
supports technical assistance that U.S. agricultural
organizations undertake to improve market access and promote a
wide variety of U.S. agricultural products in emerging markets.
The Committee would note the growing number of potential viable
projects that the Program Administrator could not approve over
the past several years. The value of these submitted proposals
now exceeds $16 million.
The Committee supports an increase in the funding of this
program from the CCC from $10 to $15 million per year through
fiscal year 2007 to address, in part, the need for the
development of potential markets for existing and new products,
including speciality crops. Projects should include market
research, risk assessment and technical training and other
activities that can remove or mitigate the full range of tariff
and non-tariff barriers facing U.S. agricultural exports in
emerging markets. Several success stories illustrate the value
of this program:
In cooperation with the Southern United States Trade
Association (SUSTA), the Emerging Markets Program is continuing
to fund the Export Readiness Training Program which provides
export training for small and minority U.S. business interested
in the export market. Approximately 30 companies have received
training through this program. Many of them have used their
training and are now pursuing export opportunities and
accessing other FAS programs such as the Market Access Program
to move and promote their products in various overseas markets.
To date, ERT companies have entered markets in the Caribbean,
Africa, South America and Central America.
In both Shanghai and Southeast Asia, the U.S. Meat Export
Federation, using funds from the Emerging Markets Program, has
provided training to target retailers and merchandisers to
provide them with the knowledge they need to overcome problems
and difficulties encountered in day-to-day operations. This
program has served as an important means of introducing U.S.
meat products and techniques to the Asian market. Numerous
individuals have been trained through this program at the
central training location and have been able to develop their
knowledge and spread it throughout Asia while developing ties
to the U.S. meat industry.
Section 309. Bill Emerson Humanitarian Trust.
The purpose of this section is to provide for a trust
solely to meet emergency humanitarian food needs in developing
countries. The Secretary of Agriculture is required to
establish a trust stock of wheat, rice, corn, or sorghum, or
any combination of the commodities totaling not more than 4
million metric tons. The Bill Emerson Humanitarian Trust Act is
reauthorized through 2007.
Section 310. Fee for Services.
This section provides the Secretary of Agriculture with the
authority to charge and retain a fee to cover the costs for
providing persons with commercial services performed abroad
through the Foreign Agricultural Service. Such fees would be
deposited as an offsetting collection to a Department of
Agriculture account, but they could only be collected and made
available to the Secretary to the extent they are provided in
advance in an appropriations act. The Committee believes that
allowing the FAS to collect such limited fees could allow for a
substantial increase in both the amount and quality in services
provided to U.S. agricultural exporters.
It is the Committee's intention that this authority be
discretionary and be put in place only to supplement and not
replace any services currently offered overseas by FAS
personnel. It should be implemented as part of an overall
market development plan developed by the appropriate FAS
officer in his or her country or region and should first be put
in place on a pilot basis in a small number of overseas posts.
The results should be carefully monitored and evaluated to
ensure that its implementation does not disadvantage small and
medium sized companies, including those new-to-export
companies.
The fee for service authority can be used when and where
appropriate to help match U.S. exporters with international
buyers, distributors or other business partners. It could also
be used, for example, to provide custom market research and for
client facilitation services including interpretation,
translation and courier services. The Committee would note that
the fee for service authority is now in place for a number of
USDA programs and activities and is used extensively by the
Foreign and Commercial Service of the Department of Commerce.
Sec. 311. Multiyear Agricultural Trade Strategy.
The Committee directs the Secretary to prepare a long-range
comprehensive agricultural trade strategy and to report to the
designated congressional Committees on its development and
implementation 1 year after the date of enactment of this Act.
One of the intended goals of this trade strategy exercise is to
ensure that all the market development resources available to
the Foreign Agriculture Service are spent in a coordinated and
targeted way to ensure that U.S. agricultural exports find new
and expanded markets.
The creation of this overall strategy is intended to ensure
that the FAS can fully address the market development
deficiencies identified in the course of the annual FAS review
and program analysis undertaken pursuant to the Government
Performance and Review Act, GPRA, mandate. In light of the
projected large increase in the funding of the Market Access
Program, the FAS should clearly identify how these resources
could be used to provide support to short-term market
development and market access goals in mature markets and long
term market penetration objectives in newer and emerging
markets.
Another important goal of this trade strategy exercise is
the short term targeting of markets that are being placed at
risk due to the EU as a result of its potentially trade
distorting practices and large-scale ``amber box'' programs. In
the medium and long-term, the USDA should closely coordinate
with the U.S. Trade Representative and other relevant U.S.
government agencies to ensure that the U.S. works with the
members of the Cairns Group and other like-minded countries
within the World Trade Organization to reduce the European
agricultural export subsidies.
The Committee would also note that the NASDA MAP Evaluation
Project submitted by Deloitte and Touche to the National
Association of State Departments of Agriculture concluded that
``there are a number of global challenges that could have
better responses. These . . . include GMOs, U.S. grades,
standards and inspection procedures, chemical residues, and
managing the U.S. agricultural brand image. This will require
more effective strategic planning, and careful identification
of emerging issues.''
Section 312. George McGovern-Robert Dole International Food for
Education and Child Nutrition Program.
In December 2000, the Administration launched a pilot
program, the Global Food for Education Initiative (GFEI), to
significantly increase resources for school feeding programs
with the goal of significantly reducing hunger and increasing
educational opportunity for the world's neediest children. The
pilot program consists of 49 projects in 38 countries to
provide approximately 9 million children with at least one
nutritious meal each day in a school setting. The Committee
commends the U.S. Department of Agriculture for carrying out
the pilot program on a very abbreviated timetable. The
Committee also commends the private voluntary organizations,
cooperatives, the United Nations World Food Program, the
American farming community and commodity producers who
responded so quickly in implementing these projects.
The Committee has retained the discretionary nature of the
GFEI and included a number of modifications to strengthen its
implementation if the President decides to continue the
program. It has designated the program as the George McGovern-
Robert Dole International Food for Education and Child
Nutrition Program, in honor of the two former senators who
inspired this global initiative. The Committee provides for the
President to designate a Federal agency or agencies to carry
out the program, allows for the purchase of any commodities,
not just those in surplus, that would make these programs more
effective, and to purchase commodities in non-surplus years in
order to ensure the continuity of these school feeding
programs. The Committee provides funds from the Commodity
Credit Corporation (CCC) to be used for administrative costs,
and transportation and storage of commodities in the recipient
countries, thus confirming the action taken by the Congress on
July 20, 2001, in the conference report to H.R. 2216, when
additional funds were appropriated to cover these expenses for
the pilot program. With respect to administrative costs, the
Committee recommends that allowable administrative expenses for
this program be determined in accord with similar food aid
programs, such as Food for Progress, and that coverage of such
expenses be provided equitably to all implementing entities.
The Committee requires that elements to ensure these
programs longevity and self- sufficiency be incorporated into
projects from the very beginning of implementation. It is
neither the intent nor the expectation of the Committee for
these programs to foster dependency, but rather that they lead
over time to local self-sufficiency and longevity.
The Committee recognizes that the Administration is
concluding a review of all food aid programs, including the
GFEI. The Committee recommends that greater attention be placed
on how the GFEI relates to and is coordinated with other
foreign policy and development priorities--such as maternal
child health programs, HIV/AIDS prevention and treatment,
strengthening local agriculture, clean water, microenterprise
and other development projects--in order to enhance the long-
term viability and economic development of communities and
regions where the GFEI is underway.
For long-term success, this initiative requires the
engagement of the international community, other donor nations,
and the private sector. The Committee is encouraged by recent
reports that Italy, France, Canada and other nations have
indicated concrete support for this effort through the United
Nations World Food Program. The Committee urges the President
to actively engage these sectors in a global effort to reduce
hunger and increase educational opportunity among the world's
neediest children.
The Committee emphasizes that the GFEI is subject to
Federal laws and requirements to ensure that Federal commodity
purchases neither disrupt U.S. domestic markets nor adversely
affect local farmers in recipient countries. In addition,
requirements on the use of U.S.-flag shipping also apply to the
GFEI.
Section 313. Farmers for Africa and Caribbean Basin Program.
The bill establishes bilateral exchange programs where
African-American and other American farmers and agricultural
farming specialists provide eligible farmers in sub-Saharan and
Caribbean countries with advice and assistance concerning
farming practices, expansion of agricultural trade, and use of
agricultural risk insurance.
The Committee authorizes the President to administer the
programs with the expectation that the President will delegate
his authority to the USDA and USAID, given their continuing
involvement in similar programs.
Section 314. Food Relief Reauthorization.
This provision continues the authorization for an
additional 5 years for the stockpiling, transportation,
delivery, and distribution of shelf-stable prepackaged foods to
needy individuals in foreign countries by private voluntary
organizations and international organizations
Section 315. Technical Assistance for Speciality Crops.
The Committee is authorizing a new program to reduce the
export barriers faced by U.S. producers of speciality crops,
including fruits and vegetables. Currently, these producers
face high tariff barriers in many of their potential export
markets and a number of other obstacles including sanitary and
phytosanitary regulations implemented in a discriminatory
fashion.
The Committee is providing $3 million for the years 2002
through 2007 to fund direct assistance as well as technical
assistance efforts designed to increase market access for the
export of speciality crops. Specific projects should focus on
market development and market retention issues, risk assessment
and technical training activities. Program activities should be
coordinated as much as practical with any similar ongoing
market access projects being undertaken by the Market Access
Program.
Section 461. Hunger Fellowship Program
In addition, the Committee ensures that the Mickey Leland
Hunger Fellowship Program focuses the attention of the fellows
on field work, and provided interested Members of Congress with
oversight capability.
New Advisory Committees
H.R. 2646 does not establish or authorize any new advisory
Committees.
Congressional Accountability Act
H.R. 2646 does not apply to the legislative branch.
Federal Mandates
H.R.2646 provides no Federal mandates.
Changes in Existing Law Made by the Bill, as Reported
The bill was referred to the Committee on Agriculture, and
sequentially to the Committee on International Relations, for a
period ending not later than September 7, 2001, for
consideration of such provisions as fall within the
jurisdiction of that Committee pursuant to clause 1(j), rule X.
In compliance with clause 3(e) of rule XIII of the Rules of
the House of Representatives, changes in existing law made by
that portion of the bill within the jurisdiction of the
Committee on Agriculture, as reported, are shown in part 2 of
this report and changes in existing law made by that portion of
the bill within the jurisdiction of the Committee on
International Relations, as reported, are shown as follows
(existing law proposed to be omitted is enclosed in black
brackets, new matter is printed in italics, existing law in
which no change is proposed is shown in roman):
AGRICULTURAL TRADE ACT OF 1978
* * * * * * *
TITLE II--AGRICULTURAL EXPORT PROGRAMS
Subtitle A--Programs
* * * * * * *
SEC. 202. EXPORT CREDIT GUARANTEE PROGRAM.
(a) * * *
* * * * * * *
(k) Processed and High-Value Products.--
(1) In general.--In issuing export credit
guarantees under this section, the Commodity Credit
Corporation shall, subject to paragraph (2), ensure
that not less than 25 percent for each of fiscal years
1996 and 1997, 30 percent for each of fiscal years 1998
and 1999, and 35 percent for each of fiscal years
2000[, 2001, and 2002] through 2007, of the total
amount of credit guarantees issued for a fiscal year is
issued to promote the export of processed or high-value
agricultural products and that the balance is issued to
promote the export of bulk or raw agricultural
commodities.
* * * * * * *
Subtitle B--Implementation
SEC. 211. FUNDING LEVELS.
(a) * * *
(b) Export Credit Guarantee Programs.--
(1) Export credit guarantees.--The Commodity Credit
Corporation shall make available for each of fiscal
years 1996 through [2002] 2007 not less than
$5,500,000,000 in credit guarantees under subsections
(a) and (b) of section 202.
* * * * * * *
(c) Market Access Programs.--The Commodity Credit
Corporation or the Secretary shall make available for market
access activities authorized to be carried out by the Commodity
Credit Corporation under section 203--
(1) in addition to any funds that may be
specifically appropriated to implement a market access
program, not less than $200,000,000 for each of the
fiscal years 1991 through 1993, not less than
$110,000,000 for each of the fiscal years 1994 through
1995, [and not more] not more than $90,000,000 for each
of fiscal years 1996 through [2002,] 2001, and not more
than $180,000,000 for each of fiscal years 2002 through
2007, of the funds of, or an equal value of commodities
owned by, the Commodity Credit Corporation; and
* * * * * * *
(d) Report on Agricultural Export Credit Programs.--
(1) In general.--Not later than one year after the
date of the enactment of the Farm Security Act of 2001,
and annually thereafter, the Secretary shall prepare
and submit to the designated congressional committees a
report on the status of multilateral negotiations
regarding agricultural export credit programs at the
World Trade Organization and the Organization of
Economic Cooperation and Development in fulfillment of
Article 10.2 of the Agreement on Agriculture (as
described in section 101(d)(2) of the Uruguay Round
Agreements Act). The report submitted under this
paragraph shall be submitted in unclassified form, but
may contain a classified annex.
(2) Definition.--In this section, the term
``designated congressional committees'' means the
Committee on Agriculture and the Committee on
International Relations of the House of Representatives
and the Committee on Agriculture, Nutrition and
Forestry of the Senate.
* * * * * * *
TITLE III--EXPORT ENHANCEMENT PROGRAM
* * * * * * *
SEC. 301. EXPORT ENHANCEMENT PROGRAM.
(a) * * *
* * * * * * *
(e) Funding Levels.--
(1) In general.--The Commodity Credit Corporation
shall make available to carry out the program
established under this section not more than--
(A) * * *
* * * * * * *
(G) $478,000,000 for fiscal year 2002 and
for each fiscal year thereafter through fiscal
year 2007.
* * * * * * *
TITLE VII--FOREIGN MARKET DEVELOPMENT COOPERATOR PROGRAM
* * * * * * *
SEC. 702. FOREIGN MARKET DEVELOPMENT COOPERATOR PROGRAM.
(a) * * *
* * * * * * *
(c) Report to Congress.--
(1) In general.--The Secretary shall report
annually to the appropriate congressional committees
the amount of funding provided, types of programs
funded, the value added products that have been
targeted, and the foreign markets for those products
that have been developed.
(2) Definition.--In this subsection, the term
``appropriate congressional committees'' means--
(A) the Committee on Agriculture and the
Committee on International Relations of the
House of Representatives; and
(B) the Committee on Agriculture, Nutrition
and Forestry and the Committee on Foreign
Relations of the Senate.
SEC. 703. AUTHORIZATION OF APPROPRIATIONS.
(a) Prior Years.--There are authorized to be appropriated
to carry out this title such sums as may be necessary for each
of fiscal years 1996 through [2002] 2001.
(b) Fiscal 2002 and Later.--For each of fiscal years 2002
through 2007 there are authorized to be appropriated such sums
as may be necessary to carry out this title, and, in addition
to any sums so appropriated, the Secretary shall use
$40,000,000 of the funds of, or an equal value of the
commodities of, the Commodity Credit Corporation to carry out
this title.
* * * * * * *
----------
SECTION 1110 OF THE FOOD SECURITY ACT OF 1985
Sec. 1110. (a) * * *
* * * * * * *
(e)(1) * * *
(2) Notwithstanding any other provision of law, the
Commodity Credit Corporation may use funds appropriated to
carry out title I of the Agricultural Trade Development and
Assistance Act of 1954 in carrying out this section with
respect to commodities made available under that Act, and
subsection (g) does not apply to such commodities furnished on
a grant basis or on credit terms under title I of the
Agricultural Trade Development and Assistance Act of 1954.
(f)(1) * * *
* * * * * * *
(3) No funds of the Commodity Credit Corporation in excess
of [$30,000,000] $40,000,000 (or, in the case of fiscal year
1999, $35,000,000) (exclusive of the cost of commodities) may
be used for each of fiscal years 1996 through [2002] 2007 to
carry out this section with respect to commodities made
available under section 416(b) of the Agricultural Act of 1949
unless authorized in advance in appropriation Acts.
* * * * * * *
(g) Not more than [500,000] 1,000,000 metric tons of
commodities may be furnished under this section in each of the
fiscal years 1986 through [2002] 2007.
* * * * * * *
(j) In carrying out this section, the President [may] is
encouraged, on request and subject to the availability of
commodities, to approve agreements that provide for commodities
to be made available for distribution or sale by the recipient
on a multiyear basis if the agreements otherwise meet the
requirements of this section.
(k) This section shall be effective during the period
beginning October 1, 1985, and ending December 31, [2002] 2007.
(l)(1) To enhance the development of private sector
agriculture in countries receiving assistance under this
section the President may, in each of the fiscal years [1996
through 2002] 2002 through 2007, use in addition to any amounts
or commodities otherwise made available under this section for
such activities, not to exceed [$10,000,000 (or, in the case of
fiscal year 1999, $12,000,000)] $15,000,000 of Commodity Credit
Corporation funds (or commodities of an equal value owned by
the Corporation), to provide assistance in the administration,
sale, and monitoring of food assistance programs, and to
provide technical assistance for monetization programs, to
strengthen private sector agriculture in recipient countries.
* * * * * * *
(3) The President may use the assistance provided under
this subsection and [local currencies] proceeds derived from
the sale of commodities under paragraph (2) to design, monitor,
and administer activities undertaken with such assistance, for
the purpose of strengthening or creating the capacity of
recipient country private enterprises to undertake commercial
transactions, with the overall goal of increasing potential
markets for United States agricultural commodities.
* * * * * * *
(p) The Secretary is encouraged to finalize program
agreements and resource requests for programs under this
section before the beginning of the relevant fiscal year. By
November 1 of the relevant fiscal year, the Secretary shall
provide to the Committee on Agriculture and the Committee on
International Relations of the House of Representatives, and
the Committee on Agriculture, Nutrition, and Forestry of the
Senate a list of approved programs, countries, and commodities,
and the total amounts of funds approved for transportation and
administrative costs, under this section.
----------
SECTION 416 OF THE AGRICULTURAL ACT OF 1949
Sec. 416. (a) * * *
(b)(1) * * *
* * * * * * *
(7) Eligible commodities furnished under this subsection
may be sold or bartered only with the approval of the Secretary
and solely as follows:
(A) * * *
* * * * * * *
(D)(i) Sales of commodities and products furnished
to nonprofit and voluntary agencies, or cooperatives,
for food assistance under agreements that provide for
the use, by the agency or cooperative, of [foreign
currency] proceeds generated from such sale of
commodities or products for the purposes established in
clause (ii) of this subparagraph.
(ii) [Foreign currencies] Proceeds generated from
partial or full sales or barter of commodities by a
nonprofit and voluntary agency or cooperative shall be
used--
(I) * * *
* * * * * * *
In addition, [foreign currency] proceeds generated in
Poland may also be used by governmental and
nongovernmental agencies or cooperatives for eligible
activities approved by the joint commission established
pursuant to section 2226 of the American Aid to Poland
Act of 1988 and by the United States chief of
diplomatic mission in Poland that would improve the
quality of life of the Polish people and would
strengthen and support the activities of governmental
or private, nongovernmental independent institutions in
Poland. Activities eligible under the preceding
sentence include--
(I) * * *
* * * * * * *
(iii) Except as otherwise provided in clause (v),
such agreements, taken together for each fiscal year,
shall provide for sales of commodities and products for
[foreign currency] proceeds in amounts that are, in the
aggregate, not less than 10 percent of the aggregate
value of all commodities and products furnished, or the
minimum tonnage required, whichever is greater, for
carrying out programs of assistance under this
subsection in such fiscal year. The minimum allocation
requirements of this clause apply with respect to
commodities and products made available under this
subsection for carrying out programs of assistance
under titles II and III of the Agricultural Trade
Development and Assistance Act of 1954, and not with
respect to commodities and products made available to
carry out the Food for Progress Act of 1985.
(iv) [Foreign currency proceeds] Proceeds generated
from the sale of commodities or products under this
subparagraph shall be expended within the country of
origin within a reasonable length of time, as
determined by the Secretary, except that the Secretary
may permit the use of proceeds in a country other than
the [country of origin--
[(I) as necessary to expedite] country of
origin as necessary to expedite the
transportation of commodities and products
furnished under this subsection[; or].
[(II) if the proceeds are generated in a
currency generally accepted in the other
country.]
* * * * * * *
(8)(A)(i) To the maximum extent practicable, expedited
procedures shall be used in the implementation of this
subsection.
(ii) The Secretary shall publish in the Federal Register,
not later than October 31 of each fiscal year, an estimate of
the commodities that shall be available under this section for
that fiscal year.
(iii) The Secretary is encouraged to finalize program
agreements under this section not later than December 31 of
each fiscal year.
* * * * * * *
----------
AGRICULTURAL TRADE DEVELOPMENT AND ASSISTANCE ACT OF 1954
* * * * * * *
SEC. 2. UNITED STATES POLICY.
It is the policy of the United States to use its abundant
agricultural productivity to promote the foreign policy of the
United States by enhancing the food security of the developing
world through the use of agricultural commodities and local
currencies accruing under this Act to--
(1) combat world hunger and malnutrition and their
causes;
[(2) promote broad-based, equitable, and
sustainable development, including agricultural
development;]
(2) promote broad-based, equitable, and sustainable
development, including agricultural development as well
as conflict prevention;
* * * * * * *
TITLE II--EMERGENCY AND PRIVATE ASSISTANCE PROGRAMS
* * * * * * *
SEC. 202. PROVISION OF AGRICULTURAL COMMODITIES.
(a) * * *
* * * * * * *
(e) Support for Eligible Organizations.--
(1) In general.--Of the funds made available in
each fiscal year under this title to the Administrator,
[not less than $10,000,000, and not more than
$28,000,000] not less than 5 percent and not more than
10 percent of such funds, shall be made available in
each fiscal year to eligible organizations described in
subsection (d), to assist the organizations in--
(A) * * *
* * * * * * *
SEC. 203. GENERATION AND USE OF FOREIGN CURRENCIES BY PRIVATE VOLUNTARY
ORGANIZATIONS AND COOPERATIVES.
(a) Local Sale and Barter of Commodities.--An agreement
entered into between the Administrator and a private voluntary
organization or cooperative to provide food assistance through
such organization or cooperative under this title may provide
for the sale or barter in [the recipient country, or in a
country] one or more recipient countries, or one or more
countries in the same region, of the commodities to be provided
under such agreement.
* * * * * * *
(c) Description of Intended Uses.--A private voluntary
organization or cooperative submitting a proposal to enter into
a non-emergency food assistance agreement under this title
shall include in such proposal a description of the intended
uses of any [foreign currency] proceeds that may be generated
through the sale, in [the recipient country, or in a country]
one or more recipient countries, or one or more countries in
the same region, of any commodities provided under an agreement
entered into between the Administrator and the organization or
cooperative.
(d) Use.--[Foreign currencies] Proceeds generated from any
partial or full sale or barter of commodities by a private
voluntary organization or cooperative under a non-emergency
food assistance agreement under this title may--
(1) * * *
(2) be used to implement [income generating]
income-generating, community development, health,
nutrition, cooperative development, agricultural, and
other developmental activities within [the recipient
country or within a country] one or more recipient
countries, or one or more countries in the same region;
or
(3) be invested, and any interest earned on such
investment may be used, for the purposes for which the
assistance was provided to that organization, without
further appropriation by Congress.
SEC. 204. LEVELS OF ASSISTANCE.
(a) Minimum Levels.--
(1) Minimum assistance.--Except as provided in
paragraph (3), the Administrator shall make
agricultural commodities available for food
distribution under this title in an amount that for
each of fiscal years [1996 through 2002] 2002 through
2007 is not less than [2,025,000] 2,250,000 metric
tons.
* * * * * * *
SEC. 205. FOOD AID CONSULTATIVE GROUP.
(a) * * *
* * * * * * *
(f) Termination.--The Group shall terminate on December 31,
[2002] 2007.
* * * * * * *
SEC. 207. ADMINISTRATION.
(a) Proposals.--
[(1) Time for decision.--Not later than 45 days
after the receipt by the Administrator of a proposal
submitted--
[(A) by an eligible organization, with the
concurrence of the appropriate United States
field mission, for commodities; or
[(B) by a United States field mission to
make commodities available to an eligible
organization;
under this title, the Administrator shall make a
decision concerning such proposal.]
(1) Recipient countries.--A proposal to enter into
a non-emergency food assistance agreement under this
title shall identify the recipient country or countries
subject to the agreement.
(2) Time for decision.--Not later than 120 days
after receipt by the Administrator of a proposal
submitted by an eligible organization under this title,
the Administrator shall make a decision concerning such
proposal.
[(2)] (3) Denial.--If a proposal under paragraph
(1) is denied, the response shall specify the reasons
for denial and the conditions that must be met for the
approval of such proposal.
* * * * * * *
SEC. 208. ASSISTANCE FOR STOCKPILING AND RAPID TRANSPORTATION,
DELIVERY, AND DISTRIBUTION OF SHELF-STABLE
PREPACKAGED FOODS.
(a) * * *
* * * * * * *
(f) Authorization of Appropriations.--There is authorized
to be appropriated to the Administrator to carry out this
section, in addition to amounts otherwise available to carry
out this section, $3,000,000 for each of fiscal years [2001 and
2002] 2001 through 2007, to remain available until expended.
* * * * * * *
TITLE IV--GENERAL AUTHORITIES AND REQUIREMENTS
* * * * * * *
SEC. 403. GENERAL PROVISIONS.
(a) * * *
* * * * * * *
(l) Sales Procedures.--Subsections (b) and (h) shall apply
to sales of commodities to generate proceeds for titles II and
III of this Act, section 416(b) of the Agricultural Act of
1949, and section 1110 of the Food and Security Act of 1985.
Such sales transactions may be in United States dollars and
other currencies.
* * * * * * *
SEC. 407. ADMINISTRATIVE PROVISIONS.
(a) * * *
* * * * * * *
(c) Title II and III Program.--
(1) * * *
* * * * * * *
(4) Prepositioning.--Funds made available for
[fiscal years 2001 and 2002] each of fiscal years 2001
through 2007 to carry out titles II and III may be used
by the Administrator to procure, transport, and store
agricultural commodities for prepositioning within the
United States and in foreign countries, except that for
each such fiscal year not more than $2,000,000 of such
funds may be used to store agricultural commodities for
prepositioning in foreign countries.
* * * * * * *
----------
SECTION 1542 OF THE FOOD, AGRICULTURE, CONSERVATION, AND TRADE ACT OF
1990
SEC. 1542. PROMOTION OF AGRICULTURAL EXPORTS TO EMERGING MARKETS.
(a) Funding.--The Commodity Credit Corporation shall make
available for fiscal years 1996 through [2002] 2007 not less
than $1,000,000,000 of direct credits or export credit
guarantees for exports to emerging markets under section 201 or
202 of the Agricultural Trade Act of 1978 (7 U.S.C. 5621 and
5622), in addition to the amounts acquired or authorized under
section 211 of the Act (7 U.S.C. 5641) for the program.
* * * * * * *
(d) E (Kika) de la Garza Agricultural Fellowship Program.--
The Secretary of Agriculture (hereafter in this section
referred to as the ``Secretary'') shall establish a program, to
be known as the ``E (Kika) de la Garza Agricultural Fellowship
Program'', to develop agricultural markets in emerging markets
and to promote cooperation and exchange of information between
agricultural institutions and agribusinesses in the United
States and emerging markets, as follows:
(1) Development of agricultural systems.--
(A) In general.--
(i) Establishment of program.--For
each of the fiscal years 1991 through
[2002] 2007, the Secretary of
Agriculture (hereafter in this section
referred to as the ``Secretary''), in
order to develop, maintain, or expand
markets for United States agricultural
exports, is directed to make available
to emerging markets the expertise of
the United States to make assessments
of the food and rural business systems
needs of such democracies, make
recommendations on measures necessary
to enhance the effectiveness of the
systems, including potential reductions
in trade barriers, and identify and
carry out specific opportunities and
projects to enhance the effectiveness
of those systems.
* * * * * * *
(H) Level of assistance.--The Secretary
shall provide assistance under this paragraph
of not more than [$10,000,000 in any fiscal
year] $15,000,000 for each of fiscal years 2002
through 2007.
* * * * * * *
----------
SECTION 302 OF THE BILL EMERSON HUMANITARIAN TRUST ACT
SEC. 302. ESTABLISHMENT OF COMMODITY TRUST.
(a) * * *
(b) Commodities or Funds in Trust.--
(1) * * *
(2) Replenishment of trust.--
(A) * * *
(B) Funds.--Any funds used to acquire
eligible commodities through purchases from
producers or in the market to replenish the
trust shall be derived--
(i) with respect to fiscal years
2000 through [2002] 2007 from funds
made available to carry out the
Agricultural Trade Development and
Assistance Act of 1954 (7 U.S.C. 1691
et seq.) that are used to repay or
reimburse the Commodity Credit
Corporation for the release of eligible
commodities under subsections (c)(2)
and (f )(2), except that, of such
funds, not more than $20,000,000 may be
expended for this purpose in each of
the fiscal years 2000 through [2002]
2007; and
* * * * * * *
(h) Termination of Authority.--
(1) In general.--The authority to replenish stocks
of eligible commodities to maintain the trust
established under this section shall terminate on
September 30, [2002] 2007.
(2) Disposal of eligible commodities.--Eligible
commodities remaining in the trust after September 30,
[2002] 2007, shall be disposed of by release for use in
providing for emergency humanitarian food needs in
developing countries as provided in this section.
* * * * * * *