To provide assistance to certain producers of high-moisture feed grains through a recourse loan program; establishing a period to allow for the orderly repayment of such loans; and for other purposes.

Summary: Amends the Food, Agriculture, Conservation, and Trade Act of 1990 to provide recourse loans for the 1992 through 1995 crops of high moisture feed grains.

That section 404 of the 
Food, Agriculture, Conservation, and Trade Act of 1990 (Public Law 101-
624; 7 U.S.C. 1444f(q)) is amended by adding at the end thereof the 
following new paragraph:
            ``(3) Reduced quality of high moisture recourse loan.--(A) 
        Notwithstanding any other provision of law, effective for the 
        1992 through 1995 crops of feed grains, the Secretary shall 
        make available recourse loans to producers on a farm who do not 
        normally harvest their crop of feed grains in a high moisture 
        state (or on that portion of the crop which is not normally 
        harvested in a high moisture state). Such recourse loans shall 
        be made available whenever the crop (or the portion of the crop 
        not normally harvested in a high moisture state) is harvested 
        with a moisture content in excess of Commodity Credit 
        Corporation standards for loans made under paragraphs (1) and 
        (6) of subsection (a) of this section, or whenever the crop has 
        a test weight below the minimum weight required for Commodity 
        Credit Corporation nonrecourse loans made under such 
        paragraphs.
            ``(B) Recourse loans under this paragraph shall be made to 
        producers on a farm who--
                    ``(i) present certified scale tickets from an 
                inspected, certified commercial scale, including 
                licensed warehouses, feedlots, feed mills, 
                distilleries, or other similar entities approved by the 
                Secretary; or
                    ``(ii) present field or other physical measurements 
                of the standing or stored feed grain crop in regions of 
                the country that do not have certified commercial 
                scales from which certified scale tickets may be 
                obtained within reasonable proximity of harvest 
                operation; and
                    ``(iii) certify that the quantity of feed grain to 
                be placed under loan was in fact harvested on the farm; 
                and
                    ``(iv) participate in an acreage limitation program 
                for the crop of feed grains established by the 
                Secretary.
            ``(C) A producer shall not be eligible for a loan under 
        this paragraph unless any prior loans made under the authority 
        of this paragraph have been fully repaid.
            ``(D) Loans made under this paragraph shall bear interest 
        at a rate determined by the Secretary, but in no event shall 
        the rate exceed the rate of interest charged for loans made 
        under paragraphs (1) and (6) of subsection (a) of this section.
            ``(E) Loans under this paragraph shall be made in an amount 
        as determined by the Secretary equal to at least eighty 
        percent, but not greater than ninety percent, of the lowest 
        county adjusted nondiscounted loan rate for the appropriate 
        crop year for loans made to producers of feed grains meeting 
        the Commodity Credit Corporation standards for nonrecourse 
        loans under paragraphs (1) and (6) of subsection (a) of this 
        section.
            ``(F) Loans made under this paragraph shall be repaid in 
        three equal annual installments, with the first such 
        installment being due and payable 365 days following the 
        advance of the loan funds to the producer and consisting of 
        one-third of the principal amount of the outstanding loan and 
        100 percent of the accrued interest thereon. The second 
        installment shall consist of one-half of the principal amount 
        of the outstanding loan balance and 100 percent of the accrued 
        interest thereon, and the third installment shall consist of 
        the remaining principal of the loan and 100 percent of the 
        accrued interest thereon. In the event any installment is not 
        made within 60 days following the date upon which it becomes 
        due and payable, the Secretary shall have the right without 
        further notice to offset the entire balance of the amount owed 
        on the loan, including interest thereon, against any other 
        payments the producer may be entitled to receive under one or 
        more of the annual programs established under the Agricultural 
        Act of 1949 (7 U.S.C. 1421 et seq.) for wheat, feed grains, 
        upland cotton, rice, and oilseeds.
            ``(G) The Secretary may permit a producer who has obtained 
        a loan under this paragraph to repay a part or all of any 
        annual installment required under subparagraph (F) by tendering 
        to the Commodity Credit Corporation a quantity of feed grain 
        which is of acceptable quality to meet the standards for a 
        nonrecourse loan under paragraphs (1) and (6) of subsection (a) 
        of this section. Such tender shall be made by the producer at 
        any facility approved for storage of commodities owned by the 
        Corporation which facility is situated in the same county (or a 
        county adjacent to the county) in which the producer's farm is 
        located, and the producer's loan installment payment shall be 
        credited with an amount equal to the per bushel county adjusted 
        loan rate for the grade and quality of grain tendered times the 
        total number of bushels tendered in payment by the producer as 
        approved by the Secretary.