74–606 

112TH CONGRESS REPORT " ! HOUSE OF REPRESENTATIVES 2d Session 112–542 

AGRICULTURE, RURAL DEVELOPMENT, FOOD AND DRUG 

ADMINISTRATION, AND RELATED AGENCIES APPROPRIATIONS BILL, 2013 

JUNE 20, 2012.—Committed to the Committee of the Whole House on the State of 

the Union and ordered to be printed 

Mr. KINGSTON, from the Committee on Appropriations, 

submitted the following 

R E P O R T 

together with 

ADDITIONAL VIEWS 

[To accompany H.R. 5973] 

The Committee on Appropriations submits the following report in 

explanation of the accompanying bill making appropriations for Agriculture, Rural Development, Food and Drug Administration, and 

Related Agencies for fiscal year 2013. 

CONTENTS 

Page 

Title I—Agricultural Programs ............................................................................... 4 

Office of the Secretary ...................................................................................... 4 

Executive Operations ....................................................................................... 6 

Office of Civil Rights ........................................................................................ 8 

Agriculture Buildings and Facilities and Rental Payments ......................... 8 

Office of Inspector General .............................................................................. 9 

Office of the Under Secretary for Research, Education, and Economics ..... 9 

Economic Research Service .............................................................................. 9 

National Agricultural Statistics Service ......................................................... 10 

Agricultural Research Service ......................................................................... 10 

National Institute of Food and Agriculture .................................................... 12 

Office of the Under Secretary for Marketing and Regulatory Programs ..... 16 

Animal and Plant Health Inspection Service ................................................. 16 

Agricultural Marketing Service ....................................................................... 20 

Grain Inspection, Packers, and Stockyards Administration ......................... 22 

Office of the Under Secretary for Food Safety ............................................... 22 

Food Safety and Inspection Service ................................................................ 23 

Office of the Under Secretary for Farm and Foreign Agricultural Services 23 

Farm Service Agency ........................................................................................ 24 


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Risk Management Agency ............................................................................... 26 

Corporations ...................................................................................................... 26 

Title II—Conservation Programs ........................................................................... 27 

Office of the Under Secretary for Natural Resources and Environment ..... 27 

Natural Resources Conservation Service ........................................................ 28 

Title III—Rural Development Programs ............................................................... 29 

Office of the Under Secretary for Rural Development .................................. 29 

Rural Housing Service ..................................................................................... 29 

Rural Business—Cooperative Service ............................................................. 32 

Rural Utilities Service ...................................................................................... 34 

Title IV—Domestic Food Programs ........................................................................ 36 

Office of the Under Secretary for Food, Nutrition, and Consumer Services .................................................................................................................. 36 

Food and Nutrition Service .............................................................................. 37 

Women, Infants, and Children ........................................................................ 39 

Supplemental Nutrition Assistance Program ................................................ 40 

Commodity Assistance Program ...................................................................... 42 

Nutrition Programs Administration ............................................................... 42 

Title V—Foreign Assistance and Related Programs ............................................. 42 

Foreign Agricultural Service ........................................................................... 42 

Food for Peace ................................................................................................... 43 

McGovern-Dole International Food for Education ......................................... 44 

Title VI—Related Agencies and Food and Drug Administration ......................... 44 

Food and Drug Administration ....................................................................... 44 

Commodity Futures Trading Commission ...................................................... 48 

Farm Credit Administration ............................................................................ 49 

Title VII—General Provisions ................................................................................. 50 

General Provisions ........................................................................................... 50 

OVERVIEW 

The discretionary spending in this bill totals $19,405,000,000, 

which is a decrease of $365,294,000 below the fiscal year 2012 enacted level and a decrease of $1,744,945,000 below the President’s 

budget request. Overall, the bill results in a nearly two percent reduction in discretionary spending from fiscal year 2012. 

The funding levels provided in this appropriations bill continue 

to demonstrate how seriously this Committee takes the responsibility to walk back discretionary spending. The Committee’s actions 

to reduce spending on the many agencies, programs, and activities 

funded in this bill will help address the Nation’s debt, deficit, and 

economic challenges. 

However, the bill provides sufficient funding for the agencies 

funded in the bill to focus on their core missions. The U.S. Department of Agriculture (USDA), the Food and Drug Administration 

(FDA), the Commodity Futures Trading Commission (CFTC), and 

the Farm Credit Administration (FCA) will be able to continue 

their critical missions of ensuring food and drug safety, supporting 

American agriculture and rural communities across the Nation, 

keeping our farms and ranches productive through agricultural research, helping the most needy through our domestic feeding programs, working with private land owners to implement conservation practices, and maintaining the international food programs 

that have shown results. 

The Committee places a high priority on ensuring taxpayer funds 

are wisely spent and effectively managed and includes a number of 

provisions in the bill and report to strengthen the management of 

certain programs and activities. In part, these provisions address 

issues raised in the USDA fiscal year 2011 Annual Performance 

and Accountability Report regarding improper payments. In fiscal 

year 2011, USDA estimated improper payments to be $5.4 billion, 


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which was more than the $5.0 billion estimated for fiscal year 

2010. This estimate only represents improper payments and does 

not include amounts lost through fraud, waste, or abuse. The Committee’s focus on these issues will raise the taxpayers’ confidence 

in the management of the programs and activities funded in the 

bill. 

OVERSIGHT AND HEARINGS

Consistent with the Committee on Appropriations Oversight 

Plan, as approved and transmitted to the Committee on Oversight 

and Government Reform and the Committee on House Administration on February 8, 2011, the Subcommittee continued the process 

that began with fiscal year 2012 and kept the Committee’s strong 

commitment to comprehensive oversight of Federal discretionary 

spending under the Subcommittee’s jurisdiction. In order to thoroughly review the President’s budget request for fiscal year 2013 

and examine how funds appropriated in previous fiscal years had 

been spent and managed, the Subcommittee held 11 hearings for 

the mission areas, agencies, and programs of USDA, FDA, and 

CFTC. The hearings included: 

Secretary of Agriculture—February 17, 2012 

USDA Food, Nutrition, and Consumer Services—February 28, 

2012 

Food and Drug Administration—February 29, 2012 

USDA Inspector General—February 29, 2012 

USDA Rural Development—March 1, 2012 

USDA Marketing and Regulatory Programs—March 6, 2012 

USDA Natural Resources and Environment—March 7, 2012 

USDA Food Safety—March 8, 2012 

USDA Farm and Foreign Agricultural Services—March 20, 

2012 

USDA Research, Education, and Economics—March 21, 2012 

Commodity Futures Trading Commission—March 22, 2012 

Several significant topics were covered at the hearings. The Subcommittee discussed with the Secretary of Agriculture the administrative savings and efficiencies underway at the Department, concerns about the number of people enrolled in the Supplemental 

Nutrition Assistance Program (SNAP) and its costs, and the administration’s proposals for the 2012 farm bill. The Subcommittee 

continued the discussion about SNAP and reviewed the costs and 

administrative structures of the Special Supplemental Program for 

Women, Infants, and Children (WIC). During the hearing with 

FDA, the Subcommittee considered the interplay between the reauthorization of Prescription Drug User Fee Act, the Medical Device 

User Fee Act, and others and the Subcommittee’s fiscal year 2013 

bill. The Subcommittee focused on rooting out fraud and abuse in 

SNAP, WIC, and farm programs during its hearing with USDA’s 

Inspector General and discussed the agency’s work regarding 

USDA’s rural development programs. The Subcommittee continued 

this discussion at its hearing with the Rural Development mission 

area, delving into the issues related to rural housing, broadband, 

and electricity programs. It considered pest management and livestock programs and the positive effects of USDA’s conservation programs on America’s farms and ranches. The Subcommittee reviewed poultry and meat inspection issues, especially the Food 


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Safety and Inspection Service’s new poultry inspection rule and 

considered the agricultural trade outlook, crop insurance reform, 

and farm safety net proposals. With CFTC, it reviewed the agency’s 

staffing needs and regulatory proposals and the CFTC’s use of notional value to size the swaps market at $700 trillion in defense of 

a 50 percent increase in its budget request. The Bank for International Settlements and the Office of the Comptroller of the Currency indicate that gross value is a more accurate measure of risk 

and sizes the market at approximately $20 trillion. The Committee 

finds the $680 trillion difference misleading when rationalizing 

such an increase. 

The Subcommittee will continue to actively monitor the issues 

identified and discussed at the hearings, as well as others relevant 

to the management of USDA, FDA, CFTC, and FCA and will maintain its oversight efforts throughout the remainder of the 112th 

Congress to ensure taxpayer dollars are being used wisely and prudently on behalf of the American people. 

TITLE I 

AGRICULTURAL PROGRAMS 

PRODUCTION, PROCESSING, AND MARKETING

OFFICE OF THE SECRETARY

(INCLUDING TRANSFERS OF FUNDS)

2012 appropriation ............................................................................. $96,284,000 

2013 budget estimate ......................................................................... 111,092,000 

Provided in the bill ............................................................................. 89,632,000 

Comparison: 

2012 appropriation ...................................................................... ¥6,652,000 

2013 budget estimate .................................................................. ¥21,460,000 

For the Office of the Secretary, the Committee provides an ap- propriation of $89,632,000. 

The Committee recommendation merges the following accounts 

under the Office of the Secretary: Office of the Secretary; Office of 

Tribal Relations; National Appeals Division; Office of Homeland Security and Emergency Coordination; Office of Advocacy and Outreach; Office of the Assistant Secretary for Administration; Departmental Administration; Office of the Assistant Secretary for Congressional Relations; Office of Communications; Office of the General Counsel; and Office of Ethics. The merger of these accounts 

will provide the Department greater flexibility in managing these 

offices. 

The following table reflects the amount provided by the Committee for each office and activity: 

OFFICE OF THE SECRETARY 

[Dollars in Thousands] 

FY 2012 

enacted 

FY 2013 

estimate 

Committee 

provisions 

Office of the Secretary ........................................................................................................ $2,959 $5,051 $2,959 

Office of Tribal Relations ................................................................................................... 448 498 439 

National Appeals Division ................................................................................................... 12,841 14,225 12,584 

Office of Homeland Security and Emergency Coordination ............................................... 1,321 1,496 1,295 


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OFFICE OF THE SECRETARY—Continued 

[Dollars in Thousands] 

FY 2012 

enacted 

FY 2013 

estimate 

Committee 

provisions 

Office of Advocacy and Outreach ....................................................................................... 1,209 1,422 1,185 

Office of the Assistant Secretary for Administration ......................................................... 764 804 749 

Departmental Administration .............................................................................................. 20,760 26,227 17,118 

Office of Ethics .......................................................................................................... (3,405) (3,420) (3,337) 

Office of the Assistant Secretary for Congressional Relations ......................................... 3,576 3,869 3,504 

Office of Communications .................................................................................................. 8,065 9,006 7,904 

Office of the General Counsel ............................................................................................ 39,345 45,074 38,558 

Office of Ethics ................................................................................................................... 3,405 3,420 3,337 

Total ....................................................................................................................... 96,284 111,092 89,632 

COMMITTEE PROVISIONS

Spending Plans.—Legislative language is included that requires 

the Secretary to submit spending plans within 15 days from the enactment of this Act. The Committee notes that House Report 112– 

101, and affirmed in House Report 112–284, requested that spending plans be submitted within 30 days of enactment of the fiscal 

year 2012 Agriculture Appropriations Act. To date, USDA has yet 

to submit a single spending plan. 

Design-Build.—The Committee encourages the Department to 

use the design-build method of project delivery when appropriate. 

CCC Report.—The Committee directs the Secretary to provide a 

report on November 15, 2012, and May 15, 2013, on planned uses 

of funding under the authorities of Section 4 and Section 11 of the 

Commodity Credit Corporation Act. 

Notification.—Within 30 days from the enactment of this Act, the 

Secretary shall notify the House and Senate Committees on Appropriations on the allocation of the funds provided to the Assistant 

Secretary for Congressional Relations by USDA agency, along with 

an explanation for the agency-by-agency distribution of the funds. 

Explanatory Notes.—The Committee appreciates the detailed information provided in the Explanatory Notes and relies on this information when considering budget proposals. The Committee directs the Secretary, beginning with presentation of the fiscal year 

2014 budget, to provide additional information on programs and activities measured against a baseline of actual spending in fiscal 

year 2008 and the previous three fiscal years. Any increase or decrease to the funding proposed for fiscal year 2014 should be compared to these years, using both a numeric table and an accompanying descriptive explanation. The Committee directs the Department to include an errata sheet in the Explanatory Notes of 

any proposed budget authority levels that do not conform to the 

budget appendix. The Committee directs the Department’s attention to the specific changes required of the fiscal year 2014 budget 

for certain programs within the National Institute of Food and Agriculture. The Explanatory Notes should be assembled with the accounts in the same order as the accounts in the bill. Any additional 

deviations from this format must be approved in advance by the 

Committee. 

Late Reports.—Reports requested by the House and Senate Appropriations Committees are an important part of the exercise of 

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cerned about the Department’s delinquency in completing these reports. The Committee is also concerned that the delay is due to excessively long reviews, especially in the Office of the Secretary. The 

reports are due on the dates specified in either the House, Senate, 

or conference report. Each agency of the Department is directed to 

comply with the deadlines and to cooperate fully with the Office of 

Budget and Program Analysis in providing these reports. The Committee reserves the right to call before it any agency that does not 

submit its report or reports on time. 

State Office Collocation.—The Committee continues to direct that 

any reallocation of resources related to the collocation of State offices scheduled for 2013 and subsequent years is subject to the 

Committee’s reprogramming procedures. 

Administrative Provision.—The Committee directs the Secretary 

to advise the Committees on Appropriations, through the Office of 

Budget and Program Analysis, of the status of all reports requested 

of the Department in this bill at the time of submission of the fiscal 

year 2014 budget and monthly thereafter. The Committee reminds 

the Secretary that all correspondence related to the directives in 

this bill must be addressed to the Committee on Appropriations. 

Loan and Grant Programs.—The Committee directs the Department, through the Office of Budget and Program Analysis, to provide quarterly reports to the Committees on Appropriations of the 

House of Representatives and the Senate on the status of obligations and funds availability for the loan and grant programs provided in this bill. 

The Committee further directs that if an estimate of loan activity 

for any program funded in Titles I and III of this bill indicates that 

a limitation on authority to make commitments for a fiscal year 

will be reached before the end of that fiscal year, or in any event 

whenever 75 per centum of the authority to make commitments 

has been utilized, the Secretary shall promptly notify the Committees in writing, through the Office of Budget and Program Analysis. 

EXECUTIVE OPERATIONS

OFFICE OF THE CHIEF ECONOMIST

2012 appropriation ............................................................................. $11,177,000 

2013 budget estimate ......................................................................... 12,008,000 

Provided in the bill ............................................................................. 10,953,000 

Comparison: 

2012 appropriation ...................................................................... ¥224,000 

2013 budget estimate .................................................................. ¥1,055,000 

COMMITTEE PROVISIONS

For the Office of the Chief Economist, the Committee provides an 

appropriation of $10,953,000. 

BioPreferred Program.—The Committee directs the Department 

to report to the Committees on Appropriations of the House and 

Senate, the House Agriculture Committee, and the Senate Committee on Agriculture, Nutrition, and Forestry within 60 days of 

enactment of this Act on the justification for the exclusion of most 

forest products from the program. The report also should provide 

recommendations for including innovative biobased products, such 

as forest products, in the existing program, a modified program, or 


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a new program. The report should include a discussion of options 

and proposals under consideration by USDA regarding forest products and the BioPreferred Program. 

OFFICE OF BUDGET AND PROGRAM ANALYSIS

2012 appropriation ............................................................................. $8,946,000 

2013 budget estimate ......................................................................... 9,049,000 

Provided in the bill ............................................................................. 8,767,000 

Comparison: 

2012 appropriation ...................................................................... ¥179,000 

2013 budget estimate .................................................................. ¥282,000 

COMMITTEE PROVISIONS

For the Office of Budget and Program Analysis, the Committee provides an appropriation of $8,767,000. 

OFFICE OF THE CHIEF INFORMATION OFFICER

2012 appropriation ............................................................................. $44,031,000 

2013 budget estimate ......................................................................... 44,031,000 

Provided in the bill ............................................................................. 43,150,000 

Comparison: 

2012 appropriation ...................................................................... ¥881,000 

2013 budget estimate .................................................................. ¥881,000 

COMMITTEE PROVISIONS

For the Office of the Chief Information Officer, the Committee 

provides an appropriation of $43,150,000. 

OFFICE OF THE CHIEF FINANCIAL OFFICER

2012 appropriation ............................................................................. $5,650,000 

2013 budget estimate ......................................................................... 6,247,000 

Provided in the bill ............................................................................. 5,537,000 

Comparison: 

2012 appropriation ...................................................................... ¥113,000 

2013 budget estimate .................................................................. ¥710,000 

COMMITTEE PROVISIONS

For the Office of the Chief Financial Officer, the Committee provides an appropriation of $5,537,000. 

Assessments.—The assessments that the Department charges its 

agencies for other government- and department-wide activities continue to escalate. Since these assessments are borne by the agencies, and Congress did not specifically provide increases to the 

agencies for these costs, most of the funding for the increase has 

come at the expense of programs. The Committee continues to direct the Office of the Chief Financial Officer to scrutinize the need 

for each activity, to consider its benefit to the mission of each agency, and to limit spending wherever possible. 

OFFICE OF THE ASSISTANT SECRETARY FOR CIVIL RIGHTS

2012 appropriation ............................................................................. $848,000 

2013 budget estimate ......................................................................... 893,000 

Provided in the bill ............................................................................. 831,000 

Comparison: 

2012 appropriation ...................................................................... ¥17,000 

2013 budget estimate .................................................................. ¥62,000 


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COMMITTEE PROVISIONS

For the Office of the Assistant Secretary for Civil Rights, the 

Committee provides an appropriation of $831,000. 

OFFICE OF CIVIL RIGHTS

2012 appropriation ............................................................................. $21,000,000 

2013 budget estimate ......................................................................... 22,692,000 

Provided in the bill ............................................................................. 20,580,000 

Comparison: 

2012 appropriation ...................................................................... ¥420,000 

2013 budget estimate .................................................................. ¥2,112,000 

COMMITTEE PROVISIONS

For the Office of Civil Rights, the Committee provides an appropriation of $20,580,000. 

AGRICULTURE BUILDINGS AND FACILITIES AND RENTAL PAYMENTS

2012 appropriation ............................................................................. $230,416,000 

2013 budget estimate ......................................................................... 244,057,000 

Provided in the bill ............................................................................. 189,167,000 

Comparison: 

2012 appropriation ...................................................................... ¥41,249,000 

2013 budget estimate .................................................................. ¥54,890,000 

COMMITTEE PROVISIONS

For Agriculture Buildings and Facilities and Rental Payments, 

the Committee provides an appropriation of $189,167,000. The following table represents the Committee’s specific recommendations 

for this account: 

[Dollars in Thousands] 

FY 2012 

enacted 

FY 2013 

estimate 

Committee 

provisions 

Rental Payments ............................................................................................................. $164,470 $175,694 $175,694 

Department of Homeland Security Building Security ..................................................... 13,800 13,473 13,473 

Building Operations ........................................................................................................ 52,146 54,890 0 

Total ................................................................................................................... 230,416 244,057 189,167 

HAZARDOUS MATERIALS MANAGEMENT

2012 appropriation ............................................................................. $3,592,000 

2013 budget estimate ......................................................................... 3,992,000 

Provided in the bill ............................................................................. 3,520,000 

Comparison: 

2012 appropriation ...................................................................... ¥72,000 

2013 budget estimate .................................................................. ¥472,000 

COMMITTEE PROVISIONS

For Hazardous Materials Management, the Committee provides 

an appropriation of $3,520,000. 


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OFFICE OF INSPECTOR GENERAL

2012 appropriation ............................................................................. $85,621,000 

2013 budget estimate ......................................................................... 89,016,000 

Provided in the bill ............................................................................. 86,621,000 

Comparison: 

2012 appropriation ...................................................................... +1,000,000 

2013 budget estimate .................................................................. ¥2,395,000 

COMMITTEE PROVISIONS

For the Office of Inspector General, the Committee provides an 

appropriation of $86,621,000. 

Anti-Fraud Efforts.—The Committee supports OIG’s plan to raise 

public awareness of successful Federal investigations of fraud and 

is particularly pleased with its efforts regarding the Supplemental 

Nutrition Assistance Program. Such efforts are intended to deter 

participants from engaging in the misuse of taxpayer dollars and 

to maintain a high level of integrity in all of USDA’s programs. The 

Committee encourages OIG to expand its efforts, working with all 

of USDA’s agencies, to deter fraud, waste, and abuse in the Department’s programs. 

OFFICE OF THE UNDER SECRETARY FOR RESEARCH, EDUCATION, AND

ECONOMICS

2012 appropriation ............................................................................. $848,000 

2013 budget estimate ......................................................................... 893,000 

Provided in the bill ............................................................................. 831,000 

Comparison: 

2012 appropriation ...................................................................... ¥17,000 

2013 budget estimate .................................................................. ¥62,000 

COMMITTEE PROVISIONS

For the Office of the Under Secretary for Research, Education, 

and Economics, the Committee provides an appropriation of 

$831,000. 

Brown Marmorated Stink Bug.—The Committee appreciates the 

continuing work of ARS and NIFA regarding the Brown 

Marmorated Stink Bug. This pest is causing significant damage to 

agricultural crops, particularly the apple crop in the mid-Atlantic 

States, and has spread to more than 30 States and the District of 

Columbia. The Committee encourages ARS and NIFA to work collaboratively with APHIS and State partners to identify and implement appropriate controls. 

ECONOMIC RESEARCH SERVICE

2012 appropriation ............................................................................. $77,723,000 

2013 budget estimate ......................................................................... 77,397,000 

Provided in the bill ............................................................................. 75,000,000 

Comparison: 

2012 appropriation ...................................................................... ¥2,723,000 

2013 budget estimate .................................................................. ¥2,397,000 

COMMITTEE PROVISIONS

For the Economic Research Service, the Committee provides an 

appropriation of $75,000,000. 


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NATIONAL AGRICULTURAL STATISTICS SERVICE

2012 appropriation ............................................................................. $158,616,000 

2013 budget estimate ......................................................................... 179,477,000 

Provided in the bill ............................................................................. 175,227,000 

Comparison: 

2012 appropriation ...................................................................... +16,611,000 

2013 budget estimate .................................................................. ¥4,250,000 

COMMITTEE PROVISIONS

For the National Agricultural Statistics Service, the Committee 

provides an appropriation of $175,227,000, of which $61,250,000 is 

for the Census of Agriculture. 

Acreage Crop Reporting and Streamlining Initiative.—Farmers 

and ranchers must provide substantial amounts of information to 

a number of different Federal agencies in order to participate in 

the various farm, conservation, energy, rural development, and 

other programs authorized by Congress and administered by 

USDA. The Committee recognizes that the collection and reporting 

of this information places a burden on producers and appreciates 

USDA’s efforts to streamline and reduce the duplicate reporting of 

certain information. The Committee directs the Department to report on the Acreage Crop Reporting and Streamlining Initiative 

within 60 days after enactment of this Act and to provide recommendations on additional streamlining and consolidation opportunities. 

AGRICULTURAL RESEARCH SERVICE

SALARIES AND EXPENSES

2012 appropriation ............................................................................. $1,094,647,000 

2013 budget estimate ......................................................................... 1,102,565,000 

Provided in the bill ............................................................................. 1,073,499,000 

Comparison: 

2012 appropriation ...................................................................... ¥21,148,000 

2013 budget estimate .................................................................. ¥29,066,000 

COMMITTEE PROVISIONS

For Salaries and Expenses of the Agricultural Research Service, 

the Committee provides an appropriation of $1,073,499,000. 

Aerial Application Research.—The Committee recognizes the importance of the ARS Aerial Application Technology Program. The 

program conducts innovative research making aerial applications 

more efficient, effective, and precise. Research for aerial application 

serves the public good as a vital tool for the future, as agriculture 

strives to meet the food, fiber, and bio-energy demands of a growing population. 

Agriculture Technology Innovation.—The Committee recognizes 

the importance of the connection between basic research, applied 

research, and commercialization and encourages ARS to work with 

growers, industry, and other stakeholders to ensure its technology 

transfer activities are coordinated to benefit U.S. agriculture. 

Citrus Greening Disease Research.—The Committee commends 

ARS’s research efforts on citrus greening disease and encourages 

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dustry, universities, growers, and other partners to develop effective control mechanisms. 

Domestic and Bighorn Sheep.—The Committee recognizes the 

challenges caused by infectious disease problems arising from wildlife-domestic animal agriculture interactions, particularly between 

domestic sheep and wild bighorn sheep. Research has recently produced an experimental vaccine to protect bighorn populations from 

disease but much work still needs to be done in this area. The 

Committee encourages ARS to work to determine the role of domestic sheep in causing die-offs of bighorn sheep from respiratory disease and develop methods to reduce transmission and enhance immunity in domestic and bighorn sheep. 

Emerging Cereal Rust Diseases.—The Committee continues to be 

concerned about emerging cereal rust diseases, particularly Ug99, 

and the threat they pose to domestic and world food supplies. The 

Committee encourages ARS to continue its work on these diseases, 

including the development of Ug99-resistant wheat varieties. 

Endophyte Research.—The Committee is aware that cool season 

grasses in the Pacific Northwest serve a dual function as a source 

of fiber for livestock and for their bioremediation potential on contaminated soils and supports continued research efforts on these 

issues. 

FOV Race 4 Cotton Research.—The Committee recognizes the serious threat that fusarium oxysporum f. sp. Vasinfectum (FOV), 

particularly the strain FOV Race 4, poses to the U.S. cotton industry. The Committee encourages ARS to continue research efforts to 

combat FOV Race 4 and to work with industry and other partners 

to develop effective control measures to eradicate this disease and 

prevent its spread nationwide. 

Greenhouse Research.—The Committee recognizes that greenhouses can produce crops during any season independent of weather and potentially could help reduce the Federal Government’s 

costs associated with the farm safety net. The Committee encourages ARS to continue research to develop more effective production, 

environmental management, and pest management systems for 

greenhouses. 

Human Nutrition Research.—The Committee remains concerned 

about the high rates of obesity in the Nation and believes that research on human nutrition to help prevent childhood obesity and 

the medical issues related to obesity is important. In addition, 

there is strong evidence that nutrition plays a vital role in how a 

person ages. The Committee encourages ARS to continue research 

relating both to childhood and adult obesity as well as the effect 

of nutrition on aging. 

National Agricultural Library.—The Committee encourages ARS 

to maintain a focus on agriculture-related legal issues within the 

National Agricultural Library. The Committee recognizes agriculture-related legal issues are being litigated on an increasingly 

frequent basis, and that the complexity and scope of these legal 

issues continues to broaden. 

Natural Products Research.—The Committee recognizes the importance of developing natural products for use in agriculture in 

order to produce more toxicologically and environmentally benign 

pest management tools and to improve the nutriceutical value of 

crops. 


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Office of Pest Management Policy.—The Committee commends 

the Office of Pest Management Policy for its work providing the 

Department, other Federal agencies, producers, and others scientifically sound analysis of pest management issues important to agriculture, especially methyl bromide transition and pesticide resistance, and encourages the agency to continue to support this office. 

Research on Sediments.—The Committee recognizes the importance of finding solutions to the problems associated with soil erosion, including erosion and sedimentation in stream channels and 

the loss of nutrients and agricultural chemicals from farm fields. 

Horticultural Research and Education.—The Committee recognizes the contributions of the U.S. National Arboretum to horticultural research and public education, as well as the services and 

446 acres of green space it provides to the Washington, D.C., community and to international, national, and regional visitors. The 

Committee encourages ARS to support these research and educational activities. 

Lyme Disease Research.—The Committee recognizes the importance of the ongoing research efforts of the ARS regarding tickborne illnesses. As the agency continues to build upon its research 

efforts and protect humans and livestock from tick-borne illnesses, 

the Committee encourages the ARS, in conjunction with other 

agencies, to maintain its efforts and consider both the human and 

economic impacts of Lyme disease on communities in the United 

States. 

NATIONAL INSTITUTE OF FOOD AND AGRICULTURE

RESEARCH AND EDUCATION ACTIVITIES

2012 appropriation ............................................................................. $705,599,000 

2013 budget estimate ......................................................................... 732,730,000 

Provided in the bill ............................................................................. 691,487,000 

Comparison: 

2012 appropriation ...................................................................... ¥14,112,000 

2013 budget estimate .................................................................. ¥41,243,000 

COMMITTEE PROVISIONS

For Research and Education Activities, the Committee provides 

an appropriation of $691,487,000. 

Agriculture and Food Science Facility and Equipment Grants for 

Insular Areas.—The needs of the land-grant institutions in the insular areas are unique, and upgrading their facilities and equipment involve added cost factors and logistics compared with other 

institutions on the U.S. mainland. The Committee directs NIFA to 

review the current state of facilities and equipment at these institutions and report to the House and Senate Appropriations Committees by January 30, 2013, with its findings and recommendations to meet the identified needs. 

Budget Request for Fiscal Year 2014.—For the fiscal year 2014 

budget request, the Committee directs the Department to include 

in the budget funding levels proposed to be allocated to and the expected publication date, scope, and allocation level for each request 

for awards to be published under (1) each priority area specified in 

section 2(b)(2) of the Competitive, Special, and Facilities Research 

Grant Act (7 U.S.C. 450i(b)(2)); (2) each research and extension 

project carried out under section 1621(a) of the Food, Agriculture, 


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Conservation, and Trade Act of 1990 (7 U.S.C. 5811(a)); (3) each 

grant awarded under section 1672B(a) of the Food, Agriculture, 

Conservation, and Trade Act of 1990 (7 U.S.C. 5925b(a)); (4) each 

research, education, and extension project carried out under section 

406 of the Research Reform Act of 1998 (7 U.S.C. 7626); and (5) 

each research and extension project carried out under section 412 

of the Agricultural Research, Extension, and Education Reform Act 

of 1998 (7 U.S.C. 7632). The term ‘request for awards’ means a 

funding announcement published by NIFA that provides detailed 

information on funding opportunities at the Institute, including the 

purpose, eligibility, restrictions, focus areas, evaluation criteria, 

regulatory information, and instructions on how to apply for such 

opportunities. 

Policy Research.—The Committee notes that NIFA ignored the 

clear direction of Congress regarding the review process for awards 

made through the policy research program and directs the agency 

to ensure its policies and procedures fully incorporate the direction 

provided by Congress through authorization and appropriation law 

for each of its programs. 

Priority Research.—The Committee recognizes the broad responsibilities of agricultural research, education, extension, and economics that Congress has given to NIFA. However, it is concerned 

with the focus of many of its grant programs. Given the current 

budget constraints, the Committee directs the agency to prioritize 

funding for the highest quality, peer-reviewed, and relevant plant 

and animal production and protection research. 

Program Consolidation and Streamlining.—The Committee appreciates the agency’s efforts and proposals to consolidate and 

streamline its programs and operations to achieve administrative 

efficiencies and reduce costs. The Committee concurs with the proposal to consolidate the Resident Instruction and Distance Education Grant Programs for Insular Areas but does not concur with 

the proposal to consolidate the various pest management programs. 

The Committee is concerned that the proposal to consolidate the 

pest management programs was not developed with sufficient input 

from land-grant universities, grower associations, industry, and 

other interested parties. The Committee encourages NIFA to continue its efforts, working with all interested parties, to design a 

broadly supported and effective pest management research, education, and extension program that is responsive to the needs of 

today and the future. 

Unexpended/Unobligated Balances.—In its report accompanying 

the fiscal year 2012 agriculture appropriations bill, the Committee 

expressed concern about NIFA’s large unexpended/unobligated balances and directed the agency to provide a report on them, including an explanation for its past practices and the agency’s plans to 

improve the management of its appropriation. The report was due 

September 1, 2011. The Committee continues to have significant 

concerns with NIFA’s unexpended/unobligated balances and notes 

its displeasure that its request for information was ignored. The 

Committee directs the agency to provide this report by August 1, 

2012. 


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The following table reflects the amount provided by the Committee: 

NATIONAL INSTITUTE OF FOOD AND AGRICULTURE 

RESEARCH AND EDUCATION ACTIVITIES 

[Dollars in Thousands] 

program/activity authorization FY 2012 

enacted 

FY 2013 

estimate 

Committee 

provisions 

Hatch Act .................................................................... 7 U.S.C. 361a–i ........................ $236,334 $234,834 $231,607 

McIntire-Stennis Cooperative Forestry Act ................. 16 U.S.C. 582a through a–7 ... 32,934 32,934 32,275 

Research at 1890 Institutions (Evans-Allen Program).7 U.S.C. 3222 ........................... 50,898 50,898 49,880 

Payments to the 1994 Institutions ............................ 534(a)(1) of P.L. 103–382 ....... 3,335 3,335 3,268 

Education Grants for 1890 Institutions ..................... 7 U.S.C. 3152(b) ...................... 19,336 19,336 18,949 

Education Grants for Hispanic-Serving Institutions .. 7 U.S.C. 3241 ........................... 9,219 9,219 9,034 

Education Grants for Alaska Native and Native Hawaiian-Serving Institutions.7 U.S.C. 3156 ........................... 3,194 3,194 3,130 

Research Grants for 1994 Institutions ...................... 536 of P.L. 103–382 ................ 1,801 1,801 1,764 

Capacity Building for Non Land-Grant Colleges of 

Agriculture.

7 U.S.C. 3319i .......................... 4,500 0 0 

Resident Instruction and Distance Education Grants 

for Insular Areas.

7 U.S.C. 3363 and 3362 .......... 1,650 1,650 1,650 

Agriculture and Food Research Initiative ................... 7 U.S.C. 450i(b) ....................... 264,470 325,000 276,515 

Veterinary Medicine Loan Repayment ........................ 7 U.S.C. 3151a ......................... 4,790 4,790 4,694 

Continuing Animal Health and Disease Research 

Program.

7 U.S.C. 3195 ........................... 4,000 0 3,920 

Supplemental and Alternative Crops ......................... 7 U.S.C. 3319d ......................... 825 0 0 

Critical Agricultural Materials Act ............................. 7 U.S.C. 178 et seq. ................ 1,081 0 0 

Multicultural Scholars, Graduate Fellowship and Institution Challenge Grants.7 U.S.C. 3152(b) ...................... 9,000 10,733 8,820 

Secondary and 2-year Post-Secondary Education ...... 7 U.S.C. 3152(j) ....................... 900 981 882 

Aquaculture Centers ................................................... 7 U.S.C. 3322 ........................... 3,920 3,920 3,841

Sustainable Agriculture Research and Education ..... 7 U.S.C. 5811 ........................... 14,471 14,471 14,181 

Farm Business Management ...................................... 7 U.S.C. 5925f .......................... 1,450 0 0 

Sun Grant Program ..................................................... 7 U.S.C. 8114 ........................... 2,200 0 0 

Policy Research Grant Program .................................. 7 U.S.C. 3155 ........................... 4,000 0 0 

Rangeland Research ................................................... 7 U.S.C. 3333 ........................... 961 0 0 

Improved Pest Control: 

Expert IPM Decision Support System ................ 7 U.S.C. 450i(c) ........................ 153 0 149 

Integrated Pest Management ............................ 7 U.S.C. 450i(c) ........................ 2,362 0 2,315 

Minor Crop Pest Management (IR–4) ............... 7 U.S.C. 450i(c) ........................ 11,913 0 11,675 

Pest Management Alternatives .......................... 7 U.S.C. 450i(c) ........................ 1,402 0 1,374 

Total, Improved Pest Control ........................ ................................................... 15,830 0 15,513 

Special Research Grants: 7 U.S.C. 450i(c) 

Global Change/UV Monitoring ........................... ................................................... 1,300 1,405 1,274 

Potato Research ................................................. ................................................... 1,350 0 0 

Forest Products Research .................................. ................................................... 1,350 0 0 

Total, Special Research Grants .................... ................................................... 4,000 1,405 1,274 

Necessary Expenses of Research and Education Activities: 

Grants Management Systems ............................ ................................................... 2,600 7,830 0 

Federal Administration—Other Necessary Expenses for Research and Education Activities.

................................................... 7,900 6,399 10,290 

Total, Necessary Expenses ............................ ................................................... 10,500 14,229 10,290 

Total, Research and Education Activities ................................................... 705,599 732,730 691,487 


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NATIVE AMERICAN INSTITUTIONS ENDOWMENT FUND

2012 appropriation ............................................................................. ($11,880,000) 

2013 budget estimate ......................................................................... (11,880,000) 

Provided in the bill ............................................................................. (11,642,000) 

Comparison: 

2012 appropriation ...................................................................... ¥(238,000) 

2013 budget estimate .................................................................. ¥(238,000) 

COMMITTEE PROVISIONS

For the Native American Institutions Endowment Fund, the 

Committee provides $11,642,000. 

EXTENSION ACTIVITIES

2012 appropriation ............................................................................. $475,183,000 

2013 budget estimate ......................................................................... 462,473,000 

Provided in the bill ............................................................................. 462,473,000 

Comparison: 

2012 appropriation ...................................................................... ¥12,710,000 

2013 budget estimate .................................................................. – – – 

COMMITTEE PROVISIONS

For Extension Activities, the Committee provides an appropriation of $462,473,000. 

The following table reflects the amount provided by the Committee: 

NATIONAL INSTITUTE OF FOOD AND AGRICULTURE 

EXTENSION ACTIVITIES 

[Dollars in Thousands] 

program/activity authorization FY 2012 

enacted 

FY 2013 

estimate 

Committee 

provisions 

Smith-Lever Act, Section 3(b) and (c) programs and 

Cooperative Extension.

7 U.S.C. 343(b) and (c) and 

208(c) of P.L. 93–471.

$294,000 $292,411 $286,062 

Extension Services at 1890 Institutions .................... 7 U.S.C. 3221 ........................... 42,592 42,592 41,442 

Extension Services at 1994 Institutions .................... 7 U.S.C. 343(b)(3) .................... 4,312 4,312 4,195 

Facility Improvements at 1890 Institutions ............... 7 U.S.C. 3222b ......................... 19,730 19,730 19,197 

Renewable Resources Extension Act .......................... 16 U.S.C. 1671 et seq. ............ 3,700 4,060 3,600 

Rural Health and Safety Education Programs ........... 7 U.S.C. 2662(i) ....................... 1,500 0 1,459 

Food Animal Residue Avoidance Database Program 7 U.S.C. 7642 ........................... 1,000 0 973 

Women and Minorities in STEM Fields ....................... 7 U.S.C. 5925 ........................... 400 400 389 

Grants to Youth Organizations ................................... 7 U.S.C. 7630 ........................... 750 0 729 

Smith-Lever Act, Section 3(d): 7 U.S.C. 343(d) 

Food and Nutrition Education ........................... ................................................... 67,934 67,934 66,099 

Pest Management .............................................. ................................................... 9,918 0 9,650 

Farm Safety and Youth Farm Safety Education 

Programs.

................................................... 4,610 4,610 4,485 

New Technologies for Agricultural Extension .... ................................................... 1,550 1,750 1,508 

Children, Youth, and Families at Risk .............. ................................................... 7,600 8,395 7,394 

Federally Recognized Tribes Extension Program ................................................... 3,039 3,039 2,956 

Sustainable Agriculture Programs ..................... ................................................... 4,696 4,696 4,569 

Total, Section 3(d) ........................................ ................................................... 99,347 90,424 96,661 

Necessary Expenses of Extension Activities: 

Agriculture in the K–12 Classroom ................... ................................................... 552 552 537 

Federal Administration—Other Necessary Expenses for Extension Activities.................................................... 7,300 7,992 7,229 

Total, Necessary Expenses ............................ ................................................... 7,852 8,544 7,766 

Total, Extension Activities ........................ ................................................... 475,183 462,473 462,473 


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INTEGRATED ACTIVITIES

2012 Appropriation ............................................................................. $21,482,000 

2013 budget estimate ......................................................................... 43,542,000 

Provided in the bill ............................................................................. 21,052,000 

Comparison: 

2012 appropriation ...................................................................... ¥430,000 

2013 budget estimate .................................................................. ¥22,490,000 

COMMITTEE PROVISIONS

For Integrated Activities, the Committee provides an appropriation of $21,052,000. The following table reflects the amount provided by the Committee. 

NATIONAL INSTITUTE OF FOOD AND AGRICULTURE 

INTEGRATED ACTIVITIES 

[Dollars in Thousands] 

program/activity authorization FY 2012 

enacted 

FY 2013 

estimate 

Committee 

provisions 

Water Quality Program ............................................... 7 U.S.C. 7626 ........................... $4,500 $0 $4,500 

Regional Pest Management Centers .......................... 7 U.S.C. 7626 ........................... 4,000 0 4,000 

Methyl Bromide Transition Program ........................... 7 U.S.C. 7626 ........................... 1,996 0 1,996 

Organic Transition Program ....................................... 7 U.S.C. 7626 ........................... 4,000 4,000 4,000 

Regional Rural Development Centers ......................... 7 U.S.C. 450i(c) ........................ 998 998 568 

Food and Agriculture Defense Initiative ..................... 7 U.S.C. 3351 ........................... 5,988 5,988 5,988 

Sustainable Agriculture Federal-State Matching 

Grant Program.

7 U.S.C. 5813 ........................... 0 3,500 0 

Crop Protection Program ............................................ 7 U.S.C. 7626 ........................... 0 29,056 0 

Total, Integrated Activities ............................ ................................................... 21,482 43,542 21,052

OFFICE OF THE UNDER SECRETARY FOR MARKETING AND

REGULATORY PROGRAMS

2012 appropriation ............................................................................. $848,000 

2013 budget estimate ......................................................................... 893,000 

Provided in the bill ............................................................................. 831,000 

Comparison: 

2012 appropriation ...................................................................... ¥17,000 

2013 budget estimate .................................................................. ¥62,000 

COMMITTEE PROVISIONS

For the Office of the Under Secretary for Marketing and Regulatory Programs, the Committee provides an appropriation of 

$831,000. 

ANIMAL AND PLANT HEALTH INSPECTION SERVICE

SALARIES AND EXPENSES

2012 appropriation ............................................................................. $816,534,000 

2013 budget estimate ......................................................................... 762,418,000 

Provided in the bill ............................................................................. 790,227,000 

Comparison: 

2012 appropriation ...................................................................... ¥26,307,000 

2013 budget estimate .................................................................. +27,809,000 

COMMITTEE PROVISIONS

For the Animal and Plant Health Inspection Service, Salaries 

and Expenses, the Committee provides an appropriation of 

$790,227,000. 

Budget Restructure and Equine Health.—The Committee does 

not support the request in the President’s fiscal year 2013 budget 


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for APHIS to add an additional line item or account in order to 

fund the two separate accounts for Equine and Cervid Health and 

Sheep and Goat Health. The increase above the President’s budget 

request will allow the agency to fill current vacancies related to 

equine veterinary medicine and related expenses. 

The following table reflects the amounts provided by the Committee in accordance with the proposed budget restructure: 

Committee 

provisions 

Animal Health Technical Services ...................................................................................................................... $34,500,000 

Aquatic Animal Health ....................................................................................................................................... 2,261,000 

Avian Health ....................................................................................................................................................... 52,000,000 

Cattle Health ...................................................................................................................................................... 96,000,000 

Equine, Cervid, and Small Ruminant Health .................................................................................................... 19,169,000 

National Veterinary Stockpile ............................................................................................................................. 2,500,000 

Swine Health ...................................................................................................................................................... 23,000,000 

Veterinary Biologics ............................................................................................................................................ 16,000,000 

Veterinary Diagnostics ........................................................................................................................................ 31,455,000 

Zoonotic Disease Management .......................................................................................................................... 9,000,000 

Subtotal, Animal Health .......................................................................................................... 285,885,000 

Agricultural Quarantine Inspection (Appropriated) ............................................................................................ 26,000,000 

Cotton Pests ....................................................................................................................................................... 15,000,000 

Field Crop & Rangeland Ecosystem Pests ......................................................................................................... 8,867,000 

Pest Detection .................................................................................................................................................... 25,617,000 

Plant Protection Methods Development ............................................................................................................. 19,707,000 

Specialty Crop Pests .......................................................................................................................................... 151,450,000 

Tree & Wood Pests ............................................................................................................................................. 45,000,000 

Subtotal, Plant Health ............................................................................................................. 291,641,000 

Wildlife Damage Management ........................................................................................................................... 72,500,000 

Wildlife Services Methods Development ............................................................................................................. 18,000,000 

Subtotal, Wildlife Services ...................................................................................................... 90,500,000 

Animal & Plant Health Regulatory Enforcement ............................................................................................... 16,275,000 

Biotechnology Regulatory Services ..................................................................................................................... 18,135,000 

Subtotal, Regulatory Services ................................................................................................. 34,410,000 

Contingency Fund ............................................................................................................................................... 1,000,000 

Emergency Preparedness & Response ............................................................................................................... 16,743,000 

Subtotal, Safeguarding and Emergency Preparedness ........................................................... 17,743,000 

Agriculture Import/Export ................................................................................................................................... 13,354,000 

Overseas Technical and Trade Operations ........................................................................................................ 20,014,000 

Subtotal, Safe Trade & International Technical Assistance ................................................... 33,368,000 

Animal Welfare ................................................................................................................................................... 27,087,000 

Horse Protection ................................................................................................................................................. 500,000 

Subtotal, Animal Welfare ........................................................................................................ 27,587,000 

APHIS Information Technology Infrastructure .................................................................................................... 4,167,000 

Physical/Operational Security ............................................................................................................................. 4,926,000 

Subtotal, Agency Management ................................................................................................ 9,093,000 

Total, Salaries & Expenses ............................................................................................ $790,227,000 

Animal Disease Traceability.—The Committee continues to fund 

the animal disease traceability system within the amount provided 

in the Animal Health and Technical Services account. The Committee directs USDA to ensure that the system in the final rule 

maintains the States’ and Tribes’ flexibility in implementing the 


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system while also limiting the financial burden on the livestock industry. In addition, the final rule should address liability and privacy concerns raised by livestock producers. APHIS is directed to 

continue providing quarterly reports to the Committee with specific 

cost information, assessments of progress, and any deviations from 

the proposed scheduled completion dates. 

Emerging Plant Pests.—The Committee expects the Secretary of 

Agriculture to continue to use the authority provided in this bill to 

transfer funds from the Commodity Credit Corporation (CCC) for 

the arrest and eradication of animal and plant pests and diseases 

that threaten American agriculture. By providing funds in this account, the Committee is enhancing, not replacing, the use of CCC 

funding for emergency outbreaks. 

Designated Qualified Person (DQP) Program.—The Committee 

directs APHIS to maintain transparency and consistency in the 

enforcement of the Horse Protection Act (HPA) when dealing with 

the regulated industry. APHIS should make it a priority to apply 

resources towards the enforcement of the HPA for the most egregious violators and/or offenders of the Act, including focus on those 

events that are not affiliated with, or are members of, Horse Industry Organizations. These non-affiliated events and organizations 

are in violation of HPA, and APHIS’s lack of prioritization of stopping these non-affiliated activities is of great concern to the Committee. 

Animal Welfare.—The bill funds the Animal Welfare program at $27,087,000 in order to ensure that minimum standards of care 

and treatment are provided for certain animals bred for commercial 

sale, used in research, transported commercially, or exhibited to 

the public. 

Plant Pest and Disease Management and Disaster.—The Committee expects APHIS to obligate the $50,000,000 provided in the 

2008 farm bill (P.L. 110–234) only in accordance with Congressional priorities and the criteria described under Special Funding 

Considerations (Section 10201(b)(6) of P.L. 110–234). USDA should 

prioritize the funds provided by Section 10201 for the purpose of 

early plant pest detection and surveillance in conjunction with the 

funds provided in this bill. 

Huanglongbing.—The Committee encourages APHIS to support 

its State partners through exclusion and eradication activities associated with the Asian Citrus Psyllid, the primary vector of the bacterium that causes Huanglongbing/citrus greening disease. In addition, the agency should continue to work with ARS, citrus-producing States, industry stakeholders, and universities on their research efforts to develop additional control mechanisms. 

Potato Cyst Nematode Eradication.—The Committee encourages 

APHIS to continue funding the Potato Cyst Nematode eradication 

program above the President’s budget request level in order to continue with successful efforts to eradicate this pest. If left untreated, 

this pest could spread, affecting crops other than potatoes. 

Brown Marmorated Stink Bug.—The Committee is aware of the 

growing threat to fruits, vegetables, other crops, and ornamentals 

throughout the mid-Atlantic region from the brown marmorated 

stink bug. It has been found in more than 30 States and the District of Columbia. The Committee directs APHIS to treat this pest 

as a priority and to continue to assist ARS, NIFA, and State partVerDate Mar 15 2010 02:31 Jun 21, 2012 Jkt 074606 PO 00000 Frm 00018 Fmt 6659 Sfmt 6602 E:\HR\OC\HR542.XXX HR542

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ners with biological control technology once such tools are available. 

Cost Sharing with States and Other Cooperators.—The Committee directs APHIS to maximize the use of cost-sharing agreements or matching requirements with States, Territories, producers, foreign governments, non-governmental organizations, and 

any other recipient of services in order to reduce the cost burden 

on the agency. 

Phytopthora ramorum.—The Committee expects APHIS to continue with efforts to manage P. ramorum while minimizing disruption to the interstate movement of plant materials and commercial 

trade. The agency should use an appropriate portion of funds from 

the Specialty Crop Pest account to expeditiously implement the review of the Federal order governing shipment of plant materials 

from quarantined and regulated counties, as well as to continue its 

review of the efficacy of the pre-notification requirements for western nurseries. APHIS should also continue efforts to partner with 

the regulated States to develop new best management practices regarding P. ramorum during the effective period of the order. 

Cattle Fever Tick.—The Committee recognizes the difficulties 

that exist in effectively addressing the cattle fever tick problem on 

the southern border of the United States and urges APHIS to work 

with non-profits, universities, all involved agencies, and foreign 

governments to incorporate and implement new methods and strategies that these entities have developed. 

Wildlife Damage Management.—While receiving support from cooperators to conduct wildlife management operations, special emphasis should be placed on those areas such as livestock protection, 

predator damage management, oral rabies vaccination, and other 

such activities that will reduce or eliminate threats to agricultural 

industries. 

National Poultry Improvement Plan.—The Committee supports 

the cooperative efforts of USDA, States, and industry as part of the 

National Poultry Improvement Plan and encourages USDA to provide sufficient resources to ensure further development of diagnostic technologies and health standards for the U.S. poultry industry. Such efforts should contribute towards food safety related 

interventions and disease prevention by minimizing and/or eliminating threats to both humans and poultry. 

Animal Welfare Act (AWA) Compliance.—The Committee commends APHIS for issuing a proposed regulation to close a loophole 

that has allowed large-scale online and conventional puppy retailers to evade compliance with the AWA. The Committee expects 

APHIS to focus AWA expenditures on the large-scale, for-profit dog 

sellers that would be regulated under the agency’s proposed rule. 

BUILDINGS AND FACILITIES

2012 appropriation ............................................................................. $3,200,000 

2013 budget estimate ......................................................................... 3,175,000 

Provided in the bill ............................................................................. – – – 

Comparison: 

2012 appropriation ...................................................................... ¥3,200,000 

2013 budget estimate .................................................................. ¥3,175,000 


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COMMITTEE PROVISIONS

The Committee does not provide an appropriation for this account. 

AGRICULTURAL MARKETING SERVICE

MARKETING SERVICES

2012 appropriation ............................................................................. $82,211,000 

2013 budget estimate ......................................................................... 77,032,000 

Provided in the bill ............................................................................. 77,032,000 

Comparison: 

2012 appropriation ...................................................................... ¥5,179,000 

2013 budget estimate .................................................................. – – – 

COMMITTEE PROVISIONS

For Marketing Services of the Agricultural Marketing Service, 

the Committee provides an appropriation of $77,032,000. 

Microbiological Data Program.—The Committee concurs with the 

President’s fiscal year 2013 budget request to terminate the Microbiological Data Program (MDP) in order for the Agricultural Marketing Service to focus on those activities more closely aligned with 

the core mission and avoid duplication of other Federal Government activities. While food safety is a vitally important part of successfully marketing produce and other agricultural products, other 

Federal and State public health agencies are better equipped to 

perform this function. The termination of the MDP will result in 

savings of nearly $4.4 million as proposed in the budget. 

Pesticide Recordkeeping Program.—The Committee also concurs 

with the Administration on its proposal for the Pesticide Recordkeeping Program (PRP). As noted in the Administration’s proposal, 

‘‘this program is not central to the core mission of AMS, which is 

to facilitate the competitive and efficient marketing of agricultural 

products.’’ Twenty-three States and one Territory already conduct 

their own compliance review programs. AMS’s work with the other 

twenty-seven States and two Territories will allow these States and 

Territories to make a smooth transition to their own compliance review programs. The termination of the PRP will result in a savings 

of $1.8 million as proposed in the budget. 

National Organic Program.—The Committee encourages AMS to 

continue funding for the National Organic Program at the fiscal 

year 2012 level. 

National Farmers Market Directory.—The Committee commends 

the Agricultural Market Service for its recent work on the National 

Farmers Markets Directory. The Committee believes these efforts 

greatly help America’s farmers. 

LIMITATION ON ADMINISTRATIVE EXPENSES

2012 limitation .................................................................................... ($62,101,000) 

2013 budget estimate ......................................................................... (62,592,000) 

Provided in the bill ............................................................................. (62,101,000) 

Comparison: 

2012 limitation ............................................................................ – – – 

2013 budget limitation ................................................................ ¥491,000 

COMMITTEE PROVISIONS

The Committee provides a limitation of $62,101,000 on Administrative Expenses of the Agricultural Marketing Service. 


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FUNDS FOR STRENGTHENING MARKETS, INCOME, AND SUPPLY

(SECTION 32)

MARKETING AGREEMENT AND ORDERS

2012 appropriation ............................................................................. ($20,056,000) 

2013 budget estimate ......................................................................... (20,056,000) 

Provided in the bill ............................................................................. (20,056,000) 

Comparison: 

2012 appropriation ...................................................................... – – – 

2013 budget estimate .................................................................. – – – 

COMMITTEE PROVISIONS

For the Marketing Agreements and Orders Program, the Committee provides a transfer from section 32 funds of $20,056,000. 

The following table reflects the status of this fund for fiscal years 

2012 through 2013: 

ESTIMATED TOTAL FUNDS AVAILABLE AND BALANCE CARRIED FORWARD 

FISCAL YEARS 2012–2013 

[Dollars in Thousands] 

FY 2012 

estimate 

FY 2013 

estimate 

Appropriation (30% of Customs Receipts) ............................................................................. $7,947,046 $8,990,117 

Less Transfers: 

Food and Nutrition Service ............................................................................................. ¥6,676,207 ¥7,618,053 

Commerce Department ................................................................................................... ¥109,098 ¥124,064 

Total, Transfers ...................................................................................................... ¥6,785,305 ¥7,742,117 

Prior Year Appropriation Available, Start of the Year ............................................................ 259,953 206,694 

Prior Year Collections and Recoveries .................................................................................... 0 0 

Unavailable for Obligations (recoveries & offsetting collections) .......................................... ¥73,694 ¥73,694 

Transfer of Prior Year Funds to FNS (Fruit & Vegetable) ....................................................... ¥117,000 ¥133,000 

Budget Authority ............................................................................................................. 1,231,000 1,248,000 

Rescission of Current Year Funds ........................................................................................... ¥150,000 ¥180,000 

Unavailable for Obligations (Fruit & Vegetable transfer to FNS) .......................................... ¥133,000 ¥117,000 

Available for Obligation .................................................................................................. 948,000 951,000 

Less Obligations: 

Child Nutrition Programs (Entitlement Commodities) ................................................... 465,000 465,000 

12 Percent Commodity Floor Requirement ................................................................ 0 0 

State Option Contract ..................................................................................................... 5,000 5,000 

Removal of Defective Commodities ................................................................................ 2,500 2,500 

Emergency Surplus Removal .......................................................................................... 2,200 0 

Disaster Relief ................................................................................................................ 5,000 5,000 

Additional Fruits, Vegetables, and Nuts Purchases ...................................................... 175,600 206,000 

Fresh Fruit and Vegetable Program ............................................................................... 20,000 39,076 

Estimated Future Needs ................................................................................................. 224,913 180,637 

Total, Commodity Procurement .............................................................................. 900,213 903,213 

Administrative Funds:.

Commodity Purchase Support ............................................................................... 27,731 27,731 

Marketing Agreements and Orders ........................................................................ 20,056 20,056 

Total, Administrative Funds .............................................................................. 47,787 47,787 

Total Obligations ............................................................................................................ 948,000 951,000 

Unobligated Balance, End of Year .......................................................................................... 0 0 

Unavailable for Obligations (Fruit and Vegetable transfer to FNS) ....................................... 133,000 117,000 

Balances, Collections and Recoveries Not Available .............................................................. 73,694 73,694 

Total, End of Year Balances ................................................................................. 206,694 190,694 


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PAYMENTS TO STATES AND POSSESSIONS

2012 appropriation ............................................................................. $1,198,000 

2013 budget estimate ......................................................................... 1,331,000 

Provided in the bill ............................................................................. 1,174,000 

Comparison: 

2012 appropriation ...................................................................... ¥24,000 

2013 budget estimate .................................................................. ¥157,000 

COMMITTEE PROVISIONS

For Payments to States and Possessions, the Committee provides 

an appropriation of $1,174,000. 

GRAIN INSPECTION, PACKERS AND STOCKYARDS ADMINISTRATION

SALARIES AND EXPENSES

2012 appropriation ............................................................................. $37,750,000 

2013 budget estimate ......................................................................... 40,261,000 

Provided in the bill ............................................................................. 36,995,000 

Comparison: 

2012 appropriation ...................................................................... ¥755,000 

2013 budget estimate .................................................................. ¥3,266,000 

COMMITTEE PROVISIONS

For Grain Inspection, Packers and Stockyards Administration, 

the Committee provides $36,995,000. 

LIMITATION ON INSPECTION AND WEIGHING SERVICES EXPENSES

2012 limitation .................................................................................... ($49,000,000) 

2013 budget limitation ....................................................................... (50,000,000) 

Provided in the bill ............................................................................. (50,000,000) 

Comparison: 

2012 limitation ............................................................................ +1,000,000 

2013 budget limitation ................................................................ – – – 

COMMITTEE PROVISIONS

The Committee includes a limitation on inspection and weighing 

services expenses of $50,000,000. The bill includes authority to exceed by 10 percent the limitation on inspection and weighing services with notification to the Committees on Appropriations. 

OFFICE OF THE UNDER SECRETARY FOR FOOD SAFETY

2012 appropriation ............................................................................. $770,000 

2013 budget estimate ......................................................................... 811,000 

Provided in the bill ............................................................................. 755,000 

Comparison: 

2012 appropriation ...................................................................... ¥15,000 

2013 budget estimate .................................................................. ¥56,000 

COMMITTEE PROVISIONS

For the Office of the Under Secretary for Food Safety, the Committee provides an appropriation of $755,000. 


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FOOD SAFETY AND INSPECTION SERVICE

2012 appropriation ............................................................................. $1,004,427,000 

2013 budget estimate ......................................................................... 995,503,000 

Provided in the bill ............................................................................. 995,503,000 

Comparison: 

2012 appropriation ...................................................................... ¥8,924,000 

2013 budget estimate .................................................................. – – – 

COMMITTEE PROVISIONS

For the Food Safety and Inspection Service, the Committee pro- vides an appropriation of $995,503,000. 

The Committee recommendation provides the same level of funding as the President’s budget request. This funding level assumes 

the promulgation of a final rule to modernize poultry inspection in 

the United States by October 1, 2012. The Committee directs the 

Under Secretary to notify the Committee not later than September 

15, 2012, on the status of this rule. If the Committee determines 

at that time that the final rule will not be promulgated by the beginning of fiscal year 2013, the Committee will make a determination on any adjustments to the funding level for the FSIS. 

Humane Methods of Slaughter.—As part of meeting the Congressional mandate of 148 FTEs for humane handling verification activities, FSIS shall ensure, to the maximum extent practicable, that 

the 23 FTEs using funds appropriated in fiscal year 2009 for the 

purpose of improving enforcement of the Humane Methods of 

Slaughter Act are dedicated solely to overseeing compliance with 

humane handling rules for live animals as they arrive and are 

offloaded and handled in pens, chutes, and stunning areas. 

Poultry inspection.—The Committee supports FSIS’s efforts to 

modernize the poultry inspection system. The Committee strongly 

recommends that FSIS require plant employees to be trained before assuming inspection responsibilities. The Committee also 

urges the agency to modify the proposal so that plants that voluntarily transition to this new inspection system can participate in 

National Institute of Occupational Safety and Health studies on 

worker safety and line speed. 

FARM ASSISTANCE PROGRAMS 

OFFICE OF THE UNDER SECRETARY FOR FARM AND FOREIGN

AGRICULTURAL SERVICES

2012 appropriation ............................................................................. $848,000 

2013 budget estimate ......................................................................... 893,000 

Provided in the bill ............................................................................. 831,000 

Comparison: 

2012 appropriation ...................................................................... ¥17,000 

2013 budget estimate .................................................................. ¥62,000 

COMMITTEE PROVISIONS

For the Office of the Under Secretary for Farm and Foreign Agricultural Services, the Committee provides an appropriation of 

$831,000. 

The Committee is concerned about waste, fraud, and abuse in 

programs administered by the Farm Service Agency (FSA) and the 

Risk Management Agency (RMA). Therefore, the Secretary is directed to certify that any newly approved payment, loan, grant, 


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subsidy, or insurance claim from a program administered by FSA 

or RMA does not include individuals or entities that have been permanently debarred from participating in USDA programs. 

FARM SERVICE AGENCY 

SALARIES AND EXPENSES

(INCLUDING TRANSFERS OF FUNDS)

appropriation transfer from program accounts total, FSA S&E 

2012 appropriation ............................................................. $1,198,966,000 ($292,583,000) ($1,491,549,000) 

2013 budget estimate ........................................................ 1,208,290,000 (308,137,000) (1,516,427,000) 

Provided in the bill ............................................................. 1,180,499,000 (287,293,000) (1,467,792,000) 

Comparison: 

2012 appropriation .................................................... ¥18,467,000 (¥5,290,000) (¥23,757,000) 

2013 budget estimate ............................................... ¥27,791,000 (¥20,844,000) (¥48,635,000) 

COMMITTEE PROVISIONS

For Salaries and Expenses of the Farm Service Agency, the Committee provides an appropriation of $1,180,499,000 and transfers of 

$287,293,000, for a total program level of $1,467,792,000. 

MIDAS.—The Committee continues to believe the MIDAS program is the top administrative priority for USDA and represents 

a vital component in the delivery of mission-based services. The 

Committee directs the Secretary to take the steps necessary to ensure the timely and successful implementation of MIDAS. 

STATE MEDIATION GRANTS

2012 appropriation ............................................................................. $3,759,000 

2013 budget estimate ......................................................................... 4,369,000 

Provided in the bill ............................................................................. 3,684,000 

Comparison: 

2012 appropriation ...................................................................... ¥75,000 

2013 budget estimate .................................................................. ¥685,000 

COMMITTEE PROVISIONS

For State Mediation Grants, the Committee provides an appropriation of $3,684,000. 

GRASSROOTS SOURCE WATER PROTECTION PROGRAM

2012 appropriation ............................................................................. $3,817,000 

2013 budget estimate ......................................................................... – – – 

Provided in the bill ............................................................................. 3,741,000 

Comparison: 

2012 appropriation ...................................................................... ¥76,000 

2013 budget estimate .................................................................. +3,741,000 

COMMITTEE PROVISIONS

For the Grassroots Source Water Protection Program, the Committee provides an appropriation of $3,741,000. 


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DAIRY INDEMNITY PROGRAM

(INCLUDING TRANSFER OF FUNDS)

2012 appropriation ............................................................................. 1 $100,000 

2013 budget estimate ......................................................................... 1 100,000 

Provided in the bill ............................................................................. 1 100,000 

Comparison: 

2012 appropriation ...................................................................... – – – 

2013 budget estimate .................................................................. – – – 1 Current indefinite appropriation. 

COMMITTEE PROVISIONS

For the Dairy Indemnity Program, the Committee provides an 

appropriation of such sums as may be necessary (estimated to be 

$100,000 in the President’s fiscal year 2013 budget request). 

AGRICULTURAL CREDIT INSURANCE FUND PROGRAM ACCOUNT

(INCLUDING TRANSFER OF FUNDS)

ESTIMATED LOAN LEVELS

2012 loan level .................................................................................... $4,787,090,000 

2013 budget estimate ......................................................................... 4,781,747,000 

Provided in the bill ............................................................................. 4,787,090,000 

Comparison: 

2012 loan level ............................................................................. – – – 

2013 budget estimate .................................................................. +5,343,000 

COMMITTEE PROVISIONS

For the Agricultural Credit Insurance Fund program account, the 

Committee provides a loan level of $4,787,090,000. 

The following table reflects the loan levels for the Agricultural 

Credit Insurance Fund program account: 

AGRICULTURAL CREDIT PROGRAMS—LOAN LEVELS 

[Dollars in Thousands] 

FY 2012 

level 

FY 2013 

estimate 

Committee 

provisions 

Farm loan programs: 

Farm ownership: 

Direct ............................................................................................... $475,000 $475,000 $475,000

Guaranteed ...................................................................................... 1,500,000 1,500,000 1,500,000 

Farm operating: 

Direct ............................................................................................... 1,050,090 1,050,089 1,050,090 

Unsubsidized guaranteed ............................................................... 1,500,000 1,500,000 1,500,000 

Emergency loans ...................................................................................... 0 34,658 0 

Indian tribe land acquisition loans ......................................................... 2,000 2,000 2,000 

Conservation loans: 

Guaranteed ...................................................................................... 150,000 150,000 150,000 

Indian highly fractionated land ............................................................... 10,000 10,000 10,000 

Boll weevil eradication ............................................................................ 100,000 60,000 100,000 

Total ................................................................................................ 4,787,090 4,781,747 4,787,090 

ESTIMATED LOAN SUBSIDY AND ADMINISTRATIVE EXPENSES LEVELS 

direct loan subsidy guaranteed loan 

subsidy grants administrative expenses 

2012 appropriation ................................ $82,113,000 $26,100,000 0 $297,632,000 

2013 budget estimate ........................... 80,120,000 17,850,000 $2,500,000 312,897,000 


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ESTIMATED LOAN SUBSIDY AND ADMINISTRATIVE EXPENSES LEVELS—Continued 

direct loan subsidy guaranteed loan 

subsidy grants administrative expenses 

Provided in the bill ................................ 78,803,000 17,850,000 0 292,241,000 

Comparison: 

2012 appropriation ....................... ¥3,310,000 ¥-8,250,000 0 ¥5,391,000 

2013 budget estimate .................. ¥1,317,000 0 ¥2,500,000 ¥20,656,000 

The following table reflects the costs of loan programs under 

credit reform: 

AGRICULTURAL CREDIT PROGRAMS—SUBSIDIES AND GRANTS 

[Dollars in Thousands] 

FY 2012 

enacted 

FY 2013 

estimate 

Committee 

provisions 

Farm loan subsidies: 

Farm ownership: 

Direct ............................................................................................... $22,800 $20,140 $20,140 

Farm operating: 

Direct ............................................................................................... 59,120 58,490 58,490 

Unsubsidized guaranteed ............................................................... 26,100 17,850 17,850 

Emergency loans ...................................................................................... 0 1,317 0 

Indian highly fractionated land ............................................................... 193 173 173 

Total, Farm loan subsidies ............................................................. 108,213 97,970 96,653 

Individual development accounts ................................................... 0 2,500 0 

Total ................................................................................................ 108,213 100,470 96,653 

ACIF expenses: 

Salaries and expenses ............................................................................. 289,728 304,977 284,495 

Administrative expenses .......................................................................... 7,904 7,920 7,746 

Total, ACIF expenses ................................................................................ 297,632 312,897 292,241 

RISK MANAGEMENT AGENCY

2012 appropriation ............................................................................. $74,900,000 

2013 budget estimate ......................................................................... 74,900,000 

Provided in the bill ............................................................................. 73,402,000 

Comparison: 

2012 appropriation ...................................................................... ¥1,498,000 

2013 budget estimate .................................................................. ¥1,498,000 

COMMITTEE PROVISIONS

For the Risk Management Agency, the Committee provides an 

appropriation of $73,402,000. 

CORPORATIONS 

FEDERAL CROP INSURANCE CORPORATION FUND

2012 appropriation ............................................................................. 1 $3,142,375,000 

2013 budget estimate ......................................................................... 1 9,517,433,000 

Provided in the bill ............................................................................. 1 9,517,433,000 

Comparison: 

2012 appropriation ...................................................................... +6,375,058,000 

2013 budget estimate .................................................................. – – – 

1 Current indefinite appropriation. 


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COMMITTEE PROVISIONS

For the Federal Crop Insurance Corporation Fund, the Committee provides an appropriation of such sums as may be necessary 

(estimated to be $9,517,433,000 in the President’s fiscal year 2013 

budget request). 

COMMODITY CREDIT CORPORATION FUND

REIMBURSEMENT FOR NET REALIZED LOSSES

(INCLUDING TRANSFERS OF FUNDS) 1

2012 appropriation ............................................................................. $14,071,000,000 

2013 budget estimate ......................................................................... 11,018,509,000 

Provided in the bill ............................................................................. 11,018,509,000 

Comparison: 

2012 appropriation ...................................................................... ¥3,052,491,000 

2013 budget estimate .................................................................. – – – 1 Current indefinite appropriation. 

COMMITTEE PROVISIONS

For Reimbursement for Net Realized Losses to the Commodity 

Credit Corporation, the Committee provides such sums as may be 

necessary to reimburse for net realized losses sustained, but not 

previously reimbursed (estimated to be $11,018,509,000 in the 

President’s fiscal year 2013 budget request). 

HAZARDOUS WASTE MANAGEMENT

(LIMITATION ON EXPENSES)

2012 limitation .................................................................................... ($5,000,000) 

2013 budget estimate ......................................................................... (5,000,000) 

Provided in the bill ............................................................................. (5,000,000) 

Comparison: 

2012 limitation ............................................................................ – – – 

2013 budget estimate .................................................................. – – – 

COMMITTEE PROVISIONS

For CCC Hazardous Waste Management, the Committee provides a limitation of $5,000,000. 

TITLE II 

CONSERVATION PROGRAMS 

OFFICE OF THE UNDER SECRETARY FOR NATURAL RESOURCES AND

ENVIRONMENT

2012 appropriation ............................................................................. $848,000 

2013 budget estimate ......................................................................... 893,000 

Provided in the bill ............................................................................. 831,000 

Comparison: 

2012 appropriation ...................................................................... ¥17,000 

2013 budget estimate .................................................................. ¥62,000 

COMMITTEE PROVISIONS

For the Office of the Under Secretary for Natural Resources and 

Environment, the Committee provides an appropriation of 

$831,000. 


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NATURAL RESOURCES CONSERVATION SERVICE

CONSERVATION OPERATIONS

2012 appropriation ............................................................................. $828,159,000 

2013 budget estimate ......................................................................... 827,500,000 

Provided in the bill ............................................................................. 812,032,000 

Comparison: 

2012 appropriation ...................................................................... ¥16,127,000 

2013 budget estimate .................................................................. ¥15,468,000 

COMMITTEE PROVISIONS

For Conservation Operations, the Committee provides an appropriation of $812,032,000. 

The Committee provides $9,114,000 for the Snow Survey and 

Water Forecasting Program; $9,212,000 for the Plant Materials 

Centers; and $78,400,000 for the Soil Surveys Program. The Committee provides $715,306,000 for conservation technical assistance 

and directs NRCS to maintain level funding for the Conservation 

Effects Assessment Project (CEAP) and the Conservation Delivery 

Streamlining Initiative (CDSI). The Committee is pleased with the 

results of CEAP and the agency’s efforts to modernize the delivery 

of conservation programs and services through CDSI and encourages the continuation of these efforts. 

National Marine Sanctuaries.—The Committee urges the agency 

to continue the collaborative agreement with the Office of National 

Marine Sanctuaries to address agricultural sources of runoff, such 

as sediments, nitrates, and pesticides. 

Sage Grouse Initiative.—The Committee supports NRCS’s sage 

grouse conservation efforts. Through the initiative, NRCS provides 

technical and financial assistance to help landowners conserve sage 

grouse habitat on their land. The initiative is an integral part of 

efforts by Federal agencies, several western States, and private 

landowners to help preclude the listing of the sage grouse as an endangered species. 

Wetlands Reserve Program.—The Committee is aware of concerns 

regarding the Wetlands Reserve Program’s (WRP) easement valuation process and how potential WRP easements interact with public drainage systems. The Committee directs NRCS to report to the 

Committee within 60 days of enactment of this Act on the regulations and policies governing the program to ensure it is appropriately designed and implemented to avoid the payment above the 

reasonable value of farmland for easements and to ensure wetland 

easement conservation plans adequately permit the repair, improvement, and inspection of land that is necessary to maintain existing public drainage systems. 

WATERSHED REHABILITATION PROGRAM

2012 appropriation ............................................................................. $15,000,000 

2013 budget estimate ......................................................................... – – – 

Provided in the bill ............................................................................. 14,700,000 

Comparison: 

2012 appropriation ...................................................................... ¥300,000 

2013 budget estimate .................................................................. +14,700,000 


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COMMITTEE PROVISIONS

For the Watershed Rehabilitation Program, the Committee provides an appropriation of $14,700,000. 

TITLE III 

RURAL DEVELOPMENT PROGRAMS 

OFFICE OF THE UNDER SECRETARY FOR RURAL DEVELOPMENT

2012 appropriation ............................................................................. $848,000 

2013 budget estimate ......................................................................... 893,000 

Provided in the bill ............................................................................. 831,000 

Comparison: 

2012 appropriation ...................................................................... ¥17,000 

2013 budget estimate .................................................................. ¥62,000 

COMMITTEE PROVISIONS

For the Office of the Under Secretary for Rural Development, the 

Committee provides an appropriation of $831,000. 

Regional Innovation Initiative.—The fiscal year 2013 budget request proposes a Regional Innovation Initiative similar to the proposal included in the fiscal year 2012 request. The Committee is 

unable to provide any funding or authorization for the initiative as 

requests for additional information on the specific need, purpose, 

and plans for the initiative continue to go unanswered. 

RURAL DEVELOPMENT SALARIES AND EXPENSES

(INCLUDING TRANSFERS OF FUNDS)

FY 2012 

level 

FY 2013 

estimate 

Committee 

provisions 

Appropriation ............................................................................. $182,023,000 $206,857,000 $178,383,000 

Transfer from: 

Rural Housing Insurance Fund Program Account ........... 430,800,000 408,127,000 408,127,000 

Rural Development Loan Fund Program Account ............ 4,684,000 4,438,000 4,438,000 

Rural Electrification and Telecommunications Loan Program Account .............................................................. 36,382,000 34,467,000 34,467,000 

Total, RD Salaries and Expenses .................................... 653,889,000 653,889,000 625,415,000 

COMMITTEE PROVISIONS

For Salaries and Expenses of the Rural Development mission area, the Committee provides an appropriation of $178,383,000. 

The Committee expects that the appropriation for salary and expenses provided in this Act will be allocated to agency field offices 

and State offices in a manner that is representative of the costs of 

program delivery and portfolio servicing in those areas and takes 

into account factors, such as geographic land mass represented, anticipated program delivery costs, and portfolio servicing costs. 

RURAL HOUSING SERVICE

RURAL HOUSING INSURANCE FUND PROGRAM ACCOUNT

loan level subsidy level administrative expenses 

2012 appropriation ..................................... $25,140,269,000 $73,091,000 $430,800,000 

2013 budget estimate ................................ 24,856,685,000 51,449,000 408,127,000 


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loan level subsidy level administrative expenses 

Provided in the bill ..................................... 24,879,942,000 58,268,000 408,127,000 

Comparison: 

2012 appropriation ............................ ¥260,327,000 ¥14,823,000 ¥22,673,000 

2013 budget estimate ....................... +23,257,000 +6,819,000 0 

COMMITTEE PROVISIONS

For the Rural Housing Insurance Fund program account, the Committee provides a loan level of $24,879,942,000. 

The Committee does not concur with the proposal to set aside 

funding in the single family direct loan program and directs the 

Department to operate the program without these set asides. 

The Committee authorizes the Rural Housing Service to use 

funding provided by the settlement between the United States and 

certain mortgage lenders to pay for costs associated with servicing 

single family housing loans guaranteed by the agency. The Committee notes that this is one-time funding, to be available until expended, and directs the agency not to hire any permanent full-time 

equivalent staff or to make commitments to pay for new staff in the 

future with these funds. 

The following table reflects the loan levels for the Rural Housing 

Insurance Fund program account: 

[Dollars in Thousands] 

FY 2012 

level 

FY 2013 

estimate 

Committee 

provisions 

Rural Housing Insurance Fund Loans: 

Single family housing (sec 502): 

Direct ............................................................................................... $900,000 $652,764 $652,764

Unsubsidized guaranteed ............................................................... 24,000,000 24,000,000 24,000,000 

Housing repair (sec 504) ......................................................................... 10,000 27,952 10,190 

Rental housing (sec 515) ........................................................................ 64,478 0 31,277 

Multi-family guaranteed (sec 538) ......................................................... 130,000 150,000 150,000 

Credit sales of acquired property ............................................................ 10,000 0 10,000 

Self-help housing land development fund .............................................. 5,000 0 5,000 

Farm labor housing ................................................................................. 20,791 25,969 20,711 

Total, Loan authorization ......................................................................... 25,140,269 24,856,685 24,879,942 

The following table reflects the costs of loan programs under 

credit reform: 

ESTIMATED LOAN SUBSIDY AND ADMINISTRATIVE EXPENSES LEVELS 

[Dollars in Thousands] 

FY 2012 

level 

FY 2013 

estimate 

Committee 

provisions 

Rural Housing Insurance Fund Program Account (loan subsidies and 

grants): 

Single family housing (sec 502): 

Direct ............................................................................................... $42,570 $38,970 $38,970 

Unsubsidized guaranteed ............................................................... 0 0 0 

Housing repair (sec 504) ......................................................................... 1,421 3,821 1,393 

Rental housing (sec 515) ........................................................................ 22,000 0 11,000 

Multi-family guaranteed (sec 538) ......................................................... 0 0 0 

Credit sales of acquired property ............................................................ 0 0 0 

Self-help housing land development fund .............................................. 0 0 0 

Farm labor housing ................................................................................. 7,100 8,658 6,905 

Total, Loan subsidies ............................................................................... 73,091 51,449 58,268 

Farm labor housing grants ...................................................................... 7,100 8,868 6,905 


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ESTIMATED LOAN SUBSIDY AND ADMINISTRATIVE EXPENSES LEVELS—Continued 

[Dollars in Thousands] 

FY 2012 

level 

FY 2013 

estimate 

Committee 

provisions 

RHIF expenses: 

Administrative expenses ................................................................. 430,800 408,127 408,127 

RENTAL ASSISTANCE PROGRAM

2012 appropriation ............................................................................. $904,653,000 

2013 budget estimate ......................................................................... 907,128,000 

Provided in the bill ............................................................................. 888,060,000 

Comparison: 

2012 appropriation ...................................................................... ¥16,593,000 

2013 budget estimate .................................................................. ¥19,068,000 

COMMITTEE PROVISIONS

For the Rental Assistance Program, the Committee provides a 

program level of $888,060,000. 

MULTIFAMILY HOUSING REVITALIZATION PROGRAM ACCOUNT

2012 appropriation ............................................................................. $13,000,000 

2013 budget estimate ......................................................................... 46,942,000 

Provided in the bill ............................................................................. 12,740,000 

Comparison: 

2012 appropriation ...................................................................... ¥260,000 

2013 budget estimate .................................................................. ¥34,202,000 

For the Multifamily Housing Revitalization Program Account, 

the Committee provides an appropriation of $12,740,000, including 

$10,780,000 for the rural housing voucher program. 

The Committee recognizes that a change in focus in the management of the multifamily housing portfolio may be necessary. However, the Committee is concerned about the dramatic shifts in the 

proposed program funding levels over the past two fiscal years and 

directs the Department to develop and present to the Committees 

on Appropriations of the House and Senate a definitive plan to address rural rental housing needs. 

MUTUAL AND SELF-HELP HOUSING GRANTS

2012 appropriation ............................................................................. $30,000,000 

2013 budget estimate ......................................................................... 10,000,000 

Provided in the bill ............................................................................. 15,000,000 

Comparison: 

2012 appropriation ...................................................................... ¥15,000,000 

2013 budget estimate .................................................................. +5,000,000 

COMMITTEE PROVISIONS

For Mutual and Self-Help Housing Grants, the Committee pro- vides an appropriation of $15,000,000. 

RURAL HOUSING ASSISTANCE GRANTS

2012 appropriation ............................................................................. $33,136,000 

2013 budget estimate ......................................................................... 28,216,000 

Provided in the bill ............................................................................. 17,000,000 

Comparison: 

2012 appropriation ...................................................................... ¥16,136,000 

2013 budget estimate .................................................................. ¥11,216,000 


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COMMITTEE PROVISIONS

For the Rural Housing Assistance Grants program, the Committee provides an appropriation of $17,000,000. 

RURAL COMMUNITY FACILITIES PROGRAM ACCOUNT

(INCLUDING TRANSFERS OF FUNDS)

2012 appropriation ............................................................................. $29,291,000 

2013 budget estimate ......................................................................... 25,000,000 

Provided in the bill ............................................................................. 21,867,000 

Comparison: 

2012 appropriation ...................................................................... ¥7,424,000 

2013 budget estimate .................................................................. ¥3,133,000 

COMMITTEE PROVISIONS

For the Rural Community Facilities Program Account, the Committee provides an appropriation of $21,867,000. 

The following table provides the Committee’s recommendations 

as compared to the budget request: 

[Dollars in Thousands] 

FY 2012 

level 

FY 2013 

estimate 

Committee 

provisions 

Loan levels: 

Community facility direct loans ............................................ ($1,300,000 ) ($2,000,000 ) ($2,200,000 ) 

Community facility guaranteed loans ................................... (105,708 ) (0 ) (57,481 ) 

Subsidy and grants: 

Community facility direct loans ............................................ 0 0 0 

Community facility guaranteed loans ................................... 5,000 0 3,880 

Community facility grants ..................................................... 11,363 13,000 11,136 

Rural Community Development Initiative .............................. 3,621 8,000 3,549 

Economic Impact Initiative .................................................... 5,938 0 0 

Tribal college grants .............................................................. 3,369 4,000 3,302 

Total, Rural Community Facilities Program subsidy 

and grants ................................................................ 29,291 25,000 21,867 

The following program is included in bill language for the Rural 

Community Facilities Program: $3,549,000 is for the Rural Community Development Initiative. 

RURAL BUSINESS-COOPERATIVE SERVICE

RURAL BUSINESS PROGRAM ACCOUNT

(INCLUDING TRANSFERS OF FUNDS)

2012 appropriation ............................................................................. $74,809,000 

2013 budget estimate ......................................................................... 86,159,000 

Provided in the bill ............................................................................. 65,341,000 

Comparison: 

2012 appropriation ...................................................................... ¥9,468,000 

2013 budget estimate .................................................................. ¥20,818,000 

COMMITTEE PROVISIONS

For the Rural Business Program Account, the Committee provides an appropriation of $65,341,000. 

The following table provides the Committee’s recommendations 

as compared to the budget request: 


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[Dollars in Thousands] 

FY 2012 

level 

FY 2013 

estimate 

Committee 

provisions 

Loan level: 

Business and industry guaranteed loans ......................................... ($822,886 ) ($821,224 ) ($660,948 ) 

Subsidy and grants: 

Business and industry guaranteed loans ......................................... 45,341 56,336 45,341 

Rural business enterprise grants ...................................................... 24,318 29,823 20,000 

Rural business opportunity grants .................................................... 2,250 0 0 

Delta regional authority ..................................................................... 2,900 0 0 

Total, Rural Business Program subsidy and grants ................ 74,809 86,159 65,341 

The following programs are included in bill language for the 

Rural Business Program account: $490,000 for rural transportation 

technical assistance; and $3,920,000 for Federally Recognized Native American Tribes, of which $245,000 is for transportation technical assistance. 

RURAL DEVELOPMENT LOAN FUND PROGRAM ACCOUNT 

loan level subsidy level administrative 

expenses 

2012 appropriation ..................................................................................... $17,710,000 $6,000,000 $4,684,000 

2013 budget estimate ................................................................................ 18,889,000 6,052,000 4,438,000 

Provided in the bill ..................................................................................... 17,710,000 5,674,000 4,438,000 

Comparison: 

2012 appropriation ............................................................................ 0 ¥326,000 ¥246,000 

2013 budget estimate ....................................................................... ¥1,179,000 ¥378,000 0 

COMMITTEE PROVISIONS

For the Rural Development Loan Fund program account, the 

Committee provides for a loan level of $17,710,000. 

For the loan subsidy, the Committee provides an appropriation 

of $5,674,000. 

In addition, the Committee provides $4,438,000 for administrative expenses. 

RURAL ECONOMIC DEVELOPMENT LOANS PROGRAM ACCOUNT—(INCLUDING RESCISSION OF 

FUNDS) 

loan level 

2012 appropriation ............................................................................................................................................... $33,077,000 

2013 budget estimate .......................................................................................................................................... 33,077,000 

Provided in the bill .............................................................................................................................................. 33,077,000 

Comparison: 

2012 appropriation ...................................................................................................................................... 0 

2013 budget estimate ................................................................................................................................. 0 

COMMITTEE PROVISIONS

For the Rural Economic Development Loans Program Account, 

the Committee provides for a loan level of $33,077,000. 


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RURAL COOPERATIVE DEVELOPMENT GRANTS

2012 appropriation ............................................................................. $25,050,000 

2013 budget estimate ......................................................................... 27,706,000 

Provided in the bill ............................................................................. 19,645,000 

Comparison: 

2012 appropriation ...................................................................... ¥5,405,000 

2013 budget estimate .................................................................. ¥8,061,000 

COMMITTEE PROVISIONS

For Rural Cooperative Development Grants, the Committee provides an appropriation of $19,645,000. 

The total includes $2,205,000 for a cooperative agreement for the 

Appropriate Technology Transfer for Rural Areas program; 

$2,940,000 for cooperatives or associations of cooperatives whose 

primary focus is to provide assistance to small, minority producers; 

and $10,000,000 for the value-added agricultural product market 

development grant program. 

RENEWABLE ENERGY FOR AMERICA PROGRAM

2012 appropriation ............................................................................. $3,400,000 

2013 budget estimate ......................................................................... 4,575,000 

Provided in the bill ............................................................................. 3,332,000 

Comparison: 

2012 appropriation ...................................................................... ¥68,000 

2013 budget estimate .................................................................. ¥1,243,000 

COMMITTEE PROVISIONS

For the Renewable Energy for America Program, the Committee 

provides a loan level of $13,878,000 and an appropriation of 

$3,332,000 for the loan subsidy to make loans as authorized by section 9007 of the Farm Security and Rural Investment Act of 2002 

(7 U.S.C. 8107). 

RURAL UTILITIES SERVICE

RURAL WATER AND WASTE DISPOSAL PROGRAM ACCOUNT

(INCLUDING TRANSFERS OF FUNDS)

2012 appropriation ............................................................................. $513,000,000 

2013 budget estimate ......................................................................... 495,700,000 

Provided in the bill ............................................................................. 484,499,000 

Comparison: 

2012 appropriation ...................................................................... ¥28,501,000 

2013 budget estimate .................................................................. ¥11,201,000 

COMMITTEE PROVISIONS

For the Rural Water and Waste Disposal Program Account, the 

Committee provides an appropriation of $484,499,000. 

The following table provides the Committee’s recommendations 

as compared to the budget request: 

[Dollars in Thousands] 

FY 2012 

level 

FY 2013 

estimate 

Committee 

provisions 

Loan levels: 

Water and waste direct loans ................................................................. ($730,689 ) ($1,000,000 ) ($731,103 ) 

Water and waste guaranteed loans ........................................................ (62,893 ) 0 (61,321 ) 


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[Dollars in Thousands] 

FY 2012 

level 

FY 2013 

estimate 

Committee 

provisions 

Subsidies and Grants: 

Direct Subsidy .......................................................................................... 70,000 80,700 59,000 

Guaranteed Subsidy ................................................................................. 1,000 0 650 

Water and Waste Revolving Fund ........................................................... 497 0 497 

Water Well System Grants ....................................................................... 993 0 993 

Grants for the Colonias and AK/HI .......................................................... 66,500 59,484 59,484 

Water and Waste Technical Assistance Grants ...................................... 19,000 14,871 18,620 

Circuit Rider Program .............................................................................. 15,000 12,393 14,700 

Solid Waste Management Grants ............................................................ 3,400 4,000 3,332 

High Energy Cost Grants ......................................................................... 9,500 0 0 

Water and Waste Disposal Grants .......................................................... 327,110 324,252 327,223 

Total, Subsidies and Grants ........................................................... $513,000 $495,700 $484,499 

RURAL ELECTRIFICATION AND TELECOMMUNICATIONS LOANS PROGRAM ACCOUNT 

(INCLUDING TRANSFER OF FUNDS) 

loan level subsidy level administrative 

expenses 

2012 appropriation ................................................................................... $7,714,286,000 $594,000 $36,382,000 

2013 budget estimate .............................................................................. 6,790,000,000 0 34,467,000 

Provided in the bill ................................................................................... 7,290,000,000 0 34,467,000 

Comparison: 

2012 appropriation .......................................................................... ¥424,286,000 ¥594,000 ¥1,915,000 

2013 budget estimate ..................................................................... +500,000,000 0 0 

COMMITTEE PROVISIONS

For the Rural Electrification and Telecommunications Loans Program Account, the Committee provides a loan level of 

$7,290,000,000. In addition, the Committee provides $34,467,000 

for administrative expenses. 

The Committee does not concur with the proposal to limit the use 

of rural electrification loans and instead expects USDA to work 

with borrowers to finance the most reliable and cost-effective electricity source that meets their needs. 

The following table reflects the loan levels for the Rural Electrification and Telecommunications Loans Program account: 

[Dollars in Thousands] 

FY 2012 

enacted 

FY 2013 

estimate 

Committee 

provisions 

Loan authorizations: 

Electric: 

Direct, 5% ....................................................................................... $100,000 $0 $100,000 

Direct, FFB ...................................................................................... 6,500,000 0 6,500,000 

Treasury Plus .................................................................................. 0 6,100,000 0 

Guaranteed underwriting ................................................................ 424,286 0 0 

Subtotal ...................................................................................... 7,024,286 6,100,000 6,600,000 

Telecommunications: 

Direct, 5% ....................................................................................... 145,000 0 0 

Direct, Treasury rate ....................................................................... 250,000 690,000 690,000 

Direct, FFB ...................................................................................... 295,000 0 0 

Subtotal ...................................................................................... 690,000 690,000 690,000 

Total, Loan authorizations ..................................................... 7,714,286 6,790,000 7,290,000 


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DISTANCE LEARNING, TELEMEDICINE, AND BROADBAND PROGRAM 

FY 2012 

enacted 

FY 2013 

estimate 

Committee 

provisions 

Broadband Program: 

Loan authorization ............................................................................. $212,014,000 $94,139,000 $21,119,000 

Loan subsidy ...................................................................................... 6,000,000 8,915,000 2,000,000

Grants ................................................................................................ 10,372,000 13,379,000 10,165,000 

Distance learning and telemedicine: 

Grants ................................................................................................ 21,000,000 24,950,000 15,000,000 

Total, Loan subsidy and grants ............................................... 37,372,000 47,244,000 27,165,000 

COMMITTEE PROVISIONS

For the Distance Learning, Telemedicine, and Broadband Pro- gram, the Committee provides an appropriation of $27,165,000, 

which includes $15,000,000 for distance learning and telemedicine 

grants. 

Broadband Loan Program Priorities.—Funding provided for the 

broadband program is intended to promote broadband availability 

in those areas where there is not otherwise a business case for private investment in a broadband network. The Committee directs 

RUS to focus expenditures on projects that bring broadband service 

to currently unserved households. 

Broadband Program.—The Committee is concerned and disappointed with the progress of broadband projects funded under 

the American Recovery & Reinvestment Act and directs the Department to develop a plan of action to significantly quicken the 

pace of project review, approval, and completion in managing 

broadband projects. The Committee also requests the Department 

to report on how the Federal Communications Commission’s Universal Service Fund and Intercarrier Compensation reform and 

modernization plans are likely to affect Rural Utility Service telecommunications borrowers. The Committee directs that both reports be provided to the Committees on Appropriations of the 

House and Senate within 90 days of enactment of this Act. 

TITLE IV 

DOMESTIC FOOD PROGRAMS 

OFFICE OF THE UNDER SECRETARY FOR FOOD, NUTRITION, AND

CONSUMER SERVICES

2012 appropriation ............................................................................. $770,000 

2013 budget estimate ......................................................................... 811,000 

Provided in the bill ............................................................................. 755,000 

Comparison: 

2012 appropriation ...................................................................... ¥15,000 

2013 budget estimate .................................................................. ¥56,000 

COMMITTEE PROVISIONS

For the Office of the Under Secretary for Food, Nutrition, and 

Consumer Services, the Committee provides an appropriation of 

$755,000. 

The Committee directs FNS to continue making all policy documents related to the WIC program (including, but not limited to, 

instructions, memoranda, guidance, and questions and answers) 


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available to the public on the Internet within one week of their release to State WIC administrators. 

The Committee directs USDA to issue guidelines to the appropriate State agencies within 60 days of enactment of this Act on 

a requirement to include the USDA Inspector General (IG) Fraud 

Hotline and the IG website address on all SNAP and WIC Electronic Benefit Transfer cards and WIC coupons or vouchers for the 

purpose of reporting potential fraud, waste, and abuse by vendors 

and/or participants. 

The Committee is concerned about fraud committed by vendors 

and retail establishments in the SNAP and WIC programs and the 

corresponding loss of public tax dollars. Therefore, the Secretary is 

directed to certify that any newly approved application from a vendor/retailer to participate in WIC or SNAP does not include individuals or entities that have been permanently debarred from participating in either of the programs. 

Program Integrity and Identity Theft.—As part of USDA’s effort 

to reduce fraud, ensure the integrity of its feeding programs, and 

safeguard the identities of participants in nutrition assistance programs, the Committee encourages the Secretary to provide a report 

on the prevalence of identity theft against nutrition program recipients and the need for identity theft protection educational materials to program providers and recipients. 

SNAP Dietary Offerings.—The Committee believes USDA should 

ensure that SNAP serves as a supplemental nutrition safety net as 

well as a means for low-income participants to improve their dietary intake. The Committee understands that USDA is conducting 

research into SNAP purchasing patterns, and requests an update 

by August 1, 2012, describing the market research as well as a projected completion date. Upon completion of the market research, 

USDA shall brief the Committee on its findings and a formal report 

transmitting the results of the research will be made to this Committee within 30 days of its completion. Lastly, the Under Secretary is directed to convene a meeting of stakeholders for the purpose of seeking input on ways to improve the diets of SNAP recipients. 

FOOD AND NUTRITION SERVICE

CHILD NUTRITION PROGRAMS

(INCLUDING TRANSFERS OF FUNDS)

2012 appropriation ............................................................................. $18,151,176,000 

2013 budget estimate ......................................................................... 19,694,000,000 

Provided in the bill ............................................................................. 19,656,500,000 

Comparison: 

2012 appropriation ...................................................................... +1,505,324,000 

2013 budget estimate .................................................................. ¥37,500,000 

COMMITTEE PROVISIONS

For the Child Nutrition Programs, the Committee provides $19,656,500,000. 

Improper Payments.—As expressly noted during the FNCS appropriations hearing, the Committee continues to be concerned 

about the improper payment rates in the National School Lunch 

Program (NSLP) and National School Breakfast Programs (NSBP). 


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According to GAO, the NSLP is one of four Federal Programs with 

the highest dollar estimates ($1,700,000,000) and highest error 

rates (16 percent) for improper payments. The NSBP is listed as 

the second highest improper payment error rate (25 percent or an 

estimated $705,000,000) for all Federal programs. While FNS and 

OIG study this issue to determine solutions to lower these improper payment rates, the Committee expects USDA to utilize 

funds from the State Administrative Expenses account to assist 

States and Local Educational Agencies in reducing verification errors, duplicate payments, fraud, and/or misrepresentation by program participants. 

Prioritization of Monitoring and Compliance Reviews.—The Committee directs the Secretary to allow States to vary the frequency 

of monitoring and compliance reviews of each school food authority 

based on past school performance, with no cycle extending more 

than five years. Congress granted the Secretary this flexibility in 

the Healthy, Hunger-Free Kids Act of 2008. The Committee further 

directs that no later than the second quarter of fiscal year 2013, 

and in close consultation with the Nation’s governors, USDA must 

take regulatory action that implements congressional intent and 

provides States with the ability to vary inspection frequency based 

on past school performance. 

Summer Food Service Pilot Program.—Distressed counties in certain parts of the country face high levels of food insecurity that 

leave children vulnerable to hunger and decreased school performance. The Committee supports the efforts that authorize the Secretary to conduct demonstrations to test new models of preventing 

food insecurity and hunger among children during the summer 

months. The Committee urges the Secretary to cost effectively coordinate with States, non-profits, and other Federal agencies or 

commissions to replicate the positive outcomes from these models 

to promote food security in counties as defined in 40 U.S.C. 14102. 

The following table reflects the Committee recommendations for 

the child nutrition programs: 

[Dollars in Thousands] 

Child Nutrition Programs: 

School lunch program ..................................................................... $11,263,349 

School breakfast program .............................................................. 3,502,644 

Child and adult care food program ............................................... 2,916,755 

Summer food service program ....................................................... 440,905 

Special milk program ..................................................................... 13,323 

State administrative expenses ....................................................... 289,702 

Commodity procurement ................................................................ 1,154,480 

Food safety education ..................................................................... 2,575 

Coordinated review ......................................................................... 10,000 

Computer support and processing ................................................. 10,746 

CACFP training and technical assistance .................................... 7,675 

CN Studies ...................................................................................... 19,323 

CN Payment Accuracy ................................................................... 6,436 

Farm to School Team ..................................................................... 2,083 

Team Nutrition ............................................................................... 15,004 

Healthier US School Challenge ..................................................... 1,500 

Total ................................................................................................. 19,656,500 


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SPECIAL SUPPLEMENTAL NUTRITION PROGRAM FOR WOMEN, INFANTS, 

AND CHILDREN (WIC)

2012 appropriation ............................................................................. $6,618,497,000 

2013 budget estimate ......................................................................... 7,041,000,000 

Provided in the bill ............................................................................. 6,922,000,000 

Comparison: 

2012 appropriation ...................................................................... +303,503,000 

2013 budget estimate .................................................................. ¥119,000,000 

COMMITTEE PROVISIONS

For the Special Supplemental Nutrition Program for Women, Infants, and Children (WIC), the Committee provides an appropriation of $6,922,000,000. 

The President’s budget request includes a projection of an average monthly participation rate of 9.1 million women, infants, and 

children in fiscal year 2013. It is worth noting that the rolling 

twelve month average of participation declined in every month 

from June 2010 through December 2011. The average monthly participation for fiscal year 2011 was 8.96 million participants. The 

Committee is unaware of any particular economic indicators or programmatic changes that will cause participation to increase above 

the 8.96 million monthly participants in fiscal year 2012 or 2013. 

The Committee will continue to monitor WIC food costs, participation, and carry-over funds and take additional action as necessary to ensure that funding provided in fiscal year 2013 is sufficient to serve all eligible applicants. 

The Committee provides for continuation of the breastfeeding 

peer counselor program and investments in infrastructure and 

management information systems within the total amount provided 

in the bill, pending a determination by the Secretary that funds are 

available to meet caseload demand. 

Uniform Income Eligibility Standards.—The Committee is concerned that USDA’s regulations regarding income eligibility determinations and corresponding allowable practices, including the 

definitions of income and household, use of programs acceptable for 

adjunctive or automatic eligibility, and income verification procedures, have created wide disparity among the States, Territories, 

and Tribal Organizations. Income definitions, adjunctive eligibility 

practices, and verification procedures for applicants vary by State 

or within a State as noted in USDA’s April 2012 report entitled 

‘‘National Survey of WIC Participants II—Volume 2.’’ WIC agencies 

use standard tables for Income Eligibility Guidelines, but the way 

in which income is defined and verified at the local agency can vary 

substantially. Income eligibility is set by statute at 185 percent of 

the Federal Poverty Level (FPL) for households ‘‘of related or nonrelated individuals who are living together as one economic unit.’’ 

While some State agencies may find administrative savings in the 

use of adjunctive eligibility, the Committee believes that income is 

inconsistently measured and verified by local WIC agencies across 

the country, potentially giving rise to a situation where WIC participants have incomes far in excess of the eligibility standard. The 

Committee directs FNS to issue instructions to all State agencies 

by October 1, 2012, which will ensure income eligibility uniformity 

across all States, Tribal Organizations, and U.S. Territories. 


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WIC Food Cost Management.—The Committee supports USDA’s 

efforts to rein in the cost of WIC food items in the State of California and elsewhere, but the Committee is concerned about the 

wide range of variation in average food costs per participant among 

the States and expects the Department to do more in this area. The 

Texas WIC program, which has the second largest percentage of 

program participants, has maintained the lowest average food cost 

per participant ($26.72) in the nation, with a 2010 average that 

was 36 percent below the national average. Furthermore, adjacent 

States may have an average food cost per participant that was far 

below the national average in 2010 ($33.33 per participant in New 

Hampshire) and an average that substantially exceeded the national average ($44.53 per participant in Vermont). Federal regulations require that State agencies implement a vendor peer group 

system, competitive price criteria, and maximum allowable reimbursement levels so that the program only pays competitive prices 

for foods. As demonstrated in USDA’s oversight of the California 

program, USDA has the ability to intervene and require State 

agencies to reduce the maximum dollar amount the State agency 

reimburses for food items. The Committee directs the Department 

to report to the Committees on Appropriations no later than 60 

days after the date of enactment of this Act on the steps USDA is 

taking to encourage additional cost-containment practices in the 

States and/or initiatives to reduce the maximum reimbursement 

rate where warranted. 

SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM

2012 appropriation ............................................................................. $80,401,722,000 

2013 budget estimate ......................................................................... 81,995,293,000 

Provided in the bill ............................................................................. 79,993,795,000 

Comparison: 

2012 appropriation ...................................................................... ¥407,927,000 

2013 budget estimate .................................................................. ¥2,001,498,000 

COMMITTEE PROVISIONS

For the Supplemental Nutrition Assistance Program (SNAP), the Committee provides $79,993,795,000. The total amount includes 

$3,000,000,000 for a contingency reserve in fiscal year 2013 and 

2014 to be used only in the amount necessary. 

Healthy Incentives Pilot Program.—The Committee is interested 

in USDA’s ongoing work to evaluate health and nutrition promotion in the SNAP program to determine if incentives provided 

to SNAP recipients at the point-of-sale increase the purchase of 

fruits, vegetables, or other healthful foods. USDA is directed to 

share those results with the Committee as soon as practicable. 

Brand Name Foods/SNAP Retailers.—The Committee is aware 

of SNAP vendor practices that alert SNAP participants of a retail 

outlet’s approved status to accept SNAP benefits while simultaneously promoting branded products in the materials. The Committee encourages USDA to issue guidance to the States to prevent 

this type of promotion of any particular food brand. 

Prepared Foods/Beverages Purchased with SNAP Benefits.—The 

Committee is concerned that SNAP vendors are allowed to sell prepared food or drink with SNAP benefits beyond those allowances 

for the homeless, elderly, or physically disabled. The Committee directs USDA to tighten restrictions on SNAP eligibility for hot preVerDate Mar 15 2010 02:31 Jun 21, 2012 Jkt 074606 PO 00000 Frm 00040 Fmt 6659 Sfmt 6602 E:\HR\OC\HR542.XXX HR542

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pared foods and extend restrictions to other foods intended for immediate on-premise consumption, such as hot prepared beverages 

and fountain drinks. 

Fraud, Waste, and Abuse.—While SNAP provides a vital food security safety net to over 46 million people, the Committee is concerned about the dollar level associated with waste, fraud, and 

abuse in this immense Federal nutrition program. The Committee 

encourages the Department to go beyond current efforts to make 

further reductions in fraud and improper payment rates. Total 

SNAP obligations, including ARRA funds, in FY 2013 are estimated to be $77,223,166,000. According to USDA’s estimates of a 

one percent fraud rate and a 3.04 percent overpayment rate, payments involving fraud and payments in excess of those legitimately 

due to beneficiaries would total approximately $3,119,816,000. 

Data Sharing.—The Committee urges USDA to require States to 

share SNAP recipient case data, including the appropriate use of 

the ALERT database, so USDA may determine whether individuals 

or households are receiving duplicative benefits in more than one 

State. To prevent the potential for fraud, the Secretary also is 

urged to use the FBI National Crime Information Center database 

as part of the process in determining authorization of SNAP retailers and use its suspension and debarment authority to prevent repeat offenders from re-entering and defrauding SNAP or any other 

Federal program. The Committee directs USDA to submit a report 

to the House and Senate Committees on Appropriations by October 

1, 2012, detailing plans to prevent future fraud and improper payments, including efforts to debar or exclude both vendors and participants from the receipt of benefits if found guilty of fraud or 

abuse. 

The following table reflects the Committee recommendations for 

the Supplemental Nutrition Assistance Program: 

[Dollars in Thousands] 

Supplemental Nutrition Assistance Program Account: 

Benefits* .......................................................................................... $75,159,564 

Contingency Reserve ...................................................................... 3,000,000 

Administrative Costs: 

State Administrative Costs ............................................................ 3,866,855 

Nutrition Education and Obesity Prevention Grant Program .... 396,000 

Employment and Training ............................................................. 406,306 

Mandatory Other Program Costs .................................................. 140,123 

Discretionary Other Program Costs .............................................. 998 

Total Administrative Subtotal ........................................ 4,810,282 

Nutrition Assistance for Puerto Rico (NAP)* ............................... 2,000,568 

American Samoa* ........................................................................... 8,034 

Food Distribution Program for Indian Reservations ................... 100,156 

TEFAP Commodities ...................................................................... 269,500 

Commonwealth of the Northern Mariana Islands ....................... 12,148 

Community Food Project ................................................................ 5,000 

Program Access ............................................................................... 5,000 

Subtotal ............................................................................. 2,400,406 

ARRA Benefits ................................................................................ ¥5,376,457 

Total .................................................................................. 79,993,795 

*Totals include ARRA benefits: $5,274,755,000 for core SNAP; $101,296,000 for Nutrition Assistance for Puerto Rico; and, $406,000 for American Samoa. 


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COMMODITY ASSISTANCE PROGRAM

2012 appropriation ............................................................................. $242,336,000 

2013 budget estimate ......................................................................... 253,952,000 

Provided in the bill ............................................................................. 237,489,000 

Comparison: 

2012 appropriation ...................................................................... ¥4,847,000 

2013 budget estimate .................................................................. ¥16,463,000 

COMMITTEE PROVISIONS

The Committee provides an appropriation of $237,489,000 for the 

Commodity Assistance Program. The recommended funding level 

for the Commodity Supplemental Food Program (CSFP) is 

$173,252,000. 

The Committee recommendation includes $16,217,000 for the 

Farmers’ Market Nutrition Program. 

The Committee has included $47,040,000 for administrative 

funding for the Emergency Food Assistance Program (TEFAP). 

For the Food Donations Programs, the Committee provides an 

appropriation of $980,000 for Pacific Island Assistance. 

TEFAP Handling and Distribution Costs.—In addition to the 

grant funds to support commodity handling and distribution costs, 

the bill permits States to use up to 10 percent of the funds provided for purchasing TEFAP commodities to help with the costs of 

storing, transporting, and distributing commodities. The Committee expects State agencies to consult with their emergency feeding organizations on the need for the conversion of such funds. 

NUTRITION PROGRAMS ADMINISTRATION

2012 appropriation ............................................................................. $138,500,000 

2013 budget estimate ......................................................................... 143,505,000 

Provided in the bill ............................................................................. 135,730,000 

Comparison: 

2012 appropriation ...................................................................... ¥2,770,000 

2013 budget estimate .................................................................. ¥7,775,000 

COMMITTEE PROVISIONS

For Nutrition Programs Administration, the Committee provides $135,730,000. 

TITLE V 

FOREIGN ASSISTANCE AND RELATED PROGRAMS 

FOREIGN AGRICULTURAL SERVICE

SALARIES AND EXPENSES

(INCLUDING TRANSFERS OF FUNDS)

appropriation 

transfer from 

export loan 

account 

total 

2012 appropriation ..................................................................................... $176,347,000 $6,465,000 $182,812,000 

2013 budget estimate ................................................................................ 176,789,000 6,452,000 183,241,000 

Provided in the bill ..................................................................................... 172,820,000 6,336,000 179,156,000 

Comparison: 

2012 appropriation ............................................................................ ¥3,527,000 ¥129,000 ¥3,656,000 

2013 budget estimate ....................................................................... ¥3,969,000 ¥116,000 ¥4,085,000 


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COMMITTEE PROVISIONS

For the Foreign Agricultural Service (FAS), the Committee pro- vides an appropriation of $172,820,000 and transfers of $6,336,000. 

The Committee directs the Secretary, through the Office of Budget and Program Analysis, in consultation with the Administrator of 

the U.S. Agency for International Development, to submit quarterly reports to the Committee on the status of the Bill Emerson 

Humanitarian Trust, as well as immediately notify the Committee 

when the Trust has been drawn down. 

Reconstruction and Stabilization Activities.—The Committee does 

not include funding for agricultural reconstruction and stabilization 

activities. While the Committee provides support for developmental 

projects through P.L. 480, Title II funds, the Committee believes 

that reconstruction and stabilization activities should continue to 

be supported through other existing programs and accounts in the 

U.S. Government. FAS needs to focus on an enhanced strategic 

plan and direction for agriculture trade policy and urges the Department to take a more proactive role in developing such a policy. 

FOOD FOR PEACE TITLE I DIRECT CREDIT AND FOOD FOR PROGRESS

PROGRAM ACCOUNT

(INCLUDING TRANSFERS OF FUNDS)

2012 appropriation ............................................................................. $2,500,000 

2013 budget estimate ......................................................................... 2,806,000 

Provided in the bill ............................................................................. 2,450,000 

Comparison: 

2012 appropriation ...................................................................... ¥50,000 

2013 budget estimate .................................................................. ¥356,000 

COMMITTEE PROVISIONS

For the administrative expenses to carry out the credit program 

of Food for Peace Title I, Food for Peace Act and the Food for 

Progress Act, the Committee provides an appropriation of 

$2,450,000. 

FOOD FOR PEACE TITLE II GRANTS

2012 appropriation ............................................................................. $1,466,000,000 

2013 budget estimate ......................................................................... 1,400,000,000 

Provided in the bill ............................................................................. 1,149,680,000 

Comparison: 

2012 appropriation ...................................................................... ¥316,320,000 

2013 budget estimate .................................................................. ¥250,320,000 

For Food for Peace Title II grants, the Committee provides $1,149,680,000. 

Oversight of Private Voluntary Organizations (PVO)/Non-Governmental Organizations (NGO).—The Committee believes that the 

U.S. Government’s overall ability to successfully provide emergency 

food aid and developmental assistance to developing nations is possible with the help of local and international nongovernmental organizations and the United Nations World Food Program. Regardless of the form of aid, the Committee requires that the funds provided in this bill be appropriately and efficiently managed by these 

PVOs and NGOs. The GAO and USAID’s OIG have found inefficiencies in the monetization of food as well as the inability to determine whether or not an in-country project met the original perVerDate Mar 15 2010 02:31 Jun 21, 2012 Jkt 074606 PO 00000 Frm 00043 Fmt 6659 Sfmt 6602 E:\HR\OC\HR542.XXX HR542

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formance goals. The Committee directs USDA to work with USAID 

to provide a report within 90 days of enactment of this Act that explains how the agencies currently evaluate the financial controls 

and performance delivery of NGOs and PVOs that receive P.L. 480, 

Title II resources. 

CCC EXPORT LOANS PROGRAM ACCOUNT

ADMINISTRATIVE EXPENSES

2012 appropriation ............................................................................. $6,820,000 

2013 budget estimate ......................................................................... 6,806,000 

Provided in the bill ............................................................................. 6,684,000 

Comparison: 

2012 appropriation ...................................................................... ¥136,000 

2013 budget estimate .................................................................. ¥122,000 

COMMITTEE PROVISIONS

For administrative expenses of the Commodity Credit Corporation Export Loans Program Account, the Committee provides an 

appropriation of $6,684,000. 

MCGOVERN-DOLE INTERNATIONAL FOOD FOR EDUCATION AND CHILD

NUTRITION PROGRAM GRANTS

2012 appropriation ............................................................................. $184,000,000 

2013 budget estimate ......................................................................... 184,000,000 

Provided in the bill ............................................................................. 180,320,000 

Comparison: 

2012 appropriation ...................................................................... ¥3,680,000 

2013 budget estimate .................................................................. ¥3,680,000 

COMMITTEE PROVISIONS

For McGovern-Dole International Food for Education and Child 

Nutrition Program Grants, as authorized by Section 3107 of P.L. 

107–171 (7 U.S.C. 1736o–1), the Committee provides an appropriation of $180,320,000. 

TITLE VI 

RELATED AGENCIES AND FOOD AND DRUG 

ADMINISTRATION 

DEPARTMENT OF HEALTH AND HUMAN SERVICES 

FOOD AND DRUG ADMINISTRATION

SALARIES AND EXPENSES

[Dollars in Thousands] 

appropriation user fees total, FDA S&E 

2012 appropriation ........................................................................................... $2,497,021 $1,291,315 $3,788,336 

2013 budget estimate ...................................................................................... 2,511,991 1,353,925 3,865,916 

Provided in the bill ........................................................................................... 2,480,766 1,353,925 3,834,691 

Comparison: 

2012 appropriation .................................................................................. ¥16,255 +62,610 +46,355 

2013 budget estimate ............................................................................. ¥31,225 0 ¥31,225 


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COMMITTEE PROVISIONS

The Committee provides an appropriation of $2,480,766,000 in 

new budget authority for the Food and Drug Administration (FDA). 

In addition, the Committee recommends $30,530,000 in animal 

drug user fees; $7,595,000 in generic animal drug user fees; 

$15,367,000 in food reinspection user fees; $12,925,000 in food and 

feed export certification user fees; $505,000,000 in tobacco product 

user fees, and assumes the reauthorization of prescription drug and 

medical device user fees for total salaries and expenses of 

$3,834,691,000. This total does not include estimates of 

$19,318,000 for mammography user fees and $12,447,000 for export 

certification user fees. The Committee notes that generic drug and 

biosimilars user fees legislation is pending before the authorizing 

committee and will make adjustments to the provisions in this bill 

upon enactment of such fees. The estimated fiscal year 2013 collections for these fees are $299,000,000 for generic drugs and 

$20,242,000 for biosimilars. 

The Committee recommendation includes an increase of 

$10,822,000 above the budget request for FDA food safety; 

$10,000,000 for food and drug inspections in China; and an increase of $3,500,000 for advancing medical countermeasures. The 

Committee recommendation includes the proposed savings of 

$19,706,000 due to data and information technology consolidation, 

but only attributes $941,000 of these savings to the foods program. 

The Committee recommendation does not include proposed user 

fees for food establishment registration, food contact notification, 

medical product re-inspection, cosmetics, and international courier 

imports. 

Spending Plans.—Within 30 days from the enactment of this Act, 

the Commissioner shall notify the Committees on Appropriations of 

both Houses of Congress on the allocation of the funds provided 

herein by account and within each account by program, project, 

and activity. 

Nutrition Labeling.—The Committee remains concerned with the 

proposed rule that FDA issued on April 6, 2011, to regulate Nutrition Labeling of Standard Menu Items at Chain Restaurants. The 

proposed rule includes establishments that are not primarily in the 

business of selling food for immediate consumption or selling food 

that is prepared or processed on the premises. These establishments are not similar to restaurants and should not fall within the 

definition of the term ‘‘similar retail food establishment’’. The Committee urges FDA to use the proposed alternative ‘‘Option 2’’ definition in the rule to mean only restaurants or retail establishments 

where the primary and majority of business is the selling of food 

for consumption or the selling of food that is processed or prepared 

on the premises. 

Bacterial Contamination of Blood.—The Committee is aware that 

bacterial contamination of blood platelets is a risk for blood transfusion recipients. The Committee also is aware of a recent study 

that showed the vast majority of bacterially contaminated platelets 

are being missed by culture testing and that bacterial testing of 

platelets on the day of transfusion using an existing FDA approved 

technology may be beneficial to some transfusion recipients. The 

Committee directs FDA to provide a report to the Committees on 


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Appropriations of both Houses of Congress, within 90 days of enactment of this Act, on the need to make the medical community 

aware of the safety risks to transfusion patients from bacterially 

contaminated platelets and to determine what further actions FDA 

should take to reduce the risk of this type of infection. 

Seafood Advisory.—The Committee is concerned that FDA has 

not published a final seafood advisory as directed in House Report 

112–101 and Senate Report 112–73. The Committee directs FDA to 

issue a final seafood advisory consistent with USDA’s dietary 

guidelines by July 31, 2012. The Committee directs the FDA Commissioner to notify the Committee in writing prior to this date if 

this directive will not be met and include the reasons for not meeting it. 

Prescription Drug Inserts.—The Committee is concerned about an 

FDA proposal that would eliminate printed inserts for prescription 

drugs and replace them with a solely electronic system and urges 

FDA to consider a system that uses an electronic format in addition to paper, rather than in lieu of paper. 

Regulations.—The Committee understands that on December 20, 

2010, FDA announced its intention to make cigars subject to Chapter IX of the Federal Food, Drug, and Cosmetic Act. The Committee 

reminds FDA that premium cigars have unique characteristics and 

cost prohibitive price points and are not marketed to kids. Any effort to regulate cigars should take these items into consideration. 

Global Health.—The Committee recognizes the critical contribution that FDA’s global health research, development funding, and 

leadership in licensing health technologies make to improve global 

health. The Committee also recognizes the need to sustain and support U.S. investment in this area by providing funding to FDA to 

carry out this work. The Committee directs FDA to submit a report 

to the Committees on Appropriations of the House of Representatives and the Senate, within 60 days of enactment of this Act, outlining the implementation of the findings and recommendations in 

the Report to Congress referred to in paragraphs (2) and (3) of section 740(c) of Public Law 111–80. The Committee also urges FDA 

to make the necessary modifications to include Chagas disease in 

its list of neglected diseases in line with the World Health Organization list of neglected and tropical diseases. 

Pediatric Cancer.—The Committee notes that cancer remains the 

leading cause of disease-related death in children, that the incidence of childhood cancer is increasing, and that more effective and 

less toxic treatments are needed. The Committee encourages FDA 

to collaborate with industry and the pediatric cancer community to 

promote the development of new therapies. 

Tanning Devices.—The March 2010 meeting of the General and 

Plastic Surgery Devices Panel of the Medical Devices Advisory 

Committee recommended more accurate classification of tanning 

devices to save lives. FDA is encouraged to quickly promulgate an 

interim final rule to reclassify tanning devices. 

Centers of Excellence.—The Committee is aware of the important 

support provided to FDA’s food and veterinary medicine programs 

and through its research and program relations with their centers 

of excellence. The Committee encourages FDA to maintain an appropriate funding level for both Food Safety Modernization Act related activities and the base work performed by these centers. 


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Gluten-free Rulemaking.—The Committee is aware of FDA’s intention to issue a final rule by the end of 2012 to define glutenfree labeling of foods. The Committee encourages FDA to work with 

USDA to assist its agencies in adopting the definition of gluten-free 

set by the FDA final rule to provide uniform labeling requirements 

and best protect consumers with celiac disease and other conditions. 

Antibacterial Resistance.—To assist efforts intended to curb antibacterial resistance, the Committee directs the Secretaries of Agriculture and Health and Human Services to require agencies to: (1) 

seek public comment on collecting more detailed sales and distribution data for antibacterial drugs approved for use in food-producing 

animals, including estimates of the amount sold or distributed in 

specific animal species; (2) seek public comment on alternative 

methods for obtaining additional data and information about the 

extent of antibacterial drug use in food-producing animals; and (3) 

based on input received, work collaboratively to develop a strategy 

for implementing the best approach. The Committee further directs 

FDA to ensure that the Agricultural Research Service continues to 

analyze, characterize, and report on data collected through 

NARMS. 

Mammography Quality Assurance.—The Committee urges FDA 

to quickly follow up on the November 2011 meeting of the National 

Mammography Quality Assurance Advisory Committee by promptly reviewing the evidence supporting the inclusion of information 

related to an individual’s breast density in the mammogram lay report and physician report. 

Food Safety Rulemaking.—The Committee is aware the Administration missed the January 4, 2012, statutory deadline for publishing a notice of proposed rulemaking for fresh produce safety 

standards and final regulations on the content of the Foreign Supplier Verification Program for imported food. The Committee encourages the Administration to meet the statutory timelines for implementing P.L. 111–353 and expects FDA to follow a timeline for 

issuing rulemakings consistent with the sequence and logistics of 

establishing requirements for a preventive controls framework for 

domestic and imported foods. The Committee directs FDA to submit a report within 180 days of enactment of this Act that describes the justification for any proposed rule or final regulation 

being 60 days or more beyond the timeline. The Committee further 

directs FDA to continue to provide such report at the same time 

that the agency submits its annual budget justification to the Committee. 

Pathway to Global Product Safety.—The Committee directs FDA 

to provide a report by June 1, 2013, on the implementation of the 

Pathway to Global Product Safety and Quality initiative. 

Dietary Supplements.—The Committee notes that FDA released 

draft guidance in July 2011 on New Dietary Ingredients (NDI) for 

Dietary Supplements. Though the Committee wants to ensure that 

dietary supplements are safe, it is concerned that the draft guidance is being utilized by FDA for enforcement activities against 

manufacturers despite the guidance only being in draft form, containing nonbinding recommendations, and for comment purposes 

only. The Committee urges FDA to withdraw the July 2011 NDI 


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draft guidance and re-engage the dietary supplement community to 

develop a new guidance on what constitutes NDI. 

Food Contact Notification.—The Committee directs FDA to maintain the fiscal year 2012 funding level for the Food Contact Notification program. 

Nutritional Ratings Systems.—The Committee is concerned about 

the use of nutritional rating and front of package claims in the 

marketplace. To promote public health and facilitate consumer understanding, such information should be consistent with the Institute of Medicine’s recommendations for front of package nutrition 

rating systems and symbols and the Dietary Guidelines for Americans and based on criteria that are public and readily available to 

consumers. Further, such systems and symbols should be evaluated 

by FDA to ensure their usefulness for American consumers, consistency with FDA nutrition programs, and compliance with relevant FDA food labeling requirements. The Committee directs FDA 

to provide a report regarding its plans to establish guidance for developing such systems and to provide the Committee a timetable 

for issuing such guidance. 

BUILDINGS AND FACILITIES

2012 appropriation ............................................................................. $8,788,000 

2013 budget estimate ......................................................................... 5,320,000 

Provided in the bill ............................................................................. – – – 

Comparison: 

2012 appropriation ...................................................................... ¥8,788,000 

2013 budget estimate .................................................................. ¥5,320,000 

COMMITTEE PROVISIONS

The Committee does not provide an appropriation for this account. 

INDEPENDENT AGENCIES 

COMMODITY FUTURES TRADING COMMISSION

2012 appropriation ............................................................................. $205,294,000 

2013 budget estimate ......................................................................... 308,000,000 

Provided in the bill ............................................................................. 180,405,000 

Comparison: 

2012 appropriation ...................................................................... ¥24,889,000 

2013 budget estimate .................................................................. ¥127,595,000 

COMMITTEE PROVISIONS

For the Commodity Futures Trading Commission, the Committee 

provides an appropriation of $180,405,000, of which $32,000,000 is 

for the purchase of information technology. 

Spending Plans.—Within 15 days from the enactment of this Act, 

the Chairman shall notify the Committees on Appropriations of the 

House of Representatives and the Senate on the allocation of the 

funds provided herein by account and within each account by program, project, and activity. The plan should be similar in format 

to that provided to the Committee for fiscal year 2012. 

Financial Management.—The Committee is aware of a Reduction-in-Force (RIF) made by the Commission regarding its Administrative Law Judges program in the latter part of fiscal year 2011. 

The Commission justified this RIF as a cost-saving measure in exVerDate Mar 15 2010 02:31 Jun 21, 2012 Jkt 074606 PO 00000 Frm 00048 Fmt 6659 Sfmt 6602 E:\HR\OC\HR542.XXX HR542

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cess of $500,000. This action not only augmented an existing activity, reduced personnel by more than 10 percent, and resulted in a 

general cost savings from personnel reduction but also reorganized 

an office and eliminated an entire program. The Administrative 

Law Judges program was an essential function of the Office of Proceedings as authorized by Congress and detailed in the Commission’s fiscal year 2011 Budget Request. An in-house, independent 

judicial review capability is essential for the Commission’s core 

mission. The Commission failed to notify the Committee of this reprogramming, directly violating Section 712 of P.L. 111–80. The 

Committee is further concerned that such action may have violated 

the Anti-Deficiency Act. As a result, the Committee requests the 

Government Accountability Office investigate this situation, report 

to the Committees on whether the Commission’s action violated 

these laws, and identify all actions taken or recommended to be 

taken to address and correct any violation. 

Hiring Practices.—The Committee is concerned about the Commission’s hiring practices while operating under a Continuing Resolution at the outset of the past two fiscal years. The Committee 

directs the Commission to refrain from excessive hiring while operating under a Continuing Resolution. 

Cost-Benefit Analysis.—The Committee remains concerned about 

the Commission’s lack of strong cost-benefit analyses. In its 38-year 

history, not a single lawsuit had been brought against the Commission stemming from its cost-benefit analyses; however, two major 

lawsuits have recently been filed based on the application of Section 15(a) of the Commodity Exchange Act. These lawsuits reallocate scarce resources away from the core functions of the Commission. The Committee is encouraged by the signing of a Memorandum of Understanding between the Commission and the Office 

of Information and Regulatory Affairs (OIRA) dated May 9, 2012, 

allowing technical assistance to be given to the Commission by 

OIRA staff. The Committee directs the Commission to receive technical assistance in the cost-benefit process from OIRA on all future 

rulemakings. Further, the Committee is concerned about overlapping provisions and regulations in the Dodd-Frank Wall Street Reform and Consumer Protection Act and includes bill language to 

provide a report to the Committees of jurisdiction. 

FARM CREDIT ADMINISTRATION

LIMITATION ON ADMINISTRATIVE EXPENSES

2012 limitation .................................................................................... ($61,000,000) 

2013 budget estimate ......................................................................... (63,300,000) 

Provided in the bill ............................................................................. (59,780,000) 

Comparison: 

2012 limitation ............................................................................ ¥1,220,000 

2013 budget estimate .................................................................. ¥3,520,000 

COMMITTEE PROVISIONS

For a limitation on the expenses of the Farm Credit Administration, the Committee provides $59,780,000. 

FCA Administrative Expenses.—The Committee is concerned 

about the increases in FCA’s administrative expenses since fiscal 

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cant balance in its interest reserve fund. The Committee directs 

the agency to reassess its budget and reserve strategy and to provide a detailed accounting of its finances by August 1, 2012. 

TITLE VII 

GENERAL PROVISIONS 

(INCLUDING RESCISSIONS AND TRANSFERS OF FUNDS)

The General Provisions contained in the accompanying bill for 

fiscal year 2013 are fundamentally the same as those included in 

last year’s appropriations bill. 

The following general provisions are included in the bill: 

Section 701: Limitation on the purchase of passenger motor vehicles. 

Section 702: Transfer authority regarding the Working Capital 

Fund. 

Section 703: Limitation on certain obligations. 

Section 704: Indirect cost rates for cooperative agreements with 

nonprofit institutions. 

Section 705: Disbursement of rural development loans. 

Section 706: Authority of the Chief Information Officer relating 

to new IT systems. 

Section 707: Availability of mandatory conservation program 

funding. 

Section 708: Rural Utility Service borrower eligibility. 

Section 709: Indirect costs related to research grants. 

Section 710: Availability of agency funds for information technology purposes. 

Section 711: Funding availability for liquid infant formula. 

Section 712: Prohibition on first-class airline travel. 

Section 713: Use of funds authorized by the Commodity Credit 

Corporation Act. 

Section 714. Use of funds for humanitarian food assistance programs. 

Section 715: Disbursement of loans made under the Rural Electrification Act. 

Section 716: Limitation on funds for commodities under the Bill 

Emerson Humanitarian Trust. 

Section 717: Funding for advisory committees. 

Section 718: Indirect costs for competitive agricultural research 

grants. 

Section 719: Regulations under the Grain Inspection, Packers 

and Stockyards Administration. 

Section 720: Rescission of certain unobligated balances. 

Section 721: Language regarding certain limitations. 

Section 722: Rescission and limitation on certain funds. 

Section 723: Language on user fee proposals without offsets. 

Section 724: Language on reprogramming. 

Section 725: Language on fees for the business and industry 

guaranteed loan program. 

Section 726: Language on questions for the record. 

Section 727: Language regarding prepackaged news stories. 

Section 728: Language on prohibition on paid details in excess of 

30 days. 


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Section 729: Language regarding grants and loans to corporations convicted of a felony. 

Section 730: Language regarding grants and loans to corporations with a Federal tax liability. 

Section 731: Language on controls over humanitarian food assistance. 

Section 732: Language on the mohair program. 

Section 733: Language regarding regulation of certain agricultural products. 

Section 734: Language on dam mitigation. 

Section 735: Rescission of certain unobligated balances. 

Section 736: Rescission of certain unobligated balances. 

Section 737: Language regarding the Grasslands Reserve Program. 

Section 738: Language regarding the Wetlands Reserve Program. 

Section 739: Language regarding servicing of Rural Housing 

Service loans. 

Section 740: Rescission of certain unobligated balances. 

Section 741: Rescission of certain unobligated balances. 

Section 742: Language on farm payments. 

Section 743: Language on WIC. 

Section 744: Language on horse slaughter. 

Section 745: Spending Reduction Account. 

HOUSE OF REPRESENTATIVES REPORT REQUIREMENTS 

CONSTITUTIONAL AUTHORITY

Clause 6(e) of the Rules of the Appropriations Committee requires each committee report on a public bill or joint resolution to 

contain a statement citing the specific powers granted to Congress 

in the Constitution to enact the law proposed by the bill or joint 

resolution. 

The Committee on Appropriations bases its authority to report 

this legislation on clause 7 of section 9 of article I of the Constitution of the United States, which states ‘‘No money shall be drawn 

from the Treasury, but in Consequence of Appropriations made by 

Law. . . .’’ 

Appropriations contained in this Act are made pursuant to this 

specific power granted by the Constitution. 

TRANSFER OF FUNDS

Pursuant to clause 3(f)(2) of rule XIII of the Rules of the House 

of Representatives, the following lists the transfers of unexpended 

balances included in the accompanying bill. 

1. Agriculture Buildings and Facilities and Rental Payments.— 

The bill allows funds to be transferred to recover the full cost of 

space and security expenses. 

2. Hazardous Materials Management.—The bill allows the funds 

appropriated to the Department for hazardous materials management to be transferred to agencies of the Department as required. 

3. Departmental Administration.—The bill requires reimbursement for expenses related to certain hearings. 

4. Office of the Assistant Secretary for Congressional Relations.— 

The bill allows a portion of the funds appropriated to the Office of 

the Assistant Secretary to be transferred to agencies. 


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5. Animal and Plant Health Inspection Service.—Authority is included to enable the Secretary of Agriculture to transfer from other 

appropriations or funds of the Department such sums as may be 

necessary to combat emergency outbreaks of certain diseases of 

animals, plants, and poultry. 

6. Funds for Strengthening Markets, Income, and Supply.—The 

bill limits the transfer of section 32 funds to purposes specified in 

the bill. 

7. Farm Service Agency Salaries and Expenses.—The bill provides that funds provided to other accounts in the agency may be 

merged with the salaries and expenses account of the Farm Service 

Agency. 

8. Dairy Indemnity Program.—The bill authorizes the transfer of 

funds to the Commodity Credit Corporation, by reference. 

9. Commodity Credit Corporation.—The bill includes language allowing certain funds to be transferred to the Foreign Agricultural 

Service for information resource management activities. 

10. Rural Development Salaries and Expenses.—The bill provides 

that prior year balances from certain accounts shall be transferred 

to and merged with this account. 

11. Rural Community Facilities Program Account, Rural Business Program Account, and Rural Water and Waste Disposal Program Account.—The bill provides that balances from the Rural 

Community Advancement Program may be transferred to and 

merged with these accounts. 

12. Child Nutrition Programs.—The bill includes authority to 

transfer section 32 funds to these programs. 

13. Foreign Agricultural Service Salaries and Expenses.—The bill 

allows for the transfer of funds from the Commodity Credit Corporation Export Loan Program Account. 

14. Food for Peace Title I Direct Credit and Food for Progress 

Program Account.—The bill allows funds to be transferred to the 

Farm Service Agency, Salaries and Expenses account. The bill also 

provides that funds made available for the cost of title I agreements and for title I ocean freight differential may be used interchangeably. 

15. Commodity Credit Corporation Export Loans Program.—The 

bill provides for transfer of funds to the Foreign Agricultural Service and to the Farm Service Agency for overhead expenses associated with credit reform. 

16. Food and Drug Administration, Salaries and Expenses.—The 

bill allows funds to be transferred among activities. 

17. General Provisions.—The bill allows unobligated balances of 

discretionary funds to be transferred to the Working Capital Fund. 

CHANGES IN THE APPLICATION OF EXISTING LAW

Pursuant to clause 3(f)(1)(A) of rule XIII of the Rules of the 

House of Representatives, the following statements are submitted 

describing the effect of provisions in the accompanying bill that directly or indirectly change the application of existing law. 

The bill includes a number of provisions which place limitations 

on the use of funds in the bill or change existing limitations and 

which might, under some circumstances, be construed as changing 

the application of existing law: 


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1. Office of the Secretary.—Language is included to limit the 

amount of funds for official reception and representation expenses, 

as determined by the Secretary. 

2. Departmental Administration.—Language is included to reimburse the agency for travel expenses incident to the holding of 

hearings. 

3. Agricultural Research Service.—Language is included that allows the Agricultural Research Service to grant easements at the 

Beltsville, MD, agricultural research center. 

4. Agricultural Research Service.—Language is included that allows the Agricultural Research Service to grant easements and accept as a gift facilities constructed by private entities for agricultural research that benefits the public. 

5. Animal and Plant Health Inspection Service.—A provision carried in the bill since fiscal year 1973 regarding state matching 

funds has been continued to assure more effective operation of the 

brucellosis control program through state cost sharing, with resulting savings to the Federal budget. 

Language is included to allow APHIS to recoup expenses incurred from providing technical assistance goods, or services to 

non-APHIS personnel, and to allow transfers of funds for Agricultural emergencies. 

Language is included to limit the amount of funds for representational allowances. 

6. Agricultural Marketing Service, Limitation on Administrative 

Expenses.—The bill includes language to allow AMS to exceed the 

limitation on administrative expenses by 10 percent with notification to the Appropriations Committees. This allows flexibility in 

case crop size is understated and/or other uncontrollable events 

occur. 

7. Grain Inspection, Packers and Stockyards Administration, Inspection and Weighing Services.—The bill includes authority to exceed the limitation on inspection and weighing services by 10 percent with notification to the Appropriations Committees. This allows for flexibility if export activities require additional supervision 

and oversight, or other uncontrollable factors occur. 

8. Dairy Indemnity Program.—Language is included by reference 

that allows the Secretary to utilize the services of the Commodity 

Credit Corporation for the purpose of making dairy indemnity payments. 

9. Agricultural Credit Insurance Fund Program Account.—Language is included that deems the pink bollworm a boll weevil for 

the purposes of administering the boll weevil loan program. 

10. Risk Management Agency.—Language is included to limit the 

amount of funds for official reception and representation expenses. 

11. Commodity Credit Corporation Fund.—Language is included 

to provide for the reimbursement appropriation. Language is also 

included to allow certain funds transferred from the Commodity 

Credit Corporation to be used for information resource management. In addition, language is included which limits the amount of 

funds that can be spent on operation and maintenance costs of 

CCC hazardous waste sites. 

12. Natural Resources Conservation Service—Conservation Operations.—Language which has been included in the bill since 1938 

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ernment, although construction on land owned by states and counties is authorized by basic law. 

13. Rural Development Salaries and Expenses.—Language is included to allow funds to be used for advertising and promotional 

activities. 

14. Rental Assistance Program.—Language is included which provides that agreements entered into during the current fiscal year 

be funded for a one-year period. 

15. Special Supplemental Nutrition Program for Women, Infants, 

and Children (WIC).—Language is included to purchase infant formula except in accordance with law and pay for activities that are 

not fully reimbursed by other departments or agencies unless authorized by law. 

16. Supplemental Nutrition Assistance Program.—Language is 

included on funds availability for Employment and Training and to 

enter into contracts and employ staff to conduct studies, evaluations, or to conduct activities related to program integrity. 

17. Foreign Agricultural Service.—Language carried since 1979 

enables this agency to use funds received by an advance or by reimbursement to carry out its activities involving international development and technical cooperation. Language is included to limit 

the amount of funds for official reception and representation expenses. 

18. Commodity Futures Trading Commission.—Language is included to limit the amount of funds for official reception and representation expenses. 

19. General Provisions.— Section 704: This provision provides that none of the funds in 

this Act may be made available to pay indirect cost rates on cooperative agreements with nonprofit institutions in excess of 10 percent 

of total direct costs. 

Section 705: This provision allows funds made available in the 

current fiscal year for the Rural Development Loan Fund program 

account; the Rural Electrification and Telecommunications Loans 

program account; and the Rural Housing Insurance Fund program 

account to remain available until expended to disburse obligations. 

Section 706: Language is included that requires approval of the 

Chief Information Officer and the concurrence of the Executive Information Technology Investment Review Board for acquisition of 

new information technology systems or significant upgrades, and 

that prohibits the transfer of funds to the Office of the Chief Information Officer without the notification of the Committees on Appropriations of both Houses of Congress. 

Section 707: Language is included regarding the availability of 

funds for certain conservation programs. 

Section 708: Language is included regarding certain Rural Utilities Service Programs. 

Section 709: Language is included regarding indirect costs to 

grants made under section 412 of the Agricultural Research, Extension, and Education Reform Act of 1998. 

Section 710: Language is included that allows unobligated balances of the Farm Service Agency and Rural Development mission 

areas to be used for information technology purposes. 

Section 711: Language is included regarding reconstituted liquid 

concentrate infant formula issuance to WIC participants. 


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Section 712: Language is included regarding the prohibition of 

first-class travel by the employees of agencies funded in this Act. 

Section 713: Language is included regarding the use of authorities of the Commodity Credit Corporation. 

Section 714: Language is included regarding the use of funds for 

emergency humanitarian food assistance. 

Section 715: Language is included regarding the disbursement of 

valid obligations for certain Rural Electrification Loans. 

Section 716: Language is included that limits funds for commodities under the Bill Emerson Humanitarian Trust. 

Section 717: Language is included that limits the amount of 

spending for USDA Advisory Committees. 

Section 718: Language is included modifying matching requirements for certain research grants. 

Section 719: Language is included regarding regulations under 

the Packers and Stockyards Act. 

Section 720: Language is included regarding the rescission of certain unobligated balances. 

Section 721: Language is included regarding limitation on certain 

funds. 

Section 722: Language is included that limits and rescinds section 32 balances. 

Section 723: Language is included that prohibits funds from 

being used to prepare a budget submission to Congress that assumes reductions from the previous year’s budget due to user fee 

proposals unless the submission also identifies spending reductions 

which should occur if the user fees are not enacted. 

Section 724: Language is included that requires certain reprogramming procedures of funds provided in Appropriations Acts. 

Section 725: Language is included regarding fees for the business 

and industry guaranteed loan program. 

Section 726: This provision prohibits the Department of Agriculture or the Food and Drug Administration from transmitting or 

making available to any non-Department of Agriculture or non-Department of Health and Human Services employee questions or responses to questions that are a result of information requested for 

the appropriations hearing process. 

Section 727: Language regarding prepackaged news stories. 

Section 728: This provision prohibits any employee of the Department of Agriculture from being detailed or assigned to any other 

agency or office of the Department for more than 30 days unless 

the individual’s employing agency or office is fully reimbursed by 

the receiving agency or office for the salary and expenses of the employee for the period of assignment. 

Section 729: Language is included on Federal grants, loans, and 

contracts to corporations convicted of a felony under State or Federal law. 

Section 730: Language is included on grants, loans, and contracts 

to corporations with a Federal tax liability. 

Section 731: Language is included regarding controls over humanitarian food assistance. 

Section 732: Language is included regarding the mohair program. 

Section 733: Language is included regarding the regulation of 

certain agricultural products. 


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Section 734: Language is included regarding certain dam mitigation projects. 

Section 736: Language is included rescinding certain unobligated 

balances. 

Section 737: Language in included regarding the Grasslands Reserve Program. 

Section 738: Language is included regarding the Wetlands Reserve Program. 

Section 739: Language is included regarding the servicing of 

Rural Housing Service loans. 

Section 742: Language on farm payments. 

Section 743: Language on WIC. 

Section 744: Language on horse slaughter. 

Section 745: Spending Reduction Account. 

DISCLOSURE OF EARMARKS AND CONGRESSIONALLY DIRECTED

SPENDING ITEMS

Neither the bill nor the report contains any Congressionally directed earmarks, limited tax benefits, or limited tariff benefits as 

defined in clause 9 of rule XXI. 

STATEMENT OF GENERAL PERFORMANCE GOALS AND OBJECTIVES

Pursuant to clause 3(c)(4) of rule XIII of the Rules of the House 

of Representatives, the following is a statement of general performance goals and objectives for which this measure authorizes funding. 

The Committee on Appropriations considers program performance, including a program’s success in developing and attaining 

outcome-related goals and objectives, in developing funding recommendations. 

COMPLIANCE WITH RULE XIII, CL. 3(e) (RAMSEYER RULE)

In compliance with clause 3(e) of rule XIII of the Rules of the 

House of Representatives, changes in existing law made by the bill, 

as reported, are shown as follows (existing law proposed to be omitted is enclosed in black brackets, new matter is printed in italic, 

existing law in which no change is proposed is shown in roman): 

FOOD SECURITY ACT OF 1985 

* * * * * * * 

TITLE XII—CONSERVATION 

* * * * * * * 

Subtitle D—Agricultural Resources Conservation Program 

CHAPTER 1—COMPREHENSIVE CONSERVATION 

ENHANCEMENT PROGRAM 

* * * * * * * 


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Subchapter C—Wetlands Reserve Program 

SEC. 1237. WETLANDS RESERVE PROGRAM. 

(a) * * * 

* * * * * * * 

(c) ELIGIBILITY.—For purposes of enrolling land in the wetland 

reserve established under this subchapter during the 1991 through 

ø2012¿ 2014 fiscal years, private or tribal land shall be eligible to 

be placed into such reserve if the Secretary, in consultation with 

the Secretary of the Interior at the local level, determines that— 

(1) * * * 

* * * * * * * 

CHAPTER 2—CONSERVATION SECURITY AND 

FARMLAND PROTECTION 

* * * * * * * 

Subchapter D—Grassland Reserve Program 

SEC. 1238N. GRASSLAND RESERVE PROGRAM. 

(a) * * * 

(b) ENROLLMENT OF ACREAGE.— 

(1) ACREAGE ENROLLED.—The Secretary shall enroll an additional 1,220,000 acres of eligible land in the program during 

fiscal years 2009 through ø2012¿ 2014. 

* * * * * * * 

Subtitle E—Funding and Administration 

SEC. 1241. COMMODITY CREDIT CORPORATION. 

(a) IN GENERAL.—For each of fiscal years 2002 through 2012 

(and fiscal year 2014 in the case of the programs specified in paragraphs (2), (3)(B), (4), (5), (6), and (7)), the Secretary shall use the 

funds, facilities, and authorities of the Commodity Credit Corporation to carry out the following programs under subtitle D (including 

the provision of technical assistance): 

(1) * * * 

* * * * * * * 

APPROPRIATIONS NOT AUTHORIZED BY LAW

Pursuant to clause 3(f)(1)(B) of rule XIII of the Rules of the 

House of Representatives, the following table lists the appropriations in the accompanying bill which are not authorized by law for 

the period concerned: 

APPROPRIATIONS NOT AUTHORIZED BY LAW AND EXPIRING AUTHORIZATIONS 

[Dollars in Thousands] 

Agency/Program Last year of 

authorization 

Authorization level Appropriations in last 

year of authorization 

Appropriations 

in this bill 

Programs not currently authorized by law or expiring on or before September 30, 2012. 

Farm Service Agency: 

Dairy Indemnity Program ................................ 9/30/2012 Such sums Such sums Such sums 


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APPROPRIATIONS NOT AUTHORIZED BY LAW AND EXPIRING AUTHORIZATIONS—Continued 

[Dollars in Thousands] 

Agency/Program Last year of 

authorization 

Authorization level Appropriations in last 

year of authorization 

Appropriations 

in this bill 

Beginning Farmer and Rancher Individual 

Development Accounts Pilot Program ........ 9/30/2012 $5,000 0 0 

Food and Nutrition Service: 

Supplemental Nutrition Assistance Program .. 9/30/2012 Such sums $80,401,722 $79,993,795 

Commodity Supplemental Food Program ........ 9/30/2012 Prior year 

caseload 

176,788 173,252 

The Emergency Food Assistance Program ...... 9/30/2012 100,000 48,000 47,040 

Foreign Agricultural Service: 

McGovern-Dole International Food for Education Program ........................................... 9/30/2012 Such sums 184,000 180,320 

National Institute of Food and Agriculture: 

Expanded Food and Nutrition Education Program ........................................................... 9/30/2012 90,000 67,934 66,099 

Grants to upgrade facilities at 1890 institutions ............................................................ 9/30/2012 25,000 19,730 19,197 

Education grants for Hispanic-serving institutions ......................................................... 9/30/2012 40,000 9,219 9,034 

Extension service ............................................. 9/30/2012 Such sums 475,183 454,707 

Integrated research, education and extension 

competitive grants program ....................... 9/30/2012 Such sums 21,482 21,052 

1994 institution research grants ................... 9/30/2012 Such sums 1,801 1,764 

Grants for insular areas ................................. 9/30/2012 Such sums 1,650 1,650 

Renewable Resources Extension Act .............. 9/30/2012 30,000 3,700 3,600 

Agriculture and Food Research Initiative ....... 9/30/2012 700,000 264,470 276,515 

Grants and fellowships for food and agricultural sciences education ............................ 9/30/2012 60,000 9,000 10,000 

Rural Business-Cooperative Service: 

Value-added Agricultural Product Market Development Grants ....................................... 9/30/2012 40,000 14,000 10,000 

Rural Cooperative Development Grants .......... 9/30/2012 50,000 5,800 4,500 

Appropriate Technology Transfer for Rural 

Areas ........................................................... 9/30/2012 5,000 2,250 2,205 

Rural Microenterpreneur Assistance Program 9/30/2012 40,000 3,356 0 

Rural Energy for America Program ................. 9/30/2012 25,000 3,400 3,332 

Rural Housing Service: 

Tribal College and University essential community facilities ......................................... 9/30/2012 10,000 3,369 3,302 

Multi-family Housing Revitalization Program 9/30/2012 13,000 13,000 12,740 

Rural Utilities Service: 

Distance Learning and Telemedicine ............. 9/30/2012 100,000 21,000 15,000 

Access to broadband telecommunication 

services in rural areas ............................... 9/30/2012 25,000 6,000 2,000 

Broadband Telecommunications Grants ......... 9/30/2012 10,372 10,372 10,165 

Note: List does not include expiring programs for which no funding is requested in the 2013 President’s Budget. 


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RESCISSIONS

Pursuant to clause 3(f)(2) of rule XIII of the Rules of the House 

of Representatives, the following lists the rescissions of unexpended 

balances included in the accompanying bill: 

The bill proposes rescissions of $180,000,000 of funds derived 

from interest on the cushion of credit payments under the Rural 

Economic Development Loans Program Account; $180,000,000 from 

Section 32 funds; $11,000,000 from Supplemental Nutrition Assistance Program employment and training funds; $26,126,000 from 

the Distance Learning, Telemedicine and Broadband Program Account; $28,450,000 from the Repowering Assistance Program; 

$47,723,000 from the Food and Drug Administration; and 

$11,000,000 from the Department of Agriculture. 

COMPARISON WITH THE BUDGET RESOLUTION

Pursuant to clause 3(c)(2) of rule XIII of the Rules of the House 

of Representatives and section 308(a)(1)(A) of the Congressional 

Budget Act of 1974, the following table compares the levels of new 

budget authority provided in the bill with the appropriate allocation under section 302(b) of the Budget Act: 

[In millions of dollars] 

302(b) allocation This bill 

Budget 

authority Outlays Budget authority Outlays 

Comparison of amounts in the bill with Committee allocations to its subcommittees of amounts in the 

Budget Resolution for 2013: 

Discretionary .......................................................... $19,405 $22,759 $19,405 1 $22,759 

Mandatory .............................................................. 42,558 33,003 42,558 1 33,003 

1 Includes outlays from prior-year budget authority. 

FIVE-YEAR OUTLAY PROJECTIONS

Pursuant to section 308(a)(1)(B) of the Congressional Budget Act 

of 1974, the following table contains five-year projections prepared 

by the Congressional Budget Office of outlays associated with the 

budget authority provided in the accompanying bill: 

[In millions of dollars] 

Projection of outlay associated with the recommendation: 

2013 .................................................................................................................. 1 $119,476 

2014 .................................................................................................................. 3,757 

2015 .................................................................................................................. 1,051 

2016 .................................................................................................................. 195 

2017 and future years ..................................................................................... 63 

1 Excludes outlays from prior-year budget authority. 

ASSISTANCE TO STATE AND LOCAL GOVERNMENTS

Pursuant to section 308(a)(1)(C) of the Congressional Budget Act 

of 1974, the amounts of financial assistance to State and local governments is as follows: 

[In millions of dollars] 

Budget Authority ............................................................................................. $37,864 

Outlays ............................................................................................................. 1 33,267 *1 Excludes outlays from prior-year budget authority. 


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ADDITIONAL VIEWS 

We are extremely disappointed that House Republicans walked away from the bipartisan agreement to establish $1.047 trillion as 

the Committee’s allocation. A majority of their conference voted for 

the Budget Control Act agreement less than a year ago. By reneging on the agreement, House Republicans put themselves at odds 

with House Democrats, the White House, Senate Democrats, and 

Senate Republicans. Senate Minority Leader McConnell recently 

voted for allocations at $1.047 trillion and Ranking Member Cochran stated that it’s appropriate ‘‘for the Committee to proceed on 

the basis of the discretionary caps enacted into law.’’ House Republicans introduced uncertainty about the discretionary allocation, 

and about whether the House majority will threaten to shut down 

the government. This uncertainty will slow down the appropriations process and the austere House allocation, if it stands, will 

stall economic growth and impede job creation. 

Stemming from the committee’s lower overall allocation, the Agriculture subcommittee received an unacceptably low 302(b) allocation of $19.405 billion. Including CFTC funding, the allocation is 

$1.7 billion (8%) below the 2013 President’s request, $365 million 

(1.8%) below 2012 enacted and $1.38 billion (7%) below the Senate 

allocation. 

The impact of this allocation is evident in the inadequate funding 

provided for many important accounts in the bill. 

The Commodity Futures Trading Commission is funded at $25 

million (12%) below the 2012 level and $128 million (41%) below 

the budget request. If enacted, this cut would mean a reduction of 

11% in current staffing levels at the agency. CFTC’s ability both 

to implement Dodd-Frank financial reform and regulate financial 

markets would be severely restricted. A properly funded and 

staffed CFTC is critical for greater transparency and competition 

in markets, providing certainty for farmers, ranchers, and small 

businesses that use these markets, and protecting taxpayers from 

future bailouts. News reports indicate that CFTC is currently involved in reviewing the recent losses at J.P. Morgan; those losses 

serve as a reminder that in order to prevent another financial crisis and protect our economy Dodd-Frank financial regulations need 

to be both written and enforced. In order to do that, CFTC needs 

adequate resources. The Food for Peace program is funded at $250 million (18%) 

below the budget request. This program provides U.S.-grown commodities to desperately hungry people around the world. A cut of 

this size means that some 6.6 million people will not receive assistance. House Republicans decided to include international assistance programs under the security cap and provided a much lower 

security allocation for this bill. The 2012 security allocation of 


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$1.65 billion was reduced to $1.33 billion for 2013 and this gap was 

largely made up by cutting Food for Peace. The Senate did not follow the House’s approach on security funding. The Food and Drug Administration is funded at $16 million below the 2012 level and $31 million below the budget request. 

FDA oversees 80% of the nation’s food supply, including foods from 

more than 300,000 facilities in 200 countries. As Commissioner 

Hamburg testified, ‘‘about 70% of seafood and about 35% of fresh 

produce consumed in the United States comes from foreign countries.’’ She also said that ‘‘nearly 40% of the drugs Americans take 

are made overseas,’’ while ‘‘approximately half of medical devices 

used in the United States come from abroad.’’ While the Committee 

report says that requested increases for food safety, food and drug 

inspections in China and medical countermeasures are funded, the 

bill is still under the requested level and this is a zero-sum process. 

Without being fully funded, FDA will have to make cuts elsewhere 

to pay for these worthy increases. The bill also rescinds nearly $48 million of unobligated FDA 

funds. Since FDA normally obligates all of its non-user-fee-funded 

salary and expenses appropriation each year, it is likely that such 

a rescission would have to come from the fees FDA receives from 

industry, such as prescription drug, medical device and/or tobacco 

fees. This is a very troubling precedent. The Commodity Supplemental Food Program is funded at $13.7 

million (7%) below the budget request. This means that approximately 43,000 participants, the vast majority of whom are elderly, 

would not receive needed food packages. 

The bill cuts funding for guaranteed loans to businesses and in- dustry in rural areas by $150 million below 2012 (18%) and $160 

million (19%) below the budget request. This means fewer loans to 

businesses in rural areas and a missed opportunity to create or 

save thousands of jobs. 

Direct loans in the rural water and wastewater program are $269 million below the budget request. This means that 179 loans 

assisting 351,000 rural residents in improving access to safe and 

sanitary water and wastewater services will not be made. 

The bill also provides $119 million less than the budget request 

for WIC. The reduction is achieved by not providing resources for 

important program components such as breastfeeding peer counselors and state information technology investments. Funding for 

these important activities is made subject to a determination that 

caseload can be met without accessing the contingency reserve. 

The bill includes two riders that are legislative in nature and do 

not belong in an appropriations bill. The first rewrites provisions 

of a final rule issued by USDA last December dealing with livestock producers. The second permits the cultivation of genetically 

modified crops to continue while litigation over the regulatory status of the crops is pending. 


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We are also disappointed that amendments in full committee to 

address the shortfalls in funding for CFTC, Food for Progress and 

FDA failed, as did an amendment to strike the new language relating to the livestock final rule. 

While we will do our best to address the many shortcomings of 

this bill as the process moves forward, we cannot support the bill 

in its current form. 

NORMAN D. DICKS. 

SAM FARR. 

Æ 


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