IB 

Union Calendar No. 164 

110TH CONGRESS 

1ST SESSION H. R. 2419 

[Report No. 110–256, Part I] 

To provide for the continuation of agricultural programs through fiscal year 

2012, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

MAY 22, 2007 

Mr. PETERSON of Minnesota introduced the following bill; which was referred 

to the Committee on Agriculture, and in addition to the Committee on 

Foreign Affairs, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned 

JULY 23, 2007 

Reported from the Committee on Agriculture with an amendment 

[Strike out all after the enacting clause and insert the part printed in italic] 

JULY 23, 2007 

Committee on Foreign Affairs discharged; committed to the Committee of the 

Whole House on the State of the Union and ordered to be printed 

[For text of introduced bill, see copy of bill as introduced on May 22, 2007] 

A BILL 

To provide for the continuation of agricultural programs 

through fiscal year 2012, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 


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1 SECTION 1. SHORT TITLE AND TABLE OF CONTENTS. 

2 (a) SHORT TITLE.—This Act may be cited as the 

3 ‘‘Farm, Nutrition, and Bioenergy Act of 2007’’. 

4 (b) TABLE OF CONTENTS.—The table of contents for 

5 this Act is as follows: 

Sec. 1. Short title and table of contents. 

TITLE I—COMMODITY PROGRAMS 

Sec. 1001. Definitions. 

Subtitle A—Direct Payments and Counter-Cyclical Payments 

Sec. 1101. Adjustments to base acres. 

Sec. 1102. Availability of direct payments. 

Sec. 1103. Availability of counter-cyclical payments. 

Sec. 1104. Availability of revenue-based counter-cyclical payments. 

Sec. 1105. Producer agreement required as condition of provision of direct payments and counter-cyclical payments. 

Sec. 1106. Planting flexibility. 

Sec. 1107. Period of effectiveness. 

Subtitle B—Marketing Assistance Loans and Loan Deficiency Payments 

Sec. 1201. Availability of nonrecourse marketing assistance loans for loan commodities. 

Sec. 1202. Loan rates for nonrecourse marketing assistance loans. 

Sec. 1203. Term of loans. 

Sec. 1204. Repayment of loans. 

Sec. 1205. Loan deficiency payments. 

Sec. 1206. Payments in lieu of loan deficiency payments for grazed acreage. 

Sec. 1207. Special marketing loan provisions for upland cotton. 

Sec. 1208. Special competitive provisions for extra long staple cotton. 

Sec. 1209. Availability of recourse loans for high moisture feed grains and seed 

cotton. 

Sec. 1210. Deadline for repayment of marketing assistance loan for peanuts. 

Sec. 1211. Commodity quality incentive payments for healthy oilseeds. 

Subtitle C—Sugar 

Sec. 1301. Sugar program. 

Sec. 1302. United States membership in the international sugar organization. 

Sec. 1303. Flexible marketing allotments for sugar. 

Subtitle D—Dairy-Related Provisions 

Sec. 1401. Dairy product price support program. 

Sec. 1402. Dairy forward pricing program. 

Sec. 1403. Dairy export incentive program. 

Sec. 1404. Revision of Federal marketing order amendment procedures. 

Sec. 1405. Dairy indemnity program. 

Sec. 1406. Extension of milk income loss contract program. 


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Sec. 1407. Dairy promotion and research program. 

Sec. 1408. Report on Department of Agriculture reporting procedures for nonfat 

dry milk. 

Sec. 1409. Federal Milk Marketing Order Review Commission. 

Subtitle E—Administration 

Sec. 1501. Administration generally. 

Sec. 1502. Suspension of permanent price support authority. 

Sec. 1503. Payment Limitations. 

Sec. 1504. Adjusted gross income limitation. 

Sec. 1505. Adjustments of loans. 

Sec. 1506. Personal liability of producers for deficiencies. 

Sec. 1507. Extension of existing administrative authority regarding loans. 

Sec. 1508. Assignment of payments. 

Sec. 1509. Tracking of benefits. 

Sec. 1510. Upland cotton storage payments. 

Sec. 1511. Government publication of cotton price forecasts. 

TITLE II—CONSERVATION 

Subtitle A—Conservation Programs of the Food Security Act of 1985 

Sec. 2101. Conservation reserve program. 

Sec. 2102. Wetlands reserve program. 

Sec. 2103. Conservation security program. 

Sec. 2104. Grassland reserve program. 

Sec. 2105. Environmental quality incentives program. 

Sec. 2106. Regional water enhancement program. 

Sec. 2107. Grassroots source water protection program. 

Sec. 2108. Conservation of private grazing land. 

Sec. 2109. Great Lakes basin program for soil erosion and sediment control. 

Sec. 2110. Farm and ranchland protection program. 

Sec. 2111. Farm viability program. 

Sec. 2112. Wildlife habitat incentive program. 

Subtitle B—Conservation Programs Under Other Laws 

Sec. 2201. Agricultural management assistance program. 

Sec. 2202. Resource Conservation and Development Program. 

Sec. 2203. Small watershed rehabilitation program. 

Subtitle C—Additional Conservation Programs 

Sec. 2301. Chesapeake Bay program for nutrient reduction and sediment control. 

Sec. 2302. Voluntary public access and habitat incentive program. 

Subtitle D—Administration and Funding 

Sec. 2401. Funding of conservation programs under Food Security Act of 1985. 

Sec. 2402. Improved provision of technical assistance under conservation programs. 

Sec. 2403. Cooperative conservation partnership initiative. 

Sec. 2404. Regional equity and flexibility. 

Sec. 2405. Administrative requirements for conservation programs. 

Sec. 2406. Annual report on participation by specialty crop producers in conservation programs. 

Sec. 2407. Promotion of market-based approaches to conservation. 


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Sec. 2408. Establishment of State technical committees and their responsibilities. 

Sec. 2409. Payment limitations. 

Subtitle E—Miscellaneous Provisions 

Sec. 2501. Inclusion of income from affiliated packing and handling operations 

as income derived from farming for application of adjusted gross 

income limitation on eligibility for conservation programs. 

Sec. 2502. Encouragement of voluntary sustainability practices guidelines. 

Sec. 2503. Farmland resource information. 

TITLE III—TRADE 

Sec. 3001. Agricultural Trade Development and Assistance Act of 1954. 

Sec. 3002. Export credit guarantee program. 

Sec. 3003. Market access program. 

Sec. 3004. Food for Progress Act of 1985. 

Sec. 3005. McGovern-Dole International Food for Education and Child Nutrition 

program. 

Sec. 3006. Bill Emerson Humanitarian Trust. 

Sec. 3007. Technical assistance for specialty crops. 

Sec. 3008. Technical assistance for the resolution of trade disputes. 

Sec. 3009. Representation by the United States at international standard-setting 

bodies. 

Sec. 3010. Foreign market development cooperator program. 

Sec. 3011. Emerging markets. 

Sec. 3012. Export Enhancement Program. 

Sec. 3013. Minimum level of nonemergency food assistance. 

Sec. 3014. Germplasm conservation. 

TITLE IV—NUTRITION PROGRAMS 

Subtitle A—Food Stamp Program 

Sec. 4001. Renaming the food stamp program. 

Sec. 4002. Definition of drug addiction or alcoholic treatment and rehabilitation 

program. 

Sec. 4003. Nutrition education. 

Sec. 4004. Food distribution on Indian reservations. 

Sec. 4005. Deobligate food stamp coupons. 

Sec. 4006. Allow for the accrual of benefits. 

Sec. 4007. State option for telephonic signature. 

Sec. 4008. Review of major changes in program design. 

Sec. 4009. Grants for simple application and eligibility determination systems 

and improved access to benefits. 

Sec. 4010. Civil money penalties and disqualification of retail food stores and 

wholesale food concerns. 

Sec. 4011. Major systems failures. 

Sec. 4012. Funding of employment and training programs. 

Sec. 4013. Reductions in payments for administrative costs. 

Sec. 4014. Cash payment pilot projects. 

Sec. 4015. Findings of Congress regarding Secure Supplemental Nutrition Assistance program nutrition education. 

Sec. 4016. Nutrition education and promotion initiative to address obesity. 

Sec. 4017. Authorization of appropriations. 

Sec. 4018. Consolidated block grants for Puerto Rico and American Samoa. 


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Sec. 4019. Study on comparable access to Secure Supplemental Nutrition Assistance Program benefits for Puerto Rico. 

Sec. 4020. Reauthorization of community food project competitive grants. 

Sec. 4021. Emergency food assistance. 

Subtitle B—Commodity Distribution 

Sec. 4201. Authorization of appropriations. 

Sec. 4202. Distribution of surplus commodities; special nutrition projects. 

Sec. 4203. Commodity distribution program. 

Subtitle C—Child Nutrition and Related Programs 

Sec. 4301. Purchase of fresh fruits and vegetables for distribution to schools and 

service institutions. 

Sec. 4302. Buy American requirements. 

Sec. 4303. Expansion of fresh fruit and vegetable program. 

Sec. 4304. Purchases of locally produced foods. 

Subtitle D—Miscellaneous 

Sec. 4401. Seniors farmers’ market nutrition program. 

Sec. 4402. Congressional Hunger Center. 

Sec. 4403. Joint nutrition monitoring and related research activities. 

TITLE V—CREDIT 

Subtitle A—Farm Ownership Loans 

Sec. 5001. Conservation loan guarantee program. 

Sec. 5002. Limitations on amount of ownership loans. 

Sec. 5003. Down payment loan program. 

Sec. 5004. Beginning farmer and rancher contract land sales program. 

Subtitle B—Operating Loans 

Sec. 5011. Limitations on amount of operating loans. 

Sec. 5012. Suspension of limitation on period for which borrowers are eligible for 

guaranteed assistance. 

Subtitle C—Administrative Provisions 

Sec. 5021. Inventory sales preferences. 

Sec. 5022. Loan fund set-asides. 

Sec. 5023. Transition to private commercial or other sources of credit. 

Sec. 5024. Extension of the right of first refusal to reacquire homestead property 

to immediate family members of borrower-owner. 

Sec. 5025. Rural development and farm loan program activities. 

Subtitle D—Farm Credit 

Sec. 5031. Agribusiness loan eligibility. 

Sec. 5032. Loan-to-asset value requirements. 

Sec. 5033. Population limit for single-family housing loans. 

Sec. 5034. Bank for cooperatives voting stock. 

Sec. 5035. Majority farmer control requirement. 

Sec. 5036. Borrower stock requirement. 

Sec. 5037. Rural utility loans. 

Sec. 5038. Farm Credit System Insurance Corporation. 


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Sec. 5039. Risk-based capital levels. 

Sec. 5040. Loans to purchasers of highly fractioned lands. 

TITLE VI—RURAL DEVELOPMENT 

Sec. 6001. Definition of rural. 

Sec. 6002. Water, waste disposal, and wastewater facility grants. 

Sec. 6003. Rural business opportunity grants. 

Sec. 6004. Rural water and wastewater circuit rider program. 

Sec. 6005. Tribal college and university essential community facilities. 

Sec. 6006. Emergency and imminent community water assistance grant program. 

Sec. 6007. Water systems for rural and native villages in Alaska. 

Sec. 6008. Grants to nonprofit organizations to finance the construction, refurbishing, and servicing of individually-owned household water 

well systems in rural areas for individuals with low or moderate 

incomes. 

Sec. 6009. Rural cooperative development grants. 

Sec. 6010. Criteria to be applied in providing loans and loan guarantees under 

the business and industry loan program. 

Sec. 6011. Appropriate technology transfer for rural areas program. 

Sec. 6012. Grants to improve technical infrastructure and improve quality of 

rural health care facilities. 

Sec. 6013. Rural entrepreneur and microenterprise assistance program. 

Sec. 6014. Criteria to be applied in considering applications for rural development projects. 

Sec. 6015. National sheep industry improvement center. 

Sec. 6016. National rural development partnership. 

Sec. 6017. Historic barn preservation. 

Sec. 6018. Grants for NOAA weather radio transmitters. 

Sec. 6019. Delta regional authority. 

Sec. 6020. Northern great plains regional authority. 

Sec. 6021. Rural strategic investment program. 

Sec. 6022. Expansion of 911 access. 

Sec. 6023. Access to broadband telecommunications services in rural areas. 

Sec. 6024. Community connect grant program. 

Sec. 6025. Agriculture innovation center demonstration program. 

Sec. 6026. Rural firefighters and emergency medical service assistance program. 

Sec. 6027. Value-added agricultural market development program. 

Sec. 6028. Assistance for rural public television stations. 

Sec. 6029. Telemedicine and distance learning services in rural areas. 

Sec. 6030. Guarantees for bonds and notes issued for electrification or telephone 

purposes. 

Sec. 6031. Comprehensive rural broadband strategy. 

Sec. 6032. Study of railroad issues. 

TITLE VII—RESEARCH 

Subtitle A—General Provisions 

Sec. 7101. Definitions. 

Sec. 7102. Budget submission and funding. 

Sec. 7103. Additional purposes of agricultural research and extension. 

Sec. 7104. National agricultural research program office. 

Sec. 7105. Establishment of competitive grant programs under the National Institute for Food and Agriculture. 


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Sec. 7106. Merging of IFAFS and NRI. 

Sec. 7107. Capacity building grants for ASCARR institutions. 

Sec. 7108. Establishment of research laboratories for animal diseases. 

Sec. 7109. Grazinglands research laboratory. 

Sec. 7110. Researcher training. 

Sec. 7111. Fort Reno Science Park research facility. 

Sec. 7112. Assessing the nutritional composition of beef products. 

Sec. 7113. Sense of Congress regarding funding for human nutrition research. 

Subtitle B—National Agricultural Research, Extension, and Teaching Policy 

Act of 1977 

Sec. 7201. Advisory board. 

Sec. 7202. Advisory board termination. 

Sec. 7203. Renewable energy committee. 

Sec. 7204. Specialty crop committee report. 

Sec. 7205. Inclusion of UDC in grants and fellowships for food and agricultural 

sciences education. 

Sec. 7206. Grants and fellowships for food and agricultural sciences education. 

Sec. 7207. Grants for research on production and marketing of alcohols and industrial hydrocarbons from agricultural commodities and forest 

products. 

Sec. 7208. Policy research centers. 

Sec. 7209. Human nutrition intervention and health promotion research program. 

Sec. 7210. Pilot research program to combine medical and agricultural research. 

Sec. 7211. Nutrition education program. 

Sec. 7212. Continuing animal health and disease research programs. 

Sec. 7213. Cooperation among eligible institutions. 

Sec. 7214. Appropriations for research on national or regional problems. 

Sec. 7215. Authorization level of extension at 1890 land-grant colleges. 

Sec. 7216. Authorization level for agricultural research at 1890 land-grant colleges. 

Sec. 7217. Grants to upgrade agriculture and food sciences facilities at the District of Columbia Land Grant University. 

Sec. 7218. Grants to upgrade agricultural and food sciences facilities at 1890 

land-grant colleges, including Tuskegee University. 

Sec. 7219. National research and training virtual centers. 

Sec. 7220. Matching funds requirement for research and extension activities of 

1890 institutions. 

Sec. 7221. Hispanic-serving institutions. 

Sec. 7222. Hispanic-serving agricultural colleges and universities. 

Sec. 7223. International agricultural research, extension, and education. 

Sec. 7224. Competitive grants for international agricultural science and education programs. 

Sec. 7225. Limitation on indirect costs for agricultural research, education, and 

extension programs. 

Sec. 7226. Research equipment grants. 

Sec. 7227. University research. 

Sec. 7228. Extension service. 

Sec. 7229. Supplemental and alternative crops. 

Sec. 7230. Aquaculture research facilities. 

Sec. 7231. Rangeland research. 

Sec. 7232. Special authorization for biosecurity planning and response. 


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Sec. 7233. Resident instruction and distance education grants program for insular area institutions of higher education. 

Subtitle C—Food, Agriculture, Conservation, and Trade Act of 1990 

Sec. 7301. National genetics resources program. 

Sec. 7302. National agricultural weather information system. 

Sec. 7303. Partnerships. 

Sec. 7304. Aflatoxin research and extension. 

Sec. 7305. High-priority research and extension areas. 

Sec. 7306. High-priority research and extension initiatives. 

Sec. 7307. Nutrient management research and extension initiative. 

Sec. 7308. Agricultural telecommunications program. 

Sec. 7309. Assistive technology program for farmers with disabilities. 

Sec. 7310. Organic research. 

Sec. 7311. National rural information center clearinghouse. 

Sec. 7312. New era rural technology program. 

Subtitle D—Agricultural Research, Extension, and Education Reform Act of 

1998 

Sec. 7401. Partnerships for high-value agricultural product quality research. 

Sec. 7402. Precision agriculture. 

Sec. 7403. Biobased products. 

Sec. 7404. Thomas Jefferson initiative for crop diversification. 

Sec. 7405. Integrated research, education, and extension competitive grants program. 

Sec. 7406. Fusarium graminearum grants. 

Sec. 7407. Bovine Johne’s disease control program. 

Sec. 7408. Grants for youth organizations. 

Sec. 7409. Agricultural biotechnology research and development for developing 

countries. 

Sec. 7410. Agricultural bioenergy and biobased products research initiative. 

Sec. 7411. Specialty crop research initiative. 

Sec. 7412. Office of pest management policy. 

Subtitle E—Other Laws 

Sec. 7501. Critical agricultural materials act. 

Sec. 7502. Equity in Educational Land-Grant Status Act of 1994. 

Sec. 7503. Agricultural experiment station Research Facilities Act. 

Sec. 7504. National Agricultural Research, Extension, and Teaching Policy Act 

Amendments of 1985. 

Sec. 7505. Competitive, Special, and Facilities Research Grant Act (national research initiative). 

Sec. 7506. Agricultural Risk Protection Act of 2000 (carbon cycle research). 

Sec. 7507. Renewable Resources Extension Act of 1978. 

Sec. 7508. National Aquaculture Act of 1980. 

Sec. 7509. Construction of a Chinese Garden at the National Arboretum. 

Sec. 7510. Public education regarding use of biotechnology in producing food for 

human consumption. 

Sec. 7511. Fresh cut produce safety grants. 

Sec. 7512. UDC/EFNEP Eligibility. 

Sec. 7513. Smith-Lever Act. 

Sec. 7514. Hatch Act of 1987. 


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Subtitle F—Additional Provisions 

Sec. 7601. Merit review of extension and educational grants. 

Sec. 7602. Review of plan of work requirements. 

Sec. 7603. Multistate and integration funding. 

Sec. 7604. Expanded food and nutrition education program. 

Sec. 7605. Grants to 1890 schools to expand extension capacity. 

Sec. 7606. Borlaug international agricultural science and technology fellowship 

program. 

Sec. 7607. Support for research regarding diseases of wheat, triticale, and barley 

caused by fusarium graminearum or by tilletia indica. 

Sec. 7608. Cost Recovery. 

Sec. 7609. Organic Food and Agricultural Systems Funding. 

TITLE VIII—FORESTRY 

Subtitle A—Cooperative Forestry Assistance Act of 1978 

Sec. 8001. National priorities for private forest conservation. 

Sec. 8002. Long-term, State-wide assessments and strategies for forest resources. 

Sec. 8003. Assistance to the Federated States of Micronesia, the Republic of the 

Marshall Islands, and the Republic of Palau. 

Sec. 8004. Changes to Forest Resource Coordinating Committee. 

Sec. 8005. Changes to State Forest Stewardship Coordinating Committees. 

Sec. 8006. Competition in programs under Cooperative Forestry Assistance Act of 

1978. 

Sec. 8007. Cooperative forest innovation partnership projects. 

Subtitle B—Amendments to Other Laws 

Sec. 8101. Healthy forest reserve program. 

Sec. 8102. Emergency forest restoration program. 

Sec. 8103. Office of International Forestry. 

Sec. 8104. Rural revitalization technologies. 

Subtitle C—Miscellaneous Provisions 

Sec. 8201. Hispanic-serving institution agricultural land national resources leadership program. 

TITLE IX—ENERGY 

Sec. 9001. Table of contents. 

Sec. 9002. Federal procurement of biobased products. 

Sec. 9003. Loan guarantees for biorefineries and biofuel production plants. 

Sec. 9004. Energy audit and renewable energy development program. 

Sec. 9005. Renewable energy systems and energy efficiency improvements. 

Sec. 9006. Biomass Research and Development Act of 2000. 

Sec. 9007. Adjustments to the bioenergy program. 

Sec. 9008. Research, extension, and educational programs on biobased energy 

technologies and products. 

Sec. 9009. Energy Council of the Department of Agriculture. 

Sec. 9010. Farm energy production pilot program. 

Sec. 9011. Rural energy self-sufficiency initiative. 

Sec. 9012. Agricultural biofuels from biomass internship pilot program. 

Sec. 9013. Feedstock flexibility program for bioenergy producers. 

Sec. 9014. Dedicated ethanol pipeline feasibility studies. 


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Sec. 9015. Biomass inventory report. 

Sec. 9016. Future farmsteads program. 

Sec. 9017. Sense of Congress on renewable energy. 

TITLE X—HORTICULTURE AND ORGANIC AGRICULTURE 

Subtitle A—Honey and Bees 

Sec. 10001. Annual report on response to honey bee colony collapse disorder. 

Subtitle B—Horticulture Provisions 

Sec. 10101. Tree assistance program. 

Sec. 10102. Specialty crop block grants. 

Sec. 10103. Additional section 32 funds for purchase of fruits, vegetables, and 

nuts to support domestic nutrition assistance programs. 

Sec. 10104. Independent evaluation of Department of Agriculture commodity purchase process. 

Sec. 10105. Quality requirements for clementines. 

Sec. 10106. Implementation of food safety programs under marketing orders. 

Sec. 10107. Inclusion of specialty crops in census of agriculture. 

Sec. 10108. Maturity requirements for Hass avocados. 

Sec. 10109. Mushroom promotion, research, and consumer information. 

Sec. 10110. Fresh produce education initiative. 

Subtitle C—Pest and Disease Management 

Sec. 10201. Pest and disease program. 

Sec. 10202. Multi-species fruit fly research and sterile fly production. 

Subtitle D—Organic Agriculture 

Sec. 10301. National organic certification cost-share program. 

Sec. 10302. Organic production and market data. 

Sec. 10303. Organic conversion, technical, and educational assistance. 

Subtitle E—Miscellaneous Provisions 

Sec. 10401. Restoration of import and entry agricultural inspection functions to 

the Department of Agriculture. 

Sec. 10402. Grant program to improve movement of specialty crops. 

Sec. 10403. Authorization of appropriations for market news activities regarding 

specialty crops. 

Sec. 10404. Farmers’ market promotion program. 

Sec. 10405. National Clean Plant Network. 

TITLE XI—MISCELLANEOUS PROVISIONS 

Subtitle A—Federal Crop Insurance 

Sec. 11001. Availability of supplemental crop insurance based on area yield and 

loss plan of insurance or area revenue plan of insurance. 

Sec. 11002. Premiums and reinsurance requirements. 

Sec. 11003. Catastrophic risk protection administrative fee. 

Sec. 11004. Funding for reimbursements, contracting, risk management education, and information technology. 

Sec. 11005. Reimbursement of research and development costs related to new crop 

insurance products. 


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Sec. 11006. Research and development contracts for organic production coverage 

improvements. 

Sec. 11007. Targeting risk management education for beginning farmers and 

ranchers and certain other farmers and ranchers. 

Sec. 11008. Crop insurance ineligibility related to crop production on noncropland. 

Sec. 11009. Funds for data mining. 

Sec. 11010. Noninsured crop assistance program. 

Sec. 11011. Change in due date for Corporation payments for underwriting 

gains. 

Sec. 11012. Sesame insurance pilot program. 

Subtitle B—Livestock and Poultry 

Sec. 11101. Sense of Congress regarding pseudorabies eradication program. 

Sec. 11102. Arbitration of livestock and poultry contracts. 

Sec. 11103. State-inspected meat and poultry. 

Sec. 11104. Country of origin labeling. 

Sec. 11105. Sense of Congress regarding State inspected meat and poultry products. 

Sec. 11106. Sense of Congress regarding the voluntary control program for low 

pathogenic avian influenza. 

Sec. 11107. Sense of Congress regarding the cattle fever tick eradication program. 

Subtitle C—Socially Disadvantaged Producers and Limited Resource Producers 

Sec. 11201. Outreach and technical assistance for socially disadvantaged farmers 

and ranchers and limited resource farmers and ranchers. 

Sec. 11202. Improved program delivery by Department of Agriculture on Indian 

reservations. 

Sec. 11203. Transparency and accountability for socially disadvantaged farmers 

and ranchers. 

Sec. 11204. Beginning farmer and rancher development program. 

Sec. 11205. Provision of receipt for service or denial of service. 

Sec. 11206. Tracking of socially disadvantaged farmers and ranchers and limited 

resource farmers and ranchers in Census of Agriculture and certain studies. 

Sec. 11207. Farmworker coordinator. 

Sec. 11208. Office of Outreach relocation. 

Sec. 11209. Minority farmer advisory committee. 

Sec. 11210. Coordinator for chronically underserved rural areas. 

Subtitle D—Other Miscellaneous Provisions 

Sec. 11301. Designation of separate cotton-producing States under Cotton Research and Promotion Act. 

Sec. 11302. Cotton classification services. 

Sec. 11303. Availability of excess and surplus computers in rural areas. 

Sec. 11304. Permanent debarment from participation in Department of Agriculture programs for fraud. 

Sec. 11305. No discrimination against use of registered pesticide products or 

classes of pesticide products. 

Sec. 11306. Prohibition on closure or relocation of county offices for the Farm 

Service Agency, Rural Development Agency, and Natural Resources Conservation Service. 


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Sec. 11308. Regulation of exports of plants, plant products, biological control organisms, and noxious weeds. 

Sec. 11309. Grants to reduce production of methamphetamines from anhydrous 

ammonia. 

Sec. 11310. USDA Graduate School. 

1 TITLE I—COMMODITY 

2 PROGRAMS 

Sec. 1001. Definitions. 

Subtitle A—Direct Payments and Counter-Cyclical Payments 

Sec. 1101. Adjustments to base acres. 

Sec. 1102. Availability of direct payments. 

Sec. 1103. Availability of counter-cyclical payments. 

Sec. 1104. Availability of revenue-based counter-cyclical payments. 

Sec. 1105. Producer agreement required as condition of provision of direct payments and counter-cyclical payments. 

Sec. 1106. Planting flexibility. 

Sec. 1107. Period of effectiveness. 

Subtitle B—Marketing Assistance Loans and Loan Deficiency Payments 

Sec. 1201. Availability of nonrecourse marketing assistance loans for loan commodities. 

Sec. 1202. Loan rates for nonrecourse marketing assistance loans. 

Sec. 1203. Term of loans. 

Sec. 1204. Repayment of loans. 

Sec. 1205. Loan deficiency payments. 

Sec. 1206. Payments in lieu of loan deficiency payments for grazed acreage. 

Sec. 1207. Special marketing loan provisions for upland cotton. 

Sec. 1208. Special competitive provisions for extra long staple cotton. 

Sec. 1209. Availability of recourse loans for high moisture feed grains and seed 

cotton. 

Sec. 1210. Deadline for repayment of marketing assistance loan for peanuts. 

Sec. 1211. Commodity quality incentive payments for healthy oilseeds. 

Subtitle C—Sugar 

Sec. 1301. Sugar program. 

Sec. 1302. United States membership in the international sugar organization. 

Sec. 1303. Flexible marketing allotments for sugar. 

Subtitle D—Dairy-Related Provisions 

Sec. 1401. Dairy product price support program. 

Sec. 1402. Dairy forward pricing program. 

Sec. 1403. Dairy export incentive program. 

Sec. 1404. Revision of Federal marketing order amendment procedures. 

Sec. 1405. Dairy indemnity program. 

Sec. 1406. Extension of milk income loss contract program. 

Sec. 1407. Dairy promotion and research program. 

Sec. 1408. Report on Department of Agriculture reporting procedures for nonfat 

dry milk. 


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Sec. 1409. Federal Milk Marketing Order Review Commission. 

Subtitle E—Administration 

Sec. 1501. Administration generally. 

Sec. 1502. Suspension of permanent price support authority. 

Sec. 1503. Payment Limitations. 

Sec. 1504. Adjusted gross income limitation. 

Sec. 1505. Adjustments of loans. 

Sec. 1506. Personal liability of producers for deficiencies. 

Sec. 1507. Extension of existing administrative authority regarding loans. 

Sec. 1508. Assignment of payments. 

Sec. 1509. Tracking of benefits. 

Sec. 1510. Upland cotton storage payments. 

Sec. 1511. Government publication of cotton price forecasts. 

1 SEC. 1001. DEFINITIONS. 

2 In this title: 

3 (1) AGRICULTURAL ACT OF 1949.—The term ‘‘Ag4 ricultural Act of 1949’’ means the Agricultural Act of 

5 1949 (7 U.S.C. 1421 et seq.), as in effect prior to the 

6 suspensions under section 171 of the Federal Agri7 culture Improvement and Reform Act of 1996 (7 

8 U.S.C. 7301), section 1602(b) of the Farm Security 

9 and Rural Investment Act of 2002 (7 U.S.C. 

10 7992(b)), and section 1502(b) of this Act. 

11 (2) BASE ACRES.—The term ‘‘base acres’’, with 

12 respect to a covered commodity on a farm, means the 

13 number of acres established under sections 1101 and 

14 1302 of the Farm Security and Rural Investment Act 

15 of 2002 (7 U.S.C. 7911, 7952), as in effect on the day 

16 before the date of the enactment of this Act, subject to 

17 any adjustment under section 1101 of this Act. 


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1 (3) COMPARABLE UNITED STATES QUALITY.— 

2 The term ‘‘Comparable United States Quality’’, with 

3 respect to upland cotton, means upland cotton classified as Middling (M) 13 4 ⁄32-inch cotton with a 

5 micronaire of 3.7 to 4.2, strength 30 grams per tex, 

6 and uniformity of 83. 

7 (4) COUNTER-CYCLICAL PAYMENT.—The term 

8 ‘‘counter-cyclical payment’’ means a payment made 

9 to producers on a farm under section 1103 or 1104. 

10 (5) COVERED COMMODITY.—The term ‘‘covered 

11 commodity’’ means wheat, corn, grain sorghum, bar12 ley, oats, upland cotton, rice, soybeans, peanuts, and 

13 other oilseeds. 

14 (6) DIRECT PAYMENT.—The term ‘‘direct pay15 ment’’ means a payment made to producers on a 

16 farm under section 1102. 

17 (7) EFFECTIVE PRICE.—The term ‘‘effective 

18 price’’, with respect to a covered commodity for a 

19 crop year, means the price calculated by the Secretary 

20 under section 1103 to determine whether counter-cy21 clical payments are required to be made for that crop 

22 year under that section. 

23 (8) EXTRA LONG STAPLE COTTON.—The term 

24 ‘‘extra long staple cotton’’ means cotton that— 


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1 (A) is produced from pure strain varieties 

2 of the Barbadense species or any hybrid of the 

3 species, or other similar types of extra long sta4 ple cotton, designated by the Secretary, having 

5 characteristics needed for various end uses for 

6 which United States upland cotton is not suit7 able and grown in irrigated cotton-growing re8 gions of the United States designated by the Sec9 retary or other areas designated by the Secretary 

10 as suitable for the production of the varieties or 

11 types; and 

12 (B) is ginned on a roller-type gin or, if au13 thorized by the Secretary, ginned on another 

14 type gin for experimental purposes. 

15 (9) FAR EAST PRICE.—The term ‘‘Far East 

16 price’’ means the Friday through Thursday average 

17 price quotation for the three lowest-priced growths of 

upland cotton, as quoted for Middling (M) 13 18 ⁄32-inch 

19 cotton, delivered C/F Far East. 

20 (10) LOAN COMMODITY.—The term ‘‘loan com21 modity’’ means wheat, corn, grain sorghum, feed bar22 ley, malt barley, oats, upland cotton, extra long staple 

23 cotton, long grain rice, medium grain rice, short 

24 grain rice, soybeans, peanuts, other oilseeds, wool, mo25 hair, honey, dry peas, lentils, and small chickpeas. 


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1 (11) OTHER OILSEED.—The term ‘‘other oilseed’’ 

2 means a crop of sunflower seed, rapeseed, canola, saf3 flower, flaxseed, mustard seed, crambe, sesame seed, 

4 or, if designated by the Secretary, another oilseed. 

5 (12) PAYMENT ACRES.—The term ‘‘payment 

6 acres’’, with respect to a covered commodity on a 

7 farm, means 85 percent of the base acres for the cov8 ered commodity, on which direct payments and 

9 counter-cyclical payments are made. 

10 (13) PAYMENT YIELD.—The term ‘‘payment 

11 yield’’ means the yield established for direct payments 

12 and counter-cyclical payments under section 1102 or 

13 1302 of the Farm Security and Rural Investment Act 

14 of 2002 (7 U.S.C. 7912; 7952), as in effect on the day 

15 before the date of the enactment of this Act, for a farm 

16 for a covered commodity. 

17 (14) PRODUCER.— 

18 (A) IN GENERAL.—The term ‘‘producer’’ 

19 means an owner, operator, landlord, tenant, or 

20 sharecropper that shares in the risk of producing 

21 a crop and is entitled to share in the crop avail22 able for marketing from the farm, or would have 

23 shared had the crop been produced. 


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1 (B) HYBRID SEED.—In determining wheth2 er a grower of hybrid seed is a producer, the Sec3 retary shall— 

4 (i) not take into consideration the ex5 istence of a hybrid seed contract; and 

6 (ii) ensure that program requirements 

7 do not adversely affect the ability of the 

8 grower to receive a payment under this 

9 title. 

10 (15) SECRETARY.—The term ‘‘Secretary’’ means 

11 the Secretary of Agriculture. 

12 (16) STATE.—The term ‘‘State’’ means each of 

13 the several States of the United States, the District of 

14 Columbia, the Commonwealth of Puerto Rico, and 

15 any other territory or possession of the United States. 

16 (17) TARGET PRICE.—The term ‘‘target price’’ 

17 means the price per bushel (or other appropriate unit 

18 in the case of upland cotton, rice, peanuts, and other 

19 oilseeds) of a covered commodity used to determine 

20 the payment rate for counter-cyclical payments under 

21 section 1103. 

22 (18) UNITED STATES.—The term ‘‘United 

23 States’’, when used in a geographical sense, means all 

24 of the States. 


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1 (19) UNITED STATES PREMIUM FACTOR.—The 

2 term ‘‘United States Premium Factor’’ means the 

3 percentage by which the difference in the United 

4 States loan schedule premiums for Strict Middling 

(SM) 11⁄8-inch cotton and for M 13 5 ⁄32-inch exceeds the 

6 difference in the applicable premiums for comparable 

7 international qualities delivered C/F Far East. 

8 Subtitle A—Direct Payments and 

9 Counter-Cyclical Payments 

10 SEC. 1101. ADJUSTMENTS TO BASE ACRES. 

11 (a) TREATMENT OF CONSERVATION RESERVE CON12 TRACT ACREAGE.— 

13 (1) IN GENERAL.—The Secretary shall provide 

14 for an adjustment, as appropriate, in the base acres 

15 for covered commodities for a farm whenever either of 

16 the following circumstances occurs: 

17 (A) A conservation reserve contract entered 

18 into under section 1231 of the Food Security Act 

19 of 1985 (16 U.S.C. 3831) with respect to the 

20 farm expires or is voluntarily terminated. 

21 (B) Cropland is released from coverage 

22 under a conservation reserve contract by the Sec23 retary. 

24 (2) SPECIAL PAYMENT RULES.—For the crop 

25 year in which a base acres adjustment under paraVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00018 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 graph (1) is first made, the owner of the farm shall 

2 elect to receive either direct payments and counter-cy3 clical payments with respect to the acreage added to 

4 the farm under this subsection or a prorated payment 

5 under the conservation reserve contract, but not both. 

6 (b) PREVENTION OF EXCESS BASE ACRES.— 

7 (1) REQUIRED REDUCTION.—If the sum of the 

8 base acres for a farm, together with the acreage de9 scribed in paragraph (2), exceeds the actual cropland 

10 acreage of the farm, the Secretary shall reduce the 

11 base acres for 1 or more covered commodities for the 

12 farm so that the sum of the base acres and acreage 

13 described in paragraph (2) does not exceed the actual 

14 cropland acreage of the farm. 

15 (2) OTHER ACREAGE.—For purposes of para16 graph (1), the Secretary shall include the following: 

17 (A) Any acreage on the farm enrolled in the 

18 conservation reserve program or wetlands reserve 

19 program under chapter 1 of subtitle D of title 

20 XII of the Food Security Act of 1985 (16 U.S.C. 

21 3830 et seq.). 

22 (B) Any other acreage on the farm enrolled 

23 in a conservation program for which payments 

24 are made in exchange for not producing an agri25 cultural commodity on the acreage. 


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1 (3) SELECTION OF ACRES.—The Secretary shall 

2 give the owner of the farm the opportunity to select 

3 the base acres against which the reduction required by 

4 paragraph (1) will be made. 

5 (4) EXCEPTION FOR DOUBLE-CROPPED ACRE6 AGE.—In applying paragraph (1), the Secretary shall 

7 make an exception in the case of double cropping, as 

8 determined by the Secretary. 

9 (c) PERMANENT REDUCTION IN BASE ACRES.— 

10 (1) IN GENERAL.—The owner of a farm may re11 duce, at any time, the base acres for any covered com12 modity for the farm. 

13 (2) ADMINISTRATION.—The reduction shall be 

14 permanent and made in the manner prescribed by the 

15 Secretary. 

16 SEC. 1102. AVAILABILITY OF DIRECT PAYMENTS. 

17 (a) PAYMENT REQUIRED.—For each of the 2008 

18 through 2012 crop years of each covered commodity, the 

19 Secretary shall make direct payments to producers on farms 

20 for which payment yields and base acres are established. 

21 (b) PAYMENT RATE.—The payment rates used to make 

22 direct payments with respect to covered commodities for a 

23 crop year are as follows: 

24 (1) Wheat, $0.52 per bushel. 

25 (2) Corn, $0.28 per bushel. 


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1 (3) Grain sorghum, $0.35 per bushel. 

2 (4) Barley, $0.24 per bushel. 

3 (5) Oats, $0.024 per bushel. 

4 (6) Upland cotton, $0.0667 per pound. 

5 (7) Rice, $2.35 per hundredweight. 

6 (8) Soybeans, $0.44 per bushel. 

7 (9) Other oilseeds, $0.0080 per pound. 

8 (10) Peanuts, $36.00 per ton. 

9 (c) PAYMENT AMOUNT.—The amount of the direct pay10 ment to be paid to the producers on a farm for a covered 

11 commodity for a crop year shall be equal to the product 

12 of the following: 

13 (1) The payment rate specified in subsection (b). 

14 (2) The payment acres of the covered commodity 

15 on the farm. 

16 (3) The payment yield for the covered commodity 

17 for the farm. 

18 (d) TIME FOR PAYMENT.— 

19 (1) IN GENERAL.—In the case of each of the 2008 

20 through 2012 crop years, the Secretary may not make 

21 direct payments before October 1 of the calendar year 

22 in which the crop of the covered commodity is har23 vested. 

24 (2) ADVANCE PAYMENTS.— 


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1 (A) OPTION.—At the option of the producers 

2 on a farm, up to 22 percent of the direct pay3 ment for a covered commodity for any of the 

4 2008 through 2011 crop years shall be paid to 

5 the producers in advance. 

6 (B) MONTH.— 

7 (i) SELECTION.—The producers shall 

8 select the month within which the advance 

9 payment for a crop year will be made. 

10 (ii) OPTIONS.—The month selected 

11 may be any month during the period begin12 ning on December 1 of the calendar year be13 fore the calendar year in which the crop of 

14 the covered commodity is harvested through 

15 the month within which the direct payment 

16 would otherwise be made. 

17 (iii) CHANGE.—The producers may 

18 change the selected month for a subsequent 

19 advance payment by providing advance no20 tice to the Secretary. 

21 (3) REPAYMENT OF ADVANCE PAYMENTS.—If a 

22 producer on a farm that receives an advance direct 

23 payment for a crop year ceases to be a producer on 

24 that farm, or the extent to which the producer shares 

25 in the risk of producing a crop changes, before the 


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1 date the remainder of the direct payment is made, the 

2 producer shall be responsible for repaying the Sec3 retary the applicable amount of the advance payment, 

4 as determined by the Secretary. 

5 (e) PROHIBITION ON DE MINIMIS PAYMENTS.—If the 

6 total direct payment to be paid to a producer on a farm 

7 for all covered commodities is less than $25.00, the Sec8 retary shall not tender the direct payment to the producer. 

9 SEC. 1103. AVAILABILITY OF COUNTER-CYCLICAL PAY10 MENTS. 

11 (a) PAYMENT REQUIRED.—For each of the 2008 

12 through 2012 crop years for each covered commodity, the 

13 Secretary shall make counter-cyclical payments to pro14 ducers on farms for which payment yields and base acres 

15 are established with respect to the covered commodity if the 

16 Secretary determines that the effective price for the covered 

17 commodity is less than the target price for the covered com18 modity. 

19 (b) EFFECTIVE PRICE.—For purposes of subsection 

20 (a), the effective price for a covered commodity is equal to 

21 the sum of the following: 

22 (1) The higher of the following: 

23 (A) The national average market price re24 ceived by producers during the 12-month marVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00023 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 keting year for the covered commodity, as deter2 mined by the Secretary. 

3 (B) The national average loan rate for a 

4 marketing assistance loan for the covered com5 modity in effect for the applicable period under 

6 subtitle B, except that, for the purpose of calcu7 lating counter-cyclical payments under this sec8 tion for rice and barley, the Secretary shall es9 tablish national average all rice and all barley 

10 loan rates. 

11 (2) The payment rate in effect for the covered 

12 commodity under section 1102 for the purpose of 

13 making direct payments with respect to the covered 

14 commodity. 

15 (c) TARGET PRICE.—For purposes of subsection (a), 

16 the target prices for covered commodities shall be as follows: 

17 (1) Wheat, $4.15 per bushel. 

18 (2) Corn, $2.63 per bushel. 

19 (3) Grain sorghum, $2.57 per bushel. 

20 (4) Barley, $2.73 per bushel. 

21 (5) Oats, $1.50 per bushel. 

22 (6) Upland cotton, $0.70 per pound. 

23 (7) Rice, $10.50 per hundredweight. 

24 (8) Soybeans, $6.10 per bushel. 

25 (9) Other oilseeds, $0.1150 per pound. 


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1 (10) Peanuts, $495.00 per ton. 

2 (d) PAYMENT RATE.—The payment rate used to make 

3 counter-cyclical payments with respect to a covered com4 modity for a crop year shall be equal to the difference be5 tween— 

6 (1) the target price for the covered commodity; 

7 and 

8 (2) the effective price determined under sub9 section (b) for the covered commodity. 

10 (e) PAYMENT AMOUNT.—If counter-cyclical payments 

11 are required to be paid under this section for any of the 

12 2008 through 2012 crop years of a covered commodity, the 

13 amount of the counter-cyclical payment to be paid to the 

14 producers on a farm for that crop year shall be equal to 

15 the product of the following: 

16 (1) The payment rate specified in subsection (d). 

17 (2) The payment acres of the covered commodity 

18 on the farm. 

19 (3) The payment yield for the covered commodity 

20 for the farm. 

21 (f) TIME FOR PAYMENTS.— 

22 (1) GENERAL RULE.—If the Secretary deter23 mines under subsection (a) that counter-cyclical pay24 ments are required to be made under this section for 

25 the crop of a covered commodity, the Secretary shall 


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1 make the counter-cyclical payments for the crop as 

2 soon as practicable after the end of the 12-month 

3 marketing year for the covered commodity. 

4 (2) AVAILABILITY OF PARTIAL PAYMENTS.—If, 

5 before the end of the 12-month marketing year for a 

6 covered commodity, the Secretary estimates that 

7 counter-cyclical payments will be required for the 

8 crop of the covered commodity, the Secretary shall 

9 give producers on a farm the option to receive partial 

10 payments of the counter-cyclical payment projected to 

11 be made for that crop of the covered commodity. 

12 (3) TIME FOR PARTIAL PAYMENTS FOR 2008

13 THROUGH 2010 CROP YEARS.—If the Secretary is re14 quired to make partial payments available under 

15 paragraph (2) for a covered commodity for any of the 

16 2008 through 2010 crop years— 

17 (A) the first partial payment shall be made 

18 after completion of the first 6 months of the mar19 keting year for the covered commodity; and 

20 (B) the final partial payment shall be made 

21 as soon as practicable after the end of the 12- 

22 month marketing year for the covered com23 modity. 

24 (4) AMOUNT OF PARTIAL PAYMENTS.— 


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1 (A) FIRST PARTIAL PAYMENT.—For each of 

2 the 2008 through 2010 crop years, the first par3 tial payment under paragraph (3) to the pro4 ducers on a farm may not exceed 40 percent of 

5 the projected counter-cyclical payment for the 

6 covered commodity for the crop year, as deter7 mined by the Secretary. 

8 (B) FINAL PAYMENT.—The final payment 

9 for each of the 2008 through 2010 crop years 

10 shall be equal to the difference between— 

11 (i) the actual counter-cyclical payment 

12 to be made to the producers for the covered 

13 commodity for that crop year; and 

14 (ii) the amount of the partial payment 

15 made to the producers under subparagraph 

16 (A). 

17 (5) REPAYMENT.—The producers on a farm that 

18 receive a partial payment under this subsection for a 

19 crop year shall repay to the Secretary the amount, if 

20 any, by which the total of the partial payments exceed 

21 the actual counter-cyclical payment to be made for 

22 the covered commodity for that crop year. 

23 (g) PROHIBITION ON DE MINIMIS PAYMENTS.—If the 

24 total counter-cyclical payment to be paid to a producer on 

25 a farm for all covered commodities is less than $25.00, the 


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1 Secretary shall not tender the counter-cyclical payment to 

2 the producer. 

3 SEC. 1104. AVAILABILITY OF REVENUE-BASED COUNTER-CY4 CLICAL PAYMENTS. 

5 (a) AVAILABILITY AND ELECTION OF ALTERNATIVE

6 APPROACH.— 

7 (1) AVAILABILITY OF REVENUE-BASED COUNTER8 CYCLICAL PAYMENTS.—As an alternative to receiving 

9 counter-cyclical payments under section 1103 with re10 spect to each covered commodity on a farm, the Sec11 retary shall give the producers on the farm an oppor12 tunity to elect to instead receive revenue-based 

13 counter-cyclical payments under this section for the 

14 2008 through 2012 crop years. 

15 (2) SINGLE ELECTION; TIME FOR ELECTION.—As 

16 soon as practicable after the date of enactment of this 

17 Act, the Secretary shall provide notice to producers 

18 regarding their opportunity to make the election de19 scribed in paragraph (1). The notice shall include the 

20 following: 

21 (A) Notice that the opportunity of the pro22 ducers on a farm to make the election is being 

23 provided only once. 

24 (B) Information regarding the manner in 

25 which the election must be made and the time 


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1 periods and manner in which notice of the elec2 tion must be submitted to the Secretary. 

3 (3) ELECTION DEADLINE.—Within the time pe4 riod and in the manner prescribed pursuant to para5 graph (2), the producers on a farm shall submit to the 

6 Secretary notice of the election made under para7 graph (1). 

8 (4) EFFECT OF FAILURE TO MAKE ELECTION.— 

9 If the producers on a farm fail to make the election 

10 under paragraph (1) or fail to timely notify the Sec11 retary of the election made, as required by paragraph 

12 (3), the producers shall be deemed to have made the 

13 election to receive counter-cyclical payments under 

14 section 1103 for all covered commodities on the farm. 

15 (b) PAYMENT REQUIRED.—In the case of producers on 

16 a farm who make the election under subsection (a) to receive 

17 revenue-based counter-cyclical payments, the Secretary 

18 shall make revenue-based counter-cyclical payments to such 

19 producers with respect to a covered commodity on the farm, 

20 if the Secretary determines that the national actual revenue 

21 per acre for the covered commodity is less than the national 

22 target revenue per acre for the covered commodity, as deter23 mined pursuant to this section. 

24 (c) NATIONAL ACTUAL REVENUE PER ACRE.—For 

25 each covered commodity for each of the 2008 through 2012 


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1 crop years, the Secretary shall establish a national actual 

2 revenue per acre by multiplying the national average yield 

3 for the given year by the higher of— 

4 (1) the national average market price received by 

5 producers of the covered commodity during the 12- 

6 month marketing year established by the Secretary; or 

7 (2) the loan rate for the covered commodity 

8 under section 1202, except that, for the purpose of cal9 culating national actual revenue per acre for rice and 

10 barley, the Secretary shall establish national average 

11 all rice and all barley loan rates. 

12 (d) NATIONAL TARGET REVENUE PER ACRE.—The na13 tional target revenue per acre shall be, on a per acre basis, 

14 as follows: 

15 (1) Wheat, $149.92. 

16 (2) Corn, $344.12. 

17 (3) Grain Sorghum, $131.28. 

18 (4) Barley, $153.30. 

19 (5) Oats, $92.10 

20 (6) Upland cotton, $496.93. 

21 (7) Rice, $548.06. 

22 (8) Soybeans, $231.87. 

23 (9) Other oilseeds, $129.18. 

24 (10) Peanuts, $683.83. 


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1 (e) NATIONAL PAYMENT YIELD.—The national pay2 ment yield shall be as follows: 

3 (1) Wheat, 36.1 bushels per acre. 

4 (2) Corn, 114.4 bushels per acre. 

5 (3) Grain Sorghum, 58.2 bushels per acre. 

6 (4) Barley, 48.6 bushels per acre. 

7 (5) Oats, 49.8 bushels per acre. 

8 (6) Upland cotton, 634 pounds per acre. 

9 (7) Rice, 51.28 hundredweight per acre. 

10 (8) Soybeans, 34.1 bushels per acre. 

11 (9) Other oilseeds, 1167.6 pounds per acre. 

12 (10) Peanuts, 1.496 tons per acre. 

13 (f) NATIONAL PAYMENT RATE.—The national pay14 ment rate used to make revenue-based counter-cyclical pay15 ments for a crop year shall be the result of— 

16 (1) the difference between the national target rev17 enue per acre for the covered commodity and the na18 tional actual revenue per acre for the covered com19 modity; divided by 

20 (2) the national payment yield for the covered 

21 commodity. 

22 (g) PAYMENT AMOUNT.—If revenue-based counter-cy23 clical payments are required to be paid for any of the 2008 

24 through 2012 crop years of a covered commodity, the 

25 amount of the counter-cyclical payment to be paid to the 


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1 producers on a farm for that crop year for the covered com2 modity shall be equal to the product of— 

3 (1) the national payment rate for the covered 

4 commodity; 

5 (2) the payment acres of the covered commodity 

6 on the farm; and 

7 (3) the payment yield for counter-cyclical pay8 ments for the covered commodity. 

9 (h) TIME FOR PAYMENTS.— 

10 (1) GENERAL RULE.—If the Secretary deter11 mines that revenue-based counter-cyclical payments 

12 are required to be made under this section for the 

13 crop of a covered commodity, the Secretary shall 

14 make the counter-cyclical payments for the crop as 

15 soon as practicable after the end of the 12-month 

16 marketing year for the covered commodity. 

17 (2) AVAILABILITY OF PARTIAL PAYMENTS.—If, 

18 before the end of the 12-month marketing year for a 

19 covered commodity, the Secretary estimates that rev20 enue-based counter-cyclical payments will be required 

21 for the crop of the covered commodity, the Secretary 

22 shall give producers on a farm the option to receive 

23 partial payments of the revenue-based counter-cyclical 

24 payments projected to be made for that crop of the 

25 covered commodity. 


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1 (3) TIME FOR PARTIAL PAYMENTS FOR 2008

2 THROUGH 2010 CROP YEARS.—If the Secretary is re3 quired to make partial payments available under 

4 paragraph (2) for a covered commodity for any of the 

5 2008 through 2010 crop years— 

6 (A) the first partial payment shall be made 

7 after completion of the first 6 months of the mar8 keting year for the covered commodity; and 

9 (B) the final partial payment shall be made 

10 as soon as practicable after the end of the 12- 

11 month marketing year for the covered com12 modity. 

13 (4) AMOUNT OF PARTIAL PAYMENTS.— 

14 (A) FIRST PARTIAL PAYMENT.—For each of 

15 the 2008 through 2010 crop years, the first par16 tial payment under paragraph (3) to the pro17 ducers on a farm may not exceed 40 percent of 

18 the projected revenue-based counter-cyclical pay19 ment for the covered commodity for the crop 

20 year, as determined by the Secretary. 

21 (B) FINAL PAYMENT.—The final payment 

22 for each of the 2008 through 2010 crop years 

23 shall be equal to the difference between— 

24 (i) the actual revenue-based counter-cy25 clical payments to be made to the producers 


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1 for the covered commodity for that crop 

2 year; and 

3 (ii) the amount of the partial payment 

4 made to the producers on a farm under sub5 paragraph (A) for that crop year. 

6 (5) REPAYMENT.—Producers on a farm that re7 ceive a partial payment under this subsection for a 

8 crop year shall repay to the Secretary the amount, if 

9 any, by which the total of the partial payments exceed 

10 the actual revenue-based counter-cyclical payments to 

11 be made for the covered commodity for that crop year. 

12 (i) PROHIBITION ON DE MINIMIS PAYMENTS.—If the 

13 total revenue-based counter-cyclical payment to be paid to 

14 a producer on a farm for all covered commodities is less 

15 than $25.00, the Secretary shall not tender the revenue16 based counter-cyclical payment to the producer. 

17 SEC. 1105. PRODUCER AGREEMENT REQUIRED AS CONDI18 TION OF PROVISION OF DIRECT PAYMENTS 

19 AND COUNTER-CYCLICAL PAYMENTS. 

20 (a) COMPLIANCE WITH CERTAIN REQUIREMENTS.— 

21 (1) REQUIREMENTS.—Before the producers on a 

22 farm may receive direct payments or counter-cyclical 

23 payments with respect to the farm, the producers shall 

24 agree, during the crop year for which the payments 

25 are made and in exchange for the payments— 


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1 (A) to comply with applicable conservation 

2 requirements under subtitle B of title XII of the 

3 Food Security Act of 1985 (16 U.S.C. 3811 et 

4 seq.); 

5 (B) to comply with applicable wetland pro6 tection requirements under subtitle C of title XII 

7 of that Act (16 U.S.C. 3821 et seq.); 

8 (C) to comply with the planting flexibility 

9 requirements of section 1106; 

10 (D) to use the land on the farm, in a quan11 tity equal to the attributable base acres for the 

12 farm for an agricultural or conserving use, and 

13 not for a nonagricultural commercial or indus14 trial use, as determined by the Secretary; and 

15 (E) to effectively control noxious weeds and 

16 otherwise maintain the land in accordance with 

17 sound agricultural practices, as determined by 

18 the Secretary. 

19 (2) COMPLIANCE.—The Secretary may issue such 

20 rules as the Secretary considers necessary to ensure 

21 producer compliance with the requirements of para22 graph (1). 

23 (3) MODIFICATION.—At the request of the trans24 feree or owner, the Secretary may modify the require25 ments of this subsection if the modifications are conVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00035 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 sistent with the objectives of this subsection, as deter2 mined by the Secretary. 

3 (b) TRANSFER OR CHANGE OF INTEREST IN FARM.— 

4 (1) TERMINATION.— 

5 (A) IN GENERAL.—Except as provided in 

6 paragraph (2), a transfer of (or change in) the 

7 interest of the producers on a farm in base acres 

8 for which direct payments or counter-cyclical 

9 payments are made shall result in the termi10 nation of the payments with respect to the base 

11 acres, unless the transferee or owner of the acre12 age agrees to assume all obligations under sub13 section (a). 

14 (B) EFFECTIVE DATE.—The termination 

15 shall take effect on the date determined by the 

16 Secretary. 

17 (2) EXCEPTION.—If a producer entitled to a di18 rect payment or counter-cyclical payment dies, be19 comes incompetent, or is otherwise unable to receive 

20 the payment, the Secretary shall make the payment, 

21 in accordance with rules issued by the Secretary. 

22 (c) ACREAGE REPORTS.—As a condition on the receipt 

23 of any benefits under this subtitle or subtitle B, the Sec24 retary shall require producers on a farm to submit to the 


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1 Secretary annual acreage reports with respect to all crop2 land on the farm. 

3 (d) TENANTS AND SHARECROPPERS.—In carrying out 

4 this subtitle, the Secretary shall provide adequate safe5 guards to protect the interests of tenants and sharecroppers. 

6 (e) SHARING OF PAYMENTS.—The Secretary shall pro7 vide for the sharing of direct payments and counter-cyclical 

8 payments among the producers on a farm on a fair and 

9 equitable basis. 

10 SEC. 1106. PLANTING FLEXIBILITY. 

11 (a) PERMITTED CROPS.—Subject to subsection (b), 

12 any commodity or crop may be planted on base acres on 

13 a farm. 

14 (b) LIMITATIONS REGARDING CERTAIN COMMOD15 ITIES.— 

16 (1) GENERAL LIMITATION.—The planting of an 

17 agricultural commodity specified in paragraph (3) 

18 shall be prohibited on base acres unless the com19 modity, if planted, is destroyed before harvest. 

20 (2) TREATMENT OF TREES AND OTHER

21 PERENNIALS.—The planting of an agricultural com22 modity specified in paragraph (3) that is produced 

23 on a tree or other perennial plant shall be prohibited 

24 on base acres. 


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1 (3) COVERED AGRICULTURAL COMMODITIES.— 

2 Paragraphs (1) and (2) apply to the following agri3 cultural commodities: 

4 (A) Fruits. 

5 (B) Vegetables (other than lentils, mung 

6 beans, and dry peas). 

7 (C) Wild rice. 

8 (c) EXCEPTIONS.—Paragraphs (1) and (2) of sub9 section (b) shall not limit the planting of an agricultural 

10 commodity specified in paragraph (3) of that subsection— 

11 (1) in any region in which there is a history of 

12 double-cropping of covered commodities with agricul13 tural commodities specified in subsection (b)(3), as 

14 determined by the Secretary, in which case the dou15 ble-cropping shall be permitted; 

16 (2) on a farm that the Secretary determines has 

17 a history of planting agricultural commodities speci18 fied in subsection (b)(3) on base acres, except that di19 rect payments and counter-cyclical payments shall be 

20 reduced by an acre for each acre planted to such an 

21 agricultural commodity; or 

22 (3) by the producers on a farm that the Sec23 retary determines has an established planting history 

24 of a specific agricultural commodity specified in sub25 section (b)(3), except that— 


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1 (A) the quantity planted may not exceed the 

2 average annual planting history of such agricul3 tural commodity by the producers on the farm in 

4 the 1991 through 1995 or 1998 through 2001 

5 crop years (excluding any crop year in which no 

6 plantings were made), as determined by the Sec7 retary; and 

8 (B) direct payments and counter-cyclical 

9 payments shall be reduced by an acre for each 

10 acre planted to such agricultural commodity. 

11 (d) PLANTING TRANSFERABILITY PILOT PROJECT.— 

12 (1) PILOT PROJECT AUTHORIZED.—In addition 

13 to the exceptions provided in subsection (c), the Sec14 retary shall carry out a pilot project in the State of 

15 Indiana under which paragraphs (1) and (2) of sub16 section (b) shall not limit the planting of tomatoes 

17 grown for processing on up to 10,000 base acres dur18 ing each of the 2008 through 2012 crop years. 

19 (2) CONTRACT AND MANAGEMENT REQUIRE20 MENTS.— To be eligible for selection to participate in 

21 the pilot project, a producer must— 

22 (A) have a contract to grow tomatoes for 

23 processing; and 

24 (B) agree to produce the tomatoes as part of 

25 a program of crop rotation on the farm to 


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1 achieve agronomic and pest and disease manage2 ment benefits. 

3 (3) TEMPORARY REDUCTION IN BASE ACRES.— 

4 The base acres on a farm for a crop year shall be re5 duced by an acre for each acre planted to tomatoes 

6 under the pilot program. 

7 (4) DURATION OF REDUCTIONS.—The reduction 

8 in the base acres of a farm for a crop year under 

9 paragraph (3) shall expire at the end of the crop year, 

10 unless the producers on the farm elect to continue to 

11 participate in the pilot project for the subsequent crop 

12 year. 

13 (5) RECALCULATION OF BASE ACRES.—If the 

14 Secretary recalculates base acres for a farm while the 

15 farm is included in the pilot project, the planting and 

16 production of tomatoes under the pilot project shall be 

17 considered to be the same as the planting, prevented 

18 planting, or production of a covered commodity. 

19 Nothing in this paragraph provides authority for the 

20 Secretary to recalculate base acres for a farm. 

21 SEC. 1107. PERIOD OF EFFECTIVENESS. 

22 This subtitle shall be effective beginning with the 2008 

23 crop year of each covered commodity through the 2012 crop 

24 year. 


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1 Subtitle B—Marketing Assistance 

2 Loans and Loan Deficiency Pay3 ments 

4 SEC. 1201. AVAILABILITY OF NONRECOURSE MARKETING 

5 ASSISTANCE LOANS FOR LOAN COMMOD6 ITIES. 

7 (a) NONRECOURSE LOANS AVAILABLE.— 

8 (1) AVAILABILITY.—For each of the 2008 through 

9 2012 crops of each loan commodity, the Secretary 

10 shall make available to producers on a farm non11 recourse marketing assistance loans for loan commod12 ities produced on the farm. 

13 (2) TERMS AND CONDITIONS.—The marketing as14 sistance loans shall be made under terms and condi15 tions that are prescribed by the Secretary and at the 

16 loan rate established under section 1202 for the loan 

17 commodity. 

18 (b) ELIGIBLE PRODUCTION.—The producers on a farm 

19 shall be eligible for a marketing assistance loan under sub20 section (a) for any quantity of a loan commodity produced 

21 on the farm. 

22 (c) TREATMENT OF CERTAIN COMMINGLED COMMOD23 ITIES.—In carrying out this subtitle, the Secretary shall 

24 make loans to producers on a farm that would be eligible 

25 to obtain a marketing assistance loan, but for the fact the 


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1 loan commodity owned by the producers on the farm com2 mingled with loan commodities of other producers in facili3 ties unlicensed for the storage of agricultural commodities 

4 by the Secretary or a State licensing authority, if the pro5 ducers obtaining the loan agree to immediately redeem the 

6 loan collateral in accordance with section 166 of the Federal 

7 Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 

8 7286). 

9 (d) COMPLIANCE WITH CONSERVATION AND WET10 LANDS REQUIREMENTS.—As a condition of the receipt of 

11 a marketing assistance loan under subsection (a), the pro12 ducer shall comply with applicable conservation require13 ments under subtitle B of title XII of the Food Security 

14 Act of 1985 (16 U.S.C. 3811 et seq.) and applicable wetland 

15 protection requirements under subtitle C of title XII of the 

16 Act (16 U.S.C. 3821 et seq.) during the term of the loan. 

17 (e) PEANUT-RELATED LOAN PROVISIONS.— 

18 (1) OPTIONS FOR OBTAINING LOANS.—A mar19 keting assistance loan for peanuts under this section 

20 and loan deficiency payments for peanuts under sec21 tion 1205 may be obtained at option of the producers 

22 on a farm through— 

23 (A) a designated marketing association or 

24 marketing cooperative of producers that is ap25 proved by the Secretary; or 


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1 (B) the Farm Service Agency. 

2 (2) STORAGE OF LOAN PEANUTS.—As a condi3 tion on the Secretary’s approval of an individual or 

4 entity to provide storage for peanuts for which a mar5 keting assistance loan is made under this section, the 

6 individual or entity shall agree— 

7 (A) to provide such storage on a non8 discriminatory basis; and 

9 (B) to comply with such additional require10 ments as the Secretary considers appropriate to 

11 accomplish the purposes of this section and pro12 mote fairness in the administration of the bene13 fits of this section. 

14 (3) MARKETING.—A marketing association or co15 operative may market peanuts for which a loan is 

16 made under this section in any manner that conforms 

17 to consumer needs, including the separation of pea18 nuts by type and quality. 

19 SEC. 1202. LOAN RATES FOR NONRECOURSE MARKETING 

20 ASSISTANCE LOANS. 

21 (a) LOAN RATES.—The loan rate for a marketing as22 sistance loan under section 1201 for a loan commodity shall 

23 be equal to the following: 

24 (1) In the case of wheat, $2.94 per bushel. 

25 (2) In the case of corn, $1.95 per bushel. 


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1 (3) In the case of grain sorghum, $1.95 per bush2 el. 

3 (4) In the case of malt barley, $2.50 per bushel. 

4 (5) In the case of feed barley, $1.90 per bushel. 

5 (6) In the case of oats, $1.46 per bushel. 

6 (7) In the case of the base quality of upland cot7 ton, $0.52 per pound. 

8 (8) In the case of extra long staple cotton, 

9 $0.7977 per pound. 

10 (9) In the case of long grain rice, $6.50 per hun11 dredweight. 

12 (10) In the case of medium grain rice and short 

13 grain rice, $6.50 per hundredweight. 

14 (11) In the case of soybeans, $5.00 per bushel. 

15 (12) In the case of other oilseeds, $0.1070 per 

16 pound for each of the following kinds of oilseeds: 

17 (A) Sunflower seed. 

18 (B) Rapeseed. 

19 (C) Canola. 

20 (D) Safflower. 

21 (E) Flaxseed. 

22 (F) Mustard seed. 

23 (G) Crambe. 

24 (H) Sesame seed. 


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1 (I) Other oilseeds designated by the Sec2 retary. 

3 (13) In the case of dry peas, $5.40 per hundred4 weight. 

5 (14) In the case of lentils, $11.28 per hundred6 weight. 

7 (15) In the case of small chickpeas, $8.54 per 

8 hundredweight. 

9 (16) In the case of peanuts, $355.00 per ton. 

10 (17) In the case of graded wool, $1.10 per pound. 

11 (18) In the case of nongraded wool, $0.40 per 

12 pound. 

13 (19) In the case of honey, $0.60 per pound. 

14 (20) In the case of mohair, $4.20 per pound. 

15 (b) SINGLE COUNTY LOAN RATE FOR OTHER OIL16 SEEDS.—The Secretary shall establish a single loan rate in 

17 each county for each kind of other oilseeds described in sub18 section (a)(12). 

19 (c) SPECIAL RULES FOR CORN AND GRAIN SOR20 GHUM.— 

21 (1) SINGLE COUNTY AND NATIONAL AVERAGE

22 LOAN RATE.—The Secretary shall— 

23 (A) establish a single county loan rate for 

24 corn and grain sorghum in each county; 


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1 (B) establish a single national average loan 

2 rate for corn and grain sorghum; and 

3 (C) determine each county loan rate and the 

4 national average loan rate for corn and grain 

5 sorghum and any and all other program loan 

6 rates applicable to corn and grain sorghum from 

7 a data set that includes prices for both commod8 ities. 

9 (2) ADMINISTRATION.—With respect to corn and 

10 grain sorghum, the Secretary— 

11 (A) shall administer the applicable loan, 

12 marketing loan, counter-cyclical payment, and 

13 related programs from a single loan rate for corn 

14 and grain sorghum that is identical in each in15 dividual county; 

16 (B) shall provide that any adjustment in 

17 the loan rate for location shall be determined 

18 and applied on the basis of the combined data 

19 set such that any transportation adjustment 

20 shall be the same for corn and grain sorghum in 

21 each individual county; and 

22 (C) may provide for adjustments for grade, 

23 type, and quality as appropriate for the corn or 

24 grain sorghum involved in each specific trans25 action. 


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1 SEC. 1203. TERM OF LOANS. 

2 (a) TERM OF LOAN.—In the case of each loan com3 modity, a marketing assistance loan under section 1201 

4 shall have a term of 9 months beginning on the first day 

5 of the first month after the month in which the loan is 

6 made. 

7 (b) EXTENSIONS PROHIBITED.—The Secretary may 

8 not extend the term of a marketing assistance loan for any 

9 loan commodity. 

10 SEC. 1204. REPAYMENT OF LOANS. 

11 (a) GENERAL RULE.—The Secretary shall permit the 

12 producers on a farm to repay a marketing assistance loan 

13 under section 1201 for a loan commodity (other than up14 land cotton, long grain rice, medium grain rice, short grain 

15 rice, extra long staple cotton, and confectionery and each 

16 other kind of sunflower seed (other than oil sunflower seed)) 

17 at the lesser of the following: 

18 (1) The loan rate established for the commodity 

19 under section 1202, plus interest (determined in ac20 cordance with section 163 of the Federal Agriculture 

21 Improvement and Reform Act of 1996 (7 U.S.C. 

22 7283)). 

23 (2) A rate that the Secretary determines will— 

24 (A) minimize potential loan forfeitures; 

25 (B) minimize the accumulation of stocks of 

26 the commodity by the Federal Government; 


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1 (C) minimize the cost incurred by the Fed2 eral Government in storing the commodity; 

3 (D) allow the commodity produced in the 

4 United States to be marketed freely and competi5 tively, both domestically and internationally; 

6 and 

7 (E) minimize discrepancies in marketing 

8 loan benefits across State boundaries and across 

9 county boundaries, if applicable. 

10 (b) REPAYMENT RATES FOR UPLAND COTTON AND

11 RICE.—The Secretary shall permit producers to repay a 

12 marketing assistance loan under section 1201 for upland 

13 cotton, long grain rice, medium grain rice, and short grain 

14 rice at a rate that is the lesser of— 

15 (1) the loan rate established for the commodity 

16 under section 1202, plus interest (determined in ac17 cordance with section 163 of the Federal Agriculture 

18 Improvement and Reform Act of 1996 (7 U.S.C. 

19 7283)); or 

20 (2) the prevailing world market price for the 

21 commodity (adjusted to United States quality and lo22 cation), as determined by the Secretary. 

23 (c) REPAYMENT RATES FOR EXTRA LONG STAPLE

24 COTTON.—Repayment of a marketing assistance loan for 

25 extra long staple cotton shall be at the loan rate established 


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1 for the commodity under section 1202, plus interest (deter2 mined in accordance with section 163 of the Federal Agri3 culture Improvement and Reform Act of 1996 (7 U.S.C. 

4 7283)). 

5 (d) PREVAILING WORLD MARKET PRICE.—For pur6 poses of this section and section 1207, the Secretary shall 

7 prescribe by regulation— 

8 (1) a formula to determine the prevailing world 

9 market price for upland cotton, which shall be based 

10 on the Far East price of upland cotton; 

11 (2) a formula to determine the prevailing world 

12 market price for— 

13 (A) long grain rice; and 

14 (B) medium and short grain rice; 

15 (3) a mechanism by which the Secretary will an16 nounce periodically the prevailing world market price 

17 for upland cotton, long grain rice, and medium and 

18 short grain rice; and 

19 (4) a mechanism by which the Secretary will 

20 make the adjustments, required by subsection (e), to 

21 the prevailing world market price for upland cotton, 

22 long grain rice, and medium and short grain rice. 

23 (e) ADJUSTMENT OF PREVAILING WORLD MARKET

24 PRICE FOR UPLAND COTTON AND RICE.— 


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1 (1) RICE.—The prevailing world market price 

2 for long grain, medium grain, and short grain rice 

3 determined in subsection (d) shall be adjusted to 

4 United States quality and location. 

5 (2) COTTON.—The prevailing world market price 

6 for upland cotton, determined in subsection (d) shall 

7 be— 

8 (A) adjusted to United States quality and 

9 location, with such quality adjustment to in10 clude— 

11 (i) any existing United States loan 

12 schedule premiums for Comparable United 

13 States Quality; and 

14 (ii) a reduction equal to any United 

15 States Premium Factor to upland cotton of 

a quality higher than Middling (M) 13 16 ⁄32- 

17 inch; and 

18 (B) adjusted to take into account average 

19 costs to market the commodity, including average 

20 transportation costs, as determined by the Sec21 retary. 

22 (f) ADDITIONAL ADJUSTMENT AUTHORITY REGARDING

23 PREVAILING WORLD MARKET PRICE FOR UPLAND COT24 TON.— 


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1 (1) IN GENERAL.—During the period beginning 

2 on the date of the enactment of this Act through July 

3 31, 2013, the Secretary may further adjust the pre4 vailing world market price for upland cotton (ad5 justed under subsection (d)) if the Secretary deter6 mines such adjustment necessary— 

7 (A) to minimize potential loan forfeitures; 

8 (B) to minimize the accumulation of stocks 

9 of the commodity by the Federal Government; 

10 (C) to allow the commodity produced in the 

11 United States to be marketed freely and competi12 tively, both domestically and internationally; 

13 (D) to ensure that United States cotton is 

14 competitive in world markets; and 

15 (E) to ensure an appropriate transition be16 tween current-crop and forward-crop price 

17 quotations, except that the Secretary may use 

18 forward-crop price quotations prior to July 31 of 

19 the current marketing year only if there are less 

20 than three current-crop price quotations and 

21 only if such forward-crop price quotation is the 

22 lowest such quotation available. 

23 (2) GUIDELINES FOR ADDITIONAL ADJUST24 MENT.—In further adjusting the prevailing world 

25 market price for upland cotton under this subsection, 


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1 the Secretary shall establish a mechanism for deter2 mining and announcing such adjustments in order to 

3 avoid undue disruption in the United States market. 

4 (g) REPAYMENT RATES FOR CONFECTIONERY AND

5 OTHER KINDS OF SUNFLOWER SEEDS.—The Secretary 

6 shall permit the producers on a farm to repay a marketing 

7 assistance loan under section 1201 for confectionery and 

8 each other kind of sunflower seed (other than oil sunflower 

9 seed) at a rate that is the lesser of— 

10 (1) the loan rate established for the commodity 

11 under section 1202, plus interest (determined in ac12 cordance with section 163 of the Federal Agriculture 

13 Improvement and Reform Act of 1996 (7 U.S.C. 

14 7283)); or 

15 (2) the repayment rate established for oil sun16 flower seed. 

17 (h) QUALITY GRADES FOR DRY PEAS, LENTILS, AND

18 SMALL CHICKPEAS.—The loan repayment rate for dry 

19 peas, lentils, and small chickpeas shall be based on the qual20 ity grades for the applicable commodity. 

21 SEC. 1205. LOAN DEFICIENCY PAYMENTS. 

22 (a) AVAILABILITY OF LOAN DEFICIENCY PAYMENTS.— 

23 (1) IN GENERAL.—Except as provided in sub24 section (d), the Secretary may make loan deficiency 

25 payments available to producers on a farm that, alVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00052 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 though eligible to obtain a marketing assistance loan 

2 under section 1201 with respect to a loan commodity, 

3 agree to forgo obtaining the loan for the commodity 

4 in return for loan deficiency payments under this sec5 tion. 

6 (2) UNSHORN PELTS, HAY, AND SILAGE.— 

7 (A) MARKETING ASSISTANCE LOANS.—Sub8 ject to subparagraph (B), nongraded wool in the 

9 form of unshorn pelts and hay and silage derived 

10 from a loan commodity are not eligible for a 

11 marketing assistance loan under section 1201. 

12 (B) LOAN DEFICIENCY PAYMENT.—Effective 

13 for the 2008 through 2012 crop years, the Sec14 retary may make loan deficiency payments 

15 available under this section to producers on a 

16 farm that produce unshorn pelts or hay and si17 lage derived from a loan commodity. 

18 (b) COMPUTATION.—A loan deficiency payment for a 

19 loan commodity or commodity referred to in subsection 

20 (a)(2) shall be computed by multiplying— 

21 (1) the payment rate determined under sub22 section (c) for the commodity; by 

23 (2) the quantity of the commodity produced by 

24 the eligible producers, excluding any quantity for 


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1 which the producers obtain a marketing assistance 

2 loan under section 1201. 

3 (c) PAYMENT RATE.— 

4 (1) IN GENERAL.—In the case of a loan com5 modity, the payment rate shall be the amount by 

6 which— 

7 (A) the loan rate established under section 

8 1202 for the loan commodity; exceeds 

9 (B) the rate at which a marketing assist10 ance loan for the loan commodity may be repaid 

11 under section 1204. 

12 (2) UNSHORN PELTS.—In the case of unshorn 

13 pelts, the payment rate shall be the amount by 

14 which— 

15 (A) the loan rate established under section 

16 1202 for ungraded wool; exceeds 

17 (B) the rate at which a marketing assist18 ance loan for ungraded wool may be repaid 

19 under section 1204. 

20 (3) HAY AND SILAGE.—In the case of hay or si21 lage derived from a loan commodity, the payment 

22 rate shall be the amount by which— 

23 (A) the loan rate established under section 

24 1202 for the loan commodity from which the hay 

25 or silage is derived; exceeds 


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1 (B) the rate at which a marketing assist2 ance loan for the loan commodity may be repaid 

3 under section 1204. 

4 (d) EXCEPTION FOR EXTRA LONG STAPLE COTTON.— 

5 This section shall not apply with respect to extra long staple 

6 cotton. 

7 (e) EFFECTIVE DATE FOR PAYMENT RATE DETER8 MINATION.—The Secretary shall determine the amount of 

9 the loan deficiency payment to be made under this section 

10 to the producers on a farm with respect to a quantity of 

11 a loan commodity or commodity referred to in subsection 

12 (a)(2) using the payment rate in effect under subsection (c) 

13 as of the date the producers request the payment. 

14 SEC. 1206. PAYMENTS IN LIEU OF LOAN DEFICIENCY PAY15 MENTS FOR GRAZED ACREAGE. 

16 (a) ELIGIBLE PRODUCERS.— 

17 (1) IN GENERAL.—Effective for the 2008 through 

18 2012 crop years, in the case of a producer that would 

19 be eligible for a loan deficiency payment under sec20 tion 1205 for wheat, barley, or oats, but that elects to 

21 use acreage planted to the wheat, barley, or oats for 

22 the grazing of livestock, the Secretary shall make a 

23 payment to the producer under this section if the pro24 ducer enters into an agreement with the Secretary to 


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1 forgo any other harvesting of the wheat, barley, or 

2 oats on that acreage. 

3 (2) GRAZING OF TRITICALE ACREAGE.—Effective 

4 for the 2008 through 2012 crop years, with respect to 

5 a producer on a farm that uses acreage planted to 

6 triticale for the grazing of livestock, the Secretary 

7 shall make a payment to the producer under this sec8 tion if the producer enters into an agreement with the 

9 Secretary to forgo any other harvesting of triticale on 

10 that acreage. 

11 (b) PAYMENT AMOUNT.— 

12 (1) IN GENERAL.—The amount of a payment 

13 made under this section to a producer on a farm de14 scribed in subsection (a)(1) shall be equal to the 

15 amount determined by multiplying— 

16 (A) the loan deficiency payment rate deter17 mined under section 1205(c) in effect, as of the 

18 date of the agreement, for the county in which 

19 the farm is located; by 

20 (B) the payment quantity determined by 

21 multiplying— 

22 (i) the quantity of the grazed acreage 

23 on the farm with respect to which the pro24 ducer elects to forgo harvesting of wheat, 

25 barley, or oats; and 


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1 (ii) the payment yield in effect for the 

2 calculation of direct payments under sub3 title A with respect to that loan commodity 

4 on the farm or, in the case of a farm with5 out a payment yield for that loan com6 modity, an appropriate yield established by 

7 the Secretary in a manner consistent with 

8 section 1102 of the Farm Security and 

9 Rural Investment Act of 2002 (7 U.S.C. 

10 7912). 

11 (2) GRAZING OF TRITICALE ACREAGE.—The 

12 amount of a payment made under this section to a 

13 producer on a farm described in subsection (a)(2) 

14 shall be equal to the amount determined by multi15 plying— 

16 (A) the loan deficiency payment rate deter17 mined under section 1205(c) in effect for wheat, 

18 as of the date of the agreement, for the county in 

19 which the farm is located; by 

20 (B) the payment quantity determined by 

21 multiplying— 

22 (i) the quantity of the grazed acreage 

23 on the farm with respect to which the pro24 ducer elects to forgo harvesting of triticale; 

25 and 


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1 (ii) the payment yield in effect for the 

2 calculation of direct payments under sub3 title A with respect to wheat on the farm or, 

4 in the case of a farm without a payment 

5 yield for wheat, an appropriate yield estab6 lished by the Secretary in a manner con7 sistent with section 1102 of the Farm Secu8 rity and Rural Investment Act of 2002 (7 

9 U.S.C. 7912). 

10 (c) TIME, MANNER, AND AVAILABILITY OF PAYMENT.— 

11 (1) TIME AND MANNER.—A payment under this 

12 section shall be made at the same time and in the 

13 same manner as loan deficiency payments are made 

14 under section 1205. 

15 (2) AVAILABILITY.— 

16 (A) IN GENERAL.—The Secretary shall es17 tablish an availability period for the payments 

18 authorized by this section. 

19 (B) CERTAIN COMMODITIES.—In the case of 

20 wheat, barley, and oats, the availability period 

21 shall be consistent with the availability period 

22 for the commodity established by the Secretary 

23 for marketing assistance loans authorized by this 

24 subtitle. 


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1 (d) PROHIBITION ON CROP INSURANCE INDEMNITY OR

2 NONINSURED CROP ASSISTANCE.—A 2008 through 2012 

3 crop of wheat, barley, oats, or triticale planted on acreage 

4 that a producer elects, in the agreement required by sub5 section (a), to use for the grazing of livestock in lieu of any 

6 other harvesting of the crop shall not be eligible for an in7 demnity under the Federal Crop Insurance Act (7 U.S.C. 

8 1501 et seq.) or noninsured crop assistance under section 

9 196 of the Federal Agriculture Improvement and Reform 

10 Act of 1996 (7 U.S.C. 7333). 

11 SEC. 1207. SPECIAL MARKETING LOAN PROVISIONS FOR UP12 LAND COTTON. 

13 (a) SPECIAL IMPORT QUOTA.— 

14 (1) DEFINITION OF SPECIAL IMPORT QUOTA.—In 

15 this subsection, the term ‘‘special import quota’’ 

16 means a quantity of imports that is not subject to the 

17 over-quota tariff rate of a tariff-rate quota. 

18 (2) ESTABLISHMENT.— 

19 (A) IN GENERAL.—The President shall 

20 carry out an import quota program during the 

21 period beginning on the date of the enactment of 

22 this Act through July 31, 2013, as provided in 

23 this subsection. 

24 (B) PROGRAM REQUIREMENTS.—Whenever 

25 the Secretary determines and announces that for 


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1 any consecutive 4-week period, the Friday 

2 through Thursday average price quotation for the 

3 lowest-priced United States growth, as quoted for 

Middling (M) 13 4 ⁄32-inch cotton, delivered C/F 

5 Far East, exceeds the Far East price there shall 

6 immediately be in effect a special import quota. 

7 (3) QUANTITY.—The quota shall be equal to 1 

8 week’s consumption of upland cotton by domestic 

9 mills at the seasonally adjusted average rate of the 

10 most recent 3 months for which data are available. 

11 (4) APPLICATION.—The quota shall apply to up12 land cotton purchased not later than 90 days after the 

13 date of the Secretary’s announcement under para14 graph (1) and entered into the United States not later 

15 than 180 days after that date. 

16 (5) OVERLAP.—A special quota period may be 

17 established that overlaps any existing quota period if 

18 required by paragraph (2), except that a special 

19 quota period may not be established under this sub20 section if a quota period has been established under 

21 subsection (b). 

22 (6) PREFERENTIAL TARIFF TREATMENT.—The 

23 quantity under a special import quota shall be con24 sidered to be an in-quota quantity for purposes of— 


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1 (A) section 213(d) of the Caribbean Basin 

2 Economic Recovery Act (19 U.S.C. 2703(d)); 

3 (B) section 204 of the Andean Trade Pref4 erence Act (19 U.S.C. 3203); 

5 (C) section 503(d) of the Trade Act of 1974 

6 (19 U.S.C. 2463(d)); and 

7 (D) General Note 3(a)(iv) to the Har8 monized Tariff Schedule. 

9 (7) LIMITATION.—The quantity of cotton entered 

10 into the United States during any marketing year 

11 under the special import quota established under this 

12 subsection may not exceed the equivalent of 10 week’s 

13 consumption of upland cotton by domestic mills at 

14 the seasonally adjusted average rate of the 3 months 

15 immediately preceding the first special import quota 

16 established in any marketing year. 

17 (b) LIMITED GLOBAL IMPORT QUOTA FOR UPLAND

18 COTTON.— 

19 (1) DEFINITIONS.—In this subsection: 

20 (A) SUPPLY.—The term ‘‘supply’’ means, 

21 using the latest official data of the Bureau of the 

22 Census, the Department of Agriculture, and the 

23 Department of the Treasury— 

24 (i) the carry-over of upland cotton at 

25 the beginning of the marketing year (adVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00061 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 justed to 480-pound bales) in which the 

2 quota is established; 

3 (ii) production of the current crop; and 

4 (iii) imports to the latest date avail5 able during the marketing year. 

6 (B) DEMAND.—The term ‘‘demand’’ 

7 means— 

8 (i) the average seasonally adjusted an9 nual rate of domestic mill consumption dur10 ing the most recent 3 months for which data 

11 are available; and 

12 (ii) the larger of— 

13 (I) average exports of upland cot14 ton during the preceding 6 marketing 

15 years; or 

16 (II) cumulative exports of upland 

17 cotton plus outstanding export sales for 

18 the marketing year in which the quota 

19 is established. 

20 (C) LIMITED GLOBAL IMPORT QUOTA.—The 

21 term ‘‘limited global import quota’’ means a 

22 quantity of imports that is not subject to the 

23 over-quota tariff rate of a tariff-rate quota. 

24 (2) PROGRAM.—The President shall carry out an 

25 import quota program that provides that whenever 


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1 the Secretary determines and announces that the av2 erage price of the base quality of upland cotton, as de3 termined by the Secretary, in the designated spot 

4 markets for a month exceeded 130 percent of the aver5 age price of the quality of cotton in the markets for 

6 the preceding 36 months, notwithstanding any other 

7 provision of law, there shall immediately be in effect 

8 a limited global import quota subject to the following 

9 conditions: 

10 (A) QUANTITY.—The quantity of the quota 

11 shall be equal to 21 days of domestic mill con12 sumption of upland cotton at the seasonally ad13 justed average rate of the most recent 3 months 

14 for which data are available. 

15 (B) QUANTITY IF PRIOR QUOTA.—If a quota 

16 has been established under this subsection during 

17 the preceding 12 months, the quantity of the 

18 quota next established under this subsection shall 

19 be the smaller of 21 days of domestic mill con20 sumption calculated under subparagraph (A) or 

21 the quantity required to increase the supply to 

22 130 percent of the demand. 

23 (C) PREFERENTIAL TARIFF TREATMENT.— 

24 The quantity under a limited global import 


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1 quota shall be considered to be an in-quota quan2 tity for purposes of— 

3 (i) section 213(d) of the Caribbean 

4 Basin Economic Recovery Act (19 U.S.C. 

5 2703(d)); 

6 (ii) section 204 of the Andean Trade 

7 Preference Act (19 U.S.C. 3203); 

8 (iii) section 503(d) of the Trade Act of 

9 1974 (19 U.S.C. 2463(d)); and 

10 (iv) General Note 3(a)(iv) to the Har11 monized Tariff Schedule. 

12 (D) QUOTA ENTRY PERIOD.—When a quota 

13 is established under this subsection, cotton may 

14 be entered under the quota during the 90-day pe15 riod beginning on the date the quota is estab16 lished by the Secretary. 

17 (3) NO OVERLAP.—Notwithstanding paragraph 

18 (2), a quota period may not be established that over19 laps an existing quota period or a special quota pe20 riod established under subsection (a). 

21 (c) ECONOMIC ADJUSTMENT ASSISTANCE TO USERS

22 OF UPLAND COTTON.— 

23 (1) ISSUANCE OF MARKETING CERTIFICATES OR

24 CASH PAYMENTS.—During the period beginning on 

25 the date of the enactment of this Act through July 31, 


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1 2013, the Secretary shall issue, on a monthly basis, 

2 marketing certificates or cash payments, at the option 

3 of the recipient, to domestic users of upland cotton for 

4 all documented use of upland cotton during the pre5 vious monthly period regardless of the origin of the 

6 upland cotton. 

7 (2) VALUE OF CERTIFICATES OR PAYMENTS.— 

8 The value of the marketing certificates or cash pay9 ments shall be 4 cents per pound. 

10 (3) ALLOWABLE PURPOSES.—Economic adjust11 ment assistance under this subsection shall be made 

12 available only to domestic users of upland cotton that 

13 certify that such funds shall be used only for acquisi14 tion, construction, installation, modernization, devel15 opment, conversion, or expansion of land, plant, 

16 buildings, equipment, facilities, or machinery. 

17 (4) REVIEW OR AUDIT.—The Secretary may con18 duct such review or audit of the records of a domestic 

19 user under this subsection as determined necessary to 

20 carry out the provisions of this subsection. 

21 (5) IMPROPER USE OF ASSISTANCE.—If the Sec22 retary determines, after a review or audit of the 

23 records of the domestic user, that economic adjustment 

24 assistance under this subsection was not used for the 

25 purposes specified in paragraph (3), the domestic user 


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1 shall be liable to repay such assistance to the Sec2 retary, plus interest, as determined by the Secretary, 

3 and shall be ineligible to participate in the program 

4 established by this subsection for a period of 12 

5 months following the determination of the Secretary. 

6 SEC. 1208. SPECIAL COMPETITIVE PROVISIONS FOR EXTRA 

7 LONG STAPLE COTTON. 

8 (a) COMPETITIVENESS PROGRAM.—Notwithstanding 

9 any other provision of law, during the period beginning on 

10 the date of the enactment of this Act through July 31, 2013, 

11 the Secretary shall carry out a program— 

12 (1) to maintain and expand the domestic use of 

13 extra long staple cotton produced in the United 

14 States; 

15 (2) to increase exports of extra long staple cotton 

16 produced in the United States; and 

17 (3) to ensure that extra long staple cotton pro18 duced in the United States remains competitive in 

19 world markets. 

20 (b) PAYMENTS UNDER PROGRAM; TRIGGER.—Under 

21 the program, the Secretary shall make payments available 

22 under this section whenever— 

23 (1) for a consecutive 4-week period, the world 

24 market price for the lowest priced competing growth 

25 of extra long staple cotton (adjusted to United States 


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1 quality and location and for other factors affecting 

2 the competitiveness of such cotton), as determined by 

3 the Secretary, is below the prevailing United States 

4 price for a competing growth of extra long staple cot5 ton; and 

6 (2) the lowest priced competing growth of extra 

7 long staple cotton (adjusted to United States quality 

8 and location and for other factors affecting the com9 petitiveness of such cotton), as determined by the Sec10 retary, is less than 134 percent of the loan rate for 

11 extra long staple cotton. 

12 (c) ELIGIBLE RECIPIENTS.—The Secretary shall make 

13 payments available under this section to domestic users of 

14 extra long staple cotton produced in the United States and 

15 exporters of extra long staple cotton produced in the United 

16 States that enter into an agreement with the Commodity 

17 Credit Corporation to participate in the program under 

18 this section. 

19 (d) PAYMENT AMOUNT.—Payments under this section 

20 shall be based on the amount of the difference in the prices 

21 referred to in subsection (b)(1) during the fourth week of 

22 the consecutive 4-week period multiplied by the amount of 

23 documented purchases by domestic users and sales for ex24 port by exporters made in the week following such a con25 secutive 4-week period. 


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1 (e) FORM OF PAYMENT.—Payments under this section 

2 shall be made through the issuance of cash or marketing 

3 certificates, at the option of eligible recipients of the pay4 ments. 

5 SEC. 1209. AVAILABILITY OF RECOURSE LOANS FOR HIGH 

6 MOISTURE FEED GRAINS AND SEED COTTON. 

7 (a) HIGH MOISTURE FEED GRAINS.— 

8 (1) DEFINITION OF HIGH MOISTURE STATE.—In 

9 this subsection, the term ‘‘high moisture state’’ means 

10 corn or grain sorghum having a moisture content in 

11 excess of Commodity Credit Corporation standards 

12 for marketing assistance loans made by the Secretary 

13 under section 1201. 

14 (2) RECOURSE LOANS AVAILABLE.—For each of 

15 the 2008 through 2012 crops of corn and grain sor16 ghum, the Secretary shall make available recourse 

17 loans, as determined by the Secretary, to producers on 

18 a farm that— 

19 (A) normally harvest all or a portion of 

20 their crop of corn or grain sorghum in a high 

21 moisture state; 

22 (B) present— 

23 (i) certified scale tickets from an in24 spected, certified commercial scale, includ25 ing a licensed warehouse, feedlot, feed mill, 


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1 distillery, or other similar entity approved 

2 by the Secretary, pursuant to regulations 

3 issued by the Secretary; or 

4 (ii) field or other physical measure5 ments of the standing or stored crop in re6 gions of the United States, as determined by 

7 the Secretary, that do not have certified 

8 commercial scales from which certified scale 

9 tickets may be obtained within reasonable 

10 proximity of harvest operation; 

11 (C) certify that they were the owners of the 

12 feed grain at the time of delivery to, and that the 

13 quantity to be placed under loan under this sub14 section was in fact harvested on the farm and de15 livered to, a feedlot, feed mill, or commercial or 

16 on-farm high-moisture storage facility, or to a 

17 facility maintained by the users of corn and 

18 grain sorghum in a high moisture state; and 

19 (D) comply with deadlines established by 

20 the Secretary for harvesting the corn or grain 

21 sorghum and submit applications for loans 

22 under this subsection within deadlines estab23 lished by the Secretary. 

24 (3) ELIGIBILITY OF ACQUIRED FEED GRAINS.— 

25 A loan under this subsection shall be made on a 


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1 quantity of corn or grain sorghum of the same crop 

2 acquired by the producer equivalent to a quantity de3 termined by multiplying— 

4 (A) the acreage of the corn or grain sor5 ghum in a high moisture state harvested on the 

6 producer’s farm; by 

7 (B) the lower of the farm program payment 

8 yield used to make counter-cyclical payments 

9 under subtitle A or the actual yield on a field, 

10 as determined by the Secretary, that is similar 

11 to the field from which the corn or grain sor12 ghum was obtained. 

13 (b) RECOURSE LOANS AVAILABLE FOR SEED COT14 TON.—For each of the 2008 through 2012 crops of upland 

15 cotton and extra long staple cotton, the Secretary shall make 

16 available recourse seed cotton loans, as determined by the 

17 Secretary, on any production. 

18 (c) REPAYMENT RATES.—Repayment of a recourse 

19 loan made under this section shall be at the loan rate estab20 lished for the commodity by the Secretary, plus interest (de21 termined in accordance with section 163 of the Federal Ag22 riculture Improvement and Reform Act of 1996 (7 U.S.C. 

23 7283)). 


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1 SEC. 1210. DEADLINE FOR REPAYMENT OF MARKETING AS2 SISTANCE LOAN FOR PEANUTS. 

3 (a) JUNE 30 REDEMPTION DEADLINE.—Notwith4 standing any other provision of law, a marketing assistance 

5 loan for peanuts may not be redeemed after June 30 of the 

6 year subsequent to the year in which the peanuts were har7 vested. 

8 (b) EFFECT OF FAILURE TO REDEEM.—A marketing 

9 assistance loan for peanuts that is not redeemed before the 

10 deadline imposed by subsection (a) shall be deemed to be 

11 forfeited to the Commodity Credit Corporation. 

12 SEC. 1211. COMMODITY QUALITY INCENTIVE PAYMENTS 

13 FOR HEALTHY OILSEEDS. 

14 (a) INCENTIVE PAYMENTS REQUIRED.—Subject to the 

15 availability of funds for this purpose, the Secretary shall 

16 provide commodity quality incentive payments during the 

17 2009 through 2013 crop years for the production of oilseeds 

18 with specialized traits that enhance human health, as deter19 mined by the Secretary. 

20 (b) COVERED OILSEEDS.—The Secretary shall make 

21 payments under this section only for the production of an 

22 oilseed that has, as determined by the Secretary— 

23 (1) been demonstrated to reduce or eliminate the 

24 need to partially hydrogenate the oil derived from the 

25 oilseed for use in human consumption; and 


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1 (2) 1 or more traits for which compelling im2 pediments to commercialization have been identified. 

3 (c) REQUEST FOR PROPOSALS.— 

4 (1) ISSUANCE.—If funds are available to carry 

5 out this section for a crop year, the Secretary shall 

6 issue a request for proposals for payments under this 

7 section. 

8 (2) MULTIYEAR PROPOSALS.—An entity may 

9 submit a multiyear proposal for payments under this 

10 section. 

11 (3) CONTENT OF PROPOSALS.—A proposal for 

12 payments under this section shall include a descrip13 tion of— 

14 (A) each trait of the oilseed described in 

15 subsection (b)(2) and the value of the trait as a 

16 matter of public policy; 

17 (B) the projected market size and value of 

18 the trait; 

19 (C) the projected impact of the proposal 

20 on— 

21 (i) the future price of loan commod22 ities; and 

23 (ii) if appropriate, on Federal Govern24 ment farm program outlays to support loan 

25 commodities; 


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1 (D) a range for the amount of total per 

2 bushel premiums to be paid to producers; 

3 (E) a per bushel amount of incentive pay4 ments requested for each year under this section 

5 that— 

(i) does not exceed 1 6 ⁄3 of the total pre7 mium offered for any year; and 

8 (ii) declines over time; 

9 (F) the period of time, of not to exceed 4 

10 years, during which incentive payments are to be 

11 provided to producers; and 

12 (G) the targeted total quantity of produc13 tion and estimated acres needed to produce the 

14 targeted quantity for each year under this sec15 tion. 

16 (d) CONTRACTS FOR PRODUCTION.— 

17 (1) IN GENERAL.—The Secretary shall approve 

18 successful proposals submitted under subsection (c) on 

19 a timely basis so as to allow successful applicants to 

20 offer production contracts to producers beginning in 

21 advance of the spring planting season for the 2009 

22 crop year. 

23 (2) MULTIYEAR CONTRACTS.—A successful appli24 cant may enter into a multiyear contract with— 

25 (A) a specific group of producers; or 


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1 (B) various groups of producers. 

2 (3) TIMING OF PAYMENTS.—The Secretary shall 

3 make payments under this section after the Secretary 

4 receives documentation that the total premium offered 

5 for crops produced under a contract (including the 

6 amount of incentive payments) has been made to cov7 ered producers. 

8 (e) ADMINISTRATION.—If funding provided for a crop 

9 year is not fully allocated under the initial request for pro10 posals under subsection (c), the Secretary shall issue addi11 tional requests for proposals for subsequent years under this 

12 section. 

13 (f) AUTHORIZATION OF APPROPRIATIONS.—There are 

14 authorized to be appropriated such sums as are necessary 

15 to carry out this section for each of fiscal years 2009 

16 through 2013. 

17 Subtitle C—Sugar 

18 SEC. 1301. SUGAR PROGRAM. 

19 (a) IN GENERAL.—Section 156 of the Federal Agri20 culture Improvement and Reform Act of 1996 (7 U.S.C. 

21 7272) is amended to read as follows: 

22 ‘‘SEC. 156. SUGAR PROGRAM. 

23 ‘‘(a) SUGARCANE.—The Secretary shall make loans for 

24 raw cane sugar available to processors of domestically 


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1 grown sugarcane at a rate equal to 18.5 cents per pound 

2 for each of the 2008 through 2012 crop years. 

3 ‘‘(b) SUGAR BEETS.—The Secretary shall make loans 

4 for refined beet sugar available to processors of domestically 

5 grown sugar beets at a rate equal to 23.5 cents per pound 

6 for each of the 2008 through 2012 crop years. 

7 ‘‘(c) TERM OF LOANS.— 

8 ‘‘(1) IN GENERAL.—A loan under this section 

9 during any fiscal year shall be made available not 

10 earlier than the beginning of the fiscal year and shall 

11 mature at the earlier of— 

12 ‘‘(A) the end of the 9-month period begin13 ning on the first day of the first month after the 

14 month in which the loan is made; or 

15 ‘‘(B) the end of the fiscal year in which the 

16 loan is made. 

17 ‘‘(2) SUPPLEMENTAL LOANS.—In the case of a 

18 loan made under this section in the last 3 months of 

19 a fiscal year, the processor may repledge the sugar as 

20 collateral for a second loan in the subsequent fiscal 

21 year, except that the second loan shall— 

22 ‘‘(A) be made at the loan rate in effect at 

23 the time the first loan was made; and 

24 ‘‘(B) mature in 9 months less the quantity 

25 of time that the first loan was in effect. 


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1 ‘‘(d) LOAN TYPE; PROCESSOR ASSURANCES.— 

2 ‘‘(1) NONRECOURSE LOANS.—The Secretary shall 

3 carry out this section through the use of nonrecourse 

4 loans. 

5 ‘‘(2) PROCESSOR ASSURANCES.— 

6 ‘‘(A) IN GENERAL.—The Secretary shall ob7 tain from each processor that receives a loan 

8 under this section such assurances as the Sec9 retary considers adequate to ensure that the 

10 processor will provide payments to producers 

11 that are proportional to the value of the loan re12 ceived by the processor for the sugar beets and 

13 sugarcane delivered by producers to the proc14 essor. 

15 ‘‘(B) MINIMUM PAYMENTS.— 

16 ‘‘(i) IN GENERAL.—Subject to clause 

17 (ii), the Secretary may establish appro18 priate minimum payments for purposes of 

19 this paragraph. 

20 ‘‘(ii) LIMITATION.—In the case of 

21 sugar beets, the minimum payment estab22 lished under clause (i) shall not exceed the 

23 rate of payment provided for under the ap24 plicable contract between a sugar beet pro25 ducer and a sugar beet processor. 


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1 ‘‘(3) ADMINISTRATION.—The Secretary may not 

2 impose or enforce any prenotification requirement, or 

3 similar administrative requirement not otherwise in 

4 effect on May 13, 2002, that has the effect of pre5 venting a processor from electing to forfeit the loan 

6 collateral (of an acceptable grade and quality) on the 

7 maturity of the loan. 

8 ‘‘(e) LOANS FOR IN-PROCESS SUGAR.— 

9 ‘‘(1) DEFINITION OF IN-PROCESS SUGARS AND

10 SYRUPS.—In this subsection, the term ‘in-process sug11 ars and syrups’ does not include raw sugar, liquid 

12 sugar, invert sugar, invert syrup, or other finished 

13 product that is otherwise eligible for a loan under 

14 subsection (a) or (b). 

15 ‘‘(2) AVAILABILITY.—The Secretary shall make 

16 nonrecourse loans available to processors of a crop of 

17 domestically grown sugarcane and sugar beets for in18 process sugars and syrups derived from the crop. 

19 ‘‘(3) LOAN RATE.—The loan rate shall be equal 

20 to 80 percent of the loan rate applicable to raw cane 

21 sugar or refined beet sugar, as determined by the Sec22 retary on the basis of the source material for the in23 process sugars and syrups. 

24 ‘‘(4) FURTHER PROCESSING ON FORFEITURE.— 


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1 ‘‘(A) IN GENERAL.—As a condition of the 

2 forfeiture of in-process sugars and syrups serving 

3 as collateral for a loan under paragraph (2), the 

4 processor shall, within such reasonable time pe5 riod as the Secretary may prescribe and at no 

6 cost to the Commodity Credit Corporation, con7 vert the in-process sugars and syrups into raw 

8 cane sugar or refined beet sugar of acceptable 

9 grade and quality for sugars eligible for loans 

10 under subsection (a) or (b). 

11 ‘‘(B) TRANSFER TO CORPORATION.—Once 

12 the in-process sugars and syrups are fully proc13 essed into raw cane sugar or refined beet sugar, 

14 the processor shall transfer the sugar to the Com15 modity Credit Corporation. 

16 ‘‘(C) PAYMENT TO PROCESSOR.—On trans17 fer of the sugar, the Secretary shall make a pay18 ment to the processor in an amount equal to the 

19 amount obtained by multiplying— 

20 ‘‘(i) the difference between— 

21 ‘‘(I) the loan rate for raw cane 

22 sugar or refined beet sugar, as appro23 priate; and 

24 ‘‘(II) the loan rate the processor 

25 received under paragraph (3); by 


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1 ‘‘(ii) the quantity of sugar transferred 

2 to the Secretary. 

3 ‘‘(5) LOAN CONVERSION.—If the processor does 

4 not forfeit the collateral as described in paragraph 

5 (4), but instead further processes the in-process sugars 

6 and syrups into raw cane sugar or refined beet sugar 

7 and repays the loan on the in-process sugars and syr8 ups, the processor may obtain a loan under subsection 

9 (a) or (b) for the raw cane sugar or refined beet 

10 sugar, as appropriate. 

11 ‘‘(6) TERM OF LOAN.—The term of a loan made 

12 under this subsection for a quantity of in-process sug13 ars and syrups, when combined with the term of a 

14 loan made with respect to the raw cane sugar or re15 fined beet sugar derived from the in-process sugars 

16 and syrups, may not exceed 9 months, consistent with 

17 subsection (c). 

18 ‘‘(f) AVOIDING FORFEITURES; CORPORATION INVEN19 TORY DISPOSITION.— 

20 ‘‘(1) IN GENERAL.—Subject to subsection (d)(3), 

21 to the maximum extent practicable, the Secretary 

22 shall operate the program established under this sec23 tion at no cost to the Federal Government by avoid24 ing the forfeiture of sugar to the Commodity Credit 

25 Corporation. 


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1 ‘‘(2) INVENTORY DISPOSITION.— 

2 ‘‘(A) IN GENERAL.—To carry out para3 graph (1), the Commodity Credit Corporation 

4 may accept bids to obtain raw cane sugar or re5 fined beet sugar in the inventory of the Com6 modity Credit Corporation from (or otherwise 

7 make available such commodities, on appro8 priate terms and conditions, to) processors of 

9 sugarcane and processors of sugar beets (acting 

10 in conjunction with the producers of the sugar11 cane or sugar beets processed by the processors) 

12 in return for the reduction of production of raw 

13 cane sugar or refined beet sugar, as appropriate. 

14 ‘‘(B) BIOENERGY FEEDSTOCK.—If a reduc15 tion in the quantity of production accepted 

16 under subparagraph (A) involves sugar beets or 

17 sugarcane that has already been planted, the 

18 sugar beets or sugarcane so planted may not be 

19 used for any commercial purpose other than as 

20 a bioenergy feedstock. 

21 ‘‘(C) ADDITIONAL AUTHORITY.—The author22 ity provided under this paragraph is in addition 

23 to any authority of the Commodity Credit Cor24 poration under any other law. 

25 ‘‘(g) INFORMATION REPORTING.— 


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1 ‘‘(1) DUTY OF PROCESSORS AND REFINERS TO

2 REPORT.—A sugarcane processor, cane sugar refiner, 

3 and sugar beet processor shall furnish the Secretary, 

4 on a monthly basis, such information as the Secretary 

5 may require to administer sugar programs, including 

6 the quantity of purchases of sugarcane, sugar beets, 

7 and sugar, and production, importation, distribution, 

8 and stock levels of sugar. 

9 ‘‘(2) DUTY OF PRODUCERS TO REPORT.— 

10 ‘‘(A) PROPORTIONATE SHARE STATES.—As 

11 a condition of a loan made to a processor for the 

12 benefit of a producer, the Secretary shall require 

13 each producer of sugarcane located in a State 

14 (other than the Commonwealth of Puerto Rico) 

15 in which there are in excess of 250 producers of 

16 sugarcane to report, in the manner prescribed by 

17 the Secretary, the sugarcane yields and acres 

18 planted to sugarcane of the producer. 

19 ‘‘(B) OTHER STATES.—The Secretary may 

20 require each producer of sugarcane or sugar beets 

21 not covered by subparagraph (A) to report, in a 

22 manner prescribed by the Secretary, the yields 

23 of, and acres planted to, sugarcane or sugar 

24 beets, respectively, of the producer. 

25 ‘‘(3) DUTY OF IMPORTERS TO REPORT.— 


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1 ‘‘(A) IN GENERAL.—Except as provided in 

2 subparagraph (B), the Secretary shall require an 

3 importer of sugars, syrups, or molasses to be 

4 used for human consumption or to be used for 

5 the extraction of sugar for human consumption 

6 to report, in the manner prescribed by the Sec7 retary, the quantities of the products imported 

8 by the importer and the sugar content or equiva9 lent of the products. 

10 ‘‘(B) TARIFF-RATE QUOTAS.—Subpara11 graph (A) shall not apply to sugars, syrups, or 

12 molasses that are within the quantities of tariff13 rate quotas that are subject to the lower rate of 

14 duties. 

15 ‘‘(4) COLLECTION OF INFORMATION ON MEX16 ICO.— 

17 ‘‘(A) COLLECTION.—The Secretary shall col18 lect— 

19 ‘‘(i) information on the production, 

20 consumption, stocks and trade of sugar in 

21 Mexico, including United States exports of 

22 sugar to Mexico; and 

23 ‘‘(ii) publicly available information on 

24 Mexican production, consumption, and 

25 trade of high fructose corn syrups, including 


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1 United States exports of high fructose corn 

2 syrups to Mexico. 

3 ‘‘(B) PUBLICATION.—The data collected 

4 under subparagraph (A) shall be published in 

5 each edition of the World Agricultural Supply 

6 and Demand Estimates. 

7 ‘‘(5) PENALTY.—Any person willfully failing or 

8 refusing to furnish the information required to be re9 ported by paragraph (1), (2), or (3), or furnishing 

10 willfully false information, shall be subject to a civil 

11 penalty of not more than $10,000 for each such viola12 tion. 

13 ‘‘(6) MONTHLY REPORTS.—Taking into consider14 ation the information received under this subsection, 

15 the Secretary shall publish on a monthly basis com16 posite data on production, imports, distribution, and 

17 stock levels of sugar. 

18 ‘‘(h) SUBSTITUTION OF REFINED SUGAR.—For pur19 poses of Additional U.S. Note 6 to chapter 17 of the Har20 monized Tariff Schedule of the United States and the reex21 port programs and polyhydric alcohol program adminis22 tered by the Secretary, all refined sugars (whether derived 

23 from sugar beets or sugarcane) produced by cane sugar re24 fineries and beet sugar processors shall be fully substitutable 


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1 for the export of sugar and sugar-containing products under 

2 those programs. 

3 ‘‘(i) EFFECTIVE PERIOD.—This section shall be effec4 tive only for the 2008 through 2012 crops of sugar beets 

5 and sugarcane.’’. 

6 (b) TRANSITION.—The Secretary of Agriculture shall 

7 make loans for raw cane sugar and refined beet sugar avail8 able for the 2007 crop year on the terms and conditions 

9 provided in section 156 of the Federal Agriculture Improve10 ment and Reform Act of 1996 (7 U.S.C. 7272), as in effect 

11 on the day before the date of the enactment of this Act. 

12 SEC. 1302. UNITED STATES MEMBERSHIP IN THE INTER13 NATIONAL SUGAR ORGANIZATION. 

14 The Secretary of Agriculture shall work with the Sec15 retary of State to restore United States membership in the 

16 International Sugar Organization within one year after the 

17 date of enactment of this Act. 

18 SEC. 1303. FLEXIBLE MARKETING ALLOTMENTS FOR SUGAR. 

19 (a) DEFINITION OF HUMAN CONSUMPTION.—Section 

20 359a of the Agricultural Adjustment Act of 1938 (7 U.S.C. 

21 1359aa) is amended— 

22 (1) by redesignating paragraphs (1) through (4) 

23 as paragraphs (2) through (5), respectively; and 

24 (2) by inserting before paragraph (2), as so re25 designated, the following new paragraph (1): 


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1 ‘‘(1) HUMAN CONSUMPTION.—The term ‘human 

2 consumption’, when used in the context of a reference 

3 to sugar (whether in the form of sugar, in-process 

4 sugar, syrup, molasses, or in some other form) for 

5 human consumption, includes sugar for use in human 

6 food, beverages, or similar products.’’. 

7 (b) SUGAR ALLOTMENTS.—Section 359b of the Agri8 cultural Adjustment Act of 1938 (7 U.S.C. 1359bb) is 

9 amended to read as follows: 

10 ‘‘SEC. 359b. FLEXIBLE MARKETING ALLOTMENTS FOR 

11 SUGAR. 

12 ‘‘(a) SUGAR ESTIMATES.— 

13 ‘‘(1) IN GENERAL.—Not later than August 1 be14 fore the beginning of each of the 2008 through 2012 

15 crop years for sugarcane and sugar beets, the Sec16 retary shall estimate— 

17 ‘‘(A) the quantity of sugar that will be sub18 ject to human consumption in the United States 

19 during the crop year; 

20 ‘‘(B) the quantity of sugar that would pro21 vide for reasonable carryover stocks; 

22 ‘‘(C) the quantity of sugar that will be 

23 available from carry-in stocks for human con24 sumption in the United States during the crop 

25 year; 


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1 ‘‘(D) the quantity of sugar that will be 

2 available from the domestic processing of sugar3 cane, sugar beets, and in-process beet sugar; and 

4 ‘‘(E) the quantity of sugars, syrups, and 

5 molasses that will be imported for human con6 sumption or to be used for the extraction of 

7 sugar for human consumption in the United 

8 States during the crop year, whether such arti9 cles are under a tariff-rate quota or are in excess 

10 or outside of a tariff-rate quota. 

11 ‘‘(2) EXCLUSION.—The estimates under this sub12 section shall not apply to sugar imported for the pro13 duction of polyhydric alcohol or to any sugar refined 

14 and reexported in refined form or in products con15 taining sugar. 

16 ‘‘(3) REESTIMATES.—The Secretary shall make 

17 reestimates of sugar consumption, stocks, production, 

18 and imports for a crop year as necessary, but no later 

19 than the beginning of each of the second through 

20 fourth quarters of the crop year. 

21 ‘‘(b) SUGAR ALLOTMENTS.— 

22 ‘‘(1) ESTABLISHMENT.—By the beginning of 

23 each crop year, the Secretary shall establish for that 

24 crop year appropriate allotments under section 359c 

25 for the marketing by processors of sugar processed 


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1 from sugar cane or sugar beets or in-process beet 

2 sugar (whether such sugar beets or in-process beet 

3 sugar was produced domestically or imported) at a 

4 level sufficient to maintain raw and refined sugar 

5 prices above forfeiture levels so that there will be no 

6 forfeitures of sugar to the Commodity Credit Corpora7 tion under the loan program for sugar established 

8 under section 156 of the Federal Agriculture Improve9 ment and Reform Act of 1996 (7 U.S.C. 7272). 

10 ‘‘(2) MINIMUM.—The level of allotments estab11 lished under paragraph (1) may not be less than 85 

12 percent of the estimated quantity of sugar for domes13 tic human consumption for the crop year. 

14 ‘‘(3) PRODUCTS.—The Secretary may include 

15 sugar products, whose majority content is sucrose, in 

16 the allotments established under paragraph (1) if the 

17 Secretary determines that the inclusion of such sugar 

18 products is appropriate for controlling the supply of 

19 sugar for human consumption. 

20 ‘‘(c) COVERAGE OF ALLOTMENTS.— 

21 ‘‘(1) IN GENERAL.—The marketing allotments 

22 provided for in this part shall apply to the marketing 

23 by processors of sugar intended for domestic human 

24 consumption that has been processed from sugar cane 

25 or sugar beets or in-process beet sugar (whether such 


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1 sugar beets or in-process beet sugar was produced do2 mestically or imported). 

3 ‘‘(2) EXCEPTIONS.—Consistent with the adminis4 tration of marketing allotments during crop years 

5 2002 through 2007, the marketing allotments shall not 

6 apply to sugar sold— 

7 ‘‘(A) to facilitate the exportation of such 

8 sugar to a foreign country, except that such ex9 ports of sugar shall not be eligible to receive cred10 its under re-export programs for refined sugar or 

11 sugar containing products administered by the 

12 Secretary; 

13 ‘‘(B) to enable another processor to fulfill an 

14 allocation established for such other processor, ex15 cept that such sales must be made before May 1 

16 and must be reported to the Secretary; or 

17 ‘‘(C) for uses other than domestic human 

18 consumption. 

19 ‘‘(d) PROHIBITIONS.— 

20 ‘‘(1) IN GENERAL.—During any crop year or 

21 portion thereof for which marketing allotments have 

22 been established, no processor of sugar beets or sugar23 cane shall market for domestic human consumption a 

24 quantity of sugar in excess of the allocation estab25 lished for such processor, except to enable another 


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1 processor to fulfill an allocation established for such 

2 other processor or to facilitate the exportation of such 

3 sugar. 

4 ‘‘(2) CIVIL PENALTY.—Any processor who know5 ingly violates paragraph (1) shall be liable to the 

6 Commodity Credit Corporation for a civil penalty in 

7 an amount equal to 3 times the United States market 

8 value, at the time of the commission of the violation, 

9 of that quantity of sugar involved in the violation. 

10 ‘‘(3) DEFINITION OF MARKET.—For purposes of 

11 this part, the term ‘market’ shall mean to sell or oth12 erwise dispose of in commerce in the United States, 

13 including— 

14 ‘‘(A) the forfeiture of sugar under the loan 

15 program for sugar under section 156 of the Fed16 eral Agriculture Improvement and Reform Act of 

17 1996 (7 U.S.C. 7272) and such forfeited sugar 

18 shall be deemed to have been marketed during the 

19 crop year in which the loan was made; 

20 ‘‘(B) with respect to any integrated proc21 essor and refiner, the movement of raw cane 

22 sugar into the refining process; and 

23 ‘‘(C) the sale of sugar for the production of 

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1 ment under the feedstock flexibility program for 

2 bioenergy producers.’’. 

3 (c) ESTABLISHMENT.—Section 359c of the Agricul4 tural Adjustment Act of 1938 (7 U.S.C. 1359cc) is amend5 ed— 

6 (1) by striking subsection (b) and inserting the 

7 following new subsection: 

8 ‘‘(b) OVERALL ALLOTMENT QUANTITY.— 

9 ‘‘(1) IN GENERAL.—The Secretary shall establish 

10 the overall quantity of sugar to be allotted for the 

11 crop year (in this part referred to as the ‘overall al12 lotment quantity’) at a level sufficient to maintain 

13 raw and refined sugar prices above forfeiture levels to 

14 avoid the forfeiture of sugar to the Commodity Credit 

15 Corporation. 

16 ‘‘(2) MINIMUM.—The overall allotment quantity 

17 established under paragraph (1) may not be less than 

18 85 percent of the estimated quantity of sugar for do19 mestic human consumption for the crop year. 

20 ‘‘(3) ADJUSTMENT.—Subject to paragraphs (1) 

21 and (2), the Secretary shall adjust the overall allot22 ment quantity— 

23 ‘‘(A) to maintain raw and refined sugar 

24 prices above forfeiture levels to avoid the forVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00090 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 feiture of sugar to the Commodity Credit Cor2 poration; and 

3 ‘‘(B) to maintain adequate supplies of raw 

4 and refined sugar in the domestic market.’’; 

5 (2) in subsection (d)(2), by inserting before the 

6 period the following: ‘‘or in-process beet sugar’’; 

7 (3) in subsection (g)(1), by inserting at the end 

8 the following new sentence: ‘‘However, the overall al9 lotment quantity may not be reduced to a quantity 

10 less than 85 percent of the estimated quantity of 

11 sugar for domestic human consumption for the crop 

12 year.’’; and 

13 (4) by striking subsection (h). 

14 (d) ALLOCATION OF MARKETING ALLOTMENTS.—Sec15 tion 359d(b) of the Agricultural Adjustment Act of 1938 (7 

16 U.S.C. 1359dd(b)) is amended— 

17 (1) in paragraph (1)(F), by striking ‘‘Except as 

18 otherwise provided in section 359f(c)(8), if’’ and in19 serting ‘‘If’’; and 

20 (2) in paragraph (2), by striking subparagraphs 

21 (H) and (I) and inserting the following new subpara22 graph: 

23 ‘‘(H) NEW ENTRANTS STARTING PRODUC24 TION, REOPENING, OR ACQUIRING AN EXISTING

25 FACTORY WITH PRODUCTION HISTORY.— 


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1 ‘‘(i) ALLOCATION FOR A NEW ENTRANT

2 THAT HAS CONSTRUCTED A NEW FACTORY

3 OR REOPENED A FACTORY THAT WAS NOT

4 OPERATING SINCE BEFORE 1998.—If a New 

5 Entrant constructs a new sugar beet proc6 essing factory, or acquires and reopens a 

7 sugar beet processing factory that last proc8 essed sugar beets prior to the 1998 crop 

9 year and there is no allocation currently as10 sociated with the factory, the Secretary 

11 shall— 

12 ‘‘(I) assign an allocation for beet 

13 sugar to the New Entrant that pro14 vides a fair and equitable distribution 

15 of the allocations for beet sugar in 

16 order to enable the New Entrant to 

17 achieve a factory utilization rate com18 parable to the factory utilization rates 

19 of other similarly situated processors; 

20 and 

21 ‘‘(II) reduce the allocations for 

22 beet sugar of all other processors on a 

23 pro rata basis to reflect the allocation 

24 to the New Entrant. 


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1 ‘‘(ii) ALLOCATION FOR A NEW ENTRANT

2 THAT HAS ACQUIRED AN EXISTING FACTORY

3 WITH A PRODUCTION HISTORY.—If a New 

4 Entrant acquires an existing factory that 

5 has processed sugar beets from the 1998 or 

6 later crop years and has a production his7 tory, then, upon the mutual agreement of 

8 the New Entrant and the company cur9 rently holding the allocation associated with 

10 the factory, the Secretary shall transfer to 

11 the New Entrant a portion of allocation of 

12 the current allocation holder to reflect the 

13 historical contribution of the production of 

14 the acquired factory to the total allocation 

15 of the current allocation holder. In the ab16 sence of mutual agreement, the new entrant 

17 shall be ineligible for a beet sugar alloca18 tion. 

19 ‘‘(iii) APPEALS.—Any decision made 

20 under this subsection may be appealed to 

21 the Secretary pursuant to section 359i. 

22 ‘‘(iv) DEFINITION.—In this subpara23 graph, the term ‘New Entrant’ means an 

24 individual, corporation, or other entity that 

25 does not have an allocation of the beet sugar 


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1 allotment under this part, is not affiliated 

2 with any other individual, corporation, or 

3 entity that has an allocation of beet sugar 

4 under this part (known as a ‘third party’), 

5 and will process sugar beets produced by 

6 sugar beet growers under contract with the 

7 New Entrant for the production of sugar at 

8 the new or re-opened factory that is the 

9 basis for the New Entrant allocation. 

10 ‘‘(v) AFFILIATION.—For purposes of 

11 this subparagraph, a New Entrant and a 

12 third party shall be deemed to be ‘affiliated’ 

13 if— 

14 ‘‘(I) the third party has an own15 ership interest in the New Entrant; 

16 ‘‘(II) the New Entrant and the 

17 third party have owners in common; 

18 ‘‘(III) the third party has the 

19 ability to exercise control over the New 

20 Entrant by organizational rights, con21 tractual rights, or any other means; 

22 ‘‘(IV) the third party has a con23 tractual relationship with the New En24 trant by which the New Entrant will 


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1 make use of the facilities or assets of 

2 such third party; or 

3 ‘‘(V) any other similar cir4 cumstance exists by which the Sec5 retary determines that the New En6 trant and the third party are affili7 ated.’’. 

8 (e) REASSIGNMENT OF DEFICITS.—Section 359e(b) of 

9 the Agricultural Adjustment Act of 1938 (7 U.S.C. 

10 1359ee(b)) is amended in both paragraphs (1)(D) and 

11 (2)(C) by inserting ‘‘of raw cane sugar’’ after ‘‘imports’’. 

12 (f) PROVISIONS APPLICABLE TO PRODUCERS.—Section 

13 359f(c) of the Agricultural Adjustment Act of 1938 (7 

14 U.S.C. 1359ff(c)) is amended— 

15 (1) in paragraph (2), by striking ‘‘quantity of 

16 sugarcane’’ and inserting ‘‘quantity of sugar pro17 duced from sugarcane’’; 

18 (2) in paragraph (5)(C), by inserting ‘‘for 

19 sugar’’ before ‘‘in excess of the farm’s proportionate 

20 share’’; 

21 (3) in paragraph (7), by striking ‘‘amount of 

22 sugarcane’’ and inserting ‘‘amount of sugar from sug23 arcane’’; and 

24 (4) by striking paragraph (8) and inserting the 

25 following new paragraph: 


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1 ‘‘(8) SEED DEFINITION.—In this subsection, the 

2 term ‘seed’ includes only varieties of seed dedicated to 

3 the production of sugarcane from which is produced 

4 sugar for human consumption, and excludes seed of 

5 high-fiber cane varieties dedicated to other uses, as de6 termined by the Secretary.’’. 

7 (g) SPECIAL RULES.—Section 359g of the Agricultural 

8 Adjustment Act of 1938 (7 U.S.C. 1359gg) is amended— 

9 (1) by striking subsection (a) and inserting the 

10 following new subsection: 

11 ‘‘(a) TRANSFER OF ACREAGE BASE HISTORY.— 

12 ‘‘(1) TRANSFER AUTHORIZED.—For the purpose 

13 of establishing proportionate shares for sugarcane 

14 farms under section 359f(c), the Secretary, on appli15 cation of any producer, with the written consent of all 

16 owners of a farm, may transfer the acreage base his17 tory of the farm to any other parcels of land of the 

18 applicant. 

19 ‘‘(2) CONVERTED ACREAGE BASE.— 

20 ‘‘(A) IN GENERAL.—Sugarcane base acreage 

21 established under section 359f(c) that has been or 

22 is converted to non-agricultural use on or after 

23 May 13, 2002, may be transferred to other land 

24 suitable for the production of sugarcane that can 


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1 be delivered to a processor in a proportionate 

2 share State in accordance with this paragraph. 

3 ‘‘(B) NOTIFICATION.—Not later than 90 

4 days after the date of the enactment of the Farm, 

5 Nutrition, and Bioenergy Act of 2007, or the 

6 subsequent conversion of sugarcane base acreage 

7 to a non-agricultural use, the Secretary, acting 

8 through the Farm Service Agency, shall notify 

9 the affected landowner (or landowners) of the 

10 transferability of the applicable sugarcane base 

11 acreage. 

12 ‘‘(C) INITIAL TRANSFER PERIOD.—The 

13 owner of the base attributable to the acreage at 

14 the time of the conversion shall be afforded 90 

15 days from the date of the receipt of the notifica16 tion under subparagraph (B) to transfer the base 

17 to one or more farms owned by the owner. 

18 ‘‘(D) GROWER OF RECORD.—If the transfer 

19 under subparagraph (C) cannot be accomplished 

20 within the time period prescribed in such sub21 paragraph, then the grower of record with regard 

22 to the base acreage on the date on which the 

23 acreage was converted to non-agricultural use 

24 shall be so notified, and shall be afforded 90 days 

25 from the date of the receipt of such notification 


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1 to transfer the base to one or more farms oper2 ated by the grower. 

3 ‘‘(E) POOL DISTRIBUTION.—If the transfers 

4 under subparagraphs (B) and (C) cannot be ac5 complished within the time periods prescribed 

6 therein, then the county committee for the appli7 cable parish shall place the acreage base in a 

8 pool for possible assignment to other farms. After 

9 providing reasonable notice to farm owners, op10 erators, and growers of record in the parish, the 

11 county committee shall accept requests from own12 ers, operators, and growers of record in the par13 ish. The county committee shall assign the base 

14 to other farms in the parish that are eligible and 

15 capable of accepting such base, based on a ran16 dom drawing from among the requests received 

17 from owners, operators, and growers of record 

18 with eligible farms. 

19 ‘‘(F) STATEWIDE REALLOCATION.—Any 

20 base remaining unassigned after the processes in 

21 subparagraphs (A) through (E) shall be made 

22 available to the State committee for allocation 

23 among the remaining county committees in the 

24 State representing parishes with farms eligible 

25 for assignment of the base. The remaining base 


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1 shall be reallocated to requesting county commit2 tees based on a random drawing. Any county 

3 committee receiving base under this subpara4 graph shall allocate the base to eligible farms 

5 using the process described in subparagraph (E). 

6 ‘‘(G) STATUS OF REASSIGNED BASE.—Once 

7 reassigned pursuant to this paragraph, the acre8 age base shall remain on the farm, and will be 

9 subject to the transfer provisions of paragraph 

10 (1).’’; 

11 (2) by striking subsection (d) and inserting the 

12 following new subsection: 

13 ‘‘(d) TRANSFERS OF MILL ALLOCATIONS.— 

14 ‘‘(1) TRANSFER AUTHORIZED.—A producer in a 

15 proportionate share State, upon written consent from 

16 all affected crop-share owners (or the representative of 

17 the crop-share owners) of a farm may deliver sugar18 cane to another processing company if the additional 

19 delivery, when combined with such other processing 

20 company’s existing deliveries, does not exceed the 

21 processing capacity of the company. 

22 ‘‘(2) ALLOCATION ADJUSTMENT.—Notwith23 standing section 359d, the Secretary shall adjust the 

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1 fected by a transfer under paragraph (1) to reflect the 

2 change in deliveries, based on— 

3 ‘‘(A) the number of acres of sugarcane base 

4 being transferred; and 

5 ‘‘(B) the pro-rata amount of allocation at 

6 the processing company holding the applicable 

7 allocation that equals the grower’s contribution 

8 to the processing company’s allocation for the 

9 sugarcane base acres being transferred.’’. 

10 (h) APPEALS.—Section 359i of the Agricultural Ad11 justment Act of 1938 (7 U.S.C. 1359ii) is amended— 

12 (1) in subsection (a), by inserting ‘‘or 359g(d)’’ 

13 after ‘‘359f’’; and 

14 (2) by striking subsection (c). 

15 (i) ADMINISTRATION OF TARIFF RATE QUOTAS.—The 

16 Agricultural Adjustment Act of 1938 is amended by striking 

17 section 359k (7 U.S.C. 1359kk) and inserting the following 

18 new section: 

19 ‘‘SEC. 359k. ADMINISTRATION OF TARIFF RATE QUOTAS. 

20 ‘‘(a) ESTABLISHMENT.—Notwithstanding any other 

21 provision of law, at the beginning of the quota year, the 

22 Secretary shall establish the tariff-rate quotas for raw cane 

23 sugar and refined sugars at the minimum necessary to com24 ply with obligations under international trade agreements 


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1 that have been approved by the Congress. This subsection 

2 shall not apply to specialty sugar. 

3 ‘‘(b) ADJUSTMENT.— 

4 ‘‘(1) BEFORE APRIL 1.— 

5 ‘‘(A) INITIAL ADJUSTMENT REQUIRED.—Be6 fore April 1 of a fiscal year, in the event that 

7 there is an emergency shortage of sugar in the 

8 United States market that is caused by war, 

9 floods, hurricanes, or other natural disaster, or 

10 other similar event, the Secretary shall take ac11 tion to increase supply as provided under sec12 tions 359c(b)(2) and 359e(b), including an in13 crease in the tariff-rate quota for raw cane sugar 

14 to accommodate the reassignment to imports. 

15 ‘‘(B) ADDITIONAL ADJUSTMENT.—If, after 

16 adjustment under subparagraph (A), there is 

17 still a shortage of sugar in the United States 

18 market, and marketings of domestic sugar have 

19 been maximized, the Secretary may increase the 

20 tariff-rate quota for refined sugars sufficient to 

21 accommodate the supply increase, if such further 

22 increase will not threaten to result in the for23 feiture of sugar pledged as collateral for a loan 

24 under section 156 of the Federal Agriculture ImVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00101 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 provement and Reform Act of 1996 (7 U.S.C. 

2 7272). 

3 ‘‘(2) ON OR AFTER APRIL 1.— 

4 ‘‘(A) INITIAL ADJUSTMENT AUTHORIZED.— 

5 On or after April 1 of a fiscal year, the Sec6 retary may take action to increase supply as 

7 provided under sections 359c(b)(2) and 359e(b), 

8 including an increase in the tariff-rate quota for 

9 raw cane sugar to accommodate the reassign10 ment to imports. 

11 ‘‘(B) ADDITIONAL ADJUSTMENT.—If, after 

12 adjustment under subparagraph (A), there is 

13 still a shortage of sugar in the United States 

14 market, and marketings of domestic sugar have 

15 been maximized, the Secretary may increase the 

16 tariff-rate quota for raw cane sugar if such fur17 ther increase will not threaten to result in the 

18 forfeiture of sugar pledged as collateral for a 

19 loan under section 156 of the Federal Agriculture 

20 Improvement and Reform Act of 1996 (7 U.S.C. 

21 7272). 

22 ‘‘(c) ORDERLY SHIPPING PATTERNS FOR MAJOR SUP23 PLIERS.— 

24 ‘‘(1) IN GENERAL.—The Secretary of Agriculture 

25 shall establish orderly shipping patterns for major 


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1 suppliers of sugar to the United States under the tar2 iff rate quotas in accordance with this subsection. 

3 ‘‘(2) VERY LARGE MAJOR SUPPLIERS.—If a 

4 country holds quota allocations of at least 100,000 

5 metric tons of sugar, the Secretary shall allow the 

6 country to export up to 25 percent of the country’s 

7 quota allocation to the United States in each calendar 

8 quarter. Sugar permitted to enter into the United 

9 States in a calendar quarter, but not actually entered 

10 in that quarter, may be entered into the United 

11 States at any time during the remainder of the fiscal 

12 year. 

13 ‘‘(3) LARGE MAJOR SUPPLIERS.—For countries 

14 holding quota allocations of more than 45,000 metric 

15 tons of sugar, but less than 100,000 metric tons of 

16 sugar, the Secretary shall require that the country 

17 may ship not more than 50 percent of the country’s 

18 quota sugar to the United States in the first six 

19 months of the year.’’. 

20 (j) EFFECTIVE DATE.—The Agricultural Adjustment 

21 Act of 1938 is amended by inserting after section 359k (7 

22 U.S.C. 1359kk) the following new section: 

23 ‘‘SEC. 359l. EFFECTIVE PERIOD. 

24 ‘‘This part shall be effective only for the 2008 through 

25 2012 crop years for sugar.’’. 


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1 (k) TRANSITION.—The Secretary of Agriculture shall 

2 administer flexible marketing allotments for sugar for the 

3 2007 crop year for sugar on the terms and conditions pro4 vided in part VII of title III of the Agricultural Adjustment 

5 Act of 1938, as in effect on the day before the date of the 

6 enactment of this Act. 

7 Subtitle D—Dairy-Related 

8 Provisions 

9 SEC. 1401. DAIRY PRODUCT PRICE SUPPORT PROGRAM. 

10 (a) SUPPORT ACTIVITIES.—During the period begin11 ning on January 1, 2008, through December 31, 2012, the 

12 Secretary of Agriculture shall support the price of cheddar 

13 cheese, butter, and nonfat dry milk through the purchase 

14 of such products made from milk produced in the United 

15 States. 

16 (b) PURCHASE PRICE.—To carry out subsection (a) 

17 during the period specified in such subsection, the Secretary 

18 shall purchase— 

19 (1) cheddar cheese in blocks at not less than 

20 $1.13 per pound; 

21 (2) cheddar cheese in barrels at not less than 

22 $1.10 per pound; 

23 (3) butter at not less than $1.05 per pound; and 

24 (4) nonfat dry milk at not less than $0.80 per 

25 pound. 


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1 (c) TEMPORARY PRICE ADJUSTMENT TO AVOID EX2 CESS INVENTORIES.— 

3 (1) ADJUSTMENTS AUTHORIZED.—The Secretary 

4 may adjust the minimum purchase prices established 

5 under subsection (b) only as permitted under this sub6 section. 

7 (2) CHEESE INVENTORIES IN EXCESS OF 200 MIL8 LION POUNDS.—If net removals for a period of 12 

9 consecutive months exceed 200 million pounds of 

10 cheese, but do not exceed 400 million pounds, the Sec11 retary may reduce the purchase prices under para12 graphs (1) and (2) of subsection (b) during the imme13 diately following month by not more than 10 cents 

14 per pound. 

15 (3) CHEESE INVENTORIES IN EXCESS OF 400 MIL16 LION POUNDS.—If net removals for a period of 12 

17 consecutive months exceed 400 million pounds of 

18 cheese, the Secretary may reduce the purchase prices 

19 under paragraphs (1) and (2) of subsection (b) dur20 ing the immediately following month by not more 

21 than 20 cents per pound. 

22 (4) BUTTER INVENTORIES IN EXCESS OF 450 MIL23 LION POUNDS.—If net removals for a period of 12 

24 consecutive months exceed 450 million pounds of but25 ter, but do not exceed 650 million pounds, the SecVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00105 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 retary may reduce the purchase price under sub2 section (b)(3) during the immediately following 

3 month by not more than 10 cents per pound. 

4 (5) BUTTER INVENTORIES IN EXCESS OF 650 MIL5 LION POUNDS.—If net removals for a period of 12 

6 consecutive months exceed 650 million pounds of but7 ter, the Secretary may reduce the purchase price 

8 under subsection (b)(3) during the immediately fol9 lowing month by not more than 20 cents per pound. 

10 (6) NONFAT DRY MILK INVENTORIES IN EXCESS

11 OF 600 MILLION POUNDS.—If net removals for a pe12 riod of 12 consecutive months exceed 600 million 

13 pounds of nonfat dry milk, but do not exceed 800 mil14 lion pounds, the Secretary may reduce the purchase 

15 price under subsection (b)(4) during the immediately 

16 following month by not more than 5 cents per pound. 

17 (7) NONFAT DRY MILK INVENTORIES IN EXCESS

18 OF 800 MILLION POUNDS.—If net removals for a pe19 riod of 12 consecutive months exceed 800 million 

20 pounds of nonfat dry milk, the Secretary may reduce 

21 the purchase price under subsection (b)(4) during the 

22 immediately following month by not more than 10 

23 cents per pound. 

24 (d) UNIFORM PURCHASE PRICE.—The prices that the 

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1 tively, under subsection (a) shall be uniform for all regions 

2 of the United States. 

3 (e) SALES FROM INVENTORIES.—In the case of each 

4 commodity specified in subsection (b) that is available for 

5 unrestricted use in inventories of the Commodity Credit 

6 Corporation, the Secretary may sell the commodity at the 

7 market prices prevailing for that commodity at the time 

8 of sale, except that the sale price may not be less than 110 

9 percent of the minimum purchase price specified in sub10 section (b) for that commodity. 

11 (f) NET REMOVALS DEFINED.—In this section, the 

12 term ‘‘net removals’’ means— 

13 (1) the sum of the quantity of a product de14 scribed in subsection (a) purchased by the Commodity 

15 Credit Corporation under this section and the quan16 tity of such product exported under section 153 of the 

17 Food Security Act of 1985 (15 U.S.C. 713a–14); less 

18 (2) the amount of such product sold for unre19 stricted use by the Commodity Credit Corporation. 

20 (g) COMMODITY CREDIT CORPORATION.—The Sec21 retary shall use the funds of the Commodity Credit Corpora22 tion to carry out this section. 

23 SEC. 1402. DAIRY FORWARD PRICING PROGRAM. 

24 (a) PROGRAM REQUIRED.—The Secretary of Agri25 culture shall establish a program under which milk proVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00107 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 ducers and cooperative associations of producers are author2 ized to voluntarily enter into forward price contracts with 

3 milk handlers. 

4 (b) MINIMUM MILK PRICE REQUIREMENTS.—Pay5 ments made by milk handlers to milk producers and cooper6 ative associations of producers, and prices received by milk 

7 producers and cooperative associations, in accordance with 

8 the terms of a forward price contract authorized by sub9 section (a), shall be deemed to satisfy — 

10 (1) all uniform and minimum milk price re11 quirements of paragraphs (B) and (F) of subsection 

12 (5) of section 8c of the Agricultural Adjustment Act 

13 (7 U.S.C. 627), reenacted with amendments by the 

14 Agricultural Marketing Agreement Act of 1937; and 

15 (2) the total payment requirement of paragraph 

16 (C) of such subsection. 

17 (c) MILK COVERED BY PROGRAM.— 

18 (1) COVERED MILK.—The program shall apply 

19 only with respect to the marketing of federally regu20 lated milk that— 

21 (A) is not classified as Class I milk or oth22 erwise intended for fluid use; and 

23 (B) is in the current of interstate or foreign 

24 commerce or directly burdens, obstructs, or afVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00108 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 fects interstate or foreign commerce in federally 

2 regulated milk. 

3 (2) RELATION TO CLASS I MILK.—To assist milk 

4 handlers in complying with the limitation in para5 graph (1)(A) without having to segregate or otherwise 

6 individually track the source and disposition of milk, 

7 a milk handler may allocate milk receipts from pro8 ducers, cooperatives, and other sources that are not 

9 subject to a forward contract to satisfy the handler’s 

10 obligations with regard to Class I milk usage. 

11 (d) VOLUNTARY PROGRAM.—A milk handler may not 

12 require participation in a forward pricing contract as a 

13 condition of the handler receiving milk from a producer or 

14 cooperative association of producers, and such producer or 

15 cooperative association may continue to have their milk 

16 priced under the order’s minimum payment provisions. The 

17 Secretary shall investigate complaints made by producers 

18 or cooperative associations of coercion by handlers to enter 

19 into forward contracts, and if the Secretary finds evidence 

20 of such coercion, the Secretary shall take appropriate ac21 tion. 

22 (e) DURATION.—No forward price contract may be en23 tered into under this program after September 30, 2012, 

24 and no forward contract entered into under the program 

25 may extend beyond September 30, 2015. 


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1 SEC. 1403. DAIRY EXPORT INCENTIVE PROGRAM. 

2 (a) EXTENSION.—Subsection (a) of section 153 of the 

3 Food Security Act of 1985 (15 U.S.C. 713a–14) is amended 

4 by striking ‘‘2007’’ and inserting ‘‘2012’’. 

5 (b) COMPLIANCE WITH TRADE AGREEMENTS.—Sec6 tion 153 of the Food Security Act of 1985 (15 U.S.C. 713a– 

7 14) is amended— 

8 (1) in subsection (c), by striking paragraph (3) 

9 and inserting the following new paragraph: 

10 ‘‘(3) the maximum volume of dairy product ex11 ports allowable consistent with the obligations of the 

12 United States under the Uruguay Round Agreements 

13 approved under section 101 of the Uruguay Round 

14 Agreements Act (19 U.S.C. 3511) is exported under 

15 the program each year (minus the volume sold under 

16 section 1163 of this Act (Public Law 99–198; 7 

17 U.S.C. 1731 note) during that year), except to the ex18 tent that the export of such a volume under the pro19 gram would, in the judgment of the Secretary, exceed 

20 the limitations on the value set forth in subsection (f); 

21 and’’; and. 

22 (2) in subsection (f), by striking paragraph (1) 

23 and inserting the following new paragraph: 

24 ‘‘(1) FUNDS AND COMMODITIES.—Except as pro25 vided in paragraph (2), the Commodity Credit Cor26 poration shall in each year use money and commodVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00110 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 ities for the program under this section in the max2 imum amount consistent with the obligations of the 

3 United States under the Uruguay Round Agreements 

4 approved under section 101 of the Uruguay Round 

5 Agreements Act (19 U.S.C. 3511), minus the amount 

6 expended under section 1163 of this Act (Public Law 

7 99–198; 7 U.S.C. 1731 note) during that year.’’. 

8 SEC. 1404. REVISION OF FEDERAL MARKETING ORDER 

9 AMENDMENT PROCEDURES. 

10 Subsection (17) of section 8c of the Agricultural Ad11 justment Act (7 U.S.C. 608c), reenacted with amendments 

12 by the Agricultural Marketing Agreement Act of 1937, is 

13 amended to read as follows: 

14 ‘‘(17) PROVISIONS APPLICABLE TO AMENDMENTS.— 

15 ‘‘(A) APPLICABILITY TO AMENDMENTS.—The 

16 provisions of this section and section 8d, applicable to 

17 orders shall be applicable to amendments to orders. 

18 ‘‘(B) ADVANCE NOTICE OF HEARING.—Notice of 

19 a hearing upon a proposed amendment to any order 

20 issued pursuant to this section shall be given not less 

21 than 3 days before the date fixed for the hearing, and 

22 such notice shall be deemed to be due notice of the 

23 hearing. 

24 ‘‘(C) PROMPT RESPONSE TO REQUESTS FOR

25 AMENDMENT HEARINGS.—Not more than 30 days 


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1 after receipt of a written request for an amendment 

2 hearing regarding a milk marketing order, the Sec3 retary shall— 

4 ‘‘(i) issue a denial of the request; or 

5 ‘‘(ii) issue notice of the hearing, which shall 

6 begin no more than 60 days, and conclude no 

7 more than 90 days, after receipt of the request. 

8 ‘‘(D) SUBMISSION AND USE OF EVIDENCE.—The 

9 proponents of any amendment proposed to be made to 

10 a milk marketing order shall file with the Secretary 

11 all testimony and other evidence in support of the 

12 amendment, in written form, at least 7 business days 

13 before the date fixed for the hearing. The Secretary 

14 shall make such written testimony and other evidence 

15 available to interested members of the public. Subject 

16 to any evidentiary objections and cross examination 

17 of submitting witness, the written testimony and evi18 dence shall be entered into evidence without being 

19 read at the hearing. 

20 ‘‘(E) ISSUANCE OF DECISION.—The Secretary 

21 shall issue a recommended decision on a proposed 

22 amendment to a milk marketing order not later than 

23 90 days after the date set by the Administrative Law 

24 Judge for the submission of post-hearing proposed 

25 findings and conclusions and written arguments or 


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1 briefs. The final decision shall be issued not later than 

2 60 days after the date on which the recommended de3 cision was issued. 

4 ‘‘(F) AVOIDING DUPLICATION.—The Secretary 

5 shall not be required to call a hearing on any amend6 ment proposed to be made to a milk marketing order 

7 in response to an application for a hearing on such 

8 proposed amendment if the application requesting the 

9 hearing is received by the Secretary within 90 days 

10 after the date on which the Secretary has announced 

11 the decision on a previously proposed amendment to 

12 that order and the two proposed amendments are es13 sentially the same.’’. 

14 SEC. 1405. DAIRY INDEMNITY PROGRAM. 

15 Section 3 of Public Law 90–484 (7 U.S.C. 450l) is 

16 amended by striking ‘‘2007’’ and inserting ‘‘2012’’. 

17 SEC. 1406. EXTENSION OF MILK INCOME LOSS CONTRACT 

18 PROGRAM. 

19 Section 1502(c)(3)(B) of the Farm Security and Rural 

20 Investment Act of 2002 (7 U.S.C. 7982(c)(3)(B)), as amend21 ed by section 9006(a) of the U.S. Troop Readiness, Veterans’ 

22 Care, Katrina Recovery, and Iraq Accountability Appro23 priations Act, 2007 (Public Law 110–28, 121 Stat. 217), 

24 is amended by striking ‘‘2007’’ and inserting ‘‘2012’’. 


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1 SEC. 1407. DAIRY PROMOTION AND RESEARCH PROGRAM. 

2 (a) EXTENSION OF PROMOTION AUTHORITY.—Section 

3 113(e)(2) of the Dairy Production Stabilization Act of 1983 

4 (7 U.S.C. 4504(e)(2)) is amended by striking ‘‘2007’’ and 

5 inserting ‘‘2012’’. 

6 (b) DEFINITION OF UNITED STATES FOR PROMOTION

7 PROGRAM.—Section 111 of the Dairy Production Stabiliza8 tion Act of 1983 (7 U.S.C. 4502) is amended— 

9 (1) by striking subsection (l) and inserting the 

10 following new subsection: 

11 ‘‘(l) the term ‘United States’, when used in a geo12 graphical sense, means all of the States, the District of Co13 lumbia, and the Commonwealth of Puerto Rico;’’; and 

14 (2) in subsection (m), by striking ‘‘(as defined in 

15 subsection (l))’’. 

16 (c) DEFINITION OF UNITED STATES FOR RESEARCH

17 PROGRAM.—Section 130 of the Dairy Production Stabiliza18 tion Act of 1983 (7 U.S.C. 4531)) is amended by striking 

19 paragraph (12) and inserting the following new paragraph: 

20 ‘‘(12) the term ‘United States’, when used in a 

21 geographical sense, means all of the States, the Dis22 trict of Columbia, and the Commonwealth of Puerto 

23 Rico.’’. 


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1 SEC. 1408. REPORT ON DEPARTMENT OF AGRICULTURE RE2 PORTING PROCEDURES FOR NONFAT DRY 

3 MILK. 

4 Not later than 90 days after the date of the enactment 

5 of this Act, the Secretary of Agriculture shall submit to Con6 gress a report regarding Department of Agriculture report7 ing procedures for nonfat dry milk and the impact of these 

8 procedures on Federal milk marketing order minimum 

9 prices during the period beginning on July 1, 2006, and 

10 ending on the date of the enactment of this Act. 

11 SEC. 1409. FEDERAL MILK MARKETING ORDER REVIEW COM12 MISSION. 

13 (a) ESTABLISHMENT.—Subject to the availability of 

14 appropriations to carry out this section, the Secretary of 

15 Agriculture shall establish a commission to be known as the 

16 ‘‘Federal Milk Marketing Order Review Commission’’, in 

17 this section referred to as the ‘‘commission’’, which shall 

18 conduct a comprehensive review and evaluation of— 

19 (1) the current Federal milk marketing order 

20 system; and 

21 (2) non-Federal milk marketing order systems. 

22 (b) ELEMENTS OF REVIEW AND EVALUATION.—As 

23 part of the review and evaluation under subsection (a), the 

24 commission shall consider legislative and regulatory options 

25 for— 


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1 (1) ensuring that the competitiveness of dairy 

2 products with other competing products in the mar3 ketplace is preserved and enhanced; 

4 (2) enhancing the competitiveness of American 

5 dairy producers in world markets; 

6 (3) increasing the responsiveness of the Federal 

7 milk marketing order system to market forces; 

8 (4) streamlining and expediting the process by 

9 which amendments to Federal milk market orders are 

10 adopted; 

11 (5) simplifying the Federal milk marketing order 

12 system; 

13 (6) evaluating whether the Federal milk mar14 keting order system, established during the Great De15 pression, continues to serve the interests of the public, 

16 dairy processors, and dairy farmers; 

17 (7) evaluating whether Federal milk marketing 

18 orders are operating in a manner to minimize costs 

19 to taxpayers and consumers; and 

20 (8) evaluating the nutritional composition of 

21 milk, including the potential benefits and costs of ad22 justing the milk content standards. 

23 (c) MEMBERSHIP.— 

24 (1) COMPOSITION.—The commission shall consist 

25 of 16 members. 


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1 (2) MEMBERS.—As soon as practicable after the 

2 date on which funds are first made available to carry 

3 out this section, commission members shall be ap4 pointed as follows: 

5 (A) Two members appointed by the Chair6 man of the Committee on Agriculture of the 

7 House of Representatives, in consultation with 

8 the ranking member of the Committee on Agri9 culture of the House of Representatives. 

10 (B) Two members appointed by the Chair11 man of the Committee on Agriculture, Nutrition, 

12 and Forestry of the Senate, in consultation with 

13 the ranking member of the Committee on Agri14 culture, Nutrition and Forestry of the Senate. 

15 (C) Fourteen members appointed by the 

16 Secretary of Agriculture. 

17 (3) SPECIAL APPOINTMENT REQUIREMENTS.—In 

18 the case of the members to be appointed under para19 graph (2)(E), the Secretary shall comply with the fol20 lowing requirements: 

21 (A) At least one member shall represent a 

22 national consumer organization. 

23 (B) At least four members shall represent 

24 land-grant universities or ASCARR institution 

25 with accredited dairy economic programs, with 


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1 two of these members being experts in the field 

2 of economics. 

3 (C) At least one member shall represent the 

4 food and beverage retail sector. 

5 (D) Four dairy producer and four dairy 

6 processors, appointed so as to balance geo7 graphical distribution of milk production and 

8 dairy processing, reflect all segments of dairy 

9 processing, and represent all regions of the 

10 United States equitably, including States that 

11 operate outside of a Federal milk marketing 

12 order. 

13 (4) CHAIR.—The commission shall elect one of 

14 its appointed members to serve as chairperson for the 

15 duration of the commission’s proceedings. 

16 (5) VACANCY.—Any vacancy occurring before the 

17 termination of the commission shall be filled in the 

18 same manner as the original appointment. 

19 (6) COMPENSATION.—Members of the commission 

20 shall serve without compensation, but shall be reim21 bursed by the Secretary of Agriculture from existing 

22 budget authority for necessary and reasonable ex23 penses incurred in the performance of the duties of the 

24 commission. 


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1 (d) REPORT.—Not later than two years after the date 

2 of the first meeting of the commission, the commission shall 

3 submit to the Secretary of Agriculture and Congress a re4 port setting forth the results of the review and evaluation 

5 conducted under this section, including such recommenda6 tions regarding the legislative and regulatory options con7 sidered under subsection (b) as the commission considers 

8 to be appropriate. The report findings shall reflect, to the 

9 extent practicable, a consensus opinion of the commission 

10 members, but the report may include majority and minor11 ity findings regarding those matters for which consensus 

12 was not reached. 

13 (e) ADVISORY NATURE.—The commission is wholly ad14 visory in nature, and the recommendations of the commis15 sion are non-binding. 

16 (f) NO EFFECT ON EXISTING PROGRAMS.—The Sec17 retary shall not allow the existence of the commission to 

18 impede, delay, or otherwise affect any decision making 

19 process of the Department of Agriculture, including any 

20 rulemaking procedures planned, proposed, or near comple21 tion. 

22 (g) ADMINISTRATIVE ASSISTANCE.—The Secretary 

23 shall provide administrative support to the commission, 

24 and expend such funds as necessary from existing budget 

25 authority to carry out this responsibility. 


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1 (h) AUTHORIZATION OF APPROPRIATIONS.—There are 

2 authorized to be appropriated such sums as are necessary 

3 to carry out this section. 

4 (i) TERMINATION.—The commission shall terminate 

5 immediately after submission of the report under subsection 

6 (d). 

7 Subtitle E—Administration 

8 SEC. 1501. ADMINISTRATION GENERALLY. 

9 (a) USE OF COMMODITY CREDIT CORPORATION.—The 

10 Secretary shall use the funds, facilities, and authorities of 

11 the Commodity Credit Corporation to carry out this title. 

12 (b) DETERMINATIONS BY SECRETARY.—A determina13 tion made by the Secretary under this title shall be final 

14 and conclusive. 

15 (c) REGULATIONS.— 

16 (1) IN GENERAL.—Not later than 90 days after 

17 the date of the enactment of this Act, the Secretary 

18 and the Commodity Credit Corporation, as appro19 priate, shall promulgate such regulations as are nec20 essary to implement this title. 

21 (2) PROCEDURE.—The promulgation of the regu22 lations and administration of this title shall be made 

23 without regard to— 


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1 (A) chapter 35 of title 44, United States 

2 Code (commonly known as the ‘‘Paperwork Re3 duction Act’’); 

4 (B) the Statement of Policy of the Secretary 

5 of Agriculture effective July 24, 1971 (36 Fed. 

6 Reg. 13804), relating to notices of proposed rule7 making and public participation in rulemaking; 

8 and 

9 (C) the notice and comment provisions of 

10 section 553 of title 5, United States Code. 

11 (3) CONGRESSIONAL REVIEW OF AGENCY RULE12 MAKING.—In carrying out this subsection, the Sec13 retary shall use the authority provided under section 

14 808 of title 5, United States Code. 

15 (d) ADJUSTMENT AUTHORITY RELATED TO TRADE

16 AGREEMENTS COMPLIANCE.— 

17 (1) REQUIRED DETERMINATION; ADJUSTMENT.— 

18 If the Secretary determines that expenditures under 

19 subtitles A through E that are subject to the total al20 lowable domestic support levels under the Uruguay 

21 Round Agreements (as defined in section 2 of the 

22 Uruguay Round Agreements Act (19 U.S.C. 3501)), 

23 as in effect on the date of enactment of this Act, will 

24 exceed such allowable levels for any applicable report25 ing period, the Secretary shall, to the maximum exVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00121 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 tent practicable, make adjustments in the amount of 

2 such expenditures during that period to ensure that 

3 such expenditures do not exceed such allowable levels. 

4 (2) CONGRESSIONAL NOTIFICATION.—Before 

5 making any adjustment under paragraph (1), the 

6 Secretary shall submit to the Committee on Agri7 culture of the House of Representatives or the Com8 mittee on Agriculture, Nutrition, and Forestry of the 

9 Senate a report describing the determination made 

10 under that paragraph and the extent of the adjust11 ment to be made. 

12 SEC. 1502. SUSPENSION OF PERMANENT PRICE SUPPORT 

13 AUTHORITY. 

14 (a) AGRICULTURAL ADJUSTMENT ACT OF 1938.—The 

15 following provisions of the Agricultural Adjustment Act of 

16 1938 shall not be applicable to the 2008 through 2012 crops 

17 of covered commodities, peanuts, and sugar and shall not 

18 be applicable to milk during the period beginning on the 

19 date of enactment of this Act through December 31, 2012: 

20 (1) Parts II through V of subtitle B of title III 

21 (7 U.S.C. 1326 et seq.). 

22 (2) In the case of upland cotton, section 377 (7 

23 U.S.C. 1377). 

24 (3) Subtitle D of title III (7 U.S.C. 1379a et 

25 seq.). 


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1 (4) Title IV (7 U.S.C. 1401 et seq.). 

2 (b) AGRICULTURAL ACT OF 1949.—The following pro3 visions of the Agricultural Act of 1949 shall not be applica4 ble to the 2008 through 2012 crops of covered commodities, 

5 peanuts, and sugar and shall not be applicable to milk dur6 ing the period beginning on the date of enactment of this 

7 Act and through December 31, 2012: 

8 (1) Section 101 (7 U.S.C. 1441). 

9 (2) Section 103(a) (7 U.S.C. 1444(a)). 

10 (3) Section 105 (7 U.S.C. 1444b). 

11 (4) Section 107 (7 U.S.C. 1445a). 

12 (5) Section 110 (7 U.S.C. 1445e). 

13 (6) Section 112 (7 U.S.C. 1445g). 

14 (7) Section 115 (7 U.S.C. 1445k). 

15 (8) Section 201 (7 U.S.C. 1446). 

16 (9) Title III (7 U.S.C. 1447 et seq.). 

17 (10) Title IV (7 U.S.C. 1421 et seq.), other than 

18 sections 404, 412, and 416 (7 U.S.C. 1424, 1429, and 

19 1431). 

20 (11) Title V (7 U.S.C. 1461 et seq.). 

21 (12) Title VI (7 U.S.C. 1471 et seq.). 

22 (c) SUSPENSION OF CERTAIN QUOTA PROVISIONS.— 

23 The joint resolution entitled ‘‘A joint resolution relating to 

24 corn and wheat marketing quotas under the Agricultural 

25 Adjustment Act of 1938, as amended’’, approved May 26, 


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1 1941 (7 U.S.C. 1330 and 1340), shall not be applicable to 

2 the crops of wheat planted for harvest in the calendar years 

3 2008 through 2012. 

4 SEC. 1503. PAYMENT LIMITATIONS. 

5 (a) EXTENSION AND REVISION OF LIMITATIONS.— 

6 (1) EXTENSION.—Sections 1001 and 1001C(a) of 

7 the Food Security Act of 1985 (7 U.S.C. 1308, 1308– 

8 3(a)) are amended by striking ‘‘Farm Security and 

9 Rural Investment Act of 2002’’ each place it appears 

10 (other than in subsection (d)(1) of section 1001 of 

11 such Act) and inserting ‘‘Farm, Nutrition, and Bio12 energy Act of 2007’’. 

13 (2) COMBINATION OF LIMITS.—Section 1001 of 

14 the Food Security Act of 1985 (7 U.S.C. 1308) is 

15 amended by striking subsections (b) and (c) and in16 serting the following new subsections: 

17 ‘‘(b) LIMITATION ON DIRECT AND COUNTER-CYCLICAL

18 PAYMENTS FOR COVERED COMMODITIES (OTHER THAN

19 PEANUTS).— 

20 ‘‘(1) DIRECT PAYMENTS.—The total amount of 

21 direct payments received, directly or indirectly, by a 

22 person or any legal entity (except a joint venture or 

23 a general partnership) in any crop year under sub24 title A of title I of the Farm, Nutrition, and BioVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00124 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 energy Act of 2007 for 1 or more covered commodities 

2 (except for peanuts) may not exceed $60,000. 

3 ‘‘(2) COUNTER-CYCLICAL PAYMENTS.—The total 

4 amount of counter-cyclical payments received, directly 

5 or indirectly, by a person or any legal entity (except 

6 a joint venture or a general partnership in any crop 

7 year under subtitle A of title I of the Farm, Nutri8 tion, and Bioenergy Act of 2007 for one or more cov9 ered commodities (except for peanuts) may not exceed 

10 $65,000. 

11 ‘‘(c) LIMITATION ON DIRECT AND COUNTER-CYCLICAL

12 PAYMENTS FOR PEANUTS.— 

13 ‘‘(1) DIRECT PAYMENTS.—The total amount of 

14 direct payments received, directly or indirectly, by a 

15 person or any legal entity (except a joint venture or 

16 a general partnership) in any crop year under sub17 title A of title I of the Farm, Nutrition, and Bio18 energy Act of 2007 for peanuts may not exceed 

19 $60,000. 

20 ‘‘(2) COUNTER-CYCLICAL PAYMENTS.—The total 

21 amount of counter-cyclical payments received, directly 

22 or indirectly, by a person or any legal entity (except 

23 a joint venture or a general partnership in any crop 

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1 tion, and Bioenergy Act of 2007 for peanuts may not 

2 exceed $65,000.’’. 

3 (b) DIRECT ATTRIBUTION.—Section 1001 of the Food 

4 Security Act of 1985 (7 U.S.C. 1308) is amended— 

5 (1) in subsection (a)— 

6 (A) by redesignating paragraphs (2) and 

7 (3) as paragraphs (4) and (5), respectively; and 

8 (B) by inserting after paragraph (1) the fol9 lowing new paragraphs: 

10 ‘‘(2) LEGAL ENTITY.—The term ‘legal entity’ 

11 means an entity that is created under Federal or 

12 State law and that— 

13 ‘‘(A) owns land or an agricultural com14 modity; or 

15 ‘‘(B) produces an agricultural commodity. 

16 ‘‘(3) PERSON.—The term ‘person’ means a nat17 ural person, and does not include a legal entity.’’; 

18 (2) by striking subsections (d) through (e) and 

19 inserting the following new subsections: 

20 ‘‘(d) ATTRIBUTION OF PAYMENTS.— 

21 ‘‘(1) IN GENERAL.—In implementing subsections 

22 (b) and (c), the Secretary shall issue such regulations 

23 as are necessary to ensure that the total amount of 

24 payments are attributed to a person by taking into 

25 account the direct and indirect ownership interests of 


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1 the person in a legal entity that is eligible to receive 

2 such payments. 

3 ‘‘(2) PAYMENTS TO A PERSON.—Every payment 

4 made directly to a person shall be combined with the 

5 person’s pro rata interest in payments received by a 

6 legal entity in which the person has a direct or indi7 rect ownership interest. 

8 ‘‘(3) PAYMENTS TO A LEGAL ENTITY.— 

9 ‘‘(A) IN GENERAL.—Every payment made 

10 to a legal entity shall be attributed to those per11 sons who have a direct or indirect ownership in12 terest in the legal entity. 

13 ‘‘(B) ATTRIBUTION OF PAYMENTS.— 

14 ‘‘(i) PAYMENT LIMITS.—Except as pro15 vided in clause (ii), payments made to a 

16 legal entity shall not exceed the amounts 

17 specified in subsections (b) and (c). 

18 ‘‘(ii) EXCEPTION.—Payments made to 

19 a joint venture or a general partnership 

20 shall not exceed, for each payment specified 

21 in subsections (b) and (c), the amount de22 termined by multiplying the maximum 

23 payment amount specified in subsections 

24 (b) and (c) by the number of persons and 

25 legal entities (other than joint ventures and 


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1 general partnerships) that comprise the 

2 ownership of the joint venture or general 

3 partnership. 

4 ‘‘(4) FOUR LEVELS OF ATTRIBUTION FOR EM5 BEDDED ENTITIES.— 

6 ‘‘(A) IN GENERAL.—Attribution of pay7 ments made to legal entities shall be traced 

8 through four levels of ownership in entities. 

9 ‘‘(B) FIRST LEVEL.—Any payments made 

10 to a legal entity (a first-tier entity) that is 

11 owned in whole or in part by a person shall be 

12 attributed to the person in an amount that rep13 resents the direct ownership in the first-tier enti14 ty by the person. 

15 ‘‘(C) SECOND LEVEL.—Any payments made 

16 to a first-tier entity that is owned in whole or 

17 in part by another legal entity (a second-tier en18 tity) shall be attributed to the second-tier entity 

19 in proportion to the second-tier entity’s owner20 ship in the first-tier entity. If the second-tier en21 tity is owned in whole or in part by a person, 

22 the amount of the payment made to the first-tier 

23 entity shall be attributed to the person in the 

24 amount that represents the indirect ownership in 

25 the first-tier entity by the person. 


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1 ‘‘(D) THIRD AND FOURTH LEVELS.—The 

2 Secretary shall attribute payments at the third 

3 and fourth tiers of ownership in the same man4 ner as specified in subparagraph (C) unless the 

5 fourth-tier of ownership is that of a fourth-tier 

6 entity and not that of a person, in which case 

7 the Secretary shall reduce the amount of the pay8 ment to be made to the first-tier entity in the 

9 amount that represents the indirect ownership in 

10 the first-tier entity by the fourth-tier entity. 

11 ‘‘(e) SPECIAL RULES.— 

12 ‘‘(1) MINOR CHILDREN.—Payments received by a 

13 child under the age of 18 shall be attributed to the 

14 child’s parents, except that the Secretary shall issue 

15 regulations which provide the conditions under which 

16 payments received by a child under the age of 18 will 

17 not be attributed to the child’s parents. 

18 ‘‘(2) MARKETING COOPERATIVES.—Subsections 

19 (b) and (c) shall not apply to a cooperative associa20 tion of producers with respect to commodities pro21 duced by its members which are marketed by such as22 sociation on behalf of its members but shall apply to 

23 such producers as persons. 

24 ‘‘(3) TRUSTS AND ESTATES.— 


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1 ‘‘(A) IN GENERAL.—With respect to irrev2 ocable trusts and estates, the Secretary shall ad3 minister the provisions of this subtitle in such 

4 manner as the Secretary determines will ensure 

5 that fair and equitable treatment of the bene6 ficiaries of such trusts and estates. 

7 ‘‘(B) IRREVOCABLE TRUST.—In order for a 

8 trust to be considered an irrevocable trust, the 

9 terms of the trust agreement must not allow for 

10 modification or termination of the trust by the 

11 grantor, allow for the grantor to have any future, 

12 contingent, or remainder interest in the corpus 

13 of the trust, or provide for the transfer of the cor14 pus of the trust to the remainder beneficiary in 

15 less than 20 years from the date the trust is es16 tablished except in cases where the transfer is 

17 contingent on the remainder beneficiary achiev18 ing at least the age of majority or is contingent 

19 on the death of the grantor or income bene20 ficiary. 

21 ‘‘(C) REVOCABLE TRUST.—A revocable trust 

22 shall be considered to be the same person as the 

23 grantor of the trust. 

24 ‘‘(4) CASH RENT TENANTS.— 


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1 ‘‘(A) DEFINITION.—In this paragraph, the 

2 term ‘cash rent tenant’ means a person or legal 

3 entity that rents land— 

4 ‘‘(i) for cash; or 

5 ‘‘(ii) for a crop share guaranteed as to 

6 the amount of the commodity to be paid in 

7 rent. 

8 ‘‘(B) RESTRICTION.—A cash rent tenant 

9 who makes a significant contribution of active 

10 personal management, but not of personal labor, 

11 with respect to a farming operation is eligible to 

12 receive a payment described in subsection (b) 

13 only if the tenant makes a significant contribu14 tion of equipment used in the farming operation. 

15 ‘‘(5) FEDERAL AGENCIES.— 

16 ‘‘(A) IN GENERAL.—Federal agencies shall 

17 not be eligible to receive any payment described 

18 in subsection (b) or (c). 

19 ‘‘(B) RENTS LAND.—A person or legal enti20 ty that rents land owned by a Federal agency 

21 may receive such payments. 

22 ‘‘(6) STATE AND LOCAL GOVERNMENTS.— 

23 ‘‘(A) GOVERNMENTS INELIGIBLE.— 

24 ‘‘(i) IN GENERAL.—Except as provided 

25 in subparagraphs (B) and (C), State and 


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1 local governments and political subdivisions 

2 and agencies of such governments, shall not 

3 be eligible to receive payments described in 

4 subsections (b) and (c). 

5 ‘‘(ii) TENANTS.—A person or legal en6 tity that rents land owned by a State or 

7 local government or a political subdivision 

8 or agency of such government, may receive 

9 payments described in subsections (b) and 

10 (c) if they otherwise meet all applicable cri11 teria. 

12 ‘‘(B) EXCEPTION.— 

13 ‘‘(i) IN GENERAL.—Within the limita14 tion described in clause (ii), a State and the 

15 political subdivisions and agencies of such 

16 governments, may receive payments de17 scribed in subsections (b) and (c), if the 

18 State or a political subdivision or agency of 

19 such government— 

20 ‘‘(I) is the producer of all crops 

21 produced on a farm; and 

22 ‘‘(II) the proceeds from the crop 

23 production are used to maintain a 

24 public school. 


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1 ‘‘(ii) LIMITATION.—For each State, the 

2 total amount of payments described in sub3 sections (b) and (c) that are received collec4 tively by the State and all political subdivi5 sions or agencies of such governments shall 

6 not exceed the amounts that one legal entity 

7 may receive in one year as specified in sub8 sections (b) and (c). 

9 ‘‘(C) SHARE LEASES.—A State and the po10 litical subdivisions and agencies of such govern11 ments may, without regard to the provisions of 

12 subparagraph (B), receive payments described in 

13 subsections (b) and (c) if— 

14 ‘‘(i) the payments are received with re15 spect to land that is share leased to a pri16 vate party; 

17 ‘‘(ii) the lease was in effect on the date 

18 of enactment of the Farm, Nutrition, and 

19 Bioenergy Act of 2007; and 

20 ‘‘(iii) the land is used to maintain a 

21 public school. 

22 ‘‘(7) CHANGES IN FARMING OPERATIONS.—In the 

23 administration of this subtitle, the Secretary may not 

24 approve any change in a farming operation that oth25 erwise will increase the number of persons to which 


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1 the limitations under this section are applied unless 

2 the Secretary determines that the change is bona fide 

3 and substantive. The addition of a family member to 

4 a farming operation under the criteria set out in sec5 tion 1001A shall be considered a bona fide and sub6 stantive change in the farming operation. 

7 ‘‘(8) DENIAL OF PROGRAM BENEFITS.— 

8 ‘‘(A) TWO YEAR DENIAL OF PAYMENT.—A 

9 person or legal entity shall be ineligible to re10 ceive payments specified in subsections (b) and 

11 (c) for that year, and the succeeding crop year, 

12 in which the Secretary determines that the per13 son or entity engaged in an activity in which the 

14 primary purpose of the activity was to avoid the 

15 application of the provisions of this subtitle to 

16 the person, legal entity or any other person or 

17 legal entity. 

18 ‘‘(B) EXTENDED INELIGIBILITY.—If the 

19 Secretary determines that a person or legal enti20 ty, for their benefit or the benefit of any other 

21 person or legal entity, has knowingly engaged in, 

22 or aided in the creation of fraudulent documents, 

23 failed to disclose material information relevant 

24 to the administration of this subtitle requested by 

25 the Secretary, or committed other equally serious 


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1 actions as identified in regulations issued by the 

2 Secretary, the Secretary may for a period not to 

3 exceed five crop years deny the issuance of pay4 ments to the person or legal entity. 

5 ‘‘(C) PRO RATA DENIAL.—Payments other6 wise owed to a person or legal entity covered by 

7 subparagraphs (A) or (B) shall be denied in a 

8 pro rata manner based upon the ownership in9 terest of the person or legal entity in a farm, and 

10 payments otherwise payable to the person or 

11 legal entity who is a cash rent tenant on a farm 

12 owned or under the control of such person or 

13 legal entity shall be denied. 

14 ‘‘(9) DEATH OF OWNER.—In the event of a 

15 transfer of any ownership interest in land or a com16 modity as the result of the death of a program partic17 ipant, the new owner of such land or commodity 

18 may, if such person is otherwise eligible to participate 

19 in the applicable program, succeed to the prior own20 er’s contract and receive payments subject to this sec21 tion without regard to the amount of payments re22 ceived by the new owner. Payments made pursuant to 

23 this subsection shall not exceed the amount to which 

24 the previous owner was entitled to receive under the 


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1 terms of the contract at the time of the death of the 

2 prior owner.’’. 

3 (c) REPEAL OF THREE-ENTITY RULE.—Section 1001A 

4 of the Food Security Act of 1985 (7 U.S.C. 1308–1) is 

5 amended— 

6 (1) in the section heading, by striking ‘‘PRE7 VENTION OF CREATION OF ENTITIES TO QUAL8 IFY AS SEPARATE PERSONS’’and inserting ‘‘NOTI9 FICATION OF INTERESTS’’; and 

10 (2) by striking subsection (a) and inserting the 

11 following new subsection: 

12 ‘‘(a) NOTIFICATION OF INTERESTS.—To facilitate ad13 ministration of sections 1001 and this section, each entity 

14 or person receiving payments described in subsections (b) 

15 and (c) of section 1001 as a separate person shall provide 

16 to the Secretary of Agriculture, at such times and in such 

17 manner as prescribed by the Secretary, the name and social 

18 security number of each individual, or the name and tax19 payer identification number of each entity, that holds or 

20 acquires an ownership interest in such separate person and 

21 shall provide such information regarding each entity in 

22 which such separate person holds an ownership interest.’’. 

23 (d) AMENDMENT FOR CONSISTENCY.—Section 1001A 

24 of the Food Security Act of 1985 (7 U.S.C. 1308–1) is 


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1 amended by striking subsection (b) and inserting the fol2 lowing new subsections: 

3 ‘‘(b) ACTIVELY ENGAGED.— 

4 ‘‘(1) IN GENERAL.—To be eligible to receive a 

5 payment described in subsection (b) and (c) of section 

6 1001, a person or legal entity must be actively en7 gaged in farming as provided in this subsection or 

8 subsection (c). 

9 ‘‘(2) CLASSES ACTIVELY ENGAGED.—Except as 

10 provided in subsections (c) and (d)— 

11 ‘‘(A) a person, including a person partici12 pating in a farming operation as a partner in 

13 a general partnership, a participant in a joint 

14 venture, a grantor of a revocable trust, or a par15 ticipant in a similar entity as determined by the 

16 secretary, shall be considered to be actively en17 gaged in farming with respect to a farm oper18 ation if— 

19 ‘‘(i) the person makes a significant 

20 contribution (based on the total value of the 

21 farming operation) to the farming oper22 ation of— 

23 ‘‘(I) capital, equipment, or land; 

24 and 


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1 ‘‘(II) personal labor or active per2 sonal management; 

3 ‘‘(ii) the person’s share of the profits or 

4 losses from the farming operation is com5 mensurate with the contributions of the per6 son to the farming operation; and 

7 ‘‘(iii) the contributions of the person 

8 are at risk; 

9 ‘‘(B) a legal entity that is a corporation, 

10 joint stock company, association, limited part11 nership, charitable organization, or other similar 

12 entity determined by the Secretary, including 

13 any such entity participating in the farming op14 eration as a partner in a general partnership, a 

15 participant in a joint venture, a grantor of a 

16 revocable trust, or as a participant in a similar 

17 entity as determined by the Secretary shall be 

18 considered as actively engaged in farming with 

19 respect to a farming operation if— 

20 ‘‘(i) the entity separately makes a sig21 nificant contribution (based on the total 

22 value of the farming operation) of capital, 

23 equipment, or land; 

24 ‘‘(ii) the stockholders or members col25 lectively make a significant contribution of 


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1 personal labor or active personal manage2 ment to the operation; and 

3 ‘‘(iii) the standards provided in clauses 

4 (ii) and (iii) of paragraph (A), as applied 

5 to the entity, are met by the entity; 

6 ‘‘(C) if a legal entity that is a general part7 nership, joint venture, or similar entity, as de8 termined by the Secretary, separately makes a 

9 significant contribution (based on the total value 

10 of the farming operation involved) of capital, 

11 equipment, or land, and the standards provided 

12 in clauses (ii) and (iii) of paragraph (A), as ap13 plied to the entity, are met by the entity, the 

14 partners or members making a significant con15 tribution of personal labor or active personal 

16 management shall be considered to be actively 

17 engaged in farming with respect to the farming 

18 operation involved; and 

19 ‘‘(D) in making determinations under this 

20 subsection regarding equipment and personal 

21 labor, the Secretary shall take into consideration 

22 the equipment and personal labor normally and 

23 customarily provided by farm operators in the 

24 area involved to produce program crops. 

25 ‘‘(c) SPECIAL CLASSES ACTIVELY ENGAGED.— 


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1 ‘‘(1) LANDOWNER.—A person or legal entity that 

2 is a landowner contributing the owned land to a 

3 farming operation shall be considered to be actively 

4 engaged in farming with respect to the farming oper5 ation if the landowner receives rent or income for 

6 such use of the land based on the land’s production 

7 or the operation’s operating results, and the person or 

8 legal entity meets the standard provided in clauses 

9 (ii) and (iii) of subsection (b)(2)(A). 

10 ‘‘(2) ADULT FAMILY MEMBER.—With respect to a 

11 farming operation when a majority of the partici12 pants are family members, an adult family member 

13 shall be considered to be actively engaged in farming 

14 with respect to the farming operation if the person— 

15 ‘‘(A) makes a significant contribution, 

16 based on the total value of the farming operation, 

17 of active personal management or personal labor; 

18 and 

19 ‘‘(B) such contribution meets the standards 

20 provided in clauses (ii) and (iii) of subsection 

21 (b)(2)(A). 

22 ‘‘(3) SHARECROPPER.—A sharecropper who 

23 makes a significant contribution of personal labor to 

24 a farming operation shall be considered to be actively 

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1 ation if such contribution meets the standards pro2 vided in clauses (ii) and (iii) of subsection (b)(2)(A). 

3 ‘‘(4) GROWERS OF HYBRID SEED.—In deter4 mining whether a person or legal entity growing hy5 brid seed under contract shall be considered to be ac6 tively engaged in farming, the Secretary shall not 

7 take into consideration the existence of a hybrid seed 

8 contract. 

9 ‘‘(5) CUSTOM FARMING SERVICES.—A person or 

10 legal entity receiving custom farming services will be 

11 considered separately eligible for payment limitation 

12 purposes if such person or legal entity is actively en13 gaged in farming based on subsection (b)(2) or para14 graphs (1) through (5) of this subsection. No other 

15 rules with respect to custom farming shall apply in 

16 making a determination under this section. 

17 ‘‘(6) SPOUSE.—Where one spouse is determined 

18 to be actively engaged, the other spouse shall be deter19 mined to have met the requirements of subclause (II) 

20 of subsection (b)(2)(A)(i) of this section. 

21 ‘‘(d) CLASSES NOT ACTIVELY ENGAGED.— 

22 ‘‘(1) CASH RENT LANDLORD.—A landlord con23 tributing land to a farming operation shall not be 

24 considered to be actively engaged in farming with re25 spect to the farming operation if the landlord receives 


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1 cash rent, or a crop share guaranteed as to the 

2 amount of the commodity to be paid in rent, for such 

3 use of the land. 

4 ‘‘(2) OTHER PERSONS.—Any other person deter5 mined by the Secretary as failing to meet the stand6 ards set out in subsections (b)(2) and (c) shall not be 

7 considered to be actively engaged in farming with re8 spect to a farming operation.’’. 

9 (e) TRANSITION.—Section 1001 of the Food Security 

10 Act of 1985 (7 U.S.C. 1308), as in effect on the day before 

11 the date of the enactment of this Act, shall continue to apply 

12 with respect to the 2007 crop of any covered commodity. 

13 SEC. 1504. ADJUSTED GROSS INCOME LIMITATION. 

14 (a) EXTENSION OF ADJUSTED GROSS INCOME LIMITA15 TION.—Section 1001D of the Food Security Act of 1985 (7 

16 U.S.C. 1308–3a) is amended— 

17 (1) in subsection (b)(2), by striking ‘‘Farm Secu18 rity and Rural Investment Act of 2002’’ each place it 

19 appears and inserting ‘‘Farm, Nutrition, and Bio20 energy Act of 2007’’; and 

21 (2) in subsection (e), by striking ‘‘2007’’ and in22 serting ‘‘2012’’. 

23 (b) MODIFICATION OF LIMITATION.—Section 1001D(b) 

24 of the Food Security Act of 1985 (7 U.S.C. 1308–3a(b)) is 

25 amended— 


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1 (1) by striking paragraph (1) and inserting the 

2 following new paragraph: 

3 ‘‘(1) CAPS.— 

4 ‘‘(A) UPPER LIMIT.—Notwithstanding any 

5 other provision of law, an individual or entity 

6 shall not be eligible to receive any benefit de7 scribed in paragraph (2) during a crop year if 

8 the average adjusted gross income of the indi9 vidual or entity exceeds $1,000,000. 

10 ‘‘(B) PRODUCER EXEMPTION.—Notwith11 standing any other provision of law, an indi12 vidual or entity shall not be eligible to receive 

13 any benefit described in paragraph (2) during a 

14 crop year if the average adjusted gross income of 

15 the individual or entity exceeds $500,000, unless 

16 not less than 66.66 percent of the average ad17 justed gross income of the individual or entity is 

18 derived from farming, ranching, or forestry oper19 ations, as determined by the Secretary.’’; 

20 (2) in paragraph (2)(A), by striking ‘‘or C’’; and 

21 (3) by adding at the end the following new para22 graph: 

23 ‘‘(3) INCOME DERIVED FROM FARMING, RANCH24 ING OR FORESTRY OPERATIONS.—In determining 

25 what portion of the average adjusted gross income of 


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1 an individual or entity is derived from farming, 

2 ranching, or forestry operations, the Secretary shall 

3 include income derived from the following: 

4 ‘‘(A) The production of crops, livestock, or 

5 unfinished raw forestry products. 

6 ‘‘(B) The sale, including the sale of ease7 ments and development rights, of farm, ranch, or 

8 forestry land or water rights. 

9 ‘‘(C) The sale, but not as a dealer, of equip10 ment purchased to conduct farm, ranch, or for11 estry operations when the equipment is otherwise 

12 subject to depreciation expense. 

13 ‘‘(D) The rental of land used for farming, 

14 ranching, or forestry operations. 

15 ‘‘(E) The provision of production inputs 

16 and services to farmers, ranchers, and foresters. 

17 ‘‘(F) The processing, storing, and trans18 porting of farm, ranch, and forestry commod19 ities. 

20 ‘‘(G) The sale of land that has been used for 

21 agriculture.’’. 

22 SEC. 1505. ADJUSTMENTS OF LOANS. 

23 Section 162 of the Federal Agriculture Improvement 

24 and Reform Act of 1996 (7 U.S.C. 7282) is amended— 


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1 (1) in subsection (a), by inserting ‘‘(except for 

2 cotton and long grain, medium grain, and short 

3 grain rice)’’ after ‘‘commodity’’; 

4 (2) in subsection (b), by striking ‘‘Farm Security 

5 and Rural Investment Act of 2002’’ and inserting 

6 ‘‘Farm, Nutrition, and Bioenergy Act of 2007’’; and 

7 (3) by adding at the end the following new sub8 sections: 

9 ‘‘(d) ADJUSTMENT IN LOAN RATE FOR COTTON.— 

10 ‘‘(1) ADJUSTMENT AUTHORITY.—The Secretary 

11 may make appropriate adjustments in the loan rate 

12 for cotton for differences in quality factors. 

13 ‘‘(2) REVISIONS TO QUALITY ADJUSTMENTS FOR

14 UPLAND COTTON.— 

15 ‘‘(A) REVISION.—Within 180 days after the 

16 date of the enactment of the Farm, Nutrition, 

17 and Bioenergy Act of 2007, the Secretary, after 

18 consultation with the private sector as provided 

19 in paragraph (3), shall implement revisions in 

20 the administration of the marketing assistance 

21 loan program for upland cotton to more accu22 rately and efficiently reflect market values for 

23 upland cotton. 


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1 ‘‘(B) MANDATORY REVISIONS.—The revi2 sions required under subparagraph (A) shall in3 clude the following: 

4 ‘‘(i) The elimination or adjustment of 

5 warehouse location differentials to reflect 

6 market conditions. 

7 ‘‘(ii) The establishment of differentials 

8 for the various quality factors and staple 

9 lengths of cotton based on a three-year, 

10 weighted moving average of the weighted 

11 designated spot market regions as deter12 mined by regional production. 

13 ‘‘(iii) The elimination of any artificial 

14 split in the premium or discount between 

15 upland cotton with a 32 or 33 staple length 

16 due to micronaire; 

17 ‘‘(iv) A mechanism to ensure that no 

18 premium or discount is established that ex19 ceeds the premium or discount associated 

20 with a leaf grade that is one better than the 

21 applicable color grade. 

22 ‘‘(C) DISCRETIONARY REVISIONS.—The revi23 sions under subparagraph (A) may include, at a 

24 minimum, the following: 


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1 ‘‘(i) The use of non-spot market price 

2 data, in addition to spot market price data, 

3 that would enhance the accuracy of the 

4 price information used in determining qual5 ity adjustments under this subsection. 

6 ‘‘(ii) Adjustments in the premiums or 

7 discounts associated with upland cotton 

8 with a staple length of 33 or above due to 

9 micronaire with the goal of eliminating any 

10 unnecessary artificial splits in the calcula11 tions of such premiums or discounts. 

12 ‘‘(iii) Such other adjustments deter13 mined appropriate by the Secretary, after 

14 consultations conducted in accordance with 

15 paragraph (3). 

16 ‘‘(3) CONSULTATION WITH PRIVATE SECTOR.— 

17 ‘‘(A) PRIOR TO REVISION.—Prior to imple18 menting any revisions to the administration of 

19 the marketing assistance loan program for up20 land cotton, the Secretary should endeavor to 

21 consult with an existing private sector committee 

22 whose membership includes representatives of the 

23 production, ginning, warehousing, cooperative, 

24 and merchandising segments of the United States 


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1 cotton industry and that has developed rec2 ommendations concerning such revisions. 

3 ‘‘(B) UPON REVIEW.—The Secretary shall 

4 also consult with the committee referred to in 

5 subparagraph (A) when conducting a review of 

6 adjustments in the operation of the loan program 

7 as provided in paragraph (4). 

8 ‘‘(C) INAPPLICABILITY OF FEDERAL ADVI9 SORY COMMITTEE ACT.—The Federal Advisory 

10 Committee Act (5 U.S.C. App.) shall not apply 

11 to consultations under this paragraph with the 

12 committee referred to in subparagraph (A). 

13 ‘‘(4) REVIEW OF ADJUSTMENTS.—The Secretary 

14 may review the operation of the upland cotton quality 

15 adjustments implemented pursuant to this subsection 

16 and may make further revisions to the administration 

17 of the loan program, by either revoking or revising the 

18 actions taken pursuant to paragraph (2)(B) or by re19 voking or revising any actions taken or authorized to 

20 be taken under paragraph (2)(B). 

21 ‘‘(5) ADJUSTMENTS IN EFFECT PRIOR TO REVI22 SION.—The quality differences (premiums and dis23 counts for quality factors) applicable to the upland 

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1 cordance with this subsection) shall be established by 

2 the Secretary by giving equal weight— 

3 ‘‘(A) to loan differences for the preceding 

4 crop; and 

5 ‘‘(B) to market differences for such crop in 

6 the designated United States spot markets. 

7 ‘‘(e) RICE LIMITATION.—With respect to long grain 

8 rice and medium and short grain rice, the Secretary shall 

9 not make adjustments in the loan rates for such commod10 ities, except for differences in grade and quality (including 

11 milling yields).’’. 

12 SEC. 1506. PERSONAL LIABILITY OF PRODUCERS FOR DEFI13 CIENCIES. 

14 Section 164 of the Federal Agriculture Improvement 

15 and Reform Act of 1996 (7 U.S.C. 7284) is amended by 

16 striking ‘‘Farm Security and Rural Investment Act of 

17 2002’’ each place it appears and inserting ‘‘Farm, Nutri18 tion, and Bioenergy Act of 2007’’. 

19 SEC. 1507. EXTENSION OF EXISTING ADMINISTRATIVE AU20 THORITY REGARDING LOANS. 

21 Section 166 of the Federal Agriculture Improvement 

22 and Reform Act of 1996 (7 U.S.C. 7286) is amended in 

23 subsections (a) and (c)(1) by striking ‘‘subtitle B and C 

24 of title I of the Farm Security and Rural Investment Act 

25 of 2002’’ each place it appears and inserting ‘‘subtitle B 


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1 of title I of the Farm, Nutrition, and Bioenergy Act of 

2 2007’’. 

3 SEC. 1508. ASSIGNMENT OF PAYMENTS. 

4 (a) IN GENERAL.—The provisions of section 8(g) of the 

5 Soil Conservation and Domestic Allotment Act (16 U.S.C. 

6 590h(g)), relating to assignment of payments, shall apply 

7 to payments made under the authority of this title. 

8 (b) NOTICE.—The producer making the assignment, or 

9 the assignee, shall provide the Secretary with notice, in such 

10 manner as the Secretary may require, of any assignment 

11 made under this section. 

12 SEC. 1509. TRACKING OF BENEFITS. 

13 As soon as practicable after the date of enactment of 

14 this Act, the Secretary shall track the benefits provided, di15 rectly or indirectly, to individuals and entities under titles 

16 I and II and the amendments made by those titles. 

17 SEC. 1510. UPLAND COTTON STORAGE PAYMENTS. 

18 Beginning with the 2012 crop of upland cotton, the 

19 Secretary may not use the funds of the Commodity Credit 

20 Corporation to pay storage, handling, and other costs asso21 ciated with the storage of upland cotton for which a mar22 keting assistance loan is made under section 1201. 


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1 SEC. 1511. GOVERNMENT PUBLICATION OF COTTON PRICE 

2 FORECASTS. 

3 Section 15 of the Agricultural Marketing Act (12 

4 U.S.C. 1141j) is amended by striking subsection (d). 

5 TITLE II—CONSERVATION 

Subtitle A—Conservation Programs of the Food Security Act of 1985 

Sec. 2101. Conservation reserve program. 

Sec. 2102. Wetlands reserve program. 

Sec. 2103. Conservation security program. 

Sec. 2104. Grassland reserve program. 

Sec. 2105. Environmental quality incentives program. 

Sec. 2106. Regional water enhancement program. 

Sec. 2107. Grassroots source water protection program. 

Sec. 2108. Conservation of private grazing land. 

Sec. 2109. Great Lakes basin program for soil erosion and sediment control. 

Sec. 2110. Farm and ranchland protection program. 

Sec. 2111. Farm viability program. 

Sec. 2112. Wildlife habitat incentive program. 

Subtitle B—Conservation Programs Under Other Laws 

Sec. 2201. Agricultural management assistance program. 

Sec. 2202. Resource Conservation and Development Program. 

Sec. 2203. Small watershed rehabilitation program. 

Subtitle C—Additional Conservation Programs 

Sec. 2301. Chesapeake Bay program for nutrient reduction and sediment control. 

Sec. 2302. Voluntary public access and habitat incentive program. 

Subtitle D—Administration and Funding 

Sec. 2401. Funding of conservation programs under Food Security Act of 1985. 

Sec. 2402. Improved provision of technical assistance under conservation programs. 

Sec. 2403. Cooperative conservation partnership initiative. 

Sec. 2404. Regional equity and flexibility. 

Sec. 2405. Administrative requirements for conservation programs. 

Sec. 2406. Annual report on participation by specialty crop producers in conservation programs. 

Sec. 2407. Promotion of market-based approaches to conservation. 

Sec. 2408. Establishment of State technical committees and their responsibilities. 

Sec. 2409. Payment limitations. 

Subtitle E—Miscellaneous Provisions 

Sec. 2501. Inclusion of income from affiliated packing and handling operations 

as income derived from farming for application of adjusted gross 

income limitation on eligibility for conservation programs. 


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Sec. 2502. Encouragement of voluntary sustainability practices guidelines. 

Sec. 2503. Farmland resource information. 

1 Subtitle A—Conservation Programs 

2 of the Food Security Act of 1985 

3 SEC. 2101. CONSERVATION RESERVE PROGRAM. 

4 (a) AUTHORIZATION AND ELIGIBLE LAND.—Section 

5 1231 of the Food Security Act of 1985 (16 U.S.C. 3831) 

6 is amended— 

7 (1) in subsection (a)— 

8 (A) by striking ‘‘2007’’ and inserting 

9 ‘‘2012’’; and 

10 (B) by inserting before the period the fol11 lowing: ‘‘and to address issues raised by State, 

12 regional, and national conservation initiatives’’; 

13 and 

14 (2) in subsection (b)— 

15 (A) in paragraph (1)(B)— 

16 (i) by striking ‘‘the Farm Security and 

17 Rural Investment Act of 2002’’ and insert18 ing ‘‘the Farm, Nutrition, and Bioenergy 

19 Act of 2007’’; and 

20 (ii) by striking the period at the end 

21 and inserting a semicolon; and 

22 (B) in paragraph (4), by striking the semi23 colon at the end of subparagraph (E) and insert24 ing ‘‘; or’’. 


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1 (b) MAXIMUM ENROLLMENT.—Section 1231(d) of the 

2 Food Security Act of 1985 (16 U.S.C. 3831(d)) is amended 

3 by striking ‘‘2007’’ and inserting ‘‘2012’’. 

4 (c) CONSERVATION PRIORITY AREAS.—Section 1231(f) 

5 of the Food Security Act of 1985 (16 U.S.C. 3831(f)) is 

6 amended by striking ‘‘the Chesapeake Bay Region (Pennsyl7 vania, Maryland, and Virginia)’’ and inserting ‘‘the Chesa8 peake Bay Region’’. 

9 (d) TREATMENT OF MULTI-YEAR GRASSES AND LEG10 UMES.—Subsection (g) of section 1231 of the Food Security 

11 Act of 1985 (16 U.S.C. 3831) is amended to read as follows: 

12 ‘‘(g) MULTI-YEAR GRASSES AND LEGUMES.— 

13 ‘‘(1) IN GENERAL.—For purposes of this sub14 chapter, alfalfa and other multi-year grasses and leg15 umes in a rotation practice, approved by the Sec16 retary, shall be considered agricultural commodities. 

17 ‘‘(2) CROPPING HISTORY.—Alfalfa, when grown 

18 as part of a rotation practice, as determined by the 

19 Secretary, is an agricultural commodity subject to the 

20 cropping history criteria under subsection (b)(1)(B) 

21 for the purpose of determining whether highly erodible 

22 cropland has been planted or considered planted for 

23 4 of the 6 years referred to in such subsection.’’. 

24 (e) PILOT PROGRAM FOR ENROLLMENT OF WETLAND

25 AND BUFFER ACREAGE IN CONSERVATION RESERVE.—SecVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00153 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 tion 1231(h)(1)(A) of the Food Security Act of 1985 (16 

2 U.S.C. 3831(h)(1)(A)) is amended by striking ‘‘2007’’ and 

3 inserting ‘‘2012’’. 

4 (f) MANAGED HAYING AND GRAZING.—Section 

5 1232(a)(7) of the Food Security Act of 1985 (16 U.S.C. 

6 3832(a)(7)) is amended— 

7 (1) in subparagraph (A)— 

8 (A) by inserting ‘‘and prescribed grazing for 

9 the control of invasive species’’ after ‘‘biomass’’; 

10 and 

11 (B) by striking ‘‘and’’ at the end of the sub12 paragraph; 

13 (2) by redesignating subparagraph (B) as sub14 paragraph (D); and 

15 (3) by inserting after subparagraph (A) the fol16 lowing new subparagraph: 

17 ‘‘(B) managed grazing during the year, ex18 cept that in permitting such grazing, the Sec19 retary shall— 

20 ‘‘(i) reduce the rental payment other21 wise payable under the contract by a per22 centage determined by the Secretary to be 

23 appropriate; and 

24 ‘‘(ii) require a management plan, in25 cluding a grazing rate, approved by the 


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1 Secretary that is consistent with section 

2 1231(a); 

3 ‘‘(C) dryland crop production and grazing 

4 practices on acreage enrolled into the conserva5 tion reserve enhancement program announced on 

6 May 27, 1998 (63 Fed. Reg. 28965) where the 

7 conservation reserve enhancement program is 

8 initiated to address declining groundwater or 

9 surface water resources and water quality issues 

10 associated with declining groundwater or surface 

11 water resources and the conservation reserve en12 hancement contract requires the owner or oper13 ator to retire a water right, except that in per14 mitting dryland crop production and grazing, 

15 the Secretary shall— 

16 ‘‘(i) develop an appropriate working 

17 lands conservation plan that implements 

18 conservation practices suitable to the region 

19 to address soil conservation, water quality, 

20 wildlife habitat, or other environmental 

21 benefits; 

22 ‘‘(ii) apply the provisions of section 

23 11005 of the Farm, Nutrition, and Bio24 energy Act of 2007 in determining the eligi25 bility for crop insurance of dryland crop 


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1 production and grazing activities allowed 

2 under a conservation reserve enhancement 

3 contract for the purposes of this section, 

4 dryland crop production and grazing ac5 tivities allowed under a conservation reserve 

6 enhancement contract shall be considered 

7 ‘noncropland’ in applying the provisions of 

8 section 11005 of the Farm, Nutrition, and 

9 Bioenergy Act of 2007; 

10 ‘‘(iii) reduce the rental payment other11 wise payable under the contract by an 

12 amount commensurate with the economic 

13 value of the crop production or grazing ac14 tivity, while still leaving sufficient financial 

15 incentives for the owner or operator to par16 ticipate in the conservation reserve enhance17 ment; and 

18 ‘‘(iv) at the request of a State that has 

19 previously entered into a conservation re20 serve enhancement program agreement, re21 negotiate the agreement to allow for the 

22 dryland crop production and grazing in ac23 cordance with this section; and’’. 


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1 (g) RENTAL RATES.—Section 1234(c) of the Food Se2 curity Act of 1985 (16 U.S.C. 3834(c)) is amended by add3 ing at the end the following new paragraph: 

4 ‘‘(5) COUNTY AVERAGE MARKET DRY-LAND AND

5 IRRIGATED CASH RENTAL RATES.— 

6 ‘‘(A) ANNUAL ESTIMATES.—Beginning not 

7 later than one year after the date of the enact8 ment of the Farm, Nutrition, and Bioenergy Act 

9 of 2007, the National Agricultural Statistics 

10 Service shall conduct an annual survey of per 

11 acre estimates of county average market dry-land 

12 and irrigated cash rental rates for cropland and 

13 pastureland in all counties or equivalent sub14 divisions within each State with 20,000 acres or 

15 more of cropland and pastureland. 

16 ‘‘(B) PUBLIC AVAILABILITY OF ESTI17 MATES.— The estimates derived as a result of the 

18 annual survey conducted under subparagraph 

19 (A) shall be maintained on a website of the De20 partment of Agriculture for use by the general 

21 public. 

22 ‘‘(C) FUNDING.—Funds to conduct the an23 nual survey required by subparagraph (A) shall 

24 come from funds made available for the conserva25 tion reserve program under this subchapter.’’. 


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1 (h) CONSERVATION RESERVE PROGRAM TRANSITION

2 INCENTIVES.—Section 1235 of the Food Security Act of 

3 1985 (16 U.S.C. 3835) is amended— 

4 (1) in subsection (c)(1)(B)— 

5 (A) in clause (ii), by striking ‘‘or’’ at the 

6 end; 

7 (B) by redesignating clause (iii) as clause 

8 (iv); and 

9 (C) by inserting after clause (ii) the fol10 lowing new clause: 

11 ‘‘(iii) to facilitate a transition of land 

12 subject to the contract from a retired or re13 tiring owner or operator to a beginning 

14 farmer or rancher, socially disadvantaged 

15 farmer or rancher, or limited resource farm16 er or rancher for the purpose of returning 

17 some or all of the land into production 

18 using sustainable grazing or crop produc19 tion methods; or’’; and 

20 (2) by adding at the end the following new sub21 section: 

22 ‘‘(f) TRANSITION OPTION FOR CERTAIN FARMERS OR

23 RANCHERS.— 

24 ‘‘(1) DUTIES OF THE SECRETARY.—In the case 

25 of a contract modification approved in order to faciliVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00158 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 tate the transfer of land subject to a contract from a 

2 retired or retiring owner or operator under subsection 

3 (c)(1)(B)(iii) to a beginning farmer or rancher, so4 cially disadvantaged farmer or rancher, or limited re5 source farmer or rancher (in this subsection referred 

6 to as a ‘covered farmer or rancher’) the Secretary 

7 shall— 

8 ‘‘(A) beginning on the date that is 1 year 

9 before the date of termination of the contract— 

10 ‘‘(i) allow the covered farmer or ranch11 er, in conjunction with the retired or retir12 ing owner or operator, to make conservation 

13 and land improvements; and 

14 ‘‘(ii) allow the covered farmer or 

15 rancher, at the election of the covered farm16 er or rancher, to begin the certification 

17 process under the Organic Foods Production 

18 Act of 1990 (7 U.S.C. 6501 et seq.); 

19 ‘‘(B) beginning on the date of termination 

20 of the contract, require the retired or retiring 

21 owner or operator to sell or lease (under a long22 term lease or a lease with an option to purchase) 

23 to the covered farmer or rancher the land subject 

24 to the contract for production purposes; 


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1 ‘‘(C) require the covered farmer or rancher 

2 to develop and implement a comprehensive con3 servation plan that meets such sustainability cri4 teria as the Secretary may establish; 

5 ‘‘(D) provide to the covered farmer or 

6 rancher an opportunity to enroll in the conserva7 tion security program or the environmental 

8 quality incentives program by not later than the 

9 date on which the farmer or rancher takes pos10 session of the land through ownership or lease; 

11 and 

12 ‘‘(E) continue to make annual payments to 

13 the retired or retiring owner or operator for not 

14 more than an additional 2 years after the date 

15 of termination of the contract, if the retired or 

16 retiring owner or operator is not a family mem17 ber (as defined in section 1001A(b)(3)(B) of this 

18 Act) of the covered farmer or rancher. 

19 ‘‘(2) REENROLLMENT.—The Secretary shall pro20 vide to a beginning farmer or rancher, socially dis21 advantaged farmer or rancher, or limited resource 

22 farmer or rancher described in paragraph (1) the op23 tion to reenroll any applicable partial field conserva24 tion practice that is— 


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1 ‘‘(A) eligible for enrollment under the con2 tinuous signup requirement of section 

3 1231(h)(4)(B); and 

4 ‘‘(B) part of an approved comprehensive 

5 conservation plan.’’. 

6 (i) EARLY TERMINATION.—Section 1235(e)(1) of the 

7 Food Security Act of 1985 (16 U.S.C. 3835(e)(1)) is amend8 ed by striking ‘‘before January 1, 1995,’’. 

9 SEC. 2102. WETLANDS RESERVE PROGRAM. 

10 (a) ESTABLISHMENT AND PURPOSE.—Subsection (a) 

11 of section 1237 of the Food Security Act of 1985 (16 U.S.C. 

12 3837) is amended to read as follows: 

13 ‘‘(a) ESTABLISHMENT AND PURPOSES.— 

14 ‘‘(1) ESTABLISHMENT.—The Secretary shall es15 tablish a wetlands reserve program to assist owners of 

16 eligible lands in restoring and protecting wetlands. 

17 ‘‘(2) PURPOSES.—The purposes of the wetlands 

18 reserve program are— 

19 ‘‘(A) to restore, to create, to protect, or to 

20 enhance wetlands on lands that are eligible 

21 under subsections (c) and (d); and 

22 ‘‘(B) to authorize the Secretary, at the sole 

23 discretion of the Secretary, to purchase flood24 plain easements.’’. 


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1 (b) MAXIMUM ENROLLMENT.—Section 1237(b) of the 

2 Food Security Act of 1985 (16 U.S.C. 3837(b)) is amend3 ed— 

4 (1) by striking paragraph (1) and inserting the 

5 following new paragraph: 

6 ‘‘(1) MAXIMUM ENROLLMENT.—The total number 

7 of acres enrolled in the wetlands reserve program shall 

8 not exceed 3,605,000 acres.’’; and 

9 (2) by adding at the end the following new para10 graphs: 

11 ‘‘(3) ANNUAL ENROLLMENT GOAL.—Of the total 

12 number of acres authorized by paragraph (1), to the 

13 maximum extent practicable, the Secretary shall en14 roll 250,000 acres in each fiscal year. 

15 ‘‘(4) FLOOD-PLAIN EASEMENTS.—Of the acres to 

16 be enrolled each fiscal year, not more than 10,000 

17 acres may be enrolled using flood-plain easements.’’. 

18 (c) ELIGIBLE LANDS.—Subsection (c) of section 1237 

19 of the Food Security Act of 1985 (16 U.S.C. 3837) is 

20 amended to read as follows: 

21 ‘‘(c) ELIGIBILITY.—For purposes of enrolling land into 

22 the wetland reserve program established under this sub23 chapter during the 2008 through 2012 fiscal years, land 

24 shall be eligible to be placed into such reserve if the Sec25 retary determines that— 


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1 ‘‘(1) in the case of wetlands— 

2 ‘‘(A) the land maximizes wetland values 

3 and functions and wildlife benefits; 

4 ‘‘(B) the land is farmed wetland or con5 verted wetland, together with adjacent lands that 

6 are functionally dependent on such wetlands, ex7 cept that converted wetlands where the conver8 sion was not commenced prior to December 23, 

9 1985, shall not be eligible to be enrolled in the 

10 program under this section; 

11 ‘‘(C) the likelihood of the successful restora12 tion of such land, and the resultant wetland val13 ues, merit inclusion of the land into the program 

14 taking into consideration the cost of such restora15 tion; and 

16 ‘‘(D) the land consists of riparian areas, in17 cluding areas that link wetlands that are pro18 tected by easements or some other device or cir19 cumstance that achieves the same purpose as an 

20 easement; or 

21 ‘‘(2) in the case of flood-plain lands— 

22 ‘‘(A) the flood-plain land has been damaged 

23 by flooding at least once within the previous cal24 endar year, or has been subject to flood damage 

25 at least twice within the previous 10 years; or 


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1 ‘‘(B) the enrollment of other land within the 

2 flood plain would contribute to the restoration of 

3 the flood storage and flow or erosion control.’’. 

4 (d) INELIGIBLE LANDS.—Subsection (e) of section 

5 1237 of the Food Security Act of 1985 (16 U.S.C. 3837) 

6 is amended to read as follows: 

7 ‘‘(e) INELIGIBLE LAND.—The Secretary may not ac8 quire easements on— 

9 ‘‘(1) in the case of wetlands— 

10 ‘‘(A) land that contains timber stands es11 tablished under the conservation reserve under 

12 subchapter B; or 

13 ‘‘(B) pasture land established to trees under 

14 the conservation reserve under subchapter B; or 

15 ‘‘(2) in the case of flood-plain lands— 

16 ‘‘(A) land on which implementation of res17 toration practices would not be productive; or 

18 ‘‘(B) land that is subject to an existing ease19 ment or deed restriction, and the easement or 

20 deed provides sufficient protection or restoration 

21 of the flood plain’s functions and values, as de22 termined by the Secretary.’’. 

23 (e) EASEMENTS AND AGREEMENTS.—Section 1237A of 

24 the Food Security Act of 1985 (16 U.S.C. 3837a) is amend25 ed— 


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1 (1) in subsection (a)(2), by inserting ‘‘if applica2 ble,’’ after ‘‘(2)’’; 

3 (2) in subsection (b)— 

4 (A) in the matter before paragraph (1), by 

5 inserting ‘‘or flood-plain land’’ after ‘‘values of 

6 wetland’’; 

7 (B) in paragraph (1)(B), by inserting ‘‘or 

8 flood-plain land’’ after ‘‘wetland’’; and 

9 (C) in paragraph (3), by inserting ‘‘or 

10 flood-plain lands’’ after ‘‘wetlands’’; 

11 (3) in subsection (f)— 

12 (A) by striking ‘‘Compensation for’’ in the 

13 first sentence and inserting the following: 

14 ‘‘(1) COMPENSATION PROVIDED; AMOUNT.—Com15 pensation for’’; and 

16 (B) by adding at the end the following new 

17 paragraph: 

18 ‘‘(2) METHOD FOR DETERMINATION OF FAIR

19 MARKET VALUE.—The Secretary shall determine the 

20 fair market value of land under paragraph (1) based 

21 on the option specified in subparagraph (A), (B), (C), 

22 or (D) that results in the lowest amount of compensa23 tion to be paid by the Secretary: 

24 ‘‘(A) A percentage of the fair market value 

25 based on the Uniform Standards for Professional 


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1 Appraisals Procedures, as determined by the Sec2 retary. 

3 ‘‘(B) A percentage of the market value deter4 mined by an area wide market survey. 

5 ‘‘(C) A geographic cap, prescribed in regu6 lations issued by the Secretary. 

7 ‘‘(D) The offer made by the owner of the 

8 land.’’; and 

9 (4) by adding at the end the following new sub10 section: 

11 ‘‘(h) ACCEPTANCE OF CONTRIBUTIONS.—The Sec12 retary may accept and use contributions of non-Federal 

13 funds to administer the program under this subchapter.’’. 

14 (f) DUTIES OF THE SECRETARY.—Section 1237C of 

15 the Food Security Act of 1985 (16 U.S.C. 3837c) is amend16 ed— 

17 (1) in subsection (a)(1)— 

18 (A) by inserting ‘‘including necessary 

19 maitenance activities,’’ after ‘‘values,’’; and 

20 (B) by inserting ‘‘or flood plains land’’ 

21 after ‘‘wetland’’; and 

22 (2) by striking subsection (c) and inserting the 

23 following new subsection: 

24 ‘‘(c) RANKING OF OFFERS.— 


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1 ‘‘(1) IN GENERAL.—When evaluating offers from 

2 landowners, the Secretary may consider— 

3 ‘‘(A) the conservation benefits of obtaining 

4 an easement or other interest in the land; 

5 ‘‘(B) the cost-effectiveness of each easement 

6 or other interest in eligible land, so as to maxi7 mize the environmental benefits per dollar ex8 pended; and 

9 ‘‘(C) whether the landowner or another per10 son is offering to contribute financially to the 

11 cost of the easement or other interest in the land 

12 to leverage Federal funds. 

13 ‘‘(2) CONSERVATION BENEFITS.—In determining 

14 the acceptability of easement offers, the Secretary may 

15 take into consideration— 

16 ‘‘(A) in the case of wetlands— 

17 ‘‘(i) the extent to which the purposes of 

18 the easement program would be achieved on 

19 the land; 

20 ‘‘(ii) the productivity of the land; and 

21 ‘‘(iii) the on-farm and off-farm envi22 ronmental threats if the land is used for the 

23 production of agricultural commodities; and 

24 ‘‘(B) in the case of flood-plain lands— 


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1 ‘‘(i) the extent to which the purposes of 

2 the easement program would be achieved on 

3 the land; 

4 ‘‘(ii) whether the land has been repeat5 edly flooded over the last ten years; 

6 ‘‘(iii) the extent to which an easement 

7 on the flood-plain land would contribute to 

8 the restoration or management of land in 

9 the area surrounding the flood-plain land; 

10 and 

11 ‘‘(iv) other factors, as determined by 

12 the Secretary.’’. 

13 (g) WETLANDS RESERVE ENHANCEMENT.—Section 

14 1237D(c) of the Food Security Act of 1985 (16 U.S.C. 

15 3837d(c)) is amended by striking paragraph (4) and insert16 ing the following new paragraph: 

17 ‘‘(4) WETLANDS RESERVE ENHANCEMENT.— 

18 ‘‘(A) IN GENERAL.—The provisions of this 

19 subchapter that limit payments to any person, 

20 and section 1305(d) of the Agricultural Rec21 onciliation Act of 1987 (Public Law 100–203; 7 

22 U.S.C. 1308 note), shall not apply to payments 

23 received by a State, political subdivision, or 

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1 hancement program carried out by that entity 

2 that has been approved by the Secretary. 

3 ‘‘(B) AGREEMENTS.—The Secretary may 

4 enter into agreements with States (including po5 litical subdivisions and agencies of States) re6 garding payments described in subparagraph 

7 (A) that the Secretary determines will advance 

8 the purposes of this subchapter.’’. 

9 (h) AUTHORIZATION.—The Food Security Act of 1985 

10 is amended by inserting after section 1237F (16 U.S.C. 

11 3837f) the following new section: 

12 ‘‘SEC. 1237G. PERIOD OF AUTHORIZATION. 

13 ‘‘This subchapter is authorized to be carried out for 

14 the 2008 through 2012 fiscal years.’’. 

15 SEC. 2103. CONSERVATION SECURITY PROGRAM. 

16 (a) ESTABLISHMENT OF NEW CONSERVATION SECU17 RITY PROGRAM THROUGH 2017.—Subchapter A of chapter 

18 2 of subtitle D of title XII of the Food Security Act of 1985 

19 (16 U.S.C. 3838 et seq.) is amended to read as follows: 

20 ‘‘Subchapter A—Conservation Security 

21 Program 

22 ‘‘SEC. 1238. DEFINITIONS. 

23 ‘‘In this subchapter: 

24 ‘‘(1) BEGINNING FARMER OR RANCHER.—The 

25 term ‘beginning farmer or rancher’ has the meaning 


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1 given the term under section 343(a) of the Consoli2 dated Farm and Rural Development Act (7 U.S.C. 

3 1991(a)). 

4 ‘‘(2) CONSERVATION PLAN.—The term ‘conserva5 tion plan’ means a plan that— 

6 ‘‘(A) identifies resources of concern, inven7 tories resources, and establishes benchmark data 

8 and stewardship enhancement objectives; 

9 ‘‘(B) describes improvements that will en10 able the producer to meet and exceed the steward11 ship threshold for all applicable resources of con12 cern; and 

13 ‘‘(C) contains a schedule and evaluation 

14 plan for the planning, installing, maintaining, 

15 and managing new conservation practices, ac16 tivities, and management measures and main17 taining, managing, and improving existing con18 servation practices, activities, and management 

19 measures. 

20 ‘‘(3) CONSERVATION PRACTICE.—The term ‘con21 servation practice’ means a site-specific land manage22 ment practice or activity, or a supporting structural 

23 practice, that is part of an implemented management 

24 system designed to address a priority resource of con25 cern. 


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1 ‘‘(4) CONSERVATION SECURITY CONTRACT.—The 

2 term ‘conservation security contract’ means a con3 tract entered into under this subchapter. 

4 ‘‘(5) CONSERVATION SECURITY PROGRAM.—The 

5 term ‘conservation security program’ means the pro6 gram established under section 1238A(a). 

7 ‘‘(6) MANAGEMENT INTENSITY.— The term 

8 ‘management intensity’ means the degree, scope, and 

9 comprehensiveness of conservation practices, activi10 ties, or management measures taken by a producer to 

11 address a priority resource of concern to a level ex12 ceeding the stewardship threshold. 

13 ‘‘(7) NONDEGRADATION STANDARD.—The term 

14 ‘nondegradation standard’ means the level of natural 

15 resource conservation and environmental management 

16 measures required to improve and sustain the status 

17 and condition of natural and environmental resources 

18 to a level that, as determined by the Secretary— 

19 ‘‘(A) prevents impairment of soil, water, 

20 and air quality and the quality of fish and wild21 life habitat; and 

22 ‘‘(B) sustains the long-term productivity of 

23 agricultural resources. 

24 ‘‘(8) PRIORITY RESOURCE OF CONCERN.—The 

25 term ‘priority resource of concern’ means a resource 


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1 of concern identified by the Secretary, consistent with 

2 the requirements of section 1238C(a), that must be 

3 addressed by participants in the conservation security 

4 program in a particular watershed or other area 

5 within that State. 

6 ‘‘(9) PRODUCER.—The term ‘producer’ means an 

7 owner, operator, landlord, tenant, or sharecropper 

8 that–— 

9 ‘‘(A) shares in the risk of producing any 

10 crop or livestock; and 

11 ‘‘(B) is entitled to share in the crop or live12 stock available for marketing from a farm (or 

13 would have shared had the crop or livestock been 

14 produced). 

15 ‘‘(10) RESOURCE-SPECIFIC INDEX.—The term 

16 ‘resource-specific index’ means an index of manage17 ment intensity or other similar index, developed by 

18 the Secretary, that estimates the expected level of re19 source and environmental outcomes of the conserva20 tion practices, activities, and management measures 

21 employed by a producer. 

22 ‘‘(11) SOCIALLY DISADVANTAGED FARMER OR

23 RANCHER.—The term ‘socially disadvantaged farmer 

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1 tion 355(e) of the Consolidated Farm and Rural De2 velopment Act (7 U.S.C. 2003(e)). 

3 ‘‘(12) STRUCTURAL PRACTICE.—The term ‘struc4 tural practice’ means a site-specific, constructed con5 servation practice that is integrated with and essen6 tial to the successful implementation of the system of 

7 land management practices and activities that are the 

8 basis of a conservation security contract. 

9 ‘‘SEC. 1238A. CONSERVATION SECURITY PROGRAM. 

10 ‘‘(a) ESTABLISHMENT AND PURPOSE.—The Secretary 

11 shall establish, and for each of fiscal years 2012 through 

12 2017, carry out a conservation security program to assist 

13 producers in improving environmental quality by address14 ing priority resources of concern in a comprehensive man15 ner. 

16 ‘‘(b) ELIGIBLE PRODUCERS.—To be eligible to partici17 pate in the conservation security program, a producer 

18 shall— 

19 ‘‘(1) demonstrate that the producer is addressing 

20 at least one priority resource of concern to a min21 imum level of management intensity determined by 

22 the Secretary; and 

23 ‘‘(2) develop and submit to the Secretary, and 

24 obtain the approval of the Secretary of, a conserva25 tion offer. 


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1 ‘‘(c) ELIGIBLE LAND.— 

2 ‘‘(1) IN GENERAL.—Except as provided in para3 graph (2), private agricultural land (including crop4 land, grassland, prairie land, improved pasture land, 

5 forest land and rangeland) and land under the juris6 diction of an Indian tribe (as defined by the Sec7 retary) shall be eligible for enrollment in the con8 servation security program. 

9 ‘‘(2) EXCLUSIONS.— 

10 ‘‘(A) LAND ENROLLED IN OTHER CONSERVA11 TION PROGRAMS.—Except as provided in sub12 section (f)(3)(A), the following lands are not eli13 gible for enrollment in the conservation security 

14 program: 

15 ‘‘(i) Lands enrolled in the conservation 

16 reserve program under subchapter B of 

17 chapter 1. 

18 ‘‘(ii) Land enrolled in the wetlands re19 serve program established under subchapter 

20 C of chapter 1. 

21 ‘‘(iii) Land enrolled in the grassland 

22 reserve program established under sub23 chapter C of chapter 2. 

24 ‘‘(B) CONVERSION TO CROPLAND.—Land 

25 used for crop production after October 1, 2011, 


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1 that had not been planted, considered to be 

2 planted, or devoted to crop production for at 

3 least 4 of the 6 years preceding that date (except 

4 for land enrolled in the conservation reserve pro5 gram or that has been maintained using long6 term crop rotation practices, as determined by 

7 the Secretary) shall not be the basis for any pay8 ment under the conservation security program. 

9 ‘‘(d) ECONOMIC USES.—With respect to eligible land 

10 covered by a conservation security contract, the Secretary 

11 shall permit economic uses of the land that— 

12 ‘‘(1) maintain the agricultural nature of the 

13 land; and 

14 ‘‘(2) are consistent with the conservation pur15 poses of the conservation security program. 

16 ‘‘(e) CONSERVATION SECURITY CONTRACTS.— 

17 ‘‘(1) IN GENERAL.—After a determination that a 

18 producer is eligible for the conservation security pro19 gram, and on approval of the conservation offer of the 

20 producer, the Secretary shall enter into a conservation 

21 security contract with the producer to enroll the land 

22 to be covered by the contract in the conservation secu23 rity program. 

24 ‘‘(2) TERM.—A conservation security contract 

25 shall be for a term of 5 years. 


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1 ‘‘(3) AGRICULTURAL OPERATION.—All the acres 

2 of the agricultural operation that are under the pro3 ducer’s effective control at the time the producer en4 ters into a conservation security contract shall be cov5 ered by the conservation security contract. 

6 ‘‘(4) PROVISIONS.—The conservation security 

7 contract of a producer shall— 

8 ‘‘(A) include a conservation plan approved 

9 by the Secretary; 

10 ‘‘(B) describe the land covered by the con11 servation security contract; 

12 ‘‘(C) state the amount of the stewardship 

13 enhancement payment the Secretary agrees to 

14 make to the producer each year of the conserva15 tion security contract under section 1238C(c); 

16 ‘‘(D) describe the new conservation practices 

17 and activities the producer is required to imple18 ment during the term of the conservation secu19 rity contract in order to increase the level of 

20 management intensity with which the producer 

21 addresses a priority resource of concern or pri22 ority resources of concern, as designated by the 

23 Secretary under section 1238C(a)(1); and 

24 ‘‘(E) include such other provisions as the 

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1 servation purposes of the conservation security 

2 program are met. 

3 ‘‘(5) ON-FARM RESEARCH AND DEMONSTRATION

4 OR PILOT TESTING.—The Secretary may approve a 

5 conservation security contract that includes— 

6 ‘‘(A) on-farm conservation research and 

7 demonstration activities; and 

8 ‘‘(B) pilot testing of new technologies or in9 novative conservation practices. 

10 ‘‘(f) MODIFICATION.—The Secretary may allow a pro11 ducer to modify a conservation security contract before the 

12 expiration of the contract if the Secretary determines that 

13 failure to modify the contract would significantly interfere 

14 with achieving the purposes of the conservation security 

15 program. 

16 ‘‘(g) CONTRACT TERMINATION.— 

17 ‘‘(1) VOLUNTARY TERMINATION.—A producer 

18 may terminate a conservation security contract if the 

19 Secretary determines that termination of the contract 

20 would not defeat the purposes of the conservation plan 

21 of the producer. 

22 ‘‘(2) INVOLUNTARY TERMINATION.—The Sec23 retary may terminate a contract under this sub24 chapter if the Secretary determines that the producer 

25 violated the contract. 


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1 ‘‘(3) TRANSFER OR CHANGE OF INTEREST IN

2 LAND SUBJECT TO CONSERVATION SECURITY CON3 TRACT.— 

4 ‘‘(A) IN GENERAL.—Except as provided in 

5 subparagraph (B), the transfer, or change in the 

6 interest, of a producer in land subject to a con7 servation security contract shall result in the ter8 mination of the conservation security contract. 

9 ‘‘(B) TRANSFER OF DUTIES AND RIGHTS.— 

10 Subparagraph (A) shall not apply if, within a 

11 reasonable period of time after the date of the 

12 transfer or change in the interest in land, the 

13 transferee of the land provides written notice to 

14 the Secretary that all duties and rights under the 

15 conservation security contract have been trans16 ferred to, and assumed by, the transferee. The 

17 Secretary shall specify what will be considered a 

18 reasonable period of time for purposes of pro19 viding the notification required by this subpara20 graph. 

21 ‘‘(h) CONTRACT RENEWAL.—At the end of an initial 

22 conservation security contract of a producer, the Secretary 

23 may allow the producer to renew the contract for one addi24 tional five-year period if the producer— 


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1 ‘‘(1) demonstrates compliance with the terms of 

2 the existing contract, including a demonstration that 

3 the producer has complied with the schedule for the 

4 implementation of new practices and activities in5 cluded in the conservation security contract and has 

6 met the stated goals for increasing the level of man7 agement intensity with which the producer is address8 ing the designated priority resource of concern or pri9 ority resources of concern; and 

10 ‘‘(2) agrees to implement and maintain such ad11 ditional new conservation practices and activities as 

12 the Secretary determines necessary and feasible to 

13 achieve higher levels of management intensity with 

14 which the producer addresses the designated priority 

15 resource of concern or priority resources of concern. 

16 ‘‘(i) EFFECT OF NONCOMPLIANCE DUE TO CIR17 CUMSTANCES BEYOND THE CONTROL OF PRODUCERS.—The 

18 Secretary shall include in the conservation security contract 

19 a provision to ensure that a producer shall not be considered 

20 in violation of a conservation security contract for failure 

21 to comply with the conservation security contract due to 

22 circumstances beyond the control of the producer, including 

23 a disaster or related condition, as determined by the Sec24 retary. 


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1 ‘‘(j) EVALUATION OF OFFERS.—In evaluating applica2 tions by producers to enroll in the conservation security 

3 program, the Secretary shall— 

4 ‘‘(1) consider the extent to which the anticipated 

5 environmental benefits from the contract are provided 

6 at least cost relative to other similar activities; 

7 ‘‘(2) consider the extent to which the producer 

8 proposes to increase the level of performance on appli9 cable resource-specific indices or the level of manage10 ment intensity with which the producer addresses the 

11 designated priority resources of concern; 

12 ‘‘(3) consider the extent to which the environ13 mental benefits expected to result from the contract 

14 complements other conservation efforts in the water15 shed or region; 

16 ‘‘(4) consider the multiple benefits of conserva17 tion-based farming systems, including resource-con18 servation crop rotations, managed rotational grazing, 

19 and the adoption of certified production under the 

20 national organic production program under the Or21 ganic Foods Production Act of 1990 (7 U.S.C. 6501 

22 et. seq.); and 

23 ‘‘(5) develop any additional criteria for evalu24 ating applications that the Secretary determines are 


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1 necessary to ensure that national, State, and local 

2 conservation priorities are effectively addressed. 

3 ‘‘(k) COORDINATION WITH ORGANIC CERTIFI4 CATION.—Within 90 days after the date of the enactment 

5 of the Farm, Nutrition, and Bioenergy Act of 2007, the Sec6 retary shall establish a transparent and producer-friendly 

7 means by which producers may coordinate and simulta8 neously certify eligibly under a conservation security con9 tract and under the national organic production program 

10 established under the Organic Foods Production Act of 1990 

11 (7 U.S.C. 6501 et. seq.). 

12 ‘‘SEC. 1238B. DUTIES OF PRODUCERS. 

13 ‘‘(a) AGREEMENT BY PRODUCER.—Under a conserva14 tion security contract, a producer shall agree— 

15 ‘‘(1) to implement during the term of the con16 servation security contract the conservation plan ap17 proved by the Secretary; 

18 ‘‘(2) to maintain, and make available to the Sec19 retary at such times as the Secretary may request, 

20 appropriate records showing the effective and timely 

21 implementation of the conservation security contract; 

22 and 

23 ‘‘(3) not to engage in any activity during the 

24 term of the conservation security contract that would 


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1 interfere with the purposes of the conservation secu2 rity program. 

3 ‘‘(b) EFFECT OF VIOLATION.—On the violation of a 

4 term or condition of the conservation security contract of 

5 a producer— 

6 ‘‘(1) if the Secretary determines that the viola7 tion warrants termination of the conservation secu8 rity contract, the producer shall— 

9 ‘‘(A) forfeit all rights to receive payments 

10 under the conservation security contract; and 

11 ‘‘(B) refund to the Secretary all or a por12 tion of the payments received by the producer 

13 under the conservation security contract, includ14 ing any advance payments and interest on the 

15 payments, as determined by the Secretary; 

16 ‘‘(2) if the Secretary determines that the viola17 tion does not warrant termination of the conservation 

18 security contract, the producer shall refund to the 

19 Secretary, or accept adjustments to, the payments 

20 provided to the producer, as the Secretary determines 

21 to be appropriate; or 

22 ‘‘(3) some combination of the remedies author23 ized by paragraphs (1) and (2), as determined by the 

24 Secretary to be appropriate. 


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1 ‘‘SEC. 1238C. DUTIES OF THE SECRETARY. 

2 ‘‘(a) IDENTIFICATION OF PRIORITY RESOURCES OF

3 CONCERN.— 

4 ‘‘(1) IDENTIFICATION AT STATE LEVEL.—The 

5 Secretary shall ensure that the identification of pri6 ority resources of concern is made at the State level 

7 so that each priority resource of concern— 

8 ‘‘(A) represents a significant environmental 

9 concern, including watershed management or 

10 wildlife habitat, in the State to which agricul11 tural activities are contributing; and 

12 ‘‘(B) is likely to be addressed successfully 

13 through the implementation of conservation 

14 practices and other activities by producers. 

15 ‘‘(2) LIMITATION.—The Secretary shall identify 

16 not more than 5 resources of concern as priority re17 sources of concern in a particular watershed or other 

18 appropriate region or area within a State. 

19 ‘‘(3) ADVICE AND CONSULTATION.—The Sec20 retary, with the advice of the appropriate State tech21 nical committee and in consultation with Federal and 

22 State agencies with expertise related to natural re23 sources and environmental quality, shall designate, to 

24 the extent practicable, each priority resource of con25 cern identified under paragraph (1) as either a pri26 mary, secondary, or tertiary resource of concern. 


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1 ‘‘(b) DEVELOPMENT OF RESOURCE-SPECIFIC INDI2 CES.—The Secretary shall develop resource-specific indices 

3 to measure the management intensity with which specific 

4 resources of concern are addressed, for purposes of deter5 mining eligibility and payments for participants in the 

6 conservation security program. 

7 ‘‘(c) STEWARDSHIP ENHANCEMENT PAYMENT.— 

8 ‘‘(1) TIMING OF PAYMENT.—The Secretary shall 

9 make a payment under a conservation security con10 tract as soon as practicable after October 1 of each 

11 fiscal year. 

12 ‘‘(2) EXCLUSIONS.—A payment to a producer 

13 under this subsection shall not be provided for— 

14 ‘‘(A) the design, construction, or mainte15 nance of animal waste storage or treatment fa16 cilities or associated waste transport or transfer 

17 devices for animal feeding operations; or 

18 ‘‘(B) conservation practices and activities 

19 for which there is no net cost or loss of income 

20 to the producer, as determined by the Secretary. 

21 ‘‘(3) AVAILABILITY OF PAYMENTS.—The Sec22 retary shall provide a stewardship enhancement pay23 ment to a producer under a conservation security 

24 contract to compensate the producer for— 


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1 ‘‘(A) ongoing implementation and mainte2 nance of conservation practices, activities, and 

3 management measures in place on the producers 

4 operation at the time the conservation security 

5 contract is accepted; and 

6 ‘‘(B) installation and adoption of new con7 servation practices, activities, and management 

8 measures or improvements to conservation prac9 tices, activities, and management measures in 

10 place on the producer’s operation, as required by 

11 the conservation security contract. 

12 ‘‘(4) PAYMENT AMOUNT.—The amount of the 

13 stewardship enhancement payment shall be deter14 mined by the Secretary and shall be based, to the 

15 maximum extent feasible, on— 

16 ‘‘(A) a portion of the actual costs incurred 

17 by the producer; and 

18 ‘‘(B) the income forgone by the producer; 

19 and 

20 ‘‘(C) resource-specific indices, in any case 

21 in which such indices have been developed and 

22 implemented.. 

23 ‘‘(d) PAYMENT LIMITATIONS.—An individual or entity 

24 may not receive, directly or indirectly, payments under a 

25 conservation security contract that, in the aggregate, exceed 


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1 $150,000 for the 5-year term of the conservation security 

2 contract, excluding funding arrangements with federally 

3 recognized Indian Tribes or Alaska Native Corporations. 

4 ‘‘(e) REGULATIONS.—The Secretary shall promulgate 

5 regulations that— 

6 ‘‘(1) provide for adequate safeguards to protect 

7 the interests of tenants and sharecroppers, including 

8 provision for sharing payments, on a fair and equi9 table basis; and 

10 ‘‘(2) prescribe such other rules as the Secretary 

11 determines to be necessary to ensure a fair and rea12 sonable application of the limitations established 

13 under subsection (d). 

14 ‘‘(f) ALLOCATION TO STATES.—When making alloca15 tions to States of funds made available to carry out the 

16 conservation security program, the Secretary shall give sig17 nificant consideration to the extent and magnitude of the 

18 environmental needs associated with agricultural produc19 tion in each State, the degree to which implementation of 

20 the conservation security program in the State is, or will 

21 be, effective in helping producers address these needs, and 

22 other considerations to achieve equitable geographic dis23 tributions of funds, as determined by the Secretary. 

24 ‘‘(g) TECHNICAL ASSISTANCE.—For each of fiscal 

25 years 2008 through 2017, the Secretary shall provide approVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00186 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 priate technical assistance to producers for the development 

2 and implementation of conservation security contracts, in 

3 an amount not to exceed 15 percent of the amounts ex4 pended for the fiscal year. 

5 ‘‘(h) DATA.—The Secretary shall maintain conserva6 tion security program contract and payment data in a 

7 manner that provides detailed and segmented data that al8 lows for quantification of the amount of payments made 

9 to producers for— 

10 ‘‘(1) the maintenance of conservation practices, 

11 activities, and management measures in place on the 

12 producer’s operation at the time the conservation se13 curity offer is accepted by the Secretary; 

14 ‘‘(2) the installation and adoption of new con15 servation practices, activities, and management meas16 ures and the improvements to conservation practices, 

17 activities, and management measures in place on the 

18 producer’s operation at the time the conservation se19 curity offer is accepted by the Secretary; 

20 ‘‘(3) participation in research, demonstration, 

21 and pilot projects; and 

22 ‘‘(4) the development and periodic assessment 

23 and evaluation of comprehensive conservation plans.’’. 

24 (b) EFFECT ON EXISTING CONSERVATION SECURITY

25 CONTRACTS.—Subchapter A of chapter 2 of subtitle D of 


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1 title XII of the Food Security Act of 1985 (16 U.S.C. 3838 

2 et seq.), as in effect on the day before the date of the enact3 ment of this Act, shall continue to apply to conservation 

4 security contracts entered into before October 1, 2007. The 

5 Secretary of Agriculture may continue to make payments 

6 under such subchapter, as so in effect, with respect to such 

7 a conservation security contracts during the term of the con8 tract. 

9 (c) PROHIBITION ON NEW CONTRACTS.—A conserva10 tion security contract may not be entered into or renewed 

11 under subchapter A of chapter 2 of subtitle D of title XII 

12 of the Food Security Act of 1985 (16 U.S.C. 3838 et seq.), 

13 as in effect on the day before the date of the enactment of 

14 this Act, after September 30, 2007. 

15 SEC. 2104. GRASSLAND RESERVE PROGRAM. 

16 (a) ENROLLMENT PRIORITY.—Subsection (b) of section 

17 1238N of the Food Security Act of 1985 (16 U.S.C. 3838n) 

18 is amended by striking paragraph (3) and inserting the fol19 lowing new paragraph: 

20 ‘‘(3) PRIORITY FOR LONG-TERM AGREEMENTS

21 AND EASEMENTS.—Of the total number of acres en22 rolled in the program at any one time through the 

23 methods described in paragraph (2)(A), the Secretary 

24 shall ensure that at least 60 percent of the acres were 

25 enrolled through the use of 30-year rental agreements 


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1 and permanent and long-term easements described in 

2 clause (ii) of such paragraph.’’. 

3 (b) ENROLLMENT OF ACREAGE.—Subsection (b) of sec4 tion 1238N of the Food Security Act of 1985 (16 U.S.C. 

5 3838n) is amended by striking paragraph (1) and inserting 

6 the following new paragraph: 

7 ‘‘(1) ENROLLMENT.—The Secretary shall enroll 

8 an additional 1,000,000 acres of restored or improved 

9 grassland, rangeland, and pastureland in the grass10 land reserve program during fiscal years 2008 

11 through 2012.’’. 

12 (c) ENROLLMENT OF CONSERVATION RESERVE PRO13 GRAM LAND.—Section 1238N of the Food Security Act of 

14 1985 (16 U.S.C. 3838n) is amended by adding at the end 

15 the following new subsections: 

16 ‘‘(d) ENROLLMENT OF CONSERVATION RESERVE PRO17 GRAM LAND.— 

18 ‘‘(1) ENROLLMENT AUTHORIZED.—Subject to the 

19 eligibility requirements of subsection (c) and all other 

20 requirements of this subchapter, land enrolled in the 

21 conservation reserve program may be enrolled in the 

22 grassland reserve program if the Secretary determines 

23 that the land is of high ecological value and under 

24 significant threat of conversion to other uses. 


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1 ‘‘(2) MAXIMUM ENROLLMENT.—The number of 

2 acres of conservation reserve program land enrolled 

3 under this subsection in a calendar year shall not ex4 ceed 10 percent of the total number of acres enrolled 

5 in the grassland reserve program in that calendar 

6 year. 

7 ‘‘(3) PROHIBITION ON DUPLICATION OF PAY8 MENTS.—Land enrolled in the program under this 

9 subsection shall no longer be eligible for payments 

10 under the conservation reserve program. 

11 ‘‘(e) METHOD FOR DETERMINATION OF FAIR MARKET

12 VALUE.—The Secretary shall determine the fair market 

13 value of land to be enrolled in program based on the option 

14 specified in paragraph (1), (2), (3), or (4) that results in 

15 the lowest amount of compensation to be paid by the Sec16 retary: 

17 ‘‘(1) A percentage of the fair market value based 

18 on the Uniform Standards for Professional Apprais19 als Procedures, as determined by the Secretary. 

20 ‘‘(2) A percentage of the market value determined 

21 by an area wide market survey. 

22 ‘‘(3) A geographic cap, as prescribed in regula23 tions issued by the Secretary. 

24 ‘‘(4) The offer made by the owner of the land.’’. 


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1 (d) GRASSLAND RESERVE ENHANCEMENT.—Section 

2 1238N of the Food Security Act of 1985 (16 U.S.C. 3838n) 

3 is amended by inserting after subsection (d), as added by 

4 subsection (b), the following new subsection: 

5 ‘‘(e) GRASSLAND RESERVE ENHANCEMENT.—The Sec6 retary may enter into such agreements with States, includ7 ing political subdivisions and agencies of States, that the 

8 Secretary determines will advance the purposes of the grass9 land reserve program. Section 1305(d) of the Agricultural 

10 Reconciliation Act of 1987 (Public Law 100-203; 7 U.S.C. 

11 1308 note) shall not apply to payments received by a State 

12 or political subdivision or agency thereof in connection with 

13 such an agreement.’’. 

14 (e) USE OF PRIVATE ORGANIZATIONS OR STATE

15 AGENCIES.—Section 1238Q of the Food Security Act of 

16 1985 (16 U.S.C. 3838q) is amended— 

17 (1) by striking subsection (a) and inserting the 

18 following new subsection: 

19 ‘‘(a) AUTHORITY TO USE PRIVATE ORGANIZATIONS OR

20 STATES.—The Secretary shall permit a private conserva21 tion or land trust organization (referred to in this section 

22 as a ‘private organization’) or a State agency to own, write, 

23 and enforce an easement under this subchapter, in lieu of 

24 the Secretary, subject to the right of the Secretary to conduct 

25 periodic inspections and enforce the easement, if— 


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1 ‘‘(1) the Secretary determines that granting the 

2 permission will promote protection of grassland, land 

3 that contains forbs, and shrubland; 

4 ‘‘(2) the owner authorizes the private organiza5 tion or State agency to hold and enforce the easement; 

6 and 

7 ‘‘(3) the private organization or State agency 

8 agrees to assume the costs incurred in administering 

9 and enforcing the easement, including the costs of res10 toration or rehabilitation of the land as specified by 

11 the owner and the private organization or State agen12 cy.’’; 

13 (2) in subsection (b), by striking ‘‘hold’’ and in14 serting ‘‘own, write,’’; and 

15 (3) in subsection (c), by striking ‘‘hold’’ and in16 serting ‘‘own, write,’’. 

17 SEC. 2105. ENVIRONMENTAL QUALITY INCENTIVES PRO18 GRAM. 

19 (a) PURPOSES.—Section 1240 of the Food Security 

20 Act of 1985 (16 U.S.C. 3839aa) is amended— 

21 (1) in the matter preceding paragraph (1), by 

22 inserting ‘‘, forest management, organic transition,’’ 

23 after ‘‘agricultural production’’; and 

24 (2) by striking paragraphs (3) and (4) and in25 serting the following new paragraphs: 


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1 ‘‘(3) providing flexible assistance to producers to 

2 install and maintain conservation practices that, 

3 while sustaining production of food and fiber— 

4 ‘‘(A) enhance soil, water, and related nat5 ural resources, including grazing land, 

6 forestland, wetland, and wildlife; and 

7 ‘‘(B) conserve energy; 

8 ‘‘(4) assisting producers to make beneficial, cost 

9 effective changes to cropping systems, grazing man10 agement, energy use, forest management, nutrient 

11 management associated with livestock, pest or irriga12 tion management, or other practices on agricultural 

13 and forested land; and’’. 

14 (b) DEFINITIONS.—Section 1240A of the Food Secu15 rity Act of 1985 (16 U.S.C. 3839aa–1) is amended— 

16 (1) by striking paragraph (3) and inserting the 

17 following new paragraph: 

18 ‘‘(3) LAND MANAGEMENT PRACTICE.— 

19 ‘‘(A) IN GENERAL.—The term ‘land man20 agement practice’ means a site-specific nutrient 

21 or manure management, integrated pest manage22 ment, irrigation management, tillage or residue 

23 management, grazing management, air quality 

24 management, forest management, silvicultural 

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1 ried out on eligible land that the Secretary deter2 mines is needed to protect from degradation, in 

3 the most cost-effective manner, water, soil, or re4 lated resources. 

5 ‘‘(B) FOREST MANAGEMENT PRACTICES.— 

6 For purposes of subparagraph (A), forest man7 agement practices may include activities that the 

8 Secretary determines are needed to— 

9 ‘‘(i) improve water quality; 

10 ‘‘(ii) restore forest biodiversity; or 

11 ‘‘(iii) control invasive species. 

12 ‘‘(C) COORDINATED IMPLEMENTATION.—A 

13 land management practice may involve multiple 

14 landowners implementing eligible conservation 

15 activities in a coordinated fashion.’’; 

16 (2) in paragraph (4), by inserting ‘‘alpacas, 

17 bison,’’ after ‘‘sheep,’’; 

18 (3) by redesignating paragraphs (3), (4), (5), 

19 and (6), as so amended, as paragraphs (4), (5), (6), 

20 and (8), respectively; 

21 (4) by inserting after paragraph (2) the fol22 lowing new paragraph: 

23 ‘‘(3) INTEGRATED PEST MANAGEMENT.—The 

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1 logical, cultural, physical, and chemical tools in a 

2 way that minimizes economic, health, an environ3 mental risks.’’; and 

4 (5) by inserting after paragraph (6), as so redes5 ignated, the following new paragraph: 

6 ‘‘(7) SOCIALLY DISADVANTAGED FARMER OR

7 RANCHER.—The term ‘socially disadvantaged farmer 

8 or rancher’ has the meaning given the term under sec9 tion 355(e) of the Consolidated Farm and Rural De10 velopment Act (7 U.S.C. 2003(e)).’’. 

11 (c) ELIGIBLE PRACTICES.—Section 1240B(a) of the 

12 Food Security Act of 1985 (16 U.S.C. 3839aa–2(a)) is 

13 amended— 

14 (1) in paragraph (1), by striking ‘‘2010’’ and in15 serting ‘‘2012’’; and 

16 (2) in paragraph (2)— 

17 (A) in subparagraph (A), by inserting ‘‘or 

18 receives organic certification’’ after ‘‘chapter’’; 

19 and 

20 (B) by striking subparagraph (B) and in21 serting the following new subparagraph: 

22 ‘‘(B) a producer that implements a land 

23 management practice, receives technical services 

24 from an approved third-party provider, develops 

25 a comprehensive nutrient management plan, or 


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1 implements energy efficiency improvements or 

2 renewable energy systems, in accordance with 

3 this chapter shall be eligible to receive incentive 

4 payments.’’. 

5 (d) BEGINNING FARMERS OR RANCHERS AND SO6 CIALLY DISADVANTAGED FARMERS OR RANCHERS.—Sec7 tion 1240B(d)(2) of the Food Security Act of 1985 (16 

8 U.S.C. 3839aa–2(d)(2)) is amended by striking subpara9 graph (A) and inserting the following new subparagraph: 

10 ‘‘(A) INCREASED COST-SHARE FOR CERTAIN

11 PRODUCERS.—The Secretary shall increase the 

12 amount provided under paragraph (1) to a pro13 ducer that is a beginning farmer or rancher, so14 cially disadvantaged farmer or rancher, or lim15 ited resource farmer or rancher to 90 percent of 

16 the cost of the practice, as determined by the Sec17 retary.’’. 

18 (e) ADDITIONAL SUPPORT FOR USE OF GASIFIER

19 TECHNOLOGY.—Section 1240B(d)(2) of the Food Security 

20 Act of 1985 (16 U.S.C. 3839aa–2(d)(2)) is amended by add21 ing at the end the following new subparagraph: 

22 ‘‘(C) INCREASED COST-SHARE FOR USE OF

23 GASIFIER TECHNOLOGY.—In carrying out this 

24 chapter, the Secretary shall promote air quality 

25 by providing for a 90 percent cost share for those 


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1 projects that utilize gasifier technology for the 

2 purposes of the disposal of animal carcasses and 

3 by-products.’’. 

4 (f) INCENTIVE PAYMENTS.—Section 1240B(e) of the 

5 Food Security Act of 1985 (16 U.S.C. 3839aa–2(e)) is 

6 amended— 

7 (1) by striking paragraph (1) and inserting the 

8 following new paragraph: 

9 ‘‘(1) AVAILABILITY OF INCENTIVE PAYMENTS.— 

10 The Secretary shall make incentive payments in an 

11 amount and at a rate determined by the Secretary to 

12 be necessary to encourage a producer— 

13 ‘‘(A) to perform 1 or more land manage14 ment practices; 

15 ‘‘(B) to receive technical services from an 

16 approved third-party provider; 

17 ‘‘(C) to develop a comprehensive nutrient 

18 management plan; or 

19 ‘‘(D) to implement energy efficiency im20 provements or renewable energy systems.’’; and 

21 (2) in paragraph (2), by inserting ‘‘pollinator 

22 habitat,’’ after ‘‘invasive species,’’. 

23 (g) ALLOCATION OF FUNDING.—Section 1240B(g) of 

24 the Food Security Act of 1985 (16 U.S.C. 3839aa–2(g)) is 

25 amended— 


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1 (1) by striking ‘‘For each’’ and inserting the fol2 lowing: 

3 ‘‘(1) ALLOCATION FOR LIVESTOCK PRODUCTION

4 PRACTICES.—For each’’; 

5 (2) in such paragraph, as so designated, by 

6 striking ‘‘2007’’ and inserting ‘‘2012’’; and 

7 (3) by adding at the end the following new para8 graph: 

9 ‘‘(2) ALLOCATION FOR CERTAIN PRODUCERS.— 

10 For each of fiscal years 2007 through 2012, of the 

11 funds made available for cost-share payments and in12 centive payments under this chapter, the Secretary 

13 shall reserve, for a period of not less than 90 days 

14 after the date on which the funds are made available 

15 for the fiscal year— 

16 ‘‘(A) not less than 5 percent for beginning 

17 farmers and ranchers; and 

18 ‘‘(B) not less than 5 percent of funds for so19 cially disadvantaged farmers and ranchers and 

20 limited resource farmers and ranchers.’’. 

21 (h) ELIGIBILITY OF MARKET AGENCIES AND CUSTOM

22 FEEDING BUSINESSES.—Section 1240B of the Food Secu23 rity Act of 1985 (16 U.S.C. 3839aa–2) is amended by add24 ing at the end the following new subsection: 


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1 ‘‘(i) ELIGIBILITY OF MARKET AGENCIES AND CUSTOM

2 FEEDING BUSINESSES FOR ASSISTANCE.—A market agency 

3 (as defined in section 301(c) of the Packers and Stockyards 

4 Act, 1921 (7 U.S.C. 201(c))) or custom feeding business 

5 may receive technical assistance, cost-share payments, or 

6 incentive payments under the program. Any reference to 

7 ‘producer’ in this chapter shall be deemed to include a mar8 ket agency or custom feeding business.’’. 

9 (i) EVALUATION OF APPLICATIONS FOR COST-SHARE

10 PAYMENTS AND INCENTIVE PAYMENTS.—Section 1240C of 

11 the Food Security Act of 1985 (16 U.S.C. 3839aa–3) is 

12 amended to read as follows: 

13 ‘‘SEC. 1240C. EVALUATION OF APPLICATIONS FOR COST14 SHARE PAYMENTS AND INCENTIVE PAY15 MENTS. 

16 ‘‘(a) PRIORITIES AND GROUPING OF APPLICATIONS.— 

17 In evaluating applications for cost-share payments and in18 centive payments, the Secretary shall— 

19 ‘‘(1) prioritize applications based on their over20 all level of cost-effectiveness to ensure that the con21 servation practices and approaches proposed are the 

22 most efficient means of achieving the anticipated en23 vironmental benefits of the project; 


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1 ‘‘(2) prioritize applications based on how effec2 tively and comprehensively the project addresses the 

3 designated resource concern or resource concerns; 

4 ‘‘(3) prioritize applications that best fulfill the 

5 purpose of the environmental quality incentives pro6 gram specified in section 1240(1); 

7 ‘‘(4) develop criteria for evaluating applications 

8 that will ensure that national, State, and local con9 servation priorities are effectively addressed; and 

10 ‘‘(5) to the greatest extent practicable, group ap11 plications of similar crop or livestock operations for 

12 evaluation purposes or otherwise evaluate applica13 tions relative to other applications for similar farm14 ing operations. 

15 ‘‘(b) EVALUATION PROCESS.—The Secretary shall en16 sure that the evaluation process is as streamlined and effi17 cient as practicable in the case of applications that— 

18 ‘‘(1) involve operations with substantial and 

19 sound environmental management systems; and 

20 ‘‘(2) seek a single practice or a limited number 

21 of practices to further improve the environmental per22 formance of that system.’’. 

23 (j) DUTIES OF PRODUCERS.—Section 1240D(2) of the 

24 Food Security Act of 1985 (16 U.S.C. 3839aa–4(2)) is 


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1 amended by striking ‘‘or ranch’’ and inserting ‘‘, ranch, 

2 or forestland’’. 

3 (k) PROGRAM PLAN.—Section 1240E of the Food Secu4 rity Act of 1985 (16 U.S.C. 3839aa–5) is amended by strik5 ing subsections (a) and (b) and inserting the following new 

6 subsections: 

7 ‘‘(a) PLAN OF OPERATIONS.—To be eligible to receive 

8 cost-share payments or incentive payments under the pro9 gram, a producer shall submit to the Secretary for approval 

10 a plan of operations that— 

11 ‘‘(1) specifies practices covered under the pro12 gram; 

13 ‘‘(2) includes such terms and conditions as the 

14 Secretary considers necessary to carry out the pro15 gram, including a description of the purposes to be 

16 met by the implementation of the plan; 

17 ‘‘(3) in the case of a confined livestock feeding 

18 operation, provides for development and implementa19 tion of a comprehensive nutrient management plan, if 

20 applicable; and 

21 ‘‘(4) in the case of forestland, is consistent with 

22 the provisions of a forest management plan meeting 

23 with the approval of the Secretary, which may in24 clude a forest stewardship plan, as specified in section 

25 5 of the Cooperative Forestry Assistance Act of 1978 


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1 (16 U.S.C. 2103a), other practice plan approved by 

2 the State forester, or other plan determined appro3 priate by the Secretary. 

4 ‘‘(b) AVOIDANCE OF DUPLICATION.—The Secretary 

5 shall— 

6 ‘‘(1) consider a permit acquired under a water 

7 or air quality regulatory program as the equivalent 

8 of a plan of operations under subsection (a); and 

9 ‘‘(2) to the maximum extent practicable, elimi10 nate duplication of planning activities under the pro11 gram under this chapter and comparable conservation 

12 programs.’’. 

13 (l) DUTIES OF THE SECRETARY.—Section 1240F of 

14 the Food Security Act of 1985 (16 U.S.C. 3839aa–6) is 

15 amended— 

16 (1) by striking ‘‘To the extent’’ and inserting 

17 ‘‘(a) PROVISION OF ASSISTANCE.—To the extent’’; 

18 and 

19 (2) by adding at the end the following new sub20 section: 

21 ‘‘(b) WATER SAVINGS.—In the case of a practice pri22 marily intended to conserve water, the Secretary may pro23 vide assistance to a producer under this section only if the 

24 Secretary determines that— 


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1 ‘‘(1) the practice results in a minimum reduc2 tion, as determined by the Secretary, in the total con3 sumptive use of ground water or surface water re4 sources affected by the practice; 

5 ‘‘(2) any saved water remains in the source for 

6 the useful life of the practice; and 

7 ‘‘(3) the practice will not result, directly or indi8 rectly, in an increase in the consumptive use of water 

9 in the agriculture operation of the producer.’’. 

10 (m) CONSERVATION INNOVATION GRANTS.—Section 

11 1240H of the Food Security Act of 1985 (16 U.S.C. 

12 3839aa–8) is amended to read as follows: 

13 ‘‘SEC. 1240H. CONSERVATION INNOVATION GRANTS. 

14 ‘‘(a) COMPETITIVE GRANTS.—The Secretary shall pay 

15 the cost of competitive grants that are intended to stimulate 

16 innovative approaches to leveraging Federal investment in 

17 environmental enhancement and protection, in conjunction 

18 with agricultural production or forest resource manage19 ment, through the program. 

20 ‘‘(b) USE.—The Secretary may provide grants under 

21 this section to governmental and non-governmental organi22 zations and persons, on a competitive basis, to carry out 

23 projects that— 

24 ‘‘(1) involve producers that are eligible for pay25 ments or technical assistance under the program; 


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1 ‘‘(2) leverage funds made available to carry out 

2 the program under this chapter with matching funds 

3 provided by State and local governments and private 

4 organizations to promote environmental enhancement 

5 and protection in conjunction with agricultural pro6 duction; 

7 ‘‘(3) ensure efficient and effective transfer of in8 novative technologies and approaches demonstrated 

9 through projects that receive funding under this sec10 tion; and 

11 ‘‘(4) provide environmental and resource con12 servation benefits through increased participation by 

13 producers of specialty crops. 

14 ‘‘(c) PILOT PROGRAM FOR COMPREHENSIVE CON15 SERVATION PLANNING.— 

16 ‘‘(1) PILOT PROGRAM REQUIRED.—The Secretary 

17 shall establish a pilot program to undertake com18 prehensive conservation planning to assist producers 

19 before they submit an application for assistance 

20 under any of the conservation programs authorized by 

21 this subtitle. 

22 ‘‘(2) CONSERVATION PLANNING ASSISTANCE.— 

23 The Secretary shall undertake pilot projects under the 

24 pilot program in the locations specified in paragraph 

25 (3) to assist producers by making a comprehensive asVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00204 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 sessment of the resource concerns, needs, and alter2 native solutions for the producer’s entire operation, as 

3 determined by the Secretary, following the procedures 

4 in the Natural Resources Conservation Service con5 servation planning manual. The assistance shall be 

6 provided by the Secretary directly or through third 

7 party providers certified by the Secretary, and shall 

8 not be at the expense of the producer. The results of 

9 the comprehensive planning assistance shall be pro10 vided to the producer to enable informed choices on 

11 the type of financial assistance available under this 

12 subtitle that would most effectively address the re13 source needs of the operation consistent with the envi14 ronmental goals for the area in which the operation 

15 is located. 

16 ‘‘(3) PILOT PROJECTS.—Pilot projects in com17 prehensive conservation planning shall be undertaken 

18 in the Chesapeake Bay watershed, and shall include 

19 the identification of hydrologic, soil, and rural land 

20 use factors that are unique to the Delmarva Penin21 sula. 

22 ‘‘(4) REPORT.—The Secretary shall conduct an 

23 assessment of the effectiveness of the pilot program 

24 and publish a report, available to the public, of the 

25 results of the assessment. Such assessments shall be 


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1 undertaken in the second year and the fifth year of 

2 the pilot program. 

3 ‘‘(d) FUNDING.— 

4 ‘‘(1) AVAILABILITY OF FUNDS.—Of the funds 

5 made available under section 1241(a)(6) for fiscal 

6 years 2008 through 2012, the Secretary shall use 

7 $30,000,000 for fiscal year 2008, $35,000,000 for fis8 cal year 2009, $50,000,000 for fiscal year 2010, 

9 $60,000,000 for fiscal year 2011, and $75,000,000 for 

10 fiscal year 2012. 

11 ‘‘(2) OUTREACH FOR CERTAIN PRODUCERS.—Of 

12 the funds made available under paragraph (1) for a 

13 fiscal year, the Secretary shall use $5,000,000 to make 

14 grants to support effective outreach and innovative 

15 approaches for outreach and to serve organic pro16 ducers and producers of specialty crops (as defined in 

17 section 3 of the Specialty Crops Competitiveness Act 

18 of 2004 (Public Law 108–465; 7 U.S.C. 1621 note). 

19 ‘‘(3) COMPREHENSIVE CONSERVATION PLAN20 NING.—Of the funds made available under paragraph 

21 (1) for a fiscal year, the Secretary shall use 

22 $5,000,000 to carry out the comprehensive conserva23 tion planning pilot program under subsection (c). 

24 ‘‘(4) AIR QUALITY.—Of the funds made available 

25 under paragraph (1), the Secretary shall use 


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1 $10,000,000 for fiscal year 2008, $15,000,000 for fis2 cal year 2009, $30,000,000 for fiscal year 2010, 

3 $40,000,000 for fiscal year 2011, and $55,000,000 for 

4 fiscal year 2012 to support air quality improvement 

5 and performance incentives for States to help meet 

6 State and local regulatory requirements related to air 

7 quality.’’. 

8 SEC. 2106. REGIONAL WATER ENHANCEMENT PROGRAM. 

9 (a) PURPOSE AND GOALS.—The purpose of this section 

10 is to authorize a regional water enhancement program, 

11 within the environmental quality incentives program, to 

12 enhance performance-based, cost-effective conservation car13 ried out through cooperative agreements entered into by the 

14 Secretary of Agriculture with producers, governmental enti15 ties, and Indian tribes. The goal of the program is to im16 prove water quality or ground and surface water quantity 

17 through coordinated program activities on agricultural 

18 lands. The Secretary will develop goals and provide coordi19 nated program assistance for water quality or water quan20 tity improvement projects. 

21 (b) ESTABLISHMENT OF PROGRAM.—Section 1240I of 

22 the Food Security Act of 1985 (16 U.S.C. 3839aa–9) is 

23 amended to read as follows: 

24 ‘‘SEC. 1240I. REGIONAL WATER ENHANCEMENT PROGRAM. 

25 ‘‘(a) DEFINITIONS.—In this section: 


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1 ‘‘(1) REGIONAL WATER ENHANCEMENT ACTIVI2 TIES.—The term ‘regional water enhancement activi3 ties’ includes resource condition assessment and mod4 eling, water quality, water quantity or water con5 servation plan development, management system and 

6 environmental monitoring and evaluation, cost-share 

7 of restoration or enhancement projects, incentive pay8 ments for land management practices, easement pur9 chases, conservation contracts with landowners, im10 proved irrigation systems, water banking and other 

11 forms of water transactions, groundwater recharge 

12 and other conservation related activities that the Sec13 retary determines will help to achieve the water qual14 ity or water quantity benefits on agricultural lands 

15 identified in a partnership agreement. 

16 ‘‘(2) PARTNERSHIP AGREEMENT.—The term 

17 ‘partnership agreement’ means an agreement between 

18 the Secretary and a partner under subsection (d). 

19 ‘‘(3) PARTNER.—The term ‘partner’ means an 

20 entity that enters into a partnership agreement with 

21 the Secretary to carry out regional water enhance22 ment activities. The term includes— 

23 ‘‘(A) an agricultural producer, agricultural 

24 or silvicultural producer association, or other 

25 group of such producers; 


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1 ‘‘(B) a State or unit of local government, 

2 including an irrigation or water district; or 

3 ‘‘(C) a federally recognized Indian tribe. 

4 ‘‘(b) ESTABLISHMENT OF PROGRAM.— 

5 ‘‘(1) ESTABLISHMENT.—The Secretary shall es6 tablish a regional water enhancement program in ac7 cordance with this section to improve water quality 

8 or water quantity on a regional scale to benefit work9 ing agricultural land and other lands surrounding 

10 agricultural land. 

11 ‘‘(2) IDENTIFICATION OF WATER QUALITY AND

12 WATER QUANTITY PRIORITY AREAS.—The Secretary 

13 shall identify areas where protecting or improving 

14 water quality, water quantity, or both is a priority. 

15 In identifying these areas, the Secretary shall 

16 prioritize the Chesapeake Bay, the Upper Mississippi 

17 River basin, the Everglades, and the Klamath River 

18 basin. Not more than 50 percent of the funds made 

19 available for the regional water enhancement program 

20 shall be reserved for priority areas identified in this 

21 paragraph. 

22 ‘‘(c) SELECTION OF PARTNERS.— 

23 ‘‘(1) SOLICITATION OF PARTNERSHIP PRO24 POSALS.—Not later than 90 days after the date of the 

25 enactment of the Farm, Nutrition, and Bioenergy Act 


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1 of 2007, the Secretary shall invite prospective part2 ners to submit competitive grant proposals for re3 gional water enhancement partnerships. 

4 ‘‘(2) ELEMENTS.—To be eligible for consider5 ation for participation in the program, a proposal 

6 submitted by a partner shall contain the following 

7 elements: 

8 ‘‘(A) Identification of the exact geographic 

9 area for which the partnership is proposed, 

10 which may be based on— 

11 ‘‘(i) a watershed (or portion thereof); 

12 ‘‘(ii) an irrigation, water, drainage 

13 district, including service area; or 

14 ‘‘(iii) some other geographic area with 

15 characteristics making it suitable for land16 scape-wide program implementation, as 

17 may be determined by the Secretary. 

18 ‘‘(B) Identification of the water quality or 

19 water quantity issues that are of concern in the 

20 area. 

21 ‘‘(C) A method for determining a baseline 

22 assessment of water quality, water quantity, and 

23 other resource conditions in the region. 

24 ‘‘(D) A detailed description of the proposed 

25 regional water enhancement activities to be unVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00210 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 dertaken in the area, including an estimated 

2 timeline and budget for each activity. 

3 ‘‘(E) A description of the performance 

4 measures to be used to gauge the effectiveness of 

5 the regional water enhancement activities. 

6 ‘‘(F) A description of other regional water 

7 enhancement activities carried out by the Sec8 retary. 

9 ‘‘(G) A description of regional water en10 hancement activities carried out by partners 

11 through other means. 

12 ‘‘(3) SELECTION OF PROPOSALS.—The Secretary 

13 shall award grants competitively, based on the fol14 lowing criteria applied by the Secretary: 

15 ‘‘(A) Proposals that will result in the inclu16 sion of the highest percentage of agricultural 

17 lands and producers in the area. 

18 ‘‘(B) Proposals that will result in the high19 est percentage of on-the-ground activities versus 

20 administrative costs. 

21 ‘‘(C) Proposals that will provide the greatest 

22 contribution to sustaining or enhancing agricul23 tural production in the area or rural economic 

24 development. 


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1 ‘‘(D) Proposals that include performance 

2 measures that will allow post-activity conditions 

3 to be satisfactorily measured to gauge overall ef4 fectiveness. 

5 ‘‘(E) Proposals that will capture surface6 water runoff on farms through the construction, 

7 improvement, or maintenance of irrigation 

8 ponds. 

9 ‘‘(F) Proposals that have the highest likeli10 hood of improving issues of concern for the area 

11 through the participation of multiple interested 

12 persons. 

13 ‘‘(G) Proposals that will assist producers in 

14 meeting a regulatory requirement imposed on 

15 lands in agriculture production that reduces the 

16 economic scope of the producer’s operation. 

17 ‘‘(4) DURATION.—Grants under this subsection 

18 shall be made on a multi-year basis, not to exceed 5 

19 years total, except that the Secretary may terminate 

20 a grant earlier if the performance measures are not 

21 being met. 

22 ‘‘(d) PARTNERSHIP AGREEMENTS.— 

23 ‘‘(1) GENERALLY.—Not later than 30 days after 

24 the award of a grant to a partner under subsection 

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1 ment with the grant recipient. At a minimum, the 

2 agreement shall contain— 

3 ‘‘(A) a description of the respective duties 

4 and responsibilities of the Secretary and the 

5 partner in carrying out regional water enhance6 ment activities; and 

7 ‘‘(B) the criteria that the Secretary will use 

8 to measure the overall effectiveness of the re9 gional water enhancement activities funded by 

10 the grant in improving the water quality or 

11 quantity conditions of the region relative to the 

12 performance measures in the grant proposal. 

13 ‘‘(2) ACCEPTANCE OF CONTRIBUTIONS.—The Sec14 retary may accept and use contributions of non-Fed15 eral funds to administer the program under this sec16 tion. 

17 ‘‘(3) WAIVER AUTHORITY.—The Secretary shall 

18 waive the limitation in section 1001D of this Act if 

19 the Secretary determines that doing so is necessary to 

20 fulfill the objectives of the regional water enhancement 

21 program. 

22 ‘‘(e) MODIFICATION OF SECRETARIAL AUTHORITY.— 

23 To the extent that the Secretary will be carrying out re24 gional water enhancement activities in an area, the Sec25 retary may use the general authorities provided in this subVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00213 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 title to ensure that all producers and landowners in the re2 gion have the opportunity to participate in such activities. 

3 ‘‘(f) RELATIONSHIP WITH OTHER PROGRAMS.—The 

4 Secretary shall ensure that, to the extent producers and 

5 landowners are individually participating in other pro6 grams under this subtitle in a region where the regional 

7 water enhancement program is in effect, any improvements 

8 to water quality or water quantity attributable to such in9 dividual participation is included in the evaluation criteria 

10 developed under subparagraph (d)(1)(B). 

11 ‘‘(g) CONSISTENCY WITH STATE LAW.—Any regional 

12 water enhancement activity conducted under this section 

13 shall be consistent with State water laws. 

14 ‘‘(h) FUNDING.— 

15 ‘‘(1) AVAILABILITY OF FUNDS.—In addition to 

16 funds made available to carry out this chapter under 

17 section 1241(a)(6), the Secretary shall use funds of 

18 the Commodity Credit Corporation to carry out this 

19 section in the amount of, to the maximum extent 

20 practicable, $60,000,000 for each of fiscal years 2008 

21 through 2012. 

22 ‘‘(2) LIMITATION ON ADMINISTRATIVE EX23 PENSES.—Not more than 3 percent of the funds made 

24 available under paragraph (1) for a fiscal year may 

25 be used for administrative expenses of the Secretary.’’. 


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1 SEC. 2107. GRASSROOTS SOURCE WATER PROTECTION PRO2 GRAM. 

3 (a) AUTHORIZATION OF APPROPRIATIONS.—Section 

4 1240O(b) of the Food Security Act of 1985 (16 U.S.C. 

5 3839bb–2(b)) is amended by striking ‘‘$5,000,000 for each 

6 of fiscal years 2002 through 2007’’ and inserting 

7 ‘‘$20,000,000 for each of fiscal years 2008 through 2012’’. 

8 (b) ADDITIONAL FUNDING.—Section 1240O of the 

9 Food Security Act of 1985 (16 U.S.C. 3839bb–2) is amend10 ed by adding at the end the following new subsection: 

11 ‘‘(c) ONE-TIME INFUSION OF FUNDS.—Of the funds of 

12 the Commodity Credit Corporation, the Secretary shall 

13 make available, on a one-time basis, $10,000,000 to carry 

14 out this section. Such funds shall remain available until 

15 expended.’’. 

16 SEC. 2108. CONSERVATION OF PRIVATE GRAZING LAND. 

17 Section 1240M(e) of the Food Security Act of 1985 (16 

18 U.S.C. 3839bb(e)) is amended by striking ‘‘2007’’ and in19 serting ‘‘2012’’. 

20 SEC. 2109. GREAT LAKES BASIN PROGRAM FOR SOIL ERO21 SION AND SEDIMENT CONTROL. 

22 Section 1240P(c) of the Food Security Act of 1985 (16 

23 U.S.C. 3839bb–3(c)) is amended by striking ‘‘2007’’ and in24 serting ‘‘2012’’. 


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1 SEC. 2110. FARM AND RANCHLAND PROTECTION PROGRAM. 

2 Subchapter B of chapter 2 of subtitle D of title XII 

3 of the Food Security Act of 1985 (16 U.S.C. 3838h et seq.) 

4 is amended to read as follows: 

5 ‘‘Subchapter B—Farm and Ranchland 

6 Protection Program 

7 ‘‘SEC. 1238H. DEFINITIONS. 

8 ‘‘In this subchapter: 

9 ‘‘(1) ELIGIBLE ENTITY.—The term ‘eligible enti10 ty’ means any of the following: 

11 ‘‘(A) An agency of a State or local govern12 ment or an Indian tribe (including a farmland 

13 protection board or land resource council estab14 lished under State law). 

15 ‘‘(B) An organization that is organized for, 

16 and at all times since the formation of the orga17 nization has been operated principally for, 1 or 

18 more of the conservation purposes specified in 

19 clause (i), (ii), (iii), or (iv) of section 

20 170(h)(4)(A) of the Internal Revenue Code of 

21 1986. 

22 ‘‘(C) An organization described in section 

23 501(c)(3) of the Internal Revenue Code of 1986 

24 that is exempt from taxation under section 

25 501(a) of that Code. 


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1 ‘‘(D) An organization described in section 

2 509(a)(2) of the Internal Revenue Code of 1986. 

3 ‘‘(E) An organization described in section 

4 509(a)(3) of the Internal Revenue Code of 1986 

5 that is controlled by an organization described 

6 in section 509(a)(2), of that Code. 

7 ‘‘(2) ELIGIBLE LAND.—The term ‘eligible land’ 

8 means land on a farm or ranch that— 

9 ‘‘(A) is cropland; 

10 ‘‘(B) is rangeland; 

11 ‘‘(C) is grassland; 

12 ‘‘(D) is pasture land; 

13 ‘‘(E) is forest land that is an incidental 

14 part of an agricultural operation, as determined 

15 by the Secretary; or 

16 ‘‘(F) contains historical or archaeological 

17 resources. 

18 ‘‘(3) INDIAN TRIBE.—The term ‘Indian tribe’ has 

19 the meaning given the term in section 4 of the Indian 

20 Self-Determination and Education Assistance Act (25 

21 U.S.C. 450b). 

22 ‘‘(4) PROGRAM.—The term ‘program’ means the 

23 farm and ranchland protection program established 

24 under section 1238I(a). 


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1 ‘‘(5) SECRETARY.—The term ‘Secretary’ means 

2 the Secretary of Agriculture. 

3 ‘‘SEC. 1238I. FARM AND RANCHLAND PROTECTION PRO4 GRAM. 

5 ‘‘(a) ESTABLISHMENT.— 

6 ‘‘(1) ESTABLISHMENT AND PURPOSE.—The Sec7 retary shall establish and carry out a farm and 

8 ranchland protection program under which the Sec9 retary shall facilitate and provide funding for the 

10 purchase of conservation easements or other interests 

11 in eligible land that is subject to a pending offer from 

12 a certified State or eligible entity for the purpose of 

13 protecting the agricultural use and related conserva14 tion values of the land by limiting incompatible non15 agricultural uses of the land. 

16 ‘‘(2) PRIORITY.—In carrying out the program, 

17 the Secretary shall give the highest priority— 

18 ‘‘(A) to protecting farm and ranchland with 

19 prime, unique or other productive soils that are 

20 at risk of non-agricultural development; or 

21 ‘‘(B) to projects that further a State or local 

22 policy consistent with the purposes of the pro23 gram. 

24 ‘‘(b) GRANTS TO CERTIFIED STATES.—The Secretary 

25 shall make grants to States certified by the Secretary under 


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1 subsection (c). Such grants shall be made based on dem2 onstrated need for farm and ranch land protection. Grants 

3 may be made for multiple transactions so long as all funds 

4 provided under the program are used to purchase conserva5 tion easements or other interests in land in a timely and 

6 effective manner. A State receiving a grant under this sub7 section may use up to 10 percent of the grant funds for 

8 reasonable costs of purchasing and enforcing conservation 

9 easements. 

10 ‘‘(c) CERTIFICATION OF STATES FOR GRANTS.— 

11 ‘‘(1) CERTIFICATION PROCESS.—The Secretary 

12 shall implement a process, to be published in the Fed13 eral Register, for certifying States as eligible to par14 ticipate in the program. The Secretary may provide 

15 a reasonable transitional period, not to extend past 

16 September 30, 2008, in order to allow continued oper17 ation of the program for such time as needed for the 

18 Secretary to implement the certification process. 

19 ‘‘(2) CERTIFICATION REQUIREMENTS.—To be 

20 certified under the process implemented under para21 graph (1), a State shall demonstrate, at a minimum, 

22 the following: 

23 ‘‘(A) A legislative or organizational purpose 

24 consistent with the purposes of the program. 


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1 ‘‘(B) The necessary authority and the re2 sources and technical ability to monitor and en3 force the terms of conservation easements or other 

4 interests in land or to require the holder of such 

5 easements or other interests in land acquired 

6 with the use of funding under the program to 

7 monitor and enforce the terms of such easements 

8 or other interests in land. 

9 ‘‘(C) The capacity to provide the necessary 

10 matching funds from non-Federal sources for 

11 projects undertaken under the program and to 

12 use program funds in a timely and effective 

13 manner. 

14 ‘‘(D) Policies and procedures to ensure that, 

15 on average, the purchase price of conservation 

16 easements or other interests in land purchased 

17 with program funds do not exceed the fair mar18 ket value of the easements or other interests in 

19 land. 

20 ‘‘(E) Policies and procedures that ensure 

21 that conservation easements or other interests in 

22 land purchased with program funds will con23 tinue to protect the agricultural use and related 

24 conservation values of the land. 


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1 ‘‘(F) Provision for continued stewardship of 

2 the conservation easements or other interest in 

3 land purchased with program funds in the event 

4 the State loses its certification under the pro5 gram. 

6 ‘‘(G) A determination of its own criteria 

7 and priorities for purchasing conservation ease8 ments and other interests in land under the pro9 gram. 

10 ‘‘(d) AGREEMENTS WITH ELIGIBLE ENTITIES.— 

11 ‘‘(1) AGREEMENTS AUTHORIZED.—The Secretary 

12 may enter into an agreement with an eligible entity, 

13 under which the entity may purchase conservation 

14 easements using a combination of its own funds and 

15 funds distributed by the Secretary under the program. 

16 ‘‘(2) TERMS AND CONDITIONS.—An agreement 

17 under this subsection shall stipulate the terms and 

18 conditions under which the eligible entity shall use 

19 funds provided by the Secretary under the program. 

20 The eligible entity shall be authorized to use its own 

21 terms and conditions for conservation easements and 

22 other purchases of interests in land, so long as— 

23 ‘‘(A) such terms and conditions are con24 sistent with the purposes of the program and 


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1 permit effective enforcement of the conservation 

2 purposes of such easements or other interests; 

3 ‘‘(B) the eligible entity has in place a re4 quirement consistent with agricultural activities 

5 regarding the impervious surfaces to be allowed 

6 for any conservation easement or other interest 

7 in land purchased using funds provided under 

8 the program; and 

9 ‘‘(C) the eligible entity requires use of a 

10 conservation plan for any highly erodible crop11 land for which a conservation easement or other 

12 interest in land has been purchased using funds 

13 provided under the program. 

14 ‘‘(e) FEDERAL CONTINGENT RIGHT OF ENFORCE15 MENT.—The Secretary may require the inclusion of a Fed16 eral contingent right of enforcement or executory limitation 

17 in a conservation easement or other interest in land for con18 servation purposes purchased with Federal funds provided 

19 under the program, in order to preserve the easement as 

20 a party of last resort. The inclusion of such a right or inter21 est shall not be considered to be the Federal acquisition of 

22 real property and the Federal standards and procedures for 

23 land acquisition shall not apply to the inclusion of the right 

24 or interest 

25 ‘‘(f) REVIEW; REVOCATION.— 


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1 ‘‘(1) REVIEW.—Every 3 years, the Secretary 

2 shall review the certification of States under sub3 section (c) and the performance of eligible entities in 

4 meeting the terms and conditions of an agreement 

5 under subsection (d). 

6 ‘‘(2) REVOCATION.— If, in the determination of 

7 the Secretary, a State no longer meets the qualifica8 tions described in subsection (c)(2) or an eligible enti9 ty is not meeting the terms and conditions of an 

10 agreement under subsection (d), the Secretary may— 

11 ‘‘(A) revoke the certification of the State or 

12 terminate the agreement with the eligible entity; 

13 or 

14 ‘‘(B) allow the State or eligible entity a 

15 specified period of time in which to take such ac16 tions as may be necessary to retain its certifi17 cation or to meet the terms and conditions of the 

18 agreement, as the case may be. 

19 ‘‘(g) CONSERVATION PLAN.—Any highly erodible crop20 land for which a conservation easement or other interest 

21 is purchased under this subchapter shall be subject to the 

22 requirements of a conservation plan. In the case of an ease23 ment or other interest in land that is perpetual in duration, 

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1 land to less intensive uses if, under such plan, soil erosion 

2 can be reduced to ‘T’ or below. 

3 ‘‘(h) COST SHARING.—The share of the cost provided 

4 under this section for purchasing a conservation easement 

5 or other interest in land shall not exceed 50 percent of the 

6 appraised fair market value of the conservation easement 

7 or other interest in eligible land. Fair market value shall 

8 be determined on the basis of an appraisal of the conserva9 tion easement or other interest in eligible land using an 

10 industry-approved methodology determined by the entity.’’. 

11 SEC. 2111. FARM VIABILITY PROGRAM. 

12 Section 1238J(b) of the Food Security Act of 1985 (16 

13 U.S.C. 3838j(b)) is amended by striking ‘‘2007’’ and insert14 ing ‘‘2012’’. 

15 SEC. 2112. WILDLIFE HABITAT INCENTIVE PROGRAM. 

16 (a) REAUTHORIZATION.—Section 1240N of the Food 

17 Security Act of 1985 (16 U.S.C. 3839bb–1) is amended by 

18 adding at the end the following new subsection: 

19 ‘‘(d) DURATION OF PROGRAM.—Using funds made 

20 available under section 1241(a)(7), the Secretary shall 

21 carry out the program during fiscal years 2008 through 

22 2012.’’. 

23 (b) COST SHARE FOR LONG-TERM AGREEMENTS AND

24 IMPACT ON SCOPE OF OPERATIONS.—Section 1240N(b)(2) 


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1 of the Food Security Act of 1985 (16 U.S.C. 3839bb– 

2 1(b)(2)) is amended— 

3 (1) in the paragraph heading by inserting ‘‘AND

4 IMPACT ON SCOPE OF OPERATIONS’’ after ‘‘AGREE5 MENTS’’; 

6 (2) in subparagraph (A), by striking ‘‘years,’’ 

7 and inserting ‘‘years, or that will assist producers in 

8 meeting a regulatory requirement imposed on lands 

9 in agriculture production that reduces the economic 

10 scope of the producer’s operation,’’; and 

11 (3) in subparagraph (B), by striking ‘‘15 per12 cent’’ and inserting ‘‘25 percent’’. 

13 Subtitle B—Conservation Programs 

14 Under Other Laws 

15 SEC. 2201. AGRICULTURAL MANAGEMENT ASSISTANCE PRO16 GRAM. 

17 (a) ELIGIBLE STATES.—Section 524(b)(1) of the Fed18 eral Crop Insurance Act (7 U.S.C. 1524(b)(1)) is amend19 ed— 

20 (1) by inserting ‘‘Hawaii,’’ after ‘‘Delaware,’’; 

21 and 

22 (2) by inserting ‘‘Virginia,’’ after ‘‘Vermont,’’. 

23 (b) TECHNICAL CORRECTION.—Section 

24 524(b)(4)(B)(i) of the Federal Crop Insurance Act (7 U.S.C. 


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1 1524(b)(4)(B)(i)) is amended by striking ‘‘Except as pro2 vided in clauses (ii) and (iii), the’’ and inserting ‘‘The’’. 

3 (c) CERTAIN USES.—Section 524(b)(4) of the Federal 

4 Crop Insurance Act (7 U.S.C. 1524(b)(4)(B)) is amended 

5 by adding at the end the following new subparagraph: 

6 ‘‘(C) CERTAIN USES.—Of the amounts made 

7 available to carry out this subsection for a fiscal 

8 year, the Commodity Credit Corporation shall 

9 use not less than— 

10 ‘‘(i) 50 percent to carry out subpara11 graphs (A), (B), and (C) of paragraph (2) 

12 through the Natural Resources Conservation 

13 Service; 

14 ‘‘(ii) 10 percent to provide organic cer15 tification cost share assistance through the 

16 Agricultural Marketing Service; and 

17 ‘‘(iii) 40 percent to conduct activities 

18 to carry out subparagraph (F) of paragraph 

19 (2) through the Risk Management Agency.’’. 

20 SEC. 2202. RESOURCE CONSERVATION AND DEVELOPMENT 

21 PROGRAM. 

22 (a) LOCALLY LED PLANNING PROCESS.—Section 1528 

23 of the Agriculture and Food Act of 1981 (16 U.S.C. 3451) 

24 is amended— 


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1 (1) in paragraph (1), by striking ‘‘planning 

2 process’’ in the matter preceding subparagraph (A) 

3 and inserting ‘‘locally led planning process’’; and 

4 (2) in paragraph (9), by striking ‘‘council’’ and 

5 inserting ‘‘locally led council’’. 

6 (b) AUTHORIZED TECHNICAL ASSISTANCE.—Section 

7 1528(13) of the Agriculture and Food Act of 1981 (16 

8 U.S.C. 3451(13)) is amended by striking subparagraphs (C) 

9 and (D) and inserting the following new subparagraphs: 

10 ‘‘(C) providing assistance for the implemen11 tation of area plans and projects; and 

12 ‘‘(D) providing services which bring to bear 

13 the resources of Department of Agriculture pro14 grams in a local community, as defined in the 

15 locally led planning process.’’. 

16 (c) IMPROVED PROVISION OF TECHNICAL ASSIST17 ANCE.—Section 1531 of the Agriculture and Food Act of 

18 1981 (16 U.S.C. 3454) is amended— 

19 (1) by inserting ‘‘(a) IN GENERAL.—’’ before ‘‘In 

20 carrying’’; and 

21 (2) by adding at the end the following new sub22 section: 

23 ‘‘(b) COORDINATOR.—To improve the provision of tech24 nical assistance to councils under this subtitle, the Sec25 retary shall designate an individual, to be known as the 


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1 ‘Coordinator’, for each council. The Coordinator shall be di2 rectly responsible for the provision of technical assistance 

3 to the council.’’. 

4 (d) PROGRAM EVALUATION.—Section 1534 of the Agri5 culture and Food Act of 1981 (16 U.S.C. 3457) is repealed. 

6 SEC. 2203. SMALL WATERSHED REHABILITATION PROGRAM. 

7 (a) AVAILABILITY OF FUNDS.—Section 14(h)(1) of the 

8 Watershed Protection and Flood Prevention Act (16 U.S.C. 

9 1012(h)(1)) is amended by adding at the end the following 

10 new subparagraph: 

11 ‘‘(G) $50,000,000 for each of fiscal years 

12 2009 through 2012.’’. 

13 (b) AUTHORIZATION OF APPROPRIATIONS.—Section 

14 14(h)(2)(E) of the Watershed Protection and Flood Preven15 tion Act (16 U.S.C. 1012(h)(2)(E)) is amended by striking 

16 ‘‘fiscal year 2007’’ and inserting ‘‘each of fiscal years 2007 

17 through 2012’’. 

18 Subtitle C—Additional 

19 Conservation Programs 

20 SEC. 2301. CHESAPEAKE BAY PROGRAM FOR NUTRIENT RE21 DUCTION AND SEDIMENT CONTROL. 

22 Chapter 5 of subtitle D of the Food Security Act of 

23 1985 is amended by inserting after section 1240P (16 

24 U.S.C. 3839bb–3) the following new section: 


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1 ‘‘SEC. 1240Q. RIVER RESTORATION IN THE CHESAPEAKE 

2 BAY WATERSHED. 

3 ‘‘(a) CHESAPEAKE BAY WATERSHED DEFINED.—In 

4 this section, the term ‘Chesapeake Bay watershed’ means 

5 all tributaries, backwaters, and side channels, including 

6 their watersheds, draining into the Chesapeake Bay. 

7 ‘‘(b) COMPREHENSIVE PLAN FOR CHESAPEAKE BAY

8 WATERSHED.— 

9 ‘‘(1) DEVELOPMENT.—The Secretary of Agri10 culture shall develop, as expeditiously as practicable, 

11 a proposed comprehensive plan for the purpose of re12 storing, preserving, and protecting the Chesapeake 

13 bay watershed. 

14 ‘‘(2) PROVEN TECHNOLOGIES AND INNOVATIVE

15 APPROACHES.—The comprehensive plan shall provide 

16 for the development of new technologies and innova17 tive approaches to advance the following goals: 

18 ‘‘(A) Improvement of water quality and 

19 quantity within the Chesapeake Bay. 

20 ‘‘(B) Restoration, enhancement, and preser21 vation of habitat for plants and wildlife. 

22 ‘‘(C) Increase economic opportunity for pro23 ducers and rural communities. 

24 ‘‘(3) SPECIFIC COMPONENTS.—The comprehen25 sive plan shall include such features as are necessary 

26 to provide for— 


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1 ‘‘(A) the development and implementation 

2 of a program for erosion prevention and control, 

3 sediment control and sediment removal, and re4 duction of nutrient loads; 

5 ‘‘(B) the development and implementation 

6 of a program for— 

7 ‘‘(i) the planning, conservation, eval8 uation, and construction of measures for 

9 fish and wildlife habitat conservation and 

10 rehabilitation; and 

11 ‘‘(ii) stabilization and enhancement of 

12 land and water resources; and 

13 ‘‘(C) the development and implementation 

14 of a long-term resource monitoring program. 

15 ‘‘(4) CONSULTATION.—The comprehensive plan 

16 shall be developed by the Secretary in consultation 

17 with appropriate Federal and State agencies. 

18 ‘‘(c) SUBMISSION OF PLAN.— 

19 ‘‘(1) SUBMISSION.—Not later than 2 years after 

20 the date of enactment of the Farm, Nutrition, and 

21 Bioenergy Act of 2007, the Secretary shall transmit 

22 to Congress a report containing the comprehensive 

23 plan. 

24 ‘‘(2) ADDITIONAL STUDIES AND ANALYSES.— 

25 After submission of the report required by paragraph 


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1 (1), the Secretary shall continue to conduct such stud2 ies and analyses related to the comprehensive plan as 

3 are necessary, consistent with this subsection. 

4 ‘‘(d) RESTORATION ENHANCEMENT AND PRESERVA5 TION PROJECTS.— 

6 ‘‘(1) PROJECT AUTHORITY.—In cooperation with 

7 appropriate Federal and State agencies, the Secretary 

8 shall carry out restoration enhancement and preserva9 tion projects for the Chesapeake Bay watershed to ad10 dress the goals specified in subsection (b)(2). To 

11 achieve the restoration, preservation, and protection 

12 benefits of a project, the Secretary shall proceed expe13 ditiously with the implementation of the project con14 sistent with the comprehensive plan. 

15 ‘‘(2) CRITICAL PROJECTS.—In carrying out this 

16 subsection, the Secretary shall begin with the Susque17 hanna River, the Shenandoah River, the Potomac 

18 River, and the Patuxent River. 

19 ‘‘(3) AVAILABILITY OF FUNDS.—Of the funds of 

20 the Commodity Credit Corporation, the Secretary 

21 shall use to carry out projects under this subsection 

22 the following amounts: 

23 ‘‘(A) $10,000,000 for fiscal year 2008. 

24 ‘‘(B) $15,000,000 for fiscal year 2009. 

25 ‘‘(C) $30,000,000 for fiscal year 2010. 


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1 ‘‘(D) $40,000,000 for fiscal year 2011. 

2 ‘‘(E) $55,000,000 for fiscal year 2012. 

3 ‘‘(4) FEDERAL SHARE.—The Federal share of the 

4 cost of carrying out any individual project under this 

5 subsection shall not exceed $5,000,000. 

6 ‘‘(e) GENERAL PROVISIONS.— 

7 ‘‘(1) WATER QUALITY.—In carrying out projects 

8 and activities under this section, the Secretary shall 

9 take into account the protection of water quality by 

10 considering applicable State water quality standards. 

11 ‘‘(2) PUBLIC PARTICIPATION.—In developing the 

12 comprehensive plan under subsection (b) and car13 rying out projects under subsection (d), the Secretary 

14 shall implement procedures to facilitate public par15 ticipation, including providing advance notice of 

16 meetings, providing adequate opportunity for public 

17 input and comment, maintaining appropriate 

18 records, and making a record of the proceeding of 

19 meetings available for public inspection. 

20 ‘‘(f) COORDINATION.—The Secretary shall integrate 

21 and coordinate projects and activities carried out under 

22 this section with other Federal and State programs, 

23 projects, and activities. 

24 ‘‘(g) COST SHARING.— 


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1 ‘‘(1) NON-FEDERAL SHARE.—Subject to sub2 section (d)(4), the non-Federal share of the cost of 

3 projects and activities carried out under this section 

4 shall be not less than 35 percent. 

5 ‘‘(2) OPERATION, MAINTENANCE, REHABILITA6 TION, AND REPLACEMENT.—The operation, mainte7 nance, rehabilitation, and replacement of projects car8 ried out under this section shall be a non-Federal re9 sponsibility. 

10 ‘‘(h) SENSE OF CONGRESS REGARDING CHESAPEAKE

11 BAY EXECUTIVE COUNCIL.— 

12 ‘‘(1) FINDINGS.—Congress finds the following: 

13 ‘‘(A) One of the stated goals of the Chesa14 peake Bay Agreement is to ‘develop, promote, 

15 and achieve sound land use practices which pro16 tect and restore watershed resources and water 

17 quality, maintain reduced pollutant loadings for 

18 the Bay and its tributaries, and restore and pre19 serve aquatic living resources’. 

20 ‘‘(B) Department of Agriculture conserva21 tion programs are integral to the restoration of 

22 the Chesapeake Bay and achieving the water 

23 quality goals for the Chesapeake Bay program. 

24 ‘‘(2) SENSE OF CONGRESS.—In light of the find25 ings specified in paragraph (1), it is the sense of ConVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00233 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 gress that the Secretary of Agriculture should be a 

2 member of the Chesapeake Bay Executive Council, 

3 and is authorized to do so under section 1(3) of the 

4 Soil Conservation and Domestic Allotment Act (16 

5 U.S.C. 590a(3)).’’. 

6 SEC. 2302. VOLUNTARY PUBLIC ACCESS AND HABITAT IN7 CENTIVE PROGRAM. 

8 Chapter 5 of subtitle D of title XII of the Food Security 

9 Act of 1985 is amended by inserting after section 1240Q, 

10 as added by section 2301, the following new section: 

11 ‘‘SEC. 1240R. VOLUNTARY PUBLIC ACCESS AND HABITAT IN12 CENTIVE PROGRAM. 

13 ‘‘(a) ESTABLISHMENT.—The Secretary shall establish 

14 a voluntary public access program under which States and 

15 tribal governments may apply for grants to encourage own16 ers and operators of privately-held farm, ranch, and forest 

17 land to voluntarily make that land available for access by 

18 the public for wildlife-dependent recreation, including hunt19 ing or fishing, under programs administered by the States 

20 and tribal governments. 

21 ‘‘(b) APPLICATIONS.—In submitting applications for a 

22 grant under the program, a State or tribal government shall 

23 describe— 


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1 ‘‘(1) the benefits that the State or tribal govern2 ment intends to achieve by encouraging public access 

3 to private farm and ranch land for— 

4 ‘‘(A) hunting and fishing; and 

5 ‘‘(B) to the maximum extent practicable, 

6 other recreational purposes; and 

7 ‘‘(2) the methods that will be used to achieve 

8 those benefits. 

9 ‘‘(c) PRIORITY.—In approving applications and 

10 awarding grants under the program, the Secretary shall 

11 give priority to States and tribal governments that— 

12 ‘‘(1) have consistent opening dates for migratory 

13 bird hunting for both residents and non-residents; 

14 ‘‘(2) propose to maximize participation by offer15 ing a program the terms of which are likely to meet 

16 with widespread acceptance among landowners; 

17 ‘‘(3) propose to ensure that land enrolled under 

18 the State or tribal government program has appro19 priate wildlife habitat; 

20 ‘‘(4) propose to strengthen wildlife habitat im21 provement efforts on land enrolled in a special con22 servation reserve enhancement program described in 

23 1234(f)(4) by providing incentives to increase public 

24 hunting and other recreational access on that land; 

25 and 


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1 ‘‘(5) propose to use additional Federal, State, 

2 tribal government, or private resources in carrying 

3 out the program. 

4 ‘‘(d) RELATIONSHIP TO OTHER LAWS.—Nothing in 

5 this section preempts a State or tribal government law, in6 cluding any State or tribal government liability law. 

7 ‘‘(e) REGULATIONS.—The Secretary shall promulgate 

8 such regulations as are necessary to carry out this section. 

9 ‘‘(f) AUTHORIZATION OF APPROPRIATIONS.—There is 

10 authorized to be appropriated to the Secretary $20,000,000 

11 for each of fiscal years 2008 through 2012 to carry out this 

12 section.’’. 

13 Subtitle D—Administration and 

14 Funding 

15 SEC. 2401. FUNDING OF CONSERVATION PROGRAMS UNDER 

16 FOOD SECURITY ACT OF 1985. 

17 (a) IN GENERAL.—Section 1241(a) of the Food Secu18 rity Act of 1985 (16 U.S.C. 3841(a)) is amended in the 

19 matter preceding paragraph (1), by striking ‘‘2007’’ and 

20 inserting ‘‘2012’’. 

21 (b) CONSERVATION SECURITY PROGRAM.—Paragraph 

22 (3) of section 1241(a) of the Food Security Act of 1985 (16 

23 U.S.C. 3841(a)) is amended to read as follows: 


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1 ‘‘(3) The conservation security program under 

2 subchapter A of chapter 2, using, to the maximum ex3 tent practicable— 

4 ‘‘(A) in the case of conservation security 

5 contracts entered into before October 1, 2007, 

6 under such subchapter, as in effect on the day be7 fore the date of the enactment of the Farm, Nu8 trition, and Bioenergy Act of 2007— 

9 ‘‘(i) $1,454,000,000 for the period of 

10 fiscal years 2007 through 2012; and 

11 ‘‘(ii) $1,927,000,000 for the period of 

12 fiscal years 2007 through 2017; and 

13 ‘‘(B) in the case of conservation security 

14 contracts entered into on or after October 1, 

15 2011, under such subchapter— 

16 ‘‘(i) $501,000,000 for fiscal year 2012; 

17 and 

18 ‘‘(ii) $4,646,000,000 for the period of 

19 fiscal years 2012 through 2017.’’. 

20 (c) FARM AND RANCHLAND PROTECTION PROGRAM.— 

21 Paragraph (4) of section 1241(a) of the Food Security Act 

22 of 1985 (16 U.S.C. 3841(a)) is amended to read as follows: 

23 ‘‘(4) The farm and ranchland protection pro24 gram under subchapter B of chapter 2, using, to the 

25 maximum extent practicable— 


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1 ‘‘(A) $125,000,000 in fiscal year 2008; 

2 ‘‘(B) $150,000,000 in fiscal year 2009; 

3 ‘‘(C) $200,000,000 in fiscal year 2010; 

4 ‘‘(D) $240,000,000 in fiscal year 2011; and 

5 ‘‘(E) $280,000,000 in fiscal year 2012.’’. 

6 (d) ENVIRONMENTAL QUALITY INCENTIVES PRO7 GRAM.—Paragraph (6) of section 1241(a) of the Food Secu8 rity Act of 1985 (16 U.S.C. 3841(a)) is amended to read 

9 as follows: 

10 ‘‘(6) The environmental quality incentives pro11 gram under chapter 4, using, to the maximum extent 

12 practicable— 

13 ‘‘(A) $1,500,000,000 in fiscal year 2008; 

14 ‘‘(B) $1,600,000,000 in fiscal year 2009; 

15 ‘‘(C) $1,700,000,000 in fiscal year 2010; 

16 ‘‘(D) $1,800,000,000 in fiscal year 2011; 

17 and 

18 ‘‘(E) $2,000,000,000 in fiscal year 2012.’’. 

19 (e) WILDLIFE HABITAT INCENTIVES PROGRAM.— 

20 Paragraph (7)(D) of section 1241(a) of the Food Security 

21 Act of 1985 (16 U.S.C. 3841(a)) is amended by striking 

22 ‘‘2007’’ and inserting ‘‘2012’’. 


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1 SEC. 2402. IMPROVED PROVISION OF TECHNICAL ASSIST2 ANCE UNDER CONSERVATION PROGRAMS. 

3 Section 1242 of the Food Security Act of 1985 (16 

4 U.S.C. 3842) is amended— 

5 (1) in subsection (a)— 

6 (A) by striking ‘‘or’’ at the end of para7 graph (1); and 

8 (B) by striking paragraph (2) and inserting 

9 the following new paragraphs: 

10 ‘‘(2) through a contract with an approved third 

11 party, if available; or 

12 ‘‘(3) at the option of the producer, through a 

13 payment as determined by the Secretary, directly to 

14 an approved third party, if available, or to the pro15 ducer for an approved third party, if available.’’; 

16 (2) in subsection (b)— 

17 (A) by striking ‘‘technical assistance’’ each 

18 place it appears and inserting ‘‘technical serv19 ices’’; and 

20 (B) in paragraph (1)(B), by striking ‘‘that 

21 assistance’’ and inserting ‘‘those technical serv22 ices’’; and 

23 (3) by adding at the end the following new sub24 sections: 

25 ‘‘(c) PAYMENT AMOUNTS.— 


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1 ‘‘(1) USE OF PREVAILING MARKET RATES.—The 

2 Secretary shall set the amounts of payments under 

3 subsection (b)(1)(B) for technical services at levels not 

4 less than prevailing private market rates. 

5 ‘‘(2) EXCEPTION.—Paragraph (1) shall not 

6 apply in instances where personnel of the Department 

7 of Agriculture are immediately available to provide 

8 comparable technical services to eligible producers. 

9 ‘‘(d) REVIEW AND EXPEDITED APPROVAL OF TECH10 NICAL ASSISTANCE SPECIFICATIONS.— 

11 ‘‘(1) REVIEW OF EXISTING TECHNICAL ASSIST12 ANCE SPECIFICATIONS.— 

13 ‘‘(A) REVIEW OF SPECIFICATIONS.—The 

14 Secretary shall direct each State to review and 

15 ensure, to the maximum extent practicable, the 

16 completeness and relevance of technical assist17 ance specifications in effect as of the date of the 

18 enactment of the Farm, Nutrition, and Bio19 energy Act of 2007. 

20 ‘‘(B) CONSULTATION.—In conducting the 

21 assessment under subparagraph (A), a State 

22 shall consult with specialty crop producers, crop 

23 consultants, cooperative extension and land24 grant universities, nongovernmental organiza25 tions, and other qualified entities. 


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1 ‘‘(C) EXPEDITED REVISION OF SPECIFICA2 TIONS.—If a State determines under subpara3 graph (A) that revisions to its technical assist4 ance specifications are necessary, the State shall 

5 establish an administrative process for expe6 diting the revisions. 

7 ‘‘(2) ADDRESSING CONCERNS OF SPECIALTY

8 CROP PRODUCERS.— 

9 ‘‘(A) IN GENERAL.—The Secretary shall di10 rect each State to fully incorporate into its tech11 nical assistance specifications and provide for 

12 the appropriate range of conservation practices 

13 and resource mitigation measures available to 

14 specialty crop producers. 

15 ‘‘(B) AVAILABILITY OF ADEQUATE TECH16 NICAL ASSISTANCE.—The Secretary shall ensure 

17 that adequate technical assistance is available 

18 for the implementation of conservation practices 

19 by specialty crop producers through Federal con20 servation programs. In carrying out this require21 ment, the Secretary shall develop— 

22 ‘‘(i) programs that meet specific needs 

23 of specialty crop producers through coopera24 tive agreements with other agencies and 

25 nongovernmental organizations; and 


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1 ‘‘(ii) program specifications that allow 

2 for innovative approaches that engage local 

3 resources in providing technical assistance 

4 for planning and implementation of con5 servation practices. 

6 ‘‘(e) NON-FEDERAL ASSISTANCE.—The Secretary may 

7 request the services of, and enter into cooperative agree8 ments or contracts with, non-Federal entities to assist the 

9 Secretary in providing technical assistance necessary to de10 velop and implement conservation programs under this 

11 title.’’. 

12 SEC. 2403. COOPERATIVE CONSERVATION PARTNERSHIP 

13 INITIATIVE. 

14 (a) TRANSFER OF EXISTING PROVISIONS.—Sub15 sections (b), (c), and (d) of section 1243 of the Food Secu16 rity Act of 1985 (16 U.S.C. 3843) are— 

17 (1) redesignated as subsections (c), (d), and (e), 

18 respectively; and 

19 (2) transferred to appear at the end of section 

20 1244 of such Act (16 U.S.C. 3844). 

21 (b) ESTABLISHMENT OF PARTNERSHIP INITIATIVE.— 

22 Section 1243 of the Food Security Act of 1985 (16 U.S.C. 

23 3843), as amended by subsection (a), is amended to read 

24 as follows: 


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1 ‘‘SEC. 1243. COOPERATIVE CONSERVATION PARTNERSHIP 

2 INITIATIVE. 

3 ‘‘(a) ESTABLISHMENT OF INITIATIVE.— 

4 ‘‘(1) ESTABLISHMENT.—The Secretary shall es5 tablish a cooperative conservation partnership initia6 tive (in this section referred to as the ‘Partnership’) 

7 within each program described in subsection (b) to 

8 address conservation issues involving production agri9 culture on local, regional, or State levels. 

10 ‘‘(2) ADMINISTRATION.—The Secretary shall 

11 carry out the Partnership— 

12 ‘‘(A) by selecting proposals for grants and 

13 agreements by eligible entities described in sub14 section (c) through a competitive selection proc15 ess; 

16 ‘‘(B) by making grants to, and entering 

17 into agreements with, with eligible entities de18 scribed in subsection (c) for not less than 2 

19 years, but not more than 5 years, in duration; 

20 and 

21 ‘‘(C) by providing producers that are par22 ticipating in a special project and initiative of 

23 an eligible entity preferential enrollment into 1 

24 or more of the programs described in subsection 

25 (b). 


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1 ‘‘(3) PURPOSES.—The purposes of the Partner2 ship are to carry out special projects and initia3 tives— 

4 ‘‘(A) to address conservation issues involv5 ing production agriculture on local, regional, or 

6 State levels through producers and eligible enti7 ties; 

8 ‘‘(B) to address community and economic 

9 development needs and opportunities; and 

10 ‘‘(C) to increase access to, and participation 

11 in, the programs described in subsection (b) by 

12 producers of specialty crops (as defined in sec13 tion 3 of the Specialty Crops Competitiveness 

14 Act of 2004, Pub. L. 108–465 (7 U.S.C. 1621 

15 note). 

16 ‘‘(b) COVERED PROGRAMS.—The conservation pro17 grams covered by this section are the following: 

18 ‘‘(1) Conservation security program. 

19 ‘‘(2) Environmental quality incentives program. 

20 ‘‘(3) Wildlife habitat incentive program. 

21 ‘‘(c) ELIGIBLE PARTNERS.—Grants may be made or 

22 agreements may be entered into under this section with any 

23 of the following (or a combination thereof): 

24 ‘‘(1) States and agencies of States. 


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1 ‘‘(2) Political subdivisions of States, including 

2 counties and State- or county-sponsored conservation 

3 districts. 

4 ‘‘(3) Indian tribes. 

5 ‘‘(4) Nongovernmental organizations and asso6 ciations, including producer associations, farmer co7 operatives, extension associations, and conservation 

8 organizations with a history of working cooperatively 

9 with producers to effectively address resource concerns 

10 related to agricultural production, as determined by 

11 the Secretary. 

12 ‘‘(5) A combination of partners specified in a 

13 preceding paragraph. 

14 ‘‘(d) APPLICATIONS.— 

15 ‘‘(1) COMPETITIVE PROCESS.—The Secretary 

16 shall establish a competitive process for considering 

17 applications for grants or agreements under this sec18 tion consistent with the evaluation criteria listed in 

19 subsection (e). 

20 ‘‘(2) PROGRAM ALLOCATION.—Applications shall 

21 include— 

22 ‘‘(A) specification of the amount of funding 

23 or acres, or both, of 1 or more covered programs 

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1 cated to carry out the special project or initia2 tive; and 

3 ‘‘(B) a schedule for utilization of funding or 

4 acres over the life of the proposed project or ini5 tiative. 

6 ‘‘(e) EVALUATION CRITERIA.—In evaluating applica7 tions for grants or agreements under this section the Sec8 retary shall consider the extent to which— 

9 ‘‘(1) preferential enrollment in the covered pro10 grams specified in the application will effectively ad11 dress the environmental objectives established for the 

12 special project or initiative; and 

13 ‘‘(2) the special project or initiative covered by 

14 the application— 

15 ‘‘(A) enjoys local and regional support from 

16 producers and other interested persons, including 

17 governmental and nongovernmental organiza18 tions with appropriate expertise on the issues the 

19 project or initiative seeks to address; 

20 ‘‘(B) includes clear environmental objec21 tives; 

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1 tices and activities needed to achieve environ2 mental objectives; 

3 ‘‘(D) promises adequate and coordinated 

4 participation to achieve the objectives of the 

5 project or initiative; 

6 ‘‘(E) coordinates integration of local, State, 

7 and Federal efforts to make the best use of avail8 able resources and maximize cost-effective invest9 ments; 

10 ‘‘(F) leverages financial and technical re11 sources from sources other than the programs au12 thorized by this subtitle, including financial and 

13 technical resources provided by Federal and 

14 State agencies, local governments, nongovern15 mental organizations and associations, and other 

16 private sector entities; 

17 ‘‘(G) describes how all necessary technical 

18 assistance will be provided to each producer par19 ticipating in the project or initiative, including 

20 cost estimates for technical assistance and wheth21 er such assistance will be provided by technical 

22 service providers; 

23 ‘‘(H) describes how the administrative costs 

24 of the project or initiative will be minimized; 


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1 ‘‘(I) addresses a local, State, regional, or 

2 national environmental priority or priorities, 

3 with particular emphasis on any priority for 

4 which there is an existing State or federally ap5 proved plan in place for addressing that pri6 ority; 

7 ‘‘(J) includes a plan to evaluate progress, 

8 measure results, and meet the purposes of the 

9 agreement; 

10 ‘‘(K) clearly demonstrates that enrollment of 

11 producers in covered programs will be consistent 

12 with the purposes and policies of each individual 

13 program, as established in statute, rules and reg14 ulations, and program guidance promulgated by 

15 implementing agencies; 

16 ‘‘(L) links resource and environmental ob17 jectives with community development or 

18 agritourism objectives that can be improved as a 

19 result of addressing the resources of concern; 

20 ‘‘(M) demonstrates innovation in linking 

21 environmental and community development ob22 jectives; and 

23 ‘‘(N) addresses the needs of beginning farm24 ers and ranchers, socially disadvantaged farmers 


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1 and ranchers, and limited resource farmers and 

2 ranchers. 

3 ‘‘(f) PRIORITIES.—To the maximum extent prac4 ticable, consistent with the requirements of subsection (d), 

5 the Secretary shall ensure that, each fiscal year, grants are 

6 awarded and agreements are entered into under this section 

7 to support projects and initiatives that collectively address 

8 the resource concerns facing producers, ranchers, and non9 industrial private forest landowners, including specifically 

10 projects and initiatives that are designed— 

11 ‘‘(1) to achieve improvements in water quality 

12 in watersheds impacted by agriculture, particularly 

13 by increasing the participation of producers in imple14 menting best management practices in a watershed or 

15 developing environmentally and economically viable 

16 alternative uses for manure and litter; 

17 ‘‘(2) to achieve improvements in air quality in 

18 a geographical area where agricultural operations im19 pact air quality; 

20 ‘‘(3) to support State activities to efficiently 

21 manage and utilize their water resources in regions, 

22 States or local areas where water quantity is a con23 cern; 


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1 ‘‘(4) to assist in carrying out a State Wildlife 

2 Habitat Incentives Program plan or other State, re3 gional, or national conservation initiative. 

4 ‘‘(5) to control invasive species on rangeland or 

5 other agricultural land through the cooperative efforts 

6 of multiple producers in a geographical area; 

7 ‘‘(6) to address a specific resource of concern or 

8 set of concerns on private, non-industrial forest land; 

9 ‘‘(7) to reduce losses of pesticides to the environ10 ment by engaging multiple producers in a geographic 

11 area in adoption of integrated pest management prac12 tices and approaches; 

13 ‘‘(8) to protect farmland and ranch land facing 

14 development pressures from being converted to non-ag15 ricultural use; or 

16 ‘‘(9) to assist producers in carrying out good 

17 management practices to enhance food safety. 

18 ‘‘(g) DUTIES OF PARTNERS.—Eligible partners 

19 shall— 

20 ‘‘(1) identify conservation issues affecting pro21 duction agriculture on local, regional, or State levels 

22 that could be addressed through special projects and 

23 initiatives; 


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1 ‘‘(2) enter into agreements or obtain grants from 

2 the Secretary to carry out special projects and initia3 tives; 

4 ‘‘(3) identify through outreach efforts producers 

5 that can participate in the special project or initia6 tive of the eligible entity if the producer is otherwise 

7 eligible to be enrolled, as determined by the Secretary, 

8 or has already enrolled, in the applicable program de9 scribed in subsection (b); and 

10 ‘‘(4) carry out the special project and initiative. 

11 ‘‘(h) DUTIES OF THE SECRETARY.— 

12 ‘‘(1) ADDITIONAL DUTIES.—In addition to the 

13 normal administration of the programs described in 

14 subsection (b), the Secretary shall be responsible for 

15 basic administrative and oversight functions relating 

16 to the special projects and initiatives, including— 

17 ‘‘(A) rules and procedures relating to con18 servation standards and specifications; 

19 ‘‘(B) conservation compliance; 

20 ‘‘(C) appeals; 

21 ‘‘(D) adjusted gross income limitations; 

22 ‘‘(E) direct attribution; and 

23 ‘‘(F) such other similar functions as the 

24 Secretary might designate. 


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1 ‘‘(2) FLEXIBILITY.—The Secretary may adjust 

2 eligibility criteria, approved practices, practice stand3 ards, innovative conservation practices, and other ele4 ments of the programs described in subsection (b) to 

5 better reflect unique local circumstances and purposes 

6 if the Secretary determines such adjustments would— 

7 ‘‘(A) improve environmental enhancement 

8 and long-term sustainability of the natural re9 source base; and 

10 ‘‘(B) be consistent with the purposes of the 

11 program and the special project and initiative. 

12 ‘‘(3) PREFERENTIAL ENROLLMENT.—Subject to 

13 the limitations under subsection (j), the Secretary 

14 shall provide preferential enrollment to producers that 

15 are eligible— 

16 ‘‘(A) for the applicable program described 

17 in subsection (b); and 

18 ‘‘(B) to participate in the special project 

19 and initiative of an eligible partner. 

20 ‘‘(i) COST SHARE.—The Secretary shall not require 

21 more than 25 percent of the cost of a project or initiative 

22 supported under a grant or agreement entered into under 

23 this section to come from non-Federal sources. However, the 

24 Secretary may give higher priority to projects or initiatives 


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1 offering to cover a higher percentage of the cost of the project 

2 or initiative from non-Federal sources. 

3 ‘‘(j) INCENTIVE AND BONUS PAYMENTS.— 

4 ‘‘(1) AVAILABILITY.—Applications submitted 

5 under subsection (d)(2) may include proposals for 

6 special incentive and bonus payments, consistent with 

7 the statutory purposes of the programs involved, to 

8 producers that— 

9 ‘‘(A) restore land, water, or habitat as a 

10 community development asset; or 

11 ‘‘(B) provide public access to enrolled land. 

12 ‘‘(2) CRITERIA.—The Secretary shall develop and 

13 publish criteria for providing special incentive or 

14 bonus payments to producers under paragraph (1). 

15 ‘‘(k) FUNDING.— 

16 ‘‘(1) SET-ASIDE.—Of the funds provided for each 

17 of fiscal years 2008 through 2012 to implement the 

18 programs specified in subsection (b), the Secretary 

19 shall reserve 10 percent to ensure an adequate source 

20 of funds for grants, agreements, financial assistance 

21 to producers under this section. 

22 ‘‘(2) ALLOCATION TO STATES.—The Secretary 

23 shall allocate to States 90 percent of the funds re24 served under paragraph (1) for a fiscal year to allow 

25 State Conservationists, with the advice of State techVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00253 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 nical committees, to select projects and initiatives for 

2 funding under this section at the State level. The Sec3 retary shall develop criteria for this allocation made 

4 on a similar basis as to the program priorities under 

5 subsection (f). 

6 ‘‘(3) UNUSED FUNDING.—Any funds reserved for 

7 a fiscal year under paragraph (1) that are not obli8 gated by April 1 of that fiscal year may be used to 

9 carry out other activities under conservation pro10 grams under subtitle D during the remainder of that 

11 fiscal year. 

12 ‘‘(4) ADMINISTRATIVE COSTS FUNDING CAP.—Of 

13 the funds made available under this section for a par14 ticular project or initiative, not more than 5 percent 

15 may be expended by the eligible entity on the admin16 istrative costs of the project or initiative.’’. 

17 SEC. 2404. REGIONAL EQUITY AND FLEXIBILITY. 

18 Section 1241(d) of the Food Security Act of 1985 (16 

19 U.S.C. 3841(d)) is amended by striking ‘‘$12,000,000’’ and 

20 inserting ‘‘$15,000,000’’. 

21 SEC. 2405. ADMINISTRATIVE REQUIREMENTS FOR CON22 SERVATION PROGRAMS. 

23 (a) INCENTIVES FOR CERTAIN PRODUCERS.—Section 

24 1244(a) of the Food Security Act of 1985 (16 U.S.C. 

25 3844(a)) is amended— 


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1 (1) in the subsection heading, by striking ‘‘BE2 GINNING’’ and inserting ‘‘INCENTIVES FOR CERTAIN’’; 

3 (2) by inserting ‘‘, socially disadvantaged farm4 ers and ranchers, limited resource farmers and ranch5 ers,’’ after ‘‘beginning farmers and ranchers’’; and 

6 (3) by striking ‘‘and limited resource agricul7 tural producers’’. 

8 (b) SINGLE, SIMPLIFIED APPLICATION PROCESS FOR

9 CONSERVATION PROGRAMS.—Section 1244 of the Food Se10 curity Act of 1985 (16 U.S.C. 3844), as amended by section 

11 2403, is amended by adding at the end the following new 

12 subsection: 

13 ‘‘(f) SINGLE, SIMPLIFIED APPLICATION PROCESS.— 

14 ‘‘(1) ESTABLISHMENT.—In carrying out any of 

15 the conservation programs under this title adminis16 tered by the Natural Resources Conservation Service, 

17 the Secretary shall establish and make available to 

18 producers and landowners a single, simplified appli19 cation process to be used by producers and land20 owners in initially requesting assistance under such 

21 programs. The Secretary shall ensure that— 

22 ‘‘(A) conservation program applicants are 

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1 able to the Secretary regarding that applicant 

2 and for that specific operation; and 

3 ‘‘(B) the application process is streamlined 

4 to minimize complexity and redundancy. 

5 ‘‘(2) REVIEW OF APPLICATION PROCESS.—The 

6 Secretary shall review the conservation application 

7 process and the forms and related mechanisms used to 

8 receive assistance requests from producers and land9 owners. The purpose of the review shall be to deter10 mine what information the applicant is actually re11 quired to submit during the application process, in12 cluding— 

13 ‘‘(A) identification information for the ap14 plicant; 

15 ‘‘(B) identification and location informa16 tion for the land parcel or tract of concern; 

17 ‘‘(C) a general statement of the applicant’s 

18 resource concern or concerns for the land parcel 

19 or tract; and 

20 ‘‘(D) the minimum amount of other infor21 mation the Secretary considers essential for the 

22 applicant to provide. 

23 ‘‘(3) REVISION AND STREAMLINING.—The Sec24 retary shall carry out a revision of the application 

25 forms and processes for conservation programs covVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00256 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 ered in this subsection to enable utilization of infor2 mation technology as an avenue to incorporate appro3 priate data and information concerning the conserva4 tion needs and solutions appropriate for the land 

5 area identified by the applicant. The revision shall 

6 seek to streamline the application process to minimize 

7 the burden placed on the applicant. 

8 ‘‘(4) CONSERVATION PROGRAM APPLICATION.— 

9 When the needs of an applicant are adequately as10 sessed by the Secretary, directly or through a third11 party provider under section 1242, in order to deter12 mine the conservation programs under this title that 

13 best match the needs of the applicant, with the ap14 proval of the applicant, the Secretary may convert the 

15 initial application into a specific application for as16 sistance for a specific program. To the maximum ex17 tent practical, the specific application for conserva18 tion program assistance shall be carried out by the 

19 Secretary by requesting only that specific further in20 formation from the applicant that is not already 

21 available to the Secretary. 

22 ‘‘(5) IMPLEMENTATION AND NOTIFICATION.—Not 

23 later than one year after the date of the enactment of 

24 the Farm, Nutrition, and Bioenergy Act of 2007, the 

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1 section and shall submit to Congress a written notifi2 cation of such completion.’’. 

3 SEC. 2406. ANNUAL REPORT ON PARTICIPATION BY SPE4 CIALTY CROP PRODUCERS IN CONSERVATION 

5 PROGRAMS. 

6 (a) REPORT REQUIRED.—Subtitle F of title XII of the 

7 Food Security Act of 1985 is amended by inserting after 

8 section 1251 (16 U.S.C. 2005a) the following new section: 

9 ‘‘SEC. 1252. ANNUAL REPORT ON PARTICIPATION BY SPE10 CIALTY CROP PRODUCERS IN CONSERVATION 

11 PROGRAMS. 

12 ‘‘(a) REPORT REQUIRED.—The Secretary of Agri13 culture shall submit to the Committee on Agriculture of the 

14 House of Representatives and the Committee on Agri15 culture, Nutrition, and Forestry of the Senate an annual 

16 report that— 

17 ‘‘(1) documents and analyzes the participation 

18 by producers of specialty crops in conservation pro19 grams under subtitle D, including the conservation se20 curity program and the environmental quality incen21 tives program; 

22 ‘‘(2) tracks such participation by crop and live23 stock type; and 

24 ‘‘(3) describes the results of implementing the 

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1 fications to the plan that the Secretary finds nec2 essary to increase its effectiveness. 

3 ‘‘(b) ACCESS PLAN.—As part of each report submitted 

4 under subsection (a), the Secretary shall set forth a plan 

5 to improve the access of producers of specialty crops to, and 

6 their participation in, conservation programs under sub7 title D. In developing the plan, the Secretary shall consult 

8 with organizations representing producers of specialty 

9 crops. 

10 ‘‘(c) SPECIALTY CROP DEFINED.—In this section, the 

11 term ‘specialty crop’ has the meaning given such term by 

12 section 3(1) of the Specialty Crops Competitiveness Act of 

13 2004 (Public Law 108–465; 7 U.S.C. 1621 note).’’. 

14 (b) INITIAL REPORT.—The first report required under 

15 section 1252 of the Food Security Act of 1985, as added 

16 by subsection (a), shall be submitted not later than 180 days 

17 after the date of the enactment of this Act. Subsection (a)(2) 

18 of such section shall not apply with respect to the first re19 port. 

20 SEC. 2407. PROMOTION OF MARKET-BASED APPROACHES TO 

21 CONSERVATION. 

22 (a) FINDINGS.—Congress finds the following: 

23 (1) Many of the conservation and environmental 

24 benefits produced on farms, ranches, and private for25 est lands in the United States do not have an asVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00259 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 signed value in the market place or lack a private 

2 market altogether. 

3 (2) While private markets for environmental 

4 goods and services are emerging, their viability has 

5 been hampered by several barriers. 

6 (3) The Federal Government can help overcome 

7 these barriers and promote the establishment of mar8 kets for agricultural and forestry conservation activi9 ties. 

10 (4) Generating substantial private-sector demand 

11 for environmental goods and services hinges on the 

12 ability to use environmental credits generated by ag13 ricultural and forest conservation activities. 

14 (b) MARKET-BASED APPROACHES.—Subtitle E of title 

15 XII of the Food Security Act of 1985 is amended by insert16 ing after section 1244 (16 U.S.C. 3844) the following new 

17 section: 

18 ‘‘SEC. 1245. MARKET-BASED APPROACHES TO CONSERVA19 TION. 

20 ‘‘(a) IMPLEMENTATION.—To facilitate the development 

21 and effective operation of private sector market-based ap22 proaches for environmental goods and services produced by 

23 farmers, ranchers, and owners of private forest land, the 

24 Secretary may conduct research and analysis, enter into 


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1 contracts and cooperative agreements, and award grants for 

2 the purpose of— 

3 ‘‘(1) promoting the development of consistent 

4 standards and processes for quantifying environ5 mental benefits, including the creation of performance 

6 standards or baselines; 

7 ‘‘(2) promoting the establishment of reporting 

8 and credit registries, including third-party 

9 verification and certification; and 

10 ‘‘(3) promoting actions that facilitate the devel11 opment and functioning of private-sector market12 based approaches for environmental goods and serv13 ices involving agriculture and forestry. 

14 ‘‘(b) ENVIRONMENTAL SERVICES STANDARDS

15 BOARD.— 

16 ‘‘(1) ESTABLISHMENT.—There is to be estab17 lished an Environmental Services Standards Board 

18 to develop consistent performance standards for quan19 tifying environmental services from land management 

20 and agricultural activities in order to facilitate the 

21 development of credit markets for conservation and 

22 land management activities that are agriculture or 

23 forest based. 


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1 ‘‘(2) CHAIRPERSON.—The Secretary of Agri2 culture shall serve as chair of the Environmental 

3 Services Standards Board. 

4 ‘‘(3) MEMBERSHIP.—The Environmental Serv5 ices Standards Board shall be comprised of the Sec6 retary of Agriculture, the Secretary of the Interior, 

7 the Secretary of Energy, the Secretary of Commerce, 

8 the Secretary of Transportation, the Administrator of 

9 the Environmental Protection Agency, the Com10 mander of the Army Corps of Engineers, and such 

11 other representatives as determined by the President. 

12 ‘‘(4) SUBCOMMITTEES.—The Environmental 

13 Services Standards Board may form subcommittees to 

14 address specific issues. 

15 ‘‘(c) DISSEMINATION OF PERFORMANCE STAND16 ARDS.—Federal agencies are authorized to adopt perform17 ance standards developed by the Environmental Services 

18 Standards Board for quantifying environmental services 

19 that establish credits to meet requirements of environmental 

20 and conservation programs. 

21 ‘‘(d) FUNDING .—There is authorized to be appro22 priated $50,000,000 to carry out this section. Amounts so 

23 appropriated shall remain available until expended. 

24 ‘‘(e) DEFINITIONS.—In this section: 


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1 ‘‘(1) BASELINE.—The term ‘baseline’ means a 

2 level of effort or performance that is expected to be 

3 met before an entity can generate marketable credits. 

4 ‘‘(2) PERFORMANCE STANDARD.—The term ‘per5 formance standard’ means a defined level of environ6 mental performance, expressed as a narrative or 

7 measurable number, which specifies the minimum ac8 ceptable environmental performance of an operation 

9 or practice.’’. 

10 SEC. 2408. ESTABLISHMENT OF STATE TECHNICAL COMMIT11 TEES AND THEIR RESPONSIBILITIES. 

12 Subtitle G of title XII of the Farm Security Act of 

13 1985 (16 U.S.C. 3861, 3862) is amended to read as follows: 

14 ‘‘Subtitle G—State Technical 

15 Committees 

16 ‘‘SEC. 1261. ESTABLISHMENT OF STATE TECHNICAL COM17 MITTEES. 

18 ‘‘(a) ESTABLISHMENT.—The Secretary shall establish 

19 a technical committee in each State to assist the Secretary 

20 in the considerations relating to implementation and tech21 nical aspects of the conservation programs under this title. 

22 ‘‘(b) COMPOSITION.—Each State technical committee 

23 shall be composed of agricultural producers and other pro24 fessionals that represent a variety of disciplines in the soil, 

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1 mittee for a State shall include representatives from among 

2 the following: 

3 ‘‘(1) The Natural Resources Conservation Serv4 ice. 

5 ‘‘(2) The Farm Service Agency. 

6 ‘‘(3) The Forest Service. 

7 ‘‘(4) The Cooperative State Research, Education, 

8 and Extension Service. 

9 ‘‘(5) The State fish and wildlife agency. 

10 ‘‘(6) The State forester or equivalent State offi11 cial. 

12 ‘‘(7) The State water resources agency. 

13 ‘‘(8) The State department of agriculture. 

14 ‘‘(9) The State association of soil and water con15 servation districts. 

16 ‘‘(10) At least 12 agricultural producers rep17 resenting the variety of crops and livestock or poultry 

18 grown within the State. 

19 ‘‘(11) Nonprofit organizations within the mean20 ing of section 501(c)(2) of the Internal Revenue Code 

21 of 1986 with demonstrable conservation expertise and 

22 experience working with agriculture producers in the 

23 State. 

24 ‘‘(12) Agribusiness. 


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1 ‘‘(c) SUBCOMMITTEES.—A State technical committee 

2 shall convene one or more subcommittees to provide tech3 nical guidance and implementation recommendations. The 

4 topics that a subcommittee shall address shall include, at 

5 a minimum, the following: 

6 ‘‘(1) Establishing priorities and criteria for 

7 State initiatives under the programs in this title, in8 cluding the review of whether local working groups 

9 are addressing those priorities. 

10 ‘‘(2) Issues related to private forestlands protec11 tion and enhancement. 

12 ‘‘(3) Issues related to water quality and water 

13 quantity. 

14 ‘‘(4) In those States where applicable, issues re15 lated to air quality. 

16 ‘‘(5) Issues related to wildlife habitat, including 

17 the protection of nesting wildlife. 

18 ‘‘(6) Issues related to wetland protection, restora19 tion, and mitigation requirements. 

20 ‘‘(7) Other issues as the Secretary determines 

21 would be useful. 

22 ‘‘SEC. 1262. RESPONSIBILITIES. 

23 ‘‘(a) IN GENERAL.—Each State technical committee 

24 established under section 1261 shall meet regularly to pro25 vide information, analysis, and recommendations to approVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00265 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 priate officials of the Department of Agriculture who are 

2 charged with implementing the conservation provisions of 

3 this title. 

4 ‘‘(b) PUBLIC NOTICE AND ATTENDANCE.—Each State 

5 technical committee shall provide public notice of, and per6 mit public attendance at, meetings considering issues of 

7 concern related to carrying out this title. 

8 ‘‘(c) ADVISORY ROLE.—The role of a State technical 

9 committee is advisory in nature, and the committee shall 

10 have no implementation or enforcement authority. How11 ever, the Secretary shall give strong consideration to the rec12 ommendations of the committee in administering the pro13 grams under this title. 

14 ‘‘(d) FACA REQUIREMENTS.—Except as provided in 

15 subsection (b), a State technical committee, including any 

16 subcommittee of State technical committee, is exempt from 

17 the Federal Advisory Committee Act (5 U.S.C. App.).’’. 

18 SEC. 2409. PAYMENT LIMITATIONS. 

19 (a) IN GENERAL.—The Food Security Act of 1985 is 

20 amended by inserting after section 1245, as added by sec21 tion 2407, the following new section: 

22 ‘‘SEC. 1246. PAYMENT LIMITATIONS. 

23 ‘‘(a) PAYMENTS FOR CONSERVATION PRACTICES.—The 

24 total amount of payments that a person or a legal entity 

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1 ceive, directly or indirectly, in any fiscal year shall not 

2 exceed— 

3 ‘‘(1) $60,000 from any single program under 

4 this title or as agricultural management assistance 

5 under section 524(b) of the Federal Crop Insurance 

6 Act (7 U.S.C. 524(b)); or 

7 ‘‘(2) $125,000 from more than one program 

8 under this title and as agricultural management as9 sistance under section 524(b) of the Federal Crop In10 surance Act. 

11 ‘‘(b) EXCEPTIONS.—The limitations under subsection 

12 (a) shall not apply with respect to the following: 

13 ‘‘(1) The wetlands reserve program under sub14 chapter C of chapter 1 of subtitle D. 

15 ‘‘(2) The farm and ranchland protection pro16 gram under subchapter B of chapter 2 of such sub17 title. 

18 ‘‘(3) The grassland reserve program under sub19 chapter C of chapter 2 of such subtitle. 

20 ‘‘(c) DIRECT ATTRIBUTION.— 

21 ‘‘(1) IN GENERAL.—In implementing the pay22 ment limitations in subsection (a), the Secretary shall 

23 issue such regulations as are necessary to ensure that 

24 the total amount of payments are attributed to a per25 son by taking into account the direct and indirect 


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1 ownership interests of the person in a legal entity 

2 that is eligible to receive such payments. 

3 ‘‘(2) PAYMENTS TO A PERSON.—Every payment 

4 made directly to a person shall be combined with the 

5 person’s pro rata interest in payments received by a 

6 legal entity in which the person has a direct or indi7 rect ownership interest. 

8 ‘‘(3) PAYMENTS TO A LEGAL ENTITY.— 

9 ‘‘(A) IN GENERAL.—Every payment made 

10 to a legal entity shall be attributed to those per11 sons who have a direct or indirect ownership in12 terest in the legal entity. 

13 ‘‘(B) ATTRIBUTION OF PAYMENTS.— 

14 ‘‘(i) PAYMENT LIMITS.—Except as pro15 vided in clause (ii), payments made to a 

16 legal entity shall not exceed the amounts 

17 specified in subsection (a). 

18 ‘‘(ii) EXCEPTION.—Payments made to 

19 a joint venture or a general partnership 

20 shall not exceed, for each payment specified 

21 in subsection (a), the amount determined by 

22 multiplying the maximum payment amount 

23 specified in subsection (a) by the number of 

24 persons and legal entities (other than joint 

25 ventures and general partnerships) that 


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1 comprise the ownership of the joint venture 

2 or general partnership.’’. 

3 (b) CONFORMING AMENDMENTS.— 

4 (1) EXISTING PAYMENT LIMITATIONS IN CON5 SERVATION PROGRAMS.—Title XII of the Food Secu6 rity Act of 1985 is amended— 

7 (A) in section 1234 (16 U.S.C. 3834) by 

8 striking subsection (f); 

9 (B) in section 1238C (16 U.S.C. 3838c), as 

10 amended by section 2103, by striking subsections 

11 (d) and (e); and 

12 (C) by striking section 1240G (16 U.S.C. 

13 3839aa–7). 

14 (2) AGRICULTURAL MANAGEMENT ASSISTANCE.— 

15 Section 524(b) of the Federal Crop Insurance Act (7 

16 U.S.C. 524) is amended by striking paragraph (3). 


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1 Subtitle E—Miscellaneous 

2 Provisions 

3 SEC. 2501. INCLUSION OF INCOME FROM AFFILIATED PACK4 ING AND HANDLING OPERATIONS AS INCOME 

5 DERIVED FROM FARMING FOR APPLICATION 

6 OF ADJUSTED GROSS INCOME LIMITATION 

7 ON ELIGIBILITY FOR CONSERVATION PRO8 GRAMS. 

9 Section 1001D(b)(1) of the Food Security Act of 1985 

10 (7 U.S.C. 1308-3a(b)(1)) is amended by inserting ‘‘(includ11 ing, for purposes of paragraph (2)(C), affiliated packing 

12 and handling operations)’’ after ‘‘derived from farming’’. 

13 SEC. 2502. ENCOURAGEMENT OF VOLUNTARY SUSTAIN14 ABILITY PRACTICES GUIDELINES. 

15 In administering this title and the amendments made 

16 by this title, the Secretary of Agriculture may encourage 

17 the development of voluntary sustainable practices guide18 lines for producers and processors of specialty crops. 

19 SEC. 2503. FARMLAND RESOURCE INFORMATION. 

20 (a) DEVELOPMENT AND DISSEMINATION OF FARMLAND

21 RESOURCE INFORMATION.—The Secretary of Agriculture 

22 shall design and implement educational programs and ma23 terials emphasizing the importance of productive farmland 

24 to the Nation’s well-being and distribute educational mate25 rials through communications media, schools, groups, and 


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1 other Federal agencies. The Secretary shall carry out this 

2 subsection through existing agencies or interagency groups 

3 and in cooperation with nonprofit organizations and the 

4 cooperative extension services of States. 

5 (b) FARMLAND INFORMATION CENTERS.—The Sec6 retary shall designate 1 or more farmland information cen7 ters to provide technical assistance and serve as central de8 positories and distribution points for information on farm9 land issues. Information provided by a center shall include 

10 online access to data on land cover and use changes and 

11 trends and literature, laws, historical archives, policies, 

12 programs, and innovative actions or proposals by local and 

13 State governments or nonprofit organizations related to 

14 farmland protection. 

15 (c) FUNDING.—Funds for the farmland information 

16 centers designated under subsection (b) shall be provided 

17 using funds made available for the farm and ranchland 

18 protection program established under subchapter B of chap19 ter 2 of subtitle D of title XII of the Food Security Act 

20 of 1985 (16 U.S.C. 3838h et seq.). Such funding for a fiscal 

21 year shall not exceed one-half of 1 percent of the funds made 

22 available for the farm and ranchland protection program 

23 for that fiscal year, but no less than $400,000 annually. 

24 (d) MATCHING FUNDS.—Federal funding for a farm25 land information center designated under subsection (b) 


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1 shall be matched with non-Federal funds, through cash or 

2 in-kind contributions. 

3 TITLE III—TRADE 

Sec. 3001. Agricultural Trade Development and Assistance Act of 1954. 

Sec. 3002. Export credit guarantee program. 

Sec. 3003. Market access program. 

Sec. 3004. Food for Progress Act of 1985. 

Sec. 3005. McGovern-Dole International Food for Education and Child Nutrition 

program. 

Sec. 3006. Bill Emerson Humanitarian Trust. 

Sec. 3007. Technical assistance for specialty crops. 

Sec. 3008. Technical assistance for the resolution of trade disputes. 

Sec. 3009. Representation by the United States at international standard-setting 

bodies. 

Sec. 3010. Foreign market development cooperator program. 

Sec. 3011. Emerging markets. 

Sec. 3012. Export Enhancement Program. 

Sec. 3013. Minimum level of nonemergency food assistance. 

Sec. 3014. Germplasm conservation. 

4 SEC. 3001. AGRICULTURAL TRADE DEVELOPMENT AND AS5 SISTANCE ACT OF 1954. 

6 (a) PURPOSE OF PROGRAM.—Section 201 of the Agri7 cultural Trade Development and Assistance Act of 1954 (7 

8 U.S.C. 1721) is amended so that paragraph (1) reads as 

9 follows: 

10 ‘‘(1) address famine and food crises and respond 

11 to emergency food needs arising from manmade disas12 ters, and natural disasters.’’. 

13 (b) SUPPORT FOR ELIGIBLE ORGANIZATIONS.—Sec14 tion 202(e)(1) of the Agricultural Trade Development and 

15 Assistance Act of 1954 (7 U.S.C. 1722(e)(1)) is amended— 

16 (1) by striking ‘‘not less than 5 percent nor more 

17 than 10 percent of the funds’’ and inserting ‘‘not less 


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1 than 7 percent nor more than 12 percent of the 

2 funds’’; 

3 (2) striking ‘‘and’’ at the end of subparagraph 

4 (A); 

5 (3) striking the period at the end of subpara6 graph (B) and inserting ‘‘; and’’; and 

7 (4) inserting after subparagraph (B) the fol8 lowing: 

9 ‘‘(C) developing, implementing and improv10 ing monitoring systems of programs receiving 

11 funds under this title.’’. 

12 (c) GENERATION AND USE OF CURRENCIES BY PRI13 VATE VOLUNTARY ORGANIZATIONS AND COOPERATIVES.— 

14 Subsection (b) of section 203 of the Agricultural Trade De15 velopment and Assistance Act of 1954 (7 U.S.C. 1723) is 

16 amended by striking ‘‘1 or more recipient countries’’ and 

17 inserting ‘‘in 1 or more recipient countries’’. 

18 (d) LEVELS OF ASSISTANCE.—Section 204(a) of the 

19 Agricultural Trade Development and Assistance Act of 1954 

20 (7 U.S.C. 1724(a)) is amended— 

21 (1) in paragraph (1) by striking ‘‘2002 through 

22 2007’’ and inserting ‘‘2008 through 2012’’; and 

23 (2) in paragraph (2) by striking ‘‘2002 through 

24 2007’’ and inserting ‘‘2008 through 2012’’. 


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1 (e) FOOD AID CONSULTATIVE GROUP.—Section 205(f) 

2 of the Agricultural Trade Development and Assistance Act 

3 of 1954 (7 U.S.C. 1725(f)) is amended by striking ‘‘2007’’ 

4 and inserting ‘‘2012’’. 

5 (f) DENIAL OF PROPOSALS.—Paragraph (3) of section 

6 207(a) of the Agricultural Trade Development and Assist7 ance Act of 1954 (7 U.S.C. 1726a(a)) is amended to read 

8 as follows: 

9 ‘‘(3) DENIAL.—If a proposal under paragraph 

10 (1) is denied, the response shall specify the reasons for 

11 denial.’’. 

12 (g) PROGRAM OVERSIGHT, MONITORING, AND EVALUA13 TION.—Section 207 of the Agricultural Trade Development 

14 and Assistance Act of 1954 (7 U.S.C. 1726a) is amended 

15 by adding at the end the following: 

16 ‘‘(f) PROGRAM OVERSIGHT, MONITORING, AND EVAL17 UATION.— 

18 ‘‘(1) IN GENERAL.—The Administrator, in con19 sultation with the Secretary, shall establish systems to 

20 improve, monitor, and evaluate the effectiveness and 

21 efficiency of assistance provided under this title in 

22 order to maximize the impact of such assistance. Such 

23 systems shall include the following: 

24 ‘‘(A) program monitors in countries receiv25 ing assistance under this title; 


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1 ‘‘(B) country and regional food aid impact 

2 evaluations; 

3 ‘‘(C) evaluations of best practices for food 

4 aid programs; 

5 ‘‘(D) evaluation of monetization programs; 

6 ‘‘(E) early warning assessments to prevent 

7 famines; and 

8 ‘‘(F) upgraded information technology sys9 tems. 

10 ‘‘(2) IMPLEMENTATION REPORT.—Not later than 

11 180 days after the date of enactment of the Farm, Nu12 trition, and Bioenergy Act of 2007, the Administrator 

13 shall submit to the appropriate congressional commit14 tees a report on efforts undertaken to implement (1). 

15 ‘‘(3) ANNUAL REPORT.—Not later than February 

16 1 of each year, the Administrator shall submit to the 

17 appropriate congressional committees a report assess18 ing the systems implemented under paragraph (1) 

19 and their impact on the effectiveness and efficiency of 

20 assistance provided under this title. 

21 ‘‘(4) FUNDING.—In addition to other funds made 

22 available for the Administrator to perform moni23 toring of emergency food assistance, the Adminis24 trator may implement this subsection using up to 

25 $15,000,000 of funds made available under this title 


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1 for each of the fiscal years 2008 through 2012, except 

2 for paragraph (1)(F), for which only $2,500,000 shall 

3 be made available during fiscal year 2008.’’. 

4 (h) SHELF-STABLE PREPACKAGED FOODS.—Section 

5 208(f) of the Agricultural Trade Development and Assist6 ance Act of 1954 (7 U.S.C. 1726b(f)) is amended— 

7 (1) by striking ‘‘2007’’ and insert ‘‘2012’’; and 

8 (2) by striking ‘‘$3,000,000’’ and inserting 

9 ‘‘$7,000,000’’ 

10 (i) PREPOSITIONING.—Section 407(c)(4) of the Agri11 cultural Trade Development and Assistance Act of 1954 (7 

12 U.S.C. 1736a(c)(4)) is amended— 

13 (1) by striking ‘‘2007’’ and inserting ‘‘2012’’; 

14 and 

15 (2) by striking ‘‘$2,000,000’’ and inserting 

16 ‘‘$8,000,000’’. 

17 (j) ANNUAL REPORTS.—Section 407(f) of the Agricul18 tural Trade Development and Assistance Act of 1954 (7 

19 U.S.C. 1736a(f)) is amended— 

20 (1) in paragraph (2)— 

21 (A) in subparagraph (B), by adding at the 

22 end before the semicolon the following: ‘‘, and the 

23 amount of funds, tonnage levels, and types of ac24 tivities for non-emergency food assistance pro25 grams under title II of this Act’’; 


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1 (B) in subparagraph (C), by adding at the 

2 end before the semicolon the following: ‘‘, and a 

3 general description of the projects and activities 

4 implemented’’; and 

5 (C) so that subparagraph (D) reads as fol6 lows: 

7 ‘‘(D) an assessment of the progress toward 

8 reducing food insecurity in the populations re9 ceiving food assistance from the United States.’’; 

10 and 

11 (2) in paragraph (3), by striking ‘‘January 15’’ 

12 and inserting ‘‘March 1’’. 

13 (k) EXPIRATION OF ASSISTANCE.—Section 408 of the 

14 Agricultural Trade Development and Assistance Act of 1954 

15 (7 U.S.C. 1736b) is amended by striking ‘‘2007’’ and insert16 ing ‘‘2012’’. 

17 (l) MICRONUTRIENT FORTIFICATION PROGRAM .—Sec18 tion 415(d) of the Agricultural Trade Development and As19 sistance Act of 1954 (7 U.S.C. 1736g–2) is amended by 

20 striking ‘‘2007’’ and inserting ‘‘2012’’. 

21 (m) JOHN OGONOWSKI AND DOUG BEREUTER FARM22 ER-TO-FARMER PROGRAM.— 

23 (1) MINIMUM FUNDING.—Section 501(d) of the 

24 Agricultural Trade Development and Assistance Act 

25 of 1954 (7 U.S.C. 1737(d)) is amended— 


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1 (A) by inserting ‘‘or $10,000,000, whichever 

2 amount is greater,’’ after ‘‘not less than 0.5 per3 cent’’; and 

4 (B) by striking ‘‘2002 through 2007’’ and 

5 inserting ‘‘2008 through 2012’’. 

6 (2) AUTHORIZATION OF APPROPRIATIONS.—Sec7 tion 501(e) of the Agricultural Trade Development 

8 and Assistance Act of 1954 (7 U.S.C. 1737(e)) is 

9 amended by striking paragraph (1) and inserting the 

10 following new paragraph: 

11 ‘‘(1) IN GENERAL.—To carry out programs 

12 under this section, there is authorized to be appro13 priated for each of fiscal years 2008 through 2012 the 

14 following amounts: 

15 ‘‘(A) $10,000,000 for sub-Saharan African 

16 and Caribbean Basin countries. 

17 ‘‘(B) $5,000,000 for all other countries not 

18 included in subparagraph (A).’’. 

19 (n) REFERENCES TO COMMITTEE.—The Agricultural 

20 Trade Development and Assistance Act of 1954 (7 U.S.C. 

21 1691 et seq.) is amended by striking ‘‘Committee on Inter22 national Relations’’ each place it appears and inserting 

23 ‘‘Committee on Foreign Affairs’’. 


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1 SEC. 3002. EXPORT CREDIT GUARANTEE PROGRAM. 

2 (a) REPEAL OF SUPPLIER CREDIT GUARANTEE PRO3 GRAM AND INTERMEDIATE EXPORT CREDIT GUARANTEE

4 PROGRAM.— 

5 (1) REPEALS.—Section 202 of the Agricultural 

6 Trade Act of 1978 (7 U.S.C. 5622) is amended— 

7 (A) in subsection (a)— 

8 (i) in paragraph (1), by striking ‘‘(1)’’ 

9 and all that follows through ‘‘The Com10 modity’’ and inserting ‘‘The Commodity’’; 

11 and 

12 (ii) by striking paragraphs (2) and 

13 (3); 

14 (B) by striking subsections (b) and (c); and 

15 (C) by redesignating subsections (d) through 

16 (l) as subsections (b) through (j), respectively. 

17 (2) CONFORMING AMENDMENTS.—The Agricul18 tural Trade Act of 1978 is amended— 

19 (A) in section 202 (7 U.S.C. 5622)— 

20 (i) in subsection (b)(4) (as redesignated 

21 by paragraph (1)(C)), by striking ‘‘, con22 sistent with the provisions of subsection 

23 (c)’’; 

24 (ii) in subsection (d) (as redesignated 

25 by paragraph (1)(C))— 


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1 (I) by striking ‘‘(1)’’ and all that 

2 follows through ‘‘The Commodity’’ and 

3 inserting ‘‘The Commodity’’; and 

4 (II) by striking paragraph (2); 

5 and 

6 (iii) in subsection (g)(2) (as redesig7 nated by paragraph (1)(C)), by striking 

8 ‘‘subsections (a) and (b)’’ and inserting 

9 ‘‘subsection (a)’’; and 

10 (B) in section 211 (7 U.S.C. 5641), by 

11 striking subsection (b) and inserting the fol12 lowing: 

13 ‘‘(b) EXPORT CREDIT GUARANTEE PROGRAMS.—(1) 

14 The Commodity Credit Corporation shall make available 

15 for each of fiscal years 2008 through 2012 not less than 

16 $5,500,000,000 in credit guarantees under section 202(a). 

17 ‘‘(2) Section 202(k)(1) of the Agricultural Trade Act 

18 of 1978 (7 U.S.C. 5622(k)(1)) is amended by striking ‘2007’ 

19 and inserting ‘2012’.’’. 

20 SEC. 3003. MARKET ACCESS PROGRAM. 

21 (a) ORGANIC COMMODITIES.—Section 203(a) of the 

22 Agricultural Trade Act of 1978 (7 U.S.C. 5623(a)) is 

23 amended by inserting after ‘‘agricultural commodities’’ the 

24 following: ‘‘(including commodities that are organically 


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1 produced (as defined in section 2103 of the Organic Foods 

2 Production Act of 1990 (7 U.S.C. 6502))’’. 

3 (b) FUNDING.—Section 211(c)(1)(A) of the Agricul4 tural Trade Act of 1978 (7 U.S.C. 5641(c)(1)(A)) is amend5 ed by striking ‘‘, and $200,000,000 for each of fiscal years 

6 2006 and 2007’’ and inserting ‘‘$200,000,000 for each of 

7 fiscal years 2006 and 2007, and $225,000,000 for each of 

8 fiscal years 2008 through 2012’’. 

9 (c) AVAILABILITY OF FUNDS FOR ACTIVITIES TO DE10 VELOP, MAINTAIN, OR EXPAND FOREIGN MARKETS FOR

11 LEAF TOBACCO.—Section 1302(b)(3) of the Agricultural 

12 Reconciliation Act of 1993 (7 U.S.C. 5623 note) is amended 

13 by inserting ‘‘, other than leaf tobacco’’ after ‘‘tobacco’’. 

14 SEC. 3004. FOOD FOR PROGRESS ACT OF 1985. 

15 The Food for Progress Act of 1985 (7 U.S.C. 1736o) 

16 is amended by striking ‘‘2007’’ each place it appears and 

17 inserting ‘‘2012’’. 

18 SEC. 3005. MCGOVERN-DOLE INTERNATIONAL FOOD FOR 

19 EDUCATION AND CHILD NUTRITION PRO20 GRAM. 

21 Section 3107(l)(2) of the Farm Security and Rural In22 vestment Act of 2002 (7 U.S.C. 1736o–1(l)(2)) is amended 

23 by striking ‘‘2007’’ and inserting ‘‘2012’’. 


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1 SEC. 3006. BILL EMERSON HUMANITARIAN TRUST. 

2 Section 302 of the Bill Emerson Humanitarian Trust 

3 Act (7 U.S.C. 1736f–1) is amended by striking ‘‘2007’’ each 

4 place it appears in subsection (b)(2)(B)(i) and paragraphs 

5 (1) and (2) of subsection (h) and inserting ‘‘2012’’. 

6 SEC. 3007. TECHNICAL ASSISTANCE FOR SPECIALTY CROPS. 

7 Section 3205 of the Farm Security and Rural Invest8 ment Act of 2002 (7 U.S.C. 5680) is amended so that sub9 section (d) reads as follows: 

10 ‘‘(d) FUNDING.— 

11 ‘‘(1) COMMODITY CREDIT CORPORATION.—The 

12 Secretary shall use the funds, facilities, and authori13 ties of the Commodity Credit Corporation to carry 

14 out this section. 

15 ‘‘(2) FUNDING AMOUNT.—The Secretary shall use 

16 the funds of, or an equal value of commodities owned 

17 by, the Commodity Credit Corporation to carry out 

18 this section — 

19 ‘‘(A) $4,000,000 for fiscal year 2008; 

20 ‘‘(B) $6,000,000 for fiscal year 2009; 

21 ‘‘(C) $8,000,000 for fiscal year 2010; 

22 ‘‘(D) $10,000,000 for each of fiscal years 

23 2011 through 2012.’’. 


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1 SEC. 3008. TECHNICAL ASSISTANCE FOR THE RESOLUTION 

2 OF TRADE DISPUTES. 

3 (a) IN GENERAL.—The Secretary of Agriculture may 

4 provide monitoring, analytic support, and other technical 

5 assistance to limited resource persons and organizations as6 sociated with agricultural trade (as determined by the Sec7 retary) to address unfair trade practices of foreign countries 

8 and to reduce trade barriers. 

9 (b) AUTHORIZATION OF APPROPRIATIONS.—There are 

10 authorized such sums as necessary to carry out subsection 

11 (a). 

12 SEC. 3009. REPRESENTATION BY THE UNITED STATES AT 

13 INTERNATIONAL STANDARD-SETTING BOD14 IES. 

15 (a) IN GENERAL.—Pursuant to the authority of the 

16 Secretary provided by section 1458(a)(3) of the Food and 

17 Agriculture Act of 1977 (7 U.S.C. 3291(a)(3)), the Sec18 retary is authorized to enhance United States support for 

19 international organizations, including the Food and Agri20 culture Organization, the Codex Alimentarius Commission, 

21 the International Plant Protection Convention, and the 

22 World Organization for Animal Health, that establish 

23 international standards regarding food, food safety, plants, 

24 and animals, respectively, by funding additional positions 

25 of Associate Professional Officers to address sanitary and 


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1 phytosanitary priorities of the United States within appli2 cable international organizations. 

3 (b) AUTHORIZATION OF APPROPRIATIONS.—There are 

4 authorized to be appropriated such sums as necessary to 

5 carry out this section for each of fiscal years 2007-2012. 

6 SEC. 3010. FOREIGN MARKET DEVELOPMENT COOPERATOR 

7 PROGRAM. 

8 Section 703(a) of the Agricultural Trade Act of 1978 

9 (7 U.S.C. 5723(a)) is amended by striking ‘‘2007’’ and in10 serting ‘‘2012’’. 

11 SEC. 3011. EMERGING MARKETS. 

12 The Food, Agriculture, Conservation, and Trade Act 

13 of 1990 (7 U.S.C. 5622 note; Public Law 101-624) is 

14 amended in each of subsections (a) and (d)(1)(A)(i) by 

15 striking ‘‘2007’’ and inserting ‘‘2012. 

16 SEC. 3012. EXPORT ENHANCEMENT PROGRAM. 

17 Section 301(e)(1)(G) of the Agricultural Trade Act of 

18 1978 (7 U.S.C. 5651(e)(1)(G)) is amended by striking 

19 ‘‘2007’’ and inserting ‘‘2012’’. 

20 SEC. 3013. MINIMUM LEVEL OF NONEMERGENCY FOOD AS21 SISTANCE. 

22 Section 412 of the Agricultural Trade Development 

23 and Assistance Act of 1954 (7 U.S.C. 1736f) is amended 

24 by inserting at the end the following new subsection: 


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1 ‘‘(e) MINIMUM LEVEL OF NONEMERGENCY FOOD AS2 SISTANCE.— 

3 ‘‘(1) FUNDS.—Of the amounts made available to 

4 carry out emergency and nonemergency food assist5 ance programs under title II, not less than 

6 $450,000,000 for each of fiscal years 2008 through 

7 2012 shall be expended for nonemergency food assist8 ance programs under title II. 

9 ‘‘(2) EXCEPTION.—The Administrator may use 

10 less than the amount specified in paragraph (1) for 

11 a fiscal year for nonemergency food assistance pro12 grams under title II if— 

13 ‘‘(A) the Administrator submits to the Com14 mittees on International Relations, Agriculture, 

15 and Appropriations of the House of Representa16 tives and the Committees on Appropriations and 

17 Agriculture, Nutrition, and Forestry of the Sen18 ate a report requesting the reduction and con19 taining the reasons for the reduction; and 

20 ‘‘(B) following submission of the report, 

21 Congress enacts a law approving the Adminis22 trator’s request.’’. 

23 SEC. 3014. GERMPLASM CONSERVATION. 

24 (a) CONTRIBUTION.—The Administrator of the United 

25 States Agency for International Development shall conVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00285 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 tribute funds to endow the Global Crop Diversity Trust (in 

2 this section referred to as the ‘‘Trust’’) to assist in the con3 servation of genetic diversity in food crops through the col4 lection and storage of the germplasm of such crops in a 

5 manner that provides for— 

6 (1) the maintenance and storage of seed collec7 tions; 

8 (2) the documentation and cataloguing of the ge9 netics and characteristics of conserved seeds to ensure 

10 efficient reference for researchers, plant breeders, and 

11 the public; 

12 (3) building the capacity of seed collection in de13 veloping countries; 

14 (4) making information regarding crop genetic 

15 data publicly available for researchers, plant breeders, 

16 and the public (for example, through the provision of 

17 an accessible Internet site); 

18 (5) the operation and maintenance of a back-up 

19 facility wherein is stored duplicate samples of seeds, 

20 as a hedge against natural or man-made disasters; 

21 and 

22 (6) oversight designed to ensure international co23 ordination of these actions and efficient, public acces24 sibility to this diversity through a cost-effective sys25 tem. 


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1 (b) UNITED STATES CONTRIBUTION LIMIT.—The ag2 gregate contributions of United States Government funds 

3 provided to the Trust shall not exceed 25 percent of the total 

4 of the funds contributed to the Trust from all sources. 

5 (c) AUTHORIZATION.—There are authorized to be ap6 propriated to carry out this section a total of $60,000,000 

7 over the period of fiscal year 2008 through fiscal year 2012. 

8 TITLE IV—NUTRITION 

9 PROGRAMS 

Subtitle A—Food Stamp Program 

Sec. 4001. Renaming the food stamp program. 

Sec. 4002. Definition of drug addiction or alcoholic treatment and rehabilitation 

program. 

Sec. 4003. Nutrition education. 

Sec. 4004. Food distribution on Indian reservations. 

Sec. 4005. Deobligate food stamp coupons. 

Sec. 4006. Allow for the accrual of benefits. 

Sec. 4007. State option for telephonic signature. 

Sec. 4008. Review of major changes in program design. 

Sec. 4009. Grants for simple application and eligibility determination systems 

and improved access to benefits. 

Sec. 4010. Civil money penalties and disqualification of retail food stores and 

wholesale food concerns. 

Sec. 4011. Major systems failures. 

Sec. 4012. Funding of employment and training programs. 

Sec. 4013. Reductions in payments for administrative costs. 

Sec. 4014. Cash payment pilot projects. 

Sec. 4015. Findings of Congress regarding Secure Supplemental Nutrition Assistance program nutrition education. 

Sec. 4016. Nutrition education and promotion initiative to address obesity. 

Sec. 4017. Authorization of appropriations. 

Sec. 4018. Consolidated block grants for Puerto Rico and American Samoa. 

Sec. 4019. Study on comparable access to Secure Supplemental Nutrition Assistance Program benefits for Puerto Rico. 

Sec. 4020. Reauthorization of community food project competitive grants. 

Sec. 4021. Emergency food assistance. 

Subtitle B—Commodity Distribution 

Sec. 4201. Authorization of appropriations. 

Sec. 4202. Distribution of surplus commodities; special nutrition projects. 

Sec. 4203. Commodity distribution program. 


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Subtitle C—Child Nutrition and Related Programs 

Sec. 4301. Purchase of fresh fruits and vegetables for distribution to schools and 

service institutions. 

Sec. 4302. Buy American requirements. 

Sec. 4303. Expansion of fresh fruit and vegetable program. 

Sec. 4304. Purchases of locally produced foods. 

Subtitle D—Miscellaneous 

Sec. 4401. Seniors farmers’ market nutrition program. 

Sec. 4402. Congressional Hunger Center. 

Sec. 4403. Joint nutrition monitoring and related research activities. 

1 Subtitle A—Food Stamp Program 

2 SEC. 4001. RENAMING THE FOOD STAMP PROGRAM. 

3 (a) AMENDMENTS TO THE FOOD STAMP ACT OF

4 1977.— 

5 (1) REFERENCES AMENDED.—The provisions of 

6 the Food Stamp Act of 1977 (7 U.S.C. 2011 et seq,)— 

7 (A) specified in paragraph (2)(A) are 

8 amended in the section heading by striking 

9 ‘‘FOOD STAMP’’ each place it appears and in10 serting ‘‘SECURE SUPPLEMENTAL NUTRI11 TION ASSISTANCE’’; 

12 (B) specified in paragraph (2)(B) are 

13 amended in the subsection heading by striking 

14 ‘‘FOOD STAMP’’ each place it appears and insert15 ing ‘‘SECURE SUPPLEMENTAL NUTRITION ASSIST16 ANCE’’; 

17 (C) specified in paragraph (2)(C) are 

18 amended by striking each place it appears ‘‘food 

19 stamp recipient’’ and inserting ‘‘member of a 


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1 household that receives Secure Supplemental Nu2 trition Assistance Program benefits’’, 

3 (D) specified in paragraph (2)(D) are 

4 amended by striking ‘‘food stamp recipients’’ 

5 each place it appears and inserting ‘‘members of 

6 households that receive Secure Supplemental Nu7 trition Assistance Program benefits’’, 

8 (E) specified in paragraph (2)(E) are 

9 amended by striking ‘‘food stamp households’’ 

10 each place it appears and inserting ‘‘households 

11 that receive Secure Supplemental Nutrition As12 sistance Program benefits’’; 

13 (F) specified in paragraph (2)(F) are 

14 amended by striking ‘‘Simplified Food Stamp 

15 Program’’ each place it appears and inserting 

16 ‘‘Simplified Secure Supplemental Nutrition As17 sistance Program’’; 

18 (G) specified in paragraph (2)(H) are 

19 amended by striking ‘‘food stamp participants’’ 

20 each place it appears and inserting ‘‘partici21 pants in the Secure Supplemental Nutrition As22 sistance Program’’; 

23 (H) specified in paragraph (2)(I) are 

24 amended by striking ‘‘food stamp informational 

25 activities’’ each place it appears and inserting 


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1 ‘‘informational activities relating to the Secure 

2 Supplemental Nutrition Assistance Program’’; 

3 (I) specified in paragraph (2)(J) are 

4 amended by striking ‘‘food stamp caseload’’ each 

5 place it appears and inserting ‘‘caseload under 

6 the Secure Supplemental Nutrition Assistance 

7 Program’’; 

8 (J) specified in paragraph (2)(K) are 

9 amended by striking ‘‘State’s food stamp house10 holds’’ each place it appears and inserting ‘‘the 

11 number of households in the State receiving Se12 cure Supplemental Nutrition Assistance Pro13 gram benefits’’; 

14 (K) specified in paragraph (2)(L) are 

15 amended in the section heading by striking 

16 ‘‘FOOD STAMP PORTION’’ each place it ap17 pears and inserting ‘‘SECURE SUPPLE18 MENTAL NUTRITION ASSISTANCE PRO19 GRAM BENEFITS’’; 

20 (L) specified in paragraph (2)(M) are 

21 amended by striking ‘‘food stamps’’ each place it 

22 appears and inserting ‘‘Secure Supplemental As23 sistance Nutrition Program benefits’’; 

24 (M) specified in paragraph (2)(N) are 

25 amended by striking ‘‘Food stamp program’’ 


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1 each place it appears and inserting ‘‘Secure 

2 Supplemental Nutrition Assistance Program’’; 

3 (N) specified in paragraph (2)(o) are 

4 amended by striking ‘‘food stamp program bene5 fits’’ each place it appears and inserting ‘‘Secure 

6 Supplemental Nutrition Program benefits’’; and 

7 (O) specified in paragraph (2)(O) are 

8 amended by striking ‘‘food stamp program’’ each 

9 place it appears and inserting ‘‘Secure Supple10 mental Nutrition Assistance Nutrition Pro11 gram’’. 

12 (2) PROVISIONS REFERRED TO.—The provisions 

13 of the of the Food Stamp Act of 1977 referred to in 

14 paragraph (1) are the following: 

15 (A) Sections 4 and 26. 

16 (B) Section 6(j). 

17 (C) Section 6(o)(6)(A)(ii). 

18 (D)(i) Subparagraphs (D) and (E) of sec19 tion 6(o)(6); 

20 (ii) sections 16(h)(1)(E)(i) and 12(a); and 

21 (iii) paragraphs (1)(B)(ii)(II) and (3)(B) 

22 of section 17(b). 

23 (E) Sections 7(h)(3)(B)(ii), 9(b)(1), 12(a), 

24 and 17(b)(1)(B)(ii)(I). 

25 (F) Sections 11(e)(25) and 26(b). 


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1 (G) Section 11(f)(2)(B). 

2 (H) Section 16(a). 

3 (I) Section 16(e)(9)(C). 

4 (J) Section 17(b)(1)(B)(iii)(I). 

5 (K) Section 22. 

6 (L)(i) Subsections (d)(3) and (o)(6)(A)(i) of 

7 section 6; 

8 (i) paragraphs (2)(B)(v)(II) and (14) of 

9 section 11(e);and 

10 (i) sections 12(e)(16), 17(b)(3)(C), and 

11 18(a)(3)(A)(ii). 

12 (M) Section 3(h) 

13 (N)(i) In section 6— 

14 (I) subsection (h); and 

15 (II) in subsection (o)— 

16 (aa) paragraph (2); and 

17 (bb) subclauses (IV) and (V) of 

18 paragraph (6)(A)(ii). 

19 (ii) Section 7(k)(2). 

20 (iii) In section 11— 

21 (I) subsection (e)(25)(A); 

22 (II) paragraphs (1), (2), and (3) of 

23 subsection (s); and 

24 (III) subsection (t)(1)(B). 

25 (iv) In section 17— 


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1 (I) subsection (a)(2); 

2 (II) paragraphs (1)(A), (2), and (3)(D) 

3 of subsection (b); 

4 (III) paragraphs (1)(B), (2)(C)(ii), 

5 and (3)(E) of subsection (d); and 

6 (IV) subsections (e) and (f). 

7 (v) Section 21(d)(3). 

8 (O)(i) Sections 2, 3(h), and 4. 

9 (ii) In section 5— 

10 (I) subsections (a), (b), (c), and (d); 

11 (II) clauses (ii)(III) and (iv)(IV) of 

12 subsection (e)(6)(C); 

13 (III) paragraphs (1), (3), and 

14 (6)(B)(iv) of subsection (g); and 

15 (IV) subsections (h)(2)(A) and 

16 (k)(4)(B). 

17 (iii) In section 6— 

18 (I) subsections (a) and (b); 

19 (II) in subsection (d)(1)— 

20 (aa) subparagraphs (A) and (B); 

21 (bb) clauses (i), (ii), and (iii) of 

22 subparagraph (C); and 

23 (cc) clauses (v) and (vi) of sub24 paragraph (D); 


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1 (III) paragraphs (2)(C), (3), and 

2 (4)(A)(i) of subsection (d); 

3 (IV) subsections (e), (f), and (h); 

4 (V) paragraphs (1) and (2) of sub5 section (i); and 

6 (VI) subsections (j), (k), (l)(1), (m)(1), 

7 (n), (o)(5)(A); 

8 (iv) In section 7— 

9 (I) subsections (a), (b), and (g); 

10 (II) paragraphs (1) and (2)(B) of sub11 section (j); and 

12 (III) in subsection (k)— 

13 (aa) paragraph (3); and 

14 (bb) subparagraphs (B)(ii) and 

15 (C) of paragraph (4). 

16 (v) In section 8— 

17 (I) subsections (a), (c)(2), and (d)(2); 

18 (II) in subsection (f)— 

19 (aa) clauses (i)(II)(aa), (ii)(I), 

20 and (iv) of paragraph (1)(D), and 

21 (bb) paragraph (3)(B)(ii)(II)(bb). 

22 (vi) In section 9— 

23 (I) paragraphs (1) and (3) of sub24 section (a); and 


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1 (II) subsections (b)(1), (d), (e), and 

2 (g). 

3 (vii) In section 11— 

4 (I) subsections (c) and (d); 

5 (II) in subsection (e)— 

6 (aa) paragraph (1)(A); 

7 (bb) clauses (i) and (iv) of para8 graph (2)(B); and 

9 (cc) paragraphs (10), (17), 

10 (20)(B), and (22); 

11 (III) subsections (f)(1), (g), (i), and 

12 (j)(1); 

13 (IV) paragraphs (1), (2), (3), and (4) 

14 of subsection (o); 

15 (V) subsections (p) and (q); and 

16 (VI) paragraphs (2)(A) and (B)(4)(A) 

17 of subsection (t). 

18 (viii) Sections 12(a) and 14(a)(1). 

19 (ix) Subsections (b)(1) and (c) of section 15. 

20 (x) In section 16— 

21 (I) subsection (a); 

22 (II) paragraph (1), (2), and (3) of sub23 section (b); 

24 (III) in subsection (c)— 


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1 (aa) the matter preceding sub2 paragraph (A); 

3 (bb) subparagraphs (D)(i)(II) and 

4 (F)(iii)(I) of paragraph (1); and 

5 (cc) subparagraphs (A), (B), and 

6 (C) of paragraph (9); 

7 (IV) subsections (e), (g), and (i)(1); 

8 and 

9 (V) in subsection (k)— 

10 (aa) subparagraphs (A) and (B) 

11 of paragraph (2); 

12 (bb) subparagraphs (A) and 

13 (B)(i) of paragraph (3); and 

14 (cc) subparagraphs (A)(ii) and 

15 (B)(iv)(II) of paragraph (5). 

16 (xi) In section 17— 

17 (I) subsection (a)(1); 

18 (II) in subsection (b)— 

19 (aa) subparagraphs (A) and 

20 (B)(i) of paragraph (1); and 

21 (bb) subparagraph (2); 

22 (III) subsection (c); 

23 (IV) subparagraphs (A) and (C) of 

24 subsection (d) (2); and 

25 (V) subsections (e), (g), and (h)(2). 


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1 (xii) Subsections (a)(3)(D), (b), (d), and (e) 

2 of section 18. 

3 (xiii) Subsections (a)(1) and (f) of section 

4 20. 

5 (xiv) In section 21— 

6 (I) subsection (a); 

7 (II) in subsection (b)— 

8 (aa) in paragraph (2)— 

9 (AA) clause (i) and (ii) of 

10 subparagraph (A); 

11 (BB) subparagraphs (B) and 

12 (C)(i); 

13 (CC) clause (ii), and sub14 clauses (II), (III), and (IV) of 

15 clause (iii), of subparagraph (F); 

16 and 

17 (DD) subparagraph (G)(i); 

18 (bb) paragraph (3); 

19 (cc) in paragraph (4)— 

20 (AA) subparagraphs (A) and 

21 (B); and 

22 (BB) the flush text at the 

23 end; 

24 (dd) paragraphs (5) and (7); 

25 (III) subsection (C)(2)(B); 


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1 (IV) paragraphs (1)(A), (2), and (3) of 

2 subsection (d); and 

3 (V) paragraphs (1) and (2) of sub4 section (f). 

5 (xv) In section 22— 

6 (I) subsection (a)(1); 

7 (II) in subsection (b)— 

8 (aa) paragraph (2); 

9 (bb) in paragraph (3)— 

10 (AA) subparagraphs (A) and 

11 (B)(ii); 

12 (BB) clauses (ii) and (iii) of 

13 subparagraph (C); 

14 (CC) subparagraph (D)(ii); 

15 and 

16 (DD) clauses (i), (ii), and 

17 (iv) of subparagraph (E); 

18 (cc) paragraph (5); 

19 (dd) subparagraphs (B) and (C) 

20 of paragraph (6); 

21 (ee) subparagraphs (A) and (B) of 

22 paragraph (7); 

23 (ff) paragraphs (8) and (9); 

24 (gg) in paragraph (10)— 

25 (AA) subparagraph (A) 


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1 (BB) clauses (i) and (ii) of 

2 subparagraph (B); and 

3 (CC) subparagraph (C); and 

4 (hh) paragraphs (11), (12), and 

5 (13); 

6 (III) in subsection (d)— 

7 (aa) paragraph (1)(B)(i); and 

8 (bb) paragraph (3); and 

9 (IV) subsections (g)1 and (h). 

10 (xvi) Section 23(c). 

11 (xvii) In section 26— 

12 (I) subparagraphs (B) and (C) of sub13 section (c)(4); and 

14 (II) subsection (f)(1). 

15 (b) REFERENCES IN OTHER LAWS, DOCUMENT, AND

16 RECORDS OF THE UNITED STATES.—In any law (exclud17 ing the Food Stamp Act of 1977), regulation, rule, docu18 ment, or record of the United States— 

19 (1) a reference to food stamp recipients shall be 

20 deemed to be a reference to recipients of Secure Sup21 plemental Nutrition Assistance Program benefits; 

22 (2) a reference to food stamp households shall be 

23 deemed to be a reference to households that receive Se24 cure Supplemental Nutrition Assistance Program 

25 benefits; 


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1 (3) a reference to the Simplified Food Stamp 

2 Program shall be deemed to be a reference to the Sim3 plified Secure Supplemental Nutrition Assistance 

4 Program; 

5 (4) a reference to food stamp participants shall 

6 be deemed to be a reference to participants in the Se7 cure Supplemental Nutrition Assistance Program; 

8 (5) a reference to food stamp informational ac9 tivities shall be deemed to be a reference to informa10 tional activities relating to the Secure Supplemental 

11 Nutrition Assistance Program; 

12 (6) a reference to food stamp caseload shall be 

13 deemed to be a reference to caseload under the Secure 

14 Supplemental Nutrition Assistance Program; 

15 (7) a reference to food stamps shall be deemed to 

16 be a reference to Secure Supplemental Nutrition As17 sistance Program benefits; and 

18 (8) a reference to the food stamp program shall 

19 be deemed to be a reference to Secure Supplemental 

20 Nutrition Assistance Program. 

21 SEC. 4002. DEFINITION OF DRUG ADDICTION OR ALCO22 HOLIC TREATMENT AND REHABILITATION 

23 PROGRAM. 

24 Section 3(f) of the Food Stamp Act of 1977 (7 U.S.C. 

25 2012(f)) is amended by striking ‘‘ center, under part B of 


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1 title XIX of the Public Health Service Act (42 U.S.C. 300x 

2 et seq.)’’ and inserting ‘‘center, that is— 

3 ‘‘(1) tax exempt; and 

4 ‘‘(2) certified by the State title XIX agency, 

5 under part B of title XIX of the Public Health Serv6 ice Act (42 U.S.C. 300x et seq.), as receiving funding 

7 under part B, eligible to receive funding under part 

8 B even if no funds are being received, or operating to 

9 further the purposes of part B, except that nothing in 

10 this paragraph shall be construed to require State or 

11 Federal licensure to meet these requirements;’’. 

12 SEC. 4003. NUTRITION EDUCATION. 

13 (a) AUTHORITY TO PROVIDE NUTRITION EDU14 CATION.—Section 4(a) of the Food Stamp Act of 1977 (7 

15 U.S.C. 2013(a)) is amended in the first sentence by insert16 ing ‘‘and through an approved State plan, nutrition edu17 cation’’ after ‘‘an allotment’’. 

18 (b) IMPLEMENTATION.—Section 11(f) of the Food and 

19 Nutrition Act of 1977 (7 U.S.C. 2020(f)) is amended to read 

20 as follows: 

21 ‘‘(f) NUTRITION EDUCATION.— 

22 ‘‘(1) IN GENERAL.—State agencies may imple23 ment a nutrition education program for individuals 

24 eligible for Secure Supplemental Nutrition Assistance 


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1 Program benefits that promotes healthy food choices 

2 consistent with current Dietary Guidelines. 

3 ‘‘(2) DELIVERY OF NUTRITION EDUCATION.— 

4 State agencies may deliver nutrition education di5 rectly to eligible persons or through agreements with 

6 the Cooperative State Research, Education and Ex7 tension Service, including through the expanded food 

8 and nutrition education under section 3(d) of the Act 

9 of May 8, 1914 (7 U.S.C. 343(d)), and other State 

10 and community health and nutrition providers and 

11 organizations. 

12 ‘‘(3) NUTRITION EDUCATION STATE PLANS.— 

13 State agencies wishing to provide nutrition education 

14 under this subsection shall submit a Nutrition Edu15 cation State Plan to the Food and Nutrition Service 

16 for approval. The plan shall identify the uses of the 

17 funding for local projects and conform to standards 

18 set forth by the Secretary in regulations or guidance. 

19 State costs for providing nutrition education under 

20 this subsection shall be reimbursed pursuant to sec21 tion 16(a). 

22 ‘‘(4) NOTIFICATION.—Whenever practicable, 

23 State agencies shall notify applicants, participants, 

24 and eligible program participants of the availability 

25 of nutrition education under this subsection.’’. 


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1 SEC. 4004. FOOD DISTRIBUTION ON INDIAN RESERVATIONS. 

2 (a) IN GENERAL.—Section 4 of the Food Stamp Act 

3 of 1977 (7 U.S.C. 2013) is amended by striking subsection 

4 (b) and inserting the following: 

5 ‘‘(b) FOOD DISTRIBUTION PROGRAM ON INDIAN RES6 ERVATIONS.— 

7 ‘‘(1) IN GENERAL.—Distribution of commodities, 

8 with or without the Secure Supplemental Nutrition 

9 Assistance Program, shall be made whenever a request 

10 for concurrent or separate food program operations, 

11 respectively, is made by a tribal organization. 

12 ‘‘(2) ADMINISTRATION.— 

13 ‘‘(A) IN GENERAL.—Subject to subpara14 graphs (B) and (C), in the event of distribution 

15 on all or part of an Indian reservation, the ap16 propriate agency of the State government in the 

17 area involved shall be responsible for the dis18 tribution. 

19 ‘‘(B) ADMINISTRATION BY TRIBAL ORGANI20 ZATION.—If the Secretary determines that a trib21 al organization is capable of effectively and effi22 ciently administering a distribution described in 

23 subparagraph (A), then the tribal organization 

24 shall administer the distribution. 

25 ‘‘(C) PROHIBITION.—The Secretary shall 

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1 scribed in subparagraph (A) that permits any 

2 household on any Indian reservation to partici3 pate simultaneously in the Secure Supplemental 

4 Nutrition Assistance Program and the distribu5 tion of federally donated foods. 

6 ‘‘(3) DISQUALIFIED PARTICIPANTS.—The Sec7 retary shall ensure that an individual who is dis8 qualified from participation in the Food Distribution 

9 Program on Indian Reservations under this sub10 section is not eligible to participate in the Secure 

11 Supplemental Nutrition Assistance Program under 

12 this Act. 

13 ‘‘(4) ADMINISTRATIVE COSTS.—The Secretary is 

14 authorized to pay such amounts for administrative 

15 costs of such distribution on Indian reservations as 

16 the Secretary finds necessary for effective administra17 tion of such distribution by a State agency or tribal 

18 organization. 

19 ‘‘(5) TRADITIONAL AND LOCAL FOODS FUND.— 

20 ‘‘(A) IN GENERAL.—The Secretary shall es21 tablish a fund to purchase traditional and lo22 cally-grown food, designated by region, for re23 cipients of food distributed under this subsection. 

24 ‘‘(B) NATIVE AMERICAN PRODUCERS.—For 

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1 graph (A), at least 50 percent shall be produced 

2 by Native American farmers, ranchers, and pro3 ducers. 

4 ‘‘(C) DEFINITION OF TRADITIONAL AND LO5 CALLY GROWN.—The Secretary, in conjunction 

6 with the Indian Tribal Organizations, will deter7 mine the definition of traditional and locally8 grown. 

9 ‘‘(D) AUTHORIZATION OF APPROPRIA10 TIONS.—There is authorized to be appropriated 

11 to the Secretary $5,000,000 for each of the fiscal 

12 years 2008 through 2012 to carry out subpara13 graph (A).’’. 

14 (b) FDPIR FOOD PACKAGE.—Not later than 180 days 

15 after the date of enactment of this Act, the Secretary of Ag16 riculture shall submit to the Committee on Agriculture of 

17 the House of Representatives and the Committee on Agri18 culture, Nutrition, and Forestry of the Senate a report that 

19 describes— 

20 (1) how the Secretary derives the process for de21 termining the food package under the Food Distribu22 tion Program on Indian Reservations established 

23 under section 4(b) of the Food Stamp Act of 1977 (7 

24 U.S.C. 2013(b)) (referred to in this subsection as the 

25 ‘‘food package’’); 


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1 (2) the extent to which the food package— 

2 (A) conforms (or fails to conform) to the 

3 2005 Dietary Guidelines for Americans pub4 lished under section 301 of the National Nutri5 tion Monitoring and Related Research Act of 

6 1990 (7 U.S.C. 5341); 

7 (B) addresses (or fails to address) the nutri8 tional and health challenges that are specific to 

9 Native Americans; and 

10 (C) addresses the nutritional needs of low11 income Native Americans, compared to the Se12 cure Supplemental Nutrition Assistance Pro13 gram; 

14 (3) any plans of the Secretary to revise and up15 date the food package to conform with the most recent 

16 Dietary Guidelines for Americans, including any 

17 costs associated with the planned changes; and 

18 (4) if the Secretary does not plan changes to the 

19 food package, the rationale of the Secretary for retain20 ing the food package. 

21 SEC. 4005. DEOBLIGATE FOOD STAMP COUPONS. 

22 (a) IN GENERAL.—Section 7 of the Food Stamp Act 

23 of 1977 (7 U.S.C. 2016) is amended— 


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1 (1) by striking the section designation and head2 ing and all that follows through ‘‘subsection (j)) shall 

3 be’’ and inserting the following: 

4 ‘‘SEC. 7. ISSUANCE AND USE OF BENEFITS. 

5 ‘‘(a) IN GENERAL.—Except as provided in subsection 

6 (j), EBT cards shall be’’. 

7 (2) in subsection (b)— 

8 (A) by striking ‘‘(b) Coupons’’ and inserting 

9 the following: 

10 ‘‘(b) USE.—Benefits’’; and 

11 (B) by striking ‘‘: Provided further’’ and all 

12 that follows through ‘‘denominations issued’’ ; 

13 (3) in subsection (c)— 

14 (A) by striking ‘‘(c) Coupons’’ and inserting 

15 the following: 

16 ‘‘(c) DESIGN.— 

17 ‘‘(1) IN GENERAL.—EBT cards’’; 

18 (B) in the 1st sentence by striking ‘‘and de19 fine their denomination’’; and 

20 (C) by striking the 2d sentence and insert21 ing the following: 

22 ‘‘(2) PROHIBITION.—The name of any public of23 ficial shall not appear on any EBT card.’’; 

24 (4) by striking subsection (d); 

25 (5) in subsection (e)— 


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1 (A) by striking ‘‘coupons’’ each place it ap2 pears and inserting ‘‘benefits’’; and 

3 (B) by striking ‘‘coupon issuers’’ each place 

4 it appears and inserting ‘‘benefit issuers’’; 

5 (6) in subsection (f)— 

6 (A) by striking ‘‘coupons’’ each place it ap7 pears and inserting ‘‘benefits’’; 

8 (B) by striking ‘‘coupon issuer’’ and insert9 ing ‘‘benefit issuer’’; and 

10 (C) by striking ‘‘section 11(e)(20)’’ and all 

11 that follows through the period and inserting 

12 ‘‘section 11(e)(19).’’; 

13 (7) by amending subsection (g) to read as fol14 lows: 

15 ‘‘(g) BENEFIT SYSTEM.— 

16 ‘‘(1) COST.—The cost of documents or systems 

17 that may be required by subsection (i) may not be 

18 imposed upon a retail food store participating in the 

19 Secure Supplemental Nutrition Assistance Program. 

20 ‘‘(2) DEVALUATION AND TERMINATION OF

21 ISSUANCE OF PAPER COUPONS.— 

22 ‘‘(A) COUPON ISSUANCE.—Beginning on the 

23 effective date of this subsection, no State shall 

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1 ization card to a household that receives benefits 

2 under this Act. 

3 ‘‘(B) EBT CARDS.—Beginning 1 year after 

4 the effective date of this subsection, only an EBT 

5 card issued under subsection (i) shall be eligible 

6 for exchange at any retail food store. 

7 ‘‘(C) DE-OBLIGATION OF COUPONS.—Cou8 pons not redeemed in the 1-year period begin9 ning on the effective date of this subsection will 

10 no longer be an obligation of the Federal Govern11 ment and shall not be redeemable.’’. 

12 (8) in subsection (h)(1) by striking ‘‘coupons’’ 

13 and inserting ‘‘benefits’’; 

14 (9) in subsection (j)— 

15 (A) in paragraph (2)(A)(ii) by striking 

16 ‘‘printing, shipping, and redeeming coupons’’ 

17 and inserting ‘‘issuing and redeeming benefits’’; 

18 and 

19 (B) in paragraph (5) by striking ‘‘coupon’’ 

20 and inserting ‘‘benefit’’; and 

21 (10) in subsection (k)— 

22 (A) by striking ‘‘coupons in the form of’’ 

23 each place it appears and inserting ‘‘benefits in 

24 the form of’’; and 


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1 (B) by striking ‘‘a coupon issued in the 

2 form of’’ each place it appears and inserting 

3 ‘‘benefits in the form of’’. 

4 (b) CONFORMING AMENDMENTS.— 

5 (1) Section 3 of the Food Stamp Act of 1977 (7 

6 U.S.C. 2012) is amended— 

7 (A) in subsection (a) by striking ‘‘coupons’’ 

8 and inserting ‘‘benefits’’; 

9 (B) by amending subsection (b) to read as 

10 follows: 

11 ‘‘(b) ‘Benefit’ means the value of assistance provided 

12 under this Act to a household by means of an electronic 

13 benefit transfer under section 7(i), or other means of pro14 viding assistance, as determined by the Secretary.’’; 

15 (C) in the 1st sentence of subsection (c) by 

16 striking ‘‘authorization cards’’ and inserting 

17 ‘‘benefits’’; 

18 (D) in subsection (d) by striking ‘‘or access 

19 device’’ and all that follows through ‘‘number’’ ; 

20 (E) in subsection (e)— 

21 (i) by striking ‘‘coupon issuer’’ and in22 serting ‘‘benefit issuer’’; and 

23 (ii) by striking ‘‘coupons’’ and insert24 ing ‘‘benefits’’; 

25 (F) by after paragraph (f) the following: 


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1 ‘‘(f-1) EBT CARD.—The term ‘EBT card’ means an 

2 electronic benefit transfer card issued under section 7(i).’’; 

3 (G) in subsection (i)(5)(D) by striking 

4 ‘‘coupons’’ and inserting ‘‘benefits’’; and 

5 (H) in subsection (t) by inserting ‘‘includ6 ing point of sale devices,’’ after ‘‘other means of 

7 access’’. 

8 (2) Section 4(a) of the Food Stamp Act of 1977 

9 (7 U.S.C. 2013(a)) is amended— 

10 (A) by striking ‘‘coupons’’ each place it ap11 pears and inserting ‘‘benefits’’; and 

12 (B) by striking ‘‘coupons issued’’ and in13 serting ‘‘benefits issued’’. 

14 (3) Section 5(i)(2)(E) of the Food Stamp Act of 

15 1977 (7 U.S.C. 2014(i)(2)(E)) is amended by striking 

16 ‘‘, as defined in section 3(i) of this Act,’’. 

17 (4) Section 6(b)(1) of the Food Stamp Act of 

18 1977 (7 U.S.C. 2015(b)(1)) is amended— 

19 (A) in subparagraph (B) by striking ‘‘cou20 pons or authorization cards’’ and inserting ‘‘ben21 efits’’; and 

22 (B) by striking ‘‘coupons’’ each place it ap23 pears and inserting ‘‘benefits’’. 

24 (5) Section 7(j)(5) is amended by striking ‘‘cou25 pon’’ and inserting ‘‘benefit’’. 


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1 (6) Section 8(b) of the Food Stamp Act of 1977 

2 (7 U.S.C. 2017(b)) is amended by striking ‘‘, whether 

3 through coupons, access devices, or otherwise’’. 

4 (7) Section 9 of the Food Stamp Act of 1977 (7 

5 U.S.C. 2018) is amended— 

6 (A) by striking ‘‘coupons’’ each place it ap7 pears and inserting ‘‘benefits’’; and 

8 (B) in subsection (a)— 

9 (i) in paragraph (1) by striking ‘‘cou10 pon’’ and inserting ‘‘benefit’’; and 

11 (ii) in paragraph (3) by striking ‘‘cou12 pons, or to redeem,’’. 

13 (8) Section 10 of the Food Stamp Act of 1977 

14 (7 U.S.C. 2019) is amended— 

15 (A) by striking the section designation and 

16 heading and all that follows through ‘‘Regula17 tions’’ and inserting the following: 

18 ‘‘SEC. 10. REDEMPTION OF BENEFITS. 

19 ‘‘Regulations’’; and 

20 (B) by striking ‘‘coupons’’ each place it ap21 pears and inserting ‘‘benefits’’. 

22 (9) Section 11 of the Food Stamp Act of 1977 

23 (7 U.S.C. 2020) is amended— 

24 (A) in subsection (e)— 


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1 (i) in paragraph (15) by striking 

2 ‘‘when using its authorization card in order 

3 to receive its coupons’’ and inserting ‘‘when 

4 receiving benefits’’; and 

5 (ii) in paragraph (19) by striking 

6 ‘‘that,’’ and all that follows through ‘‘para7 graph;’’ and inserting ‘‘that eligible house8 holds may be required to present photo9 graphic identification cards in order to re10 ceive their benefits.’’; 

11 (B) in subsection (h) by striking ‘‘coupon or 

12 coupons’’ and inserting ‘‘benefits’’; 

13 (C) by striking ‘‘coupon’’ each place it ap14 pears and inserting ‘‘benefit’’; and 

15 (D) by striking ‘‘coupons’’ each place it ap16 pears and inserting ‘‘benefits’’. 

17 (10) Section 13 of the Food Stamp Act of 1977 

18 (7 U.S.C. 2022) is amended by striking ‘‘coupons’’ 

19 each place it appears and inserting ‘‘benefits’’. 

20 (11) Section 15 of the Food Stamp Act of 1977 

21 (7 U.S.C. 2024) is amended— 

22 (A) in subsection (a) by striking ‘‘coupons’’ 

23 and inserting ‘‘benefits’’; 

24 (B) in subsection (b)(1)— 


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1 (i) by striking ‘‘coupons’’ each place it 

2 appears and inserting ‘‘benefits’’; 

3 (ii) by striking ‘‘coupons or authoriza4 tion cards’’ and inserting ‘‘benefits’’; and 

5 (iii) by striking ‘‘access device’’ each 

6 place it appears and inserting ‘‘benefit’’; 

7 (C) in subsection (c) by striking ‘‘coupons’’ 

8 each place it appears and inserting ‘‘benefits’’; 

9 (D) in subsection (d) by striking ‘‘Coupons’’ 

10 and inserting ‘‘Benefits’’; 

11 (E) in subsections (e) and (f) by striking 

12 ‘‘coupon’’ each place it appears and inserting 

13 ‘‘benefit’’; and 

14 (F) in subsection (g) by striking ‘‘coupon, 

15 authorization cards or access devices’’ and in16 serting ‘‘benefits’’; and 

17 (12) Section 16(a) of the Food Stamp Act of 

18 1977 (7 U.S.C. 2025(a)) is amended by striking ‘‘cou19 pons’’ each place it appears and inserting ‘‘benefits’’. 

20 (13) Section 17 of the Food Stamp Act of 1977 

21 (7 U.S.C. 2026) is amended— 

22 (A) in subsection (a)(2) by striking ‘‘cou23 pon’’ and inserting ‘‘benefit’’; 

24 (B) in subsection (b)(1)— 

25 (i) in subparagraph (B)(v)— 


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1 (I) by striking ‘‘countersigned 

2 food coupons or similar’’; and 

3 (II) by striking ‘‘food coupons’’ 

4 and inserting ‘‘EBT cards’’; and 

5 (ii) in subparagraph (C)(i)(I) by strik6 ing ‘‘coupons’’ and inserting ‘‘EBT cards’’; 

7 and 

8 (C) in subsection (j) by striking ‘‘coupon’’ 

9 and inserting ‘‘benefit’’. 

10 (14) Section 21 of the Food Stamp Act of 1977 

11 (7 U.S.C. 2030) is amended— 

12 (A) in subsection (d)(3)— 

13 (i) by striking ‘‘food coupons’’ and in14 serting ‘‘benefits’’; and 

15 (ii) by striking ‘‘food stamp benefits’’ 

16 and inserting ‘‘benefits’’. 

17 (15) Section 22 of the Food Stamp Act of 1977 

18 (7 U.S.C. 2031) is amended— 

19 (A) by striking ‘‘food coupons’’ each place it 

20 appears and inserting ‘‘benefits’’; 

21 (B) by striking ‘‘coupons’’ each place it ap22 pears and inserting ‘‘benefits’’; and 

23 (C) in subsection (g)(1)(A) by striking ‘‘cou24 pon’’ and inserting ‘‘benefit’’. 


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1 (c) REFERENCES IN OTHER LAWS, DOCUMENTS, AND

2 RECORDS OF THE UNITED STATES.—In any law (exclud3 ing the Food Stamp Act of 1977), regulation, rule, docu4 ment, or record of the United States, a reference to ‘‘cou5 pon’’, ‘‘authorization card’’, or ‘‘other access device’’ as used 

6 in the Food Stamp Act of 1977 as in effect before the date 

7 of the enactment of this Act shall be deemed to be a reference 

8 to ‘‘benefit’’ as defined in such Act as in effect after the 

9 date of the enactment of this Act. 

10 SEC. 4006. ALLOW FOR THE ACCRUAL OF BENEFITS. 

11 Section 7(i) of the Food Stamp Act of 1977 (7 U.S.C. 

12 2016(i)) is amended by adding at the end the following: 

13 ‘‘(12) RECOVERING ELECTRONIC BENEFITS.— 

14 ‘‘(A) A State agency may recover benefits 

15 from a household’s electronic benefits account be16 cause of inactivity in the account after the house17 hold has not accessed the account the lesser of— 

18 ‘‘(i) 3 months during which the ac19 count has continuously had a balance in ex20 cess of $1,000, adjusted for changes in the 

21 thrifty food plan since June 2007; or 

22 ‘‘(ii) 12 months. 

23 ‘‘(B) A household whose benefits are recov24 ered under subparagraph (A) shall receive notice 

25 and shall have the benefits made available again 


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1 upon a request made during a period of not less 

2 than 12 months after the recovery.’’. 

3 SEC. 4007. STATE OPTION FOR TELEPHONIC SIGNATURE. 

4 Section 11(e)(2)(C) of the Food Stamp Act of 1977 (7 

5 U.S.C. 2020(e)(2)(C)) is amended— 

6 (1) by inserting ‘‘(i)’’ after ‘‘(C)’’; and 

7 (2) by adding at the end the following: 

8 ‘‘(ii) A State agency may establish a system 

9 by which an applicant household may sign an 

10 application through a recorded verbal assent over 

11 the telephone. Any such system shall— 

12 ‘‘(I) record for future reference the 

13 household member’s verbal assent and the 

14 information to which assent was given; 

15 ‘‘(II) include effective safeguards 

16 against impersonation, identity theft, or in17 vasions of privacy; 

18 ‘‘(III) not deny or interfere with the 

19 right of the household to apply in writing; 

20 ‘‘(IV) promptly send the household 

21 member a written copy of the application, 

22 with instructions on a simple procedure for 

23 correcting any errors or omissions; 

24 ‘‘(V) comply with paragraph (1)(B); 


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1 ‘‘(VI) satisfy all requirements for a sig2 nature on an application under this Act 

3 and other laws applicable to the Secure 

4 Supplemental Nutrition Assistance Pro5 gram, with the date on which the household 

6 member provides verbal assent effective as 

7 the date of application for all purposes; and 

8 ‘‘(VII) comply with such other stand9 ards as the Secretary may establish.’’. 

10 SEC. 4008. REVIEW OF MAJOR CHANGES IN PROGRAM DE11 SIGN. 

12 (a) PROHIBITION.—Section 11(e)(6) of the Food 

13 Stamp Act of 1977 (7 U.S.C. 2020(e)(6)) is amended— 

14 (1) in subparagraph (A) by striking ‘‘and’’ at 

15 the end; 

16 (2) by striking subparagraph (B) and inserting 

17 the following: 

18 ‘‘(B) except as provided in section 5(h)(4), 

19 only State employees employed in accordance 

20 with the current standards for a Merit System of 

21 Personnel Administration, or any standards 

22 later prescribed by the Office of Personnel Man23 agement pursuant to section 208 of the Intergov24 ernmental Personnel Act of 1970 (42 U.S.C. 

25 4728) modifying or superseding such standards 


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1 relating to the establishment and maintenance of 

2 personnel standards on a merit basis, shall un3 dertake such certifications and shall— 

4 ‘‘(i) represent the State agency in any 

5 official communications with a prospective 

6 applicant, applicant, or recipient household 

7 regarding their application or participa8 tion, except that a nonprofit organization 

9 may assist a household under paragraph (1) 

10 through activities allowable under section 

11 16(a)(4); 

12 ‘‘(ii) participate in making any deter13 minations relating to a household’s sub14 stantive or procedural compliance with the 

15 requirements of this Act or implementing 

16 regulations, including the adequacy of the 

17 household’s application or of verification of 

18 other information the household has sub19 mitted in support of that application; or 

20 ‘‘(iii) participate in making any other 

21 determinations required under this sub22 section; 

23 except that nothing in this subparagraph shall 

24 prevent a State agency from contracting for 

25 automated systems, issuance services or program 


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1 information activities reimbursed under para2 graphs (2), (3), (4), or (6) of section 16(a) or 

3 under section 16(g) or for assisting in the 

4 verification of an applicant’s identity; and 

5 ‘‘(C) the State agency shall not use any 

6 Federal funds— 

7 ‘‘(i) to implement, to perform, or to 

8 carry out any contract that does not comply 

9 with the requirements in effect under sub10 paragraph (B); or 

11 ‘‘(ii) to pay any cost associated with 

12 the termination, breach, or full or partial 

13 abrogation, of any contract that does not 

14 comply with the requirements in effect 

15 under such subparagraph;’’. 

16 (b) WAIVERS.—Section 17(b)(1)(B)(iv)(III)(ff) of the 

17 Food Stamp Act of 1977 (7 U.S.C. 

18 2026(b)(1)(B)(iv)(III)(ff)) is amended by inserting ‘‘or 

19 11(e)(6)(B)’’ before the semicolon at the end. 

20 (c) PROJECTS.—Section 26(f)(3)(E) of the Food 

21 Stamp Act of 1977 (7 U.S.C. 2035(f)(3)(E)) is amended 

22 by inserting ‘‘(6)(B),’’ after ‘‘paragraphs’’. 

23 (d) DISASTERS.—Section 5(h) of the Food Stamp Act 

24 of 1977 (7 U.S.C. 2014(h)) is amended by inserting at the 

25 end: 


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1 ‘‘(4) The Secretary may authorize a state agen2 cy, on a temporary basis, to use employees or individ3 uals that do not meet the standards prescribed under 

4 section 11(e)(6)(B) in order to determine eligibility 

5 for a disaster food stamp program under this sub6 section.’’. 

7 (e) DISALLOWANCE OF FUNDS.—No funds shall be 

8 available under any appropriations act for implementing 

9 or continuing any contract that does not comply with sec10 tion 11(e)(6)(B) of the Food Stamp Act of 1977 (7 U.S.C. 

11 2020(e)(6)(B)) as amended by subsection (a) nor for any 

12 costs associated with the termination or full or partial abro13 gation of such contract. 

14 (f) TRANSITION PERIOD.—Subsection (e) shall not 

15 apply to the costs of implementing, continuing, or renegoti16 ating any contract concluded before January 1, 2007, (but 

17 shall apply to any costs associated with the termination 

18 or full or partial abrogation of such contract) until the first 

19 day of the first month beginning at least 120 days after 

20 the date of enactment of this Act. 


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1 SEC. 4009. GRANTS FOR SIMPLE APPLICATION AND ELIGI2 BILITY DETERMINATION SYSTEMS AND IM3 PROVED ACCESS TO BENEFITS. 

4 Section 11(t)(1) of the Food Stamp Act of 1977 (7 

5 U.S.C. 2020(t)(1)) is amended by striking ‘‘2007’’ and in6 serting ‘‘2012’’. 

7 SEC. 4010. CIVIL MONEY PENALTIES AND DISQUALIFICA8 TION OF RETAIL FOOD STORES AND WHOLE9 SALE FOOD CONCERNS. 

10 Section 12 of the Food Stamp Act of 1977 (7 U.S.C. 

11 2021) is amended— 

12 (1) by striking the section heading and all that 

13 follows through ‘‘(a) Any approved’’, and inserting 

14 the following: 

15 ‘‘SEC. 12. CIVIL MONEY PENALTIES AND DISQUALIFICATION 

16 OF RETAIL FOOD STORES AND WHOLESALE 

17 FOOD CONCERNS. 

18 ‘‘(a) DISQUALIFICATION.— 

19 ‘‘(1) IN GENERAL.—An approved’’; 

20 (2) in subsection (a)— 

21 (A) in the 1st sentence by striking ‘‘$10,000 

22 for each violation’’ and all that follows through 

23 the period at the end, and inserting ‘‘$100,000 

24 for each violation.’’; and 

25 (B) in the 2d sentence— 


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1 (i) by striking ‘‘Regulations’’ and in2 serting the following: 

3 ‘‘(2) REGULATIONS.—Regulations’’; 

4 (ii) by striking ‘‘violation and’’ and 

5 inserting ‘‘violation of’’; 

6 (iii) by inserting a comma after ‘‘dis7 qualification of’’; and 

8 (iv) by striking ‘‘a retail store’’ and 

9 inserting ‘‘and the assessment of a civil 

10 money penalty against, a retail store’’; 

11 (3) in subsection (b)— 

12 (A) by striking ‘‘(b) Disqualification’’ and 

13 all that follows through ‘‘shall be—’’, and insert14 ing the following: 

15 ‘‘(b) PERIOD OF DISQUALIFICATION.—Subject to sub16 section (c), a disqualification shall be—’’; 

17 (B) in paragraph (1) by striking ‘‘of no less 

18 than six months nor more than five years’’ and 

19 inserting ‘‘not to exceed 5 years’’; 

20 (C) in paragraph (2) by striking ‘‘of no less 

21 than twelve months nor more than ten years’’ 

22 and inserting ‘‘not to exceed 10 years.’’; 

23 (D) in paragraph (3)— 

24 (i) in subparagraph (B)— 


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1 (I) by striking ‘‘coupons or traf2 ficking in coupons or authorization 

3 cards’’ each place it appears, and in4 serting ‘‘program access devices or ben5 efit instruments or trafficking in pro6 gram access devices or benefit instru7 ments’’; and 

8 (II) by inserting ‘‘or a finding of 

9 the unauthorized redemption, use, 

10 transfer, acquisition, alteration, or 

11 possession of benefits or access devices’’ 

12 after ‘‘concern’’ the 1st place it ap13 pears; 

14 (4) in paragraph (3)(C) by striking ‘‘and’’ at the 

15 end; 

16 (5) in subsection (c)— 

17 (A) by striking ‘‘(c) The action’’ and insert18 ing the following: 

19 ‘‘(c) TREATMENT OF DISQUALIFICATION AND PENALTY

20 DETERMINATIONS.— 

21 ‘‘(1) REVIEW.—The action’’; and 

22 (B) by striking ‘‘coupons’’ and inserting 

23 ‘‘benefits’’; 

24 (6) in subsection (d) by striking ‘‘coupons’’ in 

25 each place it appears and inserting ‘‘benefits’’; 


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1 (7) in subsection (f) by striking ‘‘food coupons’’ 

2 and inserting ‘‘benefits’’; 

3 (8) by redesignating subsection (c) through (g) as 

4 subsection (d) through (h), respectively; 

5 (9) inserting after subsection (b) the following: 

6 ‘‘(c) In addition to a disqualification under subsection 

7 (b), the Secretary may assess a civil monetary penalty of 

8 up to $100,000;’’; and 

9 (10) by adding at the end: 

10 ‘‘(i) The Secretary shall, in consultation with the In11 spector General of the Department of Agriculture, provide 

12 for procedures by which the processing of benefit redemp13 tions for certain retail food stores and wholesale food con14 cerns may be immediately suspended pending administra15 tive action to disqualify such a store or concern. Under the 

16 procedures prescribed pursuant to this subsection, if the 

17 Secretary, in consultation with the Inspector General, de18 termines that a retail food store or wholesale food concern 

19 is engaged in flagrant violations of this Act or the regula20 tions issued pursuant to this Act, unsettled benefits that 

21 have been redeemed by the retail food store or wholesale food 

22 concern may be suspended and, if the suspension is upheld, 

23 subject to forfeiture pursuant to section 12(g). If the dis24 qualification action not upheld, suspended funds held by 

25 the Secretary shall be released to such store or such concern. 


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1 The Secretary shall not be liable for the value of any interest 

2 on funds suspended under this subsection.’’. 

3 SEC. 4011. MAJOR SYSTEMS FAILURES. 

4 Section 13(b) of the Food Stamp Act of 1977 (7 U.S.C. 

5 2022(b)) is amended by adding at the end the following: 

6 ‘‘(5) OVER ISSUANCES CAUSED BY SYSTEMIC

7 STATE ERRORS.— 

8 ‘‘(A) IN GENERAL.—If the Secretary deter9 mines that a State agency over issued benefits to 

10 a substantial number of households in a fiscal 

11 year as a result of a major systemic error by the 

12 State agency, as determined by the Secretary, the 

13 Secretary may prohibit the State agency from 

14 collecting these over issuances from some or all 

15 households. 

16 ‘‘(B) PROCEDURES.— 

17 ‘‘(i) INFORMATION REPORTING BY

18 STATES.—Every State agency shall provide 

19 to the Secretary all information requested 

20 by the Secretary concerning the issuance of 

21 benefits to households by the State agency in 

22 the applicable fiscal year. 

23 ‘‘(ii) FINAL DETERMINATION.—After 

24 reviewing relevant information provided by 


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1 a State agency, the Secretary shall make a 

2 final determination— 

3 ‘‘(I) whether the State agency over 

4 issued benefits to a substantial number 

5 of households as a result of a systemic 

6 error in the applicable fiscal year; and 

7 ‘‘(II) as to the amount of the over 

8 issuance in the applicable fiscal year 

9 for which the State agency is liable. 

10 ‘‘(iii) ESTABLISHING A CLAIM.—Upon 

11 determining under clause (ii) that a State 

12 agency has over issued benefits to households 

13 due to a major systemic error determined 

14 under subparagraph (A), the Secretary shall 

15 establish a claim against the State agency 

16 equal to the value of the over issuance 

17 caused by the systemic error. 

18 ‘‘(iv) ADMINISTRATIVE AND JUDICIAL

19 REVIEW.—Administrative and judicial re20 view, as provided in section 14, shall apply 

21 to the final determinations by the Secretary 

22 under clause (ii). 

23 ‘‘(v) REMISSION TO THE SECRETARY.— 

24 ‘‘(I) DETERMINATION NOT AP25 PEALED.—If the determination of the 


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1 Secretary under clause (ii) is not ap2 pealed, the State agency shall, as soon 

3 as practicable, remit to the Secretary 

4 the dollar amount specified in the 

5 claim under clause (iii). 

6 ‘‘(II) DETERMINATION AP7 PEALED.—If the determination of the 

8 Secretary under clause (ii) is appealed, 

9 upon completion of administrative and 

10 judicial review under clause (iv), and 

11 a finding of liability on the part of the 

12 State, the appealing State agency 

13 shall, as soon as practicable, remit to 

14 the Secretary a dollar amount subject 

15 to the finding of the administrative 

16 and judicial review. 

17 ‘‘(vi) ALTERNATIVE METHOD OF COL18 LECTION.— 

19 ‘‘(I) IN GENERAL.—If a State 

20 agency fails to make a payment under 

21 clause (v) within a reasonable period 

22 of time, as determined by the Sec23 retary, the Secretary may reduce any 

24 amount due to the State agency under 


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1 any other provision of this Act by the 

2 amount due. 

3 ‘‘(II) ACCRUAL OF INTEREST.— 

4 During the period of time determined 

5 by the Secretary to be reasonable under 

6 subclause (I), interest in the amount 

7 owed shall not accrue. 

8 ‘‘(vii) LIMITATION.—Any liability 

9 amount established under section 

10 16(c)(1)(C) shall be reduced by the amount 

11 of the claim established under this subpara12 graph.’’. 

13 SEC. 4012. FUNDING OF EMPLOYMENT AND TRAINING PRO14 GRAMS. 

15 Section 16(h)(1) of the Food Stamp Act of 1977 (7 

16 U.S.C. 2025(h)(1)) is amended— 

17 (1) in subparagraph (A)(vii) by striking ‘‘fiscal 

18 years 2002 through 2007’’ and inserting ‘‘fiscal years 

19 2008 through 2012’’; and 

20 (2) in subparagraph (E)(i) by striking ‘‘fiscal 

21 years 2002 through 2007’’ and inserting ‘‘fiscal years 

22 2008 through 2012’’. 


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1 SEC. 4013. REDUCTIONS IN PAYMENTS FOR ADMINISTRA2 TIVE COSTS. 

3 Section 16(k)(3) of the Food Stamp Act of 1977 (7 

4 U.S.C. 2025(k)(3)) is amended— 

5 (1) in subparagraph (A) by striking ‘‘2007’’ and 

6 inserting ‘‘2012’’; and 

7 (2) in subparagraph (B)(ii) by striking ‘‘2007’’ 

8 and inserting ‘‘2012’’. 

9 SEC. 4014. CASH PAYMENT PILOT PROJECTS. 

10 Section 17(b)(1)(B)(vi) of the Food Stamp Act of 1977 

11 (7 U.S.C. 2026(b)(1)(B)(vi)) is amended by striking ‘‘2007’’ 

12 and inserting ‘‘2012’’. 

13 SEC. 4015. FINDINGS OF CONGRESS REGARDING SECURE 

14 SUPPLEMENTAL NUTRITION ASSISTANCE 

15 PROGRAM NUTRITION EDUCATION. 

16 (a) FINDINGS.—The Congress finds the following: 

17 (1) Nutrition education under the Food Stamp 

18 Act of 1977 plays an essential role in improving the 

19 dietary and physical activity practices of low income 

20 Americans, helping to reduce food insecurity, prevent 

21 obesity, and reduce the risks of chronic disease. 

22 (2) Expert bodies, such as the Institute of Medi23 cine, indicate that dietary and physical activity be24 havior change is more likely to result from the com25 bined application of public health approaches and 

26 education than from individual education alone. 


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1 (3) State programs are currently implementing 

2 such nutrition education using effective strategies, in3 cluding direct education, group activities, and social 

4 marketing. 

5 (b) SUPPORT NUTRITION EDUCATION.—The Secretary 

6 of Agriculture should support and encourage the most effec7 tive interventions for nutrition education under the Food 

8 Stamp Act of 1977, including public health approaches as 

9 well as traditional education, to increase the likelihood that 

10 recipients of Secure Supplemental Nutrition Assistance 

11 benefits and those who are potentially eligible for such bene12 fits will choose diets and physical activity practices con13 sistent with the Dietary Guidelines for Americans. To pro14 mote the most effective implementation of publicly funded 

15 programs, State nutrition education activities under the 

16 Food Stamp Act of 1977 should be coordinated with other 

17 federally funded food assistance and public health programs 

18 and should leverage public/private partnerships to maxi19 mize resources and impact. 

20 SEC. 4016. NUTRITION EDUCATION AND PROMOTION INI21 TIATIVE TO ADDRESS OBESITY. 

22 Section 17 of the Food Stamp Act of 1977 (7 U.S.C. 

23 2026) is amended by adding at the end the following: 

24 ‘‘(k) NUTRITION EDUCATION AND PROMOTION INITIA25 TIVE TO ADDRESS OBESITY.— 


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1 ‘‘(1) IN GENERAL.—The Secretary shall establish 

2 a demonstration program, to be known as the ‘Initia3 tive to Address Obesity Among Low-Income Ameri4 cans’ (referred to in this subsection as the ‘Initia5 tive’), to develop and implement solutions to reduce 

6 obesity in the United States. 

7 ‘‘(A) SELECTION.—The Secretary shall so8 licit and competitively select demonstration pro9 posals for strategies to address obesity among 

10 low-income Americans. 

11 ‘‘(B) EVALUATION.—The effectiveness of 

12 these strategies shall be rigorously evaluated to 

13 assess the impact on overweight and obesity 

14 among low-income persons. 

15 ‘‘(C) DISSEMINATION.—Evaluation results 

16 shall be shared broadly to inform policy makers, 

17 service providers, other partners, and the public 

18 in order to promote wide use of successful strate19 gies. 

20 ‘‘(2) GRANTS.— 

21 ‘‘(A) IN GENERAL.—In carrying out the 

22 Initiative, the Secretary may enter into competi23 tively awarded contracts or cooperative agree24 ments with, or grants to, public or private orga25 nizations or agencies as defined by the Secretary, 


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1 for use in accordance with projects that meet the 

2 strategy goals of the Initiative. 

3 ‘‘(B) APPLICATION.—To be eligible to re4 ceive a contract, cooperative agreement, or grant 

5 under this paragraph, an organization shall sub6 mit to the Secretary an application at such time, 

7 in such manner, and containing such informa8 tion as the Secretary may require. 

9 ‘‘(C) SELECTION CRITERIA.—Demonstration 

10 proposals shall be evaluated against publicly dis11 seminated criteria that include— 

12 ‘‘(i) identification of a low-income tar13 get audience that corresponds to individuals 

14 living in households with incomes at or 

15 below 185 percent of the poverty level; 

16 ‘‘(ii) incorporation of a scientifically17 based strategy that is designed to improve 

18 diet quality through more healthful food 

19 purchases, preparation, or consumption; 

20 ‘‘(iii) a commitment to a demonstra21 tion plan that allows for a rigorous outcome 

22 evaluation, including data collection; and 

23 ‘‘(iv) other criteria, as determined by 

24 the Secretary. 

25 ‘‘(D) USE OF FUNDS.— 


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1 ‘‘(i) PROHIBITION.—Funds shall not be 

2 used for projects that limit the use of bene3 fits. 

4 ‘‘(ii) MONITORING AND EVALUATION.— 

5 The Secretary may use funds provided for 

6 the Initiative to pay costs associated with 

7 monitoring, evaluation, and dissemination 

8 of the Initiative’s findings. 

9 ‘‘(3) AUTHORIZATION OF APPROPRIATIONS.— 

10 There is authorized to be appropriated to carry out 

11 this subsection $10,000,000 for each of the fiscal years 

12 2008 through 2012, except that no new grants may be 

13 made under this subsection after September 30, 

14 2012.’’. 

15 SEC. 4017. AUTHORIZATION OF APPROPRIATIONS. 

16 Section 18(a)(1) of the Food Stamp Act of 1977 (7 

17 U.S.C. 2027(a)(1)) is amended by striking ‘‘2003 through 

18 2007’’ and inserting ‘‘2008 through 2012’’. 

19 SEC. 4018. CONSOLIDATED BLOCK GRANTS FOR PUERTO 

20 RICO AND AMERICAN SAMOA. 

21 Section 19(a)(2)(A)(ii) of the Food Stamp Act of 1977 

22 (7 U.S.C. 2028(a)(2)(A)(ii)) is amended in subparagraph 

23 (A)(ii) by striking ‘‘2007’’ and inserting ‘‘2012’’. 


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1 SEC. 4019. STUDY ON COMPARABLE ACCESS TO SECURE 

2 SUPPLEMENTAL NUTRITION ASSISTANCE 

3 PROGRAM BENEFITS FOR PUERTO RICO. 

4 Section 19 of the Food Stamp Act of 1977 (7 U.S.C. 

5 2028) is amended by adding at the end the following: 

6 ‘‘(e) STUDY.—The Secretary shall conduct a study of 

7 the feasibility and effects of including the Commonwealth 

8 of Puerto Rico under section 3(m), in lieu of providing the 

9 block grant under this section. The study shall include— 

10 ‘‘(1) an assessment of the administrative, finan11 cial management, and other changes that would be re12 quired by the Commonwealth to establish a com13 parable Secure Supplemental Nutrition Assistance 

14 Program; 

15 ‘‘(2) a discussion of the appropriate program 

16 rules under the other sections of the Act, such as ben17 efit levels under section 3(o), income eligibility stand18 ards under sections 5 and 6, and deduction levels 

19 under section 5(e), for the Commonwealth to establish 

20 a comparable Secure Supplemental Nutrition Assist21 ance Program; 

22 ‘‘(3) an estimate of the impact on Federal and 

23 Commonwealth benefit and administrative costs; 

24 ‘‘(4) an estimate of the impact of the Secure 

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1 ger and food insecurity among low-income Puerto 

2 Ricans, and 

3 ‘‘(5) such other findings as the Secretary deems 

4 appropriate.’’. 

5 SEC. 4020. REAUTHORIZATION OF COMMUNITY FOOD 

6 PROJECT COMPETITIVE GRANTS. 

7 (a) AUTHORIZATION OF APPROPRIATIONS.—Section 

8 25 of the Food Stamp Act of 1977 (U.S.C. 2034) is amend9 ed— 

10 (1) in subsections (c), (d), (e)(1), and (f)(1) by 

11 striking ‘‘subsection (b)’’ each place it appears and 

12 inserting ‘‘subsection (g)’’; 

13 (2) by striking subsection (b); 

14 (3) by redesignating subsections (c) through (g) 

15 as subsections (b) through (f), respectively; and 

16 (4) by inserting after paragraph (f) the fol17 lowing: 

18 ‘‘(g) AUTHORIZATION OF APPROPRIATIONS.—There is 

19 authorized to be appropriated to the Secretary to make 

20 grants available to assist eligible private nonprofit entities 

21 to establish and carry out community food projects 

22 $30,000,000 for each of the fiscal years 2008 through 

23 2012.’’. 

24 (b) PREFERENCES FOR CERTAIN PROJECTS.—Sub25 section (c) of section 25 of the Food Stamp Act of 1977 


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1 (7 U.S.C. 2034), as so redesignated by subsection (a) of this 

2 section, is amended— 

3 (1) in paragraph (3) by striking ‘‘or’’ at the end; 

4 (2) in paragraph (4) by striking the period at 

5 the end and inserting ‘‘; or’’; and 

6 (3) by adding at the end the following: 

7 ‘‘(5) serve special needs in areas of— 

8 ‘‘(A) transportation and processing for ex9 panding institutional and emergency food service 

10 demand for local food; 

11 ‘‘(B) retail access to healthy foods in under12 served markets; 

13 ‘‘(C) integration of urban and metro-area 

14 food production in food projects; and 

15 ‘‘(D) technical assistance for youth, socially 

16 disadvantaged individuals, and limited resource 

17 groups.’’ 

18 (c) MATCHING FUND REQUIREMENTS.—Subsection 

19 (d)(1) of section 25 of the Food Stamp Act of 1977 (7 U.S.C. 

20 2034), as so redesignated by subsection (a) of this section, 

21 is amended by striking ‘‘50’’ and inserting ‘‘75’’. 

22 (d) TERM OF GRANT.—Subsection (e)(2) of section 25 

23 of the Food Stamp Act of 1977 (7 U.S.C. 2034(e)(2)), as 

24 so redesignated by subsection (a) of this section, is amended 

25 by striking ‘‘3’’ and inserting ‘‘5’’. 


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1 (e) FUNDING FOR INNOVATIVE PROGRAMS.—Sub2 section (h)(4) of section 25 of the Food Stamp Act of 1977 

3 (7 U.S.C. 2034), as so redesignated by subsection (a) of this 

4 section, is amended— 

5 (1) by striking ‘‘fiscal years 2003 though 2007’’ 

6 and inserting ‘‘fiscal years 2008 through 2012’’; and 

7 (2) by striking ‘‘200,000’’ and inserting 

8 ‘‘$500,000’’. 

9 SEC. 4021. EMERGENCY FOOD ASSISTANCE. 

10 Section 27(a) of the Food Stamp Act of 1977 (7 U.S.C. 

11 2036(a)) is amended by striking ‘‘2007’’ and inserting 

12 ‘‘2012’’. 

13 Subtitle B—Commodity Distribution 

14 SEC. 4201. AUTHORIZATION OF APPROPRIATIONS. 

15 Section 204(a)(1) of the Emergency Food Assistance 

16 Act of 1983 (7 U.S.C. 7508(a)(1)) is amended by striking 

17 ‘‘$60,000,000 for each of the fiscal years 2003 through 

18 2007’’ and inserting ‘‘ $100,000,000 for each of the fiscal 

19 years 2008 through 2012’’. 

20 SEC. 4202. DISTRIBUTION OF SURPLUS COMMODITIES; SPE21 CIAL NUTRITION PROJECTS. 

22 Section 1114(a)(2)(A) of the Agriculture and Food Act 

23 of 1981 (7 U.S.C. 1431e(a)(2)(A)) is amended by striking 

24 ‘‘2007’’ and inserting ‘‘2012’’. 


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1 SEC. 4203. COMMODITY DISTRIBUTION PROGRAM. 

2 (a) COMMODITY DISTRIBUTION PROGRAM.—Section 4 

3 of the Agriculture and Consumer Protection Act of 1973 (7 

4 U.S.C. 612c note) is amended by striking ‘‘2007’’ and in5 serting ‘‘2012’’. 

6 (b) COMMODITY SUPPLEMENTAL FOOD PROGRAM.— 

7 Section 5 of the Agriculture and Consumer Protection Act 

8 (7 U.S.C. 612c note) is amended— 

9 (1) in subsection (a)— 

10 (A) in paragraph (1) by striking ‘‘fiscal 

11 years 2003 through 2007’’ and inserting ‘‘for fis12 cal year 2008 and each fiscal year thereafter’’; 

13 and 

14 (B) in paragraph (2)(B)— 

15 (i) in the heading by striking in ‘‘2007’’ 

16 and inserting ‘‘2012’’; and 

17 (ii) by striking ‘‘2007’’ and inserting 

18 ‘‘2012’’; 

19 (2) in subsection (d)(2) by inserting ‘‘, and for 

20 each fiscal year thereafter,’’ after ‘‘2007’’; 

21 (3) by amending subsection (g) to read as fol22 lows: 

23 ‘‘(g) USE OF RESOURCES.—Each local agency shall 

24 use funds made available to the agency to provide assistance 

25 under the program to low-income elderly individuals, 

26 women, infants, and children in need for food assistance 


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1 in accordance with such regulations as the Secretary may 

2 prescribe.’’; 

3 (4) in paragraphs (2) and (3) of subsection (h) 

4 by inserting ‘‘elderly individuals,’’ before ‘‘pregnant’’; 

5 and 

6 (5) by adding at the end the following: 

7 ‘‘(m) INCOME ELIGIBILITY STANDARDS.—The Sec8 retary shall establish maximum income eligibility stand9 ards to be used in conjunction with such other risk criteria 

10 as may be appropriate in determining eligibility for the 

11 program. Such income standards shall be the same for all 

12 pregnant, postpartum, and breastfeeding women, for in13 fants, for children, and for elderly individuals qualifying 

14 for the program, and shall not exceed the maximum income 

15 limit prescribed under section 17(d)(2)(A)(i) of the Child 

16 Nutrition Action of 1966 (42 U.S.C. 1786(d)(2)(A)(i)).’’. 

17 Subtitle C—Child Nutrition and 

18 Related Programs 

19 SEC. 4301. PURCHASE OF FRESH FRUITS AND VEGETABLES 

20 FOR DISTRIBUTION TO SCHOOLS AND SERV21 ICE INSTITUTIONS. 

22 Section 10603 of the Farm Security and Rural Invest23 ment Act of 2002 (7 U.S.C. 612c–4) is amended by striking 

24 subsection (b) and inserting the following new subsection: 


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1 ‘‘(b) PURCHASE OF FRESH FRUITS AND VEGETABLES

2 FOR DISTRIBUTION TO SCHOOLS AND SERVICE INSTITU3 TIONS.— 

4 ‘‘(1) PURCHASE AUTHORITY.—The Secretary of 

5 Agriculture shall purchase fresh fruits and vegetables 

6 for distribution to schools and service institutions in 

7 accordance with section 6(a) of the Richard B. Rus8 sell National School Lunch Act (42 U.S.C. 1755(a)), 

9 using, of the amount specified in subsection (a)— 

10 ‘‘(A) not less than $50,000,000 for each of 

11 fiscal years 2008 and 2009; and 

12 ‘‘(B) not less than $75,000,000 for each of 

13 fiscal years 2010 through 2012. 

14 ‘‘(2) SERVICING AGENCY.—The Secretary of Ag15 riculture may provide for the Secretary of Defense to 

16 serve as the servicing agency for the procurement of 

17 the fresh fruits and vegetables under this subsection 

18 on the same terms and conditions as provided in the 

19 memorandum of agreement entered into between the 

20 Agricultural Marketing Service, the Food and Con21 sumer Service, and the Defense Personnel Support 

22 Center during August 1995 (or any successor memo23 randum of agreement).’’. 

24 SEC. 4302. BUY AMERICAN REQUIREMENTS. 

25 (a) FINDINGS.—The Congress finds the following: 


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1 (1) Federal law requires that commodities and 

2 products purchased with Federal funds be, to the ex3 tent practicable, of domestic origin. 

4 (2) Federal Buy American statutory require5 ments seek to ensure that purchases made with Fed6 eral funds benefit domestic producers. 

7 (3) The Richard B. Russell National School 

8 Lunch Act requires the use of domestic food products 

9 for all meals served under the program, including 

10 foods products purchased with local funds. 

11 (b) BUY AMERICAN STATUTORY REQUIREMENTS.—The 

12 Department of Agriculture should undertake training, guid13 ance, and enforcement of the various current Buy American 

14 statutory requirements and regulations, including those of 

15 the National School Lunch Act and the DOD Fresh pro16 gram. 

17 SEC. 4303. EXPANSION OF FRESH FRUIT AND VEGETABLE 

18 PROGRAM. 

19 Section 18 of the Richard B. Russell National School 

20 Lunch Act (42 U.S.C. 1769) is amended in subsection (g)— 

21 (1) in paragraph (1)— 

22 (A) in the matter preceding subparagraph 

23 (A), by striking ‘‘July 2004’’ and inserting 

24 ‘‘July 2007’’; and 


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1 (B) in paragraph (1) by amending sub2 paragraphs (A) and (B) to read as follows: 

3 ‘‘(A) 35 elementary or secondary schools in 

4 each State; 

5 ‘‘(B) additional elementary or secondary 

6 schools in each State in proportion to the student 

7 population of the State; and’’; 

8 (2) in paragraph (3)(A) by striking ‘‘paragraph 

9 (1)(B)’’ and inserting ‘‘paragraph (1)’’; 

10 (3) in paragraph (5) in each of subparagraphs 

11 (A) and (B), by striking ‘‘2008’’ and inserting 

12 ‘‘2012’’; and 

13 (4) in paragraph (6)(B)— 

14 (A) in clause (i)— 

15 (i) by striking ‘‘October 1, 2004, and 

16 on each October 1 thereafter,’’ and inserting 

17 ‘‘October 1, 2007, and on each October 1 

18 thereafter,’’; and 

19 (ii) by striking ‘‘$9,000,000’’ and in20 serting ‘‘$70,000,000’’; and 

21 (B) by adding at the end the following: 

22 ‘‘(iii) ADMINISTRATIVE EXPENSES.— 

23 For fiscal year 2009 and each fiscal year 

24 thereafter, of the amount available to carry 

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1 serve not more than 1 percent of that 

2 amount for administrative expenses in car3 rying out this subsection. 

4 ‘‘(iv) STATE ADMINISTRATIVE COSTS.— 

5 For fiscal year 2009 and each fiscal year 

6 thereafter, of the amount received by a State 

7 to carry out this subsection, the State may 

8 use not more than 5 percent of that amount 

9 for administrative expenses in carrying out 

10 this subsection. To be eligible to use such 

11 funds for such expenses, the State must sub12 mit to the Secretary a plan indicating how 

13 the State intends to use such funds. 

14 ‘‘(v) FEDERAL REQUIREMENTS.—The 

15 Secretary shall establish requirements to be 

16 followed by States in administering this 

17 subsection. The initial set of requirements 

18 shall be established not later than 1 year 

19 after the date of the enactment of this 

20 clause.’’. 

21 SEC. 4304. PURCHASES OF LOCALLY PRODUCED FOODS. 

22 Section 9(j) of the Richard B. Russell National School 

23 Lunch Act (42 U.S.C. 1758(j)) is amended to read as fol24 lows: 


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1 ‘‘(j) PURCHASES OF LOCALLY PRODUCED FOODS.— 

2 The Secretary shall— 

3 ‘‘(1) encourage institutions receiving funds under 

4 this Act and the Child Nutrition Act of 1966 (42 

5 U.S.C. 1771 et seq.) to purchase locally produced 

6 foods, to the maximum extent practicable and appro7 priate; 

8 ‘‘(2) advise institutions participating in a pro9 gram described in paragraph (1) of the policy de10 scribed in that paragraph and post information con11 cerning the policy on the website maintained by the 

12 Secretary; and 

13 ‘‘(3) allow institutions receiving funds under this 

14 Act and the Child Nutrition Act of 1966 (42 U.S.C. 

15 1771 et seq.), including the Department of Defense 

16 Fresh Fruit and Vegetable Program, to use a geo17 graphic preference for the procurement of locally pro18 duced foods.’’. 

19 Subtitle D—Miscellaneous 

20 SEC. 4401. SENIORS FARMERS’ MARKET NUTRITION PRO21 GRAM. 

22 (a) AMENDMENT.—Section 4402 of the Farm Security 

23 and Rural Investment Act of 2002 (7 U.S.C. 3007) is 

24 amended— 


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1 (1) by amending subsection (a) to read as fol2 lows: 

3 ‘‘(a) AUTHORIZATION.— 

4 ‘‘(1) The Secretary of Agriculture shall use 

5 $15,000,000 for each of fiscal years 2008 through 

6 2012 of the funds available to the Commodity Credit 

7 Corporation to carry out and expand the seniors 

8 farmers’ market nutrition program. 

9 ‘‘(2) There are authorized to be appropriated 

10 $20,000,000 for fiscal year 2008, $30,000,000 for fis11 cal year 2009, $45,000,000 for fiscal year 2010, 

12 $60,000,000 for fiscal year 2011, and $75,000,000 for 

13 fiscal year 2012 to carry out and expand the seniors 

14 farmers’ market nutrition program.’’; 

15 (2) in subsection (b)(1) by inserting ‘‘honey,’’ 

16 after ‘‘vegetables,’’; 

17 (3) by amending subsection (c) to read as fol18 lows: 

19 ‘‘(c) EXCLUSION OF BENEFITS IN DETERMINING ELI20 GIBILITY FOR OTHER PROGRAMS.—The value of any benefit 

21 provided to any eligible seniors farmers’ market nutrition 

22 program recipient under this section shall not be considered 

23 to be income or resources for any purposes under any Fed24 eral, State, or local law.’’; and 

25 (4) by adding at the end the following: 


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1 ‘‘(d) PROHIBITION ON COLLECTION OF SALES TAX.— 

2 The State shall ensure that no State or local taxes are col3 lected within the State on purchases of food with coupons 

4 distributed under the seniors farmers’ market nutrition pro5 gram. 

6 ‘‘(e) REGULATIONS.—The Secretary may issue such 

7 regulations as the Secretary considers necessary to carry 

8 out the seniors farmers’ market nutrition program.’’. 

9 SEC. 4402. CONGRESSIONAL HUNGER CENTER. 

10 Section 4404 of the Farm Security and Rural Invest11 ment Act of 2002 (7 U.S.C. 1621 note) is amended to read 

12 as follows: 

13 ‘‘SEC. 4404. BILL EMERSON NATIONAL HUNGER FELLOWS 

14 AND MICKEY LELAND INTERNATIONAL HUN15 GER FELLOWS. 

16 ‘‘(a) SHORT TITLE.—This section may be cited as the 

17 ‘Bill Emerson National Hunger Fellows and Mickey Leland 

18 International Hunger Fellows Program Act of 2007’. 

19 ‘‘(b) FINDINGS.—The Congress finds as follows: 

20 ‘‘(1) There is a critical need for compassionate 

21 individuals who are committed to assisting people 

22 who suffer from hunger to initiate and administer so23 lutions to the hunger problem. 

24 ‘‘(2) Bill Emerson, the distinguished late Rep25 resentative from the 8th District of Missouri, demVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00347 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 onstrated his commitment to solving the problem of 

2 hunger in a bipartisan manner, his commitment to 

3 public service, and his great affection for the institu4 tion and ideals of the Congress of the United States. 

5 ‘‘(3) George T. (Mickey) Leland, the distin6 guished late Representative from the 18th District of 

7 Texas, demonstrated his compassion for those in need, 

8 his high regard for public service, and his lively exer9 cise of political talents. 

10 ‘‘(4) The special concern that Mr. Emerson and 

11 Mr. Leland demonstrated during their lives for the 

12 hungry and poor was an inspiration for others to 

13 work toward the goals of equality and justice for all. 

14 ‘‘(5) These two outstanding leaders maintained a 

15 special bond of friendship regardless of political affili16 ation and worked together to encourage future leaders 

17 to recognize and provide service to others, and there18 fore it is especially appropriate to honor the memory 

19 of Mr. Emerson and Mr. Leland by creating a fellow20 ship program to develop and train the future leaders 

21 of the United States to pursue careers in humani22 tarian service. 

23 ‘‘(c) DEFINITIONS.—In this section: 

24 ‘‘(1) ADMINISTRATOR.—The term ‘Adminis25 trator’ means— 


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1 ‘‘(A) if the Secretary of Agriculture enters 

2 into a contract described in subsection (d)(3), the 

3 head of the Congressional Hunger Center; or 

4 ‘‘(B) if the Secretary does not enter into 

5 such a contract, the Secretary. 

6 ‘‘(2) FELLOW.—The term ‘fellow’ means— 

7 ‘‘(A) a Bill Emerson Hunger Fellow; or 

8 ‘‘(B) a Mickey Leland Hunger Fellow 

9 ‘‘(3) FELLOWSHIP PROGRAMS.—The term ‘Fel10 lowship Programs’ means the Bill Emerson National 

11 Hunger Fellowship Program and the Mickey Leland 

12 International Hunger Fellowship Program established 

13 by subsection (d). 

14 ‘‘(d) FELLOWSHIP PROGRAM.—There is established in 

15 the Department of Agriculture the Bill Emerson National 

16 Hunger Fellowship Program and the Mickey Leland Inter17 national Hunger Fellowship Program. 

18 ‘‘(1) PURPOSES.—The purposes of the Fellowship 

19 Programs are— 

20 ‘‘(A) to encourage future leaders of the 

21 United States to pursue careers in humanitarian 

22 and public service, to recognize the needs of low23 income people and hungry people, and to provide 

24 assistance to people in need; and 


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1 ‘‘(B) to seek public policy solutions to the 

2 challenges of hunger and poverty, to provide 

3 training and development opportunities for such 

4 leaders through placement in programs operated 

5 by appropriate organizations or entities. 

6 ‘‘(2) FOCUS OF PROGRAMS.— 

7 ‘‘(A) FOCUS OF BILL EMERSON HUNGER

8 FELLOWSHIP PROGRAM.—The Bill Emerson 

9 Hunger Fellowship Program shall address hun10 ger and poverty in the United States. 

11 ‘‘(B) FOCUS OF MICKEY LELAND HUNGER

12 FELLOWSHIP PROGRAM.—The Mickey Leland 

13 Hunger Fellowship Program shall address inter14 national hunger and other humanitarian needs. 

15 ‘‘(3) ADMINISTRATION.— 

16 ‘‘(A) IN GENERAL.—Subject to subpara17 graph (B), the Secretary shall offer to enter into 

18 a contract with the Congressional Hunger Center 

19 to administer the Fellowship Programs. 

20 ‘‘(B) REQUIREMENT.—As a condition of a 

21 contract described in subparagraph (A), the Con22 gressional Hunger Center shall agree to submit 

23 to Congress each year the results of an inde24 pendent financial audit that demonstrates that 

25 the Congressional Hunger Center uses accounting 


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1 procedures that conform to generally accepted ac2 counting principles and auditing procedures that 

3 conform to chapter 75 of title 31, United States 

4 Code (commonly known as the ‘Single Audit Act 

5 of 1984’). 

6 ‘‘(e) FELLOWSHIPS.— 

7 ‘‘(1) IN GENERAL.—The Administrator shall 

8 make available Bill Emerson Hunger Fellowships and 

9 Mickey Leland Hunger Fellowships in accordance 

10 with this subsection. 

11 ‘‘(2) CURRICULUM.— 

12 ‘‘(A) IN GENERAL.—The fellowship pro13 grams shall provide experience and training to 

14 develop the skills necessary to train fellows to 

15 carry out the purposes described in subsection 

16 (d)(1), including— 

17 ‘‘(i) training in direct service pro18 grams for the hungry and other anti-hunger 

19 programs in conjunction with community20 based organizations through a program of 

21 field placement; and 

22 ‘‘(ii) providing experience in policy de23 velopment through placement in a govern24 mental entity or nongovernmental, non25 profit, or private sector organization. 


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1 ‘‘(B) WORK PLAN.—To carry out subpara2 graph (A) and assist in the evaluation of the fel3 lowships under paragraph (6), the Administrator 

4 shall, for each fellow, approve a work plan that 

5 identifies the target objectives for the fellow in 

6 the fellowship, including specific duties and re7 sponsibilities relating to those objectives. 

8 ‘‘(3) PERIOD OF FELLOWSHIP.— 

9 ‘‘(A) EMERSON FELLOW.—A Bill Emerson 

10 Hunger Fellowship awarded under this sub11 section shall be for not more than 15 months. 

12 ‘‘(B) LELAND FELLOW.—A Mickey Leland 

13 Hunger Fellowship awarded under this sub14 section shall be for not more than 2 years. 

15 ‘‘(4) SELECTION OF FELLOWS.— 

16 ‘‘(A) IN GENERAL.—Fellowships shall be 

17 awarded pursuant to a nationwide competition 

18 established by the Administrator. 

19 ‘‘(B) QUALIFICATIONS.—A successful pro20 gram applicant shall be an individual who has 

21 demonstrated— 

22 ‘‘(i) an intent to pursue a career in 

23 humanitarian service and outstanding po24 tential for such a career; 


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1 ‘‘(ii) leadership potential or actual 

2 leadership experience; 

3 ‘‘(iii) diverse life experience; 

4 ‘‘(iv) proficient writing and speaking 

5 skills; 

6 ‘‘(v) an ability to live in poor or di7 verse communities; and 

8 ‘‘(vi) such other attributes as are con9 sidered to be appropriate by the Adminis10 trator. 

11 ‘‘(5) AMOUNT OF AWARD.— 

12 ‘‘(A) IN GENERAL.—A fellow shall receive a 

13 living allowance during the term of the Fellow14 ship and, subject to subparagraph (B), an end15 of-service award. 

16 ‘‘(B) REQUIREMENT FOR SUCCESSFUL COM17 PLETION OF FELLOWSHIP.—Each fellow shall be 

18 entitled to receive an end-of-service award at an 

19 appropriate rate for each month of satisfactory 

20 service completed, as determined by the Adminis21 trator. 

22 ‘‘(C) TERMS OF FELLOWSHIP.—A fellow 

23 shall not be considered an employee of— 

24 ‘‘(i) the Department of Agriculture; 


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1 ‘‘(ii) the Congressional Hunger Center; 

2 or 

3 ‘‘(iii) a host agency in the field or pol4 icy placement of the fellow. 

5 ‘‘(D) RECOGNITION OF FELLOWSHIP

6 AWARD.— 

7 ‘‘(i) EMERSON FELLOW.—An indi8 vidual awarded a fellowship from the Bill 

9 Emerson Hunger Fellowship shall be known 

10 as an ‘Emerson Fellow’. 

11 ‘‘(ii) LELAND FELLOW.—An individual 

12 awarded a fellowship from the Mickey Le13 land Hunger Fellowship shall be known as 

14 a ‘Leland Fellow’. 

15 ‘‘(6) EVALUATION.—The Administrator shall 

16 conduct periodic evaluations of the Fellowship Pro17 grams. 

18 ‘‘(f) AUTHORITY.— 

19 ‘‘(1) IN GENERAL.—Subject to paragraph (2), in 

20 carrying out this section, the Administrator may so21 licit, accept, use, and dispose of gifts, bequests, or de22 vises of services or property, both real and personal, 

23 for the purpose of facilitating the work of the Fellow24 ship Programs. 


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1 ‘‘(2) LIMITATION.—Gifts, bequests, or devises of 

2 money and proceeds from sales of other property re3 ceived as gifts, bequests, or devises shall be used exclu4 sively for the purposes of the Fellowship Programs. 

5 ‘‘(g) REPORT.—Each year, the Administrator shall 

6 submit to the Committee on Agriculture of the House of 

7 Representatives and the Committee on Agriculture, Nutri8 tion, and Forestry of the Senate a report that describes the 

9 activities and expenditures of the Fellowship Programs dur10 ing the preceding fiscal year. 

11 ‘‘(h) FUNDING.—There is authorized to be appro12 priated to the Secretary to carry out this section $3,000,000 

13 for each of the fiscal years 2008 through 2012.’’. 

14 SEC. 4403. JOINT NUTRITION MONITORING AND RELATED 

15 RESEARCH ACTIVITIES. 

16 Subtitle D of title IV of the Farm Security and Rural 

17 Investment Act of 2002 (Public Law 107–171; 116 Stat. 

18 333) is amended— 

19 (1) by redesignating section 4405 (2 U.S.C. 1161 

20 note; Public Law 107–171) as section 4406; and 

21 (2) by inserting after section 4404 the following: 

22 ‘‘SEC. 4405. JOINT NUTRITION MONITORING AND RELATED 

23 RESEARCH ACTIVITIES. 

24 ‘‘The Secretary of Agriculture and the Secretary of 

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1 ly for national nutrition monitoring and related research 

2 activities carried out as of the date of enactment of this 

3 section— 

4 ‘‘(1) to collect continuous dietary, health, phys5 ical activity, and diet and health knowledge data on 

6 a nationally representative sample; 

7 ‘‘(2) to periodically collect data on special at8 risk populations, as identified by the Secretaries; 

9 ‘‘(3) to distribute information on health, nutri10 tion, the environment, and physical activity to the 

11 public in a timely fashion; 

12 ‘‘(4) to analyze new data that becomes available; 

13 ‘‘(5) to continuously update food composition ta14 bles; and 

15 ‘‘(6) to research and develop data collection 

16 methods and standards.’’. 

17 TITLE V—CREDIT 

Subtitle A—Farm Ownership Loans 

Sec. 5001. Conservation loan guarantee program. 

Sec. 5002. Limitations on amount of ownership loans. 

Sec. 5003. Down payment loan program. 

Sec. 5004. Beginning farmer and rancher contract land sales program. 

Subtitle B—Operating Loans 

Sec. 5011. Limitations on amount of operating loans. 

Sec. 5012. Suspension of limitation on period for which borrowers are eligible for 

guaranteed assistance. 

Subtitle C—Administrative Provisions 

Sec. 5021. Inventory sales preferences. 

Sec. 5022. Loan fund set-asides. 

Sec. 5023. Transition to private commercial or other sources of credit. 


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Sec. 5024. Extension of the right of first refusal to reacquire homestead property 

to immediate family members of borrower-owner. 

Sec. 5025. Rural development and farm loan program activities. 

Subtitle D—Farm Credit 

Sec. 5031. Agribusiness loan eligibility. 

Sec. 5032. Loan-to-asset value requirements. 

Sec. 5033. Population limit for single-family housing loans. 

Sec. 5034. Bank for cooperatives voting stock. 

Sec. 5035. Majority farmer control requirement. 

Sec. 5036. Borrower stock requirement. 

Sec. 5037. Rural utility loans. 

Sec. 5038. Farm Credit System Insurance Corporation. 

Sec. 5039. Risk-based capital levels. 

Sec. 5040. Loans to purchasers of highly fractioned lands. 

1 Subtitle A—Farm Ownership Loans 

2 SEC. 5001. CONSERVATION LOAN GUARANTEE PROGRAM. 

3 Section 304 of the Consolidated Farm and Rural De4 velopment Act (7 U.S.C. 1924) is amended to read as fol5 lows: 

6 ‘‘SEC. 304. CONSERVATION LOAN GUARANTEE PROGRAM. 

7 ‘‘(a) IN GENERAL.—The Secretary may provide a loan 

8 guarantee, an interest subsidy, or both, to enable an eligible 

9 borrower to obtain a qualified conservation loan. 

10 ‘‘(b) PRIORITY.—In providing loan guarantees under 

11 this section, the Secretary shall give priority to— 

12 ‘‘(1) qualified beginning farmers or ranchers; 

13 ‘‘(2) socially disadvantaged farmers or ranchers 

14 (as defined in section 355(e)(2)); 

15 ‘‘(3) owners or tenants who use the loans to cov16 ert to sustainable or organic agricultural production 

17 systems; and 


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1 ‘‘(4) producers who use the loans to build con2 servation structures or establish conservation practices 

3 to comply with section 1212 of the Food Security Act 

4 of 1985. 

5 ‘‘(c) DEFINITIONS.—In this section: 

6 ‘‘(1) ELIGIBLE BORROWER.—The term ‘eligible 

7 borrower’ means a farmer, rancher, farm cooperative, 

8 private domestic corporation, partnership, joint oper9 ation, trust, or limited liability company, that is en10 gaged primarily and directly in agricultural produc11 tion in the United States. 

12 ‘‘(2) QUALIFIED CONSERVATION LOAN.—The 

13 term ‘qualified conservation loan’ means a loan that 

14 meets the following requirements: 

15 ‘‘(A) PURPOSE.—The loan proceeds are re16 quired to be used to cover the costs to the bor17 rower of carrying out a qualified conservation 

18 project. 

19 ‘‘(B) PRINCIPAL AMOUNT.—The principal 

20 amount of the loan is not more than $1,000,000. 

21 ‘‘(C) REPAYMENT PERIOD.—The loan re22 payment period shall not exceed 10 years. 

23 ‘‘(D) LIMITED PROCESSING FEE.—The total 

24 of all processing fees charged with respect to the 


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1 loan does not exceed such amount as shall be pre2 scribed by the Secretary. 

3 ‘‘(3) QUALIFIED CONSERVATION PROJECT.—The 

4 term ‘qualified conservation project’ means, with re5 spect to an eligible borrower, conservation measures 

6 that address provisions of a conservation plan of the 

7 borrower. 

8 ‘‘(4) CONSERVATION PLAN.—The term ‘conserva9 tion plan’ means a plan, approved by the Secretary, 

10 that, for a farming or ranching operation, identifies 

11 the conservation activities that will be addressed with 

12 guaranteed loan funds provided under this section, 

13 including— 

14 ‘‘(A) the installation of conservation struc15 tures; 

16 ‘‘(B) the establishment of forest cover for 

17 sustained yield timber management, erosion con18 trol, or shelter belt purposes; 

19 ‘‘(C) the installation of water conservation 

20 measures; 

21 ‘‘(D) the installation of waste management 

22 systems; 

23 ‘‘(E) the establishment or improvement of 

24 permanent pasture; 


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1 ‘‘(F) compliance with section 1212 of the 

2 Food Security Act of 1985; 

3 ‘‘(G) other purposes consistent with the 

4 plan; and 

5 ‘‘(H) any other emerging or existing con6 servation practices, techniques, or technologies 

7 approved by the Secretary. 

8 ‘‘(d) LIMITATIONS APPLICABLE TO LOAN GUARAN9 TEES.— 

10 ‘‘(1) LIMITATION ON AMOUNT OF GUARANTEE.— 

11 The portion of a loan that the Secretary may guar12 antee under this section shall be not less than 80 per13 cent and not more than 90 percent of the principal 

14 amount of the loan. 

15 ‘‘(2) LIMITATION ON TOTAL AMOUNT OUT16 STANDING.—The aggregate principal amount of out17 standing loans guaranteed by the Secretary under 

18 this section shall not exceed $1,000,000. 

19 ‘‘(e) LIMITATION ON AMOUNT OF INTEREST SUB20 SIDY.—The interest subsidy which the Secretary may pro21 vide under this section with respect to a loan shall result 

22 in a reduction of the interest rate agreed upon by the bor23 rower and the lender (but to not less than zero) by— 

24 ‘‘(1) 500 basis points, if the principal amount of 

25 the loan is less than $100,000; 


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1 ‘‘(2) 400 basis points, if the principal amount of 

2 the loan is not less than $100,000 and is less than 

3 $500,000; and 

4 ‘‘(3) 300 basis points, in any other case. 

5 ‘‘(f) ADMINISTRATIVE PROVISIONS.— 

6 ‘‘(1) AUTHORITY TO COLLECT PROCESSING

7 FEE.—The Secretary may assess a fee to cover the 

8 cost of processing an application under this section 

9 equal to not more than 1 percent of the principal 

10 amount of the loan sought by the applicant, as de11 scribed in the application. 

12 ‘‘(2) APPROVAL OF APPLICATION.—The Secretary 

13 shall not approve an application submitted pursuant 

14 to this section, unless the Secretary has determined 

15 that— 

16 ‘‘(A) the loan sought by the applicant, as 

17 described in the application, would be a quali18 fied conservation loan; and 

19 ‘‘(B) the project for which the loan is sought 

20 is likely to result in a net benefit to the environ21 ment. 

22 ‘‘(3) EQUITABLE DISTRIBUTION OF LOAN GUAR23 ANTEES AND INTEREST SUBSIDIES.—The Secretary 

24 shall ensure that loan guarantees and interest sub25 sidies under this section are equitably distributed 


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1 among agricultural producers according to the scale 

2 of the operations. 

3 ‘‘(g) RELATIONSHIP WITH OTHER CONSERVATION

4 PROGRAMS.—Neither the application for, nor the receipt of, 

5 a loan guarantee or an interest subsidy under this section 

6 shall affect the eligibility of the recipient for assistance 

7 under title XII of the Food Security Act of 1985 or the Wa8 tershed Protection and Flood Prevention Act. 

9 ‘‘(h) AUTHORIZATION OF APPROPRIATIONS.—For each 

10 of fiscal years 2008 through 2012, there are authorized to 

11 be appropriated to the Secretary such funds as are nec12 essary to carry out this section.’’. 

13 SEC. 5002. LIMITATIONS ON AMOUNT OF OWNERSHIP 

14 LOANS. 

15 Section 305 of the Consolidated Farm and Rural De16 velopment Act (7 U.S.C. 1925) is amended— 

17 (1) in subsection (a)(2), by striking ‘‘$200,000’’ 

18 and inserting ‘‘$300,000’’; and 

19 (2) by redesignating subsections (b) and (c) as 

20 subsections (c) and (d), respectively, and inserting 

21 after subsection (a) the following: 

22 ‘‘(b) GRADUATION PLAN.—The Secretary shall estab23 lish a plan, in coordination with activities under sections 

24 359, 360, 361, and 362, to encourage each borrower with 


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1 an outstanding loan under this subtitle to graduate to pri2 vate commercial or other sources of credit.’’. 

3 SEC. 5003. DOWN PAYMENT LOAN PROGRAM. 

4 Section 310E of the Consolidated Farm and Rural De5 velopment Act (7 U.S.C. 1935) is amended— 

6 (1) in subsection (a)(1), by striking ‘‘and ranch7 ers’’ and inserting ‘‘or ranchers and socially dis8 advantaged farmers or ranchers’’; 

9 (2) in subsection (b)— 

10 (A) by striking paragraph (1) and inserting 

11 the following; 

12 ‘‘(1) PRINCIPAL.—Each loan made under this 

13 section shall be in an amount that does not exceed 45 

14 percent of the least of— 

15 ‘‘(A) the purchase price of the farm or 

16 ranch to be acquired; 

17 ‘‘(B) the appraised value of the farm or 

18 ranch to be acquired; or 

19 ‘‘(C) $500,000. 

20 ‘‘(2) INTEREST RATE.—The interest rate on any 

21 loan made by the Secretary under this section shall 

22 be a rate equal to the greater of— 

23 ‘‘(A) the difference obtained by subtracting 

24 4 percent from the interest rate for farm owner25 ship loans under this subtitle; or 


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1 ‘‘(B) 1 percent.’’; and 

2 (B) in paragraph (3), by striking ‘‘15’’ and 

3 inserting ‘‘20’’; 

4 (3) in subsection (c)— 

5 (A) in paragraph (1), by striking ‘‘10’’ and 

6 inserting ‘‘5’’; 

7 (B) by striking paragraph (2) and redesig8 nating paragraph (3) as paragraph (2); and 

9 (C) in paragraph (2)(B) (as so redesig10 nated), by striking ‘‘15-year’’ and inserting ‘‘20- 

11 year’’; and 

12 (4) in subsection (d)— 

13 (A) in paragraph (3)— 

14 (i) by inserting ‘‘and socially dis15 advantaged farmers and ranchers (as de16 fined in section 355(e)(2))’’ after ‘‘ranch17 ers’’; and 

18 (ii) by striking ‘‘and’’ at the end; 

19 (B) in paragraph (4), by striking ‘‘ranch20 ers.’’ and inserting ‘‘ranchers and socially dis21 advantaged farmers and ranchers (as defined in 

22 section 355(e)(2)); and’’; and 

23 (C) by adding at the end the following: 

24 ‘‘(5) establish annual performance goals to pro25 mote the use of the down payment loan program and 


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1 other joint financing participation loans as the pre2 ferred choice for direct real estate loans made by any 

3 lender to a qualified beginning farmer or rancher or 

4 socially disadvantaged farmer or rancher (as so de5 fined).’’. 

6 SEC. 5004. BEGINNING FARMER AND RANCHER CONTRACT 

7 LAND SALES PROGRAM. 

8 Section 310F of the Consolidated Farm and Rural De9 velopment Act (7 U.S.C. 1936) is amended to read as fol10 lows: 

11 ‘‘SEC. 310F. BEGINNING FARMER AND RANCHER AND SO12 CIALLY DISADVANTAGED FARMER AND 

13 RANCHER CONTRACT LAND SALES PROGRAM. 

14 ‘‘(a) IN GENERAL.—The Secretary shall, in accordance 

15 with this section, guarantee a loan made by a private seller 

16 of a farm or ranch to a qualified beginning farmer or 

17 rancher or socially disadvantaged farmer or rancher (as de18 fined in section 355(e)(2)) on a contract land sales basis. 

19 ‘‘(b) ELIGIBILITY.—In order to be eligible for a loan 

20 guarantee under subsection (a)— 

21 ‘‘(1) the qualified beginning farmer or rancher or 

22 socially disadvantaged farmer or rancher shall— 

23 ‘‘(A) on the date the contract land sale that 

24 is subject of the loan is complete, own or operate 


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1 the farm or ranch that is the subject of the con2 tract land sale; 

3 ‘‘(B) have a credit history that— 

4 ‘‘(i) includes a record of satisfactory 

5 debt repayment, as determined by the Sec6 retary; and 

7 ‘‘(ii) is acceptable to the Secretary; 

8 and 

9 ‘‘(C) demonstrate to the Secretary that the 

10 farmer or rancher, as the case may be, is unable 

11 to obtain sufficient credit without a guarantee to 

12 finance any actual need of the farmer or ranch13 er, as the case may be at a reasonable rate or 

14 term; 

15 ‘‘(2) the loan shall meet applicable underwriting 

16 criteria, as determined by the Secretary; and 

17 ‘‘(3) to carry out the loan— 

18 ‘‘(A) a commercial lending institution shall 

19 agree to serve as an escrow agent; or 

20 ‘‘(B) the private seller, in cooperation with 

21 the farmer or rancher, shall use an appropriate 

22 alternate arrangement, as determined by the Sec23 retary. 

24 ‘‘(c) LIMITATIONS.— 


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1 ‘‘(1) DOWN PAYMENT.—The Secretary shall not 

2 provide a loan guarantee under subsection (a) if the 

3 contribution of the qualified beginning farmer or 

4 rancher or socially disadvantaged farmer or rancher 

5 to the down payment for the farm or ranch that is 

6 the subject of the contract land sale would be less than 

7 5 percent of the purchase price of the farm or ranch. 

8 ‘‘(2) MAXIMUM PURCHASE PRICE.—The Sec9 retary shall not provide a loan guarantee under sub10 section (a) if the purchase price or the appraisal 

11 value of the farm or ranch that is the subject of the 

12 contract land sale is greater than $500,000. 

13 ‘‘(d) PERIOD OF GUARANTEE.—The period during 

14 which a loan guarantee under this section is in effect shall 

15 be the 10-year period beginning with the date the guarantee 

16 is provided. 

17 ‘‘(e) GUARANTEE PLAN.—A private seller of a farm or 

18 ranch who makes a loan that is guaranteed by the Secretary 

19 under subsection (a) may select— 

20 ‘‘(1) a prompt payment guarantee plan, which 

21 shall cover— 

22 ‘‘(A) 3 amortized annual installments; or 

23 ‘‘(B) an amount equal to 3 annual install24 ments (including an amount equal to the total 

25 cost of any tax and insurance incurred during 


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1 the period covered by the annual installments); 

2 or 

3 ‘‘(2) a standard guarantee plan, which shall 

4 cover an amount equal to 90 percent of the out5 standing principal of the loan.’’. 

6 Subtitle B—Operating Loans 

7 SEC. 5011. LIMITATIONS ON AMOUNT OF OPERATING 

8 LOANS. 

9 Section 313(a)(1) of the Consolidated Farm and Rural 

10 Development Act (7 U.S.C. 1943(a)(1)) is amended by 

11 striking ‘‘$200,000’’ and inserting ‘‘$300,000’’. 

12 SEC. 5012. SUSPENSION OF LIMITATION ON PERIOD FOR 

13 WHICH BORROWERS ARE ELIGIBLE FOR 

14 GUARANTEED ASSISTANCE. 

15 Section 5102 of the Farm Security And Rural Invest16 ment Act of 2002 (7 U.S.C. 1949 note; Public Law 107- 

17 171) is amended by striking ‘‘September 30, 2007’’ and in18 serting ‘‘January 1, 2008’’. 

19 Subtitle C—Administrative 

20 Provisions 

21 SEC. 5021. INVENTORY SALES PREFERENCES. 

22 Section 335(c) of the Consolidated Farm and Rural 

23 Development Act (7 U.S.C. 1985(c)) is amended— 

24 (1) in paragraph (1)— 

25 (A) in subparagraph (B)— 


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1 (i) in the subparagraph heading, by 

2 inserting ‘‘; SOCIALLY DISADVANTAGED

3 FARMER OR RANCHER’’ after ‘‘OR RANCH4 ER’’; 

5 (ii) in clause (i), by inserting ‘‘or a so6 cially disadvantaged farmer or rancher’’ 

7 after ‘‘or rancher’’; 

8 (iii) by redesignating clauses (ii) 

9 through (iv) as clauses (iii) through (v), re10 spectively; 

11 (iv) by inserting after clause (i) the 

12 following: 

13 ‘‘(ii) PRIORITY TO BE GIVEN TO SO14 CIALLY DISADVANTAGED FARMERS AND

15 RANCHERS.—In carrying out this subpara16 graph, the Secretary shall give priority to 

17 socially disadvantaged farmers and ranch18 ers.’’; 

19 (v) in clause (iii) (as so redesig20 nated)— 

21 (I) by inserting ‘‘or socially dis22 advantaged farmer or rancher’’ after 

23 ‘‘or rancher’’; and 

24 (II) by inserting ‘‘, subject to 

25 clause (ii)’’ before the period; 


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1 (vi) in clause (iv) (as so redesignated), 

2 by inserting ‘‘or a socially disadvantaged 

3 farmer or rancher’’ after ‘‘or rancher’’; and 

4 (vii) in clause (v) (as so redesignated), 

5 by inserting ‘‘and socially disadvantaged 

6 farmers and ranchers’’ after ‘‘and ranch7 ers’’; and 

8 (B) in subparagraph (C), by inserting ‘‘or 

9 a socially disadvantaged farmer or rancher’’ 

10 after ‘‘or rancher’’; 

11 (2) in paragraph (5)(B)— 

12 (A) in clause (i)— 

13 (i) in the clause heading, by inserting 

14 ‘‘; SOCIALLY DISADVANTAGED FARMER OR

15 RANCHER’’ after ‘‘OR RANCHER’’; 

16 (ii) by inserting ‘‘or a socially dis17 advantaged farmer or rancher’’ after ‘‘a be18 ginning farmer or rancher’’; and 

19 (iii) by inserting ‘‘or the socially dis20 advantaged farmer or rancher’’ after ‘‘the 

21 beginning farmer or rancher’’; 

22 (B) by redesignating clauses (ii) and (iii) 

23 as clauses (iii) and (iv), respectively; 

24 (C) by inserting after clause (i) the fol25 lowing: 


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1 ‘‘(ii) PRIORITY TO BE GIVEN TO SO2 CIALLY DISADVANTAGED FARMERS AND

3 RANCHERS.—In carrying out clause (i), the 

4 Secretary shall give priority to socially dis5 advantaged farmers and ranchers.’’; and 

6 (D) in clause (iii) (as so redesignated)— 

7 (i) in the matter preceding subclause 

8 (I), by inserting ‘‘or a socially disadvan9 taged farmer or rancher’’ after ‘‘or ranch10 er’’; and 

11 (ii) in subclause (II), by inserting ‘‘or 

12 the socially disadvantaged farmer or ranch13 er’’ after ‘‘or rancher’’; 

14 (3) in paragraph (6)— 

15 (A) in subparagraph (A), by inserting ‘‘or 

16 a socially disadvantaged farmer or rancher’’ 

17 after ‘‘or rancher’’; and 

18 (B) in subparagraph (C)— 

19 (i) in clause (i)(I), by inserting ‘‘and 

20 socially disadvantaged farmers and ranch21 ers’’ after ‘‘and ranchers’’; and 

22 (ii) in clause (ii), by inserting ‘‘or so23 cially disadvantaged farmers or ranchers’’ 

24 after ‘‘or ranchers’’; and 

25 (4) by adding at the end the following: 


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1 ‘‘(7) In this subsection, the term ‘socially dis2 advantaged farmer or rancher’ has the meaning given 

3 in section 355(e)(2).’’. 

4 SEC. 5022. LOAN FUND SET-ASIDES. 

5 Section 346(b)(2) of the Consolidated Farm and Rural 

6 Development Act (7 U.S.C. 1994(b)(2)) is amended— 

7 (1) in subparagraph (A)— 

8 (A) in clause (i)— 

9 (i) in subclause (I), by striking ‘‘70 

10 percent’’ and inserting ‘‘not less than 75 

11 percent of the total amount made available 

12 under paragraph (1)’’; and 

13 (ii) in subclause (II)— 

14 (I) in the subclause heading, by 

15 inserting ‘‘; PARTICIPATION LOANS’’ 

16 after ‘‘PAYMENT LOANS’’; 

17 (II) by striking ‘‘60 percent’’ and 

inserting ‘‘not less than 2 18 ⁄3 of the 

19 amount reserved under subclause (I)’’; 

20 and 

21 (III) by inserting ‘‘and participa22 tion loans’’ after ‘‘section 310E’’; and 

23 (B) in clause (ii)(III), by striking ‘‘2003 

24 through 2007, 35 percent’’ and inserting ‘‘2008 

25 through 2012, not less than 50 percent of the 


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1 total amount made available under paragraph 

2 (1)’’; and 

3 (2) in subparagraph (B)(i), by striking ‘‘25 per4 cent’’ and inserting ‘‘not less than 40 percent of the 

5 total amount made available under paragraph (1)’’. 

6 SEC. 5023. TRANSITION TO PRIVATE COMMERCIAL OR 

7 OTHER SOURCES OF CREDIT. 

8 Subtitle D of the Consolidated Farm and Rural Devel9 opment Act (7 U.S.C. 1981–2008r) is amended by inserting 

10 after section 344 the following: 

11 ‘‘SEC. 345. TRANSITION TO PRIVATE COMMERCIAL OR 

12 OTHER SOURCES OF CREDIT. 

13 ‘‘(a) IN GENERAL.—In making or insuring a farm 

14 loan under subtitle A or B, the Secretary shall establish 

15 a plan and promulgate regulations (including performance 

16 criteria) that promote the goal of transitioning borrowers 

17 to private commercial credit and other sources of credit in 

18 the shortest practicable period of time. 

19 ‘‘(b) COORDINATION.—In carrying out this section, the 

20 Secretary shall integrate and coordinate the transition pol21 icy described in subsection (a) with— 

22 ‘‘(1) the borrower training program established 

23 by section 359; 

24 ‘‘(2) the loan assessment process established by 

25 section 360; 


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1 ‘‘(3) the supervised credit requirement established 

2 by section 361; 

3 ‘‘(4) the market placement program established 

4 by section 362; and 

5 ‘‘(5) other appropriate programs and authorities, 

6 as determined by the Secretary.’’. 

7 SEC. 5024. EXTENSION OF THE RIGHT OF FIRST REFUSAL 

8 TO REACQUIRE HOMESTEAD PROPERTY TO 

9 IMMEDIATE FAMILY MEMBERS OF BOR10 ROWER-OWNER. 

11 Section 352(c)(4)(B) of the Consolidated Farm and 

12 Rural Development Act (7 U.S.C. 2000(c)(4)(B)) is amend13 ed— 

14 (1) in the 1st sentence, by striking ‘‘, the bor15 rower-owner’’ inserting ‘‘of a borrower-owner who is 

16 a socially disadvantaged farmer or rancher (as de17 fined in section 355(e)(2)), the borrower-owner or a 

18 member of the immediate family of the borrower19 owner’’; and 

20 (2) in the 2nd sentence, by inserting ‘‘or imme21 diate family member, as the case may be,’’ before 

22 ‘‘from’’. 


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1 SEC. 5025. RURAL DEVELOPMENT AND FARM LOAN PRO2 GRAM ACTIVITIES. 

3 Subtitle D of the Consolidated Farm and Rural Devel4 opment Act (7 U.S.C. 1981–2008r) is amended by inserting 

5 after section 364 the following: 

6 ‘‘SEC. 365. RURAL DEVELOPMENT AND FARM LOAN PRO7 GRAM ACTIVITIES. 

8 ‘‘The Secretary may not complete a study of, or enter 

9 into a contract with a private party to carry out, without 

10 specific authorization in a subsequent Act of Congress, a 

11 competitive sourcing activity of the Secretary, including 

12 support personnel of the Department of Agriculture, relat13 ing to rural development or farm loan programs.’’. 

14 Subtitle D—Farm Credit 

15 SEC. 5031. AGRIBUSINESS LOAN ELIGIBILITY. 

16 (a) LONG TERM LOANS.— 

17 (1) ELIGIBLE BORROWERS.—Section 1.9 of the 

18 Farm Credit Act of 1971 (12 U.S.C. 2017) is amend19 ed— 

20 (A) by striking ‘‘or’’ at the end of para21 graph (2); 

22 (B) by striking the period at the end of 

23 paragraph (3) and inserting ‘‘; or’’; and 

24 (C) by adding at the end the following: 

25 ‘‘(4) persons primarily engaged in processing, 

26 preparing for market, handling, purchasing, testing, 


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1 grading, distributing, or marketing farm or aquatic 

2 products; or primarily engaged in furnishing farm or 

3 aquatic business services, or farm or aquatic supplies, 

4 including inputs such as feed or fertilizer, equipment, 

5 and other capital goods to farmers, ranchers, or pro6 ducers or harvesters of aquatic products, but only to 

7 the extent that the activities are related to renewable 

8 energy, except that a direct loan may not be made 

9 available under this title to a person eligible to bor10 row from a bank for cooperatives under section 3.7 or 

11 3.8 (without regard to subsection (b)(1)(E) or 

12 (b)(1)(F) thereof).’’. 

13 (2) LOAN PURPOSES.—Section 1.11 of such Act 

14 (12 U.S.C. 2019) is amended— 

15 (A) in subsection (a)(1), by striking ‘‘farm16 ers, ranchers, and producers or harvesters of 

17 aquatic products’’ and inserting ‘‘persons eligible 

18 under section 1.9(1)’’; 

19 (B) in subsection (a)(2), by inserting 

20 ‘‘under paragraph (1)’’ after ‘‘Farm Credit 

21 Bank’’; 

22 (C) in subsection (b)(1), by striking ‘‘rural 

23 residents’’ and inserting ‘‘persons eligible under 

24 section 1.9(3)’’; 


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1 (D) in subsection (c)(1), by striking ‘‘per2 sons furnishing farm-related services to farmers 

3 and ranchers directly related to their on-farm 

4 operating needs’’ and inserting ‘‘persons eligible 

5 under section 1.9(2)’’; and 

6 (E) by adding at the end the following: 

7 ‘‘(d) AGRIBUSINESS LOANS.—Loans to persons pri8 marily engaged in processing, preparing for market, han9 dling, purchasing, testing, grading, distributing, or mar10 keting farm or aquatic products; or primarily engaged in 

11 furnishing farm or aquatic business services, or farm or 

12 aquatic supplies, including inputs such as feed or fertilizer, 

13 equipment, and other capital goods to farmers, ranchers, 

14 or producers or harvesters of aquatic products, who are eli15 gible under section 1.9(4) may be made for necessary cap16 ital structures and equipment and initial working capital 

17 for the activities only to the extent that the activities are 

18 related to renewable energy.’’. 

19 (b) SHORT- AND INTERMEDIATE-TERM LOANS.—Sec20 tion 2.4(a) of such Act (12 U.S.C. 2075(a)) is amended— 

21 (1) by striking ‘‘and’’ at the end of paragraph 

22 (2); 

23 (2) by striking the period at the end of para24 graph (3) and inserting ‘‘; and’’; and 

25 (3) by adding at the end the following: 


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1 ‘‘(4) persons primarily engaged in processing, 

2 preparing for market, handling, purchasing, testing, 

3 grading, distributing, or marketing farm or aquatic 

4 products; or primarily engaged in furnishing farm or 

5 aquatic business services, or farm or aquatic supplies, 

6 including inputs such as feed or fertilizer, equipment, 

7 and other capital goods to farmers, ranchers, or pro8 ducers or harvesters of aquatic products, but only to 

9 the extent that the activities are related to renewable 

10 energy, except that a direct loan may not be made 

11 available under this subsection to a person eligible to 

12 borrow from a bank for cooperatives under section 3.7 

13 or 3.8 (without regard to subsection (b)(1)(E) or 

14 (b)(1)(F) thereof).’’. 

15 (c) BANKS FOR COOPERATIVES LOANS.—Section 

16 3.8(b)(1) of such Act (12 U.S.C. 2129(b)(1)) is amended by 

17 adding at the end the following: 

18 ‘‘(E) Persons primarily engaged in proc19 essing, preparing for market, handling, pur20 chasing, testing, grading, distributing, or mar21 keting farm or aquatic products, or primarily 

22 engaged in furnishing farm or aquatic business 

23 services, or farm or aquatic supplies, including 

24 inputs such as feed or fertilizer, equipment, and 

25 other capital goods to farmers, ranchers, or proVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00378 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 ducers or harvesters of aquatic products, but only 

2 to the extent that the activities are related to re3 newable energy, except that a direct loan may 

4 not be made available under this subparagraph 

5 to a farmer, rancher, or producer or harvester of 

6 aquatic products eligible to borrow from a farm 

7 credit institution under section 1.9(1) or 

8 2.4(a)(1), or to a service provider eligible to bor9 row from a farm credit institution under section 

10 1.9(2) or 2.4(a)(3) for all the provider’s farm-re11 lated or aquatic-related business activities.’’. 

12 SEC. 5032. LOAN-TO-ASSET VALUE REQUIREMENTS. 

13 Section 1.10(a)(1)(C) of the Farm Credit Act of 1971 

14 (12 U.S.C. 2018(a)(1)(C)) is amended by striking ‘‘as may 

15 be authorized’’ and inserting ‘‘except as may be provided’’. 

16 SEC. 5033. POPULATION LIMIT FOR SINGLE-FAMILY HOUS17 ING LOANS. 

18 (a) FARM CREDIT BANKS.—Section 1.11(b)(3) of the 

19 Farm Credit Act of 1971 (12 U.S.C. 2019(b)(3)) is amended 

20 by striking ‘‘2,500’’ and inserting ‘‘6,000’’. 

21 (b) ASSOCIATIONS.—Section 2.4(b)(3) of such Act (12 

22 U.S.C. 2075(b)(3)) is amended by striking ‘‘2,500’’ and in23 serting ‘‘6,000’’. 


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1 SEC. 5034. BANK FOR COOPERATIVES VOTING STOCK. 

2 (a) IN GENERAL.—Section 3.3(c) of the Farm Credit 

3 Act of 1971 (12 U.S.C. 2124(c)) is amended by striking 

4 ‘‘and (ii)’’ and inserting ‘‘(ii) other categories of persons 

5 and entities described in sections 3.7 and 3.8 eligible to bor6 row from the bank, as determined by the bank’s board of 

7 directors; and (iii)’’. 

8 (b) CONFORMING AMENDMENTS.—Section 

9 4.3A(c)(1)(D) of such Act (12 U.S.C. 2154a(c)(1)(D)) is 

10 amended by redesignating clauses (ii) and (iii) as clauses 

11 (iii) and (iv), respectively, and inserting after clause (i) 

12 the following: 

13 ‘‘(ii) persons and entities eligible to 

14 borrow from the banks for cooperatives, as 

15 described in section 3.3(c)(ii);’’. 

16 SEC. 5035. MAJORITY FARMER CONTROL REQUIREMENT. 

17 Section 3.8(b)(1) of the Farm Credit Act of 1971 (12 

18 U.S.C. 2129(b)(1)), as amended by section 531(c) of this 

19 Act, is amended by adding at the end the following: 

20 ‘‘(F) Any association of farmers, or of pro21 ducers or harvesters of aquatic products, or any 

22 federation of such associations, which has pro23 ducer and investor classes of membership, but 

24 only if— 

25 ‘‘(i) more than 50 percent of the voting 

26 control of the association is held by farmers, 


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1 or producers or harvesters of aquatic prod2 ucts; and 

3 ‘‘(ii) the producer class, if treated as a 

4 separate entity, operates on a cooperative 

5 basis.’’. 

6 SEC. 5036. BORROWER STOCK REQUIREMENT. 

7 Section 4.3A(c)(1)(E)(i) of the Farm Credit Act of 

8 1971 (12 U.S.C. 2154a(c)(1)(E)(i)) is amended by striking 

9 ‘‘not less than $1,000 or 2 percent of the amount of the 

10 loan, whichever is less’’ and inserting ‘‘determined by the 

11 institution’’. 

12 SEC. 5037. RURAL UTILITY LOANS. 

13 Section 8.0(9) of the Farm Credit Act of 1971 (12 

14 U.S.C. 2279aa(9)) is amended— 

15 (1) by striking ‘‘or’’ at the end of subparagraph 

16 (A)(iii); 

17 (2) by striking the period at the end of subpara18 graph (B) and inserting ‘‘; or’’; and 

19 (3) by adding at the end the following: 

20 ‘‘(C) that is a loan or interest in a loan for 

21 electric or telephone facilities by a cooperative 

22 lender to a borrower who has received or is eligi23 ble to receive a loan under the Rural Electrifica24 tion Act (7 U.S.C. 901 et seq.), except that— 


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1 ‘‘(i) subsections (c) and (d) of section 

2 8.6, and sections 8.8 and 8.9 shall not 

3 apply to the loan or interest in the loan or 

4 to an obligation backed by a pool of obliga5 tions relating to the loan or interest in the 

6 loan; and 

7 ‘‘(ii) the loan or interest in the loan 

8 shall be considered to meet all standards for 

9 qualified loans for all purposes under this 

10 Act, subject to reasonable underwriting, se11 curity appraisal, and repayment standards 

12 established by the Corporation.’’. 

13 SEC. 5038. FARM CREDIT SYSTEM INSURANCE CORPORA14 TION. 

15 (a) AUTHORITY TO PASS ALONG COST OF INSURANCE

16 PREMIUMS.—Section 1.12(b) of the Farm Credit Act of 

17 1971 (12 U.S.C. 2020(b)) is amended by striking the last 

18 sentence and inserting ‘‘The assessment on any such asso19 ciation or other financing institution for any period shall 

20 be computed in an equitable manner.’’. 

21 (b) PREMIUMS; AMOUNT IN FUND NOT EXCEEDING

22 SECURE BASE AMOUNT.—Section 5.55(a) of such Act (12 

23 U.S.C. 2277a-4(a)) is amended— 

24 (1) in paragraph (1)— 


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1 (A) in the matter preceding subparagraph 

2 (A), by striking ‘‘(2), the annual’’ and inserting 

3 ‘‘(3), the’’; 

4 (B) by striking subparagraphs (A) through 

5 (D) and inserting the following: 

6 ‘‘(A) the average outstanding insured obli7 gations issued by the bank for the calendar year, 

8 after deducting therefrom the percentages of the 

9 guaranteed portions of loans and investments de10 scribed in paragraph (2), multiplied by 0.0020; 

11 ‘‘(B) the average principal outstanding for 

12 the calendar year on loans made by the bank 

13 that are in nonaccrual status, multiplied by 

14 0.0010; and 

15 ‘‘(C) the average amount outstanding for 

16 the calendar year of other-than-temporarily im17 paired investments made by the bank, multiplied 

18 by 0.0010.’’; 

19 (2) in paragraph (2), by striking ‘‘annual’’; 

20 (3) in paragraph (3), in the matter preceding 

21 subparagraph (A), by striking ‘‘As used’’ and all that 

22 follows through ‘‘that’’ and inserting ‘‘As used in this 

23 section, the term ‘government-guaranteed’ when ap24 plied to loans or investments, means loans, credits, or 


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1 investments, or portions of loans, credits, or invest2 ments, that’’; and 

3 (4) by redesignating paragraphs (2) and (3) as 

4 paragraphs (3) and (4), respectively, and inserting 

5 after paragraph (1) the following: 

6 ‘‘(2) DEDUCTIONS FROM AVERAGE OUTSTANDING

7 INSURED OBLIGATIONS.—The average outstanding in8 sured obligations issued by the bank for the calendar 

9 year referred to in subsection (a)(1)(A) of this section 

10 shall be reduced by deducting therefrom the sum of— 

11 ‘‘(A) 90 percent of the sum of— 

12 ‘‘(i) the average principal outstanding 

13 for such calendar year on the guaranteed 

14 portions of Federal government-guaranteed 

15 loans made by the bank that are in accrual 

16 status; and 

17 ‘‘(ii) the average amount outstanding 

18 for the calendar year of the guaranteed por19 tions of Federal government-guaranteed in20 vestments made by the bank that are not 

21 permanently impaired, as determined by 

22 the Corporation; and 

23 ‘‘(B) 80 percent of the sum of— 

24 ‘‘(i) the average principal outstanding 

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1 tions of State government-guaranteed loans 

2 made by the bank that are in accrual sta3 tus; and 

4 ‘‘(ii) the average amount outstanding 

5 for the calendar year of the guaranteed por6 tions of State government-guaranteed in7 vestments made by the bank that are not 

8 permanently impaired, as determined by 

9 the Corporation.’’. 

10 (c) PREMIUMS; AMOUNT IN FUND EXCEEDING SECURE

11 BASE AMOUNT.—Section 5.55(b) of such Act (12 U.S.C. 

12 2277a-4(b)) is amended by striking ‘‘annual’’. 

13 (d) SECURE BASE AMOUNT.—Section 5.55(c) of such 

14 Act (12 U.S.C. 2277a-4(c)) is amended by striking the par15 enthetical phrase and inserting ‘‘(adjusted downward to ex16 clude an amount equal to the sum of (1) 90 percent of (A) 

17 the guaranteed portions of principal outstanding on Fed18 eral government-guaranteed loans in accrual status made 

19 by the banks, and (B) the guaranteed portions of the 

20 amount of Federal government-guaranteed investments 

21 made by the banks that are not permanently impaired; and 

22 (2) 80 percent of (A) the guaranteed portions of principal 

23 outstanding on State government-guaranteed loans in ac24 crual status made by the banks, and (B) the guaranteed 

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1 vestments made by the banks that are not permanently im2 paired, as determined by the Corporation)’’. 

3 (e) DETERMINATION OF LOAN AND INVESTMENT

4 AMOUNTS.—Section 5.55(d) of such Act (12 U.S.C. 2277a5 4(d)) is amended— 

6 (1) in the subsection heading, by striking ‘‘PRIN7 CIPAL OUTSTANDING’’ and inserting ‘‘LOAN AND IN8 VESTMENT AMOUNTS’’; 

9 (2) in the matter preceding paragraph (1), by 

10 striking ‘‘For’’ and all that follows through ‘‘—’’ and 

11 inserting ‘‘For the purpose of subsections (a) and (c) 

12 of this section, the principal outstanding on all loans 

13 made by an insured System bank or the amount out14 standing on all investments made by an insured Sys15 tem bank shall be determined based on all loans or in16 vestments made—’’; and 

17 (3) in each of paragraphs (1) and (2), by insert18 ing ‘‘or investments’’ before ‘‘because’’. 

19 (f) ALLOCATION TO SYSTEM INSTITUTIONS OF EXCESS

20 RESERVES.—Section 5.55(e) of such Act (12 U.S.C. 2277a21 4(e)) is amended— 

22 (1) in paragraph (3), by striking ‘‘the average 

23 secure base amount for the calendar year (as cal24 culated on an average daily balance basis)’’ and in25 serting ‘‘the secure base amount’’; 


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1 (2) in paragraph (4), by striking subparagraph 

2 (B) and inserting the following: 

3 ‘‘(B) there shall be credited to the Allocated 

4 Insurance Reserves Account of each insured Sys5 tem bank an amount that bears the same ratio 

6 to the total amount (less any amount credited 

7 under subparagraph (A) of this paragraph) as 

8 the average principal outstanding for the cal9 endar year on insured obligations issued by the 

10 bank (after deducting therefrom the percentages 

11 of the guaranteed portions of loans and invest12 ments described in subsection (a)(2) of this sec13 tion), bears to the average principal outstanding 

14 for the calendar year on insured obligations 

15 issued by all insured System banks (after deduct16 ing therefrom the percentages of the guaranteed 

17 portions of loans and investments so described).’’; 

18 and 

19 (3) in paragraph (6)— 

20 (A) in subparagraph (A)— 

21 (i) in the matter preceding clause (i), 

22 by striking ‘‘beginning’’ and all that follows 

23 through ‘‘2005’’; 

24 (ii) by striking clause (i) and inserting 

25 the following: 


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1 ‘‘(i) subject to subparagraph (D), pay 

2 to each insured System bank, in a manner 

3 determined by the Corporation, an amount 

4 equal to the balance in its Allocated Insur5 ance Reserves Account; and’’; and 

6 (iii) in clause (ii)— 

7 (I) by striking ‘‘(C), (E), and 

8 (F)’’ and inserting ‘‘(C) and (E)’’; and 

9 (II) by striking ‘‘outstanding,’’ 

10 and all that follows and inserting ‘‘at 

11 the time of the termination of the Fi12 nancial Assistance Corporation, of the 

13 balance in the Allocated Insurance Re14 serves Account established under sub15 paragraph (1)(B).’’; 

16 (B) in subparagraph (C)— 

17 (i) in clause (i), by striking ‘‘(in addi18 tion to the amounts described in subpara19 graph (F)(ii))’’; and 

20 (ii) by striking clause (ii) and insert21 ing the following: 

22 ‘‘(ii) TERMINATION OF ACCOUNT.—On 

23 disbursement of $56,000,000, the Corpora24 tion shall close the Account established 

25 under paragraph (1)(B) and transfer any 


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1 remaining funds in the Account to the re2 maining Allocated Insurance Reserves Ac3 counts in accordance with paragraph (4)(B) 

4 for the calendar year in which the transfer 

5 occurs.’’; and 

6 (C) by striking subparagraph (F). 

7 (g) CERTIFICATION OF PREMIUMS.— 

8 (1) FILING CERTIFIED STATEMENT.—Section 

9 5.56(a) of such Act (12 U.S.C. 2277a-5(a)) is amend10 ed to read as follows: 

11 ‘‘(a) FILING CERTIFIED STATEMENT.—On a date to 

12 be determined in the sole discretion of the Corporation’s 

13 Board of Directors, each insured System bank that became 

14 insured before the beginning of the period for which pre15 miums are being assessed (in this section referred to as the 

16 ‘period’) shall file with the Corporation a certified state17 ment showing— 

18 ‘‘(1) the average outstanding insured obligations 

19 for the period issued by the bank; 

20 ‘‘(2) the average principal outstanding for the 

21 period on the guaranteed portion of Federal govern22 ment-guaranteed loans that are in accrual status and 

23 the average amount outstanding for the period of Fed24 eral government-guaranteed investments that are not 


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1 permanently impaired (as defined in section 

2 5.55(a)(4)); 

3 ‘‘(3) the average principal outstanding for the 

4 period on State government-guaranteed loans that are 

5 in accrual status and the average amount out6 standing for the period of State government-guaran7 teed investments that are not permanently impaired 

8 (as defined in section 5.55(a)(4)); 

9 ‘‘(4) the average principal outstanding for the 

10 period on loans that are in nonaccrual status and the 

11 average amount outstanding for the period of other12 than-temporarily impaired investments; and 

13 ‘‘(5) the amount of the premium due the Cor14 poration from the bank for the period.’’. 

15 (2) PREMIUM PAYMENTS.—Section 5.56(c) of 

16 such Act (12 U.S.C. 2277a-5(c)) is amended to read 

17 as follows: 

18 ‘‘(c) PREMIUM PAYMENTS.—Each insured System 

19 bank shall pay to the Corporation the premium payments 

20 required under subsection (a), not more frequently than 

21 once in each calendar quarter, in such manner and at such 

22 time or times as the Board of Directors shall prescribe, ex23 cept that the amount of the premium shall be established 

24 not later than 60 days after filing the certified statement 

25 setting forth the amount of the premium.’’. 


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1 (3) CONFORMING AMENDMENTS.—Section 5.56 of 

2 such Act (12 U.S.C. 2277a-5) is amended by striking 

3 subsection (d) and redesignating subsection (e) as sub4 section (d). 

5 (h) RULES AND REGULATIONS.—Section 5.58(10) of 

6 such Act (12 U.S.C. 2277a-7(10)) is amended by inserting 

7 ‘‘and section 1.12(b)’’ after ‘‘part’’. 

8 SEC. 5039. RISK-BASED CAPITAL LEVELS. 

9 Section 8.32(a)(1) of the Farm Credit Act of 1971 (12 

10 U.S.C. 2279bb-1(a)(1)) is amended by striking all through 

11 ‘‘a pool of’’ and inserting the following: 

12 ‘‘(1) CREDIT RISK.— 

13 ‘‘(A) With respect to securities representing 

14 an interest in, or obligations backed by, a pool 

15 of qualified loans (as defined in section 

16 8.0(9)(C)), owned or guaranteed by the Corpora17 tion, losses occur at a rate of default and severity 

18 reasonably related to risks in electric and tele19 phone facility loans, respectively, as determined 

20 by the Director. 

21 ‘‘(B) With respect to securities representing 

22 an interest in, or obligations backed by, a pool 

23 of other’’. 


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1 SEC. 5040. LOANS TO PURCHASERS OF HIGHLY 

2 FRACTIONED LANDS. 

3 Section 1 of Public Law 91–229 (25 U.S.C. 488) is 

4 amended by adding at the end the following: ‘‘The Secretary 

5 of Agriculture may make and insure loans as provided in 

6 section 309 of the Consolidated Farm and Rural Develop7 ment Act to eligible purchasers of highly fractionated land 

8 pursuant to section 204(c) of the Indian Land Consolida9 tion Act. Section 4 of this Act shall not apply to trust or 

10 restricted tribal or tribal corporation property mortgaged 

11 pursuant to the preceding sentence.’’. 

12 TITLE VI—RURAL DEVELOPMENT 

Sec. 6001. Definition of rural. 

Sec. 6002. Water, waste disposal, and wastewater facility grants. 

Sec. 6003. Rural business opportunity grants. 

Sec. 6004. Rural water and wastewater circuit rider program. 

Sec. 6005. Tribal college and university essential community facilities. 

Sec. 6006. Emergency and imminent community water assistance grant program. 

Sec. 6007. Water systems for rural and native villages in Alaska. 

Sec. 6008. Grants to nonprofit organizations to finance the construction, refurbishing, and servicing of individually-owned household water 

well systems in rural areas for individuals with low or moderate 

incomes. 

Sec. 6009. Rural cooperative development grants. 

Sec. 6010. Criteria to be applied in providing loans and loan guarantees under 

the business and industry loan program. 

Sec. 6011. Appropriate technology transfer for rural areas program. 

Sec. 6012. Grants to improve technical infrastructure and improve quality of 

rural health care facilities. 

Sec. 6013. Rural entrepreneur and microenterprise assistance program. 

Sec. 6014. Criteria to be applied in considering applications for rural development projects. 

Sec. 6015. National sheep industry improvement center. 

Sec. 6016. National rural development partnership. 

Sec. 6017. Historic barn preservation. 

Sec. 6018. Grants for NOAA weather radio transmitters. 

Sec. 6019. Delta regional authority. 

Sec. 6020. Northern great plains regional authority. 

Sec. 6021. Rural strategic investment program. 

Sec. 6022. Expansion of 911 access. 


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Sec. 6023. Access to broadband telecommunications services in rural areas. 

Sec. 6024. Community connect grant program. 

Sec. 6025. Agriculture innovation center demonstration program. 

Sec. 6026. Rural firefighters and emergency medical service assistance program. 

Sec. 6027. Value-added agricultural market development program. 

Sec. 6028. Assistance for rural public television stations. 

Sec. 6029. Telemedicine and distance learning services in rural areas. 

Sec. 6030. Guarantees for bonds and notes issued for electrification or telephone 

purposes. 

Sec. 6031. Comprehensive rural broadband strategy. 

Sec. 6032. Study of railroad issues. 

1 SEC. 6001. DEFINITION OF RURAL. 

2 Not later than 60 days after the date of the enactment 

3 of this Act, the Secretary of Agriculture shall prepare and 

4 submit to the Committee on Agriculture of the House of 

5 Representatives and the Committee on Agriculture, Nutri6 tion, and Forestry of the Senate a report that— 

7 (1) assesses the varying definitions of ‘‘rural’’ 

8 used by the Department of Agriculture; 

9 (2) describes the effects those varying definitions 

10 have on the programs administered by the Depart11 ment of Agriculture; and 

12 (3) makes recommendations for ways to better 

13 target funds provided through rural development pro14 grams. 

15 SEC. 6002. WATER, WASTE DISPOSAL, AND WASTEWATER FA16 CILITY GRANTS. 

17 Section 306(a)(2)(B)(vii) of the Consolidated Farm 

18 and Rural Development Act (7 U.S.C. 1926(a)(2)(B)(vii)) 

19 is amended by striking ‘‘2002 through 2007’’ and inserting 

20 ‘‘2008 through 2012’’. 


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1 SEC. 6003. RURAL BUSINESS OPPORTUNITY GRANTS. 

2 Section 306(a)(11)(D) of the Consolidated Farm and 

3 Rural Development Act (7 U.S.C. 1926(a)(11)(D)) is 

4 amended by striking ‘‘2007’’ and inserting ‘‘2012’’. 

5 SEC. 6004. RURAL WATER AND WASTEWATER CIRCUIT 

6 RIDER PROGRAM. 

7 Section 306(a)(22)(C) of the Consolidated Farm and 

8 Rural Development Act (7 U.S.C. 1926(a)(22)(C)) is 

9 amended by striking ‘‘$15,000,000 for fiscal year 2003’’ and 

10 inserting ‘‘$25,000,000 for fiscal year 2008’’. 

11 SEC. 6005. TRIBAL COLLEGE AND UNIVERSITY ESSENTIAL 

12 COMMUNITY FACILITIES. 

13 Section 306(a)(25) of the Consolidated Farm and 

14 Rural Development Act (7 U.S.C. 1926(a)(25)) is amend15 ed— 

16 (1) by striking subparagraph (B) and inserting 

17 the following: 

18 ‘‘(B) FEDERAL SHARE.—The Secretary 

19 shall establish the maximum percentage of the 

20 cost of the facility that may be covered by a 

21 grant under this paragraph, except that the Sec22 retary may not require non-Federal financial 

23 support in an amount that is greater than 5 per24 cent of the total cost.’’; and 

25 (2) in subparagraph (C), by striking ‘‘2003 

26 through 2007’’ and inserting ‘‘2008 through 2012’’. 


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1 SEC. 6006. EMERGENCY AND IMMINENT COMMUNITY WATER 

2 ASSISTANCE GRANT PROGRAM. 

3 Section 306A(i)(2) of the Consolidated Farm and 

4 Rural Development Act (7 U.S.C. 1926a(i)(2)) is amended 

5 by striking ‘‘2003 through 2007’’ and inserting ‘‘2008 

6 through 2012’’. 

7 SEC. 6007. WATER SYSTEMS FOR RURAL AND NATIVE VIL8 LAGES IN ALASKA. 

9 Section 306D(d)(1) of the Consolidated Farm and 

10 Rural Development Act (7 U.S.C. 1926d(d)(1)) is amended 

11 by striking ‘‘2001 through 2007’’ and inserting ‘‘2008 

12 through 2012’’. 

13 SEC. 6008. GRANTS TO NONPROFIT ORGANIZATIONS TO FI14 NANCE THE CONSTRUCTION, REFURBISHING, 

15 AND SERVICING OF INDIVIDUALLY-OWNED 

16 HOUSEHOLD WATER WELL SYSTEMS IN 

17 RURAL AREAS FOR INDIVIDUALS WITH LOW 

18 OR MODERATE INCOMES. 

19 Section 306E(d) of the Consolidated Farm and Rural 

20 Development Act (7 U.S.C. 1926e(d)) is amended by strik21 ing ‘‘2003 through 2007’’ and inserting ‘‘2008 through 

22 2012’’. 

23 SEC. 6009. RURAL COOPERATIVE DEVELOPMENT GRANTS. 

24 (a) ELIGIBILITY.—Section 310B(e)(5) of the Consoli25 dated Farm and Rural Development Act (7 U.S.C. 

26 1932(e)(5)) is amended— 


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1 (1) in subparagraph (A), by striking ‘‘a nation2 ally coordinated, regionally or State-wide operated 

3 project’’ and inserting ‘‘activities to promote and as4 sist the development of cooperatively and mutually 

5 owned businesses’’; 

6 (2) in subparagraph (B), by inserting ‘‘to pro7 mote and assist the development of cooperatively and 

8 mutually owned businesses’’ before the semicolon; 

9 (3) by striking subparagraphs (D) and (F) and 

10 redesignating subparagraph (E) as subparagraph 

11 (D); and 

12 (4) adding at the end the following: 

13 ‘‘(E) demonstrate a commitment to— 

14 ‘‘(i) networking with and sharing the 

15 results of its efforts with other cooperative 

16 development centers and other organizations 

17 involved in rural economic development ef18 forts; and 

19 ‘‘(ii) developing multi-organization 

20 and multi-State approaches to addressing 

21 the cooperative and economic development 

22 needs of rural areas.’’. 

23 (b) AUTHORITY TO AWARD MULTI-YEAR GRANTS.— 

24 Section 310(B)(e)(6) of such Act (7 U.S.C. 1932(e)(6)) is 

25 amended to read as follows: 


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1 ‘‘(6) Grants awarded to centers that have re2 ceived no prior funding under this subsection shall be 

3 made for a period of 1 year. The Secretary shall 

4 evaluate programs receiving assistance under this 

5 subsection. The Secretary may award grants for a pe6 riod of more than 1 year, but not more than 3 years, 

7 to centers that have successfully met the criteria 

8 under paragraph (5).’’. 

9 (c) AUTHORITY TO EXTEND GRANT PERIOD FOR 1 

10 YEAR.—Section 310B(e) of such Act (7 U.S.C. 1932(e)) is 

11 amended by redesignating paragraphs (7) through (9) as 

12 paragraphs (8) through (10), respectively, and inserting 

13 after paragraph (6) the following: 

14 ‘‘(7) The Secretary may extend for only 1 addi15 tional 12-month period the period in which a grantee 

16 may use a grant made under this subsection.’’. 

17 (d) COOPERATIVE RESEARCH PROGRAM.—Section 

18 310B(e) of such Act (7 U.S.C. 1932(e)), as amended by sub19 section (c) of this section, is amended by redesignating 

20 paragraphs (9) and (10) as paragraphs (10) and (11), re21 spectively, and inserting after paragraph (9) the following: 

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1 search on the national economic effects of all types of 

2 cooperatives.’’. 

3 (e) ADDRESSING NEEDS OF MINORITY COMMU4 NITIES.—Section 310B(e) of such Act (7 U.S.C. 1932(e)), 

5 as amended by subsections (c) and (d) of this section, is 

6 amended by redesignating paragraph (11) as paragraph 

7 (12) and inserting after paragraph (10) the following: 

8 ‘‘(11)(A) If the total amount appropriated under 

9 paragraph (12) of this subsection for a fiscal year ex10 ceeds $7,500,000, the Secretary shall reserve an 

11 amount equal to 20 percent of the amount so appro12 priated for grants for cooperative development centers, 

13 individual cooperatives, or groups of cooperatives, 

14 serving socially disadvantaged (within the meaning of 

15 section 355(e)) communities, a majority of the boards 

16 of directors or governing boards of which are com17 prised of socially disadvantaged (withing such mean18 ing) individuals. 

19 ‘‘(B) To the extent that the Secretary determines 

20 that funds reserved under subparagraph (A) will not 

21 be used for grants described in subparagraph (A) be22 cause of insufficient applications for the grants, the 

23 Secretary shall use the funds as otherwise authorized 

24 by this subsection.’’. 


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1 (f) AUTHORIZATION OF APPROPRIATIONS.—Section 

2 310B(e)(12) of such Act (7 U.S.C. 1932(e)(12)), as so redes3 ignated by subsections (c) through (e) of this section, is 

4 amended by striking ‘‘2007’’ and inserting ‘‘2012’’. 

5 SEC. 6010. CRITERIA TO BE APPLIED IN PROVIDING LOANS 

6 AND LOAN GUARANTEES UNDER THE BUSI7 NESS AND INDUSTRY LOAN PROGRAM. 

8 Section 310B(g) of the Consolidated Farm and Rural 

9 Development Act (7 U.S.C. 1932(g)) is amended by adding 

10 at the end the following: 

11 ‘‘(9)(A) In providing loans and loan guarantees under 

12 this section, the Secretary shall consider an application 

13 more favorably when compared to other applications to the 

14 extent that the project described in the application supports 

15 community development and farm and ranch income by 

16 marketing, distributing, storing, aggregating, or processing 

17 a locally or regionally produced agricultural product. 

18 ‘‘(B) In subparagraph (A), the term ‘locally or region19 ally produced agricultural product’ means an agricultural 

20 product— 

21 ‘‘(I) which is produced and distributed in the lo22 cality or region where the finished product is mar23 keted; 


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1 ‘‘(ii) which has been shipped a total distance of 

2 400 or fewer miles, as determined by the Secretary; 

3 and 

4 ‘‘(iii) about which the distributor has conveyed 

5 to the end-use consumers information regarding the 

6 origin of the product or production practices, or other 

7 valuable information.’’. 

8 SEC. 6011. APPROPRIATE TECHNOLOGY TRANSFER FOR 

9 RURAL AREAS PROGRAM. 

10 Section 310B of the Consolidated Farm and Rural De11 velopment Act (7 U.S.C. 1932) is amended by adding at 

12 the end the following: 

13 ‘‘(i) APPROPRIATE TECHNOLOGY TRANSFER FOR

14 RURAL AREAS PROGRAM.— 

15 ‘‘(1) DEFINITION OF NATIONAL NONPROFIT AGRI16 CULTURAL ASSISTANCE INSTITUTION.—In this sub17 section, the term ‘national nonprofit agricultural as18 sistance institution’ means an organization that— 

19 ‘‘(A) is described in section 501(c)(3) of the 

20 Internal Revenue Code of 1986 and exempt from 

21 taxation under 501(a) of that Code; 

22 ‘‘(B) has staff and offices in multiple re23 gions; 

24 ‘‘(C) operates national sustainable agri25 culture technical assistance programs; and 


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1 ‘‘(D) provides the technical assistance 

2 through toll-free hotlines, a website, publications, 

3 and work shops. 

4 ‘‘(2) ESTABLISHMENT.—The Secretary shall es5 tablish a national appropriate technology transfer for 

6 rural areas program to assist agricultural producers 

7 that are seeking information to help the agricultural 

8 producers— 

9 ‘‘(A) reduce input costs; 

10 ‘‘(B) conserve energy resources; 

11 ‘‘(C) diversify operations through new en12 ergy crops and energy generation facilities; and 

13 ‘‘(D) expand markets for the agricultural 

14 commodities produced by the producers through 

15 use of sustainable farming practices. 

16 ‘‘(3) IMPLEMENTATION.— 

17 ‘‘(A) IN GENERAL.—The Secretary shall 

18 carry out the program under this subsection by 

19 making a grant to, or offering to enter into a co20 operative agreement with, a national nonprofit 

21 agricultural assistance organization. 

22 ‘‘(B) COST SHARE.—A grant made, or coop23 erative agreement entered into, under subpara24 graph (A) shall provide 100 percent of the cost 


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1 of providing information pursuant to paragraph 

2 (2). 

3 ‘‘(4) AUTHORIZATION OF APPROPRIATIONS.— 

4 There are authorized to be appropriated to the Sec5 retary to carry out this subsection $5,000,000 for each 

6 fiscal year.’’. 

7 SEC. 6012. GRANTS TO IMPROVE TECHNICAL INFRASTRUC8 TURE AND IMPROVE QUALITY OF RURAL 

9 HEALTH CARE FACILITIES. 

10 Subtitle D of the Consolidated Farm and Rural Devel11 opment Act (7 U.S.C. 1981–2008r), as amended by section 

12 5025 of this Act, is amended by inserting after section 365 

13 the following: 

14 ‘‘SEC. 366. GRANTS TO IMPROVE TECHNICAL INFRASTRUC15 TURE AND IMPROVE QUALITY OF RURAL 

16 HEALTH CARE FACILITIES. 

17 ‘‘(a) IN GENERAL.—The Secretary shall establish a 

18 program to award grants to rural health facilities for the 

19 purpose of assisting the facilities in— 

20 ‘‘(1) purchasing health information technology to 

21 improve quality in health care and patient safety; or 

22 ‘‘(2) improving health care quality and patient 

23 safety, including the development of— 


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1 ‘‘(A) quality improvement support struc2 tures to assist rural health systems and profes3 sionals— 

4 ‘‘(i) achieve greater integration of per5 sonal and population health services; and 

6 ‘‘(ii) address safety, effectiveness, 

7 patient- or community-centeredness, timeli8 ness, efficiency, and equity; and 

9 ‘‘(B) innovative approaches to the financing 

10 and delivery of health services to achieve rural 

11 health quality goals. 

12 ‘‘(b) DEFINITIONS.—In this section: 

13 ‘‘(1) HEALTH INFORMATION TECHNOLOGY.—The 

14 term ‘health information technology’ includes total ex15 penditures incurred for— 

16 ‘‘(A) purchasing, leasing, and installing 

17 computer software and hardware, including 

18 handheld computer technologies, and related 

19 services; 

20 ‘‘(B) making improvements to computer 

21 software and hardware; 

22 ‘‘(C) purchasing or leasing communications 

23 capabilities necessary for clinical data access, 

24 storage, and exchange; 


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1 ‘‘(D) services associated with acquiring, im2 plementing, operating, or optimizing the use of 

3 computer software and hardware and clinical 

4 health care informatics systems; 

5 ‘‘(E) providing education and training to 

6 eligible entity staff on information systems and 

7 technology designed to improve patient safety 

8 and quality of care; and 

9 ‘‘(F) purchasing, leasing, subscribing, or 

10 servicing support to establish interoperability 

11 that— 

12 ‘‘(i) integrates patient-specific clinical 

13 data with well-established national treat14 ment guidelines; 

15 ‘‘(ii) provides ongoing, continuous 

16 quality improvement functions that allow 

17 providers to assess improvement rates over 

18 time and against averages for similar pro19 viders; and 

20 ‘‘(iii) integrates with larger health net21 works. 

22 ‘‘(2) RURAL AREA.—The term ‘rural area’ means 

23 any area of the United States that is not— 

24 ‘‘(A) included within the boundaries of any 

25 city, town, borough, or village, whether incorVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00404 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 porated or unincorporated, with a population of 

2 more than 20,000 inhabitants; or 

3 ‘‘(B) the urbanized area contiguous and ad4 jacent to such a city or town. 

5 ‘‘(3) RURAL HEALTH FACILITY.—The term ‘rural 

6 health facility’ means any of the following: 

7 ‘‘(A) SOLE COMMUNITY HOSPITAL.—A hos8 pital (as defined in section 1886(a)(2) of the So9 cial Security Act (42 U.S.C. 1395ww(a)(2))). 

10 ‘‘(B) CRITICAL ACCESS HOSPITAL.—A crit11 ical access hospital (as defined in section 

12 1861(mm)(1) of the Social Security Act (42 

13 U.S.C. 1395x(mm)(1))). 

14 ‘‘(C) FEDERALLY QUALIFIED HEALTH CEN15 TER IN RURAL AREAS.—A Federally qualified 

16 health center (as defined in section 1861(aa)(4) 

17 of the Social Security Act (42 U.S.C. 

18 1395x(aa)(4)) that is located in a rural area. 

19 ‘‘(D) RURAL PHYSICIAN OR RURAL PHYSI20 CIAN GROUP PRACTICE.—A physician or physi21 cian group practice that is located in a rural 

22 area. 

23 ‘‘(E) RURAL HEALTH CLINIC.—A rural 

24 health clinic (as defined in section 1861(aa)(2) 


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1 of the Social Security Act (42 U.S.C. 

2 1395x(aa)(2))). 

3 ‘‘(F) MEDICARE DEPENDENT HOSPITAL.—A 

4 medicare-dependent, small rural hospital (as de5 fined in section 1886(d)(5)(G)(iv) of the Social 

6 Security Act (42 U.S.C. 1395ww(d)(5)(G)(iv))). 

7 ‘‘(c) AMOUNT OF GRANT.—The Secretary shall deter8 mine the amount of a grant awarded under this section. 

9 ‘‘(d) FURNISHING THE SECRETARY WITH INFORMA10 TION.—An eligible entity receiving a grant under this sec11 tion shall furnish the Secretary with such information as 

12 the Secretary may require to— 

13 ‘‘(1) evaluate the project for which the grant is 

14 made; and 

15 ‘‘(2) ensure that assistance provided under the 

16 grant is expended for the purposes for which the grant 

17 is made. 

18 ‘‘(e) AUTHORIZATION OF APPROPRIATIONS.—There are 

19 authorized to be appropriated to the Secretary to carry out 

20 this section not more than $30,000,000 for each of the fiscal 

21 years 2008 through 2012.’’. 

22 SEC. 6013. RURAL ENTREPRENEUR AND MICROENTERPRISE 

23 ASSISTANCE PROGRAM. 

24 Subtitle D of the Consolidated Farm and Rural Devel25 opment Act (7 U.S.C. 1981–2008r), as amended by sections 


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1 5025 and 6012 of this Act, is amended by inserting after 

2 section 366 the following: 

3 ‘‘SEC. 367. RURAL ENTREPRENEUR AND MICROENTERPRISE 

4 ASSISTANCE PROGRAM. 

5 ‘‘(a) DEFINITIONS.—In this section: 

6 ‘‘(1) ECONOMICALLY DISADVANTAGED MICRO7 ENTREPRENEUR.—The term ‘economically disadvan8 taged microentrepreneur’ means an owner, majority 

9 owner, or developer of a microenterprise that has the 

10 ability to compete in the private sector but has been 

11 impaired because of diminished capital and credit op12 portunities, as compared to other microentrepreneurs 

13 in the industry. 

14 ‘‘(2) INDIAN TRIBE.—The term ‘Indian tribe’ has 

15 the meaning given the term in section 4 of the Indian 

16 Self-Determination and Education Assistance Act (25 

17 U.S.C. 450b). 

18 ‘‘(3) INTERMEDIARY.—The term ‘intermediary’ 

19 means a nonprofit entity that provides assistance— 

20 ‘‘(A) to a microenterprise development orga21 nization; or 

22 ‘‘(B) for a microenterprise development pro23 gram. 

24 ‘‘(4) LOW-INCOME INDIVIDUAL.—The term ‘low25 income individual’ means an individual with an inVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00407 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 come (adjusted for family size) of not more than 80 

2 percent of the national median income. 

3 ‘‘(5) MICROCREDIT.—The term ‘microcredit’ 

4 means a business loan or loan guarantee of not more 

5 than $50,000 that is provided to a rural entre6 preneur. 

7 ‘‘(6) MICROENTERPRISE.—The term ‘microenter8 prise’ means— 

9 ‘‘(A) a sole proprietorship; or 

10 ‘‘(B) a business entity with not more than 

11 10 full-time-equivalent employees. 

12 ‘‘(7) MICROENTERPRISE DEVELOPMENT ORGANI13 ZATION.— 

14 ‘‘(A) IN GENERAL.—The term ‘microenter15 prise development organization’ means a non16 profit entity that— 

17 ‘‘(i) provides training and technical 

18 assistance to rural entrepreneurs; and 

19 ‘‘(ii) facilitates access to capital or an20 other service described in subsection (b) for 

21 rural entrepreneurs. 

22 ‘‘(B) INCLUSIONS.—The term ‘microenter23 prise development organization’ includes an or24 ganization described in subparagraph (A) with a 

25 demonstrated record of delivering services to ecoVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00408 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 nomically disadvantaged microentrepreneurs, or 

2 an effective plan to develop a program to deliver 

3 microenterprise services to rural entrepreneurs 

4 effectively, as determined by the Secretary. 

5 ‘‘(8) MICROENTERPRISE DEVELOPMENT PRO6 GRAM.—The term ‘microenterprise development pro7 gram’ means a program administered by a qualified 

8 organization serving a rural area. 

9 ‘‘(9) MICROENTREPRENEUR.—The term ‘micro10 entrepreneur means’ the owner, operator, or developer 

11 of a microenterprise. 

12 ‘‘(10) PROGRAM.—The term ‘program’ means the 

13 rural entrepreneur and microenterprise program es14 tablished under subsection (b)(1). 

15 ‘‘(11) QUALIFIED ORGANIZATION.—The term 

16 ‘qualified organization’ means— 

17 ‘‘(A) a microenterprise development organi18 zation or microenterprise development program 

19 that has a demonstrated record of delivering 

20 microenterprise services to rural entrepreneurs, 

21 or an effective plan to develop a program to de22 liver microenterprise services to rural entre23 preneurs effectively, as determined by the Sec24 retary; 


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1 ‘‘(B) an intermediary that has a dem2 onstrated record of delivering assistance to 

3 microenterprise development organizations or 

4 microenterprise development programs; 

5 ‘‘(C) an Indian tribe, the tribal government 

6 of which certifies to the Secretary that there is 

7 no microenterprise development organization or 

8 microenterprise development program under the 

9 jurisdiction of the Indian tribe; 

10 ‘‘(D) a group of 2 or more organizations or 

11 Indian tribes described in any of subparagraphs 

12 (A) through (C) that agree to act jointly as a 

13 qualified organization under this section; or 

14 ‘‘(E) for purposes of subsection (b), a public 

15 college or university that has a demonstrated 

16 record of delivering assistance to microenterprise 

17 development organizations or microenterprise de18 velopment programs. 

19 ‘‘(12) RURAL AREA.—The term ‘rural area’ 

20 means any area of the United States that is not— 

21 ‘‘(A) included within the boundaries of any 

22 city, town, borough, or village, whether incor23 porated or unincorporated, with a population of 

24 more than 20,000 inhabitants; or 


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1 ‘‘(B) the urbanized area contiguous and ad2 jacent to such a city or town. 

3 ‘‘(13) RURAL CAPACITY-BUILDING SERVICE.—The 

4 term ‘rural capacity-building service’ means a service 

5 provided to an organization that— 

6 ‘‘(A) is, or is in the process of becoming, a 

7 microenterprise development organization or 

8 microenterprise development program; and 

9 ‘‘(B) serves rural areas for the purpose of 

10 enhancing the ability of the organization to pro11 vide training, technical assistance, and other re12 lated services to rural entrepreneurs. 

13 ‘‘(14) RURAL ENTREPRENEUR.—The term ‘rural 

14 entrepreneur’ means a microentrepreneur, or prospec15 tive microentrepreneur— 

16 ‘‘(A) the principal place of business of 

17 which is in a rural area; and 

18 ‘‘(B) that is unable to obtain sufficient 

19 training, technical assistance, or microcredit 

20 elsewhere, as determined by the Secretary. 

21 ‘‘(15) TRIBAL GOVERNMENT.—The term ‘tribal 

22 government’ means the governing body of an Indian 

23 tribe. 

24 ‘‘(b) RURAL ENTREPRENEURSHIP AND MICROENTER25 PRISE PROGRAM.— 


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1 ‘‘(1) ESTABLISHMENT.—The Secretary shall es2 tablish a rural entrepreneurship and microenterprise 

3 program. 

4 ‘‘(2) PURPOSE.—The purpose of the program 

5 shall be to provide low-income individuals and mod6 erate-income individuals with— 

7 ‘‘(A) the skills necessary to establish new 

8 small businesses in rural areas; and 

9 ‘‘(B) continuing technical and financial as10 sistance as individuals and business starting or 

11 operating small businesses. 

12 ‘‘(3) GRANTS.— 

13 ‘‘(A) IN GENERAL.—The Secretary may 

14 make a grant under the program to a qualified 

15 organization— 

16 ‘‘(i) to provide training, operational 

17 support, or a rural capacity-building serv18 ice to a qualified organization to assist the 

19 qualified organization in developing micro20 enterprise training, technical assistance, 

21 market development assistance, and other 

22 related services, primarily for business with 

23 10 or fewer full-time-equivalent employees; 

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1 ing, technical assistance, and microcredit to 

2 rural entrepreneurs; and 

3 ‘‘(iii) to carry out such other projects 

4 and activities as the Secretary determines 

5 to be consistent with the purposes of this 

6 section. 

7 ‘‘(B) DIVERSITY.—In making grants under 

8 this paragraph, the Secretary shall ensure, to the 

9 maximum extent practicable, that grant recipi10 ents include qualified organizations— 

11 ‘‘(i) of varying sizes; and 

12 ‘‘(ii) that serve racially and ethnically 

13 diverse populations. 

14 ‘‘(C) MATCHING REQUIREMENT.— 

15 ‘‘(i) IN GENERAL.—As a condition of 

16 any grant made to a qualified organization 

17 under this paragraph, the Secretary shall 

18 require the qualified organization to match 

19 not less than 25 percent of the total amount 

20 of the grant. 

21 ‘‘(ii) SOURCES.—In addition to cash 

22 from non-Federal sources, a matching share 

23 provided by the qualified organization may 

24 include indirect costs or in-kind contribu25 tions funded under non-Federal programs. 


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1 ‘‘(4) RURAL MICROLOAN AND TECHNICAL ASSIST2 ANCE PROGRAM.— 

3 ‘‘(A) ESTABLISHMENT.—In carrying out 

4 the program, the Secretary may carry out a 

5 rural microloan program. 

6 ‘‘(B) PURPOSE.—The purpose of the rural 

7 microloan program shall be to provide technical 

8 and financial assistance through qualified orga9 nizations to sole proprietorships and small busi10 nesses located in rural areas with a particular 

11 focus on businesses with 10 or fewer full-time 

12 equivalent employees. 

13 ‘‘(C) AUTHORITY OF SECRETARY.—In car14 rying out the rural microloan program, the Sec15 retary may— 

16 ‘‘(i) make loans to qualified organiza17 tions for the purpose of making short-term, 

18 fixed interest rate microloans to startup, 

19 newly established, and growing rural micro20 business concerns; and 

21 ‘‘(ii) in conjunction with the loans, 

22 provide grants in accordance with subpara23 graph (E) to the organizations for the pur24 pose of providing intensive marketing, man25 agement, and technical assistance to small 


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1 business concerns that are borrowers under 

2 this paragraph. 

3 ‘‘(D) LOAN DURATION; INTEREST RATES; 

4 CONDITIONS.— 

5 ‘‘(i) LOAN DURATION.—A loan made 

6 by the Secretary under this paragraph shall 

7 be for a term of 20 years. 

8 ‘‘(ii) APPLICABLE INTEREST RATES.— 

9 A loan made by the Secretary under this 

10 paragraph to a qualified organization shall 

11 bear an annual interest rate of at least 1 

12 percent. 

13 ‘‘(iii) DEFERRAL OF INTEREST AND

14 PRINCIPAL.—The Secretary may permit the 

15 deferral of payments, for principal and in16 terest, on a loan made under this para17 graph for a period of not more than 2 

18 years, beginning on the date the loan is 

19 made. 

20 ‘‘(E) GRANT AMOUNTS.— 

21 ‘‘(i) IN GENERAL.—Except as otherwise 

22 provided in this section, each qualified or23 ganization that receives a loan under this 

24 paragraph shall be eligible to receive a 

25 grant to provide marketing, management, 


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1 and technical assistance to small business 

2 concerns that are borrowers or potential 

3 borrowers under this subsection. 

4 ‘‘(ii) MAXIMUM AMOUNT FOR MICRO5 ENTERPRISE DEVELOPMENT ORGANIZA6 TIONS.—Each microenterprise development 

7 organization that receives a loan under this 

8 paragraph shall receive an annual grant in 

9 an amount equal to not more than 25 per10 cent of the total outstanding balance of 

11 loans made to the microenterprise develop12 ment organization under this paragraph, as 

13 of the date the grant is made. 

14 ‘‘(iii) MATCHING REQUIREMENT.— 

15 ‘‘(I) IN GENERAL.—As a condi16 tion of any grant made to a qualified 

17 organization under this subparagraph, 

18 the Secretary shall require the quali19 fied organization to match not less 

20 than 15 percent of the total amount of 

21 the grant. 

22 ‘‘(II) SOURCES.—In addition to 

23 cash from non-Federal sources, a 

24 matching share provided by the quali25 fied organization may include indirect 


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1 costs or in-kind contributions funded 

2 under non-Federal programs. 

3 ‘‘(c) ADMINISTRATIVE EXPENSES.—Not more than 10 

4 percent of assistance received by a qualified organization 

5 for a fiscal year under this section may be used to pay ad6 ministrative expenses. 

7 ‘‘(d) FURNISHING THE SECRETARY WITH INFORMA8 TION.—A qualified organization that receives a grant under 

9 subsection (b)(3) or loan under subsection (b)(4) shall fur10 nish the Secretary by December 1 such information as the 

11 Secretary may require to ensure that assistance provided 

12 under the grant or loan is expended for the purposes for 

13 which the grant or loan is made. 

14 ‘‘(e) AUTHORIZATION OF APPROPRIATIONS.—There are 

15 authorized to be appropriated to the Secretary to carry out 

16 this section not more than $20,000,000 for each of the fiscal 

17 years 2008 through 2012.’’. 

18 SEC. 6014. CRITERIA TO BE APPLIED IN CONSIDERING AP19 PLICATIONS FOR RURAL DEVELOPMENT 

20 PROJECTS. 

21 Subtitle D of the Consolidated Farm and Rural Devel22 opment Act (7 U.S.C. 1981–2008r), as amended by sections 

23 5025, 6012, and 6013 of this Act, is amended by inserting 

24 after section 367 the following: 


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1 ‘‘SEC. 368. CRITERIA TO BE APPLIED IN CONSIDERING AP2 PLICATIONS FOR RURAL DEVELOPMENT 

3 PROJECTS. 

4 ‘‘(a) IN GENERAL.—The Secretary shall review the in5 come demographics, population, seasonal increases, and 

6 other factors as determined by the Secretary, of eligible com7 munities for each program authorized or modified by, or 

8 funded pursuant to, an amendment made by title VI of the 

9 Farm, Nutrition, and Bioenergy Act of 2007 or section 306, 

10 306A, 306C, 306D, 306E, 310(c), 310(e), 310B(b), 310B(c), 

11 310B(e), or 379B, or subtitle F, G, H, or I of this Act, 

12 and which proposes to serve a rural area (as defined by 

13 the applicable law). 

14 ‘‘(b) REGULATIONS.—The Secretary shall issue regula15 tions to establish the applicable limitations that a rural 

16 area cannot exceed in order to remain eligible for a pro17 gram referred to in subsection (a).’’. 

18 SEC. 6015. NATIONAL SHEEP INDUSTRY IMPROVEMENT 

19 CENTER. 

20 (a) FUNDING.—Section 375(e)(6) of the Consolidated 

21 Farm and Rural Development Act (7 U.S.C. 2008j(e)(6)) 

22 is amended by striking paragraphs (B) and (C) and insert23 ing the following: 

24 ‘‘(B) AUTHORIZATION OF APPROPRIA25 TIONS.—There are authorized to be appropriated 

26 to the Secretary to carry out this section 


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1 $10,000,000 for each of the fiscal years 2008 

2 through 2012.’’. 

3 (b) ELIMINATION OF REQUIREMENT TO PRIVATIZE

4 REVOLVING FUND.— Section 375 of such Act (7 U.S.C. 

5 2008j) is amended by striking subsection (j). 

6 SEC. 6016. NATIONAL RURAL DEVELOPMENT PARTNERSHIP. 

7 Section 378(g)(1) of the Consolidated Farm and Rural 

8 Development Act (7 U.S.C. 2008m(g)(1)) is amended by 

9 striking ‘‘2003 through 2007’’ and inserting ‘‘2008 through 

10 2012’’. 

11 SEC. 6017. HISTORIC BARN PRESERVATION. 

12 (a) GRANT PRIORITY.—Section 379A(c) of the Consoli13 dated Farm and Rural Development Act (7 U.S.C. 

14 2008o(c)) is amended by redesignating paragraphs (3) and 

15 (4) as paragraphs (4) and (5) and inserting after para16 graph (2) the following: 

17 ‘‘(3) PRIORITY.—In making grants under this 

18 subsection, the Secretary shall give the highest pri19 ority to funding projects described in paragraph 

20 (2)(C).’’. 

21 (b) LIMITATIONS ON AUTHORIZATION OF APPROPRIA22 TIONS.—Section 379A(c)(5) of such Act (7 U.S.C. 

23 2008o(c)(5)), as so redesignated by subsection (a) of this 

24 section, is amended by striking ‘‘2002 through 2007’’ and 

25 inserting ‘‘2008 through 2012’’. 


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1 SEC. 6018. GRANTS FOR NOAA WEATHER RADIO TRANSMIT2 TERS. 

3 Section 379B(d) of the Consolidated Farm and Rural 

4 Development Act (7 U.S.C. 2008p(d)) is amended by strik5 ing ‘‘2002 through 2007’’ and inserting ‘‘2008 through 

6 2012’’. 

7 SEC. 6019. DELTA REGIONAL AUTHORITY. 

8 (a) AUTHORIZATION OF APPROPRIATIONS.—Section 

9 382M(a) of the Consolidated Farm and Rural Development 

10 Act (7 U.S.C. 2009aa-12(a)) is amended by striking ‘‘2001 

11 through 2007’’ and inserting ‘‘2008 through 2012’’. 

12 (b) TERMINATION OF AUTHORITY.—Section 382N of 

13 such Act (7 U.S.C. 2009aa-13) is amended by striking 

14 ‘‘2007’’ and inserting ‘‘2012’’. 

15 SEC. 6020. NORTHERN GREAT PLAINS REGIONAL AUTHOR16 ITY. 

17 (a) FEDERAL SHARE OF ADMINISTRATIVE EX18 PENSES.—Section 383B(g)(1) of the Consolidated Farm 

19 and Rural Development Act (7 U.S.C. 2009bb-1(g)(1)) is 

20 amended— 

21 (1) in subparagraph (A), by striking ‘‘2002’’ and 

22 inserting ‘‘2007’’; 

23 (2) in subparagraph (B), by striking ‘‘2003’’ and 

24 inserting ‘‘2008’’; and 

25 (3) in subparagraph (C), by striking ‘‘2004’’ and 

26 inserting ‘‘2009’’. 


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1 (b) TECHNICAL AMENDMENT.—Section 383B(d)(6)(A) 

2 of such Act (7 U.S.C. 2009bb-1(d)(6)(A)) is amended by in3 serting ‘‘and resource conservation’’ after ‘‘development’’. 

4 (c) ELIMINATION OF PRIORITIZATION RANKING OF AC5 TIVITIES TO BE FUNDED.—Section 383C(b)(2) of such Act 

6 (7 U.S.C. 2009bb-2(b)(2)) is amended by striking ‘‘activi7 ties in the following order of priority’’ and inserting ‘‘fol8 lowing activities’’. 

9 (d) ELIMINATION OF ISOLATED AREA OF DISTRESS

10 DESIGNATION.— 

11 (1) IN GENERAL.—Section 383F(a) of such Act 

12 (7 U.S.C. 2009bb-5(a)) is amended— 

13 (A) by adding ‘‘and’’ at the end of para14 graph (1); 

15 (B) by striking ‘‘; and’’ at the end of para16 graph (2) and inserting a period; and 

17 (C) by striking paragraph (3). 

18 (2) CONFORMING AMENDMENTS.—Section 

19 383F(b) of such Act (7 U.S.C. 2009bb-5(b)) is amend20 ed— 

21 (A) in paragraph (1), by striking ‘‘and iso22 lated areas of distress’’; and 

23 (B) in paragraph (2), by striking ‘‘or iso24 lated areas of distress’’. 


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1 (e) REDUCTION OF MINIMUM FUNDS ALLOCATION FOR

2 DISTRESSED COUNTIES.—Section 383F(b)(1) of such Act 

3 (7 U.S.C. 2009bb-5(b)(1)) is amended by striking ‘‘75’’ and 

4 inserting ‘‘50’’. 

5 (f) ELIMINATION OF PROHIBITION ON PROVIDING

6 FUNDS TO NONDISTRESSED COUNTIES.—Section 383F of 

7 such Act (7 U.S.C. 2009bb-5) is amended by striking sub8 section (c) and redesignating subsection (d) as subsection 

9 (c). 

10 (g) INCLUSION OF RENEWABLE ENERGY AMONG OB11 JECTS OF MINIMUM FUNDS ALLOCATION.—Section 383F(c) 

12 of such Act (7 U.S.C. 2009bb-5(c)), as so redesignated by 

13 subsection (a) of this section, is amended— 

14 (1) in the subsection heading, by inserting ‘‘RE15 NEWABLE ENERGY,’’ after ‘‘TELECOMMUNICATION,’’; 

16 and 

17 (2) by inserting ‘‘renewable energy,’’ after ‘‘tele18 communication’’. 

19 (h) AUTHORIZATION OF APPROPRIATIONS.—Section 

20 383M(a) of such Act (7 U.S.C. 2009bb-12(a)) is amended 

21 by striking ‘‘2002 through 2007’’ and inserting ‘‘2008 

22 through 2012’’. 

23 (i) TERMINATION OF AUTHORITY.—Section 383N of 

24 such Act (7 U.S.C. 2009bb-13) is amended by striking 

25 ‘‘2007’’ and inserting ‘‘2012’’. 


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1 SEC. 6021. RURAL STRATEGIC INVESTMENT PROGRAM. 

2 (a) LIMITATIONS ON AUTHORIZATION OF APPROPRIA3 TIONS.—Section 385E of the Consolidated Farm and Rural 

4 Development Act (7 U.S.C. 2009dd-4) is amended to read 

5 as follows: 

6 ‘‘SEC. 385E. LIMITATIONS ON AUTHORIZATION OF APPRO7 PRIATIONS. 

8 ‘‘There are authorized to be appropriated to the Sec9 retary to carry out this subtitle not more than $25,000,000 

10 for each of the fiscal years 2008 through 2012.’’. 

11 (b) PRESERVATION AND PROMOTION OF RURAL HER12 ITAGE.— 

13 (1) DEFINITION.—Section 385B of such Act (7 

14 U.S.C. 2009dd-1) is amended by adding at the end 

15 the following: 

16 ‘‘(12) RURAL HERITAGE.—The term ‘rural herit17 age’ means historic sites, structures, and districts 

18 which may include rural downtown areas and main 

19 streets, neighborhoods, farmsteads, scenic and historic 

20 trails, and heritage areas and historic landscapes.’’. 

21 (2) RURAL STRATEGIC INVESTMENT PLANNING

22 GRANTS.—Section 385F(b) of such Act (7 U.S.C. 

23 2009dd-5(b)) is amended— 

24 (A) by striking ‘‘and’’ at the end of para25 graph (6); and 


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1 (B) by redesignating paragraph (7) as 

2 paragraph (8) and inserting after paragraph (6) 

3 the following: 

4 ‘‘(7) preservation and promotion of rural herit5 age; and’’. 

6 (3) INNOVATION GRANTS.—Section 385G(d) of 

7 such Act (7 U.S.C. 2009dd-6(d)) is amended— 

8 (A) by striking ‘‘and’’ at the end of para9 graph (6); and 

10 (B) by redesignating paragraph (7) as 

11 paragraph (8) and inserting after paragraph (6) 

12 the following: 

13 ‘‘(7) demonstrate a plan to protect and promote 

14 rural heritage; and’’. 

15 SEC. 6022. EXPANSION OF 911 ACCESS. 

16 Section 315(b) of the Rural Electrification Act of 1936 

17 (7 U.S.C. 904e(b)) is amended by striking ‘‘2002 through 

18 2007’’ and inserting ‘‘2008 through 2012’’. 

19 SEC. 6023. ACCESS TO BROADBAND TELECOMMUNICATIONS 

20 SERVICES IN RURAL AREAS. 

21 (a) DEFINITIONS.—Section 601(b) of the Rural Elec22 trification Act of 1936 (7 U.S.C. 950bb(b)) is amended by 

23 striking paragraph (2) and inserting the following: 


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1 ‘‘(2) ELIGIBLE RURAL COMMUNITY.—The term 

2 ‘eligible rural community’ means any area of the 

3 United States that is not— 

4 ‘‘(A) included within the boundaries of any 

5 city, town, borough, or village, whether incor6 porated or unincorporated, with a population of 

7 more than 20,000 inhabitants; or 

8 ‘‘(B) the urbanized area contiguous and ad9 jacent to such a city or town.’’. 

10 (b) PRIORITIZATION OF APPLICATIONS.— 

11 (1) DEFINITION.—Section 601(b) of such Act (7 

12 U.S.C. 950bb(b)), as amended by subsection (a) of 

13 this section, is amended by adding at the end the fol14 lowing: 

15 ‘‘(3) INCUMBENT SERVICE PROVIDER.—The term 

16 ‘incumbent service provider’ means, with respect to 

17 an application submitted pursuant to this section, an 

18 entity that is providing broadband service to at least 

19 5 percent of the households in the service area pro20 posed in the application.’’. 

21 (2) PRIORITY BASED ON NUMBER OF INCUMBENT

22 SERVICE PROVIDERS.—Section 601(c) of such Act (7 

23 U.S.C. 950bb(c)) is amended by adding at the end the 

24 following: 


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1 ‘‘(3) APPLICATIONS PRIORITIZED BASED ON

2 NUMBER OF INCUMBENT SERVICE PROVIDERS.— 

3 ‘‘(A) IN GENERAL.—In making or guaran4 teeing loans under paragraph (1), the Secretary 

5 shall give priority, in the following order, to ap6 plications from eligible rural communities that 

7 have— 

8 ‘‘(i) no incumbent service provider; 

9 ‘‘(ii) 1 incumbent services provider; or 

10 ‘‘(iii) 2 incumbent service providers 

11 who, together, serve not more than 25 per12 cent of the households in the service area 

13 proposed in the application. 

14 ‘‘(B) PROHIBITIONS.—In carrying out this 

15 section, the Secretary may not— 

16 ‘‘(i) make a loan to an eligible commu17 nity in which there are 3 or more incum18 bent service providers, unless— 

19 ‘‘(I) the loan is to an incumbent 

20 service provider of the community; 

21 ‘‘(II) the other providers in that 

22 community are notified of the applica23 tion before approval by the Secretary, 

24 and have sufficient time to comment 

25 on the application; and 


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1 ‘‘(III) the application includes 

2 substantially increasing— 

3 ‘‘(aa) the quality of 

4 broadband service in the commu5 nity; and 

6 ‘‘(bb) the provision of 

7 broadband service to unserved 

8 households inside and outside the 

9 community; or 

10 ‘‘(ii) make a loan for new construction 

11 to any community in which more than 75 

12 percent of the households may obtain afford13 able broadband service, on request, from at 

14 least 1 incumbent service provider.’’. 

15 (c) PAPERWORK REDUCTION.—Section 601(c) of such 

16 Act (7 U.S.C. 950bb(c)), as amended by subsection (b)(2) 

17 of this section, is amended by adding at the end the fol18 lowing: 

19 ‘‘(4) PAPERWORK REDUCTION.—The Secretary 

20 shall take steps to reduce the cost and paperwork asso21 ciated with applying for a loan or loan guarantee 

22 under this section by first-time applicants, particu23 larly those who are smaller and start-up Internet pro24 viders, including by providing for a new application 

25 which shall maintain the ability of the Secretary to 


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1 make an analysis of the risk associated with the loan 

2 involved.’’. 

3 (d) INCREASE IN MAXIMUM NUMBER OF SUBSCRIBER

4 LINES THAT MAY BE SERVED BY AN ELIGIBLE ENTITY.— 

5 Section 601(d)(3) of such Act (7 U.S.C. 950bb(d)(3)) is 

6 amended by striking ‘‘2’’ and inserting ‘‘10’’. 

7 (e) LIMITATION ON FUNDS TO ENTITIES WITH MORE

8 THAN 2 PERCENT OF SUBSCRIBER LINES.—Section 601(d) 

9 of such Act (7 U.S.C. 950bb(d)) is amended by adding at 

10 the end the following: 

11 ‘‘(4) LIMITATION ON FUNDS TO ENTITIES WITH

12 MORE THAN 2 PERCENT OF SUBSCRIBER LINES.—Not 

13 more than 25 percent of the loans made under this 

14 section in a single fiscal year may be approved for 

15 entities that serve more than 2 percent of the tele16 phone subscriber lines in the United States.’’. 

17 (f) LOAN TERM NOT TO EXCEED 35 YEARS.—Section 

18 601(g)(2) of such Act (7 U.S.C. 950bb(g)(2)) is amended 

19 by striking ‘‘not to exceed the useful life of the assets con20 structed, improved, or acquired with the proceeds of the loan 

21 or extension of credit.’’ and inserting ‘‘of such length, not 

22 exceeding 35 years, as the borrower may request, so long 

23 as the Secretary determines that the loan is adequately se24 cured. In determining the term of a loan or loan guarantee, 

25 the Secretary shall consider whether the recipient is or 


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1 would be serving an area that is not receiving broadband 

2 services.’’ 

3 (g) ADEQUACY OF SECURITY.—Section 601 of such Act 

4 (7 U.S.C. 950bb) is amended by redesignating subsections 

5 (h) through (k) as subsections (i) through (l), respectively, 

6 and inserting after subsection (g) the following: 

7 ‘‘(h) ADEQUACY OF SECURITY.—The Secretary shall 

8 ensure that the type, amount, and method of security used 

9 to secure any loan or loan guarantee provided under this 

10 section is commensurate to the risk involved with the loan 

11 or loan guarantee, particularly when the loan or loan guar12 antee is issued to a financially healthy, strong, and stable 

13 entity. In determining the amount and method of security, 

14 the Secretary shall consider reducing the security in areas 

15 that do not have broadband service.’’. 

16 (h) GENERAL REPORT ON PROGRAM.—Section 601 of 

17 such Act (7 U.S.C. 950bb), as amended by subsection (g) 

18 of this section, is amended by redesignating subsections (k) 

19 and (l) as subsections (l) and (m), respectively, and insert20 ing after subsection (j) the following: 

21 ‘‘(k) GENERAL PROGRAM REPORT.—Not later than 

22 December 1 of each year, the Secretary shall prepare and 

23 submit to the Committee on Agriculture of the House of 

24 Representatives and the Committee on Agriculture, NutriVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00429 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 tion, and Forestry of the Senate a report that details for 

2 the preceding fiscal year— 

3 ‘‘(1) the loans made under this section; 

4 ‘‘(2) the communities served under this section; 

5 ‘‘(3) the speed of the broadband service offered by 

6 applicants for, and recipients of, loans or loan guar7 antees under this section; 

8 ‘‘(4) the type of services offered by the applicants 

9 and recipients; 

10 ‘‘(5) the length of time to approve applications 

11 submitted pursuant to this section; and 

12 ‘‘(6) the outreach efforts undertaken by the De13 partment of Agriculture to encourage persons in areas 

14 without broadband service to submit applications 

15 pursuant to this section.’’. 

16 (i) NATIONAL CENTER FOR RURAL TELECOMMUNI17 CATIONS ASSESSMENT.—Section 601 of such Act (7 U.S.C. 

18 950bb), as amended by subsections (g) and (h) of this sec19 tion, is amended by redesignating subsections (l) and (m) 

20 as subsections (m) and (n), respectively, and inserting after 

21 subsection (k) the following: 

22 ‘‘(l) NATIONAL CENTER FOR RURAL TELECOMMUNI23 CATIONS ASSESSMENT.— 

24 ‘‘(1) ESTABLISHMENT OF CENTER.—The Sec25 retary shall designate a National Center for Rural 


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1 Telecommunications Assessment (in this subsection re2 ferred to as the ‘Center’). 

3 ‘‘(2) CRITERIA.—The Secretary shall use the fol4 lowing criteria in making the designation: 

5 ‘‘(A) The Center must be an entity with a 

6 focus on rural policy research and a minimum 

7 of 5 years experience in rural telecommuni8 cations research and assessment. 

9 ‘‘(B) The Center must be capable of assess10 ing broadband services in rural areas. 

11 ‘‘(C) The Center must have significant expe12 rience with other rural economic development 

13 centers and organizations in the assessment of 

14 rural policies and formulation of policy solutions 

15 at the local, State, and Federal level. 

16 ‘‘(3) BOARD.—The management of the Center 

17 shall be vested in a board of directors that is capable 

18 of oversight of the duties set forth in paragraph (4). 

19 ‘‘(4) DUTIES.—The Center shall— 

20 ‘‘(A) assess the effectiveness of programs 

21 provided under subsection (b) in increasing 

22 broadband penetration and purchase in rural 

23 areas, especially in those rural communities 

24 identified by the Secretary as having no service 


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1 before award of a broadband loan or loan guar2 antee under subsection (b); 

3 ‘‘(B) develop assessments of broadband 

4 availability in rural areas, working with exist5 ing rural development centers selected by the 

6 Center; 

7 ‘‘(C) identify policies and initiatives at the 

8 local, State and Federal level that have increased 

9 broadband penetration and purchase in rural 

10 areas; 

11 ‘‘(D) conduct a national study of rural 

12 households and businesses focusing on the adop13 tion of, barriers to, and utilization of broadband 

14 services; and 

15 ‘‘(E) provide reports to the public on the ac16 tivities undertaken under this section. 

17 ‘‘(5) REPORTING REQUIREMENTS.—The Center 

18 shall report by December 1 of each year to the Sec19 retary its activities, the results of its research, and 

20 any such information the Secretary may request re21 garding the prior fiscal year. In reporting to the Sec22 retary the Center shall include the following: 

23 ‘‘(A) Assessments of the programs provided 

24 under subsection (b). 


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1 ‘‘(B) Annual assessments on broadband 

2 availability in rural areas under consideration 

3 by the Center. 

4 ‘‘(C) Annual assessments on the effects of 

5 the policy initiatives identified in paragraph 

6 (2)(C). 

7 ‘‘(D) Results from the national study of 

8 rural households and businesses conducted under 

9 paragraph (4)(D). 

10 ‘‘(6) AUTHORIZATION OF APPROPRIATIONS.— 

11 There are authorized to be appropriated to the Sec12 retary to carry out this subsection not more than 

13 $1,000,000 for each of the fiscal years 2008 through 

14 2012.’’. 

15 (j) FUNDING.—Section 601(m) of such Act (7 U.S.C. 

16 950bb(l)) as so redesignated by subsections (g) through (i) 

17 of this section, is amended— 

18 (1) by striking paragraph (1); 

19 (2) by redesignating paragraphs (2), (3), and (4) 

20 as paragraphs (1), (2), and (3), respectively; 

21 (3) in paragraph (1)(B) (as so redesignated), by 

22 striking ‘‘2007’’ and inserting ‘‘2012’’; 

23 (4) in paragraph (2) (as so redesignated), by 

24 striking ‘‘2003 through 2007’’ and inserting ‘‘2008 

25 through 2012’’; and 


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1 (5) in paragraph (3) (as so redesignated), by 

2 adding at the end the following: 

3 ‘‘(D) ELIGIBLE TRIBAL COMMUNITIES.—Of 

4 the amounts made available under subparagraph 

5 (A) for a fiscal year, 10 percent shall be reserved 

6 for entities serving eligible tribal communities. 

7 ‘‘(E) UNOBLIGATED AMOUNTS.—Any 

8 amounts in the reserve established for eligible 

9 tribal communities for a fiscal year under sub10 paragraph (D) that are not obligated by June 30 

11 of the fiscal year shall be available to the Sec12 retary to make loans and loan guarantees under 

13 this section to eligible entities in any State, as 

14 determined by the Secretary.’’. 

15 (k) EXTENSION OF AUTHORITY TO ISSUE LOANS.— 

16 Section 601(n) of such Act (7 U.S.C. 950bb(m)), as so redes17 ignated by subsections (f) through (h) of this section, is 

18 amended by striking ‘‘2007’’ and inserting ‘‘2012’’. 

19 SEC. 6024. COMMUNITY CONNECT GRANT PROGRAM. 

20 Title VI of the Rural Electrification Act of 1936 (7 

21 U.S.C. 950bb) is amended by adding at the end the fol22 lowing: 

23 ‘‘SEC. 602. COMMUNITY CONNECT GRANT PROGRAM. 

24 ‘‘(a) ESTABLISHMENT.—The Secretary shall establish 

25 a grant program to be known as the ‘Community Connect 


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1 Grant Program’ to provide financial assistance to eligible 

2 applicants to provide broadband transmission service that 

3 fosters economic growth and delivers enhanced educational, 

4 health care, and public safety services. 

5 ‘‘(b) ELIGIBILITY.—To be eligible for a grant under 

6 this section, the applicant must— 

7 ‘‘(1) be legally organized as an incorporated trib8 al organization, an Indian tribe, or tribal organiza9 tion, as defined in subsections (b) and (c) of section 

10 4 of the Indian Self-Determination and Education 

11 Assistance Act (25 U.S.C. 450b(b) and (c)), a State 

12 or local unit of government, or other legal entity, in13 cluding a cooperative, private corporation, or limited 

14 liability company organized on a for-profit or not15 for-profit basis; 

16 ‘‘(2) have the legal capacity and authority to 

17 own and operate broadband facilities as proposed in 

18 its application, to enter into contracts, and to other19 wise comply with applicable Federal statutes and reg20 ulations; or 

21 ‘‘(3) be in an eligible rural community (as de22 fined in section 601(b)(2) of the Rural Electrification 

23 Act of 1936). 

24 ‘‘(c) INELIGIBLE GRANT PURPOSES.—A grant made 

25 under this section may not be used— 


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1 ‘‘(1) to finance the duplication of any broadband 

2 transmission service provided by another entity; or 

3 ‘‘(2) with respect to facilities, to provide local ex4 change telecommunications service to any person or 

5 entity receiving the service. 

6 ‘‘(d) PRIORITY.—In making grants under this section, 

7 the Secretary shall give priority to grants that will enhance 

8 community access to telemedicine and distance learning re9 sources. 

10 ‘‘(e) MATCHING CONTRIBUTIONS.— 

11 ‘‘(1) IN GENERAL.—To be eligible to receive a 

12 grant under subsection (a), a grant applicant shall 

13 provide a matching contribution of at least 15 percent 

14 of the grant amount requested, in funds and in-kind 

15 contributions in a proportion to be determined by the 

16 Secretary. 

17 ‘‘(2) LIMITATIONS.— 

18 ‘‘(A) Costs incurred by or on behalf of an 

19 applicant, for facilities, installed equipment, or 

20 other services rendered before submission of a 

21 completed application shall not be considered to 

22 be for an eligible grant purpose or a matching 

23 contribution. 

24 ‘‘(B) Any financial assistance from Federal 

25 sources shall not be considered to be a matching 


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1 contribution for purposes of this section, unless 

2 there is a Federal statutory exception specifically 

3 authorizing the Federal financial assistance to be 

4 so considered. 

5 ‘‘(f) AUTHORIZATION OF APPROPRIATIONS.—There are 

6 authorized to be appropriated to the Secretary to carry out 

7 this section not more than $25,000,000 for each of the fiscal 

8 years 2008 through 2012.’’. 

9 SEC. 6025. AGRICULTURE INNOVATION CENTER DEM10 ONSTRATION PROGRAM. 

11 Section 6402(i) of the Farm Security and Rural In12 vestment Act of 2002 (7 U.S.C. 1621 note; Public Law 107– 

13 171) is amended to read as follows: 

14 ‘‘(i) AUTHORIZATION OF APPROPRIATIONS.—There are 

15 authorized to be appropriated to the Secretary to carry out 

16 this section $6,000,000 for each of the fiscal years 2008 

17 through 2012.’’. 

18 SEC. 6026. RURAL FIREFIGHTERS AND EMERGENCY MED19 ICAL SERVICE ASSISTANCE PROGRAM. 

20 Section 6405 of the Farm Security and Rural Invest21 ment Act of 2002 (7 U.S.C. 1621 note) is amended to read 

22 as follows: 


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1 ‘‘SEC. 6405. RURAL FIREFIGHTERS AND EMERGENCY MED2 ICAL SERVICE ASSISTANCE PROGRAM. 

3 ‘‘(a) GRANTS.—The Secretary shall award grants to 

4 eligible entities to— 

5 ‘‘(1) enable the entities to provide for improved 

6 emergency medical services in rural areas; and 

7 ‘‘(2) pay the cost of training firefighters and 

8 emergency medical personnel in firefighting, emer9 gency medical practices, and responding to hazardous 

10 materials and bioagents in rural areas. 

11 ‘‘(b) ELIGIBILITY.—To be eligible to receive a grant 

12 under this section, an entity shall— 

13 ‘‘(1) be— 

14 ‘‘(A) a State emergency medical services of15 fice; 

16 ‘‘(B) a State emergency medical services as17 sociation; 

18 ‘‘(C) a State office of rural health; 

19 ‘‘(D) a local government entity; 

20 ‘‘(E) an Indian tribe (as defined in section 

21 4 of the Indian Self-Determination and Edu22 cation Assistance Act (25 U.S.C. 450b)); 

23 ‘‘(F) a State or local ambulance provider; 

24 or 

25 ‘‘(G) any other entity determined appro26 priate by the Secretary; and 


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1 ‘‘(2) prepare and submit to the Secretary an ap2 plication at such time, in such manner, and con3 taining such information as the Secretary may re4 quire, that includes— 

5 ‘‘(A) a description of the activities to be 

6 carried out under the grant; and 

7 ‘‘(B) an assurance that the applicant will 

8 comply with the matching requirement of sub9 section (e). 

10 ‘‘(c) USE OF FUNDS.—An entity shall use amounts re11 ceived under a grant made under subsection (a) only in 

12 rural areas to— 

13 ‘‘(1) hire or recruit emergency medical service 

14 personnel; 

15 ‘‘(2) recruit or retain volunteer emergency med16 ical service personnel; 

17 ‘‘(3) train emergency medical service personnel 

18 in emergency response, injury prevention, safety 

19 awareness, and other topics relevant to the delivery of 

20 emergency medical services; 

21 ‘‘(4) fund training to meet State or Federal cer22 tification requirements; 

23 ‘‘(5) provide training for firefighters and emer24 gency medical personnel for improvements to the 


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1 training facility, equipment, curricula, and per2 sonnel; 

3 ‘‘(6) develop new ways to educate emergency 

4 health care providers through the use of technology-en5 hanced educational methods (such as distance learn6 ing); 

7 ‘‘(7) acquire emergency medical services vehicles, 

8 including ambulances; 

9 ‘‘(8) acquire emergency medical services equip10 ment, including cardiac defibrillators; 

11 ‘‘(9) acquire personal protective equipment for 

12 emergency medical services personnel as required by 

13 the Occupational Safety and Health Administration; 

14 and 

15 ‘‘(10) educate the public concerning 

16 cardiopulmonary resuscitation (CPR), first aid, in17 jury prevention, safety awareness, illness prevention, 

18 and other related emergency preparedness topics. 

19 ‘‘(d) PREFERENCE.—In awarding grants under this 

20 section, the Secretary shall give preference to— 

21 ‘‘(1) applications that reflect a collaborative ef22 fort by 2 or more of the entities described in subpara23 graphs (A) through (G) of subsection (b)(1); and 

24 ‘‘(2) applications submitted by entities that in25 tend to use amounts provided under the grant to fund 


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1 activities described in any of paragraphs (1) through 

2 (5) of subsection (c). 

3 ‘‘(e) MATCHING REQUIREMENT.—The Secretary may 

4 not make a grant under this section to an entity unless 

5 the entity agrees that the entity will make available (di6 rectly or through contributions from other public or private 

7 entities) non-Federal contributions toward the activities to 

8 be carried out under the grant in an amount equal to 5 

9 percent of the amount received under the grant. 

10 ‘‘(f) EMERGENCY MEDICAL SERVICES.—In this sec11 tion, the term ‘emergency medical services’— 

12 ‘‘(1) means resources used by a qualified public 

13 or private nonprofit entity, or by any other entity 

14 recognized as qualified by the State involved, to de15 liver medical care outside of a medical facility under 

16 emergency conditions that occur as a result of— 

17 ‘‘(A) the condition of the patient; or 

18 ‘‘(B) a natural disaster or similar situa19 tion; and 

20 ‘‘(2) includes (compensated or volunteer) services 

21 delivered by an emergency medical services provider 

22 or other provider recognized by the State involved 

23 that is licensed or certified by the State as an emer24 gency medical technician or the equivalent (as deter25 mined by the State), a registered nurse, a physician 


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1 assistant, or a physician that provides services simi2 lar to services provided by such an emergency medical 

3 services provider. 

4 ‘‘(g) AUTHORIZATION OF APPROPRIATIONS.— 

5 ‘‘(1) IN GENERAL.—There are authorized to be 

6 appropriated to the Secretary to carry out this sec7 tion not more than $30,000,000 for each of fiscal 

8 years 2008 through 2012. 

9 ‘‘(2) ADMINISTRATIVE COSTS.—Not more than 10 

10 percent of the amount appropriated under paragraph 

11 (1) for a fiscal year may be used for administrative 

12 expenses.’’. 

13 SEC. 6027. VALUE-ADDED AGRICULTURAL MARKET DEVEL14 OPMENT PROGRAM. 

15 (a) DEFINITION OF MID-TIER VALUE CHAIN.—Section 

16 231(a) of the Agricultural Risk Protection Act of 2000 (7 

17 U.S.C. 1621 note; Public Law 106–224) is amended by add18 ing at the end the following: 

19 ‘‘(3) MID-TIER VALUE CHAIN.—The term ‘mid20 tier value chain’ means local and regional supply net21 works that link independent producers with businesses 

22 and cooperatives that market value-added agricul23 tural products in a manner that— 

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1 dium-sized family farms, as defined in regula2 tions pursuant to Section 302 of the Consoli3 dated Farm and Rural Development Act; and 

4 ‘‘(B) obtains agreement from the eligible ag5 ricultural producer group, farmer or rancher co6 operative, or majority-controlled producer-based 

7 business venture engaged in the value chain in 

8 the method for price determination.’’. 

9 (b) FUNDING; RESERVATION OF FUNDS; GRANT

10 AWARD CRITERIA.—Section 231(b) of such Act (7 U.S.C. 

11 1621 note; Public Law 106–224) is amended— 

12 (1) by striking paragraph (4) and inserting the 

13 following: 

14 ‘‘(4) FUNDING.—Not later than 30 days after the 

15 date of the enactment of this paragraph, on October 

16 1, 2008, and on each October 1 thereafter through Oc17 tober 1, 2012, of the funds of the Commodity Credit 

18 Corporation, the Secretary shall make available to 

19 carry out this subsection $30,000,000, to remain 

20 available until expended. 

21 ‘‘(5) RESERVATION OF FUNDS FOR PROJECTS TO

22 BENEFIT BEGINNING FARMERS AND RANCHERS OR SO23 CIALLY DISADVANTAGED FARMERS AND RANCHERS

24 AND MID-TIER VALUE CHAINS.— 


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1 ‘‘(A) IN GENERAL.—The Secretary shall re2 serve 10 percent of the amounts made available 

3 under paragraph (4) to fund projects that benefit 

4 beginning farmers and ranchers (as defined in 

5 section 343(a)(11) of the Consolidated Farm and 

6 Rural Development Act) or socially disadvan7 taged farmers and ranchers (as defined in sec8 tion 355(e) of such Act). 

9 ‘‘(B) MID-TIER VALUE CHAINS.—The Sec10 retary shall reserve 10 percent of the amounts 

11 made available under paragraph (4) to fund ap12 plications of eligible entities described in para13 graph (1) that propose to develop mid-tier value 

14 chains. 

15 ‘‘(C) UNOBLIGATED AMOUNTS.—Any 

16 amounts in the reserves established under sub17 paragraphs (A) and (B) that are not obligated 

18 by June 30 of the fiscal year shall be available 

19 to the Secretary to make grants under this sec20 tion to eligible entities in any State, as deter21 mined by the Secretary.’’; and 

22 (2) by adding at the end the following: 

23 ‘‘(6) CRITERIA TO BE APPLIED IN AWARDING

24 GRANTS.—In awarding grants under this section, the 

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1 ably when compared to other applications to the ex2 tent that the project contributes to increasing oppor3 tunities for operators of small and medium-size farms 

4 and ranches structured as family farms (as defined in 

5 regulations prescribed under section 302 of the Con6 solidated Farm and Rural Development Act).’’. 

7 SEC. 6028. ASSISTANCE FOR RURAL PUBLIC TELEVISION 

8 STATIONS. 

9 Section 2333 of the Food, Agriculture, Conservation 

10 and Trade Act of 1990 (7 U.S.C. Sec. 950aaa-2) is amended 

11 by adding at the end the following: 

12 ‘‘(j) DIGITAL SERVICE TRANSITION ASSISTANCE FOR

13 PUBLIC TELEVISION STATIONS.—The Secretary may pro14 vide grants under this section to noncommercial education 

15 television broadcast stations that serve rural areas for the 

16 purposes of developing digital facilities, equipment, and in17 frastructure to enhance digital services to rural areas.’’. 

18 SEC. 6029. TELEMEDICINE AND DISTANCE LEARNING SERV19 ICES IN RURAL AREAS. 

20 (a) AUTHORIZATION OF APPROPRIATIONS.—Section 

21 2335A of the Food, Agriculture, Conservation and Trade 

22 Act of 1990 (7 U.S.C. 950aaa-5) is amended by striking 

23 ‘‘2007’’ and inserting ‘‘2012’’. 


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1 (b) CONFORMING AMENDMENT.—Section 1(b) of Public 

2 Law 102–551 (7 U.S.C. 950aaa note) is amended by strik3 ing ‘‘2007’’ and inserting ‘‘2012’’. 

4 SEC. 6030. GUARANTEES FOR BONDS AND NOTES ISSUED 

5 FOR ELECTRIFICATION OR TELEPHONE PUR6 POSES. 

7 Section 313A(f) of the Rural Electrification Act of 

8 1936 (7 U.S.C. 940c-1(f)) is amended by striking ‘‘2007’’ 

9 and inserting ‘‘2012’’. 

10 SEC. 6031. COMPREHENSIVE RURAL BROADBAND STRAT11 EGY. 

12 Not later than 180 days after the date of the enactment 

13 of this Act, the Secretary of Agriculture shall submit to the 

14 President, the Committee on Agriculture of the House of 

15 Representatives, and the Committee on Agriculture, Nutri16 tion, and Forestry of the Senate a report describing a com17 prehensive rural broadband strategy that includes— 

18 (1) recommendations— 

19 (A) to promote interagency coordination of 

20 Federal agencies in regards to policies, proce21 dures, and targeted resources, and to improve 

22 and streamline the polices, programs, and serv23 ices; 

24 (B) to coordinate among Federal agencies 

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1 tiatives that could be of value to rural broadband 

2 development; 

3 (C) to address both short- and long-term so4 lutions and needs assessments for a rapid build5 out of rural broadband solutions and applica6 tions for Federal, State, regional, and local gov7 ernment policy makers; 

8 (D) to identify how specific Federal agency 

9 programs and resources can best respond to 

10 rural broadband requirements and overcome ob11 stacles that currently impede rural broadband 

12 deployment; and 

13 (E) to promote successful model deploy14 ments and appropriate technologies being used 

15 in rural areas so that State, regional, and local 

16 governments can benefit from the cataloging and 

17 successes of other State, regional, and local gov18 ernments; and 

19 (2) a description of goals and timeframes to 

20 achieve the strategic plans and visions identified in 

21 the report. 

22 SEC. 6032. STUDY OF RAILROAD ISSUES. 

23 (a) IN GENERAL.—The Secretary of Agriculture, in co24 ordination with the Secretary of Transportation, shall con25 duct a study of railroad issues regarding the movement of 


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1 agricultural products, domestically produced renewable 

2 fuels and domestically produced resources for the production 

3 of electricity for rural America, and economic development 

4 in rural America. The study shall include an examination 

5 of the following: 

6 (1) The importance of freight railroads to— 

7 (A) the delivery of equipment, seed, fer8 tilizer, and other such products important to the 

9 development of agricultural commodities and 

10 products; 

11 (B) the movement of agricultural commod12 ities and products to market; 

13 (C) the delivery of ethanol and other renew14 able fuels; 

15 (D) the delivery of domestically produced 

16 resources for use in the generation of electricity 

17 for rural America; 

18 (E) the location of grain elevators, ethanol 

19 plants, and other facilities; 

20 (F) the development of manufacturing fa21 cilities in rural America; and 

22 (G) the vitality and economic development 

23 of rural communities. 

24 (2) The sufficiency in rural America of railroad 

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1 road system, the reliability of rail service, and the 

2 reasonableness of railroad prices. 

3 (3) The accessibility to rail customers in rural 

4 America of Federal processes for the resolution of rail 

5 customer grievances with the railroads. 

6 (b) REPORT TO THE CONGRESS.—Within 9 months 

7 after the date of the enactment of this Act, the Secretary 

8 of Agriculture shall submit to the Congress a report that 

9 contains the results of the study required by subsection (a), 

10 and the recommendations of the Secretary for new Federal 

11 policies to address any problems identified by the study. 

12 TITLE VII—RESEARCH 

Subtitle A—General Provisions 

Sec. 7101. Definitions. 

Sec. 7102. Budget submission and funding. 

Sec. 7103. Additional purposes of agricultural research and extension. 

Sec. 7104. National agricultural research program office. 

Sec. 7105. Establishment of competitive grant programs under the National Institute for Food and Agriculture. 

Sec. 7106. Merging of IFAFS and NRI. 

Sec. 7107. Capacity building grants for ASCARR institutions. 

Sec. 7108. Establishment of research laboratories for animal diseases. 

Sec. 7109. Grazinglands research laboratory. 

Sec. 7110. Researcher training. 

Sec. 7111. Fort Reno Science Park research facility. 

Sec. 7112. Assessing the nutritional composition of beef products. 

Sec. 7113. Sense of Congress regarding funding for human nutrition research. 

Subtitle B—National Agricultural Research, Extension, and Teaching Policy 

Act of 1977 

Sec. 7201. Advisory board. 

Sec. 7202. Advisory board termination. 

Sec. 7203. Renewable energy committee. 

Sec. 7204. Specialty crop committee report. 

Sec. 7205. Inclusion of UDC in grants and fellowships for food and agricultural 

sciences education. 

Sec. 7206. Grants and fellowships for food and agricultural sciences education. 


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Sec. 7207. Grants for research on production and marketing of alcohols and industrial hydrocarbons from agricultural commodities and forest 

products. 

Sec. 7208. Policy research centers. 

Sec. 7209. Human nutrition intervention and health promotion research program. 

Sec. 7210. Pilot research program to combine medical and agricultural research. 

Sec. 7211. Nutrition education program. 

Sec. 7212. Continuing animal health and disease research programs. 

Sec. 7213. Cooperation among eligible institutions. 

Sec. 7214. Appropriations for research on national or regional problems. 

Sec. 7215. Authorization level of extension at 1890 land-grant colleges. 

Sec. 7216. Authorization level for agricultural research at 1890 land-grant colleges. 

Sec. 7217. Grants to upgrade agriculture and food sciences facilities at the District of Columbia Land Grant University. 

Sec. 7218. Grants to upgrade agricultural and food sciences facilities at 1890 

land-grant colleges, including Tuskegee University. 

Sec. 7219. National research and training virtual centers. 

Sec. 7220. Matching funds requirement for research and extension activities of 

1890 institutions. 

Sec. 7221. Hispanic-serving institutions. 

Sec. 7222. Hispanic-serving agricultural colleges and universities. 

Sec. 7223. International agricultural research, extension, and education. 

Sec. 7224. Competitive grants for international agricultural science and education programs. 

Sec. 7225. Limitation on indirect costs for agricultural research, education, and 

extension programs. 

Sec. 7226. Research equipment grants. 

Sec. 7227. University research. 

Sec. 7228. Extension service. 

Sec. 7229. Supplemental and alternative crops. 

Sec. 7230. Aquaculture research facilities. 

Sec. 7231. Rangeland research. 

Sec. 7232. Special authorization for biosecurity planning and response. 

Sec. 7233. Resident instruction and distance education grants program for insular area institutions of higher education. 

Subtitle C—Food, Agriculture, Conservation, and Trade Act of 1990 

Sec. 7301. National genetics resources program. 

Sec. 7302. National agricultural weather information system. 

Sec. 7303. Partnerships. 

Sec. 7304. Aflatoxin research and extension. 

Sec. 7305. High-priority research and extension areas. 

Sec. 7306. High-priority research and extension initiatives. 

Sec. 7307. Nutrient management research and extension initiative. 

Sec. 7308. Agricultural telecommunications program. 

Sec. 7309. Assistive technology program for farmers with disabilities. 

Sec. 7310. Organic research. 

Sec. 7311. National rural information center clearinghouse. 

Sec. 7312. New era rural technology program. 


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Subtitle D—Agricultural Research, Extension, and Education Reform Act of 

1998 

Sec. 7401. Partnerships for high-value agricultural product quality research. 

Sec. 7402. Precision agriculture. 

Sec. 7403. Biobased products. 

Sec. 7404. Thomas Jefferson initiative for crop diversification. 

Sec. 7405. Integrated research, education, and extension competitive grants program. 

Sec. 7406. Fusarium graminearum grants. 

Sec. 7407. Bovine Johne’s disease control program. 

Sec. 7408. Grants for youth organizations. 

Sec. 7409. Agricultural biotechnology research and development for developing 

countries. 

Sec. 7410. Agricultural bioenergy and biobased products research initiative. 

Sec. 7411. Specialty crop research initiative. 

Sec. 7412. Office of pest management policy. 

Subtitle E—Other Laws 

Sec. 7501. Critical agricultural materials act. 

Sec. 7502. Equity in Educational Land-Grant Status Act of 1994. 

Sec. 7503. Agricultural experiment station Research Facilities Act. 

Sec. 7504. National Agricultural Research, Extension, and Teaching Policy Act 

Amendments of 1985. 

Sec. 7505. Competitive, Special, and Facilities Research Grant Act (national research initiative). 

Sec. 7506. Agricultural Risk Protection Act of 2000 (carbon cycle research). 

Sec. 7507. Renewable Resources Extension Act of 1978. 

Sec. 7508. National Aquaculture Act of 1980. 

Sec. 7509. Construction of a Chinese Garden at the National Arboretum. 

Sec. 7510. Public education regarding use of biotechnology in producing food for 

human consumption. 

Sec. 7511. Fresh cut produce safety grants. 

Sec. 7512. UDC/EFNEP Eligibility. 

Sec. 7513. Smith-Lever Act. 

Sec. 7514. Hatch Act of 1987. 

Subtitle F—Additional Provisions 

Sec. 7601. Merit review of extension and educational grants. 

Sec. 7602. Review of plan of work requirements. 

Sec. 7603. Multistate and integration funding. 

Sec. 7604. Expanded food and nutrition education program. 

Sec. 7605. Grants to 1890 schools to expand extension capacity. 

Sec. 7606. Borlaug international agricultural science and technology fellowship 

program. 

Sec. 7607. Support for research regarding diseases of wheat, triticale, and barley 

caused by fusarium graminearum or by tilletia indica. 

Sec. 7608. Cost Recovery. 

Sec. 7609. Organic Food and Agricultural Systems Funding. 


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1 Subtitle A—General Provisions 

2 SEC. 7101. DEFINITIONS. 

3 For purposes of this title: 

4 (1) CAPACITY PROGRAM.—The term ‘‘capacity 

5 program’’ means the capacity program in subpara6 graph (M) and each of the following agricultural re7 search, extension, education, and related programs for 

8 which the Secretary has administrative or other au9 thority as of the day before the date of enactment of 

10 this Act: 

11 (A) Each program providing funding to 

12 any of the 1994 institutions under sections 533, 

13 534(a), and 535 of the Equity in Educational 

14 Land-Grant Status Act of 1994 (Public Law 

15 103–382; 7 U.S.C. 301 note) (commonly known 

16 as financial assistance, technical assistance, and 

17 endowments to tribal colleges and the Navajo 

18 Community College). 

19 (B) The program established under section 

20 536 of the Equity in Educational Land-Grant 

21 Status Act of 1994 (Public Law 103–382; 7 

22 U.S.C. 301 note) providing research grants for 

23 1994 institutions. 


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1 (C) Each program established under sub2 sections (b), (c), and (d) of section 3 of the 

3 Smith-Lever Act (7 U.S.C. 343). 

4 (D) Each program established under the 

5 Hatch Act of 1887 (7 U.S.C. 361a et seq.). 

6 (E) Each program established under section 

7 1417(b)(4) of the National Agricultural Re8 search, Extension, and Teaching Policy Act of 

9 1977 (7 U.S.C. 3152(b)(4)), including grant pro10 grams under that section (commonly known as 

11 the 1890 Institution Teaching and Research Ca12 pacity Building Grants Program). 

13 (F) The animal health and disease research 

14 program established under subtitle E of the Na15 tional Agricultural Research, Extension, and 

16 Teaching Policy Act of 1977 (7 U.S.C. 3191 et 

17 seq.). 

18 (G) The program established under section 

19 1445 of the National Agricultural Research, Ex20 tension, and Teaching Policy Act of 1977 (7 

21 U.S.C. 3222) (commonly known as the Evans22 Allen Program). 

23 (H) The program providing grants to up24 grade agricultural and food sciences facilities at 

25 1890 Institutions established under section 1447 


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1 of the National Agricultural Research, Exten2 sion, and Teaching Policy Act of 1977 (7 U.S.C. 

3 3222b). 

4 (I) The program providing distance edu5 cation grants for insular areas established under 

6 section 1490 of the National Agricultural Re7 search, Extension, and Teaching Policy Act of 

8 1977 (7 U.S.C. 3362). 

9 (J) The program providing resident instruc10 tion grants for insular areas established under 

11 section 1491 of the National Agricultural Re12 search, Extension, and Teaching Policy Act of 

13 1977 (7 U.S.C. 3363). 

14 (K) Each research and development and re15 lated program established under Public Law 87– 

16 788 (commonly known as the McIntire-Stennis 

17 Cooperative Forestry Act; 16 U.S.C. 582a et 

18 seq.). 

19 (L) Each program established under the Re20 newable Resources Extension Act of 1978 (16 

21 U.S.C. 1671 et seq.). 

22 (M) The capacity building grant program 

23 for ASCARR Institutions established under this 

24 Act. 


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1 (N) Such other programs or parts of pro2 grams as determined appropriate by the Sec3 retary. 

4 (O) The program providing competitive ex5 tension grants to eligible 1994 institutions under 

6 section 3(b)(3) of the Smith-Lever Act (7 U.S.C. 

7 343(b)(3)). 

8 (2) COMPETITIVE PROGRAMS.—The term ‘‘com9 petitive programs’’ means the competitive program in 

10 subparagraph (N) and each of the following agricul11 tural research, extension, education, and related pro12 grams for which the Secretary has administrative or 

13 other authority as of the day before the date of enact14 ment of this Act: 

15 (A) Competitive grant programs authorized 

16 or otherwise administered by the Department of 

17 Agriculture under the terms of section 2(b) of the 

18 Competitive, Special and Facilities Research 

19 Grant (7 U.S.C. 450i). 

20 (B) Institution Challenge Grants, adminis21 tered under 1417(j) of the National Agricultural 

22 Research, Extension, and Teaching Policy Act of 

23 1977, as amended (7 U.S.C. 3152(j)). 

24 (C) Grants and related authorities author25 ized or otherwise administered by the Secretary 


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1 of Agriculture under section 1417(b)(5) of the 

2 National Agricultural Research, Extension, and 

3 Teaching Policy Act of 1977, as amended (7 

4 U.S.C. 3152(b)(5)) (commonly known as the 

5 Higher Education Multicultural Scholars Pro6 gram). 

7 (D) Programs authorized or otherwise ad8 ministered under section 1455 of the National 

9 Agricultural Research, Extension, and Teaching 

10 Policy Act of 1977 (7 U.S.C. 3241(c)) (com11 monly known as educational grant programs for 

12 Hispanic-serving institutions). 

13 (E) Integrated research, education, or exten14 sion programs authorized or otherwise adminis15 tered under section 406 of the Agricultural Re16 search, Extension, and Education Reform Act of 

17 1998 (7 U.S.C. 7626) except as provided under 

18 subsection (a)(14). 

19 (F) Sustainable Agriculture Research and 

20 Education (7 U.S.C. 5811). 

21 (G) Organic Research and Extension Ini22 tiative (7 U.S.C. 5925b). 

23 (H) Higher Education Challenge Grants (7 

24 U.S.C. 3152(b)(1)). 


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1 (I) Food and Agriculture Sciences National 

2 Needs Graduate and Postgraduate Fellowship 

3 Grants (7 U.S.C. 3152(b)(6)). 

4 (J) International Science and Education 

5 Competitive Grants (7 U.S.C. 3292b). 

6 (K) Community Food Projects Competitive 

7 Grants (7 U.S.C. 2034). 

8 (L) Risk Management Education (7 U.S.C. 

9 1524). 

10 (M) High Priority Research and Extension 

11 Areas (7 U.S.C. 5925). 

12 (N) Such other programs or parts of pro13 grams as determined appropriate by the Sec14 retary. 

15 (3) CAPACITY PROGRAM CRITICAL BASE FUND16 ING.—The term ‘‘capacity program critical base fund17 ing’’ means the aggregate amount of Federal funds 

18 made available for all or individual capacity pro19 grams for fiscal year 2007, as appropriate. 

20 (4) COMPETITIVE PROGRAM CRITICAL BASE

21 FUNDING.—The term ‘‘competitive program critical 

22 base funding’’ means the aggregate amount of Federal 

23 funds made available for all or individual competitive 

24 programs for fiscal year 2007, as appropriate. 

25 (5) ASCARR INSTITUTION.— 


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1 (A) IN GENERAL.—The term ‘‘ASCARR In2 stitution’’ means a public college or university 

3 offering a baccalaureate or higher degree in the 

4 study of agriculture. 

5 (B) EXCLUSIONS.—The term ‘‘ASCARR In6 stitution’’ does not include Hispanic-serving ag7 ricultural colleges or any institution designated 

8 under— 

9 (i) the Act of July 2, 1862 (commonly 

10 known as the ‘‘First Morrill Act’’; 7 U.S.C. 

11 301 et seq.); 

12 (ii) the Act of August 30, 1890 (com13 monly known as the ‘‘Second Morrill Act’’; 

14 7 U.S.C. 321 et seq.); or 

15 (iii) the Equity in Educational Land16 Grant Status Act of 1994 (Public Law 103– 

17 382; 7 U.S.C. 301 note). 

18 (6) SECRETARY.—The term ‘‘Secretary’’ means 

19 the Secretary of Agriculture. 

20 (7) DIRECTORS.—The term ‘‘Directors’’ refers to 

21 those directors appointed under section 7104. 

22 (8) UNDER SECRETARY.—The term ‘‘Under Sec23 retary’’ means the Under Secretary of Agriculture for 

24 Research, Education, and Economics. 


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1 (9) HISPANIC-SERVING AGRICULTURAL COL2 LEGE.—The term ‘‘Hispanic-serving agricultural col3 lege’’ means a college or university that— 

4 (A) qualifies as a ‘‘Hispanic-serving insti5 tution’’ as defined in section 502(a)(5) of the 

6 Higher Education Act of 1965 (20 U.S.C. 

7 1101a(a)(5)); and 

8 (B) offers a baccalaureate degree program 

9 in an agricultural or food science-related dis10 cipline. 

11 SEC. 7102. BUDGET SUBMISSION AND FUNDING. 

12 (a) BUDGET REQUEST.—The President shall submit to 

13 Congress, together with the annual budget submission of the 

14 President, a single budget line item reflecting the total 

15 amount requested by the President for funding for capacity 

16 programs, and a single budget line item reflecting the total 

17 amount requested by the President for funding for competi18 tive programs for that fiscal year and for the previous 5 

19 fiscal years. 

20 (b) CAPACITY PROGRAM REQUEST.— 

21 (1) CRITICAL BASE FUNDING.—Up to the 

22 amount of the capacity program critical base funding 

23 level, any funds requested for capacity programs in 

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1 ities established by the Under Secretary in conjunc2 tion with the Directors. 

3 (2) ADDITIONAL FUNDING.—Of the funds re4 quested for capacity programs in excess of the capac5 ity program critical base funding level, budgetary em6 phasis should be placed on enhancing funding for the 

7 1890, 1994, ASCARR Institutions, Hispanic-serving 

8 agricultural colleges, and small 1862 institutions. 

9 (c) COMPETITIVE PROGRAM REQUEST.— 

10 (1) CRITICAL BASE FUNDING.—Up to the 

11 amount of the competitive program critical base fund12 ing level, any funds requested for competitive pro13 grams in the budget submission single line item shall 

14 be apportioned among the competitive programs based 

15 on priorities established by the Under Secretary in 

16 conjunction with the Directors. 

17 (2) ADDITIONAL FUNDING.—Of the funds re18 quested for competitive programs in excess of the com19 petitive program critical base funding level, budg20 etary emphasis shall be placed on enhancing funding 

21 for emerging problems and their solutions. 

22 (d) FUNDING.— 

23 (1) CRITICAL BASE FUNDING.—Up to the total 

24 aggregate amount of the capacity program critical 

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1 ical base funding level, funds appropriated or other2 wise made available shall be apportioned among each 

3 of the capacity programs and the competitive pro4 grams based on priorities established by the Under 

5 Secretary in conjunction with the Directors. 

6 (2) ADDITIONAL FUNDING.— 

7 (A) CAPACITY FUNDING.—Of the funds ap8 propriated or otherwise made available for ca9 pacity programs in excess of the capacity pro10 gram critical base funding level, funding empha11 sis should be placed on enhancing funding for 

12 the 1890, 1994, ASCARR Institutions, Hispanic13 serving agricultural colleges, and small 1862 in14 stitutions. 

15 (B) COMPETITIVE FUNDING.—Of the funds 

16 appropriated or otherwise made available for 

17 competitive programs in excess of the competitive 

18 program critical base funding level, budgetary 

19 emphasis shall be placed on enhancing funding 

20 for emerging problems and solutions. 

21 (e) AUTHORIZATION OF APPROPRIATIONS.—There are 

22 authorized to be appropriated such sums as necessary to 

23 carry out this section. 

24 (f) COMPETITIVE PROGRAMS.—For the purposes of this 

25 section, the term ‘‘competitive programs’’ includes only 


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1 those programs for which annual appropriations are re2 quested in the President’s budget. 

3 SEC. 7103. ADDITIONAL PURPOSES OF AGRICULTURAL RE4 SEARCH AND EXTENSION. 

5 Section 1403 of the National Agricultural Research, 

6 Extension, and Teaching Policy Act of 1977 (7 U.S.C. 

7 3102) is amended— 

8 (1) in paragraph (6), by striking ‘‘and’’ at the 

9 end; 

10 (2) in paragraph (7), by striking the period and 

11 inserting a semicolon; and 

12 (3) by adding after paragraph (7) the following: 

13 ‘‘(8) to integrate and organize the administra14 tion of the agricultural research, extension, education, 

15 and related programs administered by the Secretary 

16 of Agriculture to respond to 21st century challenges 

17 and continue to meet the needs of society from a local, 

18 tribal, State, national, and international perspective; 

19 ‘‘(9) to minimize duplication, and maximize co20 ordination and integration, among all of the pro21 grams at all levels through a solution-based approach; 

22 and 

23 ‘‘(10) to position the agricultural research, exten24 sion, education, and related programs system to inVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00462 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 crease the contribution of the system to society 

2 through the expansion of the portfolio of the system.’’. 

3 SEC. 7104. NATIONAL AGRICULTURAL RESEARCH PROGRAM 

4 OFFICE. 

5 (a) ESTABLISHMENT.—The Under Secretary shall or6 ganize within the office of the Under Secretary 6 research 

7 Program Offices to be known collectively as the National 

8 Agricultural Research Program Office, which shall coordi9 nate the programs and activities of the research agencies 

10 within the mission area in an integrated, multidisci11 plinary, interdisciplinary, interagency, and interinstitu12 tional manner, to the maximum extent practicable. The 

13 Program Offices within the National Agricultural Research 

14 Program Office are as follows: 

15 (1) Renewable energy, natural resources, and en16 vironment. 

17 (2) Food safety, nutrition, and health. 

18 (3) Plant health and production. 

19 (4) Animal health and production and animal 

20 products. 

21 (5) Agriculture systems and technology. 

22 (6) Agriculture economics and rural commu23 nities. 

24 (b) QUALIFICATIONS OF DIRECTORS.— 


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1 (1) APPOINTMENT AND CLASSIFICATION.—The 

2 Under Secretary shall appoint a Director for each 

3 Program Office as a senior level position in the com4 petitive service. 

5 (2) QUALIFICATIONS.—To be eligible for appoint6 ment as a Director, an individual shall have— 

7 (A) conducted outstanding research, edu8 cation, or extension in the field of agriculture or 

9 forestry; 

10 (B) earned a doctoral level degree at an in11 stitution of higher education (as defined in sec12 tion 101 of Public Law 89–329 (20 U.S.C. 

13 1001)); and 

14 (C) met qualification standards prescribed 

15 by the Director of the Office of Personnel Man16 agement for appointment to a senior level posi17 tion of the competitive service. 

18 (c) DUTIES OF DIRECTORS.—Except as otherwise pro19 vided in this Act, each Director as appointed by the Sec20 retary shall— 

21 (1) formulate programs in consultation with the 

22 National Agricultural Research, Extension, Edu23 cation, and Economics Advisory Board (7 U.S.C. 

24 3123) (hereinafter referred to as the ‘‘Board’’); 


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1 (2) assess strategic workforce needs of research, 

2 education, extension, and other fields; 

3 (3) cooperate with the Board to plan programs 

4 that assist in meeting the future personnel needs of 

5 disciplines and programs; 

6 (4) develop strategic planning for department7 wide research, education, extension, and related ac8 tivities; 

9 (5) establish department-wide priorities for re10 search, education, extension, and related programs; 

11 (6) communicate with research, education, and 

12 extension beneficiaries to identify their needs; and 

13 (7) perform such other duties deemed necessary 

14 by the Secretary. 

15 (d) ADMINISTRATION.—The Under Secretary, in con16 junction with the Directors and in consultation with the 

17 Board, shall direct and coordinate research, education, and 

18 extension programs within the relevant agencies of the De19 partment of Agriculture to focus those programs, and the 

20 participants, grantees, and other beneficiaries of those pro21 grams, on— 

22 (1) understanding important problem areas and 

23 opportunities relating to a program; 

24 (2) discovering and implementing solutions to 

25 address those problem areas; 


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1 (3) exploring other opportunities provided under 

2 the programs; and 

3 (4) national, regional and local priorities. 

4 (e) PROGRAM INTEGRATION AND COORDINATION.— 

5 (1) IN GENERAL.—In accordance with applicable 

6 law (including regulations), the Under Secretary, in 

7 coordination with the Director of each Program Office 

8 and taking into consideration the advice of the Board, 

9 shall ensure, to the maximum extent practicable, that 

10 the research, education, and extension programs are 

11 administered, funded, and carried out— 

12 (A) in an integrated, multidisciplinary, 

13 interdisciplinary, interagency, and interinstitu14 tional manner that ensures— 

15 (i) the most efficient collaborative use 

16 of resources; and 

17 (ii) the focus of all resources and ac18 tivities on strategic, priority, problem, op19 portunity, and solution areas identified by 

20 the Under Secretary and the Directors, tak21 ing into consideration the advice of the 

22 Board; and 

23 (B) among applicable participants, grant24 ees, and beneficiaries, in a coordinated manner 

25 that encourages and ensures— 


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1 (i) the most efficient collaborative ap2 plication of resources; and 

3 (ii) the focus of all resources and ac4 tivities on strategic, priority, problem, op5 portunity, and solution areas on a local, 

6 State, tribal, regional, national, and inter7 national basis, as the Under Secretary and 

8 each Director, taking into consideration the 

9 advice of the Board, determine to be appro10 priate. 

11 (2) SCOPE.—Each Director, in consultation with 

12 the Under Secretary and the Board, shall ensure, 

13 through the integration and coordination under para14 graph (1), that opportunities are maximized with re15 spect to— 

16 (A) the use of appropriate authorities, agen17 cies, institutions, disciplines, and activities; and 

18 (B) the inclusion of appropriate partici19 pants and other beneficiaries in those activities, 

20 including intramural, extramural, Government, 

21 university, extension, and international, as de22 termined by the Under Secretary. 

23 (f) FUNDING.—The Under Secretary shall fund each 

24 Program Office through the appropriations available to the 

25 various agencies within the mission area. The aggregate 


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1 staff for all Program Offices shall not exceed 30 full-time 

2 equivalent positions and shall be filled by current full-time 

3 equivalent positions. 

4 (g) ORGANIZATION.—The Under Secretary shall inte5 grate leadership functions of the national program staff of 

6 the research agencies into the National Agricultural Re7 search Program Office in such form as required to ensure 

8 that the Directors of the Program Offices are the primary 

9 program leaders for the mission areas of the integrated 

10 agencies and that administrative duplication does not 

11 occur. 

12 (h) PRIORITIZING FEDERAL RESEARCH ACTIVITIES

13 FOR SPECIALTY CROPS.—The Under Secretary, in coordi14 nation with the Directors of relevant Program Offices, 

15 shall— 

16 (1) coordinate with and assist producers and or17 ganizations comprised of program beneficiaries work18 ing together to develop and implement applied re19 search and extension related to the United States spe20 cialty crop industry; 

21 (2) facilitate in the delivery of information to 

22 beneficiaries in a user-friendly form, in addition to 

23 a standard research publication, and reward pro24 viders for their abilities to deliver information to both 

25 the scientific community and the end-user; and 


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1 (3) ensure coordination among research initia2 tives funded and sponsored by the Department of Ag3 riculture. 

4 SEC. 7105. ESTABLISHMENT OF COMPETITIVE GRANT PRO5 GRAMS UNDER THE NATIONAL INSTITUTE 

6 FOR FOOD AND AGRICULTURE. 

7 Any office established to administer competitive pro8 grams under section 7101(b)(2), including the Agricultural 

9 Bioenergy and Biobased Products Research Initiative, the 

10 Specialty Crop Research Initiative, and Fresh Cut Produce 

11 Safety Grants created by this Act, shall be referred to as 

12 the National Institute of Food and Agriculture. 

13 SEC. 7106. MERGING OF IFAFS AND NRI. 

14 (a) AMENDMENT.—Subsection (b) of the Competitive, 

15 Special, and Facilities Research Grant Act (7 U.S.C. 

16 450i(b)) is amended to read as follows: 

17 ‘‘(b) COMPETITIVE GRANT PROGRAMS.— 

18 ‘‘(1) COMPETITIVE BASIS.—The Secretary of Ag19 riculture is authorized to make competitive grants for 

20 the purposes and priorities established under this sub21 section. 

22 ‘‘(2) TERM.—The term of a competitive grant 

23 made under this subsection may not exceed 10 years. 

24 ‘‘(3) GENERAL ADMINISTRATION.—In making 

25 grants under this subsection, the Secretary shall— 


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1 ‘‘(A) seek and accept proposals for grants; 

2 ‘‘(B) determine the relevance and merit of 

3 proposals through a system of peer and merit re4 view in accordance with section 103 of the Agri5 cultural Research, Extension, and Education Re6 form Act of 1998 (7 U.S.C. 7613); 

7 ‘‘(C) award grants on the basis of merit, 

8 quality, and relevance to advancing the purposes 

9 and priorities established under paragraphs (8) 

10 and (12) of this subsection; 

11 ‘‘(D) solicit and consider input from per12 sons who conduct or use agricultural research, 

13 extension, or education in accordance with sec14 tion 102(b) of the Agricultural Research, Exten15 sion, and Education Reform Act of 1998 (7 

16 U.S.C. 7612(b)); and 

17 ‘‘(E) in seeking proposals for grants under 

18 this subsection and in performing peer review 

19 evaluations of such proposals, seek the widest 

20 participation of qualified scientists in the Fed21 eral Government, colleges and universities, State 

22 agricultural experiment stations, and the private 

23 sector. 

24 ‘‘(4) ELIGIBLE ENTITIES.—The Secretary may 

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1 tural experiment stations, all colleges and univer2 sities, university research foundations, other research 

3 institutions and organizations, Federal agencies, na4 tional laboratories, private organizations or corpora5 tions, and individuals, for research to further the pro6 grams of the Department of Agriculture. 

7 ‘‘(5) ADMINISTRATIVE COSTS.—Not more than 4 

8 percent of funds made available pursuant to this sub9 section may be retained by the Secretary to pay ad10 ministrative costs incurred by the Secretary in car11 rying out this subsection. 

12 ‘‘(6) CONSTRUCTION PROHIBITED.—Funds made 

13 available for grants under this subsection shall not be 

14 used for the construction of a new building or facility 

15 or the acquisition, expansion, remodeling, or alter16 ation of an existing building or facility (including 

17 site grading and improvement and architect fees). 

18 ‘‘(7) PURPOSES.—The purposes of the programs 

19 established under paragraph (8) shall reflect the pur20 poses and additional purposes of agricultural re21 search, extension, and education reflected in sections 

22 1402 and 1403 of the National Agricultural Research, 

23 Extension, and Teaching Policy Act of 1977 (7 U.S.C. 

24 3101 and 3102). 


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1 ‘‘(8) BASIC AND APPLIED RESEARCH PRO2 GRAMS.—The Secretary shall establish 2 distinct pro3 grams of agricultural research, one to fund funda4 mental, basic research pursuant to paragraph (9) to 

5 be known as the National Research Initiative and one 

6 to fund applied, integrated research, education, and 

7 extension pursuant to paragraph (10) to be known as 

8 the Initiative for Future Agricultural and Food Sys9 tems. 

10 ‘‘(9) NATIONAL RESEARCH INITIATIVE.— 

11 ‘‘(A) ALLOCATION.—The allocation of funds 

12 to the National Research Initiative shall be as 

13 follows: 

14 ‘‘(i) Not less than 30 percent shall be 

15 available to make grants for research to be 

16 conducted by multidisciplinary teams. 

17 ‘‘(ii) Not less than 20 percent shall be 

18 available to make grants for research to be 

19 conducted by persons conducting mission20 linked systems research. 

21 ‘‘(iii) Not less than 10 percent shall be 

22 available to make grants under subpara23 graphs (D), (F), and (G) of paragraph (13) 

24 for research and education strengthening 

25 and research opportunity. 


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1 ‘‘(iv) Not more than 2 percent may be 

2 used for equipment grants under paragraph 

3 (13)(D). 

4 ‘‘(B) MATCHING FUNDS.—Except as pro5 vided in this subparagraph, the Secretary may 

6 not take the offer or availability of matching 

7 funds into consideration in making a grant 

8 under this subsection. In the case of grants under 

9 paragraph (13)(D), the amount provided under 

10 this subsection may not exceed 50 percent of the 

11 cost of the special research equipment or other 

12 equipment acquired. The Secretary may waive 

13 all or part of the matching requirement under 

14 this subparagraph in the case of a college, uni15 versity, or research foundation maintained by a 

16 college or university that ranks in the lowest one17 third of such colleges, universities, and research 

18 foundations on the basis of Federal research 

19 funds received if the equipment to be acquired 

20 costs not more than $25,000 and has multiple 

21 uses within a single research project or is usable 

22 in more than 1 research project. 

23 ‘‘(10) INITIATIVE FOR FUTURE AGRICULTURAL

24 AND FOOD SYSTEMS MATCHING FUNDS.—As a condi25 tion of making a grant under this paragraph, the 


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1 Secretary shall require the funding of the grant be 

2 matched with equal matching funds from a non-Fed3 eral source if the grant is— 

4 ‘‘(A) for applied research that is com5 modity-specific; and 

6 ‘‘(B) not of national scope. 

7 ‘‘(11) RESEARCH PRIORITIES.—The research pri8 orities for the programs established in paragraph (8) 

9 shall be consistent with the priorities in effect for the 

10 National Research Initiative (7 U.S.C. 450i(b)) and 

11 Initiative for Future Agricultural and Food Systems 

12 (7 U.S.C. 7621) on the day before the date of enact13 ment of this subsection. Priorities under the Initiative 

14 for Future Agricultural and Food Systems shall in15 clude classical plant and animal breeding. 

16 ‘‘(12) PROGRAM ADMINISTRATION.—To the great17 est extent possible, the Under Secretary, in conjunc18 tion with the Directors of the National Agricultural 

19 Research Program Offices established in section 7104 

20 of the Farm, Nutrition, and Bioenergy Act of 2007, 

21 shall allocate these grants to high priority research 

22 taking into consideration, when available, the deter23 minations made by the National Agricultural Re24 search, Extension, Education, and Economics Advi25 sory Board (as established under section 1408 of the 


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1 National Agricultural Research, Extension, and 

2 Teaching Policy Act of 1977 (7 U.S.C. 3123). 

3 ‘‘(13) SPECIAL CONSIDERATIONS.—In addition 

4 to making research grants under paragraph (9), the 

5 Secretary may conduct a program to improve re6 search capabilities in the agricultural, food, and envi7 ronmental sciences and award the following categories 

8 of competitive grants. Grants may be awarded— 

9 ‘‘(A) to a single investigator or coinvestiga10 tors within the same discipline; 

11 ‘‘(B) to teams of researchers from different 

12 areas of agricultural research and scientific dis13 ciplines; 

14 ‘‘(C) to multidisciplinary teams that are 

15 proposing research on long-term applied research 

16 problems, with technology transfer a major com17 ponent of all such grant proposals; 

18 ‘‘(D) to an institution to allow for the im19 provement of the research, development, tech20 nology transfer, and education capacity of the 

21 institution through the acquisition of special re22 search equipment and the improvement of agri23 cultural education and teaching; however the 

24 Secretary shall use not less than 25 percent of 

25 the funds made available for grants under this 


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1 subparagraph to provide fellowships to out2 standing pre- and post-doctoral students for re3 search in the agricultural sciences; 

4 ‘‘(E) to a single investigator or coinvestiga5 tors who are beginning their research careers and 

6 do not have an extensive research publication 

7 record; however, to be eligible for a grant under 

8 this subparagraph, an individual shall be within 

9 5 years of the individual’s initial career track 

10 position; 

11 ‘‘(F) to ensure that the faculty of small and 

12 mid-sized institutions who have not previously 

13 been successful in obtaining competitive grants 

14 under this subsection receive a portion of the 

15 grants; and 

16 ‘‘(G) to improve research capabilities in 

17 States (as defined in the National Agricultural 

18 Research, Extension, and Teaching Policy Act of 

19 1977 (7 U.S.C. 3101 et seq.)) in which institu20 tions have been less successful in receiving fund21 ing under this subsection, based on a 3-year roll22 ing average of funding levels. 

23 ‘‘(14) DIVISION OF FUNDS.—Of the funds made 

24 available to carry out this subsection, 60 percent shall 

25 be used to fund programs under paragraph (9) and 


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1 40 percent shall be used to fund programs under 

2 paragraph (10). 

3 ‘‘(15) TRANSFER OF FUNDS FROM THE INITIA4 TIVE FOR FUTURE AGRICULTURE AND FOOD SYS5 TEMS.—Funds made available pursuant to section 

6 401(b)(3)(D) of the Agricultural Research, Extension, 

7 and Education Reform Act of 1998 (7 U.S.C. 7621 

8 (b)(3)(D)) shall be transferred to the program estab9 lished under this subsection. 

10 ‘‘(16) AUTHORIZATION OF APPROPRIATIONS.— 

11 ‘‘(A) There is authorized to be appropriated 

12 to carry out this subsection $500,000,000 for 

13 each of fiscal years 2008 through 2012. 

14 ‘‘(B) Funds made available in each fiscal 

15 year shall remain available until expended to 

16 pay for obligations incurred in that fiscal year.’’. 

17 (b) REPEALS.—The following provisions are hereby re18 pealed: 

19 (1) Section 401 of the Agricultural Research, Ex20 tension, and Education Reform Act of 1998 (7 U.S.C. 

21 7621). 

22 (2) Subsection (2)(d) of the Competitive, Special, 

23 and Facilities Research Grant Act of 1965 (7 U.S.C. 

24 450i(c)). 


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1 SEC. 7107. CAPACITY BUILDING GRANTS FOR ASCARR INSTI2 TUTIONS. 

3 (a) GRANT PROGRAM.— 

4 (1) IN GENERAL.—The Secretary shall make 

5 competitive grants to ASCARR Institutions to assist 

6 the ASCARR Institutions in maintaining and ex7 panding the capacity of the ASCARR Institutions to 

8 conduct education, research, and outreach activities 

9 relating to— 

10 (A) agriculture; 

11 (B) renewable resources; and 

12 (C) other similar disciplines. 

13 (2) USE OF FUNDS.—An ASCARR Institution 

14 that receives a grant under subsection (a)(1) may use 

15 the funds made available through the grant to main16 tain and expand the capacity of the ASCARR Insti17 tution— 

18 (A) to successfully compete for funds from 

19 Federal grants and other sources to carry out 

20 educational, research, and outreach activities 

21 that address priority concerns of national, re22 gional, State, and local interest; 

23 (B) to disseminate information relating to 

24 priority concerns to— 


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1 (i) interested members of the agri2 culture, renewable resources, and other rel3 evant communities; 

4 (ii) the public; and 

5 (iii) any other interested entity; 

6 (C) to encourage members of the agriculture, 

7 renewable resources, and other relevant commu8 nities to participate in priority education, re9 search, and outreach activities by providing 

10 matching funding to leverage grant funds; and 

11 (D) through— 

12 (i) the purchase or other acquisition of 

13 equipment and other infrastructure (not in14 cluding alteration, repair, renovation, or 

15 construction of buildings); 

16 (ii) the professional growth and devel17 opment of the faculty of the ASCARR Insti18 tution; and 

19 (iii) the development of graduate 

20 assistantships. 

21 (b) AUTHORIZATION OF APPROPRIATIONS.—There are 

22 authorized to be appropriated to carry out this section such 

23 sums as are necessary for each fiscal year 2008 through 

24 2012. 


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1 SEC. 7108. ESTABLISHMENT OF RESEARCH LABORATORIES 

2 FOR ANIMAL DISEASES. 

3 (a) DEFINITIONS.—In this section— 

4 (1) ANIMAL DISEASE.—The term ‘‘animal dis5 ease’’ has the meaning given the term by the Sec6 retary. 

7 (2) IMPORT.—The term ‘‘import’’ means to move 

8 from a place outside the territorial limits of the 

9 United States to a place within the territorial limits 

10 of the United States. 

11 (3) LIVE VIRUS.—The term ‘‘live virus’’ means a 

12 live virus of foot-and-mouth disease or a live virus of 

13 any other animal disease that is a threat to the health 

14 of livestock, as determined by the Secretary. 

15 (4) SECRETARY.—The term ‘‘Secretary’’ means 

16 the Secretary of Agriculture. 

17 (5) STATE.—The term ‘‘State’’ means any of the 

18 States, the District of Columbia, the Commonwealth 

19 of Puerto Rico, Guam, the Commonwealth of the 

20 Northern Mariana Islands, the Virgin Islands of the 

21 United States, or any territory or possession of the 

22 United States. 

23 (6) UNITED STATES.—The term ‘‘United States’’ 

24 means all of the States. 

25 (b) ANIMAL DISEASE RESEARCH.— 


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1 (1) ESTABLISHMENT OF RESEARCH FACILI2 TIES.—The Secretary is authorized to establish re3 search laboratories, including the acquisition of nec4 essary land, buildings, or facilities, for research on 

5 animal diseases in the United States. 

6 (2) ACTIVITIES AUTHORIZED WHEN DISEASE

7 THREATENS LIVESTOCK.—To the extent the Secretary 

8 determines that an animal disease constitutes a threat 

9 to the livestock industry, the Secretary is authorized 

10 to conduct research, diagnostics, and other activities 

11 related to the animal disease. 

12 (c) RESTRICTIONS REGARDING LIVE VIRUS.— 

13 (1) IN GENERAL.—Except as provided in para14 graphs (2), (3), and (4), a person or State or Federal 

15 agency may not— 

16 (A) import a live virus into the United 

17 States; 

18 (B) transport a live virus within the United 

19 States; and 

20 (C) store and maintain a live virus at a re21 search facility. 

22 (2) AUTHORITY OF THE SECRETARY.—The Sec23 retary of Agriculture may— 

24 (A) import a live virus into the United 

25 States; 


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1 (B) transport a live virus within the United 

2 States; and 

3 (C) store and maintain a live virus at a re4 search facility. 

5 (3) PERMITS.— 

6 (A) IN GENERAL.—If the Secretary deter7 mines that it is in the public interest to do so, 

8 the Secretary may issue a permit to allow a pri9 vate person or a State or Federal agency to— 

10 (i) import a live virus into the United 

11 States; 

12 (ii) transport a live virus within the 

13 United States; and 

14 (iii) store and maintain a live virus at 

15 a research facility. 

16 (B) PERMIT TERMS.—A permit issued 

17 under this paragraph shall be subject to terms 

18 and conditions prescribed by the Secretary. 

19 (4) LIMITATION.—Nothing in this section shall 

20 apply to the importation, transportation, storage, and 

21 maintenance of any live virus governed by regulations 

22 promulgated pursuant to section 351A of the Public 

23 Health Service Act (42 U.S.C. 262a) or the Agricul24 tural Bioterrorism Protection Act of 2002 (7 U.S.C. 

25 8401). 


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1 (d) AUTHORIZATION OF APPROPRIATIONS.—In addi2 tion to funds otherwise available for the control or eradi3 cation of animal diseases, there are authorized to be appro4 priated such sums as necessary to carry out this section. 

5 SEC. 7109. GRAZINGLANDS RESEARCH LABORATORY. 

6 Notwithstanding any other provision of law, without 

7 specific authorization by an Act of Congress, the Federal 

8 land and facilities at El Reno, Oklahoma, currently admin9 istered by the Secretary of Agriculture as the Grazinglands 

10 Research Laboratory, shall not at any time, in whole or 

11 part, be declared to be excess or surplus Federal property 

12 under chapter 5 of subtitle I of title 40, United States Code, 

13 or otherwise be conveyed or transferred in whole or in part. 

14 SEC. 7110. RESEARCHER TRAINING. 

15 (a) REQUIREMENT.—The Secretary shall require that 

16 persons receiving funds under section 1668(g)(2) of the 

17 Food, Agriculture, Conservation, and Trade Act of 1990 (7 

18 U.S.C. 5921(g)(2)) to conduct research concerning geneti19 cally engineered plants, including seed and other propa20 gative materials, complete a training program approved by 

21 the Secretary. 

22 (b) CERTIFICATION OF THIRD-PARTY PROVIDERS.— 

23 Not later than 180 days after the date of the enactment of 

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1 section (a), including criteria for the evaluation of trainers 

2 or potential trainers. 

3 (c) EXPERTISE.—In establishing criteria for the eval4 uation of potential trainers, the Secretary shall ensure that 

5 individuals and entities with expertise in quality manage6 ment systems, plant breeding and genetics, and the tech7 nical aspects of the Federal regulatory process for agricul8 tural biotechnology, are eligible to become approved trainers 

9 under subsection (b). 

10 SEC. 7111. FORT RENO SCIENCE PARK RESEARCH FACILITY. 

11 The Secretary of Agriculture may lease land to the 

12 University of Oklahoma at the Grazinglands Research Lab13 oratory at El Reno, Oklahoma, on such terms and condi14 tions as the University and the Secretary may agree in fur15 therance of cooperative research and existing easement ar16 rangements. 

17 SEC. 7112. ASSESSING THE NUTRITIONAL COMPOSITION OF 

18 BEEF PRODUCTS. 

19 (a) STUDY.—Not later than 1 year after the date of 

20 the enactment of this Act, the Secretary shall award a 

21 grant, contract, or other agreement with an appropriate 

22 land-grant university to update the Department of Agri23 culture’s Nutrient Composition Handbook for Beef, also 

24 known as Handbook #8–13. The Handbook shall incor25 porate accurate and current data collected by the university 


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1 to be used by Federal agencies, private industries, health 

2 organizations, and consumers to determine important diet 

3 and health-related issues associated with the consumption 

4 of beef and beef products. 

5 (b) AUTHORIZATION OF APPROPRIATIONS.—There are 

6 authorized to be appropriated such sums as are necessary 

7 to carry out this section to be available until expended . 

8 SEC. 7113. SENSE OF CONGRESS REGARDING FUNDING FOR 

9 HUMAN NUTRITION RESEARCH. 

10 It is the sense of the Congress that— 

11 (1) human nutrition research has the potential 

12 for improving the health status of the American pub13 lic through studies that help determine— 

14 (A) the food and beverage intakes of Ameri15 cans and the nutrient composition of the food 

16 supply; 

17 (B) the relationship between diet and obe18 sity, particularly to prevent childhood obesity; 

19 (C) the authoritative, peer-reviewed, science20 based evidence that forms the basis for Federal 

21 nutrition policy, dietary guidelines and pro22 grams; and 

23 (D) the nutrient requirements for individ24 uals at various stages in the lifespan and for 


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1 vulnerable populations, particularly children 

2 and the elderly; 

3 (2) human nutrition research holds the potential 

4 for identifying factors in crops and livestock that pro5 vide nutrition benefits to humans and add value for 

6 producers; 

7 (3) the potential cost savings to Federal health 

8 programs, combined with the boost in revenues for 

9 farmers who produce nutritionally enhanced foods, 

10 justifies an increase in funding to a level sufficient to 

11 conduct this essential research; and 

12 (4) the USDA regional human nutritional re13 search centers have unique value in linking producer 

14 and consumer interests into investigations of food and 

15 human nutrition issues and conducting long-term nu16 trition studies; and activities at these centers should 

17 be preserved and coordinated with other human nu18 trition research activities. 

19 Subtitle B—National Agricultural 

20 Research, Extension, and Teach21 ing Policy Act of 1977 

22 SEC. 7201. ADVISORY BOARD. 

23 Section 1408(g)(1) of the National Agricultural Re24 search, Extension, and Teaching Policy Act of 1977 (7 


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1 U.S.C. 3123(g)(1)) is amended by striking ‘‘$350,000’’ and 

2 inserting ‘‘$500,000’’. 

3 SEC. 7202. ADVISORY BOARD TERMINATION. 

4 Section 1408(h) of the National Agricultural Research, 

5 Extension, and Teaching Policy Act of 1977 (7 U.S.C. 

6 3123(h)) is amended by striking ‘‘2007’’ and inserting 

7 ‘‘2012’’. 

8 SEC. 7203. RENEWABLE ENERGY COMMITTEE. 

9 The National Agricultural Research, Extension, and 

10 Teaching Policy Act of 1977 is amended by inserting after 

11 section 1408A the following: 

12 ‘‘SEC. 1408B. RENEWABLE ENERGY COMMITTEE. 

13 ‘‘(a) INITIAL MEMBERS.—Not later than 90 days after 

14 the date of the enactment of this section, the executive com15 mittee of the Advisory Board shall establish and appoint 

16 the initial members of a permanent renewable energy com17 mittee that shall be responsible for studying the scope and 

18 effectiveness of research, extension, and economics programs 

19 affecting the renewable energy industry. 

20 ‘‘(b) NON-ADVISORY BOARD MEMBERS.—Individuals 

21 who are not members of the Advisory Board may be ap22 pointed as members of the renewable energy committee. 

23 Members of the renewable energy committee shall serve at 

24 the discretion of the executive committee. 


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1 ‘‘(c) REPORT BY RENEWABLE ENERGY COMMITTEE.— 

2 Not later than 180 days after the establishment of the re3 newable energy committee, and annually thereafter, the re4 newable energy committee shall submit to the Advisory 

5 Board a report containing the findings of its study under 

6 subsection (a). The renewable energy committee shall in7 clude in each report its recommendations. 

8 ‘‘(d) COORDINATION OF FUNCTIONS.—In carrying out 

9 its functions, the Renewable Energy Committee shall co10 ordinate with the Biomass Research and Development Act 

11 Committee. 

12 ‘‘(e) MATTERS TO BE CONSIDERED IN BUDGET REC13 OMMENDATION.—In preparing the annual budget rec14 ommendations for the Department, the Secretary shall take 

15 into consideration those findings and recommendations con16 tained in the most recent report of the renewable energy 

17 committee that are adopted by the Advisory Committee. 

18 ‘‘(f) REPORT BY THE SECRETARY.—In the budget ma19 terial submitted to Congress by the Secretary in connection 

20 with the budget submitted pursuant to section 1105 of title 

21 31, United States Code, for a fiscal year, the Secretary shall 

22 include a report describing how the Secretary addressed 

23 each recommendation of the renewable energy committee de24 scribed in subsection (e) of this section.’’. 


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1 SEC. 7204. SPECIALTY CROP COMMITTEE REPORT. 

2 Section 1408A(c) of the National Agricultural Re3 search, Extension, and Teaching Policy Act of 1977 (7 

4 U.S.C. 3123a(c)) is amended by adding at the end the fol5 lowing: 

6 ‘‘(4) Analyses of the specialty crop sector, includ7 ing the impact of changes in domestic and inter8 national markets, production and new product tech9 nologies, alternative policies and macroeconomic con10 ditions on specialty crop production, use, farm and 

11 retail prices, and farm income and financial stability 

12 from a national, regional, and farm-level perspective. 

13 ‘‘(5) Review of the economic state of the specialty 

14 crop industry from a regional perspective. 

15 ‘‘(6) Development of data that provides applied 

16 information useful to specialty crop growers, their as17 sociations, and other interested beneficiaries in evalu18 ating that industry from a regional and national per19 spective.’’. 

20 SEC. 7205. INCLUSION OF UDC IN GRANTS AND FELLOW21 SHIPS FOR FOOD AND AGRICULTURAL 

22 SCIENCES EDUCATION. 

23 Section 1417 of the National Agricultural Research, 

24 Extension, and Teaching Policy Act of 1977 (7 U.S.C. 

25 3152) is amended— 


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1 (1) in subsection (b), by inserting ‘‘including the 

2 University of the District of Columbia,’’ after ‘‘uni3 versities,’’; and 

4 (2) in subsection (d)(2), by inserting ‘‘, includ5 ing the University of the District of Columbia,’’ after 

6 ‘‘universities’’ 

7 SEC. 7206. GRANTS AND FELLOWSHIPS FOR FOOD AND AG8 RICULTURAL SCIENCES EDUCATION. 

9 (a) EDUCATION TEACHING PROGRAMS.—Section 

10 1417(j) of the National Agricultural Research, Extension 

11 and Teaching Policy Act of 1977 (7 U.S.C. 3152(j)) is 

12 amended— 

13 (1) in the subsection heading, by striking ‘‘SEC14 ONDARY EDUCATION AND 2-YEAR POSTSECONDARY

15 EDUCATION TEACHING PROGRAMS’’ and inserting 

16 ‘‘SECONDARY EDUCATION, 2-YEAR POSTSECONDARY

17 EDUCATION, AND AGRICULTURE IN THE K–12 CLASS18 ROOM’’; and 

19 (2) in paragraph (3)— 

20 (A) by striking ‘‘secondary schools, and in21 stitutions of higher education that award an as22 sociate’s degree’’ and inserting ‘‘secondary 

23 schools, institutions of higher education that 

24 award an associate’s degree, other institutions of 

25 higher education, and nonprofit organizations’’; 


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1 (B) in subparagraph (E), by striking ‘‘and’’ 

2 at the end; 

3 (C) in subparagraph (F), by striking the 

4 period at the end and inserting ‘‘; and’’; and 

5 (D) by adding at the end the following: 

6 ‘‘(G) to support current agriculture in the 

7 classroom programs for grades K–12.’’. 

8 (b) AUTHORIZATION OF APPROPRIATIONS.—Section 

9 1417(l) of the National Agricultural Research, Extension, 

10 and Teaching Policy Act of 1977 (7 U.S.C. 3152(l)) is 

11 amended by striking ‘‘2007’’ and inserting ‘‘2012’’. 

12 (c) REPORT.—Section 1417 of the National Agricul13 tural Research, Extension and Teaching Policy Act of 1977 

14 is amended by adding at the end the following: 

15 ‘‘(m) REPORT.—The Secretary shall submit an annual 

16 report to the Committee on Agriculture of the House of Rep17 resentatives and the Committee on Agriculture, Nutrition 

18 and Forestry of the Senate detailing the distribution of 

19 funds used to implement the teaching programs under sub20 section (j).’’. 


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1 SEC. 7207. GRANTS FOR RESEARCH ON PRODUCTION AND 

2 MARKETING OF ALCOHOLS AND INDUSTRIAL 

3 HYDROCARBONS FROM AGRICULTURAL COM4 MODITIES AND FOREST PRODUCTS. 

5 Section 1419(d) of the National Agricultural Research, 

6 Extension, and Teaching Policy Act of 1977 (7 U.S.C. 

7 3154(d)) is amended by striking ‘‘2007’’ and inserting 

8 ‘‘2012’’. 

9 SEC. 7208. POLICY RESEARCH CENTERS. 

10 Section 1419A of the National Agricultural Research, 

11 Extension, and Teaching Policy Act of 1977 (7 U.S.C. 

12 3155) is amended— 

13 (1) in subsection (b), by inserting ‘‘, including 

14 the Food Agricultural Policy Research Institute and 

15 the Agricultural and Food Policy Center’’ after ‘‘re16 search institutions and organizations’’; and 

17 (2) in subsection (d), by striking ‘‘2007’’ and in18 serting ‘‘2012’’. 

19 SEC. 7209. HUMAN NUTRITION INTERVENTION AND HEALTH 

20 PROMOTION RESEARCH PROGRAM. 

21 Section 1424(d) of the National Agricultural Research, 

22 Extension, and Teaching Policy Act of 1977 (7 U.S.C. 

23 3174(d)) is amended by striking ‘‘2007’’ and inserting 

24 ‘‘2012’’. 


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1 SEC. 7210. PILOT RESEARCH PROGRAM TO COMBINE MED2 ICAL AND AGRICULTURAL RESEARCH. 

3 Section 1424A(d) of the National Agricultural Re4 search, Extension, and Teaching Policy Act of 1977 (7 

5 U.S.C. 3174a(d)) is amended by striking ‘‘2007’’ and in6 serting ‘‘2012’’. 

7 SEC. 7211. NUTRITION EDUCATION PROGRAM. 

8 Section 1425(c)(3) of the National Agricultural Re9 search, Extension, and Teaching Policy Act of 1977 (7 

10 U.S.C. 3175(c)(3)) is amended by striking ‘‘2007’’ and in11 serting ‘‘2012’’. 

12 SEC. 7212. CONTINUING ANIMAL HEALTH AND DISEASE RE13 SEARCH PROGRAMS. 

14 Section 1433(a) of the National Agricultural Research, 

15 Extension, and Teaching Policy Act of 1977 (7 U.S.C. 

16 3195(a)) is amended in the first sentence by striking 

17 ‘‘2007’’ and inserting ‘‘2012’’. 

18 SEC. 7213. COOPERATION AMONG ELIGIBLE INSTITUTIONS. 

19 Section 1433 of the National Agricultural Research, 

20 Extension, and Teaching Policy Act of 1977 is amended 

21 by adding at the end the following new subsection: 

22 ‘‘(g) COOPERATION AMONG ELIGIBLE INSTITU23 TIONS.—The Secretary, to the maximum extent practicable, 

24 shall encourage eligible institutions to cooperate in setting 

25 research priorities under this section through the conduct 

26 of regular regional and national meetings.’’. 


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1 SEC. 7214. APPROPRIATIONS FOR RESEARCH ON NATIONAL 

2 OR REGIONAL PROBLEMS. 

3 Section 1434(a) of the National Agricultural Research, 

4 Extension, and Teaching Policy Act of 1977 (7 U.S.C. 

5 3196(a)) is amended by striking ‘‘2007’’ and inserting 

6 ‘‘2012’’. 

7 SEC. 7215. AUTHORIZATION LEVEL OF EXTENSION AT 1890 

8 LAND-GRANT COLLEGES. 

9 Section 1444(a)(2) of the National Agricultural Re10 search, Extension, and Teaching Policy Act of 1977 (7 

11 U.S.C. 3221(a)(2)) is amended by striking ‘‘15 percent’’ 

12 and inserting ‘‘20 percent’’. 

13 SEC. 7216. AUTHORIZATION LEVEL FOR AGRICULTURAL RE14 SEARCH AT 1890 LAND-GRANT COLLEGES. 

15 Section 1445(a)(2) of the National Agricultural Re16 search, Extension, and Teaching Policy Act of 1977 (7 

17 U.S.C. 3222(a)(2)) is amended by striking ‘‘25 percent’’ 

18 and inserting ‘‘30 percent’’. 

19 SEC. 7217. GRANTS TO UPGRADE AGRICULTURE AND FOOD 

20 SCIENCES FACILITIES AT THE DISTRICT OF 

21 COLUMBIA LAND GRANT UNIVERSITY. 

22 The National Agricultural Research, Extension, and 

23 Teaching Policy Act of 1977 (7 U.S.C. 3101 et seq.) is 

24 amended by inserting after section 1447 the following: 


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1 ‘‘SEC. 1447A. GRANTS TO UPGRADE AGRICULTURE AND 

2 FOOD SCIENCES FACILITIES AT THE DIS3 TRICT OF COLUMBIA LAND GRANT UNIVER4 SITY. 

5 ‘‘(a) PURPOSE.—It is declared to be the intent of Con6 gress to assist the land grant university in the District of 

7 Columbia, as established under section 208 of the District 

8 of Columbia Public Postsecondary Education Reorganiza9 tion Act of October 26, 1974 (Public Law 93–471) in efforts 

10 acquire, alter, or repair facilities or relevant equipment 

11 necessary for conducting agricultural research. 

12 ‘‘(b) AUTHORIZATION OF APPROPRIATIONS.—There 

13 are authorized to be appropriated for the purposes of car14 rying out the provisions of this section $750,000 for each 

15 of fiscal years 2008 through 2012.’’. 

16 SEC. 7218. GRANTS TO UPGRADE AGRICULTURAL AND FOOD 

17 SCIENCES FACILITIES AT 1890 LAND-GRANT 

18 COLLEGES, INCLUDING TUSKEGEE UNIVER19 SITY. 

20 Section 1447(b) of the National Agricultural Research, 

21 Extension, and Teaching Policy Act of 1977 (7 U.S.C. 

22 3222b(b)) is amended by striking ‘‘2007’’ and inserting 

23 ‘‘2012’’. 


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1 SEC. 7219. NATIONAL RESEARCH AND TRAINING VIRTUAL 

2 CENTERS. 

3 Section 1448 of the National Agricultural Research, 

4 Extension, and Teaching Policy Act of 1977 (7 U.S.C. 

5 3222c) is amended by striking ‘‘2007’’ each place it appears 

6 in subsections (a)(1) and (f) and inserting ‘‘2012’’. 

7 SEC. 7220. MATCHING FUNDS REQUIREMENT FOR RE8 SEARCH AND EXTENSION ACTIVITIES OF 1890 

9 INSTITUTIONS. 

10 Section 1449(c) of the National Agricultural Research, 

11 Extension, and Teaching Policy Act of 1977 (7 U.S.C. 

12 3222d(c)) is amended in the first sentence by striking ‘‘for 

13 each of fiscal years 2003 through 2007,’’. 

14 SEC. 7221. HISPANIC-SERVING INSTITUTIONS. 

15 Section 1455(c) of the National Agricultural Research, 

16 Extension, and Teaching Policy Act of 1977 (7 U.S.C. 

17 3241(c)) is amended by striking ‘‘2007’’ and inserting 

18 ‘‘2012’’. 

19 SEC. 7222. HISPANIC-SERVING AGRICULTURAL COLLEGES 

20 AND UNIVERSITIES. 

21 (a) IN GENERAL.—The National Agricultural Re22 search, Extension and Teaching Policy Act of 1977 is 

23 amended by inserting after section 1455 the following: 

24 ‘‘SEC. 1456. HISPANIC-SERVING AGRICULTURAL COLLEGES 

25 AND UNIVERSITIES. 

26 ‘‘(a) DEFINITIONS.—As used in this section: 


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1 ‘‘(1) ENDOWMENT FUND.—The term ‘endowment 

2 fund’ means the Hispanic-Serving Agricultural Col3 leges and Universities Fund established under sub4 section (b). 

5 ‘‘(2) HISPANIC-SERVING AGRICULTURAL COL6 LEGE AND UNIVERSITIES.—The term ‘Hispanic-serv7 ing agricultural colleges and universities’ means a 

8 college or university that— 

9 ‘‘(A) qualifies as a ‘Hispanic-serving insti10 tution’ as defined in section 502(a)(5) of the 

11 Higher Education Act of 1965 (20 U.S.C. 

12 1101a(a)(5)); and 

13 ‘‘(B) offers associate, bachelor’s, or other ac14 credited degree programs in agriculture-related 

15 fields. 

16 ‘‘(b) ENDOWMENT.— 

17 ‘‘(1) IN GENERAL.—In accordance with this sub18 section, the Secretary of the Treasury shall establish 

19 a Hispanic-Serving Agricultural Colleges and Univer20 sities Fund. The Secretary of the Treasury may enter 

21 into such agreements as are necessary to carry out 

22 this subsection. 

23 ‘‘(2) DEPOSIT TO THE ENDOWMENT FUND.—The 

24 Secretary of the Treasury shall deposit in the endow25 ment fund any— 


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1 ‘‘(A) amounts made available through Acts 

2 of appropriations, which shall be the endowment 

3 fund corpus; and 

4 ‘‘(B) interest earned on the endowment fund 

5 corpus. 

6 ‘‘(3) INVESTMENTS.—The Secretary of the Treas7 ury shall invest the endowment fund corpus and in8 come in interest-bearing obligations of the United 

9 States. 

10 ‘‘(4) WITHDRAWALS AND EXPENDITURES.—The 

11 Secretary of the Treasury may not make a with12 drawal or expenditure from the endowment fund cor13 pus. On September 30, 2008, and each September 30 

14 thereafter, the Secretary of the Treasury shall with15 draw the amount of the income from the endowment 

16 fund for the fiscal year and warrant the funds to the 

17 Secretary of Agriculture who, after making adjust18 ments for the cost of administering the endowment 

19 fund, shall distribute the adjusted income as follows: 

20 ‘‘(A) 60 percent distributed among the His21 panic-serving agricultural colleges and univer22 sities on a pro rata basis based on each institu23 tion’s Hispanic enrollment count. 


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1 ‘‘(B) 40 percent distributed in equal shares 

2 to the Hispanic-serving agricultural colleges and 

3 universities. 

4 ‘‘(5) AUTHORIZATION OF APPROPRIATIONS.— 

5 ‘‘(A) IN GENERAL.—For fiscal year 2008, 

6 and for each fiscal year thereafter, there is au7 thorized to be appropriated to the Department of 

8 Agriculture an amount equal to— 

9 ‘‘(i) $80,000; multiplied by 

10 ‘‘(ii) the number of Hispanic-serving 

11 agricultural colleges and universities. 

12 ‘‘(B) PAYMENTS.—For fiscal year 2008, and 

13 for each fiscal year thereafter, the Secretary of 

14 the Treasury shall pay to the treasurer of each 

15 Hispanic-Serving agricultural college and uni16 versity an amount equal to— 

17 ‘‘(i) the total amount made available 

18 by appropriations pursuant to paragraph 

19 (1); divided by 

20 ‘‘(ii) the number of Hispanic-serving 

21 agricultural colleges and universities. 

22 ‘‘(C) USE OF FUNDS.—Amounts authorized 

23 to be appropriated under this subsection shall be 

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1 monly known as the Second Morrill Act), and 

2 except as otherwise provided in this subsection, 

3 the requirements of such Act shall apply to the 

4 Hispanic-serving agricultural colleges and uni5 versities. 

6 ‘‘(D) Amounts appropriated pursuant to 

7 this section shall be held and considered to have 

8 been granted to Hispanic-serving agricultural 

9 colleges and universities to establish an endow10 ment pursuant to subsection (b). 

11 ‘‘(c) INSTITUTIONAL CAPACITY BUILDING GRANTS.— 

12 ‘‘(1) PURPOSE AND ALLOWABLE USES.—For fis13 cal year 2008, and for each fiscal year thereafter, the 

14 Secretary shall make institutional capacity building 

15 grants to assist Hispanic-serving agricultural colleges 

16 and universities not including alteration, repair, ren17 ovation, or construction of buildings. 

18 ‘‘(2) CRITERIA FOR INSTITUTIONAL CAPACITY

19 BUILDING GRANTS.— 

20 ‘‘(A) REQUIREMENTS FOR GRANTS.—The 

21 Secretary shall make grants under this sub22 section on the basis of a competitive application 

23 process under which Hispanic-serving agricul24 tural colleges and universities may submit appliVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00500 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 cations to the Secretary in such form and man2 ner as the Secretary may prescribe. 

3 ‘‘(B) BROADER PARTICIPATION AND GEO4 GRAPHIC DIVERSITY.—All Hispanic-serving agri5 cultural colleges and universities shall be eligible 

6 to compete for grants under this subsection. 

7 ‘‘(C) DEMONSTRATION OF NEED.—The Sec8 retary shall require as part of an application for 

9 a grant under this subsection, a demonstration of 

10 need based on criteria stated in subsection (b)(5). 

11 The Secretary may award a grant under this 

12 subsection only to an applicant that dem13 onstrates a failure to obtain funding for a 

14 project after making a reasonable effort to other15 wise obtain the funding. 

16 ‘‘(D) PAYMENT OF NON-FEDERAL SHARE.— 

17 A grant awarded under this subsection shall be 

18 made only if the recipient of the grant pays a 

19 non-Federal share in an amount specified by the 

20 Secretary and based upon assessed institutional 

21 needs. 

22 ‘‘(3) AUTHORIZATION OF APPROPRIATIONS.— 

23 There are authorized to be appropriated to the Sec24 retary of Agriculture to carry out this subsection, 


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1 such sums as are necessary for fiscal year 2008, and 

2 for each fiscal year thereafter. 

3 ‘‘(d) COMPETITIVE GRANTS PROGRAM.—The Secretary 

4 of Agriculture shall establish a competitive grants program 

5 to fund basic and applied research at Hispanic-serving ag6 ricultural colleges and universities in agriculture, human 

7 nutrition, food science, bioenergy, and environmental 

8 science. There are authorized to be appropriated to the Sec9 retary such sums as are necessary to carry out this sub10 section for fiscal year 2008 and for each fiscal year there11 after.’’. 

12 (b) FUNDING.—Section 3 of the Act of May 8, 1914, 

13 (commonly known as the Smith-Lever Act), is amended— 

14 (1) in subsection (b), by adding at the end the 

15 following new paragraph: 

16 ‘‘(4) There are authorized to be appropriated for fiscal 

17 year 2008, and for each fiscal year thereafter, such sums 

18 as are necessary for the purposes set forth in section 4. Such 

19 sums shall be in addition to the sums appropriated for the 

20 several States and Puerto Rico, the Virgin Islands, and 

21 Guam under the provisions of this section. Such sums shall 

22 be distributed on the basis on a competitive application 

23 process to be developed and implemented by the Secretary 

24 and paid by the Secretary to the State institutions estab25 lished in accordance with the provisions of the Act of July 


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1 2, 1862 (commonly known as the First Morrill Act) and 

2 administered by such institutions through cooperative 

3 agreements with the Hispanic-serving agricultural colleges 

4 and universities in the States of the institutions in accord5 ance with regulations that the Secretary shall adopt.’’; and 

6 (2) in subsection (f), by inserting ‘‘or Hispanic7 serving agricultural colleges and universities’’ after 

8 ‘‘Institution’’. 

9 SEC. 7223. INTERNATIONAL AGRICULTURAL RESEARCH, EX10 TENSION, AND EDUCATION. 

11 Section 1458(a) of the National Agricultural Research, 

12 Extension, and Teaching Policy Act of 1977 (7 U.S.C. 

13 3291(a)) is amended— 

14 (1) in paragraph (1)— 

15 (A) in subparagraph (A), by striking ‘‘and’’ 

16 after the semicolon; 

17 (B) in subparagraph (B), by adding ‘‘and’’ 

18 at the end; and 

19 (C) by adding at the end the following: 

20 ‘‘(C) giving priority to those institutions 

21 with existing memorandums of understanding, 

22 agreements, or other formal ties to United States 

23 institutions, or State or Federal agencies;’’; 


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1 (2) in paragraph (3), by inserting ‘‘Hispanic2 serving agricultural colleges and universities,’’ after 

3 ‘‘universities,’’; 

4 (3) in paragraph (7)(A), by striking ‘‘and land5 grant colleges and universities’’ and inserting ‘‘, land6 grant colleges and universities, and Hispanic-serving 

7 agricultural colleges and universities’’; 

8 (4) in paragraph (9)(A), by striking ‘‘or other 

9 colleges and universities’’ and inserting ‘‘, or other 

10 colleges and universities, or Hispanic-serving agricul11 tural colleges and universities’’; and 

12 (5) by adding at the end the following: 

13 ‘‘(11) establish a program for the purpose of pro14 viding fellowships to United States or foreign students 

15 to study at foreign agricultural colleges and univer16 sities working under agreements provided for under 

17 paragraph (3).’’. 

18 SEC. 7224. COMPETITIVE GRANTS FOR INTERNATIONAL AG19 RICULTURAL SCIENCE AND EDUCATION PRO20 GRAMS. 

21 Section 1459A(c) of the National Agricultural Re22 search, Extension, and Teaching Policy Act of 1977 (7 

23 U.S.C. 3292b(c)) is amended by striking ‘‘2007’’ and insert24 ing ‘‘2012’’. 


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1 SEC. 7225. LIMITATION ON INDIRECT COSTS FOR AGRICUL2 TURAL RESEARCH, EDUCATION, AND EXTEN3 SION PROGRAMS. 

4 Section 1462(a) of the National Agriculture Research, 

5 Extension, and Teaching Policy Act of 1977 (7 U.S.C. 

6 3310(a)) is amended by striking ‘‘a competitive’’ and in7 serting ‘‘any’’. 

8 SEC. 7226. RESEARCH EQUIPMENT GRANTS. 

9 Section 1462A(e) of the National Agricultural Re10 search, Extension, and Teaching Policy Act of 1977 (7 

11 U.S.C. 3310a(e)) is amended by striking ‘‘2007’’ and insert12 ing ‘‘2012’’. 

13 SEC. 7227. UNIVERSITY RESEARCH. 

14 Section 1463 of the National Agricultural Research, 

15 Extension, and Teaching Policy Act of 1977 (7 U.S.C. 

16 3311) is amended by striking ‘‘2007’’ each place it appears 

17 in subsections (a) and (b) and inserting ‘‘2012’’. 

18 SEC. 7228. EXTENSION SERVICE. 

19 Section 1464 of the National Agricultural Research, 

20 Extension, and Teaching Policy Act of 1977 (7 U.S.C. 

21 3312) is amended by striking ‘‘2007’’ and inserting ‘‘2012’’. 

22 SEC. 7229. SUPPLEMENTAL AND ALTERNATIVE CROPS. 

23 Section 1473D(a) of the National Agricultural Re24 search, Extension, and Teaching Policy Act of 1977 (7 

25 U.S.C. 3319d(a)) is amended by striking ‘‘2007’’ and in26 serting ‘‘2012’’. 


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1 SEC. 7230. AQUACULTURE RESEARCH FACILITIES. 

2 Section 1477 of the National Agricultural Research, 

3 Extension, and Teaching Policy Act of 1977 (7 U.S.C. 

4 3324) is amended by striking ‘‘2007’’ and inserting ‘‘2012’’. 

5 SEC. 7231. RANGELAND RESEARCH. 

6 Section 1483(a) of the National Agricultural Research, 

7 Extension, and Teaching Policy Act of 1977 (7 U.S.C. 

8 3336(a)) is amended by striking ‘‘2007’’ and inserting 

9 ‘‘2012’’. 

10 SEC. 7232. SPECIAL AUTHORIZATION FOR BIOSECURITY 

11 PLANNING AND RESPONSE. 

12 Section 1484(a) of the National Agricultural Research, 

13 Extension, and Teaching Policy Act of 1977 (7 U.S.C. 

14 3351(a)) is amended by striking ‘‘2007’’ and inserting 

15 ‘‘2012’’. 

16 SEC. 7233. RESIDENT INSTRUCTION AND DISTANCE EDU17 CATION GRANTS PROGRAM FOR INSULAR 

18 AREA INSTITUTIONS OF HIGHER EDUCATION. 

19 (a) DISTANCE EDUCATION GRANTS FOR INSULAR

20 AREAS.—Section 1490(f) of the National Agricultural Re21 search, Extension, and Teaching Policy Act of 1977 (7 

22 U.S.C. 3362(f)) is amended by striking ‘‘2007’’ and insert23 ing ‘‘2012’’. 

24 (b) RESIDENT INSTRUCTION GRANTS FOR INSULAR

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1 search, Extension, and Teaching Policy Act of 1977 (7 

2 U.S.C. 3363) is amended— 

3 (1) by redesignating subsection (e) as subsection 

4 (c); and 

5 (2) in subsection (c) (as so redesignated), by 

6 striking ‘‘2007’’ and inserting ‘‘2012’’. 

7 Subtitle C—Food, Agriculture, Con8 servation, and Trade Act of 1990 

9 SEC. 7301. NATIONAL GENETICS RESOURCES PROGRAM. 

10 Section 1635(b) of the Food, Agriculture, Conservation, 

11 and Trade Act of 1990 (7 U.S.C. 5844(b)) is amended by 

12 striking ‘‘2007’’ and inserting ‘‘2012’’. 

13 SEC. 7302. NATIONAL AGRICULTURAL WEATHER INFORMA14 TION SYSTEM. 

15 Section 1641(c) of the Food, Agriculture, Conservation, 

16 and Trade Act of 1990 (7 U.S.C. 5855(c)) is amended by 

17 striking ‘‘1991 through 1997’’ and inserting ‘‘2008 through 

18 2012’’. 

19 SEC. 7303. PARTNERSHIPS. 

20 Section 1672(d) of the Food, Agriculture, Conserva21 tion, and Trade Act of 1990 (7 U.S.C. 5925(d)) is amended 

22 by striking ‘‘may’’ and inserting ‘‘shall’’. 

23 SEC. 7304. AFLATOXIN RESEARCH AND EXTENSION. 

24 Section 1672(e)(3) of the Food, Agriculture, Conserva25 tion, and Trade Act of 1990 (7 U.S.C. 5925(e)(3)) is 


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1 amended by striking ‘‘and controlling aflatoxin in the food 

2 and feed chains.’’ and inserting ‘‘improving, and eventually 

3 commercializing alfatoxin controls in corn and other af4 fected agricultural products and crops.’’. 

5 SEC. 7305. HIGH-PRIORITY RESEARCH AND EXTENSION 

6 AREAS. 

7 Section 1672(e) of the Food, Agriculture, Conservation, 

8 and Trade Act of 1990 (7 U.S.C. 5925(e)) is amended by 

9 adding the following: 

10 ‘‘(46) FARMED AND WILD CERVID DISEASE AND

11 APPLIED GENETICS RESEARCH.—Research grants 

12 may be made under this section for the purpose of in13 vestigating the major infectious, parasitic and toxic 

14 diseases of importance to farmed and wild cervids. 

15 ‘‘(47) AIR EMISSIONS FROM LIVESTOCK OPER16 ATIONS.—Research and extension grants may be 

17 made under this section for the purpose of conducting 

18 field verification tests and developing mitigation op19 tions for air emissions from animal feeding oper20 ations. 

21 ‘‘(48) SWINE GENOME PROJECT.—Research 

22 grants may be made under this section to conduct 

23 swine genome research and to map the swine genome. 

24 ‘‘(49) CATTLE FEVER TICK PROGRAM.—Research 

25 and extension grants may be made to study cattle 


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1 fever ticks to facilitate understanding of the role of 

2 wildlife in the persistence and spread of cattle fever 

3 ticks; to develop advanced methods for eradication of 

4 cattle fever ticks; and to improve management of dis5 eases related to cattle fever ticks that are associated 

6 with wildlife, livestock, and human health. 

7 ‘‘(50) COLONY COLLAPSE DISORDER PROGRAM.— 

8 Research and extension grants may be made to survey 

9 and collect data of honey bee colony production and 

10 health; research various factors possibly contributing 

11 to or associated with colony collapse disorder; and de12 velop mitigative and preventative measures to im13 prove bee health. 

14 ‘‘(51) SYNTHETIC GYPSUM FROM ELECTRIC

15 POWER PLANTS RESEARCH.—Research and extension 

16 grants may be made to study the uses of synthetic 

17 gypsum from electric power plants to remediate soil 

18 and nutrient losses. 

19 ‘‘(52) CRANBERRY RESEARCH PROGRAM.—Re20 search and extension grants may be made to study 

21 new technologies to assist cranberry growers in com22 plying with Federal and State environmental regula23 tions, increase production, develop new growing tech24 niques, establish more efficient growing methodologies, 


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1 and educate farmers about sustainable growth prac2 tices. 

3 ‘‘(53) SORGHUM RESEARCH INITIATIVE.—Re4 search and extension grants may be made to study the 

5 use of sorghum as a bioenergy feedstock, promote di6 versification in, and the environmental sustainability 

7 of sorghum production, and promote water conserva8 tion through the use of sorghum. 

9 ‘‘(54) BEAN HEALTH RESEARCH PROGRAM.—Re10 search and extension grants may be made to study 

11 bean-based solutions to chronic health and nutritional 

12 concerns in both developed and developing countries, 

13 and to increase bean consumption.’’. 

14 SEC. 7306. HIGH-PRIORITY RESEARCH AND EXTENSION INI15 TIATIVES. 

16 Section 1672(h) of the Food, Agriculture, Conserva17 tion, and Trade Act of 1990 (7 U.S.C. 5925(h)) is amended 

18 by striking ‘‘2007’’ and inserting ‘‘2012’’. 

19 SEC. 7307. NUTRIENT MANAGEMENT RESEARCH AND EX20 TENSION INITIATIVE. 

21 Section 1672A of the Food, Agriculture, Conservation, 

22 and Trade Act of 1990 (7 U.S.C. 5925a) is amended— 

23 (1) by redesignating subsection (g) as subsection 

24 (f); 


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1 (2) in subsection (d), by inserting ‘‘or address 

2 unique regional concerns’’ after ‘‘entities’’; 

3 (3) in subsection (e)(1)(B), by inserting ‘‘and 

4 dairy cattle waste’’ after ‘‘swine waste’’; and 

5 (4) in subsection (f) (as so redesignated in para6 graph (1)), by striking ‘‘2007’’ and inserting ‘‘2012’’. 

7 SEC. 7308. AGRICULTURAL TELECOMMUNICATIONS PRO8 GRAM. 

9 Section 1673(h) of the Food, Agriculture, Conserva10 tion, and Trade Act of 1990 (7 U.S.C. 5926(h)) is amended 

11 by striking ‘‘2007’’ and inserting ‘‘2012’’. 

12 SEC. 7309. ASSISTIVE TECHNOLOGY PROGRAM FOR FARM13 ERS WITH DISABILITIES. 

14 Section 1680(c)(1) of the Food, Agriculture, Conserva15 tion, and Trade Act of 1990 (7 U.S.C. 5933(c)(1)) is 

16 amended by striking ‘‘2007’’ and inserting ‘‘2012’’. 

17 SEC. 7310. ORGANIC RESEARCH. 

18 (a) IN GENERAL.—The Organic Agriculture Research 

19 and Extension Initiative (section 1672B of the Food, Agri20 culture, Conservation, and Trade Act of 1990 (7 U.S.C. 

21 5925b)) is amended— 

22 (1) in subsection (a)— 

23 (A) in paragraph (5), by striking ‘‘and’’ 

24 after the semicolon; 


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1 (B) in paragraph (6), at the end by striking 

2 the period and inserting a semicolon; and 

3 (C) by adding at the end the following: 

4 ‘‘(7) examining optimal conservation and envi5 ronmental outcomes relating to organically produced 

6 agricultural products; and 

7 ‘‘(8) developing new and improved seed varieties 

8 that are particularly suited for organic agriculture.’’; 

9 and 

10 (2) by adding at the end the following— 

11 ‘‘(f) AUTHORIZATION OF APPROPRIATIONS.—There is 

12 authorized to be appropriated $25,000,000 for each of fiscal 

13 years 2009 through 2012. 

14 ‘‘(g) ADDITIONAL FUNDING.—In addition to funds 

15 made available under subsection (f), of the funds of the 

16 Commodity Credit Corporation, the Secretary shall make 

17 available to carry out this section a total of $25,000,000 

18 for fiscal years 2008 through 2012.’’. 

19 (b) COORDINATION.—In carrying out this section, the 

20 Secretary shall ensure that the Director of the applicable 

21 Program Office established under section 7104(a) coordi22 nates projects and activities carried out under this section 

23 to ensure, to the maximum extent practicable, that duplica24 tion of effort is eliminated or minimized. 


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1 SEC. 7311. NATIONAL RURAL INFORMATION CENTER 

2 CLEARINGHOUSE. 

3 Section 2381(e) of the Food, Agriculture, Conservation, 

4 and Trade Act of 1990 (7 U.S.C. 3125b(e)) is amended by 

5 striking ‘‘2007’’ and inserting ‘‘2012’’. 

6 SEC. 7312. NEW ERA RURAL TECHNOLOGY PROGRAM. 

7 (a) FUNCTIONS.— 

8 (1) The Secretary shall establish the ‘‘New Era 

9 Rural Technology Program’’, to make grants avail10 able for technology development, applied research, and 

11 training to aid in the development of an agriculture12 based renewable energy workforce. This initiative 

13 shall support the fields of bioenergy, pulp and paper 

14 manufacturing, and for agriculture-based renewable 

15 energy resources. 

16 (2) To receive funding under this section an en17 tity— 

18 (A) shall be a rural community college or 

19 advanced technological center, in existence on the 

20 date of the enactment of this Act, that partici21 pates in agricultural or bioenergy research and 

22 applied research; 

23 (B) shall have a proven record of develop24 ment and implementation of programs to meet 

25 the needs of students, educators, and business 

26 and industry to supply the agriculture-based, reVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00513 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 newable energy or pulp and paper manufac2 turing fields with certified technicians as deter3 mined by the Secretary of Agriculture; and 

4 (C) shall have the ability to leverage exist5 ing partnerships and occupational outreach and 

6 training programs for secondary schools, 4-year 

7 institutions and relevant non-profit organiza8 tions. 

9 (b) LIMITATION ON AUTHORIZATION OF APPROPRIA10 TIONS.—To carry out this section, there are authorized to 

11 be appropriated such sums as necessary for each of the fiscal 

12 years 2008 through 2012. 

13 (c) COMMUNITY COLLEGES.—In this section, the term 

14 ‘‘community college’’ means an institution of higher edu15 cation— 

16 (1) that admits as regular students persons who 

17 are beyond the age of compulsory school attendance in 

18 the State in which the institution is located and who 

19 have the ability to benefit from the training offered by 

20 the institution; 

21 (2) that does not provide an educational pro22 gram for which it awards a bachelor’s degree, or an 

23 equivalent degree; and 

24 (3) that— 


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1 (A) provides an educational program of not 

2 less than two years that is acceptable for full 

3 credit toward such a degree; or 

4 (B) offers a two-year program in engineer5 ing, technology, mathematics, or the physical, 

6 chemical or biological sciences, designed to pre7 pare a student to work as a technician or at the 

8 semiprofessional level in engineering, scientific, 

9 or other technological fields requiring the under10 standing and application of basic engineering, 

11 scientific, or mathematical principles of knowl12 edge. 

13 (d) GRANT PRIORITY.—Preference shall be given to 

14 rural community colleges working in partnership to im15 prove information sharing capacity and to maximize the 

16 ability to meet the requirements of this section. 

17 Subtitle D—Agricultural Research, 

18 Extension, and Education Re19 form Act of 1998 

20 SEC. 7401. PARTNERSHIPS FOR HIGH-VALUE AGRICUL21 TURAL PRODUCT QUALITY RESEARCH. 

22 Section 402(g) of the Agricultural Research, Exten23 sion, and Education Reform Act of 1998 (7 U.S.C. 7622(g)) 

24 is amended by striking ‘‘2007’’ and inserting ‘‘2012’’. 


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1 SEC. 7402. PRECISION AGRICULTURE. 

2 Section 403(i)(1) of the Agricultural Research, Exten3 sion, and Education Reform Act of 1998 (7 U.S.C. 

4 7623(i)(1)) is amended by striking ‘‘2007’’ and inserting 

5 ‘‘2012’’. 

6 SEC. 7403. BIOBASED PRODUCTS. 

7 (a) PILOT PROJECT.—Section 404(e)(2) of the Agricul8 tural Research, Extension, and Education Reform Act of 

9 1998 (7 U.S.C. 7624(e)(2)) is amended by striking ‘‘2007’’ 

10 and inserting ‘‘2012’’. 

11 (b) AUTHORIZATION OF APPROPRIATIONS.—Section 

12 404(h) of the Agricultural Research, Extension, and Edu13 cation Reform Act of 1998 (7 U.S.C. 7624(h)) is amended 

14 by striking ‘‘2007’’ and inserting ‘‘2012’’. 

15 SEC. 7404. THOMAS JEFFERSON INITIATIVE FOR CROP DI16 VERSIFICATION. 

17 Section 405(h) of the Agricultural Research, Exten18 sion, and Education Reform Act of 1998 (7 U.S.C. 7625(h)) 

19 is amended by striking ‘‘2007’’ and inserting ‘‘2012’’. 

20 SEC. 7405. INTEGRATED RESEARCH, EDUCATION, AND EX21 TENSION COMPETITIVE GRANTS PROGRAM. 

22 Section 406(f) of the Agricultural Research, Extension, 

23 and Education Reform Act of 1998 (7 U.S.C. 7626(f)) is 

24 amended by striking ‘‘2007’’ and inserting ‘‘2012’’. 


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1 SEC. 7406. FUSARIUM GRAMINEARUM GRANTS. 

2 Section 408 of the Agricultural Research, Extension, 

3 and Education Reform Act of 1998 (7 U.S.C. 7628(e)) is 

4 amended— 

5 (1) in the heading for such section, by striking 

6 ‘‘GRANT’’ and inserting ‘‘GRANTS’’; and 

7 (2) in subsection (e), by striking ‘‘2007’’ and in8 serting ‘‘2012’’. 

9 SEC. 7407. BOVINE JOHNE’S DISEASE CONTROL PROGRAM. 

10 Section 409(b) of the Agricultural Research, Exten11 sion, and Education Reform Act of 1998 (7 U.S.C. 7629(b)) 

12 is amended by striking ‘‘2007’’ and inserting ‘‘2012’’. 

13 SEC. 7408. GRANTS FOR YOUTH ORGANIZATIONS. 

14 Section 410 of the Agricultural Research, Extension, 

15 and Education Reform Act of 1998 (7 U.S.C. 7630) is 

16 amended by striking subsections (b) and (c) and inserting 

17 the following: 

18 ‘‘(b) FLEXIBILITY.—The Secretary shall provide max19 imum flexibility in content delivery to each organization 

20 receiving funds under this section so as to ensure that the 

21 unique goals of each organization, as well as the local com22 munity needs are fully met. 

23 ‘‘(c) REDISTRIBUTION OF FUNDING WITHIN ORGANI24 ZATIONS AUTHORIZED.—Recipients of funds under this sec25 tion are authorized to redistribute all or part of the funds 

26 received to individual councils or local chapters within such 


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1 organization without further need of approval from the Sec2 retary. 

3 ‘‘(d) AUTHORIZATION OF APPROPRIATIONS.—There 

4 are authorized to be appropriated to carry out this section 

5 such sums as are necessary for each of fiscal years 2008 

6 through 2012.’’. 

7 SEC. 7409. AGRICULTURAL BIOTECHNOLOGY RESEARCH 

8 AND DEVELOPMENT FOR DEVELOPING COUN9 TRIES. 

10 Section 411(c) of the Agricultural Research, Extension, 

11 and Education Reform Act of 1998 (7 U.S.C. 7631(c)) is 

12 amended by striking ‘‘2007’’ and inserting ‘‘2012’’. 

13 SEC. 7410. AGRICULTURAL BIOENERGY AND BIOBASED 

14 PRODUCTS RESEARCH INITIATIVE. 

15 Title IV of the Agricultural Research, Extension, and 

16 Education Reform Act of 1998 (7 U.S.C. 7621 et seq.) is 

17 amended by adding at the end the following: 

18 ‘‘SEC. 412. AGRICULTURAL BIOENERGY AND BIOBASED 

19 PRODUCTS RESEARCH INITIATIVE. 

20 ‘‘(a) DEFINITION.—For the purposes of this section, the 

21 term ‘Initiative’ means the agricultural bioenergy and 

22 biobased products research initiative established by sub23 section (b). 

24 ‘‘(b) ESTABLISHMENT.—There is established within 

25 the Department a bioenergy and biobased products research 


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1 initiative to enhance the production, sustainability, and 

2 conversion of biomass to renewable fuels and related prod3 ucts. 

4 ‘‘(c) LABORATORY NETWORK.— 

5 ‘‘(1) IN GENERAL.—The Secretary shall carry 

6 out the Initiative through a bioenergy and biobased 

7 product laboratory network that may consist of— 

8 ‘‘(A) Federal agencies; 

9 ‘‘(B) national laboratories; 

10 ‘‘(C) colleges and universities; 

11 ‘‘(D) research institutions and organiza12 tions; 

13 ‘‘(E) private organizations or corporations; 

14 ‘‘(F) State agricultural experiment stations; 

15 and 

16 ‘‘(G) individuals. 

17 ‘‘(2) RESEARCH AND DEVELOPMENT OBJEC18 TIVES.—The laboratory network shall focus on im19 proving biomass production and sustainability, and 

20 improving biomass conversion in biorefineries, by— 

21 ‘‘(A) leveraging the broad scientific capa22 bilities of the Department in— 

23 ‘‘(i) plant genetics and breeding; 

24 ‘‘(ii) crop production; 

25 ‘‘(iii) soil and water science; 


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1 ‘‘(iv) use of agricultural waste; 

2 ‘‘(v) carbohydrate, lipid, protein, and 

3 lignin chemistry and biochemistry; 

4 ‘‘(vi) enzyme development; 

5 ‘‘(vii) fermentation; 

6 ‘‘(viii) microbiology; 

7 ‘‘(ix) cellulosic gasification; and 

8 ‘‘(x) ethanol by-product utilization. 

9 ‘‘(B) supporting bioenergy and biobased 

10 product research that will enhance the produc11 tion, sustainability, and conversion of biomass to 

12 renewable fuels and related products; and 

13 ‘‘(C) supporting bioenergy and biobased 

14 product research, and the dissemination of that 

15 research, that will assist in achieving the goals 

16 of this section. 

17 ‘‘(d) COORDINATION.—In carrying out the Initiative, 

18 the Secretary shall ensure that the Director of the applicable 

19 Program office established under section 7104(a)(1) shall 

20 coordinate projects and activities carried out under the Ini21 tiative with projects and activities under the Biomass Re22 search and Development Act of 2000 (7 U.S.C. 8601 et seq) 

23 to ensure, to the maximum extent practicable, that— 

24 ‘‘(1) duplication of effort is eliminated or mini25 mized; and 


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1 ‘‘(2) the respective strengths of the Department 

2 and the Department of Energy are maximized. 

3 ‘‘(e) RESEARCH PROJECTS.—In carrying out this sec4 tion, the Secretary shall award grants on a competitive 

5 basis. 

6 ‘‘(f) ADMINISTRATION.— 

7 ‘‘(1) IN GENERAL.—For grants awarded under 

8 subsection (e)(2), the Secretary shall— 

9 ‘‘(A) seek and accept proposals for grants; 

10 ‘‘(B) determine the relevance and merit of 

11 proposals through a system of peer review in ac12 cordance with (7 U.S.C. 7613); and 

13 ‘‘(C) award grants on the basis of merit, 

14 quality, and relevance. 

15 ‘‘(2) TERM.—A grant under this section shall 

16 have a term that does not exceed 5 years. 

17 ‘‘(3) OTHER CONDITIONS.—The Secretary may 

18 set such other conditions on the award of a grant 

19 under this section as the Secretary determines appro20 priate. 

21 ‘‘(g) BUILDINGS AND FACILITIES.—Funds made avail22 able under this section shall not be used for the construction 

23 of a new building or facility or the acquisition, expansion, 

24 remodeling, or alteration of an existing building or facility 


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1 (including site grading and improvement and architect 

2 fees). 

3 ‘‘(h) FUNDING.—There is authorized to be appro4 priated $50,000,000 for each of fiscal years 2008 through 

5 2012 to carry out this section.’’. 

6 SEC. 7411. SPECIALTY CROP RESEARCH INITIATIVE. 

7 (a) IN GENERAL.—Title IV of the Agricultural Re8 search, Extension, and Education Reform Act of 1998 (7 

9 U.S.C. 7621 et seq.), as amended by section 7410, is further 

10 amended by adding at the end the following: 

11 ‘‘SEC. 413. SPECIALTY CROP RESEARCH INITIATIVE. 

12 ‘‘(a) DEFINITIONS.—In this section: 

13 ‘‘(1) INITIATIVE.—The term ‘Initiative’ means 

14 the specialty crop research initiative established by 

15 subsection (b). 

16 ‘‘(2) SPECIALTY CROP.—The term ‘specialty 

17 crop’ shall have the meaning given that term in sec18 tion 3(1) of the Specialty Crops Competitiveness Act 

19 of 2004 (7 U.S.C. 1621). 

20 ‘‘(b) ESTABLISHMENT.—There is established within 

21 the Department a specialty crop research initiative to ad22 dress the critical needs of the specialty crop industry by 

23 developing and disseminating science-based tools to address 

24 needs of specific crops and their regions, including— 

25 ‘‘(1) research in— 


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1 ‘‘(A) plant breeding, genetics, and genomics 

2 to improve crop characteristics, such as— 

3 ‘‘(i) product appearance; 

4 ‘‘(ii) environmental responses and tol5 erances; 

6 ‘‘(iii) nutrient management; 

7 ‘‘(iv) pest and disease management; 

8 and 

9 ‘‘(v) enhanced phytonutrient content; 

10 ‘‘(B) safety; 

11 ‘‘(C) quality; 

12 ‘‘(D) yield; 

13 ‘‘(E) taste; and 

14 ‘‘(F) shelf life; 

15 ‘‘(2) efforts to identify and address threats from 

16 invasive species; 

17 ‘‘(3) efforts to improve agricultural production 

18 by developing more technologically efficient and effec19 tive applications of water, nutrients, and pesticides; 

20 ‘‘(4) new innovations and technology, such as en21 hancing mechanization and reducing reliance on 

22 labor; and 

23 ‘‘(5) production efficiency, productivity, profit24 ability and marketing. 


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1 ‘‘(c) ELIGIBLE ENTITIES.—The Secretary may carry 

2 out the Initiative through— 

3 ‘‘(1) Federal agencies; 

4 ‘‘(2) national laboratories; 

5 ‘‘(3) colleges and universities; 

6 ‘‘(4) research institutions and organizations; 

7 ‘‘(5) private organizations or corporations; 

8 ‘‘(6) State agricultural experiment stations; and 

9 ‘‘(7) individuals. 

10 ‘‘(d) RESEARCH PROJECTS.—In carrying out this sec11 tion, the Secretary shall award grants on a competitive 

12 basis. 

13 ‘‘(e) ADMINISTRATION.— 

14 ‘‘(1) IN GENERAL.—For grants awarded under 

15 subsection (d) the Secretary shall— 

16 ‘‘(A) seek and accept proposals for grants; 

17 ‘‘(B) determine the relevance and merit of 

18 proposals through a system of peer review in ac19 cordance with section 103; and 

20 ‘‘(C) award grants on the basis of merit, 

21 quality, and relevance. 

22 ‘‘(2) TERM.—A grant under this section shall 

23 have a term that does not exceed 5 years. 

24 ‘‘(3) OTHER CONDITIONS.—The Secretary may 

25 set such other conditions on the award of a grant 


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1 under this section as the Secretary determines appro2 priate. 

3 ‘‘(f) BUILDINGS AND FACILITIES.—Funds made avail4 able under this section shall not be used for the construction 

5 of a new building or facility or the acquisition, expansion 

6 remodeling, or alteration of an existing building or facility 

7 (including site grading and improvement and architect 

8 fees). 

9 ‘‘(g) FUNDING.—There is authorized to be appro10 priated $100,000,000 for each of fiscal years 2008 through 

11 2012 to carry out this section. 

12 ‘‘(h) ADDITIONAL FUNDING.—In addition to funds 

13 made available under subsection (g), of the funds of the 

14 Commodity Credit Corporation, the Secretary shall make 

15 available to carry out this section a total of $215,000,000 

16 for fiscal years 2008 through 2012.’’. 

17 (b) COORDINATION.— In carrying out this section, the 

18 Secretary shall ensure that the Director of the applicable 

19 Program Office established under section 7104(a) coordi20 nates projects and activities carried out under this section 

21 to ensure, to the maximum extent practicable, that duplica22 tion of effort is eliminated or minimized. 


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1 SEC. 7412. OFFICE OF PEST MANAGEMENT POLICY. 

2 Section 614(f) of the Agricultural Research, Extension, 

3 and Education Reform Act of 1998 (7 U.S.C. 7653(f)) is 

4 amended by striking ‘‘2007’’ and inserting ‘‘2012’’. 

5 Subtitle E—Other Laws 

6 SEC. 7501. CRITICAL AGRICULTURAL MATERIALS ACT. 

7 Section 16(a) of the Critical Agricultural Materials 

8 Act (7 U.S.C. 178n(a)) is amended by striking ‘‘2007’’ and 

9 inserting ‘‘2012’’. 

10 SEC. 7502. EQUITY IN EDUCATIONAL LAND-GRANT STATUS 

11 ACT OF 1994. 

12 (a) ENDOWMENT FOR 1994 INSTITUTIONS.—Section 

13 533(b) of the Equity in Educational Land-Grant Status 

14 Act of 1994 (7 U.S.C. 301 note; Public Law 103–382) is 

15 amended in the first sentence by striking ‘‘2007’’ and in16 serting ‘‘2012’’. 

17 (b) INSTITUTIONAL CAPACITY BUILDING GRANTS.— 

18 Section 535 of the Equity in Educational Land-Grant Sta19 tus Act of 1994 (7 U.S.C. 301 note; Public Law 103–382) 

20 is amended by striking ‘‘2007’’ each place it appears and 

21 inserting ‘‘2012’’. 

22 (c) RESEARCH GRANTS.—Section 536(c) of the Equity 

23 in Educational Land-Grant Status Act of 1994 (7 U.S.C. 

24 301 note; Public Law 103–382) is amended in the first sen25 tence by striking ‘‘2007’’ and inserting ‘‘2012’’. 


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1 SEC. 7503. AGRICULTURAL EXPERIMENT STATION RE2 SEARCH FACILITIES ACT. 

3 Section 6(a) of the Research Facilities Act (7 U.S.C. 

4 390d(a)) is amended by striking ‘‘2007’’ and inserting 

5 ‘‘2012’’. 

6 SEC. 7504. NATIONAL AGRICULTURAL RESEARCH, EXTEN7 SION, AND TEACHING POLICY ACT AMEND8 MENTS OF 1985. 

9 Section 1431 of the National Agricultural Research, 

10 Extension, and Teaching Policy Act Amendments of 1985 

11 (Public Law 99–198; 99 Stat. 1556) is amended by striking 

12 ‘‘2007’’ and inserting ‘‘2012’’. 

13 SEC. 7505. COMPETITIVE, SPECIAL, AND FACILITIES RE14 SEARCH GRANT ACT (NATIONAL RESEARCH 

15 INITIATIVE). 

16 Section 2 of the Competitive, Special, and Facilities 

17 Research Grant Act (7 U.S.C. 450i) is amended— 

18 (1) in subsection (b)(10), by striking ‘‘2007’’ and 

19 inserting ‘‘2012’’; and 

20 (2) by striking subsection (g). 

21 SEC. 7506. AGRICULTURAL RISK PROTECTION ACT OF 2000 

22 (CARBON CYCLE RESEARCH). 

23 Section 221(g) of the Agricultural Risk Protection Act 

24 of 2000 (7 U.S.C. 6711(g)) is amended by striking ‘‘2007’’ 

25 and inserting ‘‘2012’’. 


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1 SEC. 7507. RENEWABLE RESOURCES EXTENSION ACT OF 

2 1978. 

3 (a) AUTHORIZATION OF APPROPRIATIONS.—Section 6 

4 of the Renewable Resources Extension Act of 1978 (16 

5 U.S.C. 1675) is amended by striking ‘‘2007’’ and inserting 

6 ‘‘2012’’. 

7 (b) TERMINATION DATE.—Section 8 of the Renewable 

8 Resources Extension Act of 1978 (16 U.S.C. 1671 note; Pub9 lic Law 95–306) is amended by striking ‘‘2007’’ and insert10 ing ‘‘2012’’. 

11 SEC. 7508. NATIONAL AQUACULTURE ACT OF 1980. 

12 Section 10 of the National Aquaculture Act of 1980 

13 (16 U.S.C. 2809) is amended by striking ‘‘2007’’ each place 

14 it appears and inserting ‘‘2012’’. 

15 SEC. 7509. CONSTRUCTION OF A CHINESE GARDEN AT THE 

16 NATIONAL ARBORETUM. 

17 The Act of March 4, 1927 (20 U.S.C. 191 et seq.), is 

18 amended by adding at the end the following: 

19 ‘‘SEC. 197. CONSTRUCTION OF A CHINESE GARDEN AT THE 

20 NATIONAL ARBORETUM. 

21 ‘‘A Chinese Garden may be constructed at the National 

22 Arboretum established under this Act with— 

23 ‘‘(1) funds accepted under the provisions of sec24 tion 195 (20 U.S.C. 195); 

25 ‘‘(2) authorities provided to the Secretary of Ag26 riculture under section 196 (20 U.S.C. 196); and 


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1 ‘‘(3) appropriations provided for this purpose.’’. 

2 SEC. 7510. PUBLIC EDUCATION REGARDING USE OF BIO3 TECHNOLOGY IN PRODUCING FOOD FOR 

4 HUMAN CONSUMPTION. 

5 Section 10802(b) of the Farm Security and Rural In6 vestment Act of 2002 (7 U.S.C. 5921a(b))is amended by 

7 striking ‘‘2007’’ and inserting ‘‘2012’’. 

8 SEC. 7511. FRESH CUT PRODUCE SAFETY GRANTS. 

9 (a) IN GENERAL.—The Secretary may award competi10 tive research and extension grants to eligible entities to en11 able such entities to design, implement, and evaluate inno12 vative, cost-effective programs to improve and enhance the 

13 safety of fresh cut produce. 

14 (b) ELIGIBLE ENTITIES.—To be eligible to receive a 

15 grant under subsection (a) an entity shall— 

16 (1) be a university, college, or other entity des17 ignated by the Secretary; and 

18 (2) have developed partnerships with producers 

19 of fresh cut produce. 

20 (c) USE OF FUNDS.—An entity shall use funds re21 ceived under a grant under this section to— 

22 (1) improve sanitation and food safety practices 

23 in the processing of fresh cut produce; 

24 (2) develop improved techniques to monitor and 

25 inspect fresh cut produce; 


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1 (3) develop efficient, rapid and sensitive methods 

2 to detect contaminants in fresh cut produce; 

3 (4) determine the sources of contamination in 

4 fresh cut produce; 

5 (5) develop methods to reduce or destroy harmful 

6 pathogens before, during, and after processing of fresh 

7 cut produce; and 

8 (6) conduct other research as determined appro9 priate by the Secretary. 

10 (d) MATCHING FUNDS REQUIRED.—The Secretary 

11 shall require the recipient of a grant under this section to 

12 provide funds or in-kind support from non-Federal sources 

13 in an amount at least equal to the amount provided by 

14 the Federal Government. 

15 (e) COORDINATION.—In carrying out this section, the 

16 Secretary shall ensure that the Director of the applicable 

17 Program Office established under section 7104(a) coordi18 nates projects and activities carried out under this section 

19 to ensure, to the maximum extent practicable, that duplica20 tion of effort is eliminated or minimized. 

21 (f) AUTHORIZATION OF APPROPRIATIONS.—There are 

22 authorized to be appropriated such sums as are necessary 

23 to carry out this section for each of fiscal years 2008 

24 through 2012. 


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1 (g) ADDITIONAL FUNDING.—In addition to funds 

2 made available under subsection (f), of the funds of the 

3 Commodity Credit Corporation, the Secretary shall make 

4 available to carry out this section a total of $25,000,000 

5 for fiscal years 2008 through 2012. 

6 SEC. 7512. UDC/EFNEP ELIGIBILITY. 

7 Section 208 of the District of Columbia Public Postsec8 ondary Education Reorganization Act (Public Law 93– 

9 471) is amended— 

10 (1) in subsection (b)(2), by striking ‘‘, except’’ 

11 and all that follows through the period and inserting 

12 a period; and 

13 (2) in subsection (c), by striking ‘‘section 3’’ each 

14 place it appears and inserting ‘‘section 3(c)’’. 

15 SEC. 7513. SMITH-LEVER ACT. 

16 Section 3(e)(4) of the Smith-Lever Act (7 U.S.C. 

17 343(e)(4)) is amended— 

18 (1) in the paragraph heading, by inserting ‘‘AND

19 THE DISTRICT OF COLUMBIA’’ after ‘‘AREAS’’; 

20 (2) in subparagraph (A), by inserting ‘‘ and the 

21 District of Columbia’’ after ‘‘United States’’; 

22 (3) in subparagraph (A), by inserting ‘‘and the 

23 District of Columbia’’ after ‘‘respectively,’’; and 

24 (4) in subparagraph (B), by inserting ‘‘or the 

25 District of Columbia’’ after ‘‘area’’. 


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1 SEC. 7514. HATCH ACT OF 1987. 

2 Section 3(d)(4) of the Hatch Act of 1887 (7 U.S.C. 

3 351c(d)(4)) is amended— 

4 (1) in the paragraph heading, by inserting ‘‘AND

5 THE DISTRICT OF COLUMBIA’’ after ‘‘AREAS’’; 

6 (2) in subparagraph (A), by inserting ‘‘ and the 

7 District of Columbia’’ after ‘‘United States’’; 

8 (3) in subparagraph (A), by inserting ‘‘and the 

9 District of Columbia’’ after ‘‘respectively,’’; and 

10 (4) in subparagraph (B), by inserting ‘‘or the 

11 District of Columbia’’ after ‘‘area’’. 

12 Subtitle F—Additional Provisions 

13 SEC. 7601. MERIT REVIEW OF EXTENSION AND EDU14 CATIONAL GRANTS. 

15 Section 103 of the Agricultural Research, Extension, 

16 and Education Reform Act of 1998 (7 U.S.C. 7613) is 

17 amended in subsection (a)(2)(A), by striking ‘‘Cooperative 

18 State Research, Education, and Extension Service of the 

19 Department’’ and inserting ‘‘the National Institute for 

20 Food and Agriculture.’’. 

21 SEC. 7602. REVIEW OF PLAN OF WORK REQUIREMENTS. 

22 (a) REVIEW.—The Secretary shall work with univer23 sity partners in extension and research to review and iden24 tify measures to streamline the submission, reporting under, 

25 and implementation of plan of work requirements including 

26 those under— 


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1 (1) section 1444 and 1444(d) and 1445(c) of the 

2 National Agricultural Research, Extension, and 

3 Teaching Policy Act of 1977 (7 U.S.C. 3221(d) and 

4 3222(c), respectively); 

5 (2) section 7 of the Hatch Act of 1887 (7 U.S.C. 

6 361g); and 

7 (3) section 4 of the Smith-Lever Act (7 U.S.C. 

8 344). 

9 (b) REPORT.—Not later than 180 days after the date 

10 of the enactment of this Act, the Secretary shall provide to 

11 the Committee on Agriculture of the House of Representa12 tives and the Committee on Agriculture, Nutrition, and 

13 Forestry of the Senate a report regarding the review carried 

14 out under subsection (a). The report shall include rec15 ommendations— 

16 (1) to reduce the administrative burden and 

17 workload upon institutions associated with plan of 

18 work compliance while meeting Department reporting 

19 needs for inputs, outputs, and outcome indicators; 

20 (2) to streamline the submission and reporting 

21 requirements of the plan of work such that it is of 

22 practical utility to both the department and the insti23 tution; and 

24 (3) for any legislative changes necessary to carry 

25 out the plan of work improvements. 


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1 (c) CONSULTATION.—In carrying out the review and 

2 formulating and compiling the recommendations, the Sec3 retary shall consult with the land grant institutions. 

4 SEC. 7603. MULTISTATE AND INTEGRATION FUNDING. 

5 (a) FUNDS EXPENDED ON INTEGRATION OF RE6 SEARCH AND EXTENSION.—Section 3 of the Hatch Act of 

7 1887 (7 U.S.C. 361c) is amended— 

8 (1) in subsection (i)(2)(B), by striking ‘‘the lesser 

9 of’’ and inserting ‘‘25 percent’’; and 

10 (2) by striking clauses (i) and (ii). 

11 (b) FUNDS EXPENDED ON MULTISTATE COOPERATIVE

12 EXTENSION ACTIVITIES.—Section 3 of the Smith Lever Act 

13 (7 U.S.C. 343) is amended— 

14 (1) in subsection (h)(2)(B), by striking ‘‘the less15 er of’’ and inserting ‘‘25 percent’’; and 

16 (2) by striking clauses (i) and (ii). 

17 SEC. 7604. EXPANDED FOOD AND NUTRITION EDUCATION 

18 PROGRAM. 

19 (a) FUNDING TO 1862, 1890, AND INSULAR AREA IN20 STITUTIONS.—Section 1425(c)(2)(B) of the National Agri21 culture Research, Extension, and Teaching Policy Act of 

22 1977 (7 U.S.C. 3175(c)(2)(B)) is amended— 

23 (1) in the prefatory material, by striking 

24 ‘‘among the States’’; 


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1 (2) by striking clause (i) and inserting the fol2 lowing: 

3 ‘‘(i) $100,000 shall be distributed to 

4 each of the land grant colleges and univer5 sities;’’; 

6 (3) by redesignating clause (ii) as clause (iii); 

7 (4) by inserting after clause (i) the following: 

8 ‘‘(ii) subject to subsection (d), of the re9 mainder, 10 percent in fiscal year 2008, 11 

10 percent in fiscal year 2009, 12 percent in 

11 fiscal year 2010, 13 percent in fiscal year 

12 2011, 14 percent in fiscal year 2012, and 

13 15 percent in fiscal year 2013 and each fis14 cal year thereafter, shall be allocated to each 

15 1890 Institution (as defined in section 2 of 

16 the Agricultural Research, Extension, and 

17 Education Reform Act of 1998) in an 

18 amount that bears the same ratio to the 

19 total amount to be allocated under this 

20 clause as the population of the State living 

21 at or below 125 percent of the income pov22 erty guidelines prescribed by the Office of 

23 Management and Budget (adjusted pursu24 ant to section 673(2) of the Omnibus Budg25 et Reconciliation Act of 1981 (42 U.S.C. 


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1 9902)), bears to the total population of all 

2 the States that have 1890 Institutions living 

3 at or below 125 percent of the income pov4 erty guidelines, as determined by the last 

5 preceding decennial census at the time each 

6 such additional amount is first appro7 priated: Provided, That the total allocated 

8 under this clause shall not exceed (I) the 

9 amount of the funds appropriated for the 

10 conduct of the expanded food and nutrition 

11 education program for the fiscal year that 

12 are in excess of the amount appropriated 

13 for the conduct of the program for the fiscal 

14 year ending September 30, 2007, reduced by 

15 (II) any amounts expended pursuant to any 

16 adjustment under subsection (d); and’’; and 

17 (5) by amending clause (iii), as redesignated— 

18 (A) by striking ‘‘allocated to each State’’ 

19 and inserting ‘‘allocated to the institution eligi20 ble to receive funds under the Act of July 2, 1862 

21 (and including the appropriate insular area in22 stitution) in each State (and the University of 

23 the District of Columbia, notwithstanding sec24 tion 208(c) of Public Law 93–471)’’; and 


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1 (B) by striking ‘‘subparagraph.’’ and insert2 ing ‘‘subparagraph: Provided, That the total al3 located under this clause to the University of the 

4 District of Columbia shall not exceed (I) the 

5 amount described in the proviso to clause (ii), 

6 reduced further by (II) the amount allocated 

7 under clause (ii).’’. 

8 (b) AUTHORIZATION.—Section 1425(c)(3) of the Na9 tional Agriculture Research, Extension, and Teaching Pol10 icy Act of 1977 (7 U.S.C. 3175(c)(3)) is amended by strik11 ing ‘‘$83,000,000 for each of fiscal years 1996 though 2007’’ 

12 and inserting ‘‘$90,000,000 for each of fiscal years 2008 

13 through 2014’’. 

14 (c) EFFECTIVE DATE.—The amendments made by this 

15 section take effect on October 1, 2007. 

16 SEC. 7605. GRANTS TO 1890 SCHOOLS TO EXPAND EXTEN17 SION CAPACITY. 

18 Section 1417(b)(4) of the National Agricultural Re19 search, Extension, and Teaching Policy Act of 1977 (7 

20 U.S.C. 3152(b)(4)) is amended by striking ‘‘teaching and 

21 research’’ and inserting ‘‘teaching, research, and extension’’. 

22 SEC. 7606. BORLAUG INTERNATIONAL AGRICULTURAL 

23 SCIENCE AND TECHNOLOGY FELLOWSHIP 

24 PROGRAM. 

25 (a) ESTABLISHMENT.— 


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1 (1) IN GENERAL.—The Secretary of Agriculture 

2 shall establish a fellowship program to be known as 

3 the ‘‘Borlaug International Agricultural Science and 

4 Technology Fellowship Program,’’ to provide fellow5 ships for scientific training to individuals from eligi6 ble countries (as described under subsection (b)) who 

7 specialize in agricultural education, research, and ex8 tension for study in the United States. 

9 (2) PROGRAMS.—The Secretary shall carry out 

10 the program established under paragraph (1) through 

11 3 programs designed to assist individual fellowship 

12 recipients as follows: 

13 (A) A Graduate Studies Program in Agri14 culture to assist individuals who participate in 

15 graduate agricultural degree training at a 

16 United States institution. 

17 (B) An Individual Career Improvement 

18 Program to assist agricultural scientists from de19 veloping countries to upgrade skills and under20 standing in agricultural science and technology. 

21 (C) The Borlaug Agricultural Policy Execu22 tive Leadership Course to assist senior agricul23 tural policy makers from eligible countries with 

24 an initial focus on sub-Saharan Africa and from 


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1 the newly independent states of the former Soviet 

2 Union. 

3 (b) ELIGIBLE COUNTRIES.—Developing countries, as 

4 determined by the Secretary using a gross national income 

5 per capita test, shall be eligible to participate in the pro6 gram established under this section. 

7 (c) PURPOSE OF FELLOWSHIPS.—Fellowships under 

8 this section shall promote food security and economic 

9 growth in eligible countries by educating a new generation 

10 of agricultural scientists, increasing scientific knowledge 

11 and collaborative research to improve agricultural produc12 tivity, and extending this knowledge to users and their 

13 intermediaries in the market place. Fellowships shall sup14 port— 

15 (1) training and collaborative research opportu16 nities through exchanges for entry-level international 

17 agricultural research scientists, faculty, and policy18 makers from eligible countries; 

19 (2) collaborative research to improve agricultural 

20 productivity; 

21 (3) the transfer of new science and agricultural 

22 technologies to strengthen agricultural practice; and 

23 (4) the reduction of barriers to technology adop24 tion. 

25 (d) FELLOWSHIP RECIPIENTS.— 


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1 (1) ELIGIBLE CANDIDATES.—The Secretary may 

2 provide fellowships under the program authorized by 

3 this section to individuals from eligible countries who 

4 specialize in or have experience in agricultural edu5 cation, research, extension, or related fields, including 

6 individuals from the public and private sectors, and 

7 private agricultural producers. 

8 (2) CANDIDATE IDENTIFICATION.—The Secretary 

9 shall utilize the expertise of United States land-grant 

10 and similar universities, international organizations 

11 working in agricultural research and outreach, and 

12 national agricultural research organizations to help 

13 identify program candidates for fellowships under 

14 this section from both the public and private sectors 

15 of eligible countries. 

16 (e) USE OF FELLOWSHIPS.—Fellowships shall promote 

17 collaborative programs between agricultural professionals of 

18 eligible countries with those of the United States and the 

19 international agricultural research system and, as appro20 priate, with United States entities conducting research. 

21 They will be used to support fellowship recipients through 

22 the Graduate Studies Program in Agriculture established 

23 under subsection (a)(2)(A). 

24 (f) PROGRAM IMPLEMENTATION.—The Secretary shall 

25 provide for the management, coordination, evaluation and 


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1 monitoring of the overall Borlaug International Agricul2 tural Science and Technology Fellowship Program and for 

3 the individual programs described in subsection (a)(2), ex4 cept that the Secretary may contract out to one or more 

5 collaborating universities the management of one or more 

6 of the fellowship programs. 

7 (g) AUTHORIZATION OF APPROPRIATIONS.—There are 

8 authorized to be appropriated without fiscal year limitation 

9 such sums as may be necessary to carry out the program 

10 established under this section. 

11 SEC. 7607. SUPPORT FOR RESEARCH REGARDING DISEASES 

12 OF WHEAT, TRITICALE, AND BARLEY CAUSED 

13 BY FUSARIUM GRAMINEARUM OR BY 

14 TILLETIA INDICA. 

15 Section 408(e) of the Agricultural Research, Extension, 

16 and Education Reform Act of 1998 (7 U.S.C. 7628(e)) is 

17 amended by striking ‘‘2007’’ and inserting ‘‘2012’’. 

18 SEC. 7608. COST RECOVERY. 

19 Section 1473A of the National Agricultural Research, 

20 Extension, and Teaching Policy Act of 1977 (7 U.S.C. 

21 3319a) is amended by striking ‘‘not exceeding 10 percent 

22 of the direct cost’’ and inserting ‘‘not exceeding 19 percent 

23 of the direct cost’’. 


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1 SEC. 7609. ORGANIC FOOD AND AGRICULTURAL SYSTEMS 

2 FUNDING. 

3 It is the sense of Congress that the Secretary of Agri4 culture should use a share of Agricultural Research Serv5 ice’s total annual funding for research specific to organic 

6 food and agricultural systems that is at least commensurate 

7 with the organic sector’s market, in order to facilitate the 

8 development of this growing sector. A portion of these 

9 funds should be used to disseminate research results through 

10 the National Agriculture Library’s Alternative Farming 

11 Systems Information Center. 

12 TITLE VIII—FORESTRY 

Subtitle A—Cooperative Forestry Assistance Act of 1978 

Sec. 8001. National priorities for private forest conservation. 

Sec. 8002. Long-term, State-wide assessments and strategies for forest resources. 

Sec. 8003. Assistance to the Federated States of Micronesia, the Republic of the 

Marshall Islands, and the Republic of Palau. 

Sec. 8004. Changes to Forest Resource Coordinating Committee. 

Sec. 8005. Changes to State Forest Stewardship Coordinating Committees. 

Sec. 8006. Competition in programs under Cooperative Forestry Assistance Act of 

1978. 

Sec. 8007. Cooperative forest innovation partnership projects. 

Subtitle B—Amendments to Other Laws 

Sec. 8101. Healthy forest reserve program. 

Sec. 8102. Emergency forest restoration program. 

Sec. 8103. Office of International Forestry. 

Sec. 8104. Rural revitalization technologies. 

Subtitle C—Miscellaneous Provisions 

Sec. 8201. Hispanic-serving institution agricultural land national resources leadership program. 


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1 Subtitle A—Cooperative Forestry 

2 Assistance Act of 1978 

3 SEC. 8001. NATIONAL PRIORITIES FOR PRIVATE FOREST 

4 CONSERVATION. 

5 Section 2 of the Cooperative Forestry Assistance Act 

6 of 1978 (16 U.S.C. 2101) is amended— 

7 (1) by redesignating subsections (c) and (d) as 

8 subsections (e) and (f), respectively; and 

9 (2) by inserting after subsection (b) the following 

10 new subsections: 

11 ‘‘(c) PRIORITIES.—In allocating funds appropriated 

12 or otherwise made available under this Act, the Secretary 

13 shall focus on the following national private forest conserva14 tion priorities, notwithstanding other priorities specified 

15 elsewhere in this Act: 

16 ‘‘(1) Conserving and managing working forest 

17 landscapes for multiple values and uses. 

18 ‘‘(2) Protecting forests from threats, including 

19 wildfire, hurricane, tornado, windstorm, snow or ice 

20 storm, flooding, drought, invasive species, or insect or 

21 disease outbreak, and restoring appropriate forest 

22 types in response to such threats. 

23 ‘‘(3) Enhancing public benefits from private for24 ests, including air and water quality, soil conserva25 tion, biological diversity, carbon storage, forest prodVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00543 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 ucts, forestry-related jobs, production of renewable en2 ergy, wildlife and wildlife habitat, and recreation. 

3 ‘‘(d) REPORTING REQUIREMENT.—Not later than Sep4 tember 30, 2011, the Secretary shall submit to Congress a 

5 report describing how funding was used under this Act and 

6 through other programs administered by the Secretary to 

7 address the national priorities specified in subsection (c) 

8 and the outcomes achieved in meeting the national prior9 ities.’’. 

10 SEC. 8002. LONG-TERM, STATE-WIDE ASSESSMENTS AND 

11 STRATEGIES FOR FOREST RESOURCES. 

12 The Cooperative Forestry Assistance Act of 1978 is 

13 amended by inserting after section 2 (16 U.S.C. 2101) the 

14 following new section: 

15 ‘‘SEC. 2A. STATE-WIDE ASSESSMENT AND STRATEGIES FOR 

16 FOREST RESOURCES. 

17 ‘‘(a) ASSESSMENT AND STRATEGIES FOR FOREST RE18 SOURCES.—For a State to be eligible to receive funds under 

19 the authorities of this Act, the State forester of the State 

20 or equivalent State official shall develop and submit to the 

21 Secretary, not later than two years after the date of the 

22 enactment of the Farm, Nutrition, and Bioenergy Act of 

23 2007, the following: 

24 ‘‘(1) A State-wide assessment of forest resource 

25 conditions, including— 


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1 ‘‘(A) the conditions and trends of forest re2 sources in that State; 

3 ‘‘(B) the threats to forest lands and re4 sources in that State consistent with the national 

5 priorities specified in section 2(c); 

6 ‘‘(C) any areas or regions of that State that 

7 are of priority; and 

8 ‘‘(D) any areas, known as multi-State 

9 areas, that are of priority to more than just that 

10 State. 

11 ‘‘(2) A State-wide forest resource strategy, in12 cluding— 

13 ‘‘(A) strategies for addressing threats to for14 est resources in the State outlined in the assess15 ment required by paragraph (1); and 

16 ‘‘(B) a description of the resources available 

17 to the State forester or equivalent State official 

18 from all sources to address the State-wide strat19 egy required by subparagraph (A). 

20 ‘‘(b) UPDATING.—The State forester or equivalent 

21 State official shall submit the State-wide strategy required 

22 by subsection (a)(2) on an annual basis. The State-wide 

23 assessment of forest resource conditions required by sub24 section (a)(1) shall be updated as the Secretary or State 


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1 Forester or equivalent State official determines to be nec2 essary. 

3 ‘‘(c) COORDINATION.—In developing the State-wide as4 sessment and annual strategy under subsection (a), the 

5 State forester or equivalent State official shall coordinate 

6 with— 

7 ‘‘(1) the State Forest Stewardship Coordinating 

8 Committee established for the State under section 

9 19(b); 

10 ‘‘(2) the State wildlife agency to incorporate any 

11 overlapping priorities included in State wildlife ac12 tion plans; and 

13 ‘‘(3) the State Technical Committee. 

14 ‘‘(d) FUNDING.—Of the funds available under this Act 

15 for a fiscal year, the Secretary may not use more than 

16 $10,000,000 to implement this section for that fiscal year. 

17 Use of funds for implementing this section shall be con18 sistent with the original authorities for such funds.’’. 

19 SEC. 8003. ASSISTANCE TO THE FEDERATED STATES OF MI20 CRONESIA, THE REPUBLIC OF THE MARSHALL 

21 ISLANDS, AND THE REPUBLIC OF PALAU. 

22 Section 13(d)(1) of the Cooperative Forestry Act of 

23 1978 (16 U.S.C. 2109(d)(1)) is amended by striking ‘‘the 

24 Trust Territory of the Pacific Islands,’’ and inserting ‘‘the 


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1 Federated States of Micronesia, the Republic of the Marshall 

2 Islands, the Republic of Palau,’’. 

3 SEC. 8004. CHANGES TO FOREST RESOURCE COORDI4 NATING COMMITTEE. 

5 Section 19 of the Cooperative Forestry Assistance Act 

6 of 1978 (16 U.S.C. 2113) is amended by striking subsection 

7 (a) and inserting the following new subsection: 

8 ‘‘(a) FOREST RESOURCE COORDINATING COM9 MITTEE.— 

10 ‘‘(1) ESTABLISHMENT.—The Secretary shall es11 tablish a committee, to be known as the ‘Forest Re12 source Coordinating Committee’ (in this section re13 ferred to as the ‘Coordinating Committee’), to coordi14 nate private non-industrial forestry activities within 

15 the Department of Agriculture and with the private 

16 sector. 

17 ‘‘(2) COMPOSITION.—The Coordinating Com18 mittee shall be composed of the following: 

19 ‘‘(A) The Chief of the Forest Service. 

20 ‘‘(B) The Chief of the Natural Resources 

21 Conservation Service. 

22 ‘‘(C) The Director of the Farm Service 

23 Agency. 


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1 ‘‘(D) The Administrator of the Cooperative 

2 State Research, Education, and Extension Serv3 ice. 

4 ‘‘(E) A representative from a State Tech5 nical Committee established under section 1261 

6 of the Food Security Act of 1985 (16 U.S.C. 

7 3861). 

8 ‘‘(F) Non-Federal representatives appointed 

9 by the Secretary to 3 year terms, although ini10 tial appointees shall have staggered terms, in11 cluding the following persons: 

12 ‘‘(i) At least three State foresters or 

13 equivalent State officials from geographi14 cally diverse regions of the United States. 

15 ‘‘(ii) A representative of a State fish 

16 and wildlife agency. 

17 ‘‘(iii) A private non-industrial forest 

18 landowner. 

19 ‘‘(iv) A forest industry representative. 

20 ‘‘(v) A conservation organization rep21 resentative. 

22 ‘‘(vi) A land-grant university or college 

23 representative. 

24 ‘‘(vii) A private forestry consultant. 


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1 ‘‘(viii) A representative of a State fish 

2 and wildlife agency. 

3 ‘‘(ix) Such other persons as determined 

4 by the Secretary to be appropriate. 

5 ‘‘(3) CHAIRPERSON.—The Chief of the Forest 

6 Service shall serve as chairperson of the Coordinating 

7 Committee. 

8 ‘‘(4) DUTIES.—The Coordinating Committee 

9 shall— 

10 ‘‘(A) provide direction and coordination of 

11 actions within the Department of Agriculture, 

12 and coordination with State agencies and the 

13 private sector, to effectively address the national 

14 priorities specified in section 2(c), with specific 

15 focus on private non-industrial forest land16 owners; 

17 ‘‘(B) clarify individual agency responsibil18 ities of each agency represented on the Coordi19 nating Committee concerning the national prior20 ities specified in section 2(c), with specific focus 

21 on private non-industrial forested land; 

22 ‘‘(C) provide advice on the allocation of 

23 funds, including the competitive funds set-aside 

24 by sections 8005 and 8006 of the Farm, Nutri25 tion, and Bioenergy Act of 2007; and 


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1 ‘‘(D) assist the Secretary in developing and 

2 reviewing the report required by section 2(d). 

3 ‘‘(5) MEETING.—The Coordinating Committee 

4 shall meet biannually to discuss progress in address5 ing the national priorities specified in section 2(c) 

6 and issues regarding non-industrial private forest 

7 land. 

8 ‘‘(6) COMPENSATION.— 

9 ‘‘(A) FEDERAL MEMBERS.—Members of the 

10 Coordinating Committee who are full-time offi11 cers or employees of the United States shall re12 ceive no additional pay, allowances, or benefits 

13 by reason of their service on the Committee. 

14 ‘‘(B) NON-FEDERAL MEMBERS.—Non-fed15 eral members of the Coordinating Committee 

16 shall serve without pay, but may be reimbursed 

17 for reasonable costs incurred while performing 

18 their duties on behalf of the Committee.’’. 

19 SEC. 8005. CHANGES TO STATE FOREST STEWARDSHIP CO20 ORDINATING COMMITTEES. 

21 Section 19(b) of the Cooperative Forestry Assistance 

22 Act of 1978 (16 U.S.C. 2113(b)) is amended— 

23 (1) in paragraph (1)(B)(ii)— 

24 (A) by striking ‘‘and’’ at the end of sub25 clause (VII); and 


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1 (B) by adding at the end the following new 

2 subclause: 

3 ‘‘(IX) the State Technical Com4 mittee.’’. 

5 (2) in paragraph (2)(C), by striking ‘‘a Forest 

6 Stewardship Plan under paragraph (3)’’ and insert7 ing ‘‘the State-wide assessment and strategy regard8 ing forest resource conditions under section 2A’’; 

9 (3) by striking paragraphs (3) and (4); and 

10 (4) by redesignating paragraphs (5) and (6) as 

11 paragraphs (3) and (4), respectively. 

12 SEC. 8006. COMPETITION IN PROGRAMS UNDER COOPERA13 TIVE FORESTRY ASSISTANCE ACT OF 1978. 

14 (a) COMPETITION.—Beginning not later than three 

15 years after the date of the enactment of this Act, the Sec16 retary of Agriculture shall competitively allocate a portion, 

17 to be determined by the Secretary, of the funds available 

18 under the Cooperative Forestry Assistance Act of 1978 (16 

19 U.S.C. 2101 et seq.) to State foresters or equivalent State 

20 officials. 

21 (b) DETERMINATION.—In determining the competitive 

22 allocation of funds under subsection (a), the Secretary shall 

23 consult with the Forest Resource Coordinating Committee 

24 established by section 19(a) of the Cooperative Forestry As25 sistance Act of 1978 (16 U.S.C. 2113(a)). 


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1 (c) PRIORITY.—The Secretary shall give priority for 

2 funding to States for which the strategies submitted under 

3 section 2A(a)(2) of the Cooperative Forestry Assistance Act 

4 of 1978 will best promote the national priorities specified 

5 in section 2(c) of such Act. 

6 SEC. 8007. COOPERATIVE FOREST INNOVATION PARTNER7 SHIP PROJECTS. 

8 (a) COOPERATIVE FOREST INNOVATION PARTNERSHIP

9 PROJECTS.—The Secretary of Agriculture may competi10 tively allocate not more than 5 percent of funding available 

11 under the Cooperative Forestry Assistance Act of 1978 (16 

12 U.S.C. 2101 et seq.) to support innovative national, re13 gional, or local education, outreach, or technology transfer 

14 projects that the Secretary determines would substantially 

15 increase the ability of the Department of Agriculture to ad16 dress the national priorities specified in section 2(c) of such 

17 Act. 

18 (b) ELIGIBILITY.—Notwithstanding the eligibility lim19 itations contained within the Cooperative Forestry Assist20 ance Act of 1978, any State or local government, Indian 

21 tribe, land-grant college or university, or private entity 

22 shall be eligible for funds under subsection (a). 

23 (c) COST-SHARE REQUIREMENT.—In carrying out 

24 subsection (a), the Secretary shall not cover more than 50 

25 percent of the total cost of a project under such subsection. 


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1 In calculating the total cost of a project and contributions 

2 made with regard to the project, the Secretary shall include 

3 in-kind contributions. 

4 Subtitle B—Amendments to Other 

5 Laws 

6 SEC. 8101. HEALTHY FOREST RESERVE PROGRAM. 

7 Section 508 of the Healthy Forests Restoration Act of 

8 2003 (16 U.S.C. 6578) is amended to read as follows: 

9 ‘‘SEC. 508. FUNDING. 

10 ‘‘Notwithstanding any other provision of law, of the 

11 funds of the Commodity Credit Corporation, the Secretary 

12 shall make available to carry out this title $17,000,000 for 

13 each of fiscal years 2008 through 2012. Such funds shall 

14 remain available until expended.’’. 

15 SEC. 8102. EMERGENCY FOREST RESTORATION PROGRAM. 

16 (a) ESTABLISHMENT.—Title IV of the Agricultural 

17 Credit Act of 1978 (16 U.S.C. 2201–2205) is amended— 

18 (1) by redesignating sections 404, 405, and 406 

19 as sections 405, 406, and 407, respectively; and 

20 (2) by inserting after section 403 the following 

21 new section: 

22 ‘‘SEC. 404. EMERGENCY FOREST RESTORATION PROGRAM. 

23 ‘‘(a) AVAILABILITY OF ASSISTANCE.—The Secretary of 

24 Agriculture is authorized to provide financial and technical 

25 assistance to an owner of non-industrial private forest 


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1 lands to assist with developing and implementing an ap2 proved plan in accordance with subsection (c)(2). 

3 ‘‘(b) AMOUNT OF ASSISTANCE.— 

4 ‘‘(1) COST SHARE.—Payments under subsection 

5 (a) may not cover more than 75 percent of the total 

6 cost of measures implemented pursuant to an ap7 proved plan in accordance with subsection (c)(2). 

8 ‘‘(2) ANNUAL LIMIT.—An owner of non-indus9 trial private forest lands may not receive more than 

10 $50,000 per year under this section. 

11 ‘‘(c) ELIGIBILITY.—To be eligible for assistance under 

12 this section, a landowner must— 

13 ‘‘(1) have suffered a loss of, or damage to, non14 industrial private forest land due to events, including 

15 wildfires, hurricanes, drought, windstorms, insect and 

16 disease, ice storms, or invasive species, as determined 

17 by the Secretary; and 

18 ‘‘(2) develop a plan, in cooperation with the Sec19 retary, and agree to implement the plan during the 

20 10-year period beginning on the date of the loss, 

21 that— 

22 ‘‘(A) provides for reforestation, rehabilita23 tion, and related measures for the non-industrial 

24 private forest land; 


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1 ‘‘(B) restores the land and related natural 

2 resources; 

3 ‘‘(C) uses best management practices on the 

4 forest land, in accordance with the best manage5 ment practices as determined by the Secretary; 

6 and 

7 ‘‘(D) incorporates good stewardship and 

8 conservation practices on the land, while main9 taining the land in a forested state. 

10 ‘‘(d) NON-INDUSTRIAL PRIVATE FOREST LAND DE11 FINED.—In this section, the term ‘non-industrial private 

12 forest land’ means rural lands, as determined by the Sec13 retary, that— 

14 ‘‘(1) have existing tree cover or had tree cover 

15 within the preceding 10 years; and 

16 ‘‘(2) are owned by any non-industrial private 

17 individual, group, association, corporation, Indian 

18 tribe, or other private legal entity so long as the indi19 vidual, group, association, corporation, tribe, or enti20 ty has definitive decision-making authority over the 

21 lands.’’. 

22 (b) REGULATIONS.—Not later than one year after the 

23 date of the enactment of this Act, the Secretary of Agri24 culture shall issue regulations to carry out section 404 of 


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1 the Agricultural Credit Act of 1978, as added by subsection 

2 (a). 

3 SEC. 8103. OFFICE OF INTERNATIONAL FORESTRY. 

4 Section 2405(d) of the Global Climate Change Preven5 tion Act of 1990 (7 U.S.C. 6704(d)) is amended by striking 

6 ‘‘2007’’ and inserting ‘‘2012’’. 

7 SEC. 8104. RURAL REVITALIZATION TECHNOLOGIES. 

8 Section 2371(d)(2) of the Food, Agriculture, Conserva9 tion, and Trade Act of 1990 (7 U.S.C. 6601(d)(2)) is 

10 amended by striking ‘‘2004 through 2008’’ and inserting 

11 ‘‘2008 through 2012’’. 

12 Subtitle C—Miscellaneous 

13 Provisions 

14 SEC. 8201. HISPANIC-SERVING INSTITUTION AGRICUL15 TURAL LAND NATIONAL RESOURCES LEADER16 SHIP PROGRAM. 

17 (a) GRANT AUTHORITY.—The Secretary of Agriculture 

18 may make grants, on a competitive basis, to Hispanic-serv19 ing institutions for the purpose of establishing an under20 graduate scholarship program to assist in the recruitment, 

21 retention, and training of Hispanics and other under-rep22 resented groups in forestry and related fields. 

23 (b) USE OF GRANT FUNDS.—Grants made under this 

24 section shall be used to recruit, retain, train, and develop 

25 professionals to work in forestry and related fields with 


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1 Federal agencies, such as the Forest Service, State agencies, 

2 and private-sector entities. 

3 (c) AUTHORIZATION OF APPROPRIATIONS.—There are 

4 authorized to be appropriated to the Secretary for each of 

5 fiscal years 2008 through 2012 such sums as may be nec6 essary to carry out this section. 

7 TITLE IX—ENERGY 

Sec. 9001. Table of contents. 

Sec. 9002. Federal procurement of biobased products. 

Sec. 9003. Loan guarantees for biorefineries and biofuel production plants. 

Sec. 9004. Energy audit and renewable energy development program. 

Sec. 9005. Renewable energy systems and energy efficiency improvements. 

Sec. 9006. Biomass Research and Development Act of 2000. 

Sec. 9007. Adjustments to the bioenergy program. 

Sec. 9008. Research, extension, and educational programs on biobased energy 

technologies and products. 

Sec. 9009. Energy Council of the Department of Agriculture. 

Sec. 9010. Farm energy production pilot program. 

Sec. 9011. Rural energy self-sufficiency initiative. 

Sec. 9012. Agricultural biofuels from biomass internship pilot program. 

Sec. 9013. Feedstock flexibility program for bioenergy producers. 

Sec. 9014. Dedicated ethanol pipeline feasibility studies. 

Sec. 9015. Biomass inventory report. 

Sec. 9016. Future farmsteads program. 

Sec. 9017. Sense of Congress on renewable energy. 

8 SEC. 9001. TABLE OF CONTENTS. 

9 Title IX of the Farm Security and Rural Investment 

10 Act of 2002 (7 U.S.C. 8101 et seq.) is amended by inserting 

11 before section 9001 the following new section: 

12 ‘‘SEC. 9000. TABLE OF CONTENTS. 

13 ‘‘The table of contents of this title is as follows: 

‘‘TITLE IX - ENERGY 

‘‘Sec. 9000. Short title; table of contents. 

‘‘Sec. 9001. Definitions. 

‘‘Sec. 9002. Federal procurement of biobased products. 

‘‘Sec. 9003. Biorefinery development grants. 

‘‘Sec. 9004. Biodiesel fuel education program. 

‘‘Sec. 9005. Energy audit and renewable energy development program. 


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‘‘Sec. 9006. Rural energy for America program. 

‘‘Sec. 9007. Hydrogen and fuel cell technologies. 

‘‘Sec. 9008. Biomass Research and Development Act of 2000. 

‘‘Sec. 9009. Cooperative research and extension projects. 

‘‘Sec. 9010. Continuation of bioenergy program. 

‘‘Sec. 9011. Research, extension, and educational programs on biobased energy 

technologies and products. 

‘‘Sec. 9012. Energy Council of the Department of Agriculture. 

‘‘Sec. 9013. Farm energy production pilot program. 

‘‘Sec. 9014. Rural energy self-sufficiency initiative. 

‘‘Sec. 9015. Agricultural Biofuels from Biomass Internship Pilot Program. 

‘‘Sec. 9016. Feedstock flexibility program for bioenergy producers.’’. 

1 SEC. 9002. FEDERAL PROCUREMENT OF BIOBASED PROD2 UCTS. 

3 (a) COMPOSITION OF BIOBASED PRODUCTS.—Section 

4 9002(c)(1) of the Farm Security and Rural Investment Act 

5 of 2002 (7 U.S.C. 8102(c)(1)) is amended by inserting ‘‘, 

6 composed of at least five percent of intermediate ingredients 

7 and feedstocks (such as biopolymers, methyl soyate, and soy 

8 polyols) as designated by the Secretary,’’ after ‘‘highest per9 centage of biobased products practicable’’. 

10 (b) PROCUREMENT GUIDELINE CONSIDERATIONS.— 

11 Section 9002(e)(2)(B) of the Farm Security and Rural In12 vestment Act of 2002 (7 U.S.C. 8102(e)(2)(B)) is amended 

13 by striking ‘‘life cycle costs’’ and inserting ‘‘information on 

14 life cycle costs if such information is appropriate and avail15 able’’. 

16 (c) LABELING REQUIREMENTS AND REVISED DEAD17 LINE.—Section 9002(h) of the Farm Security and Rural 

18 Investment Act of 2002 (7 U.S.C. 8102(h)) is amended— 

19 (1) in paragraph (2)— 


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1 (A) by striking ‘‘Within one year after the 

2 date of enactment of this Act’’ and inserting 

3 ‘‘Not later than 90 days after the date of enact4 ment of the ƒFarm, Nutrition, and Bioenergy 

5 Act of 2007≈,’’; and 

6 (B) by adding at the end the following: 

7 ‘‘Criteria shall be issued for finished products 

8 and intermediate ingredients and feedstocks.’’; 

9 (2) by redesignating paragraphs (3) and (4) as 

10 paragraphs (4) and (5), respectively, and inserting 

11 after paragraph (2) the following: 

12 ‘‘(3) CONSULTATION.—In developing the eligi13 bility criteria for the labeling program under this sec14 tion, the Secretary shall consult with other Federal 

15 agencies and with non-governmental groups with an 

16 interest in biobased products including small and 

17 large producers of biobased materials and products, 

18 industry, trade organizations, academia, consumer 

19 organizations, and environmental organizations.’’. 

20 (d) AUTHORIZATION OF APPROPRIATIONS.— 

21 (1) IN GENERAL.—Paragraph (1) of section 

22 9002(k) of the Farm Security and Rural Investment 

23 Act of 2002 (7 U.S.C. 8102(k)) is amended to read as 

24 follows: 

25 ‘‘(1) AUTHORIZATION OF APPROPRIATIONS.— 


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1 ‘‘(A) FEDERAL PROCUREMENT.—There are 

2 authorized to be appropriated $1,000,000 for 

3 each of fiscal years 2008 through 2013 to imple4 ment the provisions of this section other than 

5 subsection (h). 

6 ‘‘(B) LABELING.—There are authorized to 

7 be appropriated $1,000,000 for each of fiscal 

8 years 2008 through 2013 to implement sub9 section (h) of this section.’’. 

10 (2) FUNDING FOR TESTING OF BIOBASED PROD11 UCTS.—Paragraph (2)(A) of such section is amended 

12 by striking ‘‘$1,000,000 for each of fiscal years 2002 

13 through 2007’’ and inserting ‘‘$2,000,000 for each of 

14 fiscal years 2008 through 2013’’. 

15 (e) REPORT REQUIREMENTS.— 

16 (1) REPORT BY AGENCIES TO ADMINISTRATOR

17 FOR FEDERAL PROCUREMENT POLICY.—Subsection (f) 

18 of section 9002 of the Farm Security and Rural In19 vestment Act of 2002 (7 U.S.C. 8102) is amended— 

20 (A) by striking ‘‘The Office of’’ and insert21 ing ‘‘(1) The Administrator for’’; and 

22 (B) by adding at the end the following new 

23 paragraph: 

24 ‘‘(2) To assist the Administrator for Federal Procure25 ment Policy in preparing the report to Congress required 


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1 under paragraph (1), each procuring agency each year shall 

2 submit to the Administrator a report covering the following: 

3 ‘‘(A) Actions taken to implement subsections (c), 

4 (d), and (g) of this section. 

5 ‘‘(B) The results of the annual review and moni6 toring program established under subsection (g)(2)(C). 

7 ‘‘(C) The number of contracts entered into by the 

8 agency during the year covered by the report that in9 clude the procurement of biobased products. 

10 ‘‘(D) A list of the biobased products procured by 

11 the agency during the year covered by the report.’’. 

12 (2) REPORT BY SECRETARY TO CONGRESS ON IM13 PLEMENTATION OF SECTION.—Section 9002 of the 

14 Farm Security and Rural Investment Act of 2002 (7 

15 U.S.C. 8102) is amended by adding at the end the fol16 lowing new subsection: 

17 ‘‘(l) REPORT BY SECRETARY TO CONGRESS ON IMPLE18 MENTATION OF SECTION.—Not later than six months after 

19 the date of the enactment of the Farm, Nutrition, and Bio20 energy Act of 2007, and each year thereafter, the Secretary 

21 shall submit to Congress a report on the implementation 

22 of this section. The report shall include the following: 

23 ‘‘(1) A comprehensive management plan defining 

24 tasks, milestones, and funding allocations for fully 

25 implementing this section. 


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1 ‘‘(2) A list of items designated under subsection 

2 (e)(1)(A) whose procurement will carry out the objec3 tives of this section, with associated cost and perform4 ance data. 

5 ‘‘(3) Information on the current status of imple6 mentation of the procurement preference under this 

7 section, including the procurement program of each 

8 Federal agency under subsection (g), and the vol9 untary labeling program under subsection (h).’’. 

10 (f) REPEAL OF SUBSECTION.—Subsection (b) of sec11 tion 9002 of the Farm Security and Rural Investment Act 

12 of 2002 (7 U.S.C. 8102(b)) is hereby repealed. 

13 SEC. 9003. LOAN GUARANTEES FOR BIOREFINERIES AND 

14 BIOFUEL PRODUCTION PLANTS. 

15 Section 9003 of the Farm Security and Rural Invest16 ment Act of 2002 (7 U.S.C. 8103) is amended— 

17 (1) in the section heading, by inserting ‘‘; LOAN

18 GUARANTEES FOR BIOREFINERIES AND

19 BIOFUEL PRODUCTION PLANTS’’ after 

20 ‘‘GRANTS’’; 

21 (2) in subsection (b)(2)(A), by striking ‘‘and’’ the 

22 1st place it appears and inserting ‘‘or’’; 

23 (3) in subsection (c), by redesignating sub24 sections (d) through (h) as subsections (e) through (i), 


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1 respectively, and inserting after subsection (c) the fol2 lowing: 

3 ‘‘(d) LOAN GUARANTEES.— 

4 ‘‘(1) IN GENERAL.—The Secretary shall make 

5 loan guarantees to eligible entities to assist in paying 

6 the cost of development and construction of biorefin7 eries and biofuel production plants (including retro8 fitting) to carry out projects to demonstrate the com9 mercial viability of 1 or more processes for converting 

10 biomass to fuels or chemicals. 

11 ‘‘(2) LIMITATIONS.— 

12 ‘‘(A) MAXIMUM PERCENTAGE OF LOAN

13 GUARANTEED.—A loan guarantee under para14 graph (1) shall be for not more than 90 percent 

15 of the principal and interest due on the loan. 

16 ‘‘(B) TOTAL AMOUNTS GUARANTEED.—The 

17 total amount of principal and interest guaran18 teed under paragraph (1) shall not exceed— 

19 ‘‘(i) $1,000,000,000, in the case of 

20 loans valued at not more than 

21 $100,000,000; or 

22 ‘‘(ii) $1,000,000,000, in the case of 

23 loans valued at more than $100,000,000 but 

24 not more than $250,000,000. 


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1 ‘‘(C) MAXIMUM TERM OF LOAN GUARAN2 TEED.—The Secretary shall determine the max3 imum term of a loan guarantee provided under 

4 paragraph (1).’’; 

5 (4) in subsection (f) (as so redesignated)— 

6 (A) in paragraph (2)(B)— 

7 (i) by striking ‘‘and’’ at the end of 

8 clause (viii); 

9 (ii) by striking the period at the end of 

10 clause (ix) and inserting ‘‘; and’’; and 

11 (iii) by adding at the end the fol12 lowing: 

13 ‘‘(x) The level of local ownership.’’; and 

14 (B) by adding at the end the following: 

15 ‘‘(3) PRIORITY IN AWARDING LOAN GUARAN16 TEES.—In selecting projects to receive loan guaran17 tees under subsection (d), the Secretary shall give pri18 ority to projects based on the criteria set forth in 

19 paragraph (2)(B) of this subsection.’’; and 

20 (5) in subsection (i) (as so redesignated), by 

21 striking ‘‘2007’’ and inserting ‘‘2012’’. 


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1 SEC. 9004. ENERGY AUDIT AND RENEWABLE ENERGY DE2 VELOPMENT PROGRAM. 

3 Section 9005(i) of the Farm Security and Rural In4 vestment Act of 2002 (7 U.S.C. 8105) is amended by strik5 ing ‘‘2007’’ and inserting ‘‘2012’’. 

6 SEC. 9005. RENEWABLE ENERGY SYSTEMS AND ENERGY EF7 FICIENCY IMPROVEMENTS. 

8 Section 9006 of the Farm Security and Rural Invest9 ment Act of 2002 (7 U.S.C. 8106) is amended— 

10 (1) by striking the section heading and inserting 

11 the following: 

12 ‘‘SEC. 9006. RURAL ENERGY FOR AMERICA PROGRAM.’’; 

13 (2) in subsection (a)— 

14 (A) in the matter preceding paragraph (1), 

15 by inserting ‘‘, other agricultural producer’’ after 

16 ‘‘rancher’’; 

17 (B) in paragraph (1), by striking ‘‘and’’ at 

18 the end; 

19 (C) in paragraph (2), by striking the period 

20 and inserting ‘‘; and’’; and 

21 (D) by adding at the end the following new 

22 paragraph: 

23 ‘‘(3) produce and sell electricity generated by 

24 new renewable energy systems.’’; 

25 (3) in subsection (b), by inserting ‘‘, other agri26 cultural producer’’ after ‘‘rancher’’; 


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1 (4) in subsection (c)— 

2 (A) in paragraph (1)— 

3 (i) in subparagraph (B), by striking 

4 ‘‘50 percent’’ and inserting ‘‘75 percent’’; 

5 and 

6 (ii) by redesignating subparagraph (B) 

7 as subparagraph (C) and inserting after 

8 subparagraph (A) the following: 

9 ‘‘(B) LOAN GUARANTEES.— 

10 ‘‘(i) MAXIMUM AMOUNT.—The amount 

11 of a loan guaranteed under this section 

12 shall not exceed $25,000,000. 

13 ‘‘(ii) MAXIMUM PERCENTAGE.—A loan 

14 guaranteed under this section shall not ex15 ceed 75 percent of the cost of the activity 

16 funded under subsection (a).’’; and 

17 (B) by adding at the end the following new 

18 paragraph: 

19 ‘‘(3) PRIORITIZATION.—The Secretary shall give 

20 the greatest priority for grants under subsection (a) 

21 to activities for which the least percentage of the total 

22 cost of such activities is requested by the farmer, 

23 rancher, other agricultural producer, or rural small 

24 business.’’. 


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1 (5) by redesignating subsections (e) and (f) as 

2 subsection (g) and (h), respectively; and 

3 (6) by inserting after subsection (d) the following 

4 new subsections: 

5 ‘‘(e) FEASIBILITY STUDIES.— 

6 ‘‘(1) IN GENERAL.—The Secretary may provide 

7 assistance to a farmer, rancher, other agricultural 

8 producer, or rural small business to conduct a feasi9 bility study of a project for which assistance may be 

10 provided under this section. 

11 ‘‘(2) LIMITATION.—The Secretary shall use not 

12 more than 10 percent of the funds made available to 

13 carry out this section to provide assistance described 

14 in paragraph (1). 

15 ‘‘(3) CRITERIA.—The Secretary shall issue regu16 lations establishing criteria for the receipt of assist17 ance under this subsection. 

18 ‘‘(4) AVOIDANCE OF DUPLICATIVE ASSISTANCE.— 

19 An farmer, rancher, other agricultural producer, or 

20 rural small business that receives assistance to carry 

21 out a feasibility study for a project under this sub22 section shall not be eligible for assistance to carry out 

23 a feasibility study for the project under any other 

24 provision of law. 

25 ‘‘(f) SMALL ACTIVITIES.— 


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1 ‘‘(1) LIMITATION ON USE OF FUNDS.—The Sec2 retary shall use not less than 15 percent of the funds 

3 made available under subsection (h) to provide grants 

4 for activities that have a cost of $50,000 or less. 

5 ‘‘(2) EXCEPTION.—Beginning on the first day of 

6 the third quarter of a fiscal year, the limitation on 

7 the use of funds under paragraph (1) shall not apply 

8 to funds made available under subsection (h) for such 

9 fiscal year.’’. 

10 SEC. 9006. BIOMASS RESEARCH AND DEVELOPMENT ACT OF 

11 2000. 

12 (a) RESTATEMENT OF ACT.—Section 9008 of the Farm 

13 Security and Rural Investment Act of 2002 (116 Stat. 486) 

14 is amended to read as follows: 

15 ‘‘SEC. 9008. BIOMASS RESEARCH AND DEVELOPMENT ACT 

16 OF 2000. 

17 ‘‘(a) SHORT TITLE.—This section may be cited as the 

18 ‘Biomass Research and Development Act of 2000’. 

19 ‘‘(b) FINDINGS.—Congress finds that— 

20 ‘‘(1) conversion of biomass into biobased indus21 trial products offers outstanding potential for benefit 

22 to the national interest through— 

23 ‘‘(A) improved strategic security and bal24 ance of payments; 

25 ‘‘(B) healthier rural economies; 


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1 ‘‘(C) improved environmental quality; 

2 ‘‘(D) near-zero net greenhouse gas emis3 sions; 

4 ‘‘(E) technology export; and 

5 ‘‘(F) sustainable resource supply; 

6 ‘‘(2) the key technical challenges to be overcome 

7 in order for biobased industrial products to be cost8 competitive are finding new technology and reducing 

9 the cost of technology for converting biomass into de10 sired biobased industrial products; 

11 ‘‘(3) biobased fuels have the clear potential to be 

12 sustainable, low cost, and high performance fuels that 

13 are compatible with both current and future transpor14 tation systems and provide near-zero net greenhouse 

15 gas emissions; 

16 ‘‘(4) biobased chemicals have the clear potential 

17 for environmentally benign product life cycles; 

18 ‘‘(5) biobased power can— 

19 ‘‘(A) provide environmental benefits; 

20 ‘‘(B) promote rural economic development; 

21 and 

22 ‘‘(C) diversify energy resource options; 

23 ‘‘(6) many biomass feedstocks suitable for indus24 trial processing show the clear potential for sustainVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00569 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 able production, in some cases resulting in improved 

2 soil fertility and carbon sequestration; 

3 ‘‘(7)(A) grain processing mills are biorefineries 

4 that produce a diversity of useful food, chemical, feed, 

5 and fuel products; and 

6 ‘‘(B) technologies that result in further diver7 sification of the range of value-added biobased indus8 trial products can meet a key need for the grain proc9 essing industry; 

10 ‘‘(8)(A) cellulosic feedstocks are attractive be11 cause of their low cost and widespread availability; 

12 and 

13 ‘‘(B) research resulting in cost-effective tech14 nology to overcome the recalcitrance of cellulosic bio15 mass would allow biorefineries to produce fuels and 

16 bulk chemicals on a very large scale, with a commen17 surately large realization of the benefit described in 

18 paragraph (1); 

19 ‘‘(9) research into the fundamentals to under20 stand important mechanisms of biomass conversion 

21 can be expected to accelerate the application and ad22 vancement of biomass processing technology by— 

23 ‘‘(A) increasing the confidence and speed 

24 with which new technologies can be scaled up; 

25 and 


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1 ‘‘(B) giving rise to processing innovations 

2 based on new knowledge; 

3 ‘‘(10) the added utility of biobased industrial 

4 products developed through improvements in proc5 essing technology would encourage the design of feed6 stocks that would meet future needs more effectively; 

7 ‘‘(11) the creation of value-added biobased indus8 trial products would create new jobs in construction, 

9 manufacturing, and distribution, as well as new high10 er-valued exports of products and technology; 

11 ‘‘(12)(A) because of the relatively short-term time 

12 horizon characteristic of private sector investments, 

13 and because many benefits of biomass processing are 

14 in the national interest, it is appropriate for the Fed15 eral Government to provide precommercial investment 

16 in fundamental research and research-driven innova17 tion in the biomass processing area; and 

18 ‘‘(B) such an investment would provide a valu19 able complement to ongoing and past governmental 

20 support in the biomass processing area; and 

21 ‘‘(13) several prominent studies, including stud22 ies by the President’s Committee of Advisors on 

23 Science and Technology and the National Research 

24 Council— 


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1 ‘‘(A) support the potential for large re2 search-driven advances in technologies for pro3 duction of biobased industrial products as well 

4 as associated benefits; and 

5 ‘‘(B) document the need for a focused, inte6 grated, and innovation-driven research effort to 

7 provide the appropriate progress in a timely 

8 manner. 

9 ‘‘(c) DEFINITIONS.—In this section: 

10 ‘‘(1) ADVISORY COMMITTEE.—The term ‘Advi11 sory Committee’ means the Biomass Research and De12 velopment Technical Advisory Committee established 

13 by this section. 

14 ‘‘(2) BIOBASED FUEL.—The term ‘biobased fuel’ 

15 means any transportation fuel produced from bio16 mass. 

17 ‘‘(3) BIOBASED PRODUCT.—The term ‘biobased 

18 product’ means an industrial product (including 

19 chemicals, materials, and polymers) produced from 

20 biomass, or a commercial or industrial product (in21 cluding animal feed and electric power) derived in 

22 connection with the conversion of biomass to fuel. 

23 ‘‘(4) BIOMASS.—The term ‘biomass’ means any 

24 organic matter that is available on a renewable or re25 curring basis, including agricultural crops and trees, 


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1 wood and wood wastes and residues, plants (includ2 ing aquatic plants), grasses, residues, fibers, and ani3 mal wastes, municipal wastes, and other waste mate4 rials. 

5 ‘‘(5) BOARD.—The term ‘Board’ means the Bio6 mass Research and Development Board established by 

7 this section. 

8 ‘‘(6) DEMONSTRATION.—The term ‘demonstra9 tion’ means demonstration of technology in a pilot 

10 plant or semi-works scale facility. 

11 ‘‘(7) INITIATIVE.—The term ‘Initiative’ means 

12 the Biomass Research and Development Initiative es13 tablished under this section. 

14 ‘‘(8) INSTITUTION OF HIGHER EDUCATION.—The 

15 term ‘institution of higher education’ has the meaning 

16 given the term in section 102(a) of the Higher Edu17 cation Act of 1965 (20 U.S.C. 1002(a)). 

18 ‘‘(9) NATIONAL LABORATORY.—The term ‘Na19 tional Laboratory’ has the meaning given that term 

20 in section 2 of the Energy Policy Act of 2005. 

21 ‘‘(10) POINT OF CONTACT.—The term ‘point of 

22 contact’ means a point of contact designated under 

23 this section. 

24 ‘‘(d) COOPERATION AND COORDINATION IN BIOMASS

25 RESEARCH AND DEVELOPMENT.— 


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1 ‘‘(1) IN GENERAL.—The Secretary of Agriculture 

2 and the Secretary of Energy shall cooperate with re3 spect to, and coordinate, policies and procedures that 

4 promote research and development leading to the pro5 duction of biobased fuels and biobased products. 

6 ‘‘(2) POINTS OF CONTACT.— 

7 ‘‘(A) IN GENERAL.—To coordinate research 

8 and development programs and activities relat9 ing to biobased fuels and biobased products that 

10 are carried out by their respective Depart11 ments— 

12 ‘‘(i) the Secretary of Agriculture shall 

13 designate, as the point of contact for the De14 partment of Agriculture, an officer of the 

15 Department of Agriculture appointed by the 

16 President to a position in the Department 

17 before the date of the designation, by and 

18 with the advice and consent of the Senate; 

19 and 

20 ‘‘(ii) the Secretary of Energy shall des21 ignate, as the point of contact for the De22 partment of Energy, an officer of the De23 partment of Energy appointed by the Presi24 dent to a position in the Department before 


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1 the date of the designation, by and with the 

2 advice and consent of the Senate. 

3 ‘‘(B) DUTIES.—The points of contact shall 

4 jointly— 

5 ‘‘(i) assist in arranging interlabora6 tory and site-specific supplemental agree7 ments for research and development projects 

8 relating to biobased fuels and biobased 

9 products; 

10 ‘‘(ii) serve as cochairpersons of the 

11 Board; 

12 ‘‘(iii) administer the Initiative; and 

13 ‘‘(iv) respond in writing to each rec14 ommendation of the Advisory Committee 

15 made under subsection (f). 

16 ‘‘(e) BIOMASS RESEARCH AND DEVELOPMENT

17 BOARD.— 

18 ‘‘(1) ESTABLISHMENT.—There is established the 

19 Biomass Research and Development Board, which 

20 shall supersede the Interagency Council on Biobased 

21 Products and Bioenergy established by Executive 

22 Order No. 13134, to coordinate programs within and 

23 among departments and agencies of the Federal Gov24 ernment for the purpose of promoting the use of 

25 biobased fuels and biobased products by— 


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1 ‘‘(A) maximizing the benefits deriving from 

2 Federal grants and assistance; and 

3 ‘‘(B) bringing coherence to Federal strategic 

4 planning. 

5 ‘‘(2) MEMBERSHIP.—The Board shall consist 

6 of— 

7 ‘‘(A) the point of contact of the Department 

8 of Energy designated under subsection (d), who 

9 shall serve as cochairperson of the Board; 

10 ‘‘(B) the point of contact of the Department 

11 of Agriculture designated under subsection (d), 

12 who shall serve as cochairperson of the Board; 

13 ‘‘(C) a senior officer of each of the Depart14 ment of the Interior, the Environmental Protec15 tion Agency, the National Science Foundation, 

16 and the Office of Science and Technology Policy, 

17 each of whom shall— 

18 ‘‘(i) be appointed by the head of the re19 spective agency; and 

20 ‘‘(ii) have a rank that is equivalent to 

21 the rank of the points of contact; and 

22 ‘‘(D) at the option of the Secretary of Agri23 culture and the Secretary of Energy, other mem24 bers appointed by the Secretaries (after consultaVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00576 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 tion with the members described in subpara2 graphs (A) through (C)). 

3 ‘‘(3) DUTIES.—The Board shall— 

4 ‘‘(A) coordinate research and development 

5 activities relating to biobased fuels and biobased 

6 products— 

7 ‘‘(i) between the Department of Agri8 culture and the Department of Energy; and 

9 ‘‘(ii) with other departments and agen10 cies of the Federal Government; 

11 ‘‘(B) provide recommendations to the points 

12 of contact concerning administration of this title; 

13 ‘‘(C) ensure that— 

14 ‘‘(i) solicitations are open and com15 petitive with awards made annually; and 

16 ‘‘(ii) objectives and evaluation criteria 

17 of the solicitations are clearly stated and 

18 minimally prescriptive, with no areas of 

19 special interest; and 

20 ‘‘(D) ensure that the panel of scientific and 

21 technical peers assembled under subsection (g) to 

22 review proposals is composed predominantly of 

23 independent experts selected from outside the De24 partments of Agriculture and Energy. 


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1 ‘‘(4) FUNDING.—Each agency represented on the 

2 Board is encouraged to provide funds for any purpose 

3 under this section. 

4 ‘‘(5) MEETINGS.—The Board shall meet at least 

5 quarterly to enable the Board to carry out the duties 

6 of the Board under paragraph (3). 

7 ‘‘(f) BIOMASS RESEARCH AND DEVELOPMENT TECH8 NICAL ADVISORY COMMITTEE.— 

9 ‘‘(1) ESTABLISHMENT.—There is established the 

10 Biomass Research and Development Technical Advi11 sory Committee, which shall supersede the Advisory 

12 Committee on Biobased Products and Bioenergy es13 tablished by Executive Order No. 13134— 

14 ‘‘(A) to advise the Secretary of Energy, the 

15 Secretary of Agriculture, and the points of con16 tact concerning— 

17 ‘‘(i) the technical focus and direction of 

18 requests for proposals issued under the Ini19 tiative; and 

20 ‘‘(ii) procedures for reviewing and 

21 evaluating the proposals; 

22 ‘‘(B) to facilitate consultations and partner23 ships among Federal and State agencies, agricul24 tural producers, industry, consumers, the re25 search community, and other interested groups 


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1 to carry out program activities relating to the 

2 Initiative; and 

3 ‘‘(C) to evaluate and perform strategic 

4 planning on program activities relating to the 

5 Initiative. 

6 ‘‘(2) MEMBERSHIP.— 

7 ‘‘(A) IN GENERAL.—The Advisory Com8 mittee shall consist of— 

9 ‘‘(i) an individual affiliated with the 

10 biofuels industry; 

11 ‘‘(ii) an individual affiliated with the 

12 biobased industrial and commercial prod13 ucts industry; 

14 ‘‘(iii) an individual affiliated with an 

15 institution of higher education who has ex16 pertise in biobased fuels and biobased prod17 ucts; 

18 ‘‘(iv) two prominent engineers or sci19 entists from government or academia who 

20 have expertise in biobased fuels and 

21 biobased products; 

22 ‘‘(v) an individual affiliated with a 

23 commodity trade association; 

24 ‘‘(vi) 2 individuals affiliated with an 

25 environmental or conservation organization; 


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1 ‘‘(vii) an individual associated with 

2 State government who has expertise in 

3 biobased fuels and biobased products; 

4 ‘‘(viii) an individual with expertise in 

5 energy and environmental analysis; 

6 ‘‘(ix) an individual with expertise in 

7 the economics of biobased fuels and biobased 

8 products; 

9 ‘‘(x) an individual with expertise in 

10 agricultural economics; 

11 ‘‘(xi) an individual with expertise in 

12 agronomy, crop science, or soil science; and 

13 ‘‘(xii) at the option of the points of 

14 contact, other members. 

15 ‘‘(B) APPOINTMENT.—The members of the 

16 Advisory Committee shall be appointed by the 

17 points of contact. 

18 ‘‘(3) DUTIES.—The Advisory Committee shall— 

19 ‘‘(A) advise the points of contact with re20 spect to the Initiative; and 

21 ‘‘(B) evaluate whether, and make rec22 ommendations in writing to the Board to ensure 

23 that— 

24 ‘‘(i) funds authorized for the Initiative 

25 are distributed and used in a manner that 


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1 is consistent with the objectives, purposes, 

2 and considerations of the Initiative; 

3 ‘‘(ii) solicitations are open and com4 petitive with awards made annually and 

5 that objectives and evaluation criteria of the 

6 solicitations are clearly stated and mini7 mally prescriptive, with no areas of special 

8 interest; 

9 ‘‘(iii) the points of contact are funding 

10 proposals under this title that are selected 

11 on the basis of merit, as determined by an 

12 independent panel of scientific and tech13 nical peers predominantly from outside the 

14 Departments of Agriculture and Energy; 

15 and 

16 ‘‘(iv) activities under this section are 

17 carried out in accordance with this section. 

18 ‘‘(4) COORDINATION.—To avoid duplication of 

19 effort, the Advisory Committee shall coordinate its ac20 tivities with those of other Federal advisory commit21 tees working in related areas. 

22 ‘‘(5) MEETINGS.—The Advisory Committee shall 

23 meet at least quarterly to enable the Advisory Com24 mittee to carry out the duties of the Advisory Com25 mittee. 


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1 ‘‘(6) TERMS.—Members of the Advisory Com2 mittee shall be appointed for a term of 3 years, except 

3 that— 

4 ‘‘(A) one-third of the members initially ap5 pointed shall be appointed for a term of 1 year; 

6 and 

7 ‘‘(B) one-third of the members initially ap8 pointed shall be appointed for a term of 2 years. 

9 ‘‘(g) BIOMASS RESEARCH AND DEVELOPMENT INITIA10 TIVE.— 

11 ‘‘(1) IN GENERAL.—The Secretary of Agriculture 

12 and the Secretary of Energy, acting through their re13 spective points of contact and in consultation with 

14 the Board, shall establish and carry out a Biomass 

15 Research and Development Initiative under which 

16 competitively awarded grants, contracts, and finan17 cial assistance are provided to, or entered into with, 

18 eligible entities to carry out research on, and develop19 ment and demonstration of, biobased fuels and 

20 biobased products, and the methods, practices and 

21 technologies, for their production. 

22 ‘‘(2) OBJECTIVES.—The objectives of the Initia23 tive are to develop— 


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1 ‘‘(A) technologies and processes necessary 

2 for abundant commercial production of biobased 

3 fuels at prices competitive with fossil fuels; 

4 ‘‘(B) high-value biobased products— 

5 ‘‘(i) to enhance the economic viability 

6 of biobased fuels and power; 

7 ‘‘(ii) as substitutes for petroleum-based 

8 feedstocks and products; and 

9 ‘‘(iii) to enhance the value of coprod10 ucts arise from such technologies and proc11 esses; and 

12 ‘‘(C) a diversity of sustainable domestic 

13 sources of biomass for conversion to biobased 

14 fuels and biobased products. 

15 ‘‘(3) PURPOSES.—The purposes of the Initiative 

16 are— 

17 ‘‘(A) to increase the energy security of the 

18 United States; 

19 ‘‘(B) to create jobs and enhance the eco20 nomic development of the rural economy; 

21 ‘‘(C) to enhance the environment and public 

22 health; and 

23 ‘‘(D) to diversify markets for raw agricul24 tural and forestry products. 


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1 ‘‘(4) TECHNICAL AREAS.—To advance the objec2 tives and purposes of the Initiative, the Secretary of 

3 Agriculture and the Secretary of Energy, in consulta4 tion with the Administrator of the Environmental 

5 Protection Agency and heads of other appropriate de6 partments and agencies (referred to in this subsection 

7 as the ‘Secretaries’), shall direct research, develop8 ment, and commercial applications toward— 

9 ‘‘(A) feedstocks and feedstock systems rel10 evant to production of raw materials for conver11 sion to biobased fuels and biobased products, in12 cluding— 

13 ‘‘(i) development of advanced and dedi14 cated crops and other biomass sources with 

15 desired features, including enhanced pro16 ductivity, broader site range, low require17 ments for chemical inputs, and enhanced 

18 processing; 

19 ‘‘(ii) advanced crop production meth20 ods to achieve the features described in 

21 clause (i); 

22 ‘‘(iii) feedstock harvest, handling, 

23 transport, and storage; 


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1 ‘‘(iv) strategies for integrating feed2 stock production into existing managed 

3 land; and 

4 ‘‘(v) improving the value and quality 

5 of coproducts, including materials used for 

6 animal feeding; 

7 ‘‘(B) overcoming recalcitrance of cellulosic 

8 biomass through developing technologies for con9 verting cellulosic biomass into intermediates that 

10 can subsequently be converted into biobased fuels 

11 and biobased products, including— 

12 ‘‘(i) pretreatment in combination with 

13 enzymatic or microbial hydrolysis; 

14 ‘‘(ii) thermochemical approaches, in15 cluding gasification and pyrolysis; and 

16 ‘‘(iii) self-processing crops that express 

17 enzymes capable of degrading cellulosic bio18 mass; 

19 ‘‘(C) product diversification through tech20 nologies relevant to production of a range of 

21 biobased products (including chemicals, animal 

22 feeds, and cogenerated power) that eventually 

23 can increase the feasibility of fuel production in 

24 a biorefinery, including— 


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1 ‘‘(i) catalytic processing, including 

2 thermochemical fuel production; 

3 ‘‘(ii) metabolic engineering, enzyme en4 gineering, and fermentation systems for bio5 logical production of desired products, co6 products, or cogeneration of power; 

7 ‘‘(iii) product recovery; 

8 ‘‘(iv) power production technologies; 

9 ‘‘(v) integration into existing biomass 

10 processing facilities, including starch eth11 anol plants, sugar processing or refining 

12 plants, paper mills, and power plants; and 

13 ‘‘(vi) enhancement of products and co14 products, including dried distillers grains 

15 (including substantially elevated starch con16 tent, increased oil content, improved fatty 

17 acid profiles, and improved resistance to 

18 mold and mycotoxins; and 

19 ‘‘(D) analysis that provides strategic guid20 ance for the application of biomass technologies 

21 in accordance with realization of improved sus22 tainability and environmental quality, cost effec23 tiveness, security, and rural economic develop24 ment, usually featuring system-wide approaches. 


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1 ‘‘(5) ADDITIONAL CONSIDERATIONS.—Within the 

2 technical areas described in paragraph (4), and in 

3 addition to advancing the purposes described in para4 graph (3) and the objectives described in paragraph 

5 (2), the Secretaries shall support research and devel6 opment— 

7 ‘‘(A) to create continuously expanding op8 portunities for participants in existing biofuels 

9 production by seeking synergies and continuity 

10 with current technologies and practices, such as 

11 improvements in dried distillers grains as a 

12 bridge feedstock; 

13 ‘‘(B) to maximize the environmental, eco14 nomic, and social benefits of production of 

15 biobased fuels and biobased products on a large 

16 scale through life-cycle economic and environ17 mental analysis and other means; and 

18 ‘‘(C) to assess the potential of Federal land 

19 and land management programs as feedstock re20 sources for biobased fuels and biobased products, 

21 consistent with the integrity of soil and water re22 sources and with other environmental consider23 ations. 


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1 ‘‘(6) ELIGIBLE ENTITIES.—To be eligible for a 

2 grant, contract, or assistance under this subsection, 

3 an applicant shall be— 

4 ‘‘(A) an institution of higher education; 

5 ‘‘(B) a National Laboratory; 

6 ‘‘(C) a Federal research agency; 

7 ‘‘(D) a State research agency; 

8 ‘‘(E) a private sector entity; 

9 ‘‘(F) a nonprofit organization; or 

10 ‘‘(G) a consortium of two or more entities 

11 described in subparagraphs (A) through (F). 

12 ‘‘(7) ADMINISTRATION.— 

13 ‘‘(A) IN GENERAL.—After consultation with 

14 the Board, the points of contact shall— 

15 ‘‘(i) publish annually one or more joint 

16 requests for proposals for grants, contracts, 

17 and assistance under this subsection; 

18 ‘‘(ii) require that grants, contracts, 

19 and assistance under this section be award20 ed competitively, on the basis of merit, after 

21 the establishment of procedures that provide 

22 for scientific peer review by an independent 

23 panel of scientific and technical peers; and 

24 ‘‘(iii) give some preference to applica25 tions that— 


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1 ‘‘(I) involve a consortia of experts 

2 from multiple institutions; 

3 ‘‘(II) encourage the integration of 

4 disciplines and application of the best 

5 technical resources; and 

6 ‘‘(III) increase the geographic di7 versity of demonstration projects. 

8 ‘‘(B) DISTRIBUTION OF FUNDING BY TECH9 NICAL AREA.—Of the funds authorized to be ap10 propriated for activities described in this sub11 section, funds shall be distributed for each of fis12 cal years 2007 through 2012 so as to achieve an 

13 approximate distribution of— 

14 ‘‘(i) 20 percent of the funds to carry 

15 out activities for feedstock production under 

16 paragraph (4)(A); 

17 ‘‘(ii) 45 percent of the funds to carry 

18 out activities for overcoming recalcitrance of 

19 cellulosic biomass under paragraph (4)(B), 

20 of which not less than 10 percent shall be 

21 used for activities referred to in each clause 

22 of paragraph (4)(B); 

23 ‘‘(iii) 30 percent of the funds to carry 

24 out activities for product diversification 

25 under paragraph (4)(C); and 


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1 ‘‘(iv) 5 percent of the funds to carry 

2 out activities for strategic guidance under 

3 paragraph (4)(D). 

4 ‘‘(C) DISTRIBUTION OF FUNDING WITHIN

5 EACH TECHNICAL AREA.—Within each technical 

6 area described in subparagraphs (A) through (C) 

7 of paragraph (4), funds shall be distributed for 

8 each of fiscal years 2007 through 2012 so as to 

9 achieve an approximate distribution of— 

10 ‘‘(i) 15 percent of the funds for applied 

11 fundamentals; 

12 ‘‘(ii) 35 percent of the funds for inno13 vation; and 

14 ‘‘(iii) 50 percent of the funds for dem15 onstration and commercial applications. 

16 ‘‘(D) MATCHING FUNDS.— 

17 ‘‘(i) IN GENERAL.—A minimum 20 

18 percent funding match shall be required for 

19 demonstration projects under this section. 

20 ‘‘(ii) COMMERCIAL APPLICATIONS.—A 

21 minimum of 50 percent funding match shall 

22 be required for commercial application 

23 projects under this section. 

24 ‘‘(E) TECHNOLOGY AND INFORMATION

25 TRANSFER TO AGRICULTURAL USERS.—The AdVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00590 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 ministrator of the Cooperative State Research, 

2 Education, and Extension Service and the Chief 

3 of the Natural Resources Conservation Service 

4 shall ensure that applicable research results and 

5 technologies from the Initiative are adapted, 

6 made available, and disseminated through those 

7 services, as appropriate. 

8 ‘‘(h) ADMINISTRATIVE SUPPORT AND FUNDS.— 

9 ‘‘(1) IN GENERAL.—To the extent administrative 

10 support and funds are not provided by other agencies 

11 under paragraph (2)(b), the Secretary of Energy and 

12 the Secretary of Agriculture may provide such admin13 istrative support and funds of the Department of En14 ergy and the Department of Agriculture to the Board 

15 and the Advisory Committee as are necessary to en16 able the Board and the Advisory Committee to carry 

17 out their duties under this section. 

18 ‘‘(2) OTHER AGENCIES.—The heads of the agen19 cies referred to in subsection (e)(2)(C), and the other 

20 members appointed under subsection (e)(2)(D), may, 

21 and are encouraged to, provide administrative sup22 port and funds of their respective agencies to the 

23 Board and the Advisory Committee. 

24 ‘‘(3) LIMITATION.—Not more than 4 percent of 

25 the amount appropriated for each fiscal year under 


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1 subsection (g)(6) may be used to pay the administra2 tive costs of carrying out this section. 

3 ‘‘(i) REPORTS.— 

4 ‘‘(1) ANNUAL REPORTS.—For each fiscal year for 

5 which funds are made available to carry out this sec6 tion, the Secretary of Energy and the Secretary of 

7 Agriculture shall jointly submit to Congress a detailed 

8 report on— 

9 ‘‘(A) the status and progress of the Initia10 tive, including a report from the Advisory Com11 mittee on whether funds appropriated for the 

12 Initiative have been distributed and used in a 

13 manner that— 

14 ‘‘(i) is consistent with the objectives, 

15 purposes, and additional considerations de16 scribed in paragraphs (2) through (5) of 

17 subsection (g); 

18 ‘‘(ii) uses the set of criteria established 

19 in the initial report submitted under title 

20 III of the Agricultural Risk Protection Act 

21 of 2000; 

22 ‘‘(iii) achieves the distribution of funds 

23 described in subparagraphs (B) and (C) of 

24 subsection (g)(7); and 


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1 ‘‘(iv) takes into account any rec2 ommendations that have been made by the 

3 Advisory Committee; 

4 ‘‘(B) the general status of cooperation and 

5 research and development efforts carried out at 

6 each agency with respect to biobased fuels and 

7 biobased products, including a report from the 

8 Advisory Committee on whether the points of 

9 contact are funding proposals that are selected 

10 under subsection (g)(3)(B)(iii); and 

11 ‘‘(C) the plans of the Secretary of Energy 

12 and the Secretary of Agriculture for addressing 

13 concerns raised in the report, including concerns 

14 raised by the Advisory Committee. 

15 ‘‘(2) UPDATES.—The Secretary and the Sec16 retary of Energy shall update the Vision and Road17 map documents prepared for Federal biomass re18 search and development activities. 

19 ‘‘(3) MANAGEMENT PLAN.—The Secretary shall 

20 every five years, in consultation with the Secretary of 

21 Energy, submit to Congress a detailed management 

22 plan for the implementation of this section. The man23 agement plan shall include— 

24 ‘‘(A) consideration of the contribution of the 

25 section towards achieving the objectives referred 


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1 to in paragraphs (2) and (3) of subsection (g) 

2 and in achieving the goals of the biomass pro3 gram of the Department of Energy; 

4 ‘‘(B) consideration of input solicited from 

5 the Advisory Committee, State, and private 

6 sources; and 

7 ‘‘(C) specific and quantifiable near and 

8 long-term goals. 

9 ‘‘(j) AUTHORIZATION OF APPROPRIATIONS.—There are 

10 authorized to be appropriated to carry out this section 

11 $200,000,000 for each of fiscal years 2006 through 2015.’’. 

12 (b) REPEAL.—Title III of the Agricultural Risk Pro13 tection Act of 2000 (Public Law 106-224) is hereby re14 pealed. 

15 (c) MANAGEMENT PLAN SUBMISSION DATE.—The first 

16 management plan required to be submitted under section 

17 9008(i)(3) of the Biomass Research and Development Act 

18 of 2000, as added by subsection (a), shall be submitted not 

19 later than 180 days after the date of the enactment of this 

20 Act. 

21 SEC. 9007. ADJUSTMENTS TO THE BIOENERGY PROGRAM. 

22 Section 9010 of the Farm Security and Rural Invest23 ment Act of 2002 (7 U.S.C. 8108) is amended— 

24 (1) in subsection (a)— 

25 (A) in paragraph (1)— 


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1 (i) in subparagraph (A), by striking 

2 ‘‘and’’; 

3 (ii) in subparagraph (B), by striking 

4 the final period and inserting a semicolon; 

5 and 

6 (iii) by adding at the end the following 

7 new subparagraphs: 

8 ‘‘(C) production of heat and power at a 

9 biofuels plant; 

10 ‘‘(D) biomass gasification; 

11 ‘‘(E) hydrogen made from cellulosic com12 modities for fuel cells; 

13 ‘‘(F) renewable diesel; 

14 ‘‘(G) such other items as the Secretary con15 siders appropriate.’’; 

16 (B) by striking paragraph (3) and inserting 

17 the following: 

18 ‘‘(3) ELIGIBLE FEEDSTOCK.— 

19 ‘‘(A) IN GENERAL.—The term ‘eligible feed20 stock’ means— 

21 ‘‘(i) any plant material grown or col22 lected for the purpose of being converted to 

23 energy (including aquatic plants); 

24 ‘‘(ii) any organic byproduct or residue 

25 from agriculture and forestry, including 


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1 mill residues and pulping residues that can 

2 be converted into energy; 

3 ‘‘(iii) any waste material that can be 

4 converted to energy and is derived from 

5 plant material, including— 

6 ‘‘(I) wood waste and residue; 

7 ‘‘(II) specialty crop waste, includ8 ing waste derived from orchard trees, 

9 vineyard crops, and nut crops; or 

10 ‘‘(III) other fruit and vegetable 

11 byproducts or residues; or 

12 ‘‘(iv) animal waste and byproducts. 

13 ‘‘(B) EXCLUSION.—The term ‘eligible feed14 stock’ does not include corn starch.’’; 

15 (C) in paragraph (4), by striking ‘‘an eligi16 ble commodity’’ and inserting ‘‘eligible feed17 stock’’; and 

18 (D) by adding at the end the following new 

19 paragraph: 

20 ‘‘(5) RENEWABLE DIESEL.—The term ‘renewable 

21 diesel’ means any type of biobased renewable fuel de22 rived from plant or animal matter that may be used 

23 as a substitute for standard diesel fuel and meets the 

24 requirements of an appropriate American Society for 

25 Testing and Material standard. Such term does not 


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1 include any fuel derived from coprocessing an eligible 

2 feedstock with a feedstock that is not biomass.’’; and 

3 (2) in subsection (b)— 

4 (A) in paragraph (1)— 

5 (i) by striking ‘‘The Secretary shall 

6 continue’’ and all that follows through ‘‘the 

7 Secretary makes’’ and inserting ‘‘The Sec8 retary shall make’’; and 

9 (ii) by striking ‘‘eligible commodities’’ 

10 and inserting ‘‘eligible feedstock’’; 

11 (B) in paragraph (2)(B), by striking ‘‘eligi12 ble commodities’’ and inserting ‘‘eligible feed13 stock’’; 

14 (C) in paragraph (3), by striking subpara15 graphs (B) and (C) and inserting the following: 

16 ‘‘(B) PRIORITY.—In making payments 

17 under this paragraph, the Secretary shall give 

18 priority to contracts by considering the factors 

19 referred to in section 9003(e)(2)(B).’’; and 

20 (D) by striking paragraph (6) and insert21 ing the following: 

22 ‘‘(6) LIMITATION.—The Secretary may limit the 

23 amount of payments that may be received by an eligi24 ble producer under this section as the Secretary con25 siders appropriate.’’. 


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1 SEC. 9008. RESEARCH, EXTENSION, AND EDUCATIONAL 

2 PROGRAMS ON BIOBASED ENERGY TECH3 NOLOGIES AND PRODUCTS. 

4 Section 9011(j)(1)(C) of the Farm Security and Rural 

5 Investment Act of 2002 (7 U.S.C. 8109(j)(1)(C)) is amended 

6 by striking ‘‘2010’’ and inserting ‘‘2012’’. 

7 SEC. 9009. ENERGY COUNCIL OF THE DEPARTMENT OF AG8 RICULTURE. 

9 Title IX of the Farm Security and Rural Investment 

10 Act of 2002 (7 U.S.C. 8101 et seq.) is further amended by 

11 adding at the end the following new section: 

12 ‘‘SEC. 9012. ENERGY COUNCIL OF THE DEPARTMENT OF AG13 RICULTURE. 

14 ‘‘(a) IN GENERAL.—The Secretary of Agriculture shall 

15 establish an energy council in the Office of the Secretary 

16 (in this section referred to as the ‘Council’) to coordinate 

17 the energy policy of the Department of Agriculture and con18 sult with other departments and agencies of the Federal 

19 Government. 

20 ‘‘(b) MEMBERSHIP.— 

21 ‘‘(1) IN GENERAL.—The Secretary shall appoint 

22 the members of the Council from among the staff of 

23 the agencies and mission areas of the Department of 

24 Agriculture with responsibilities relating to energy 

25 programs or policies. 


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1 ‘‘(2) CHAIR.—The chief economist and the Under 

2 Secretary for Rural Development of the Department 

3 of Agriculture shall serve as the Chairs of the Council. 

4 ‘‘(c) DUTIES OF OFFICE OF ENERGY POLICY AND NEW

5 USES.—The Office of Energy Policy and New Uses of the 

6 Department of Agriculture shall support the activities of the 

7 Council.’’. 

8 SEC. 9010. FARM ENERGY PRODUCTION PILOT PROGRAM. 

9 Title IX of the Farm Security and Rural Investment 

10 Act of 2002 (7 U.S.C. 8101 et seq.) is further amended by 

11 adding at the end the following new section: 

12 ‘‘SEC. 9013. FARM ENERGY PRODUCTION PILOT PROGRAM. 

13 ‘‘(a) PROGRAM.—The Secretary of Agriculture shall es14 tablish a pilot program to provide grants to farmers for 

15 the purpose of demonstrating the feasibility of making a 

16 farm energy neutral using existing technologies. 

17 ‘‘(b) AUTHORIZATION OF APPROPRIATIONS.—There is 

18 authorized to be appropriated to carry out this section 

19 $5,000,000 for fiscal years 2008 through 2012.’’. 

20 SEC. 9011. RURAL ENERGY SELF-SUFFICIENCY INITIATIVE. 

21 Title IX of the Farm Security and Rural Investment 

22 Act of 2002 (7 U.S.C. 8101 et seq.) is further amended by 

23 adding at the end the following new section: 

24 ‘‘SEC. 9014. RURAL ENERGY SELF-SUFFICIENCY INITIATIVE. 

25 ‘‘(a) GRANT AUTHORITY.— 


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1 ‘‘(1) IN GENERAL.—The Secretary of Agriculture 

2 (in this section referred to as the ‘Secretary’) may 

3 make grants in accordance with this section to enable 

4 eligible rural communities to substantially increase 

5 their energy self-sufficiency. 

6 ‘‘(2) ELIGIBLE RURAL COMMUNITY DEFINED.—In 

7 this section, the term ‘eligible rural community’ 

8 means a community that has a population of fewer 

9 than 25,000 individuals, and is not located in a met10 ropolitan statistical area (as defined by the Bureau 

11 of the Census). 

12 ‘‘(b) APPLICATIONS.— 

13 ‘‘(1) IN GENERAL.—A community desiring to re14 ceive a grant under this section shall submit to the 

15 Secretary an application for the grant, which con16 tains a description of how the community would use 

17 the grant to develop an integrated renewable energy 

18 system to substantially increase its energy self-suffi19 ciency. 

20 ‘‘(2) INTEGRATED RENEWABLE ENERGY SYS21 TEM.—In paragraph (1), the term ‘integrated renew22 able energy system’ includes— 

23 ‘‘(A) the use of biofuels; 

24 ‘‘(B) the use of biomass to produce elec25 tricity; 


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1 ‘‘(C) the use of animal manure to produce 

2 biogas as a substitute for natural gas; 

3 ‘‘(D) the use of new technologies to provide 

4 highly energy efficient lighting, buildings, or ve5 hicles; 

6 ‘‘(E) the use of wind power to produce elec7 tricity and hydrogen; and 

8 ‘‘(F) the use of solar energy. 

9 ‘‘(c) CONSIDERATION OF APPLICATIONS.— 

10 ‘‘(1) EVALUATION.—In making grants under this 

11 section, the Secretary shall evaluate applications 

12 based on their ability to demonstrate— 

13 ‘‘(A) integration of different renewable en14 ergy sources at lowest total cost; 

15 ‘‘(B) integration of different renewable en16 ergy sources with greatest potential for commer17 cialization; and 

18 ‘‘(C) development of best practices, and 

19 models for viable rural energy self-sufficiency. 

20 ‘‘(2) PREFERENCE.—In making grants under 

21 this section, the Secretary shall give preference to 

22 those which propose a project developed or carried out 

23 in coordination with— 

24 ‘‘(A) universities or their non-profit founda25 tions; 


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1 ‘‘(B) Federal, State, or local government 

2 agencies; 

3 ‘‘(C) public or private power generation en4 tities; or 

5 ‘‘(D) government entities with responsibility 

6 for water or natural resources. 

7 ‘‘(d) GRANTS.— 

8 ‘‘(1) COST-SHARING.—The amount of a grant 

9 under this section with respect to an application shall 

10 not exceed 75 percent of the cost of the activities de11 scribed in the application. 

12 ‘‘(2) NUMBER OF GRANTS PER YEAR.—The Sec13 retary may make not more than 5 grants under this 

14 section in each fiscal year. 

15 ‘‘(e) USE OF GRANTS.—A community to which a grant 

16 is made under this section shall use the grant to develop 

17 an integrated renewable energy system to improve the en18 ergy efficiency of the community, and shall document any 

19 energy savings resulting from the use of the grant. 

20 ‘‘(f) REPORT TO THE CONGRESS.—The Secretary shall 

21 submit to the Committee on Agriculture of the House of 

22 Representatives and the Committee on Agriculture, Nutri23 tion, and Forestry of the Senate a report that document 

24 the best practices and approaches used by grantees receiving 

25 funds under this section. 


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1 ‘‘(g) LIMITATIONS ON AUTHORIZATION OF APPROPRIA2 TIONS.—For grants under this section, there are authorized 

3 to be appropriated to the Secretary not more than 

4 $5,000,000 for fiscal year 2008, and such sums as may be 

5 necessary for fiscal years 2009 through 2012.’’. 

6 SEC. 9012. AGRICULTURAL BIOFUELS FROM BIOMASS IN7 TERNSHIP PILOT PROGRAM. 

8 Title IX of the Farm Security and Rural Investment 

9 Act of 2002 (7 U.S.C. 8101 et seq.) is further amended by 

10 adding at the end the following new section: 

11 ‘‘SEC. 9015. AGRICULTURAL BIOFUELS FROM BIOMASS IN12 TERNSHIP PILOT PROGRAM. 

13 ‘‘(a) ESTABLISHMENT.—The Secretary of Agriculture 

14 shall establish a structured, academically-oriented intern15 ship pilot program (in this section referred to as the ‘Pro16 gram’) to provide students from universities in California, 

17 Iowa, Missouri, Georgia, Minnesota, and other states with 

18 substantial farm-based economies with the opportunity to 

19 work within the Department of Agriculture, Congress and 

20 legislative branch agencies, other Federal departments and 

21 agencies, corporations, and nonprofit institutions on mat22 ters pertaining to policies regarding renewable energy, in23 cluding the conversion of biomass and other agricultural 

24 products to produce ethanol and other biofuels. 


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1 ‘‘(b) ELIGIBILITY.—To be eligible for an internship 

2 under subsection (a) a student shall— 

3 ‘‘(1) be a third or fourth year undergraduate stu4 dent or a graduate student at an accredited college or 

5 university in California, Iowa, Missouri, Georgia, 

6 Minnesota, or another State with a substantial farm7 based economy that commits matching funds in ac8 cordance with subsection (g); 

9 ‘‘(2) be a United States citizen; 

10 ‘‘(3) be pursuing an undergraduate or graduate 

11 program in agriculture and related supporting sub12 jects with direct relevance to the subject of biorefinery, 

13 biofuels, and renewable energy; and 

14 ‘‘(4) meet any other conditions or requirements 

15 that the Secretary considers necessary. 

16 ‘‘(c) PRIORITIES OF INTERNSHIP PILOT PROGRAM.— 

17 In administering the Program (including in the selection 

18 of students to participate in the Program), the Secretary 

19 shall prioritize the following activities and placements: 

20 ‘‘(1) Structured internship experiences that fea21 ture direct, hands-on assistance to policy makers en22 gaged in the development and implementation of ag23 riculture and related supporting policies and legisla24 tion, with direct relevance to the subject of bio25 refinery, biofuels, and renewable energy. 


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1 ‘‘(2) Internship and academic seminar programs 

2 that provide a combination of workforce training, ex3 periential education, and leadership development de4 signed specifically for the Department of Agriculture 

5 and Congress, with regard to agriculture-based bio6 refinery, biofuels, and related renewable energy poli7 cies. 

8 ‘‘(3) Establishment of regional and state net9 works that partner with the agricultural business, 

10 government and academic communities to enhance the 

11 prospects for providing financial assistance to stu12 dents, particularly minority students, from colleges 

13 and universities in each participating State who are 

14 from economically disadvantaged backgrounds. 

15 ‘‘(4) Internship and academic seminar programs 

16 that focus on agriculture-based research, development, 

17 and policies addressing new technologies to enhance 

18 agriculture production and enhanced economic devel19 opment in the agriculture sector of the United States. 

20 ‘‘(d) ADMINISTRATION OF THE PILOT PROGRAM.—The 

21 Secretary, in consultation with other executive and legisla22 tive branch officials, shall administer the Program. The 

23 Secretary may engage the services of an experienced, non24 profit, nonpartisan professional internship and academic 

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1 oping and carrying out Washington-based or other State2 based internship programs and State-based financial assist3 ance initiatives for interns to assist in carrying out the 

4 Program. 

5 ‘‘(e) SCHOLARSHIPS AND OTHER ASSISTANCE FOR IN6 TERNSHIPS.—The Secretary may make available to under7 graduate and graduate students participating in the Pro8 gram scholarships or other types of financial assistance, in9 cluding funds to cover the cost of housing, per diem living 

10 expenses, transportation, tuition and other educational ex11 penses, and related costs, that would allow participation 

12 by eligible undergraduate and graduate students from eco13 nomically-disadvantaged backgrounds within the Program 

14 States. 

15 ‘‘(f) LONGITUDINAL STUDIES AND REPORTING RE16 QUIREMENTS.— 

17 ‘‘(1) LONGITUDINAL STUDIES AND EVALUATION

18 OF INTERNSHIP PROGRAM.—In developing and imple19 menting the Program, the Secretary shall carry out 

20 such longitudinal studies and program evaluations as 

21 he or she deems appropriate to ensure that the pro22 gram is administered in a cost-effective manner and 

23 has specific milestones, objectives, and results quan24 tified with regard to such Program. 


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1 ‘‘(2) REPORTING REQUIREMENTS.—The Sec2 retary shall submit to the Committee on Agriculture 

3 of the House of Representatives and the Committee on 

4 Agriculture, Nutrition, and Forestry of the Senate 

5 periodic reports regarding the development and im6 plementation of the Program, including the longitu7 dinal studies and evaluations required under para8 graph (1). 

9 ‘‘(g) STATE MATCHING REQUIREMENT.—As a condi10 tion of receiving an internship under the Program, the 

11 State in which the student receiving the internship is pur12 suing an undergraduate or graduate degree shall provide 

13 matching funds in the amount of one dollar for every two 

14 dollars provided by the Secretary under the Program. 

15 ‘‘(h) FEDERAL CONTRIBUTION LIMIT.—The Secretary 

16 may not expend more than $200,000 in any fiscal year to 

17 provide internships to students pursuing an undergraduate 

18 or graduate degree in any particular State. 

19 ‘‘(i) APPLICATION OF FUNDS.—The Secretary shall, to 

20 the maximum extent practicable, use funds made available 

21 under subsection (j) to provide scholarships and the other 

22 forms of financial assistance described in subsection (e) di23 rectly attributable to the participation in the Program by 

24 students from rural, economically-disadvantaged back25 grounds. 


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1 ‘‘(j) AUTHORIZATION OF APPROPRIATIONS.—There are 

2 authorized to be appropriated such sums as may be nec3 essary to carry out this section.’’. 

4 SEC. 9013. FEEDSTOCK FLEXIBILITY PROGRAM FOR BIO5 ENERGY PRODUCERS. 

6 Title IX of the Farm Security and Rural Investment 

7 Act of 2002 (7 U.S.C. 8101 et seq.) is further amended by 

8 adding at the end the following new section: 

9 ‘‘SEC. 9016. FEEDSTOCK FLEXIBILITY PROGRAM FOR BIO10 ENERGY PRODUCERS. 

11 ‘‘(a) DEFINITIONS.—In this section: 

12 ‘‘(1) BIOENERGY.—The term ‘bioenergy’ means 

13 fuel grade ethanol and other biofuel. 

14 ‘‘(2) BIOENERGY PRODUCER.—The term ‘bio15 energy producer’ means a producer of bioenergy that 

16 uses an eligible commodity to produce bioenergy 

17 under this section. 

18 ‘‘(3) ELIGIBLE COMMODITY.—The term ‘eligible 

19 commodity’ means a form of raw or refined sugar or 

20 in-process sugar that is eligible to be marketed in the 

21 United States for human consumption or to be used 

22 for the extraction of sugar for human consumption. 

23 ‘‘(4) ELIGIBLE ENTITY.—The term ‘eligible enti24 ty’ means an entity located in the United States that 

25 markets an eligible commodity in the United States. 


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1 ‘‘(b) FEEDSTOCK FLEXIBILITY PROGRAM.— 

2 ‘‘(1) IN GENERAL.— 

3 ‘‘(A) PURCHASES AND SALES.—For each of 

4 fiscal years 2008 through 2012, the Secretary 

5 shall purchase eligible commodities from eligible 

6 entities and sell such commodities to bioenergy 

7 producers for the purpose of producing bioenergy 

8 in a manner that ensures that 156 of the Federal 

9 Agricultural Improvement and Reform Act (7 

10 U.S.C. 7272) is operated at no cost to the Fed11 eral Government by avoiding forfeitures to the 

12 Commodity Credit Corporation. 

13 ‘‘(B) COMPETITIVE PROCEDURES.—In car14 rying out the purchases and sales required under 

15 subparagraph (A), the Secretary shall, to the 

16 maximum extent practicable, use competitive 

17 procedures, including the receiving, offering, and 

18 accepting of bids, when entering into contracts 

19 with eligible entities and bioenergy producers, 

20 provided that such procedures are consistent with 

21 the purposes of subparagraph (A). 

22 ‘‘(C) LIMITATION.—The purchase and sale 

23 of eligible commodities under subparagraph (A) 

24 shall only be made in fiscal years in which such 

25 purchases and sales are necessary to ensure that 


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1 the program authorized under section 156 of the 

2 Federal Agriculture Improvement and Reform 

3 Act (7 U.S.C. 7272) is operated at no cost to the 

4 Federal Government by avoiding forfeitures to 

5 the Commodity Credit Corporation. 

6 ‘‘(2) NOTICE.— 

7 ‘‘(A) IN GENERAL.—Not later than Sep8 tember 1, 2007, and each September 1 thereafter 

9 through fiscal year 2011, the Secretary shall pro10 vide notice to eligible entities and bioenergy pro11 ducers of the quantity of eligible commodities 

12 that shall be made available for purchase and 

13 sale for the subsequent fiscal year under this sec14 tion. 

15 ‘‘(B) REESTIMATES.—Not later than the 

16 first day of each of the second through fourth 

17 quarters of each of fiscal years 2008 through 

18 2012, the Secretary shall reestimate the quantity 

19 of eligible commodities determined under sub20 paragraph (A), and provide notice and make 

21 purchases and sales based on such reestimates. 

22 ‘‘(3) COMMODITY CREDIT CORPORATION INVEN23 TORY.—To the extent that an eligible commodity is 

24 owned and held in inventory by the Commodity Cred25 it Corporation (accumulated pursuant to the program 


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1 authorized under section 156 of the Federal Agri2 culture Improvement and Reform Act (7 U.S.C. 

3 7272)), the Secretary shall sell such commodity to bio4 energy producers under this section. 

5 ‘‘(4) TRANSFER RULE; STORAGE FEES.— 

6 ‘‘(A) GENERAL TRANSFER RULE.—Except 

7 as provided in subparagraph (C), the Secretary 

8 shall ensure that bioenergy producers that pur9 chase eligible commodities pursuant to this sub10 section take possession of such commodities with11 in 30 calendar days of the date of such purchase 

12 from the Commodity Credit Corporation. 

13 ‘‘(B) PAYMENT OF STORAGE FEES PROHIB14 ITED.— 

15 ‘‘(i) IN GENERAL.—The Secretary 

16 shall, to the greatest extent practicable, 

17 carry out this subsection in a manner that 

18 ensures no storage fees are paid by the Com19 modity Credit Corporation in the adminis20 tration of this subsection. 

21 ‘‘(ii) EXCEPTION.—Clause (i) shall not 

22 apply with respect to any commodities 

23 owned and held in inventory by the Com24 modity Credit Corporation (accumulated 

25 pursuant to the program authorized under 


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1 section 156 of the Federal Agriculture Im2 provement and Reform Act (7 U.S.C. 

3 7272)). 

4 ‘‘(C) OPTION TO PREVENT STORAGE

5 FEES.— 

6 ‘‘(i) IN GENERAL.—The Secretary may 

7 enter into contracts with bioenergy pro8 ducers to sell eligible commodities to such 

9 producers prior in time to entering into 

10 contracts with eligible entities to purchase 

11 such commodities to be used to satisfy the 

12 contracts entered into with the bioenergy 

13 producers. 

14 ‘‘(ii) SPECIAL TRANSFER RULE.—If the 

15 Secretary makes a sale and purchase re16 ferred to in clause (i), the Secretary shall 

17 ensure that the bioenergy producer that pur18 chased eligible commodities takes possession 

19 of such commodities within 30 calendar 

20 days of the date the Commodity Credit Cor21 poration purchases such commodities. 

22 ‘‘(5) RELATION TO OTHER LAWS.—If sugar that 

23 is subject to a marketing allotment under part VII of 

24 subtitle B of title III of the Agricultural Adjustment 

25 Act of 1938 (7 U.S.C. 1359aa et seq.) is the subject 


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1 of a payment under this section, such sugar shall be 

2 considered marketed and shall count against a proc3 essor’s allocation of an allotment under such part, as 

4 applicable. 

5 ‘‘(6) FUNDING.—The Secretary shall use the 

6 funds, facilities, and authorities of the Commodity 

7 Credit Corporation, including the use of such sums as 

8 are necessary, to carry out this section.’’. 

9 SEC. 9014. DEDICATED ETHANOL PIPELINE FEASIBILITY 

10 STUDIES. 

11 (a) IN GENERAL.—The Secretary of Agriculture, in co12 ordination with the Secretary of Energy and the Secretary 

13 of Transportation, shall spend up to $1,000,000 to fund fea14 sibility studies for the construction of dedicated ethanol 

15 pipelines. 

16 (b) CONDUCT OF STUDIES.— 

17 (1) IN GENERAL.—The Secretary of Agriculture 

18 shall— 

19 (A) through a competitive solicitation proc20 ess, select 1 or more firms having capabilities in 

21 the planning, development, and construction of 

22 dedicated pipelines to carry out the feasibility 

23 studies described in subsection (a); or 

24 (B) carry out the feasibility studies in con25 junction with such firms. 


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1 (2) TIMING.— 

2 (A) IN GENERAL.—Not later than 120 days 

3 after the Secretary selects 1 or more firms under 

4 paragraph (1)(A) and funding is made available 

5 under subsection (f), the Secretary shall award 

6 funding under this section. 

7 (B) STUDIES.—As a condition of receiving 

8 funds under this section, a recipient of funding 

9 shall agree to submit to the Secretary a com10 pleted feasibility study not later than one year 

11 after the date on which the recipient is awarded 

12 funds pursuant to paragraph (1)(A). 

13 (c) STUDY FACTORS.—Feasibility studies funded 

14 under this section shall include consideration of— 

15 (1) existing or potential barriers to dedicated 

16 ethanol pipelines, including technical, siting, financ17 ing, and regulatory barriers; 

18 (2) potential evolutionary pathways for the de19 velopment of an ethanol pipeline transport system, 

20 such as starting with localized gathering networks as 

21 compared to major interstate ethanol pipelines to 

22 carry larger volumes from the Midwest to the East or 

23 West coast; 

24 (3) market risk, including throughput risk, and 

25 ways of mitigating the risk; 


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1 (4) regulatory, financing, and siting options that 

2 would mitigate risk in these areas and help ensure the 

3 construction of dedicated ethanol pipelines; 

4 (5) financial incentives that may be necessary 

5 for the construction of dedicated ethanol pipelines, in6 cluding the return on equity that sponsors of the first 

7 dedicated ethanol pipelines will require to invest in 

8 the pipelines; 

9 (6) ethanol production of 20,000,000,000, 

10 30,000,000,000, and 40,000,000,000 gallons per year 

11 by 2020; and 

12 (7) such other factors that the Secretary con13 siders to be appropriate. 

14 (d) CONFIDENTIALITY.—If a recipient of funding 

15 under this section requests confidential treatment for crit16 ical energy infrastructure information or commercially-sen17 sitive data contained in a feasibility study submitted by 

18 the recipient under subsection (b)(2)(B), the Secretary shall 

19 offer to enter into a confidentiality agreement with the re20 cipient to maintain the confidentiality of the submitted in21 formation. 

22 (e) REVIEW; REPORT.—The Secretary of Agriculture 

23 shall— 


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1 (1) review the feasibility studies submitted under 

2 subsection (b)(2)(B) or carried out under subsection 

3 (b)(1)(B); and 

4 (2) not later than 90 days after the date on 

5 which all studies are completed under subsection (b), 

6 submit to Congress a report that includes— 

7 (A) information about the potential benefits 

8 of constructing dedicated ethanol pipelines; and 

9 (B) recommendations for legislation that 

10 could help provide for the construction of dedi11 cated ethanol pipelines. 

12 (f) FUNDING.—There are authorized to be appro13 priated to the Secretary of Agriculture to carry out this 

14 section $1,000,000 for fiscal year 2008, to remain available 

15 until expended. 

16 SEC. 9015. BIOMASS INVENTORY REPORT. 

17 (a) INVENTORY REQUIRED.—The Secretary of Agri18 culture shall conduct an inventory of biomass resources on 

19 a county-by-county basis. 

20 (b) REPORT.—Not later than one year after the date 

21 of the enactment of this Act, the Secretary shall submit to 

22 the Committee on Agriculture of the House of Representa23 tives and the Committee on Agriculture, Nutrition, and 

24 Forestry of the Senate a report containing— 


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1 (1) the results of the inventory conducted under 

2 subsection (a); and 

3 (2) an estimate of the amount of unused crop 

4 land in the United States that could be used for dedi5 cated energy crops. 

6 (c) BIOMASS RESOURCES DEFINED.—In this section, 

7 the term ‘‘biomass resource’’ has the meaning given the term 

8 ‘‘eligible commodity’’ in section 9010(a)(3) of the Farm Se9 curity and Rural Investment Act of 2002 (7 U.S.C. 

10 8108(a)(3)). 

11 SEC. 9016. FUTURE FARMSTEADS PROGRAM. 

12 (a) ESTABLISHMENT.—The Secretary of Agriculture 

13 shall establish a program to equip, in each of 5 regions of 

14 the country chosen to represent different farming practices, 

15 a farm house and its surrounding fields, facilities, and for16 ested areas with technologies to— 

17 (1) improve farm energy production and energy 

18 use efficiencies; 

19 (2) provide working examples to farmers; and 

20 (3) serve as an education, demonstration, and re21 search facility that will teach graduate students whose 

22 focus of research is related to either renewable energy 

23 or energy conservation technologies. 

24 (b) GOALS.—The goals of the program established 

25 under subsection (a) shall be to— 


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1 (1) advance farm energy use efficiencies and the 

2 on-farm production of renewable energies, along with 

3 advanced communication and control technologies 

4 with the latest in energy capture and conversion tech5 niques, thereby enhancing rural energy independence 

6 and creating new revenues for rural economies; 

7 (2) accelerate private sector and university re8 search into the efficient on-farm production of renew9 able fuels and help educate the farming industry, stu10 dents, and the general public; and 

11 (3) accelerate energy independence, including the 

12 production and the conservation of renewable energies 

13 on farms. 

14 (c) COLLABORATION PARTNERS.—The program under 

15 this section shall be carried out in partnership with re16 gional land grant institutions, agricultural commodity 

17 commissions, biofuels companies, sensor and controls com18 panies, and internet technology companies. 

19 (d) AUTHORIZATION OF APPROPRIATIONS.—There are 

20 authorized to be appropriated such sums as may be nec21 essary to carry out this section. 

22 SEC. 9017. SENSE OF CONGRESS ON RENEWABLE ENERGY. 

23 It is the sense of Congress that— 


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1 (1) energy demand in the United States is pro2 jected to increase by more than 30 percent over the 

3 next two decades; 

4 (2) increased production of renewable energy and 

5 growth of its infrastructure would assist the United 

6 States in meeting the growing energy demand; 

7 (3) continued, and even accelerated, development 

8 of renewable energy inputs and technologies provide 

9 numerous benefits to the United States, including im10 proved national security and economic growth; 

11 (4) while it should be a priority of the Federal 

12 Government to continue to promote policies and in13 centives to stimulate growth and development of re14 newable energy infrastructure, it should be recognized 

15 that the marketplace is also an important instrument 

16 to determine which renewable energy sources and 

17 technologies will provide the most efficient and effec18 tive energy production; 

19 (5) renewable energy inputs and technology must 

20 be available in abundant quantities and provide en21 ergy at competitive prices in a reliable manner for 

22 the American consumer; and 

23 (6) it is in the interest of the United States to 

24 diversify its energy portfolio and increase the energy 


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1 independence of the United States by further devel2 oping alternative forms of energy. 

3 TITLE X—HORTICULTURE AND 

4 ORGANIC AGRICULTURE 

Subtitle A—Honey and Bees 

Sec. 10001. Annual report on response to honey bee colony collapse disorder. 

Subtitle B—Horticulture Provisions 

Sec. 10101. Tree assistance program. 

Sec. 10102. Specialty crop block grants. 

Sec. 10103. Additional section 32 funds for purchase of fruits, vegetables, and 

nuts to support domestic nutrition assistance programs. 

Sec. 10104. Independent evaluation of Department of Agriculture commodity purchase process. 

Sec. 10105. Quality requirements for clementines. 

Sec. 10106. Implementation of food safety programs under marketing orders. 

Sec. 10107. Inclusion of specialty crops in census of agriculture. 

Sec. 10108. Maturity requirements for Hass avocados. 

Sec. 10109. Mushroom promotion, research, and consumer information. 

Sec. 10110. Fresh produce education initiative. 

Subtitle C—Pest and Disease Management 

Sec. 10201. Pest and disease program. 

Sec. 10202. Multi-species fruit fly research and sterile fly production. 

Subtitle D—Organic Agriculture 

Sec. 10301. National organic certification cost-share program. 

Sec. 10302. Organic production and market data. 

Sec. 10303. Organic conversion, technical, and educational assistance. 

Subtitle E—Miscellaneous Provisions 

Sec. 10401. Restoration of import and entry agricultural inspection functions to 

the Department of Agriculture. 

Sec. 10402. Grant program to improve movement of specialty crops. 

Sec. 10403. Authorization of appropriations for market news activities regarding 

specialty crops. 

Sec. 10404. Farmers’ market promotion program. 

Sec. 10405. National Clean Plant Network. 


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1 Subtitle A—Honey and Bees 

2 SEC. 10001. ANNUAL REPORT ON RESPONSE TO HONEY BEE 

3 COLONY COLLAPSE DISORDER. 

4 The Secretary of Agriculture shall submit to Congress 

5 an annual report describing the progress made by the De6 partment of Agriculture in investigating the cause or causes 

7 of honey bee colony collapse and in finding appropriate 

8 strategies to reduce colony loss. 

9 Subtitle B—Horticulture Provisions 

10 SEC. 10101. TREE ASSISTANCE PROGRAM. 

11 (a) INCLUSION OF NURSERY TREE GROWERS.— 

12 (1) ELIGIBILITY.—Section 10201 of the Farm 

13 Security and Rural Investment Act of 2002 (7 U.S.C. 

14 8201) is amended— 

15 (A) by redesignating paragraphs (3) and 

16 (4) as paragraphs (4) and (5), respectively; and 

17 (B) by inserting after paragraph (2) the fol18 lowing new paragraph: 

19 ‘‘(3) NURSERY TREE GROWER.—The term ‘nurs20 ery tree grower’ means a person who produces nurs21 ery, ornamental, fruit, nut, or Christmas trees for 

22 commercial sale, as determined by the Secretary.’’. 

23 (2) CONFORMING AMENDMENTS.—Subtitle C of 

24 title X of the Farm Security and Rural Investment 

25 Act of 2002 is amended— 


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1 (A) in section 10202 (7 U.S.C. 8202)— 

2 (i) in subsection (a), by inserting ‘‘and 

3 nursery tree growers’’ after ‘‘eligible or4 chardists’’; and 

5 (ii) in subsection (b), by inserting ‘‘or 

6 nursery tree grower’’ after ‘‘eligible orchard7 ist’’; and 

8 (B) in section 10203 (7 U.S.C. 8203), by 

9 inserting ‘‘and nursery tree growers’’ after ‘‘eli10 gible orchardists’’. 

11 (b) ANNUAL PAYMENT LIMITATION.—Section 10204(a) 

12 of the Farm Security and Rural Investment Act of 2002 

13 (7 U.S.C. 8204(a)) is amended by striking ‘‘$75,000’’ and 

14 inserting ‘‘$150,000 per year’’. 

15 (c) APPLICABILITY.—The amendments made by this 

16 section shall apply with respect to any natural disaster oc17 curring after the date of the enactment of this Act for which 

18 assistance is provided by the Secretary of Agriculture under 

19 the tree assistance program. 

20 SEC. 10102. SPECIALTY CROP BLOCK GRANTS. 

21 (a) EXTENSION OF PROGRAM.—Subsection (a) of sec22 tion 101 of the Specialty Crops Competitiveness Act of 2004 

23 (Public Law 108–465; 7 U.S.C. 1621 note) is amended by 

24 striking ‘‘2009’’ and inserting ‘‘2012’’. 


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1 (b) AVAILABILITY OF FUNDS.—Subsection (i) of sec2 tion 101 of the Specialty Crops Competitiveness Act of 2004 

3 is amended to read as follows: 

4 ‘‘(i) FUNDING.—Of the funds of the Commodity Credit 

5 Corporation, the Secretary of Agriculture shall make grants 

6 under this section, using— 

7 ‘‘(1) $60,000,000 in fiscal year 2008; 

8 ‘‘(2) $65,000,000 in fiscal year 2009; 

9 ‘‘(3) $70,000,000 in fiscal year 2010; 

10 ‘‘(4) $75,000,000 in fiscal year 2011; and 

11 ‘‘(5) $95,000,000 in fiscal year 2012.’’. 

12 (c) CONFORMING AMENDMENTS.—Section 101 of the 

13 Specialty Crops Competitiveness Act of 2004 (Public Law 

14 108–465; 7 U.S.C. 1621 note) is further amended— 

15 (1) in subsection (a), by striking ‘‘Subject to the 

16 appropriation of funds to carry out this section’’ and 

17 inserting ‘‘Using the funds made available under sub18 section (i)’’; 

19 (2) in subsection (b), by striking ‘‘appropriated 

20 pursuant to the authorization of appropriations in’’ 

21 and inserting ‘‘made available under’’; and 

22 (3) in subsection (c), by striking ‘‘Subject to the 

23 appropriation of sufficient funds to carry out this 

24 subsection, each’’ and inserting ‘‘Each’’. 


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1 (d) DEFINITION OF SPECIALTY CROP.—Section 3(1) of 

2 the Specialty Crops Competitiveness Act of 2004 (Public 

3 Law 108–465; 7 U.S.C. 1621 note) is amended by inserting 

4 ‘‘horticulture and’’ before ‘‘nursery’’. 

5 SEC. 10103. ADDITIONAL SECTION 32 FUNDS FOR PUR6 CHASE OF FRUITS, VEGETABLES, AND NUTS 

7 TO SUPPORT DOMESTIC NUTRITION ASSIST8 ANCE PROGRAMS. 

9 (a) FUNDING FOR ADDITIONAL PURCHASES OF

10 FRUITS, VEGETABLES, AND NUTS.—In addition to the pur11 chases of fruits, vegetables, and nuts required by section 

12 10603 of the Farm Security and Rural Investment Act of 

13 2002 (7 U.S.C. 612c–4), the Secretary of Agriculture shall 

14 purchase fruits, vegetables, and nuts for the purpose of pro15 viding nutritious foods for use in domestic nutrition assist16 ance programs, using, of the funds made available under 

17 section 32 of the Act of August 24, 1935 (7 U.S.C. 612c), 

18 the following amounts: 

19 (1) $190,000,000 in fiscal year 2008. 

20 (2) $193,000,000 in fiscal year 2009. 

21 (3) $199,000,000 in fiscal year 2010. 

22 (4) $203,000,000 in fiscal year 2011. 

23 (5) $206,000,000 in fiscal year 2012 and each 

24 fiscal year thereafter. 


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1 (b) FORM OF PURCHASES.—Fruits, vegetables, and 

2 nuts may be purchased under this section in the form of 

3 frozen, canned, dried, or fresh fruits, vegetables, and nuts. 

4 (c) VALUE ADDED PRODUCTS.—The Secretary may 

5 consider offering value-added products containing fruits, 

6 vegetables or nuts under this section, taking into account— 

7 (1) whether demand exists for the value-added 

8 product; and 

9 (2) the interests of entities that receive fruits, 

10 vegetables, and nuts under this section. 

11 SEC. 10104. INDEPENDENT EVALUATION OF DEPARTMENT 

12 OF AGRICULTURE COMMODITY PURCHASE 

13 PROCESS. 

14 (a) EVALUATION REQUIRED.—The Secretary of Agri15 culture shall arrange to have performed an independent 

16 evaluation of the commodity purchasing processes (and the 

17 statutory and regulatory authority underlying such proc18 esses) used by the Department of Agriculture to remove sur19 plus commodities from the market and support commodity 

20 prices and producer incomes, especially with regard to ac21 tivities under section 32 of the Act of August 24, 1935 (7 

22 U.S.C. 612c) and the importance of increasing purchases 

23 of specialty crops. 

24 (b) SUBMISSION OF RESULTS.—Not later than one 

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1 retary of Agriculture shall submit to Congress a report on 

2 the results of the evaluation. 

3 SEC. 10105. QUALITY REQUIREMENTS FOR CLEMENTINES. 

4 Section 8e(a) of the Agricultural Adjustment Act (7 

5 U.S.C. 608e-1(a)), reenacted with amendments by the Agri6 cultural Marketing Agreement Act of 1937, is amended in 

7 the first sentence by inserting after ‘‘nectarines,’’ the fol8 lowing: ‘‘clementines,’’. 

9 SEC. 10106. IMPLEMENTATION OF FOOD SAFETY PROGRAMS 

10 UNDER MARKETING ORDERS. 

11 Section 8c(6) of the Agricultural Adjustment Act (7 

12 U.S.C. 608c(6)), reenacted with amendments by the Agri13 cultural Marketing Agreement Act of 1937, is amended by 

14 adding at the end the following: 

15 ‘‘(K) In the case of an order related to a specialty crop 

16 (as such term is defined in section 3(1) of the Specialty 

17 Crops Competitiveness Act of 2004 (Public Law 108-465; 

18 118 Stat. 3883)), authorizing the implementation of qual19 ity-related food safety programs designed to enhance the 

20 safety of the specialty crop and products derived from spe21 cialty crops.’’. 

22 SEC. 10107. INCLUSION OF SPECIALTY CROPS IN CENSUS 

23 OF AGRICULTURE. 

24 Section 2(a) of the Census of Agriculture Act of 1997 

25 (7 U.S.C. 2204g(a) is amended by adding at the end the 


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1 following new sentence: ‘‘Beginning with the census of agri2 culture required to be conducted in 2008, the Secretary shall 

3 conduct as part of each census of agriculture a census of 

4 specialty crops (as such term is defined in section 3(1) of 

5 the Specialty Crops Competitiveness Act of 2004 (Public 

6 Law 108-465; 118 Stat. 3883)).’’. 

7 SEC. 10108. MATURITY REQUIREMENTS FOR HASS AVOCA8 DOS. 

9 Subtitle A of the Agricultural Marketing Act of 1946 

10 is amended by adding at the end the following new section: 

11 ‘‘SEC. 209. MATURITY REQUIREMENTS FOR HASS AVOCA12 DOS. 

13 ‘‘(a) MINIMUM PERCENTAGE OF DRY MATTER.—Not 

14 later than 180 days after the date of the enactment of the 

15 Farm, Nutrition, and Bioenergy Act of 2007, the Secretary 

16 of Agriculture shall issue final regulations to require that 

17 all Hass avocados sold to consumers in the United States 

18 meet the minimum maturity standard of not less than 20.8 

19 percent dry matter. 

20 ‘‘(b) EXCEPTIONS.—Subsection (a) and the regulations 

21 issued pursuant to such subsection shall not apply to Hass 

22 avocados— 

23 ‘‘(1) intended for consumption by charitable in24 stitutions; 

25 ‘‘(2) intended for distribution by relief agencies; 


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1 ‘‘(3) intended for commercial processing into 

2 products; or 

3 ‘‘(4) that the Secretary determines should not be 

4 subject to such subsection or such regulations. 

5 ‘‘(c) USE OF EXISTING INSPECTORS.—The Secretary 

6 shall, to the greatest extent practicable, use inspectors that 

7 inspect avocados for compliance with section 8e of the Agri8 cultural Adjustment Act (7 U.S.C. 608e-1), reenacted with 

9 amendments by the Agricultural Marketing Agreement Act 

10 of 1937, to conduct inspections under this section. 

11 ‘‘(d) CIVIL PENALTIES.—The Secretary may require 

12 any person who violates this section or the regulations 

13 issued pursuant to this section to— 

14 ‘‘(1) forfeit to the United States a sum equal to 

15 the value of the commodity at the time of violation, 

16 which forfeiture shall be recoverable in a civil suit 

17 bought in the name of the United States; or 

18 ‘‘(2) on conviction, be fined not less than $50 or 

19 more than $5,000 for each violation. 

20 ‘‘(e) DIVERSION.—In the case of any Hass avocados 

21 that do not meet the requirements of this section or the regu22 lations issued pursuant to this section, the Secretary may— 

23 ‘‘(1) provide for the reinspection of the Hass avo24 cados; or 


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1 ‘‘(2) authorized the diversion, export, or repack2 ing of the Hass avocados. 

3 ‘‘(f) FEES.—The Secretary may prescribe and collect 

4 fees to cover the costs of providing for the inspection of Hass 

5 avocados under this section. All fees and penalties collected 

6 shall be credited to the accounts that incur such costs and 

7 shall remain available until expended without fiscal year 

8 limitation. 

9 ‘‘(g) AUTHORIZATION OF APPROPRIATIONS.—There 

10 are authorized to be appropriated such sums as may be nec11 essary to carry out this section.’’. 

12 SEC. 10109. MUSHROOM PROMOTION, RESEARCH, AND CON13 SUMER INFORMATION. 

14 (a) REGIONS AND MEMBERS.—Section 1925(b)(2) of 

15 the Mushroom Promotion, Research, and Consumer Infor16 mation Act of 1990 (subtitle B of title XIX of Public Law 

17 101–624; 7 U.S.C. 6104(b)(2)) is amended— 

18 (1) in subparagraph (B), by striking ‘‘4 regions’’ 

19 and inserting ‘‘3 regions’’; 

20 (2) in subparagraph (D), by striking 

21 ‘‘35,000,000 pounds’’ and inserting ‘‘50,000,000 

22 pounds’’; and 

23 (3) by striking subparagraph (E), and inserting 

24 the following new subparagraph: 


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1 ‘‘(E) ADDITIONAL MEMBERS.—In addition 

2 to the members appointed pursuant to para3 graph (1), and subject to the nine-member limit 

4 of members on the council provided in such 

5 paragraph, the Secretary shall appoint addi6 tional members to the council from a region 

7 which attains additional pounds of production 

8 as follows: 

9 ‘‘(i) If a region’s annual production is 

10 greater than 110,000,000 pounds, but less 

11 than or equal to 180,000,000 pounds, the re12 gion shall be represented by one additional 

13 member. 

14 ‘‘(ii) If a region’s annual production is 

15 greater than 180,000,000 pounds, but less 

16 than or equal to 260,000,000 pounds, the re17 gion shall be represented by two additional 

18 members. 

19 ‘‘(iii) If a region’s annual production 

20 is greater than 260,000,000 pounds, the re21 gion shall be represented by three additional 

22 members.’’. 

23 (b) POWERS AND DUTIES OF COUNCIL.—Section 

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1 sumer Information Act of 1990 (subtitle B of title XIX of 

2 Public Law 101–624; 7 U.S.C. 6104(c)) is amended— 

3 (1) by redesignating paragraphs (6), (7), and (8) 

4 as paragraphs (7), (8), and (9), respectively; and 

5 (2) by inserting after paragraph (5), the fol6 lowing new paragraph (6): 

7 ‘‘(6) to develop a program for good agricultural 

8 practices and good handling practices for mush9 rooms;’’. 

10 SEC. 10110. FRESH PRODUCE EDUCATION INITIATIVE. 

11 (a) INITIATIVE AUTHORIZED.—The Secretary of Agri12 culture may carry out a program to educate persons in13 volved in the fresh produce industry and the public about— 

14 (1) scientifically proven practices for reducing 

15 microbiological pathogens on fresh produce; and 

16 (2) methods of reducing the threat of cross-con17 tamination of fresh produce through unsanitary han18 dling practices. 

19 (b) COOPERATION.—The Secretary may carry out the 

20 program in cooperation with public or private partners. 

21 (c) FUNDING.—There are authorized to be appro22 priated such sums as are necessary for each of fiscal years 

23 2008 through 2012 to carry out this section. 


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1 Subtitle C—Pest and Disease 

2 Management 

3 SEC. 10201. PEST AND DISEASE PROGRAM. 

4 (a) ESTABLISHMENT.—The Secretary of Agriculture 

5 shall establish a program to— 

6 (1) conduct early pest detection and surveillance 

7 activities in cooperation with state departments of ag8 riculture; 

9 (2) determine and prioritize pest and disease 

10 threats to domestic production of specialty crops; and 

11 (3) create an audit-based certification approach 

12 to protect against the spread of plant pests and to fa13 cilitate the interstate movement of plants and plant 

14 products. 

15 (b) EARLY PEST DETECTION AND SURVEILLANCE IM16 PROVEMENT PROGRAM.— 

17 (1) COOPERATIVE AGREEMENTS.—The Secretary 

18 of Agriculture shall enter into cooperative agreements 

19 with State departments of agriculture to provide 

20 grants to such State departments of agriculture for 

21 early pest detection and surveillance activities. 

22 (2) APPLICATION.—A State department of agri23 culture seeking to enter into a cooperative agreement 

24 under this subsection shall submit to the Secretary an 

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1 retary may require. The Secretary shall notify appli2 cants of the following: 

3 (A) The requirements to be imposed on a 

4 department of agriculture for auditing of, and 

5 reporting on, the use of any funds provided by 

6 the Secretary under the cooperative agreement. 

7 (B) The criteria to be used to ensure that 

8 early pest detection and surveillance activities 

9 supported under the cooperative agreement are 

10 based on sound scientific data or thorough risk 

11 assessments. 

12 (C) The means of identifying pathways of 

13 pest introductions. 

14 (3) USE OF FUNDS.— 

15 (A) PEST DETECTION AND SURVEILLANCE

16 ACTIVITIES.—A State department of agriculture 

17 that receives funds under this section shall use 

18 the funds to carry out early pest detection and 

19 surveillance activities approved by the Secretary 

20 to prevent the introduction or spread of a pest. 

21 (B) SUBAGREEMENTS.—A State department 

22 of agriculture may use funds received under this 

23 section to enter into subagreements with political 

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1 sponsibilities relating to agricultural pest and 

2 disease surveillance. 

3 (4) SPECIAL FUNDING CONSIDERATIONS.—The 

4 Secretary shall provide, subject to the availability of 

5 funds under subsection (j), funds to a State depart6 ment of agriculture that the Secretary determines is 

7 in a State that has a high risk of being affected by 

8 one or more pest, based on the following factors: 

9 (A) The number of international airports 

10 and maritime facilities in that State. 

11 (B) The volume of international passenger 

12 and cargo entry into that State. 

13 (C) The geographic location of that State 

14 and if such location is conducive to agricultural 

15 pest and disease establishment due to the climate 

16 or crop diversity of that State. 

17 (D) The types of agricultural commodities 

18 or plants produced in that State and if the com19 modities or plants produced are conducive to ag20 ricultural pest and disease establishment due to 

21 the climate or crop diversity of that State. 

22 (E) Whether the Secretary has declared an 

23 emergency in that State pursuant to section 442 

24 of the Plant Protection Act (7 U.S.C. 7772) due 


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1 to an agricultural pest or disease of Federal con2 cern. 

3 (F) Such other factors as the Secretary con4 siders appropriate. 

5 (5) COST-SHARE.— 

6 (A) FEDERAL COST SHARE; FORM OF NON7 FEDERAL COST SHARE.—Except as provided in 

8 subparagraph (B), a cooperative agreement en9 tered into under paragraph (1) shall provide 

10 that— 

11 (i) the Federal share of carrying out 

12 the cooperative agreement shall not exceed 

13 75 percent of the total cost; 

14 (ii) the non-Federal share of the cost of 

15 carrying out the agreement may be provided 

16 in-kind; and 

17 (iii) in-kind costs may include indirect 

18 costs as considered appropriate by the Sec19 retary. 

20 (B) ABILITY TO PROVIDE FUNDS.—The Sec21 retary shall not take the ability to provide non22 Federal costs to carry out a cooperative agree23 ment entered into under paragraph (1) into con24 sideration when deciding whether to enter into a 


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1 cooperative agreement with a State department 

2 of agriculture. 

3 (C) SPECIAL FUNDING CONSIDERATIONS.— 

4 The non-federal share of carrying out paragraph 

5 (4) shall not exceed 40 percent of the total costs 

6 of carrying out such paragraph. 

7 (6) REPORTING REQUIREMENT.—Not later than 

8 180 days after the date of completion of an early pest 

9 detection and surveillance activity conducted by a 

10 State department of agriculture using funds provided 

11 under this section, the department of agriculture shall 

12 submit to the Secretary a report that describes the 

13 purposes and results of the activities, including any 

14 activities conducted pursuant to a subagreement re15 ferred to in paragraph (3)(B). 

16 (c) THREAT IDENTIFICATION AND MITIGATION PRO17 GRAM.— 

18 (1) IN GENERAL.—In conducting the program es19 tablished under subsection (a), the Secretary shall— 

20 (A) develop risk assessments of the existing 

21 and potential threat to the specialty crop indus22 try in the United States from pests and disease; 

23 (B) prepare a list prioritizing pest and dis24 ease threats to the specialty crop industry; 


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1 (C) develop action plans, in consultation 

2 with State departments of agriculture and other 

3 State or regional resource partnerships, that ef4 fectively address pest and disease threats to the 

5 specialty crop industry, including pathway 

6 analysis, domestic and offshore mitigation meas7 ures, and comprehensive exclusion measures at 

8 ports of entry and other key distribution centers, 

9 in addition to strategies to employ if a pest or 

10 disease is introduced; 

11 (D) implement such action plans as soon as 

12 they are developed to test the effectiveness of such 

13 action plans and help prevent new foreign and 

14 domestic pest and disease threats from being in15 troduced or widely disseminated in the United 

16 States; and 

17 (E) collaborate with the nursery industry, 

18 research institutions, and other appropriate enti19 ties to develop a nursery pest risk management 

20 system to identify nursery pests and diseases, 

21 prevent the introduction, establishment, and 

22 spread of such pests and diseases, and reduce the 

23 risk of, prioritize, mitigate, and eradicate such 

24 pests and diseases. 


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1 (2) REPORTS.—Not later than one year after the 

2 date of the enactment of this Act, and annually there3 after, the Secretary shall update and submit to Con4 gress the priority list and action plans described in 

5 paragraph (1), including an accounting of funds ex6 pended on the action plans. 

7 (d) AUDIT-BASED APPROACH TO SPECIALTY CROP

8 PHYTOSANITARY CERTIFICATION.—In conducting the pro9 gram established under subsection (a), the Secretary shall 

10 provide funds and technical assistance to specialty crop 

11 growers, organizations representing such growers, and State 

12 and local agencies working with such growers and organiza13 tions for the development and implementation of certifi14 cation systems based on audit-based approaches, such as 

15 best management practices or nursery pest risk manage16 ment systems, to address plant pests and to mitigate the 

17 risk of plant pests in the movement of plants and plant 

18 products. 

19 (e) COOPERATIVE AGREEMENTS.—The Secretary may 

20 enter into cooperative agreements with other Federal de21 partments or agencies, States or political subdivisions of 

22 States, national governments, local governments of other 

23 nations, domestic or international organizations, domestic 

24 or international associations, and other persons to carry 

25 out this section. 


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1 (f) CONSULTATION.—The Secretary shall consult with 

2 the National Plant Board, State departments of agriculture, 

3 and specialty crop grower organizations to establish fund4 ing priorities under this section for each fiscal year. 

5 (g) ADMINISTRATIVE COSTS.—Not more than 5 per6 cent of the funds provided under this section may be used 

7 for administrative costs. 

8 (h) DEFINITIONS.—In this section: 

9 (1) EARLY PEST DETECTION AND SURVEIL10 LANCE.—The term ‘‘early pest detection and surveil11 lance’’ means the full range of activities undertaken 

12 to find newly introduced pests, whether new to the 

13 United States or new to certain areas of the United 

14 States, before the pests become established, or before 

15 pest infestations become too large and costly to eradi16 cate or control. 

17 (2) PEST.—The term ‘‘pest’’ has the meaning 

18 given the term ‘‘plant pest’’ in section 403(14) of the 

19 Plant Protection Act (7 U.S.C. 7702(14)). 

20 (3) SPECIALTY CROP.—The term ‘‘specialty 

21 crop’’ has the meaning given the term in section 3(1) 

22 of the Specialty Crop Competitiveness Act of 2004 

23 (Public Law 108-465; 118 Stat. 3883; 7 U.S.C. 1621 

24 note). 


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1 (4) STATE DEPARTMENT OF AGRICULTURE.—The 

2 term ‘‘State department of agriculture’’ means an 

3 agency of a State that has a legal responsibility to 

4 perform early pest detection and surveillance activi5 ties. 

6 (i) SECRETARIAL DISCRETION.—Section 442(c) of the 

7 Plant Protection Act (7 U.S.C. 7772(c)) is amended by 

8 striking ‘‘of longer than 60 days’’. 

9 (j) FUNDING.—Of the funds fo the Commodity Credit 

10 Corporation, the Secretary shall make available to carry 

11 out this section— 

12 (1) $10,000,000 for fiscal year 2008; 

13 (2) $25,000,000 for fiscal year 2009; 

14 (3) $40,000,000 for fiscal year 2010; 

15 (4) $55,000,000 for fiscal year 2011; and 

16 (5) $70,000,000 for fiscal year 2012. 

17 SEC. 10202. MULTI-SPECIES FRUIT FLY RESEARCH AND 

18 STERILE FLY PRODUCTION. 

19 (a) CONSTRUCTION.—The Secretary of Agriculture 

20 shall construct a warehouse and irradiation containment 

21 facility in Waimanalo, Hawaii, to support fruit fly rearing 

22 and sterilization activities. 

23 (b) AUTHORIZATION OF APPROPRIATIONS.—There are 

24 authorized to be appropriated— 


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1 (1) $15,000,000 for the construction of a ware2 house and irradiation containment facility pursuant 

3 to subsection (a); and 

4 (2) $1,000,000 for fiscal year 2008 and each sub5 sequent fiscal year for maintenance to the facilities 

6 constructed pursuant to this section. 

7 Subtitle D—Organic Agriculture 

8 SEC. 10301. NATIONAL ORGANIC CERTIFICATION COST9 SHARE PROGRAM. 

10 Section 10606 of the Farm Security and Rural Invest11 ment Act of 2002 (7 U.S.C. 6523) is amended— 

12 (1) in subsection (a), by striking ‘‘$5,000,000 for 

13 fiscal year 2002’’ and inserting ‘‘$22,000,000 for fis14 cal year 2008’’; and 

15 (2) in subsection (b)(2), by striking ‘‘$500’’ and 

16 inserting ‘‘$750’’. 

17 SEC. 10302. ORGANIC PRODUCTION AND MARKET DATA. 

18 (a) NEW DATA REQUIREMENTS.—Section 7407 of the 

19 Farm Security and Rural Investment Act of 2002 (7 U.S.C. 

20 5925c) is amended to read as follows: 

21 ‘‘SEC. 7407. ORGANIC DATA COLLECTION AND PUBLICA22 TION. 

23 ‘‘(a) DATA COLLECTION AND PUBLICATION.—To assist 

24 organic farmers in making informed production and mar25 keting decisions, the Secretary of Agriculture shall collect 


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1 and publish segregated data and survey information about 

2 the price, production, and marketing of major organically 

3 produced commodities, as determined by the Secretary. 

4 ‘‘(b) FUNDING.—The Secretary of Agriculture shall use 

5 $3,000,000 of funds of the Commodity Credit Corporation 

6 to carry out this section during fiscal year 2008, and such 

7 funds shall remain available until expended.’’. 

8 (b) IMPLEMENTATION REPORT.—Not later than 180 

9 days after the date of the enactment of this Act, the Sec10 retary of Agriculture shall submit to Congress a report re11 garding the progress made in implementing the amendment 

12 made by subsection (a). 

13 SEC. 10303. ORGANIC CONVERSION, TECHNICAL, AND EDU14 CATIONAL ASSISTANCE. 

15 (a) ESTABLISHMENT.—Not later than 180 days after 

16 the date of the enactment of this section, the Secretary shall 

17 establish a program to provide cost share and incentive 

18 payments and technical and educational assistance to pro19 ducers to promote conservation practices and activities for 

20 production systems undergoing transition, in whole or in 

21 part, to organic production in accordance with the Organic 

22 Foods Production Act of 1990 (7 U.S.C. 6501 et seq.). 

23 (b) ORGANIC TRANSITION COST SHARE AND INCEN24 TIVE PAYMENTS.— 


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1 (1) IN GENERAL.—The Secretary shall enter into 

2 contracts with eligible producers referred to in para3 graph (2) to provide cost-share and incentive pay4 ments to assist in the transition to organic produc5 tion systems. 

6 (2) ELIGIBLE PRODUCERS.—A producer is an el7 igible producer under this paragraph if such producer 

8 agrees to— 

9 (A) develop and carry out environmental 

10 and conservation activities consistent with an 

11 organic plan that protect soil, water, wildlife, 

12 air, and other natural resources as defined by 

13 the Secretary; 

14 (B) receive technical and education assist15 ance from the Secretary, or from organizations, 

16 institutions, and consultants with cooperative 

17 agreements with the Secretary, relating to— 

18 (i) the development and implementa19 tion of conservation practices and activities 

20 that are part of an organic plan; or 

21 (ii) other aspects of transition to or22 ganic production, including marketing, 

23 credit, business, and risk management 

24 plans; 


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1 (C) submit to annual verification by a cer2 tifying agent accredited by the Department of 

3 Agriculture under section 2115 of the Organic 

4 Foods Production Act of 1990 (7 U.S.C. 6514) to 

5 determine compliance of the producer with or6 ganic certification requirements; and 

7 (D) develop marketing, credit, business, and 

8 risk management plans, as appropriate. 

9 (3) CONTRACT.—A contract entered into under 

10 paragraph (1) shall provide that— 

11 (A) payments provided to a producer under 

12 the contract shall only be used for— 

13 (i) conservation management and vege14 tative and structural practices and activi15 ties during transition to certified organic 

16 production that— 

17 (I) are consistent with an organic 

18 plan; and 

19 (II) protect soil, water, wildlife, 

20 air, and other natural resources, as re21 quired under the Organic Foods Pro22 duction Act of 1990 (7 U.S.C. 6501 et 

23 seq.); 

24 (ii) animal production measures con25 sistent with an organic plan; and 


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1 (iii) such other measures as the Sec2 retary determines are appropriate and con3 sistent with an organic plan; 

4 (B) subject to subparagraph (C), the con5 tract shall terminate after a period of not more 

6 than three years; 

7 (C) the Secretary may terminate the con8 tract if the Secretary determines the eligible pro9 ducer is not pursuing organic certification under 

10 the Organic Foods Production Act of 1990 (7 

11 U.S.C. 6501 et seq.); and 

12 (D) the Secretary may require repayment 

13 in whole of payments already received if the Sec14 retary determines the eligible producer is not 

15 pursuing organic certification under the Organic 

16 Foods Production Act of 1990 (7 U.S.C. 6501 et. 

17 seq). 

18 (4) LIMITATIONS ON PAYMENTS.—An eligible 

19 producer may not receive payments under paragraph 

20 (1)— 

21 (A) for a total period of more than three 

22 years; 

23 (B) an amount not to exceed $50 per acre 

24 for crop land, or $25 per acre for grazing land; 

25 and 


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1 (C) in an amount more than $10,000 in a 

2 fiscal year. 

3 (c) TECHNICAL AND EDUCATIONAL ASSISTANCE.—The 

4 Secretary shall provide producers with technical and edu5 cational assistance, including through the use of competitive 

6 cooperative agreements with non-profit organizations, non7 governmental organizations, institutes of higher education, 

8 or consultants with expertise in advisory services for or9 ganic producers on organic production systems, and the 

10 planning for and marketing of organic products. 

11 (d) USE OF FUNDS.—The Secretary shall use 50 per12 cent of the funds made available pursuant to the authoriza13 tion of appropriations under subsection (f) to provide tech14 nical and educational assistance under subsection (c). 

15 (e) DEFINITIONS.—In this section: 

16 (1) ORGANIC PLAN.—The term ‘‘organic plan’’ 

17 means an organic plan submitted under section 

18 2114(a) of the Organic Foods Production Act of 1990 

19 (7 U.S.C. 6513(a)) and agreed to by the producer and 

20 handler of a product and a certifying agent under 

21 such section. 

22 (2) TECHNICAL AND EDUCATIONAL ASSIST23 ANCE.—The term ‘‘technical and educational assist24 ance’’ means the conveyance of information and coun25 sel regarding economic and business planning, marVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00646 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 keting, and organic practices, such as entomological 

2 practices and pest and weed control and prevention 

3 that satisfy organic practices. 

4 (f) FUNDING.—There is authorized to be appropriated 

5 to carry out this section $50,000,000, which shall remain 

6 available until expended. 

7 Subtitle E—Miscellaneous 

8 Provisions 

9 SEC. 10401. RESTORATION OF IMPORT AND ENTRY AGRI10 CULTURAL INSPECTION FUNCTIONS TO THE 

11 DEPARTMENT OF AGRICULTURE. 

12 (a) REPEAL OF TRANSFER OF FUNCTIONS.—Section 

13 421 of the Homeland Security Act of 2002 (6 U.S.C. 231) 

14 is repealed. 

15 (b) CONFORMING AMENDMENT TO FUNCTIONS OF SEC16 RETARY OF HOMELAND SECURITY.—Section 402 of the 

17 Homeland Security Act of 2002 (6 U.S.C. 202) is amend18 ed— 

19 (1) by striking paragraph (7); and 

20 (2) by redesignating paragraph (8) as para21 graph (7). 

22 (c) TRANSFER AGREEMENT.— 

23 (1) IN GENERAL.—Not later than the effective 

24 date specified in subsection (g), the Secretary of Agri25 culture and the Secretary of Homeland Security shall 


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1 enter into an agreement to effectuate the return of 

2 functions required by the amendments made by this 

3 section. 

4 (2) USE OF CERTAIN EMPLOYEES.—The agree5 ment may include authority for the Secretary of Agri6 culture to use employees of the Department of Home7 land Security to carry out authorities delegated to the 

8 Animal and Plant Health Inspection Service regard9 ing the protection of domestic livestock and plants. 

10 (d) RESTORATION OF DEPARTMENT OF AGRICULTURE

11 EMPLOYEES.—Not later than the effective date specified in 

12 subsection (g), all full-time equivalent positions of the De13 partment of Agriculture transferred to the Department of 

14 Homeland Security under section 421(g) of the Homeland 

15 Security Act of 2002 (6 U.S.C. 231(g)) (as in effect on the 

16 day before such effective date) shall be restored to the De17 partment of Agriculture. 

18 (e) AUTHORITY OF APHIS.— 

19 (1) ESTABLISHMENT OF PROGRAM.—The Sec20 retary of Agriculture shall establish within the Ani21 mal and Plant Health Inspection Service a program, 

22 to be known as the ‘‘International Agricultural In23 spection Program’’, under which the Administrator of 

24 the Animal and Plant Health Inspection Service (re25 ferred to in this subsection as the ‘‘Administrator’’) 


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1 shall carry out import and entry agricultural inspec2 tions. 

3 (2) INFORMATION GATHERING AND INSPEC4 TIONS.—In carrying out the program under para5 graph (1), the Administrator shall have full access 

6 to— 

7 (A) each secure area of any terminal for 

8 screening passengers or cargo under the control 

9 of the Department of Homeland Security on the 

10 day before the date of enactment of this Act for 

11 purposes of carrying out inspections and gath12 ering information; and 

13 (B) each database (including any database 

14 relating to cargo manifests or employee and 

15 business records) under the control of the Depart16 ment of Homeland Security on the day before the 

17 date of enactment of this Act for purposes of 

18 gathering information. 

19 (3) INSPECTION ALERTS.—The Administrator 

20 may issue inspection alerts, including by indicating 

21 cargo to be held for immediate inspection. 

22 (4) INSPECTION USER FEES.—The Administrator 

23 may, as applicable— 

24 (A) continue to collect any agricultural 

25 quarantine inspection user fee; and 


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1 (B) administer any reserve account for the 

2 fees. 

3 (5) CAREER TRACK PROGRAM.— 

4 (A) IN GENERAL.—The Administrator shall 

5 establish a program, to be known as the ‘‘import 

6 and entry agriculture inspector career track pro7 gram’’, to support the development of long-term 

8 career professionals with expertise in import and 

9 entry agriculture inspection. 

10 (B) STRATEGIC PLAN AND TRAINING.—In 

11 carrying out the program under this paragraph, 

12 the Administrator, in coordination with the Sec13 retary of Agriculture, shall— 

14 (i) develop a strategic plan to incor15 porate import and entry agricultural in16 spectors into the infrastructure protecting 

17 food, fiber, forests, bioenergy, and the envi18 ronment of the United States from animal 

19 and plant pests, diseases, and noxious 

20 weeds; and 

21 (ii) as part of the plan under clause 

22 (i), provide training for import and entry 

23 agricultural inspectors participating in the 

24 program not less frequently than once each 

25 year to improve inspection skills. 


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1 (f) DUTIES OF SECRETARY OF AGRICULTURE.— 

2 (1) OPERATING PROCEDURES AND TRACKING

3 SYSTEM.—The Secretary of Agriculture shall— 

4 (A) develop standard operating procedures 

5 for inspection, monitoring, and auditing relating 

6 to import and entry agricultural inspections, in 

7 accordance with recommendations from the 

8 Comptroller General of the United States and re9 ports of interagency advisory groups, as applica10 ble; and 

11 (B) ensure that the Animal and Plant 

12 Health Inspection Service has a national elec13 tronic system with real-time tracking capability 

14 for monitoring, tracking, and reporting inspec15 tion activities of the Service. 

16 (2) FEDERAL AND STATE COOPERATION.— 

17 (A) COMMUNICATION SYSTEM.—The Sec18 retary of Agriculture shall develop and maintain 

19 an integrated, real-time communication system 

20 with respect to import and entry agricultural in21 spections to alert State departments of agri22 culture of significant inspection findings of the 

23 Animal and Plant Health Inspection Service. 

24 (3) FUNDING.—The Secretary of Agriculture 

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1 tural inspector employed by the Animal and Plant 

2 Health Inspection Service from amounts made avail3 able to the Department of Agriculture for the applica4 ble fiscal year. 

5 (g) EFFECTIVE DATE.—The amendments made by this 

6 section take effect on the date that is 180 days after the 

7 date of enactment of this Act. 

8 SEC. 10402. GRANT PROGRAM TO IMPROVE MOVEMENT OF 

9 SPECIALTY CROPS. 

10 (a) GRANTS AUTHORIZED.—The Secretary of Agri11 culture may make grants under this section to an eligible 

12 entity described in subsection (b)— 

13 (1) to improve the cost-effective movement of spe14 cialty crops to local, regional, national, and inter15 national markets; and 

16 (2) to address regional intermodal transpor17 tation deficiencies that adversely affect the movement 

18 of specialty crops to markets inside or outside the 

19 United States. 

20 (b) ELIGIBLE GRANT RECIPIENTS.—Grants may be 

21 made under this section to any of the following (or a com22 bination thereof): 

23 (1) State and local governments. 

24 (2) Grower cooperatives. 


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1 (3) State or regional producer and shipper orga2 nizations. 

3 (4) Other entities as determined to be appro4 priate by the Secretary. 

5 (c) MATCHING FUNDS.—The recipient of a grant 

6 under this section shall contribute an amount of non-Fed7 eral funds toward the project for which the grant is pro8 vided that is at least equal to the amount of grant funds 

9 received by the recipient under this section. 

10 (d) AUTHORIZATION OF APPROPRIATIONS.—There are 

11 authorized to be appropriated such sums as may be nec12 essary for each of fiscal years 2008 through 2012 to carry 

13 out this section. 

14 SEC. 10403. AUTHORIZATION OF APPROPRIATIONS FOR 

15 MARKET NEWS ACTIVITIES REGARDING SPE16 CIALTY CROPS. 

17 There are authorized to be appropriated to the Sec18 retary of Agriculture such sums as may be necessary for 

19 each of the fiscal years 2008 through 2012 to support the 

20 market news activities regarding specialty crops (as such 

21 term is defined in section 3(1) of the Specialty Crops Com22 petitiveness Act of 2004 (Public Law 108-465; 118 Stat. 

23 3883)). 

24 SEC. 10404. FARMERS’ MARKET PROMOTION PROGRAM. 

25 (a) FINDINGS.—Congress finds that— 


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1 (1) agricultural direct farmer-to-consumer mar2 keting activities, including farmers’ markets, roadside 

3 stands, community supported agriculture, internet, 

4 mail-order, and other similar direct order marketing 

5 activities, significantly enhance the ability of agricul6 tural producers to retain a greater share of their 

7 products’ retail value; 

8 (2) direct farmer-to-consumer marketing activi9 ties are a crucial component of the current and future 

10 viability of small and mid-sized farms and ranches 

11 and beginning and socially disadvantaged farmers 

12 and ranchers; and 

13 (3) agricultural direct marketing activities con14 tribute to the health and well-being of consumers in 

15 rural, urban, and tribal communities by providing 

16 access to healthy, fresh, and affordable food. 

17 (b) PROGRAM.—Section 6 of the Farmer-to-Consumer 

18 Direct Marketing Act of 1976 (7 U.S.C. 3005) is amended— 

19 (1) in subsection (a)— 

20 (A) by striking ‘‘Farmers’ Market Pro21 motion Program’’ and inserting ‘‘Farmer Mar22 keting Assistance Program’’; and 

23 (B) by striking ‘‘promote farmers’ markets’’ 

24 and inserting ‘‘direct producer to consumer mar25 keting’’; 


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1 (2) in subsection (b)(1)— 

2 (A) in subparagraph (A), by striking ‘‘, do3 mestic farmers’ markets, roadside stands, com4 munity-supported agriculture programs, and 

5 other’’; and 

6 (B) in subparagraph (B), by striking 

7 ‘‘farmers’ markets, roadside stands, community8 supported agriculture programs, and other direct 

9 producer-to-consumer infrastructure’’ and insert10 ing ‘‘direct producer-to-consumer marketing and 

11 infrastructure opportunities’’; 

12 (3) in subsection (c)— 

13 (A) by redesignating paragraphs (1) 

14 through (7) as paragraphs (2) through (8), re15 spectively; 

16 (B) by inserting before paragraph (2) the 

17 following new paragraph: 

18 ‘‘(1) two or more farmers or farm vendors who 

19 sell products through a common channel of distribu20 tion;’’; and 

21 (C) in paragraph (2) (as so redesignated) 

22 by striking ‘‘an agricultural cooperative’’ and 

23 inserting ‘‘an agricultural cooperative or pro24 ducer network or association’’; 


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1 (4) by striking subsection (e) and inserting the 

2 following new subsections: 

3 ‘‘(e) ELIGIBLE ACTIVITIES.—A recipient of a grant 

4 under this section may use the funds for the following ac5 tivities: 

6 ‘‘(1) Farmers markets. 

7 ‘‘(2) Roadside stands. 

8 ‘‘(3) Community supported agriculture oper9 ations, through which a farmer agrees to deliver a 

10 certain quantity of agricultural products to con11 sumers at a set price. 

12 ‘‘(4) The purchase of equipment or other activi13 ties supporting the use of electronic benefit transfer 

14 systems at farmers markets. 

15 ‘‘(5) Agritourism activities facilitating the direct 

16 sale of agricultural products, including operations 

17 where the consumer picks their own agricultural 

18 products. 

19 ‘‘(6) Other activities as determined appropriate 

20 by the Secretary. 

21 ‘‘(f) FUNDING.— 

22 ‘‘(1) IN GENERAL.—Of the funds of the Com23 modity Credit Corporation, the Secretary of Agri24 culture use to carry out this section— 


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1 ‘‘(A) $5,000,000 in each of fiscals year 

2 2008, 2009, and 2010; and 

3 ‘‘(B) $10,000,000 in each of fiscal years 

4 2011 and 2012. 

5 ‘‘(2) USE OF FUNDS.—Not less than 10 percent 

6 of the funds used to carry out this section in a fiscal 

7 year under paragraph (1) shall be used to support the 

8 use of electronic benefits transfers at farmers’ mar9 kets.’’. 

10 SEC. 10405. NATIONAL CLEAN PLANT NETWORK. 

11 (a) ESTABLISHMENT.—There is established in the De12 partment of Agriculture a program to be known as the ‘‘Na13 tional Clean Plant Network’’. 

14 (b) NETWORK.—The Secretary of Agriculture shall use 

15 the network— 

16 (1) to develop a sustainable national funding 

17 source for clean planting stock programs for horti18 cultural crops determined by the Secretary to be of 

19 priority for the United States; and 

20 (2) to enter into cooperative agreements to enti21 ties that have the expertise, facilities, and climate 

22 necessary to efficiently produce, maintain, and dis23 tribute healthy planting stock for specialty crops. 

24 (c) FUNDING.— 


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1 (1) COMMODITY CREDIT CORPORATION.—Of the 

2 funds of the Commodity Credit Corporation, the Sec3 retary shall make available to carry out this section 

4 $20,000,000 for fiscal years 2008 through 2012. 

5 (2) AUTHORIZATION OF APPROPRIATIONS.— 

6 There are authorized to be appropriated such sums as 

7 are necessary for each of fiscal years 2008 through 

8 2012 to carry out this section. 

9 TITLE XI—MISCELLANEOUS 

10 PROVISIONS 

Subtitle A—Federal Crop Insurance 

Sec. 11001. Availability of supplemental crop insurance based on area yield and 

loss plan of insurance or area revenue plan of insurance. 

Sec. 11002. Premiums and reinsurance requirements. 

Sec. 11003. Catastrophic risk protection administrative fee. 

Sec. 11004. Funding for reimbursements, contracting, risk management education, and information technology. 

Sec. 11005. Reimbursement of research and development costs related to new crop 

insurance products. 

Sec. 11006. Research and development contracts for organic production coverage 

improvements. 

Sec. 11007. Targeting risk management education for beginning farmers and 

ranchers and certain other farmers and ranchers. 

Sec. 11008. Crop insurance ineligibility related to crop production on noncropland. 

Sec. 11009. Funds for data mining. 

Sec. 11010. Noninsured crop assistance program. 

Sec. 11011. Change in due date for Corporation payments for underwriting 

gains. 

Sec. 11012. Sesame insurance pilot program. 

Subtitle B—Livestock and Poultry 

Sec. 11101. Sense of Congress regarding pseudorabies eradication program. 

Sec. 11102. Arbitration of livestock and poultry contracts. 

Sec. 11103. State-inspected meat and poultry. 

Sec. 11104. Country of origin labeling. 

Sec. 11105. Sense of Congress regarding State inspected meat and poultry products. 

Sec. 11106. Sense of Congress regarding the voluntary control program for low 

pathogenic avian influenza. 

Sec. 11107. Sense of Congress regarding the cattle fever tick eradication program. 


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Subtitle C—Socially Disadvantaged Producers and Limited Resource Producers 

Sec. 11201. Outreach and technical assistance for socially disadvantaged farmers 

and ranchers and limited resource farmers and ranchers. 

Sec. 11202. Improved program delivery by Department of Agriculture on Indian 

reservations. 

Sec. 11203. Transparency and accountability for socially disadvantaged farmers 

and ranchers. 

Sec. 11204. Beginning farmer and rancher development program. 

Sec. 11205. Provision of receipt for service or denial of service. 

Sec. 11206. Tracking of socially disadvantaged farmers and ranchers and limited 

resource farmers and ranchers in Census of Agriculture and certain studies. 

Sec. 11207. Farmworker coordinator. 

Sec. 11208. Office of Outreach relocation. 

Sec. 11209. Minority farmer advisory committee. 

Sec. 11210. Coordinator for chronically underserved rural areas. 

Subtitle D—Other Miscellaneous Provisions 

Sec. 11301. Designation of separate cotton-producing States under Cotton Research and Promotion Act. 

Sec. 11302. Cotton classification services. 

Sec. 11303. Availability of excess and surplus computers in rural areas. 

Sec. 11304. Permanent debarment from participation in Department of Agriculture programs for fraud. 

Sec. 11305. No discrimination against use of registered pesticide products or 

classes of pesticide products. 

Sec. 11306. Prohibition on closure or relocation of county offices for the Farm 

Service Agency, Rural Development Agency, and Natural Resources Conservation Service. 

Sec. 11308. Regulation of exports of plants, plant products, biological control organisms, and noxious weeds. 

Sec. 11309. Grants to reduce production of methamphetamines from anhydrous 

ammonia. 

Sec. 11310. USDA Graduate School. 

1 Subtitle A—Federal Crop Insurance 

2 SEC. 11001. AVAILABILITY OF SUPPLEMENTAL CROP INSUR3 ANCE BASED ON AREA YIELD AND LOSS PLAN 

4 OF INSURANCE OR AREA REVENUE PLAN OF 

5 INSURANCE. 

6 (a) IN GENERAL.—Section 508(c) of the Federal Crop 

7 Insurance Act (7 U.S.C. 1508(c)) is amended by adding 

8 at the end the following new paragraph: 

9 ‘‘(11) SUPPLEMENTAL AREA COVERAGE.— 


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1 ‘‘(A) AVAILABILITY OF COVERAGE.—Not2 withstanding paragraph (4), if area coverage is 

3 available in an area (as determined by the Cor4 poration under paragraph (3)), the Corporation 

5 shall provide eligible producers in that area with 

6 the option to purchase supplemental insurance 

7 coverage based on— 

8 ‘‘(i) an area yield and loss plan of in9 surance; or 

10 ‘‘(ii) an area revenue plan of insur11 ance that includes coverage for a loss in 

12 yield. 

13 ‘‘(B) ELIGIBLE PRODUCERS.—To be eligible 

14 to obtain supplemental coverage under this para15 graph, a producer must purchase either an indi16 vidual yield and loss plan of insurance or a rev17 enue plan of insurance that includes coverage for 

18 a loss in yield at an additional coverage level for 

19 the same crop to be covered by the supplemental 

20 coverage. 

21 ‘‘(C) LIMITATION.—In providing supple22 mental coverage to a producer under this para23 graph, the sum of the following shall not exceed 

24 100 percent: 


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1 ‘‘(i) The coverage level expressed in 

2 percentage terms for the individual yield 

3 and loss plan of insurance or the revenue 

4 plan of insurance that includes coverage for 

5 a loss in yield that is purchased by the pro6 ducer for the same crop covered by the sup7 plemental coverage, as required by subpara8 graph (B). 

9 ‘‘(ii) The share expressed in percentage 

10 terms of the area yield and loss plan of in11 surance or the area revenue plan of insur12 ance (at whatever coverage level is selected) 

13 that is used to determine the level of supple14 mental insurance coverage provided the pro15 ducer under this paragraph. 

16 ‘‘(D) PAYMENT OF PORTION OF PREMIUM.— 

17 As provided in subsection (e), the Corporation 

18 shall pay a portion of the premium for supple19 mental coverage under this paragraph and the 

20 associated individual area yield and loss plan of 

21 insurance or revenue plan of insurance that in22 cludes coverage for a loss in yield. 

23 ‘‘(E) AMOUNT OF INDEMNITY PAID UNDER

24 SUPPLEMENTAL COVERAGE.—The indemnity 


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1 payable under supplemental coverage provided 

2 under this paragraph shall be calculated as— 

3 ‘‘(i) the total indemnity for the area 

4 yield and loss plan of insurance or area 

5 revenue plan of insurance, at the coverage 

6 level chosen by the producer; multiplied by 

7 ‘‘(ii) the share of the coverage of the 

8 area yield and loss plan of insurance or 

9 area revenue plan of insurance selected by 

10 the producer. 

11 ‘‘(F) SPECIAL RULE RELATING TO QUALI12 FYING LOSSES.—In the case of a qualifying loss 

13 in an area (as determined by the Corporation) 

14 under supplemental coverage provided under this 

15 paragraph, subject to the applicable coverage 

16 limits, the total amount of the indemnity shall 

17 be available to the producer regardless of the loss 

18 incurred under the individual yield and loss 

19 plan of insurance or the revenue plan of insur20 ance that includes coverage for a loss in yield of 

21 the producer. 

22 ‘‘(G) REINSURANCE YEAR.—Subject to the 

23 availability of area yield and loss or revenue 

24 coverage for an insurable crop in an area (as de25 termined by the Corporation), the Corporation 


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1 shall provide supplemental coverage under this 

2 paragraph not later than the 2008 reinsurance 

3 year.’’. 

4 (b) CONFORMING AMENDMENTS.—Section 508(d)(2) of 

5 the Federal Crop Insurance Act (7 U.S.C. 1508(d)(2)) is 

6 amended— 

7 (1) by striking ‘‘additional coverage’’ in the mat8 ter preceding subparagraph (A) and inserting ‘‘addi9 tional and supplemental coverages’’; and 

10 (2) by adding at the end the following new sub11 paragraph: 

12 ‘‘(C) In the case of supplemental coverage 

13 provided under subsection (c)(11) that, in com14 bination with either the individual yield and 

15 loss coverage, or a comparable coverage for a pol16 icy or plan of insurance that is not based on in17 dividual yield and does not insure more than 

18 100 percent of the recorded or appraised average 

19 yield indemnified at not greater than 100 per20 cent of the expected market price, the amount of 

21 the premium shall— 

22 ‘‘(i) be sufficient to cover anticipated 

23 losses and a reasonable reserve; and 

24 ‘‘(ii) include an amount for operating 

25 and administrative expenses, as determined 


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1 by the Corporation, on an industry-wide 

2 basis as a percentage of the amount of the 

3 premium used to define loss ratio.’’. 

4 (c) OFFSET.—The Federal Crop Insurance Corpora5 tion shall take such actions, including the establishment of 

6 adequate premiums, as are necessary to improve the actu7 arial soundness of Federal multiperil crop insurance to 

8 achieve, on and after October 1, 2008, an overall projected 

9 loss ratio of not greater than 1.00. 

10 SEC. 11002. PREMIUMS AND REINSURANCE REQUIREMENTS. 

11 (a) PREMIUM ADJUSTMENTS.—Section 508(a) of the 

12 Federal Crop Insurance Act (7 U.S.C. 1508(a)) is amended 

13 by adding at the end the following new paragraph: 

14 ‘‘(9) PREMIUM ADJUSTMENTS.— 

15 ‘‘(A) PROHIBITION.—Except as provided in 

16 subparagraph (B), the paying, allowing, or giv17 ing, or offering to pay, allow, or give, directly or 

18 indirectly, either as an inducement to procure 

19 insurance or after insurance has been procured, 

20 any rebate, discount, abatement, credit, or reduc21 tion of the premium named in an insurance pol22 icy or any other valuable consideration or in23 ducement whatsoever not specified in the policy, 

24 is strictly prohibited under this title. 


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1 ‘‘(B) EXCEPTIONS.—Subparagraph (A) does 

2 not apply with respect to the following: 

3 ‘‘(i) A rebate authorized under sub4 section (b)(5)(B). 

5 ‘‘(ii) A performance-based discount au6 thorized under subsection (d)(3).’’. 

7 (b) PAYMENT OF CATASTROPHIC RISK PROTECTION

8 FEE ON BEHALF OF PRODUCERS.—Section 508(b)(5)(B) of 

9 the Federal Crop Insurance Act (7 U.S.C. 1508(b)(5)(B)) 

10 is amended— 

11 (1) in the subparagraph heading, by inserting 

12 ‘‘OF CATASTROPHIC RISK PROTECTION FEE’’ after 

13 ‘‘PAYMENT’’; 

14 (2) in clause (i)— 

15 (A) by striking ‘‘or other payment’’; and 

16 (B) by striking ‘‘with catastrophic risk pro17 tection or additional coverage’’; and inserting 

18 ‘‘through the payment of all or a portion of cata19 strophic risk protection administrative fees’’; 

20 (3) in clause (ii)— 

21 (A) by striking ‘‘or other payment made by 

22 an insurance provider’’ and inserting ‘‘payment 

23 made pursuant to clause (i) by an insurance 

24 provider’’; 


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1 (B) by striking ‘‘issuance of catastrophic 

2 risk protection or additional coverage to’’ and 

3 inserting ‘‘payment of catastrophic risk protec4 tion administrative fees on behalf of’’; and 

5 (C) by striking ‘‘or other payment’’ the sec6 ond place it appears; 

7 (4) in clause (iv), by striking ‘‘A policy or plan 

8 of insurance’’ and inserting ‘‘Catastrophic risk pro9 tection coverage’’; 

10 (5) in clause (v)— 

11 (A) by striking ‘‘licensing fee or other ar12 rangement under this subparagraph’’ and insert13 ing ‘‘licensing fee arrangement’’; and 

14 (B) by striking ‘‘levels of additional cov15 erage’’ and inserting ‘‘levels of coverage’’; and 

16 (6) by striking clause (vi). 

17 (c) CHANGE IN DUE DATE FOR POLICYHOLDER PRE18 MIUMS.—Section 508 of the Federal Crop Insurance Act (7 

19 U.S.C. 1508) is amended— 

20 (1) in subsection (b)(5)(C), by striking ‘‘the date 

21 that premium’’ and inserting ‘‘the same date on 

22 which the premium’’; 

23 (2) in subsection (c)(10)(B)— 

24 (A) by inserting ‘‘; TIME FOR PAYMENT’’ 

25 after ‘‘WAIVER’’; and 


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1 (B) by adding at the end the following new 

2 sentence: ‘‘Subparagraph (C) of such subsection 

3 shall apply with respect to the collection date for 

4 policy premiums.’’; and 

5 (3) in subsection (d), by adding at the end the 

6 following new paragraph: 

7 ‘‘(4) BILLING DATE FOR PREMIUMS.—Beginning 

8 with the 2012 reinsurance year, the Corporation shall 

9 establish August 1 as the billing date for premiums.’’. 

10 (d) REINSURANCE.— 

11 (1) REIMBURSEMENT RATE.—Section 

12 508(k)(4)(A) of the Federal Crop Insurance Act (7 

13 U.S.C. 1508(k)(4)(A)) is amended by striking clause 

14 (ii) and inserting the following new clause: 

15 ‘‘(ii) for the 2009 and subsequent rein16 surance years, 2 percentage points below the 

17 rates, in effect as of the date of the enact18 ment of this Act of the Farm, Nutrition, 

19 and Bioenergy Act of 2007, for all crop in20 surance policies used to define loss ratio.’’. 

21 (2) RENEGOTIATION OF STANDARD REINSURANCE

22 AGREEMENT.—Section 508(k) of the Federal Crop In23 surance Act (7 U.S.C. 1508(k)) is amended by adding 

24 at the end the following new paragraph: 


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1 ‘‘(8) RENEGOTIATION OF STANDARD REINSUR2 ANCE AGREEMENT.— 

3 ‘‘(A) PERIODIC RENEGOTIATION.—Fol4 lowing the reinsurance year ending June 30, 

5 2012, the Corporation may renegotiate the finan6 cial terms of the standard reinsurance agreement 

7 during the next reinsurance year and once dur8 ing each period of five reinsurance years there9 after. 

10 ‘‘(B) EFFECT OF FEDERAL LAW

11 CHANGES.—If changes in Federal law are en12 acted that require revisions in the financial 

13 terms of the standard reinsurance agreement, 

14 and such changes in the agreement are made on 

15 a mandatory basis by the Corporation, such 

16 changes will not be deemed to be a renegotiation 

17 of the agreement for purposes of subparagraph 

18 (A). 

19 ‘‘(C) CONSULTATION.—Approved insurance 

20 providers and their representatives may confer 

21 with each other, and collectively with the Cor22 poration, during the renegotiation process under 

23 subparagraph (A).’’. 

24 (3) TREATMENT OF 2008 REINSURANCE YEAR.— 

25 Clause (ii) of section 508(k)(4)(A) of the Federal Crop 


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1 Insurance Act (7 U.S.C. 1508(k)(4)(A)), as in effect 

2 on the day before the date of the enactment of this 

3 Act, shall continue to apply with respect to the 2008 

4 reinsurance year. 

5 (e) CHANGE IN DUE DATE FOR ADMINISTRATIVE AND

6 OPERATING EXPENSE PAYMENT.—Section 516(b) of the 

7 Federal Crop Insurance Act (7 U.S.C. 1516(b)) is amended 

8 by adding at the end the following new paragraph: 

9 ‘‘(3) DUE DATE FOR ADMINISTRATIVE AND OPER10 ATING EXPENSE PAYMENT.—Beginning with the 2012 

11 reinsurance year, the Corporation shall make pay12 ments pursuant to paragraph (1)(B) during October 

13 2012, and for subsequent reinsurance years, every Oc14 tober thereafter.’’. 

15 (f) CONFORMING AMENDMENTS.— 

16 (1) PREMIUM REDUCTION AUTHORITY.—Sub17 section 508(e) of the Federal Crop Insurance Act (7 

18 U.S.C. 1508(e)) is amended— 

19 (A) in paragraph (2) by striking ‘‘para20 graph (4)’’ and inserting ‘‘paragraph (3)’’; 

21 (B) by striking paragraph (3); and 

22 (C) by redesignating paragraphs (4) and 

23 (5) as paragraphs (3) and (4), respectively. 


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1 (2) PREMIUM RATE REDUCTION PILOT PRO2 GRAM.—Section 523 of the Federal Crop Insurance 

3 Act (7 U.S.C. 1523) is amended— 

4 (A) by striking subsection (d); and 

5 (B) by redesignating subsection (e) as sub6 section (d). 

7 (3) SUBMISSION OF POLICIES AND MATERIALS.— 

8 Section 508(h)(1)(A) of the Federal Crop Insurance 

9 Act (7 U.S.C. 1508(h)(1)(A)) is amended by striking 

10 ‘‘; and’’ and inserting ‘‘; or’’. 

11 SEC. 11003. CATASTROPHIC RISK PROTECTION ADMINIS12 TRATIVE FEE. 

13 Section 508(b)(5)(A) of the Federal Crop Insurance 

14 Act (7 U.S.C. 1508(b)(5)(A)) is amended by striking ‘‘$100 

15 per crop per county’’ and inserting in its place ‘‘$200 per 

16 crop per county’’. 

17 SEC. 11004. FUNDING FOR REIMBURSEMENTS, CON18 TRACTING, RISK MANAGEMENT EDUCATION, 

19 AND INFORMATION TECHNOLOGY. 

20 (a) FUNDING.—Section 516 of the Federal Crop Insur21 ance Act (7 U.S.C. 1516) is amended by adding at the end 

22 the following new subsections: 

23 ‘‘(d) FUNDING FOR REIMBURSEMENTS, CONTRACTING, 

24 RISK MANAGEMENT EDUCATION, AND INFORMATION TECH25 NOLOGY.—Of the amounts made available from the insurVerDate Aug 31 2005 04:05 Jul 24, 2007 Jkt 059200 PO 00000 Frm 00670 Fmt 6652 Sfmt 6203 E:\BILLS\H2419.RH H2419

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1 ance fund established under subsection (c), the Corporation 

2 shall use not more than $30,000,000 in each fiscal year to 

3 carry out the following: 

4 ‘‘(1) Reimbursement of research and development 

5 and maintenance costs described under section 522(b). 

6 ‘‘(2) Research and development contracting de7 scribed under section 522(c). 

8 ‘‘(3) Partnerships for risk management and im9 plementation described under section 522(d). 

10 ‘‘(4) Education and information programs de11 scribed in section 524(a)(2). 

12 ‘‘(5) Partnerships for risk management edu13 cation program described in section 524(a)(3). 

14 ‘‘(6) Information technology, as determined by 

15 the Corporation. 

16 ‘‘(e) UNDERSERVED STATES.—Of the amount made 

17 available under subsection (d), the Corporation shall use not 

18 more than $5,000,000 in each fiscal year to carry out con19 tracting for research and development described in section 

20 522(c)(1)(A).’’ 

21 (b) CONFORMING AMENDMENTS.— 

22 (1) FORMER FUNDING PROVISION.—Section 522 

23 of the Federal Crop Insurance Act (7 U.S.C. 1522) is 

24 amended by striking subsection (e) and inserting the 

25 following new subsection: 


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1 ‘‘(e) PROHIBITED RESEARCH AND DEVELOPMENT BY

2 CORPORATION.— 

3 ‘‘(1) NEW POLICIES.—Notwithstanding sub4 section (d), the Corporation shall not conduct research 

5 and development for any new policy for an agricul6 tural commodity offered under this title. 

7 ‘‘(2) EXISTING POLICIES.—Any policy developed 

8 by the Corporation under this title before October 1, 

9 2000, may continue to be offered for sale to pro10 ducers.’’ 

11 (2) CROSS REFERENCE.—Section 523(c)(1) of the 

12 Federal Crop Insurance Act (7 U.S.C. 1523(c)(1)) is 

13 amended by striking ‘‘section 522(e)(4)’’ and insert14 ing ‘‘section 522(e)’’. 

15 (3) EDUCATION ASSISTANCE FUNDING.—Section 

16 524(a) of the Federal Crop Insurance Act (7 U.S.C. 

17 1524(a)) is amended as follows: 

18 (A) in paragraph (1), by striking ‘‘para19 graph (4)’’ and inserting ‘‘section 516(d)’’; and 

20 (B) by striking paragraph (4). 


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1 SEC. 11005. REIMBURSEMENT OF RESEARCH AND DEVELOP2 MENT COSTS RELATED TO NEW CROP INSUR3 ANCE PRODUCTS. 

4 (a) REIMBURSEMENT AUTHORIZED.—Paragraph (1) 

5 of section 522(b) of the Federal Crop Insurance Act (7 

6 U.S.C. 1522(b)) is amended to read as follows: 

7 ‘‘(1) RESEARCH AND DEVELOPMENT REIMBURSE8 MENT.—The Corporation shall provide a payment to 

9 reimburse an applicant for research and development 

10 costs directly related to a policy that— 

11 ‘‘(A) is submitted to the Board pursuant to 

12 an FCIC Reimbursement Grant under para13 graph (7); or 

14 ‘‘(B) is submitted to the Board and ap15 proved by the Board under section 508(h) for re16 insurance and, if applicable, offered for sale to 

17 producers.’’. 

18 (b) FCIC REIMBURSEMENT GRANTS.—Section 522(b) 

19 of the Federal Crop Insurance Act (7 U.S.C. 1522(b)) is 

20 amended by adding at the end the following new paragraph: 

21 ‘‘(7) FCIC REIMBURSEMENT GRANTS.— 

22 ‘‘(A) GRANTS AUTHORIZED.—The Corpora23 tion shall provide FCIC Reimbursement Grants 

24 to persons proposing to prepare for submission to 

25 the Board crop insurance policies and provisions 

26 under subparagraphs (A) and (B) of section 


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1 508(h)(1), who apply and are approved for such 

2 FCIC Reimbursement Grants under the terms 

3 and conditions of this paragraph. 

4 ‘‘(B) SUBMISSION OF APPLICATION.—The 

5 Board shall receive and consider applications for 

6 FCIC Reimbursement Grants at least once annu7 ally. An application to receive an FCIC Reim8 bursement Grant from the Corporation shall con9 sist of such materials as the Board may require, 

10 including— 

11 ‘‘(i) a concept paper that describes the 

12 proposal in sufficient detail for the Board 

13 to determine whether it satisfies the require14 ments of subparagraph (C); 

15 ‘‘(ii) a summary of — 

16 ‘‘(I) the need for the product, in17 cluding an assessment of marketability 

18 and expected demand among affected 

19 producers; 

20 ‘‘(II) support from producers, pro21 ducer organizations, lenders, or other 

22 interested parties; 

23 ‘‘(III) the impact the product 

24 would have on producers and on the 

25 crop insurance delivery system; and 


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1 ‘‘(IV) that no products are offered 

2 by the private sector providing the 

3 same benefits and risk management 

4 services as the proposal. 

5 ‘‘(iii) a summary of data sources 

6 available demonstrating that the product 

7 can reasonably be developed and properly 

8 rated; and 

9 ‘‘(iv) identification of the risks the pro10 posed product will cover and that the risks 

11 are insurable under the Act 

12 ‘‘(C) APPROVAL CONDITIONS.—Approval of 

13 an application for a FCIC Reimbursement 

14 Grant shall be by majority vote of the Board. 

15 The Board shall approve the application only if 

16 the Board finds that— 

17 ‘‘(i) the proposal contained in the ap18 plication— 

19 ‘‘(I) provides coverage to a crop or 

20 region not traditionally served by the 

21 Federal crop insurance program; 

22 ‘‘(II) provides crop insurance cov23 erage in a significantly improved form; 

24 ‘‘(III) addresses a recognized flaw 

25 or problem in the program; 


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1 ‘‘(IV) introduces a significant new 

2 concept or innovation to the program; 

3 or 

4 ‘‘(V) provides coverage, benefits, or 

5 risk management services not available 

6 from the private sector; 

7 ‘‘(ii) the applicant demonstrates the 

8 necessary qualifications to complete the 

9 project successfully in a timely manner 

10 with high quality; 

11 ‘‘(iii) the proposal is in the interests of 

12 producers and can reasonably be expected to 

13 be actuarially appropriate; 

14 ‘‘(iv) the Board determines that the 

15 Corporation has sufficient available funding 

16 to award the FCIC Reimbursement Grant; 

17 and 

18 ‘‘(v) the proposed budget and timetable 

19 are reasonable. 

20 ‘‘(D) PARTICIPATION.—In reviewing pro21 posals under this paragraph, the Board may use 

22 the services of persons it deems appropriate for 

23 expert review. All proposals submitted under this 

24 paragraph will be treated as confidential in ac25 cordance with section 508(h)(4). 


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1 ‘‘(E) ENTERING INTO AGREEMENT.—Upon 

2 approval of the application, the Board shall 

3 enter into an agreement with the person for the 

4 development of a formal submission meeting the 

5 requirements for a complete submission estab6 lished by the Board under section 508(h). 

7 ‘‘(F) FEASIBILITY STUDIES.—In appro8 priate cases, the Corporation may structure the 

9 FCIC Reimbursement Grant to require, as an 

10 initial step within the overall process, the sub11 mitter to complete a feasibility study and report 

12 the results of such study to the Corporation prior 

13 to proceeding with further development. The Cor14 poration may require such other reports as nec15 essary to monitor the development efforts. 

16 ‘‘(G) RATES.—Payment for work performed 

17 under this paragraph shall be based on rates de18 termined by the Corporation for products sub19 mitted under section 508(h) of the Act or for 

20 those contracted by the Corporation under sec21 tion 522(c) of the Act. 

22 ‘‘(H) TERMINATION.—The Corporation or 

23 the submitter may terminate any FCIC Reim24 bursement Grant to reimburse expenses at any 

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1 mitter terminates the FCIC Reimbursement 

2 Grant before final approval of the product cov3 ered thereby, the submitter shall be entitled to re4 imbursement of all costs incurred to that point, 

5 or, in the case of a fixed rate agreement, to pay6 ment of an appropriate percentage. If the sub7 mitter terminates development without just 

8 cause, the Corporation may deny reimbursement. 

9 ‘‘(I) CONSIDERATION OF PRODUCTS.—The 

10 Board shall consider any product submitted to it 

11 developed under this paragraph under the rules 

12 it has established for products submitted under 

13 section 508(h) of this Act.’’. 

14 SEC. 11006. RESEARCH AND DEVELOPMENT CONTRACTS 

15 FOR ORGANIC PRODUCTION COVERAGE IM16 PROVEMENTS. 

17 Section 522(c) of the Federal Crop Insurance Act (7 

18 U.S.C. 1522(c)) is amended— 

19 (1) by redesignating paragraph (10) as para20 graph (11); and 

21 (2) by inserting after paragraph (9) the fol22 lowing new paragraph: 

23 ‘‘(10) CONTRACTS FOR ORGANIC PRODUCTION

24 COVERAGE IMPROVEMENTS.— 


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1 ‘‘(A) CONTRACT REQUIRED.—Not later than 

2 180 days after the date of the enactment of the 

3 Farm, Nutrition, and Bioenergy Act of 2007, the 

4 Corporation shall enter into one or more con5 tracts for the development of improvements in 

6 Federal crop insurance policies covering crops 

7 produced in compliance with standards issued by 

8 the Department of Agriculture under the Na9 tional Organic Program. 

10 ‘‘(B) REVIEW OF UNDERWRITING, RISK, AND

11 LOSS EXPERIENCE.— 

12 ‘‘(i) REVIEW REQUIRED.—A contract 

13 under subparagraph (A) shall include a re14 view of the underwriting, risk, and loss ex15 perience of organic crops covered by the 

16 Corporation, as compared with the same 

17 crops produced in the same counties and 

18 during the same time periods using non-or19 ganic methods. The review should be de20 signed to allow the Corporation to deter21 mine whether significant, consistent, or sys22 temic variations in loss history exist be23 tween organic and non-organic production, 

24 and shall include the widest available range 

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1 ing crop insurance policies, collected by the 

2 National Agricultural Statistics Service, 

3 and other sources of information. 

4 ‘‘(ii) EFFECT ON PREMIUM SUR5 CHARGE.—Unless the review under this sub6 paragraph documents the existence of such 

7 significant, consistent, and systemic vari8 ations in loss history between organic and 

9 non-organic crops, either collectively or on 

10 an individual basis, the Corporation shall 

11 eliminate or reduce the premium surcharge 

12 that the Corporation charges for coverage 

13 for organic crops 

14 ‘‘(C) ADDITIONAL PRICE ELECTION.—A con15 tract under subparagraph (A) shall include the 

16 development of a procedure, including any asso17 ciated changes in policy terms or materials re18 quired for implementation of the procedure, to 

19 offer producers of organic crops an additional 

20 price election that would reflect the actual retail 

21 or wholesale prices, as appropriate, received by 

22 organic producers for their crops, as established 

23 using data collected and maintained by the Agri24 cultural Marketing Service or other sources. The 

25 development of the procedure shall be completed 


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1 in a timely manner to allow the Corporation to 

2 begin offering the additional price election for 

3 organic crops with sufficient data for the 2009 

4 crop year, and expand it thereafter as the Agri5 cultural Marketing Service expands its data col6 lection and availability for prices of organic 

7 crops. 

8 ‘‘(D) REPORTING REQUIREMENTS.—The 

9 Corporation shall submit to the Committee on 

10 Agriculture of the House of Representatives and 

11 the Committee on Agriculture, Nutrition, and 

12 Forestry of the Senate an annual report on the 

13 progress made in developing and improving Fed14 eral crop insurance for organic crops, including 

15 the numbers and varieties of organic crops in16 sured, the development of new insurance ap17 proaches, and the progress of the initiatives 

18 mandated under this paragraph. The report shall 

19 also include such recommendations as the Cor20 poration considers appropriate regarding addi21 tional opportunities to improve Federal crop in22 surance coverage for such crops.’’. 


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1 SEC. 11007. TARGETING RISK MANAGEMENT EDUCATION 

2 FOR BEGINNING FARMERS AND RANCHERS 

3 AND CERTAIN OTHER FARMERS AND RANCH4 ERS. 

5 Section 524(a) of the Federal Crop Insurance Act (7 

6 U.S.C. 1524(a)) is amended— 

7 (1) by redesignating paragraph (4) as para8 graph (5); and 

9 (2) by inserting after paragraph (3) the fol10 lowing new paragraph: 

11 ‘‘(4) TARGETING RISK MANAGEMENT EDUCATION

12 FOR CERTAIN FARMERS AND RANCHERS.— 

13 ‘‘(A) IN GENERAL.—In carrying out the 

14 education and information program established 

15 under paragraph (2) and the partnerships for 

16 risk management education program under 

17 paragraph (3), the Secretary shall include a spe18 cial emphasis on risk management strategies and 

19 education and outreach specifically targeted at 

20 farmers and ranchers described in subparagraph 

21 (B). 

22 ‘‘(B) COVERED FARMERS AND RANCHERS.— 

23 Subparagraph (A) applies with respect to the fol24 lowing: 

25 ‘‘(i) Beginning farmers and ranchers. 


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1 ‘‘(ii) Immigrant farmers and ranchers 

2 who are attempting to become established 

3 producers in the United States. 

4 ‘‘(iii) Socially disadvantaged farmers 

5 and ranchers. 

6 ‘‘(iv) Farmers and ranchers who are 

7 preparing to retire and are using transition 

8 strategies to help new farmers and ranchers 

9 get started. 

10 ‘‘(v) Farmers and ranchers who are 

11 converting their current production and 

12 marketing systems to pursue new markets.’’. 

13 SEC. 11008. CROP INSURANCE INELIGIBILITY RELATED TO 

14 CROP PRODUCTION ON NONCROPLAND. 

15 Section 502 of the Federal Crop Insurance Act (7 

16 U.S.C. 1502) is amended by adding at the end the following 

17 new subsection: 

18 ‘‘(e) CROP INSURANCE INELIGIBILITY RELATED TO

19 CROP PRODUCTION ON NONCROPLAND.— 

20 ‘‘(1) NONCROPLAND DEFINED.—In this sub21 section, the term ‘noncropland’ means native grass22 land and pasture the Secretary determines has never 

23 been used for crop production 

24 ‘‘(2) INELIGIBILITY.—Noncropland acreage on 

25 which an agricultural commodity for which a policy 


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1 or plan of insurance is available under this title is 

2 planted shall be ineligible for crop insurance under 

3 this title for the first 4 years of planting, as deter4 mined by the Secretary. 

5 ‘‘(3) YIELD DETERMINATION BASED ON COUNTY

6 ACTUAL PRODUCTION HISTORY.— 

7 ‘‘(A) IN GENERAL.—If an agricultural com8 modity ineligible for insurance as described in 

9 paragraph (2) is planted for 4 years, beginning 

10 with the fifth year in which the commodity is 

11 planted, the producer of the commodity may pro12 cure crop insurance for the commodity under 

13 this title. The yield for such crop insurance shall 

14 be determined only— 

15 ‘‘(i) by using the actual production 

16 history for the farm; and 

17 ‘‘(ii) for each year in which the farm 

18 does not have an actual production history, 

19 by using the average actual production his20 tory for the commodity in the county in 

21 which the farm is located. 

22 ‘‘(B) EXCEPTION.—If an agricultural com23 modity is planted on noncropland acreage and is 

24 eligible for insurance as provided in paragraph 


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1 (2), then the yield for such crop insurance shall 

2 be determined only— 

3 ‘‘(i) by using the actual production 

4 history for the farm; and 

5 ‘‘(ii) for each year in which the farm 

6 does not have an actual production history, 

7 by using the average actual production his8 tory for the commodity in the county in 

9 which the farm is located. 

10 ‘‘(4) EFFECTIVE DATE.—This subsection shall 

11 apply to crop years following the 2007 crop year.’’. 

12 SEC. 11009. FUNDS FOR DATA MINING. 

13 Section 515(k) of the Federal Crop Insurance Act (7 

14 U.S.C. 1515(k)) is amended by striking paragraph (1) and 

15 inserting the following new paragraph: 

16 ‘‘(1) AVAILABLE FUNDS.—To carry out this sec17 tion, the Corporation may use, from amounts made 

18 available from the insurance fund established under 

19 section 516(c)— 

20 ‘‘(A) not more that $11,000,000 during fis21 cal year 2008; and 

22 ‘‘(B) not more than $7,000,000 during fis23 cal year 2009 and each subsequent year there24 after.’’. 


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1 SEC. 11010. NONINSURED CROP ASSISTANCE PROGRAM. 

2 Section 196(k)(1) of the Agricultural Market Transi3 tion Act (7 U.S.C. 7333(k)(1)) is amended by striking sub4 paragraphs (A) and (B) and inserting the following new 

5 subparagraphs: 

6 ‘‘(A) $200 per crop per county; or 

7 ‘‘(B) $600 per producer per county, but not 

8 to exceed a total of $1,800 per producer.’’. 

9 SEC. 11011. CHANGE IN DUE DATE FOR CORPORATION PAY10 MENTS FOR UNDERWRITING GAINS. 

11 Effective beginning with the 2011 reinsurance year, 

12 the Federal Crop Insurance Corporation shall make pay13 ments for underwriting gains under the Federal Crop In14 surance Act (7 U.S.C. 1501 et seq.)— 

15 (1) for the 2011 reinsurance year on October 1, 

16 2012; and 

17 (2) for each reinsurance year thereafter on the 

18 October 1 of the next calendar year. 

19 SEC. 11012. SESAME INSURANCE PILOT PROGRAM. 

20 (a) PILOT PROGRAM REQUIRED.—The Secretary of 

21 Agriculture shall establish and carry out a pilot program 

22 under which a producer of non-dehiscent sesame under con23 tract may elect to obtain multi-peril crop insurance, as de24 termined by the Secretary. 


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1 (b) TERMS AND CONDITIONS.—The multi-peril crop 

2 insurance offered under the sesame insurance pilot program 

3 shall— 

4 (1) be offered through reinsurance arrangements 

5 with private insurance companies; 

6 (2) be actuarially sound; and 

7 (3) require the payment of premiums and ad8 ministrative fees by a producer obtaining the insur9 ance. 

10 (c) LOCATION.—The sesame insurance pilot program 

11 shall be carried out only in the State of Texas. 

12 (d) RELATION TO PROHIBITION ON RESEARCH AND

13 DEVELOPMENT BY CORPORATION.—Section 522(e)(4) of the 

14 Federal Crop Insurance Act (7 U.S.C. 1522(e)(4)) shall 

15 apply with respect to the sesame insurance pilot program. 

16 (e) DURATION.—The Secretary shall commence the ses17 ame insurance pilot program as soon as practicable after 

18 the date of the enactment of this Act and continue the pro19 gram through the 2012 crop year. 

20 Subtitle B—Livestock and Poultry 

21 SEC. 11101. SENSE OF CONGRESS REGARDING 

22 PSEUDORABIES ERADICATION PROGRAM. 

23 It is the sense of Congress that— 

24 (1) the Secretary should recognize the threat feral 

25 swine pose to the domestic swine population; 


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1 (2) keeping the United States commercial swine 

2 herd free of pseudorabies is essential to maintaining 

3 and growing pork export markets; 

4 (3) the establishment of a swine surveillance sys5 tem will assist the swine industry in the monitoring, 

6 surveillance, and eradication of pseudorabies; and 

7 (4) pseudorabies eradication is a high priority 

8 that the Secretary should carry out under the authori9 ties of the Animal Health Protection Act. 

10 SEC. 11102. ARBITRATION OF LIVESTOCK AND POULTRY 

11 CONTRACTS. 

12 The Packers and Stockyards Act, 1921 (7 U.S.C. 181 

13 et seq.) is amended— 

14 (1) by redesignating section 416 as section 417; 

15 and 

16 (2) by inserting after section 415 the following 

17 new section: 

18 ‘‘SEC. 416. ARBITRATION OF LIVESTOCK AND POULTRY 

19 CONTRACTS. 

20 ‘‘(a) ISSUANCE OF REGULATIONS.—The Secretary of 

21 Agriculture shall promulgate regulations to establish stand22 ards related to the inclusion of arbitration provisions in 

23 livestock and poultry production contracts. 

24 ‘‘(b) CONTENT.—Such regulations shall— 


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1 ‘‘(1) establish permissible agreements with re2 spect to venue of arbitration, allocation of arbitration 

3 costs, number and appointment of arbitrators, and 

4 any other element of an arbitration agreement that 

5 the Secretary determines to be necessary; 

6 ‘‘(2) permit a producer to seek relief in a small 

7 claims court in lieu of arbitration for disputes or 

8 claims within the jurisdiction of a small claims court, 

9 despite the existence of an arbitration agreement; and 

10 ‘‘(3) require any person appointed or to be ap11 pointed as an arbitrator to disclose any circumstance 

12 likely to raise doubt as to the arbitrator’s impar13 tiality.’’. 

14 SEC. 11103. STATE-INSPECTED MEAT AND POULTRY. 

15 (a) REVIEW OF STATE MEAT AND POULTRY INSPEC16 TION PROGRAMS.— 

17 (1) REPORT.—Not later than 30 days after the 

18 date of the enactment of this Act, the Secretary of Ag19 riculture shall submit to Congress a report containing 

20 the results of a review by the Secretary of each State 

21 meat and poultry inspection program. Such report 

22 shall include— 

23 (A) a determination of the effectiveness of 

24 each State meat and poultry inspection pro25 gram; and 


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1 (B) an identification of changes that are 

2 necessary to enable future transition to a State 

3 program of enforcing Federal inspection require4 ments as described in the amendments made by 

5 subsections (b) and (c). 

6 (2) AUTHORIZATION OF APPROPRIATIONS.— 

7 (A) IN GENERAL.—There are authorized to 

8 be appropriated such sums as are necessary to 

9 carry out this section. 

10 (B) AVAILABLE FUNDS.—Notwithstanding 

11 any other provision of law, only funds specifi12 cally appropriated under subparagraph (A) may 

13 be used to carry out this subsection. 

14 (b) STATE MEAT INSPECTION PROGRAMS.— 

15 (1) IN GENERAL.—Title III of the Federal Meat 

16 Inspection Act (21 U.S.C. 661 et seq.) is amended to 

17 read as follows: 

18 ‘‘TITLE III—STATE MEAT 

19 INSPECTION PROGRAMS 

20 ‘‘SEC. 301. POLICY AND FINDINGS. 

21 ‘‘(a) POLICY.—It is the policy of Congress to protect 

22 the public from meat and meat food products that are adul23 terated or misbranded and to assist in efforts by State and 

24 other government agencies to accomplish that policy. 

25 ‘‘(b) FINDINGS.—Congress finds that— 


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1 ‘‘(1) the goal of a safe and wholesome supply of 

2 meat and meat food products throughout the United 

3 States would be better served if a consistent set of re4 quirements, established by the Federal Government, 

5 were applied to all meat and meat food products, 

6 whether produced under State inspection or Federal 

7 inspection; 

8 ‘‘(2) under such a system, State and Federal 

9 meat inspection programs would function together to 

10 create a seamless inspection system to ensure food 

11 safety and inspire consumer confidence in the food 

12 supply in interstate commerce; and 

13 ‘‘(3) such a system would ensure the viability of 

14 State meat inspection programs, which should help to 

15 foster the viability of small establishments. 

16 ‘‘SEC. 302. APPROVAL OF STATE MEAT INSPECTION PRO17 GRAMS. 

18 ‘‘(a) IN GENERAL.—Notwithstanding any other provi19 sion of this Act, the Secretary may approve a State meat 

20 inspection program and allow the shipment in commerce 

21 of carcasses, parts of carcasses, meat, and meat food prod22 ucts inspected under the State meat inspection program in 

23 accordance with this title. 

24 ‘‘(b) ELIGIBILITY.— 


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1 ‘‘(1) IN GENERAL.—To receive or maintain ap2 proval from the Secretary for a State meat inspection 

3 program in accordance with subsection (a), a State 

4 shall— 

5 ‘‘(A) implement a State meat inspection 

6 program that enforces the mandatory ante7 mortem and postmortem inspection, reinspection, 

8 sanitation, and related Federal requirements of 

9 titles I, II, and IV (including the regulations, di10 rectives, notices, policy memoranda, and other 

11 regulatory requirements issued under those ti12 tles); and 

13 ‘‘(B) enter into a cooperative agreement 

14 with the Secretary in accordance with subsection 

15 (c). 

16 ‘‘(2) ADDITIONAL REQUIREMENTS.— 

17 ‘‘(A) IN GENERAL.—In addition to the re18 quirements described in paragraph (1), a State 

19 meat inspection program reviewed in accordance 

20 with section 11103(a) of the Farm, Nutrition, 

21 and Bioenergy Act of 2007 shall implement, not 

22 later than 180 days after the date on which the 

23 report is submitted under subsection (b) of such 

24 section, all recommendations from the review, in 

25 a manner approved by the Secretary. 


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1 ‘‘(B) REVIEW OF NEW STATE MEAT INSPEC2 TION PROGRAMS.— 

3 ‘‘(i) REVIEW REQUIREMENT.—Not 

4 later than one year after the date on which 

5 the Secretary approves a new State meat 

6 inspection program, the Secretary shall con7 duct a review of the new State meat inspec8 tion program, which shall include— 

9 ‘‘(I) a determination of the effec10 tiveness of the new State meat inspec11 tion program; and 

12 ‘‘(II) identification of changes 

13 necessary to ensure enforcement of Fed14 eral inspection requirements. 

15 ‘‘(ii) IMPLEMENTATION REQUIRE16 MENTS.—In addition to the requirements 

17 described in paragraph (1), to continue to 

18 be an approved State meat inspection pro19 gram, a new State meat inspection program 

20 shall implement all recommendations from 

21 the review conducted in accordance with 

22 this subparagraph, in a manner approved 

23 by the Secretary. 

24 ‘‘(iii) DEFINITION OF NEW STATE

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1 paragraph, the term ‘new State meat in2 spection program’ means a State meat in3 spection program that is not approved in 

4 accordance with subsection (a) between the 

5 effective date of the Farm, Nutrition, and 

6 Bioenergy Act of 2007 and the date that is 

7 one year after the effective date of such Act. 

8 ‘‘(c) COOPERATIVE AGREEMENT.—Notwithstanding 

9 chapter 63 of title 31, United States Code, the Secretary 

10 may enter into a cooperative agreement with a State that— 

11 ‘‘(1) establishes the terms governing the relation12 ship between the Secretary and the State meat inspec13 tion program; 

14 ‘‘(2) provides that the State will adopt (includ15 ing adoption by reference) provisions identical to ti16 tles I, II, and IV (including the regulations, direc17 tives, notices, policy memoranda, and other regu18 latory requirements issued under those titles); 

19 ‘‘(3) provides that State-inspected and passed 

20 meat and meat food products shall be marked with a 

21 mark of State inspection, which shall be deemed to be 

22 an official mark, in accordance with requirements 

23 issued by the Secretary; 

24 ‘‘(4) provides that the State will comply with all 

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1 erning meat and meat food products inspected under 

2 the State meat inspection program; 

3 ‘‘(5) provides that the Secretary shall have au4 thority— 

5 ‘‘(A) to detain and seize livestock, carcasses, 

6 parts of carcasses, meat, and meat food products 

7 under the State meat inspection program; 

8 ‘‘(B) to obtain access to facilities, records, 

9 livestock, carcasses, parts of carcasses, meat, and 

10 meat food products of any person, firm, or cor11 poration that slaughters, processes, handles, 

12 stores, transports, or sells meat or meat food 

13 products inspected under the State meat inspec14 tion program to determine compliance with this 

15 Act (including the regulations issued under this 

16 Act); and 

17 ‘‘(C) to direct the State to conduct any ac18 tivity authorized to be conducted by the Sec19 retary under this Act (including the regulations 

20 issued under this Act); and 

21 ‘‘(6) includes such other terms as the Secretary 

22 determines to be necessary to ensure that the actions 

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1 tions, directives, notices, policy memoranda, and 

2 other regulatory requirements issued under this Act). 

3 ‘‘(d) RESTRICTION ON ESTABLISHMENT SIZE.—After 

4 the date that is 90 days after the effective date of the Farm, 

5 Nutrition, and Bioenergy Act of 2007, establishments with 

6 more than 50 employees may not be accepted into a State 

7 meat inspection program. Any establishment that is subject 

8 to state inspection on such date, may remain subject to 

9 State inspection. 

10 ‘‘(e) REIMBURSEMENT OF STATE COSTS.—The Sec11 retary may reimburse a State for not more than 50 percent 

12 of the State’s costs of meeting the Federal requirements for 

13 the State meat inspection program. 

14 ‘‘(f) SAMPLING.—A duly authorized representative of 

15 the Secretary shall be afforded access to State inspected es16 tablishments to take reasonable samples of the inventory of 

17 such establishments upon payment of the fair market value 

18 therefor. 

19 ‘‘(g) NONCOMPLIANCE.—If the Secretary determines 

20 that a State meat inspection program does not comply with 

21 this title or the cooperative agreement under subsection (c), 

22 the Secretary shall take such action as the Secretary deter23 mines to be necessary to ensure that the carcasses, parts 

24 of carcasses, meat, and meat food products in the State are 

25 inspected in a manner that effectuates this Act (including 


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1 the regulations, directives, notices, policy memoranda, and 

2 other regulatory requirements issued under this Act). 

3 ‘‘SEC. 303. AUTHORITY TO TAKE OVER STATE MEAT INSPEC4 TION PROGRAMS. 

5 ‘‘(a) NOTIFICATION.—If the Secretary has reason to be6 lieve that a State is not in compliance with this Act (in7 cluding the regulations, directives, notices, policy memo8 randa, and other regulatory requirements issued under this 

9 Act) or the cooperative agreement under section 302(c) and 

10 is considering the revocation or temporary suspension of the 

11 approval of the State meat inspection program, the Sec12 retary shall promptly notify and consult with the Governor 

13 of the State. 

14 ‘‘(b) SUSPENSION AND REVOCATION.— 

15 ‘‘(1) IN GENERAL.—The Secretary may revoke or 

16 temporarily suspend the approval of a State meat in17 spection program and take over a State meat inspec18 tion program if the Secretary determines that the 

19 State meat inspection program is not in compliance 

20 with this Act (including the regulations, directives, 

21 notices, policy memoranda, and other regulatory re22 quirements issued under this Act) or the cooperative 

23 agreement under section 302(c). 

24 ‘‘(2) PROCEDURES FOR REINSTATEMENT.—A 

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1 ject of a revocation may be reinstated as an approved 

2 State meat inspection program under this Act only in 

3 accordance with the procedures under section 

4 302(b)(2)(B). 

5 ‘‘(c) PUBLICATION.—If the Secretary revokes or tempo6 rarily suspends the approval of a State meat inspection 

7 program in accordance with subsection (b), the Secretary 

8 shall publish notice of the revocation or temporary suspen9 sion under that subsection in the Federal Register. 

10 ‘‘(d) INSPECTION OF ESTABLISHMENTS.—Not later 

11 than 30 days after the date of publication of a determina12 tion under subsection (c), an establishment subject to a 

13 State meat inspection program with respect to which the 

14 Secretary makes a determination under subsection (b) shall 

15 be inspected by the Secretary. 

16 ‘‘SEC. 304. EXPEDITED AUTHORITY TO TAKE OVER INSPEC17 TION OF STATE-INSPECTED ESTABLISH18 MENTS. 

19 ‘‘Notwithstanding any other provision of this title, if 

20 the Secretary determines that an establishment operating 

21 under a State meat inspection program is not operating 

22 in accordance with this Act (including the regulations, di23 rectives, notices, policy memoranda, and other regulatory 

24 requirements issued under this Act) or the cooperative 

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1 cation by the Secretary to the Governor, has not taken ap2 propriate action within a reasonable time as determined 

3 by the Secretary, the Secretary may immediately determine 

4 that the establishment is an establishment that shall be in5 spected by the Secretary, until such time as the Secretary 

6 determines that the State will meet the requirements of this 

7 Act (including the regulations, directives, notices, policy 

8 memoranda, and other regulatory requirements) and the co9 operative agreement with respect to the establishment. 

10 ‘‘SEC. 305. ANNUAL REVIEW. 

11 ‘‘(a) IN GENERAL.—The Secretary shall develop and 

12 implement a process to annually review each State meat 

13 inspection program approved under this title and to certify 

14 the State meat inspection programs that comply with the 

15 cooperative agreement entered into with the State under sec16 tion 302(c). 

17 ‘‘(b) COMMENT FROM INTERESTED PARTIES.—In de18 veloping the review process described in subsection (a), the 

19 Secretary shall solicit comment from interested parties. 

20 ‘‘SEC. 306. FEDERAL INSPECTION OPTION. 

21 ‘‘(a) IN GENERAL.—An establishment that operates in 

22 a State with an approved State meat inspection program 

23 may apply for inspection under the State meat inspection 

24 program or for Federal inspection. 


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1 ‘‘(b) LIMITATION.—An establishment shall not make 

2 an application under subsection (a) more than once every 

3 four years.’’. 

4 (2) RESTAURANTS AND RETAIL STORES.—Title 

5 IV of the Federal Meat Inspection Act is amended— 

6 (A) by redesignating section 411 (21 U.S.C. 

7 681) as section 414; and 

8 (B) by inserting after section 410 (21 

9 U.S.C. 680) the following: 

10 ‘‘SEC. 411. RESTAURANTS AND RETAIL STORES. 

11 ‘‘(a) LIMITATION ON APPLICABILITY OF INSPECTION

12 REQUIREMENTS.—The provisions of this Act requiring in13 spection of the slaughter of animals and the preparation 

14 of carcasses, parts of carcasses, meat, and meat food prod15 ucts shall not apply to operations of types traditionally and 

16 usually conducted at retail stores and restaurants, as deter17 mined by the Secretary, if the operations are conducted at 

18 a retail store, restaurant, or similar retail establishment for 

19 sale of such prepared articles in normal retail quantities 

20 or for service of the articles to consumers at such an estab21 lishment. 

22 ‘‘(b) CENTRAL KITCHEN FACILITIES.— 

23 ‘‘(1) IN GENERAL.—For the purposes of this sec24 tion, operations conducted at a central kitchen facil25 ity of a restaurant shall be considered to be conducted 


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1 at a restaurant if the central kitchen of the restaurant 

2 prepares meat or meat food products that are ready 

3 to eat when they leave the facility and are served in 

4 meals or as entrees only to customers at restaurants 

5 owned or operated by the same person, firm, or cor6 poration that owns or operates the facility. 

7 ‘‘(2) EXCEPTION.—A facility described in para8 graph (1) shall be subject to section 202 and may be 

9 subject to the inspection requirements of title I for as 

10 long as the Secretary determines to be necessary, if 

11 the Secretary determines that the sanitary conditions 

12 or practices of the facility or the processing proce13 dures or methods at the facility are such that any of 

14 the meat or meat food products of the facility are ren15 dered adulterated. 

16 ‘‘SEC. 412. ACCEPTANCE OF INTERSTATE SHIPMENTS OF 

17 MEAT AND MEAT FOOD PRODUCTS. 

18 ‘‘Notwithstanding any provision of State law, a State 

19 or local government shall not prohibit or restrict the move20 ment or sale of meat or meat food products that have been 

21 inspected and passed in accordance with this Act for inter22 state commerce. 


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1 ‘‘SEC. 413. ADVISORY COMMITTEES FOR FEDERAL AND 

2 STATE PROGRAMS. 

3 ‘‘The Secretary may appoint advisory committees con4 sisting of such representatives of appropriate State agencies 

5 as the Secretary and the State agencies may designate to 

6 consult with the Secretary concerning State and Federal 

7 programs with respect to meat inspection and other matters 

8 within the scope of this Act.’’. 

9 (c) STATE POULTRY INSPECTION PROGRAMS.— 

10 (1) IN GENERAL.—The Poultry Products Inspec11 tion Act (21 U.S.C. 451 et seq.) is amended by strik12 ing section 5 and inserting the following: 

13 ‘‘SEC. 5. STATE POULTRY INSPECTION PROGRAMS. 

14 ‘‘(a) POLICY.—It is the policy of Congress to protect 

15 the public from poultry products that are adulterated or 

16 misbranded and to assist in efforts by State and other gov17 ernment agencies to accomplish that policy. 

18 ‘‘(b) FINDINGS.—Congress finds that— 

19 ‘‘(1) the goal of a safe and wholesome supply of 

20 poultry products throughout the United States would 

21 be better served if a consistent set of requirements, es22 tablished by the Federal Government, were applied to 

23 all poultry products, whether produced under State 

24 inspection or Federal inspection; 

25 ‘‘(2) under such a system, State and Federal 

26 poultry inspection programs would function together 


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1 to create a seamless inspection system to ensure food 

2 safety and inspire consumer confidence in the food 

3 supply in interstate commerce; and 

4 ‘‘(3) such a system would ensure the viability of 

5 State poultry inspection programs, which should help 

6 to foster the viability of small official establishments. 

7 ‘‘(c) APPROVAL OF STATE POULTRY INSPECTION PRO8 GRAMS.— 

9 ‘‘(1) IN GENERAL.—Notwithstanding any other 

10 provision of this Act, the Secretary may approve a 

11 State poultry inspection program and allow the ship12 ment in commerce of poultry products inspected 

13 under the State poultry inspection program in ac14 cordance with this section and section 5A. 

15 ‘‘(2) ELIGIBILITY.— 

16 ‘‘(A) IN GENERAL.—To receive or maintain 

17 approval from the Secretary for a State poultry 

18 inspection program in accordance with para19 graph (1), a State shall— 

20 ‘‘(i) implement a State poultry inspec21 tion program that enforces the mandatory 

22 antemortem and postmortem inspection, re23 inspection, sanitation, and related Federal 

24 requirements of sections 1 through 4 and 6 

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1 tives, notices, policy memoranda, and other 

2 regulatory requirements issued under those 

3 sections); and 

4 ‘‘(ii) enter into a cooperative agree5 ment with the Secretary in accordance with 

6 paragraph (3). 

7 ‘‘(B) ADDITIONAL REQUIREMENTS.— 

8 ‘‘(i) IN GENERAL.—In addition to the 

9 requirements described in subparagraph 

10 (A), a State poultry inspection program re11 viewed in accordance with section 11103(a) 

12 of the Farm, Nutrition, and Bioenergy Act 

13 of 2007 shall implement, not later 180 days 

14 after the date on which the report is sub15 mitted under subsection (b) of such section, 

16 all recommendations from the review, in a 

17 manner approved by the Secretary. 

18 ‘‘(ii) REVIEW OF NEW STATE POULTRY

19 INSPECTION PROGRAMS.— 

20 ‘‘(I) REVIEW REQUIREMENT.—Not 

21 later than one year after the date on 

22 which the Secretary approves a new 

23 State poultry inspection program, the 

24 Secretary shall conduct a review of the 


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1 new State poultry inspection program, 

2 which shall include— 

3 ‘‘(aa) a determination of the 

4 effectiveness of the new State poul5 try inspection program; and 

6 ‘‘(bb) identification of 

7 changes necessary to ensure en8 forcement of Federal inspection 

9 requirements. 

10 ‘‘(II) IMPLEMENTATION REQUIRE11 MENTS.—In addition to the require12 ments described in subparagraph (A), 

13 to continue to be an approved State 

14 poultry inspection program, a new 

15 State poultry inspection program shall 

16 implement all recommendations from 

17 the review conducted in accordance 

18 with this clause, in a manner ap19 proved by the Secretary. 

20 ‘‘(III) DEFINITION OF NEW STATE

21 POULTRY INSPECTION PROGRAM.—In 

22 this clause, the term ‘new State poultry 

23 inspection program’ means a State 

24 poultry inspection program that is not 

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1 graph (1) between the effective date of 

2 the Farm, Nutrition, and Bioenergy 

3 Act of 2007 and the date that is one 

4 year after the effective date of such Act. 

5 ‘‘(3) COOPERATIVE AGREEMENT.—Notwith6 standing chapter 63 of title 31, United States Code, 

7 the Secretary may enter into a cooperative agreement 

8 with a State that— 

9 ‘‘(A) establishes the terms governing the re10 lationship between the Secretary and the State 

11 poultry inspection program; 

12 ‘‘(B) provides that the State will adopt (in13 cluding adoption by reference) provisions iden14 tical to sections 1 through 4 and 6 through 33 

15 (including the regulations, directives, notices, 

16 policy memoranda, and other regulatory require17 ments issued under those sections); 

18 ‘‘(C) provides that State-inspected and 

19 passed poultry products may be marked with the 

20 mark of State inspection, which shall be deemed 

21 to be an official mark, in accordance with re22 quirements issued by the Secretary; 

23 ‘‘(D) provides that the State will comply 

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1 retary governing poultry products inspected 

2 under the State poultry inspection program; 

3 ‘‘(E) provides that the Secretary shall have 

4 authority— 

5 ‘‘(i) to detain and seize poultry and 

6 poultry products under the State poultry 

7 inspection program; 

8 ‘‘(ii) to obtain access to facilities, 

9 records, and poultry products of any person 

10 that slaughters, processes, handles, stores, 

11 transports, or sells poultry products in12 spected under the State poultry inspection 

13 program to determine compliance with this 

14 Act (including the regulations issued under 

15 this Act); and 

16 ‘‘(iii) to direct the State to conduct 

17 any activity authorized to be conducted by 

18 the Secretary under this Act (including the 

19 regulations issued under this Act); and 

20 ‘‘(F) includes such other terms as the Sec21 retary determines to be necessary to ensure that 

22 the actions of the State and the State poultry in23 spection program are consistent with this Act 

24 (including the regulations, directives, notices, 


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1 policy memoranda, and other regulatory require2 ments issued under this Act). 

3 ‘‘(4) RESTRICTION ON ESTABLISHMENT SIZE.— 

4 After the date that is 90 days after the effective date 

5 of the Farm, Nutrition, and Bioenergy Act of 2007, 

6 establishments with more than 50 employees may not 

7 be accepted into a State meat inspection program. 

8 Any establishment that is subject to state inspection 

9 on such date may remain subject to state inspection. 

10 ‘‘(5) REIMBURSEMENT OF STATE COSTS.—The 

11 Secretary may reimburse a State for not more than 

12 60 percent of the State’s costs of meeting the Federal 

13 requirements for the State poultry inspection pro14 gram. 

15 ‘‘(6) SAMPLING.—A duly authorized representa16 tive of the Secretary shall be afforded access to State 

17 inspected establishments to take reasonable samples of 

18 their inventory upon payment of the fair market 

19 value therefor. 

20 ‘‘(7) NONCOMPLIANCE.—If the Secretary deter21 mines that a State poultry inspection program does 

22 not comply with this section, section 5A, or the coop23 erative agreement under paragraph (3), the Secretary 

24 shall take such action as the Secretary determines to 

25 be necessary to ensure that the poultry products in the 


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1 State are inspected in a manner that effectuates this 

2 Act (including the regulations, directives, notices, pol3 icy memoranda, and other regulatory requirements 

4 issued under this Act). 

5 ‘‘(d) ANNUAL REVIEW.— 

6 ‘‘(1) IN GENERAL.—The Secretary shall develop 

7 and implement a process to annually review each 

8 State poultry inspection program approved under 

9 this section and to certify the State poultry inspection 

10 programs that comply with the cooperative agreement 

11 entered into with the State under subsection (c)(3). 

12 ‘‘(2) COMMENT FROM INTERESTED PARTIES.—In 

13 developing the review process described in paragraph 

14 (1), the Secretary shall solicit comment from inter15 ested parties. 

16 ‘‘(e) FEDERAL INSPECTION OPTION.— 

17 ‘‘(1) IN GENERAL.—An official establishment 

18 that operates in a State with an approved State poul19 try inspection program may apply for inspection 

20 under the State poultry inspection program or for 

21 Federal inspection. 

22 ‘‘(2) LIMITATION.—An official establishment 

23 shall not make an application under paragraph (1) 

24 more than once every 4 years. 


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1 ‘‘SEC. 5A. AUTHORITY TO TAKE OVER STATE POULTRY IN2 SPECTION ACTIVITIES. 

3 ‘‘(a) AUTHORITY TO TAKE OVER STATE POULTRY IN4 SPECTION PROGRAMS.— 

5 ‘‘(1) NOTIFICATION.—If the Secretary has reason 

6 to believe that a State is not in compliance with this 

7 Act (including the regulations, directives, notices, pol8 icy memoranda, and other regulatory requirements 

9 issued under this Act) or the cooperative agreement 

10 under section 5(c)(3) and is considering the revoca11 tion or temporary suspension of the approval of the 

12 State poultry inspection program, the Secretary shall 

13 promptly notify and consult with the Governor of the 

14 State. 

15 ‘‘(2) SUSPENSION AND REVOCATION.— 

16 ‘‘(A) IN GENERAL.—The Secretary may re17 voke or temporarily suspend the approval of a 

18 State poultry inspection program and take over 

19 a State poultry inspection program if the Sec20 retary determines that the State poultry inspec21 tion program is not in compliance with this Act 

22 (including the regulations, directives, notices, 

23 policy memoranda, and other regulatory require24 ments issued under this Act) or the cooperative 

25 agreement. 


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1 ‘‘(B) PROCEDURES FOR REINSTATEMENT.— 

2 A State poultry inspection program that has 

3 been the subject of a revocation may be rein4 stated as an approved State poultry inspection 

5 program under this Act only in accordance with 

6 the procedures under section 5(c)(2)(B)(ii). 

7 ‘‘(3) PUBLICATION.—If the Secretary revokes or 

8 temporarily suspends the approval of a State poultry 

9 inspection program in accordance with paragraph 

10 (2), the Secretary shall publish notice of the revoca11 tion or temporary suspension under that paragraph 

12 in the Federal Register. 

13 ‘‘(4) INSPECTION OF ESTABLISHMENTS.—Not 

14 later than 30 days after the date of publication of a 

15 determination under paragraph (3), an official estab16 lishment subject to a State poultry inspection pro17 gram with respect to which the Secretary makes a de18 termination under paragraph (2) shall be inspected 

19 by the Secretary. 

20 ‘‘(b) EXPEDITED AUTHORITY TO TAKE OVER INSPEC21 TION OF STATE-INSPECTED OFFICIAL ESTABLISHMENTS.— 

22 Notwithstanding any other provision of this title, if the Sec23 retary determines that an official establishment operating 

24 under a State poultry inspection program is not operating 

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1 rectives, notices, policy memoranda, and other regulatory 

2 requirements issued under this Act) or the cooperative 

3 agreement under section 5(c)(3), and the State, after notifi4 cation by the Secretary to the Governor, has not taken ap5 propriate action within a reasonable time as determined 

6 by the Secretary, the Secretary may immediately determine 

7 that the official establishment is an establishment that shall 

8 be inspected by the Secretary, until such time as the Sec9 retary determines that the State will meet the requirements 

10 of this Act (including the regulations, directives, notices, 

11 policy memoranda, and other regulatory requirements) and 

12 the cooperative agreement with respect to the official estab13 lishment.’’. 

14 (2) RESTAURANTS AND RETAIL STORES, ACCEPT15 ANCE OF INTERSTATE SHIPMENTS OF POULTRY PROD16 UCTS, AND ADVISORY COMMITTEES FOR FEDERAL AND

17 STATE PROGRAMS.—The Poultry Products Inspection 

18 Act (21 U.S.C. 451 et seq.) is amended by inserting 

19 after section 30 the following: 

20 ‘‘SEC. 31. RESTAURANTS AND RETAIL STORES. 

21 ‘‘(a) LIMITATION ON APPLICABILITY OF INSPECTION

22 REQUIREMENTS.—The provisions of this Act requiring in23 spection of the slaughter of poultry and the processing of 

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1 taurants, if the operations are conducted at a retail store, 

2 restaurant, or similar retail establishment for sale of such 

3 prepared articles in normal retail quantities or for service 

4 of the articles to consumers at such an establishment. 

5 ‘‘(b) CENTRAL KITCHEN FACILITIES.— 

6 ‘‘(1) IN GENERAL.—For the purposes of this sec7 tion, operations conducted at a central kitchen facil8 ity of a restaurant shall be considered to be conducted 

9 at a restaurant if the central kitchen of the restaurant 

10 prepares poultry products that are ready to eat when 

11 they leave the facility and are served in meals or as 

12 entrees only to customers at restaurants owned or op13 erated by the same person that owns or operates the 

14 facility. 

15 ‘‘(2) EXCEPTION.—A facility described in para16 graph (1) shall be subject to section 11(b) and may 

17 be subject to the inspection requirements of this Act 

18 for as long as the Secretary determines to be nec19 essary, if the Secretary determines that the sanitary 

20 conditions or practices of the facility or the processing 

21 procedures or methods at the facility are such that 

22 any of the poultry products of the facility are ren23 dered adulterated. 


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1 ‘‘SEC. 32. ACCEPTANCE OF INTERSTATE SHIPMENTS OF 

2 POULTRY PRODUCTS. 

3 ‘‘Notwithstanding any provision of State law, a State 

4 or local government shall not prohibit or restrict the move5 ment or sale of poultry products that have been inspected 

6 and passed in accordance with this Act for interstate com7 merce. 

8 ‘‘SEC. 33. ADVISORY COMMITTEES FOR FEDERAL AND 

9 STATE PROGRAMS. 

10 ‘‘The Secretary may appoint advisory committees con11 sisting of such representatives of appropriate State agencies 

12 as the Secretary and the State agencies may designate to 

13 consult with the Secretary concerning State and Federal 

14 programs with respect to poultry product inspection and 

15 other matters within the scope of this Act’’. 

16 (d) REGULATIONS.—Not later than 180 days after the 

17 date of the enactment of this Act, the Secretary of Agri18 culture shall promulgate such regulations as are necessary 

19 to implement the amendments made by subsections (b) and 

20 (c). 

21 (e) EFFECTIVE DATE.—The amendments made by sub22 sections (b) and (c) of this Act shall take effect on the date 

23 that is 180 days after the date of the enactment of this Act. 

24 SEC. 11104. COUNTRY OF ORIGIN LABELING. 

25 Subtitle D of the Agricultural Marketing Act of 1946 

26 (7 U.S.C. 1638 et seq.) is amended— 


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1 (1) in section 281(2)(A)— 

2 (A) in clause (v) by striking ‘‘and’’; 

3 (B) in clause (vi), by striking ‘‘peanuts.’’ 

4 and inserting ‘‘peanuts; and’’; and 

5 (C) by adding at the end the following new 

6 clause: 

7 ‘‘(vii) meat produced from goats.’’; 

8 (2) in section 282— 

9 (A) in subsection (a), by striking para10 graphs (2) and (3) and inserting the following: 

11 ‘‘(2) DESIGNATION OF COUNTRY OF ORIGIN FOR

12 BEEF, LAMB, PORK, AND GOAT.— 

13 ‘‘(A) UNITED STATES COUNTRY OF ORI14 GIN.—A retailer of a covered commodity that is 

15 beef, lamb, pork, or goat may designate the cov16 ered commodity as exclusively having a United 

17 States country of origin only if the covered com18 modity is derived from an animal that was— 

19 ‘‘(i) exclusively born, raised, and 

20 slaughtered in the United States; or 

21 ‘‘(ii) born and raised in Alaska or Ha22 waii and transported for a period of not 

23 more than 60 days through Canada to the 

24 United States and slaughtered in the 

25 United States. 


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1 ‘‘(B) MULTIPLE COUNTRIES OF ORIGIN.—A 

2 retailer of a covered commodity that is beef, 

3 lamb, pork, or goat that is derived from an ani4 mal that is— 

5 ‘‘(i) not exclusively born, raised, and 

6 slaughtered in the United States, 

7 ‘‘(ii) born, raised, or slaughtered in the 

8 United States, and 

9 ‘‘(iii) not imported into the United 

10 States for immediate slaughter, 

11 may designate the country of origin of such cov12 ered commodity as all of the countries in which 

13 the animal may have been born, raised, or 

14 slaughtered. 

15 ‘‘(C) IMPORTED FOR IMMEDIATE SLAUGH16 TER.—A retailer of a covered commodity that is 

17 beef, lamb, pork, or goat that is derived from an 

18 animal that is imported into the United States 

19 for immediate slaughter must designate the ori20 gin of such covered commodity as— 

21 ‘‘(i) the country from which the animal 

22 was imported; and 

23 ‘‘(ii) the United States. 

24 ‘‘(D) FOREIGN COUNTRY OF ORIGIN.—A re25 tailer of a covered commodity that is beef, lamb, 


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1 pork, or goat that is derived from an animal 

2 that is not born, raised, or slaughtered in the 

3 United States must designate a country other 

4 than the United States as the country of origin 

5 of such commodity. 

6 ‘‘(E) GROUND BEEF, PORK, AND LAMB.— 

7 The notice of country of origin for ground beef, 

8 ground pork, or ground lamb shall include— 

9 ‘‘(i) a list of all countries of origin of 

10 such ground beef, ground pork, or ground 

11 lamb; or 

12 ‘‘(ii) a list of all reasonably possible 

13 countries of origin of such ground beef, 

14 ground pork, or ground lamb. 

15 ‘‘(3) DESIGNATION OF COUNTRY OF ORIGIN FOR

16 FISH.— 

17 ‘‘(A) IN GENERAL.—A retailer of a covered 

18 commodity that is farm-raised fish or wild fish 

19 may designate the covered commodity as having 

20 a United States country of origin only if the cov21 ered commodity— 

22 ‘‘(i) in the case of farm-raised fish, is 

23 hatched, raised, harvested, and processed in 

24 the United States; and 

25 ‘‘(ii) in the case of wild fish, is— 


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1 ‘‘(I) harvested in the United 

2 States, a territory of the United States, 

3 or a State, or by a vessel that is docu4 mented under chapter 121 of title 46, 

5 United States Code, or registered in the 

6 United States; and 

7 ‘‘(II) processed in the United 

8 States, a territory of the United States, 

9 or a State, including the waters there10 of. 

11 ‘‘(B) DESIGNATION OF WILD FISH AND

12 FARM-RAISED FISH.—The notice of country of 

13 origin for wild fish and farm-raised fish shall 

14 distinguish between wild fish and farm-raised 

15 fish. 

16 ‘‘(4) DESIGNATION OF PERISHABLE AGRICUL17 TURAL COMMODITIES AND PEANUTS.—A retailer of a 

18 covered commodity that is a perishable agricultural 

19 commodity or peanut may designate the covered com20 modity as having a United States country of origin 

21 only if the covered commodity is exclusively produced 

22 in the United States.’’; and 

23 (B) by striking subsection (d) and inserting 

24 the following: 

25 ‘‘(d) AUDIT VERIFICATION SYSTEM.— 


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1 ‘‘(1) IN GENERAL.—The Secretary may conduct 

2 an audit of any person that prepares, stores, handles, 

3 or distributes a covered commodity for retail sale to 

4 verify compliance with this subtitle (including the 

5 regulations promulgated under section 284(b)). 

6 ‘‘(2) RECORD REQUIREMENTS.— 

7 ‘‘(A) IN GENERAL.—A person subject to an 

8 audit under paragraph (1) shall provide the Sec9 retary with verification of the country of origin 

10 of covered commodities. Records maintained in 

11 the course of the normal conduct of the business 

12 of such person, including animal health papers, 

13 import or customs documents, or producer affi14 davits, may serve as such verification. 

15 ‘‘(B) PROHIBITION ON REQUIREMENT OF

16 ADDITIONAL RECORDS.—The Secretary may not 

17 require a person that prepares, stores, handles, 

18 or distributes a covered commodity to maintain 

19 a record of the country of origin of a covered 

20 commodity other than those maintained in the 

21 course of the normal conduct of the business of 

22 such person.’’; 

23 (3) in section 283— 

24 (A) by striking subsections (a) and (c); 


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1 (B) by redesignating subsection (b) sub2 section (a); 

3 (C) in subsection (a) (as so redesignated), 

4 by striking ‘‘retailer’’ and inserting ‘‘retailer or 

5 person engaged in the business of supplying a 

6 covered commodity to a retailer’’; and 

7 (D) by adding at the end the following new 

8 subsection: 

9 ‘‘(b) FINES.—If, on completion of the 30-day period 

10 described in subsection (a)(2), the Secretary determines that 

11 the retailer or person engaged in the business of supplying 

12 a covered commodity to a retailer has— 

13 ‘‘(1) not made a good faith effort to comply with 

14 section 282, and 

15 ‘‘(2) continues to willfully violate section 282 

16 with respect to the violation about which the retailer 

17 or person received notification under subsection 

18 (a)(1), 

19 after providing notice and an opportunity for a hearing 

20 before the Secretary with respect to the violation, the Sec21 retary may fine the retailer or person in an amount of not 

22 more than $1,000 for each violation.’’; and 

23 (4) in section 285— 


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1 (A) by striking ‘‘This subtitle’’ and insert2 ing ‘‘(a) IN GENERAL.—Subject to subsection (b), 

3 this subtitle’’; and 

4 (B) by adding at the end the following new 

5 subsection: 

6 ‘‘(b) ANIMALS IN THE UNITED STATES ON JANUARY

7 1, 2008.—Notwithstanding subsection (a), this subtitle shall 

8 not apply to a covered commodity that is derived from an 

9 animal that is in the United States on January 1, 2008.’’. 

10 SEC. 11105. SENSE OF CONGRESS REGARDING STATE IN11 SPECTED MEAT AND POULTRY PRODUCTS. 

12 It is the sense of Congress that— 

13 (1) the food supply in the United States con14 tinues to be the safest in the world; 

15 (2) State inspected meat and poultry products 

16 are safe and wholesome, and should be available to 

17 consumers nationwide to increase the economic viabil18 ity of small establishments and allow States to broad19 ly market their products; and 

20 (3) the Federal and State meat and poultry in21 spection systems should function seamlessly to ensure 

22 food safety and inspire consumer confidence in the 

23 food supply. 


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1 SEC. 11106. SENSE OF CONGRESS REGARDING THE VOL2 UNTARY CONTROL PROGRAM FOR LOW PATH3 OGENIC AVIAN INFLUENZA. 

4 It is the sense of Congress that— 

5 (1) the voluntary control program for low patho6 genic avian influenza is a critical component of the 

7 animal health protection system of the United States, 

8 as well as a safeguard against highly pathogenic 

9 avian influenza; and 

10 (2) the Secretary of Agriculture has appro11 priately provided for the payment of compensation to 

12 owners of poultry and cooperating State agencies of 

13 100 percent of eligible costs, and the Secretary should 

14 continue to provide such payments at 100 percent of 

15 such costs. 

16 SEC. 11107. SENSE OF CONGRESS REGARDING THE CATTLE 

17 FEVER TICK ERADICATION PROGRAM. 

18 It is the sense of Congress that— 

19 (1) the cattle fever tick and the southern cattle 

20 tick are vectors of the causal agent of babesiosis, a se21 vere and often fatal disease of cattle; and 

22 (2) implementing a national strategic plan for 

23 the cattle fever tick eradication program is a high 

24 priority that the secretary should carry out in order 

25 to— 


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1 (A) prevent the entry of cattle fever ticks 

2 into the United States; 

3 (B) enhance and maintain an effective sur4 veillance program to rapidly detect any cattle 

5 fever tick incursions; and 

6 (C) research, identify, and procure the tools 

7 and knowledge necessary to prevent and eradi8 cate cattle fever ticks in the United States. 

9 Subtitle C—Socially Disadvantaged 

10 Producers and Limited Resource 

11 Producers 

12 SEC. 11201. OUTREACH AND TECHNICAL ASSISTANCE FOR 

13 SOCIALLY DISADVANTAGED FARMERS AND 

14 RANCHERS AND LIMITED RESOURCE FARM15 ERS AND RANCHERS. 

16 (a) IN GENERAL.—Section 2501 of the Food, Agri17 culture, Conservation, and Trade Act of 1990 (7 U.S.C. 

18 2279) is amended— 

19 (1) in subsection (a)— 

20 (A) by striking paragraph (2) and inserting 

21 the following new paragraph: 

22 ‘‘(2) REQUIREMENTS.—The outreach and tech23 nical assistance program under paragraph (1) shall 

24 be used— 


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1 ‘‘(A) to enhance coordination of the out2 reach, technical assistance, and education efforts 

3 authorized under agriculture programs; and 

4 ‘‘(B) to assist the Secretary in— 

5 ‘‘(i) reaching socially disadvantaged or 

6 limited resource farmers and ranchers and 

7 prospective socially disadvantaged or lim8 ited resource farmers and ranchers in an 

9 appropriate manner; and 

10 ‘‘(ii) improving the participation of 

11 those farmers and rancher in Department 

12 programs, as determined under section 

13 2501A.’’; 

14 (B) in paragraph (3)— 

15 (i) in subparagraph (A), by striking 

16 ‘‘entity to provide information’’ and insert17 ing ‘‘entity that has demonstrated an abil18 ity to carry out the requirements described 

19 in paragraph (2) to provide outreach’’; and 

20 (ii) by adding at the end the following 

21 new subparagraphs: 

22 ‘‘(D) ADDITIONAL CONTRACTING AUTHOR23 ITY.— 

24 ‘‘(i) IN GENERAL.—Any agency of the 

25 Department of Agriculture may make 


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1 grants and enter into contracts and cooper2 ative agreements with a community-based 

3 organization that meets the definition of an 

4 eligible entity under subsection (e) in order 

5 to utilize the community-based organization 

6 to provide outreach and technical assist7 ance. 

8 ‘‘(ii) MATCHING FUNDS.—As a condi9 tion of any grant made, or any contract or 

10 any cooperative agreement entered into 

11 under this subparagraph, the Secretary 

12 shall require the eligible entity to match not 

13 less than 25 percent of the total amount of 

14 the funds provided by the grant, contract, or 

15 cooperative agreement. 

16 ‘‘(E) REPORT.—The Secretary shall submit 

17 to the Committee on Agriculture of the House of 

18 Representatives and the Committee on Agri19 culture, Nutrition, and Forestry of the Senate, 

20 and make publicly available, an annual report 

21 that includes a list of the following: 

22 ‘‘(i) The recipients of funds made 

23 available under the program. 

24 ‘‘(ii) The activities undertaken and 

25 services provided. 


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1 ‘‘(iii) The number of producers served 

2 and outcomes of such service. 

3 ‘‘(iv) The problems and barriers identi4 fied by entities in trying to increase par5 ticipation by socially disadvantaged farm6 ers and ranchers.’’; and 

7 (C) in paragraph (4)— 

8 (i) by striking subparagraph (A), and 

9 inserting the following new subparagraph: 

10 ‘‘(A) AVAILABILITY OF FUNDS.—Of the 

11 funds of the Commodity Credit Corporation, the 

12 Secretary shall make available $15,000,000 for 

13 each of the fiscal years 2008 through 2012 to 

14 carry out this subsection.’’; 

15 (ii) in subparagraph (B), by striking 

16 ‘‘authorized to be appropriated under sub17 paragraph (A)’’ and inserting ‘‘made avail18 able under subparagraph (A)’’; and 

19 (iii) by adding at the end the following 

20 new subparagraph: 

21 ‘‘(C) LIMITATION ON USE OF FUNDS FOR

22 ADMINISTRATIVE EXPENSES.—Not more than 5 

23 percent of the amounts made available under 

24 subparagraph (A) for a fiscal year may be used 


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1 for expenses related to administering the pro2 gram under this section.’’; and 

3 (2) in subsection (e)(5)(A)(ii)— 

4 (A) by inserting ‘‘and on behalf of’’ before 

5 ‘‘socially’’; and 

6 (B) by striking ‘‘2-year’’ and inserting ‘‘3- 

7 year’’. 

8 (b) COORDINATION WITH OUTREACH.— 

9 (1) IN GENERAL.—Not more than 18 months 

10 after the date of enactment of this Act, the Secretary 

11 shall develop a plan to join and relocate— 

12 (A) the outreach and technical assistance 

13 program established under section 2501 of the 

14 Food, Agriculture, Conservation, and Trade Act 

15 of 1990 (7 U.S.C. 2279); and 

16 (B) the Office of Outreach of the Depart17 ment of Agriculture. 

18 (2) REPORT.—After the relocation described in 

19 this subsection is completed, the Secretary shall sub20 mit to Congress a report that include information de21 scribing the new location of the program. 


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1 SEC. 11202. IMPROVED PROGRAM DELIVERY BY DEPART2 MENT OF AGRICULTURE ON INDIAN RES3 ERVATIONS. 

4 Section 2501(g)(1) of the Food, Agriculture, Conserva5 tion, and Trade Act of 1990 (7 U.S.C. 2279(g)(1)) is 

6 amended— 

7 (1) in the first sentence, by striking ‘‘where there 

8 is a demonstrated demand for service’’ after ‘‘offices’’; 

9 and 

10 (2) by striking the second sentence. 

11 SEC. 11203. TRANSPARENCY AND ACCOUNTABILITY FOR SO12 CIALLY DISADVANTAGED FARMERS AND 

13 RANCHERS. 

14 Section 2501A of the Food, Agriculture, Conservation, 

15 and Trade Act of 1990 (7 U.S.C. 2279–1) is amended by 

16 striking subsection (c) and inserting the following new sub17 sections: 

18 ‘‘(c) COMPILATION OF PROGRAM PARTICIPATION

19 DATA.— 

20 ‘‘(1) ANNUAL REQUIREMENT.—For each county 

21 and State in the United States, the Secretary of Agri22 culture (referred to in this section as the ‘Secretary’) 

23 shall annually compile program application and par24 ticipation rate data regarding socially disadvantaged 

25 farmers and ranchers by computing for each program 


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1 of the Department of Agriculture that serves agricul2 tural producers and landowners— 

3 ‘‘(A) raw numbers of applicants and par4 ticipants by race, ethnicity, and gender, subject 

5 to appropriate privacy protections, as deter6 mined by the Secretary; and 

7 ‘‘(B) the application and participation 

8 rate, by race, ethnicity, and gender, as a percent9 age of the total participation rate of all agricul10 tural producers and landowners. 

11 ‘‘(2) AUTHORITY TO COLLECT DATA.—The heads 

12 of the agencies of the Department of Agriculture shall 

13 collect and transmit to the Secretary any data, in14 cluding data on race, gender, and ethnicity, that the 

15 Secretary determines to be necessary to carry out 

16 paragraph (1). 

17 ‘‘(3) REPORT.—Using the technologies and sys18 tems of the National Agricultural Statistics Service, 

19 the Secretary shall compile and present the data com20 piled under paragraph (1) for each program described 

21 in that paragraph in a manner that includes the raw 

22 numbers and participation rates for— 

23 ‘‘(A) the entire United States; 

24 ‘‘(B) each State; and 

25 ‘‘(C) each county in each State. 


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1 ‘‘(4) PUBLIC AVAILABILITY OF REPORT.—The 

2 Secretary shall maintain and make readily available 

3 to the public, via website and otherwise in electronic 

4 and paper form, the report described in paragraph 

5 (3). 

6 ‘‘(d) LIMITATIONS ON USE OF DATA.— 

7 ‘‘(1) PRIVACY PROTECTIONS.—In carrying out 

8 this section, the Secretary shall not disclose the names 

9 or individual data of any program participant. 

10 ‘‘(2) AUTHORIZED USES.—The data under this 

11 section shall be used exclusively for the purposes de12 scribed in subsection (a). 

13 ‘‘(3) LIMITATION.—Except as otherwise provided, 

14 the data under this section shall not be used for the 

15 evaluation of individual applications for assistance.’’. 

16 SEC. 11204. BEGINNING FARMER AND RANCHER DEVELOP17 MENT PROGRAM. 

18 Section 7405 of the Farm Security and Rural Invest19 ment Act of 2002 (7 U.S.C. 3319f) is amended by striking 

20 subsection (h) and inserting the following new subsection: 

21 ‘‘(h) AVAILABILITY OF FUNDS.—Of the funds of the 

22 Commodity Credit Corporation, the Secretary shall make 

23 available $15,000,000 for each of the fiscal years 2008 

24 through 2012 to carry out this section.’’. 


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1 SEC. 11205. PROVISION OF RECEIPT FOR SERVICE OR DE2 NIAL OF SERVICE. 

3 In any case in which a producer or landowner, or pro4 spective producer or landowner, requests from the Depart5 ment of Agriculture any benefit or service offered by the 

6 Department to agricultural producers or landowners, the 

7 Secretary of Agriculture shall provide for the issuance, on 

8 the date on which the producer or landowner, or prospective 

9 producer or landowner, makes the request, a receipt con10 taining— 

11 (1) the date, place, and subject of the request; 

12 and 

13 (2) the action taken, not taken, or recommenda14 tions made in response to the request. 

15 SEC. 11206. TRACKING OF SOCIALLY DISADVANTAGED 

16 FARMERS AND RANCHERS AND LIMITED RE17 SOURCE FARMERS AND RANCHERS IN CEN18 SUS OF AGRICULTURE AND CERTAIN STUD19 IES. 

20 The Secretary of Agriculture shall ensure, to the max21 imum extent practicable, that the Census of Agriculture and 

22 studies carried out by the Economic Research Service accu23 rately document the number, location, and economic con24 tributions of socially disadvantaged farmers and ranchers 

25 and limited resource farmers and ranchers in agricultural 

26 production. 


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1 SEC. 11207. FARMWORKER COORDINATOR. 

2 (a) ESTABLISHMENT.—The Secretary of Agriculture 

3 shall establish the position of Farmworker Coordinator (in 

4 this section referred to as the ‘‘Coordinator’’), which shall 

5 be located in the Office of Outreach of the Department of 

6 Agriculture. 

7 (b) DUTIES.—The Secretary may delegate to the Coor8 dinator responsibility for any or all of the following: 

9 (1) Assisting in administering the program es10 tablished by section 2281 of the Food, Agriculture, 

11 Conservation, and Trade Act of 1990 (42 U.S.C. 

12 5177a). 

13 (2) Serving as a liaison to community-based 

14 non-profit organizations that represent, and have 

15 demonstrated experience serving, low-income migrant 

16 and seasonal farmworkers. 

17 (3) Coordinating with the Department of Agri18 culture and State and local governments to assure 

19 that farmworker needs are assessed and met during 

20 declared disasters and other emergencies. 

21 (4) Consulting with the Office of Small Farm 

22 Coordination, Office of Outreach, Outreach Coordina23 tors, and other entities to better integrate farmworker 

24 perspectives, concerns, and interests into the ongoing 

25 programs of the Department. 


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1 (5) Consulting with Hispanic-serving institu2 tions on research, program improvements, or agricul3 tural education opportunities that assist low-income 

4 and migrant seasonal farmworkers. 

5 (5) Assuring that farmworkers have access to 

6 services and support to enter agriculture as pro7 ducers. 

8 (c) AUTHORIZATION OF APPROPRIATIONS.—There are 

9 authorized to be appropriated to the Secretary such sums 

10 as necessary to carry out this section for fiscal years 2008 

11 through 2012. 

12 SEC. 11208. OFFICE OF OUTREACH RELOCATION. 

13 (a) RELOCATION PROPOSAL.—Not more than 18 

14 months after the date of enactment of the Act, the Secretary 

15 shall develop a proposal to relocate the Office of Outreach 

16 of the Department of Agriculture. 

17 (b) ADMINISTRATION.—The Office of Outreach shall be 

18 responsible for the administration of— 

19 (1) the outreach and technical assistance pro20 gram established under section 2501 of the Food, Ag21 riculture, Conservation, and Trade Act of 1990 (7 

22 U.S.C. 2279); and 

23 (2) the beginning farmer and rancher develop24 ment program established under section 7405 of the 


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1 Farm Security and Rural Investment Act of 2002 (7 

2 U.S.C. 3319f). 

3 SEC. 11209. MINORITY FARMER ADVISORY COMMITTEE. 

4 (a) ESTABLISHMENT.—Not later than 18 months after 

5 the date of enactment of this Act, the Secretary of Agri6 culture shall establish an advisory committee, to be known 

7 as the ‘‘Advisory Committee on Minority Farmers’’ (in this 

8 section referred to as the ‘‘Committee’’), which shall be over9 seen by the Office of Outreach of the Department of Agri10 culture. 

11 (b) DUTIES.—The Committee shall— 

12 (1) review all civil rights cases to ensure that 

13 they are processed in a timely manner; 

14 (2) ensure that the processing of civil rights cases 

15 complies with applicable laws; 

16 (3) report quarterly to the Secretary of Agri17 culture on civil rights enforcement and outreach; 

18 (4) monitor and annually report to Congress on 

19 compliance with all civil rights and related laws by 

20 all agencies and under all programs of the Depart21 ment; 

22 (5) recommend to the Secretary corrective ac23 tions to prevent civil rights violations; and 

24 (6) review the operations of the outreach and 

25 technical assistance program established under section 


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1 2501 of the Food, Agriculture, Conservation, and 

2 Trade Act of 1990 (7 U.S.C. 2279). 

3 (c) MEMBERSHIP OF COMMITTEE.—The Committee 

4 shall be composed of the following: 

5 (1) Three members appointed by the Secretary. 

6 (2) Two members appointed by the chairman of 

7 the Committee on Agriculture, Nutrition, and For8 estry of the Senate, in consultation with the ranking 

9 member of the Committee. 

10 (3) Two members appointed by the chairman of 

11 the Committee on Agriculture of the House of Rep12 resentatives, in consultation with the ranking member 

13 of the Committee. 

14 (4) A civil rights professional. 

15 (5) A socially disadvantaged farmer or rancher. 

16 (6) Such other persons or professionals as deter17 mined by the Secretary to be appropriate. 

18 SEC. 11210. COORDINATOR FOR CHRONICALLY UNDER19 SERVED RURAL AREAS. 

20 (a) ESTABLISHMENT.—The Secretary of Agriculture 

21 shall establish a Coordinator for Chronically Underserved 

22 Rural Areas (in this section referred to as the ‘‘Coordi23 nator’’), to be located in the Office of Outreach of the De24 partment of Agriculture. 


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1 (b) MISSION.—The mission of the Coordinator shall be 

2 to direct Department of Agriculture resources to high need, 

3 high poverty rural areas. 

4 (c) DUTIES.—The Coordinator shall consult with other 

5 offices in directing technical assistance, strategic regional 

6 planning, at the State and local level, for developing rural 

7 economic development that leverages the resources of State 

8 and local governments and non-profit and community de9 velopment organizations. 

10 (d) AUTHORIZATION OF APPROPRIATIONS.—There are 

11 authorized to be appropriated to the Secretary such sums 

12 as necessary to carry out this section for fiscal years 2008 

13 through 2012. 

14 Subtitle D—Other Miscellaneous 

15 Provisions 

16 SEC. 11301. DESIGNATION OF SEPARATE COTTON-PRO17 DUCING STATES UNDER COTTON RESEARCH 

18 AND PROMOTION ACT. 

19 Section 17(f) of the Cotton Research and Promotion 

20 Act (7 U.S.C. 2116(f)) is amended by adding at the end 

21 the following new sentence: ‘‘Notwithstanding the preceding 

22 sentence, effective beginning with the 2008 crop of cotton, 

23 the States of Kansas, Virginia, and Florida shall each be 

24 deemed to be a separate cotton-producing State for the pur25 poses of this Act.’’. 


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1 SEC. 11302. COTTON CLASSIFICATION SERVICES. 

2 (a) EXTENSION.—The first sentence of section 3a of the 

3 Act of March 3, 1927 (commonly known as the Cotton Sta4 tistics and Estimates Act; 7 U.S.C. 473a), is amended by 

5 striking ‘‘2007’’ and inserting ‘‘2012’’. 

6 (b) ESTABLISHMENT OF OFFICES.—The second sen7 tence of section 3a of the Act of March 3, 1927, is amended 

8 in the proviso— 

9 (1) by striking ‘‘and’’ at the end of clause (6); 

10 (2) by striking the period at the end of clause (7) 

11 and inserting ‘‘; and’’; and 

12 (3) by adding at the end the following new 

13 clause: ‘‘(8) the Secretary may enter into long-term 

14 lease agreements that exceed five years or may take 

15 title to property, including through purchase agree16 ments, for the purposes of obtaining offices to be used 

17 for the classification of cotton in accordance with this 

18 Act if the Secretary determines such action would best 

19 effectuate the purposes of this Act.’’. 

20 SEC. 11303. AVAILABILITY OF EXCESS AND SURPLUS COM21 PUTERS IN RURAL AREAS. 

22 The Secretary of Agriculture may make available to 

23 any city or town located in a rural area (as defined in 

24 section 343(a)(13)(A) of the Consolidated Farm and Rural 

25 Development Act) excess or surplus computers or other tech26 nical equipment of the Department of Agriculture. 


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1 SEC. 11304. PERMANENT DEBARMENT FROM PARTICIPA2 TION IN DEPARTMENT OF AGRICULTURE 

3 PROGRAMS FOR FRAUD. 

4 The Secretary of Agriculture is hereby granted the au5 thority to permanently debar an individual, organization, 

6 corporation, or other entity convicted of knowingly defraud7 ing the United States in connection with any program ad8 ministered by the Department of Agriculture from any sub9 sequent participation in Department of Agriculture pro10 grams. 

11 SEC. 11305. NO DISCRIMINATION AGAINST USE OF REG12 ISTERED PESTICIDE PRODUCTS OR CLASSES 

13 OF PESTICIDE PRODUCTS. 

14 In establishing priorities and evaluation criteria for 

15 the approval of plans, contracts, and agreements under title 

16 II, the Secretary of Agriculture shall not discriminate 

17 against the use of specific registered pesticide products or 

18 classes of pesticide products. 

19 SEC. 11306. PROHIBITION ON CLOSURE OR RELOCATION OF 

20 COUNTY OFFICES FOR THE FARM SERVICE 

21 AGENCY, RURAL DEVELOPMENT AGENCY, 

22 AND NATURAL RESOURCES CONSERVATION 

23 SERVICE. 

24 Until the date that is one year after the date of the 

25 enactment of this Act, the Secretary of Agriculture may not 

26 close or relocate a county or field office of the Farm Service 


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1 Agency, Rural Development Agency, or Natural Resources 

2 Conservation Service of the Department of Agriculture. 

3 SEC. 11308. REGULATION OF EXPORTS OF PLANTS, PLANT 

4 PRODUCTS, BIOLOGICAL CONTROL ORGA5 NISMS, AND NOXIOUS WEEDS. 

6 (a) IN GENERAL.—Subtitle A of title IV of the Agricul7 tural Risk Protection Act of 2000 (7 U.S.C. 7701 et seq. 

8 is amended by adding at the end the following new section: 

9 ‘‘SEC. 420. REGULATION OF EXPORTS OF PLANTS, PLANT 

10 PRODUCTS, BIOLOGICAL CONTROL ORGA11 NISMS, AND NOXIOUS WEEDS. 

12 ‘‘(a) IN GENERAL.—The Secretary may regulate 

13 plants, plant products, biological control organisms, and 

14 noxious weeds for export purposes. 

15 ‘‘(b) DUTIES.—The Secretary shall— 

16 ‘‘(1) coordinate fruit and vegetable market anal17 yses with the private sector and the Administrator of 

18 Foreign Agricultural Service; and 

19 ‘‘(2) make publicly available on an Internet 

20 website— 

21 ‘‘(A) the status of all export petitions; 

22 ‘‘(B) to the greatest extent possible, an ex23 planation of the sanitary or phytosanitary issues 

24 associated with teach pending export petition; 

25 and 


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1 ‘‘(C) to the greatest extent possible, informa2 tion on the import requirements of foreign coun3 tries for fruits and vegetables. 

4 ‘‘(c) REGULATIONS.—The Secretary may issue regula5 tions to implement this section.’’. 

6 (b) TABLE OF CONTENTS.—The table of contents in 

7 section 1(b) of such Act (7 U.S.C. 1501 note) is amended 

8 by inserting after the item relating to section 419 the fol9 lowing new item: 

‘‘Sec. 420. Regulation of exports of plants, plant products, biological control organisms, and noxious weeds.’’. 

10 SEC. 11309. GRANTS TO REDUCE PRODUCTION OF 

11 METHAMPHETAMINES FROM ANHYDROUS AM12 MONIA. 

13 (a) GRANT AUTHORITY.—The Secretary of Agriculture 

14 may make a grant to an eligible entity to enable the entity 

15 to obtain and add to an anhydrous ammonia fertilizer 

16 nurse tank a substance which will reduce the amount of 

17 methamphetamine which can be produced from any anhy18 drous ammonia removed from the tank. 

19 (b) DEFINITIONS.—In this section: 

20 (1) ELIGIBLE ENTITY.—The term ‘‘eligible enti21 ty’’ means— 

22 (A) a producer of agricultural commodities; 


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1 (B) a cooperative association a majority of 

2 the members of which produce or process agricul3 tural commodities, and 

4 (C) a person in the trade or business of— 

5 (i) selling an agricultural product, in6 cluding an agricultural chemical, at retail, 

7 predominantly to farmers and ranchers; or 

8 (ii) aerial and ground application of 

9 an agricultural chemical. 

10 (2) NURSE TANK.—The term ‘‘nurse tank’’ shall 

11 have the meaning set forth in section 173.315(m) of 

12 title 49, Code of Federal Regulations, as in effect as 

13 of the date of the enactment of this Act. 

14 (c) GRANT AMOUNT.—The amount of a grant made 

15 under this section to an entity shall be not less than $40 

16 and not more than $60, multiplied by the number of fer17 tilizer nurse tanks of the entity. 

18 (d) LIMITATIONS ON AUTHORIZATION OF APPROPRIA19 TIONS.—For grants under this section, there are authorized 

20 to be appropriated to the Secretary a total of not more than 

21 $15,000,000 for fiscal years 2008 through 2012. 

22 SEC. 11310. USDA GRADUATE SCHOOL. 

23 (a) Section 921 of the Federal Agriculture Improve24 ment and Reform Act of 1996 (7 U.S.C. 2279b) is amended 

25 by striking subsections (a) through (k) and inserting the 


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1 following: ‘‘The Department of Agriculture shall not estab2 lish, maintain, or otherwise operate a nonappropriated 

3 fund instrumentality of the United States to develop, ad4 minister, or provide educational training and professional 

5 development activities, including educational activities for 

6 Federal agencies, Federal employees, nonprofit organiza7 tions, other entities, and members of the general public.’’. 

8 (b) EFFECTIVE DATE.—The amendment made in sub9 section (a) apply beginning October 1, 2008. 


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Union Calendar No. 164 

110TH CONGRESS 

1ST SESSION H. R. 2419 

[Report No. 110

–256, Part I] 

A BILL 

To provide for the continuation of agricultural propurposes. grams through fiscal year 2012, and for other 

JULY 23, 2007 

Committee on Foreign Affairs discharged; committed to 

Union and ordered to be printed the Committee of the Whole House on the State of the 


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