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[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[S. 1259 Introduced in Senate (IS)]

<DOC>

115th CONGRESS
  1st Session
                                S. 1259

 To improve and extend agricultural commodity programs, and for other 
                               purposes.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                              May 25, 2017

   Mr. Thune introduced the following bill; which was read twice and 
   referred to the Committee on Agriculture, Nutrition, and Forestry

_______________________________________________________________________

                                 A BILL

 
 To improve and extend agricultural commodity programs, and for other 
                               purposes.

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

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) In General.--This Act may be cited as the ``Commodity Program 
Improvement Act of 2017''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Definitions.
                       TITLE I--COMMODITY POLICY

Sec. 101. Base acres.
Sec. 102. Payment yields.
Sec. 103. Payment acres.
Sec. 104. Producer election.
Sec. 105. Price loss coverage.
Sec. 106. Agriculture risk coverage.
Sec. 107. Producer agreements.
                       TITLE II--MARKETING LOANS

Sec. 201. Availability of nonrecourse marketing assistance loans for 
                            loan commodities.
Sec. 202. Loan rates for nonrecourse marketing assistance loans.
Sec. 203. Term of loans.
Sec. 204. Repayment of loans.
Sec. 205. Loan deficiency payments.
Sec. 206. Payments in lieu of loan deficiency payments for grazed 
                            acreage.
Sec. 207. Special marketing loan provisions for upland cotton.
Sec. 208. Special competitive provisions for extra long staple cotton.
Sec. 209. Availability of recourse loans for high moisture feed grains 
                            and seed cotton.
Sec. 210. Adjustments of loans.
                       TITLE III--ADMINISTRATION

Sec. 301. Administration generally.
Sec. 302. Suspension of permanent price support authority.
Sec. 303. Conforming amendments.

SEC. 2. DEFINITIONS.

    In this Act:
            (1) Actual crop revenue.--The term ``actual crop revenue'', 
        with respect to a covered commodity for a crop year, means the 
        amount determined by the Secretary under section 106(b).
            (2) Agriculture risk coverage.--The term ``agriculture risk 
        coverage'' means coverage provided under section 106.
            (3) Agriculture risk coverage guarantee.--The term 
        ``agriculture risk coverage guarantee'', with respect to a 
        covered commodity for a crop year, means the amount determined 
        by the Secretary under section 106(c).
            (4) Base acres.--The term ``base acres'' means the number 
        of acres on a farm designated as base acres pursuant to part II 
        of subtitle A of title I of the Agricultural Act of 2014 (7 
        U.S.C. 9011 et seq.) for the 2018 crop year.
            (5) County coverage.--The term ``county coverage'' means 
        agriculture risk coverage selected under section 104(b)(1) to 
        be obtained at the county level.
            (6) Covered commodity.--The term ``covered commodity'' 
        means wheat, oats, and barley (including wheat, oats, and 
        barley used for haying and grazing), corn, grain sorghum, long 
        grain rice, medium grain rice, pulse crops, soybeans, other 
        oilseeds, and peanuts.
            (7) Effective price.--The term ``effective price'', with 
        respect to a covered commodity for a crop year, means the price 
        calculated by the Secretary under section 105(b) to determine 
        whether price loss coverage payments are required to be 
        provided for that crop year.
            (8) Extra long staple cotton.--The term ``extra long staple 
        cotton'' means cotton that--
                    (A) is produced from pure strain varieties of the 
                Barbadense species or any hybrid of the species, or 
                other similar types of extra long staple cotton, 
                designated by the Secretary, having characteristics 
                needed for various end uses for which United States 
                upland cotton is not suitable and grown in irrigated 
                cotton-growing regions of the United States designated 
                by the Secretary or other areas designated by the 
                Secretary as suitable for the production of the 
                varieties or types; and
                    (B) is ginned on a roller-type gin or, if 
                authorized by the Secretary, ginned on another type gin 
                for experimental purposes.
            (9) Individual coverage.--The term ``individual coverage'' 
        means agriculture risk coverage selected under section 
        104(b)(2) to be obtained at the farm level.
            (10) Medium grain rice.--The term ``medium grain rice'' 
        includes short grain rice and temperate japonica rice.
            (11) Other oilseed.--The term ``other oilseed'' means a 
        crop of sunflower seed, rapeseed, canola, safflower, flaxseed, 
        mustard seed, crambe, sesame seed, or any oilseed designated by 
        the Secretary.
            (12) Payment acres.--The term ``payment acres'', with 
        respect to the provision of price loss coverage payments and 
        agriculture risk coverage payments, means the number of acres 
        determined for a farm under section 103.
            (13) Payment yield.--The term ``payment yield'', for a farm 
        for a covered commodity, means--
                    (A) the yield used to make payments pursuant to 
                section 1104 or 1304 of the Food, Conservation, and 
                Energy Act of 2008 (7 U.S.C. 8714, 8754), as in effect 
                on September 30, 2013; or
                    (B) the yield established under section 102.
            (14) Price loss coverage.--The term ``price loss coverage'' 
        means coverage provided under section 105.
            (15) Producer.--
                    (A) In general.--The term ``producer'' means an 
                owner, operator, landlord, tenant, or sharecropper that 
                shares in the risk of producing a crop and is entitled 
                to share in the crop available for marketing from the 
                farm, or would have shared had the crop been produced.
                    (B) Hybrid seed.--In determining whether a grower 
                of hybrid seed is a producer, the Secretary shall--
                            (i) not take into consideration the 
                        existence of a hybrid seed contract; and
                            (ii) ensure that program requirements do 
                        not adversely affect the ability of the grower 
                        to receive a payment under this Act.
            (16) Pulse crop.--The term ``pulse crop'' means dry peas, 
        lentils, small chickpeas, and large chickpeas.
            (17) Reference price.--The term ``reference price'', with 
        respect to a covered commodity for a crop year, means the 
        following:
                    (A) For wheat, $5.50 per bushel.
                    (B) For corn, $3.70 per bushel.
                    (C) For grain sorghum, $3.95 per bushel.
                    (D) For barley, $4.95 per bushel.
                    (E) For oats, $2.40 per bushel.
                    (F) For long grain rice, $14.00 per hundredweight.
                    (G) For medium grain rice, $14.00 per 
                hundredweight.
                    (H) For soybeans, $8.40 per bushel.
                    (I) For other oilseeds, $20.15 per hundredweight.
                    (J) For peanuts, $535.00 per ton.
                    (K) For dry peas, $11.00 per hundredweight.
                    (L) For lentils, $19.97 per hundredweight.
                    (M) For small chickpeas, $19.04 per hundredweight.
                    (N) For large chickpeas, $21.54 per hundredweight.
            (18) Secretary.--The term ``Secretary'' means the Secretary 
        of Agriculture.
            (19) State.--The term ``State'' means--
                    (A) a State;
                    (B) the District of Columbia;
                    (C) the Commonwealth of Puerto Rico; and
                    (D) any other territory or possession of the United 
                States.
            (20) Temperate japonica rice.--The term ``temperate 
        japonica rice'' means rice that is grown in high altitudes or 
        temperate regions of high latitudes with cooler climate 
        conditions, in the Western United States, as determined by the 
        Secretary, for the purpose of--
                    (A) the update of base acres under section 101;
                    (B) the establishment of a reference price (as 
                required under section 105(g)) and an effective price 
                pursuant to section 105; and
                    (C) the determination of the actual crop revenue 
                and agriculture risk coverage guarantee pursuant to 
                section 106.
            (21) Transitional yield.--The term ``transitional yield'' 
        has the meaning given the term in section 502(b) of the Federal 
        Crop Insurance Act (7 U.S.C. 1502(b)).
            (22) United states.--The term ``United States'', when used 
        in a geographical sense, means all of the States.
            (23) United states premium factor.--The term ``United 
        States Premium Factor'' means the percentage by which the 
        difference in the United States loan schedule premiums for 
        Strict Middling (SM) 1\1/8\-inch upland cotton and for Middling 
        (M) 1\3/32\-inch upland cotton exceeds the difference in the 
        applicable premiums for comparable international qualities.
            (24) Updated base acres.--The term ``updated base acres'', 
        with respect to a covered commodity on a farm, means the number 
        of base acres updated by the Secretary under section 101.

                       TITLE I--COMMODITY POLICY

SEC. 101. BASE ACRES.

    (a) Mandatory One-Time Update of Base Acres.--
            (1) In general.--As soon as practicable after the date of 
        enactment of this Act, the Secretary shall update base acres on 
        a farm for the 2019 crop year in accordance with this section.
            (2) Mandatory update.--For the purpose of applying this 
        title to covered commodities, the Secretary shall determine the 
        updated base acres on a farm by updating all of the base acres 
        for covered commodities on the farm among those covered 
        commodities planted on the farm at any time during the 2014 
        through 2017 crop years.
            (3) Update formula.--The updated base acres among covered 
        commodities on a farm shall be the proportion that--
                    (A) the 4-year average of--
                            (i) the acreage planted on the farm to each 
                        covered commodity for harvest, grazing, haying, 
                        silage, or other similar purposes for the 2014 
                        through 2017 crop years; and
                            (ii) any acreage on the farm that the 
                        producers were prevented from planting during 
                        the 2014 through 2017 crop years to that 
                        covered commodity because of drought, flood, or 
                        other natural disaster, or other condition 
                        beyond the control of the producers, as 
                        determined by the Secretary; bears to
                    (B) the 4-year average of--
                            (i) the acreage planted on the farm to all 
                        covered commodities for harvest, grazing, 
                        haying, silage, or other similar purposes for 
                        the 2014 through 2017 crop years; and
                            (ii) any acreage on the farm that the 
                        producers were prevented from planting during 
                        the 2014 through 2017 crop years to covered 
                        commodities because of drought, flood, or other 
                        natural disaster, or other condition beyond the 
                        control of the producers, as determined by the 
                        Secretary.
            (4) Inclusion of all 4 years in average.--For the purpose 
        of determining a 4-year acreage average under paragraph (3) for 
        a farm, the Secretary shall not exclude any crop year in which 
        a covered commodity was not planted.
            (5) Treatment of multiple planting or prevented planting.--
        For the purpose of determining under paragraph (3) the acreage 
        on a farm that producers planted or were prevented from 
        planting during the 2014 through 2017 crop years to covered 
        commodities, if the acreage that was planted or prevented from 
        being planted was devoted to another covered commodity in the 
        same crop year (other than a covered commodity produced under 
        an established practice of double cropping), the owner--
                    (A) may elect the commodity to be used for that 
                crop year in determining the 4-year average; but
                    (B) may not include both the initial commodity and 
                the subsequent commodity.
    (b) Adjustment of Base Acres.--
            (1) In general.--Notwithstanding the update of base acres 
        under subsection (a), the Secretary shall provide for an 
        adjustment, as appropriate, in the updated base acres for 
        covered commodities for a farm whenever any of the following 
        circumstances occur:
                    (A) A conservation reserve contract entered into 
                under section 1231 of the Food Security Act of 1985 (16 
                U.S.C. 3831) with respect to the farm expires or is 
                voluntarily terminated.
                    (B) Cropland is released from coverage under a 
                conservation reserve contract by the Secretary.
                    (C) The producer has eligible oilseed acreage as 
                the result of the Secretary designating additional 
                oilseeds, which shall be determined in the same manner 
                as eligible oilseed acreage under section 1101(a)(1)(D) 
                of the Food, Conservation, and Energy Act of 2008 (7 
                U.S.C. 8711(a)(1)(D)).
            (2) Special conservation reserve acreage payment rules.--
        For the crop year in which an updated base acres adjustment 
        under subparagraph (A) or (B) of paragraph (1) is first made, 
        the owner of the farm shall elect to receive price loss 
        coverage or agriculture risk coverage with respect to the 
        acreage added to the farm under this subsection or a prorated 
        payment under the conservation reserve contract, but not both.
    (c) Prevention of Excess Updated Base Acres.--
            (1) Required reduction.--If the updated base acres for a 
        farm exceeds the actual cropland acreage of the farm, the 
        Secretary shall reduce the updated base acres for one or more 
        covered commodities for the farm so that the sum of the base 
        acres and the other acreage described in paragraph (2) does not 
        exceed the actual cropland acreage of the farm.
            (2) Other acreage.--The other acreage referred to in 
        paragraph (1) is the following:
                    (A) Any acreage on the farm enrolled in the 
                conservation reserve program or wetlands reserve 
                program (or successor programs) under chapter 1 of 
                subtitle D of title XII of the Food Security Act of 
                1985 (16 U.S.C. 3830 et seq.).
                    (B) Any other acreage on the farm enrolled in a 
                Federal conservation program for which payments are 
                made in exchange for not producing an agricultural 
                commodity on the acreage.
                    (C) If the Secretary designates additional 
                oilseeds, any eligible oilseed acreage, which shall be 
                determined in the same manner as eligible oilseed 
                acreage under subsection (b)(1)(C).
            (3) Selection of acres.--The Secretary shall give the owner 
        of the farm the opportunity to select the updated base acres 
        for a covered commodity for the farm against which the 
        reduction required by paragraph (1) will be made.
            (4) Exception for double-cropped acreage.--In applying 
        paragraph (1), the Secretary shall make an exception in the 
        case of double cropping, as determined by the Secretary.
    (d) Reduction in Updated Base Acres.--
            (1) Reduction at option of owner.--
                    (A) In general.--The owner of a farm may reduce, at 
                any time, the updated base acres for any covered 
                commodity for the farm.
                    (B) Effect of reduction.--A reduction under 
                subparagraph (A) shall be permanent and made in a 
                manner prescribed by the Secretary.
            (2) Required action by secretary.--
                    (A) In general.--The Secretary shall 
                proportionately reduce updated base acres on a farm for 
                land that has been subdivided and developed for 
                multiple residential units or other nonfarming uses if 
                the size of the tracts and the density of the 
                subdivision is such that the land is unlikely to return 
                to the previous agricultural use, unless the producers 
                on the farm demonstrate that the land--
                            (i) remains devoted to commercial 
                        agricultural production; or
                            (ii) is likely to be returned to the 
                        previous agricultural use.
                    (B) Requirement.--The Secretary shall establish 
                procedures to identify land described in subparagraph 
                (A).

SEC. 102. PAYMENT YIELDS.

    (a) Effect of Lack of Payment Yield.--In the case of a covered 
commodity on a farm for which updated base acres have been established, 
if no payment yield is otherwise established for the covered commodity 
on the farm, the Secretary shall establish an appropriate payment yield 
for the covered commodity on the farm under subsection (b).
    (b) Use of Similarly Situated Farms.--
            (1) In general.--To establish an appropriate payment yield 
        for a covered commodity on a farm as required by subsection 
        (a), the Secretary shall take into consideration the farm 
        program payment yields applicable to that covered commodity for 
        similarly situated farms.
            (2) Applicability of other laws.--The use of any data 
        described in paragraph (1) in an appeal, by the Secretary or by 
        the producer, shall not be subject to any other provision of 
        law.

SEC. 103. PAYMENT ACRES.

    (a) Determination of Payment Acres.--
            (1) General rule.--For the purpose of price loss coverage 
        and agriculture risk coverage when county coverage has been 
        selected, subject to subsection (c), the payment acres for each 
        covered commodity on a farm shall be equal to 85 percent of the 
        updated base acres for the covered commodity on the farm.
            (2) Effect of individual coverage.--In the case of 
        agriculture risk coverage when individual coverage has been 
        selected, subject to subsection (c), the payment acres for a 
        farm shall be equal to 65 percent of the updated base acres for 
        all of the covered commodities on the farm.
    (b) Effect of Minimal Payment Acres.--
            (1) Prohibition on payments.--Notwithstanding any other 
        provision of this Act, a producer on a farm may not receive 
        price loss coverage payments or agriculture risk coverage 
        payments if the sum of the updated base acres on the farm is 10 
        acres or less, as determined by the Secretary.
            (2) Exceptions.--Paragraph (1) does not apply to a producer 
        that is--
                    (A) a socially disadvantaged farmer or rancher (as 
                defined in section 355(e) of the Consolidated Farm and 
                Rural Development Act (7 U.S.C. 2003(e))); or
                    (B) a limited resource farmer or rancher, as 
                defined by the Secretary.
    (c) Effect of Planting Fruits and Vegetables.--
            (1) Reduction required.--In the manner provided in this 
        subsection, payment acres on a farm shall be reduced in any 
        crop year in which fruits, vegetables (other than mung beans 
        and pulse crops), or wild rice have been planted on updated 
        base acres on a farm.
            (2) Price loss coverage and county coverage.--In the case 
        of price loss coverage payments and agricultural risk coverage 
        payments using county coverage, the reduction under paragraph 
        (1) shall be the amount equal to the updated base acres planted 
        to crops referred to in that paragraph in excess of 15 percent 
        of updated base acres.
            (3) Individual coverage.--In the case of agricultural risk 
        coverage payments using individual coverage, the reduction 
        under paragraph (1) shall be the amount equal to the updated 
        base acres planted to crops referred to in that paragraph in 
        excess of 35 percent of updated base acres.
            (4) Reduction exceptions.--No reduction to payment acres 
        shall be made under this subsection if--
                    (A) cover crops or crops referred to in paragraph 
                (1) are grown solely for conservation purposes and not 
                harvested for use or sale, as determined by the 
                Secretary; or
                    (B) in any region in which there is a history of 
                double-cropping covered commodities with crops referred 
                to in paragraph (1) and those crops were so double-
                cropped on the updated base acres, as determined by the 
                Secretary.

SEC. 104. PRODUCER ELECTION.

    (a) Election Required.--For the 2019 through 2024 crop years, all 
of the producers on a farm shall make a one-time, irrevocable election 
to obtain--
            (1) price loss coverage on a covered commodity-by-covered-
        commodity basis; or
            (2) agriculture risk coverage.
    (b) Coverage Options.--In the election under subsection (a), the 
producers on a farm that elect under paragraph (2) of that subsection 
to obtain agriculture risk coverage shall unanimously select whether to 
receive agriculture risk coverage payments based on--
            (1) county coverage applicable on a covered commodity-by-
        covered-commodity basis; or
            (2) individual coverage applicable to all of the covered 
        commodities on the farm.
    (c) Effect of Failure To Make Unanimous Election.--If all the 
producers on a farm fail to make a unanimous election under subsection 
(a) for the 2019 crop year--
            (1) the Secretary shall not make any payments with respect 
        to the farm for the 2019 crop year under this title; and
            (2) the producers on the farm shall be deemed to have 
        elected price loss coverage for all covered commodities on the 
        farm for the 2020 through 2024 crop years.
    (d) Effect of Selection of County Coverage.--If all the producers 
on a farm select county coverage for a covered commodity, the Secretary 
may not make price loss coverage payments to the producers on the farm 
with respect to that covered commodity.
    (e) Effect of Selection of Individual Coverage.--If all the 
producers on a farm select individual coverage, in addition to the 
selection and election under this section applying to each producer on 
the farm, the Secretary shall consider, for purposes of making the 
calculations required by subsections (b)(2) and (c)(3) of section 106, 
the share of the producer of all farms in the same State--
            (1) in which the producer has an interest; and
            (2) for which individual coverage has been selected.
    (f) Prohibition on Reconstitution.--The Secretary shall ensure that 
producers on a farm do not reconstitute the farm to void or change an 
election or selection made under this section.

SEC. 105. PRICE LOSS COVERAGE.

    (a) Price Loss Coverage Payments.--If all of the producers on a 
farm make the election under subsection (a) of section 104 to obtain 
price loss coverage or, subject to subsection (c)(1) of that section, 
are deemed to have made that election under subsection (c)(2) of that 
section, the Secretary shall make price loss coverage payments to 
producers on the farm on a covered commodity-by-covered-commodity basis 
if the Secretary determines that, for any of the 2019 through 2024 crop 
years--
            (1) the effective price for the covered commodity for the 
        crop year; is less than
            (2) the reference price for the covered commodity for the 
        crop year.
    (b) Effective Price.--The effective price for a covered commodity 
for a crop year shall be the higher of--
            (1) the national average market price received by producers 
        during the 12-month marketing year for the covered commodity, 
        as determined by the Secretary; or
            (2) the national average loan rate for a marketing 
        assistance loan for the covered commodity in effect for that 
        crop year under title II.
    (c) Payment Rate.--The payment rate shall be equal to the 
difference between--
            (1) the reference price for the covered commodity; and
            (2) the effective price determined under subsection (b) for 
        the covered commodity.
    (d) Payment Amount.--If price loss coverage payments are required 
to be provided under this section for any of the 2019 through 2024 crop 
years for a covered commodity, the amount of the price loss coverage 
payment to be paid to the producers on a farm for the crop year shall 
be equal to the product obtained by multiplying--
            (1) the payment rate for the covered commodity under 
        subsection (c);
            (2) the payment yield for the covered commodity; and
            (3) the payment acres for the covered commodity.
    (e) Time for Payments.--If the Secretary determines under this 
section that price loss coverage payments are required to be provided 
for the covered commodity, the payments shall be made beginning October 
1, or as soon as practicable thereafter, after the end of the 
applicable marketing year for the covered commodity.
    (f) Effective Price for Barley.--In determining the effective price 
for barley under subsection (b), the Secretary shall use the all-barley 
price.
    (g) Reference Price for Temperate Japonica Rice.--The Secretary 
shall provide a reference price with respect to temperate japonica rice 
in an amount equal to 115 percent of the amount established in 
subparagraphs (F) and (G) of section 2(17) in order to reflect price 
premiums.

SEC. 106. AGRICULTURE RISK COVERAGE.

    (a) Agriculture Risk Coverage Payments.--If all of the producers on 
a farm make the election under section 104(a) to obtain agriculture 
risk coverage, the Secretary shall make agriculture risk coverage 
payments based on the physical location of the farm to producers on the 
farm if the Secretary determines that, for any of the 2019 through 2024 
crop years--
            (1) the actual crop revenue determined under subsection (b) 
        for the crop year; is less than
            (2) the agriculture risk coverage guarantee determined 
        under subsection (c) for the crop year.
    (b) Actual Crop Revenue.--
            (1) County coverage.--In the case of county coverage, the 
        amount of the actual crop revenue for a county for a crop year 
        of a covered commodity shall be equal to the product obtained 
        by multiplying--
                    (A) the actual average county yield per planted 
                acre for the covered commodity, as determined by the 
                Secretary; and
                    (B) the higher of--
                            (i) the national average market price 
                        received by producers during the 12-month 
                        marketing year for the covered commodity, as 
                        determined by the Secretary; or
                            (ii) the national average loan rate for a 
                        marketing assistance loan for the covered 
                        commodity in effect for that crop year under 
                        title II.
            (2) Individual coverage.--In the case of individual 
        coverage, the amount of the actual crop revenue for a producer 
        on a farm for a crop year shall be based on the share of the 
        producer of all covered commodities planted on all farms for 
        which individual coverage has been selected and in which the 
        producer has an interest, to be determined by the Secretary as 
        follows:
                    (A) For each covered commodity, the product 
                obtained by multiplying--
                            (i) the total production of the covered 
                        commodity on those farms, as determined by the 
                        Secretary; and
                            (ii) the higher of--
                                    (I) the national average market 
                                price received by producers during the 
                                12-month marketing year, as determined 
                                by the Secretary; or
                                    (II) the national average loan rate 
                                for a marketing assistance loan for the 
                                covered commodity in effect for that 
                                crop year under title II.
                    (B) The sum of the amounts determined under 
                subparagraph (A) for all covered commodities on those 
                farms.
                    (C) The quotient obtained by dividing--
                            (i) the amount determined under 
                        subparagraph (B); by
                            (ii) the total planted acres of all covered 
                        commodities on those farms.
    (c) Agriculture Risk Coverage Guarantee.--
            (1) In general.--The agriculture risk coverage guarantee 
        for a crop year for a covered commodity shall be equal to 86 
        percent of the benchmark revenue.
            (2) Benchmark revenue for county coverage.--In the case of 
        county coverage, the benchmark revenue shall be the product 
        obtained by multiplying--
                    (A) subject to paragraph (4), the average 
                historical county yield, as determined by the 
                Secretary, for the most recent 5 crop years, excluding 
                each of the crop years with the highest and lowest 
                yields; and
                    (B) subject to paragraph (5), the national average 
                market price received by producers during the 12-month 
                marketing year for the most recent 5 crop years, 
                excluding each of the crop years with the highest and 
                lowest prices.
            (3) Benchmark revenue for individual coverage.--In the case 
        of individual coverage, the benchmark revenue for a producer on 
        a farm for a crop year shall be based on the share of the 
        producer of all covered commodities planted on all farms for 
        which individual coverage has been selected and in which the 
        producer has an interest, to be determined by the Secretary as 
        follows:
                    (A) For each covered commodity for each of the most 
                recent 5 crop years, the product obtained by 
                multiplying--
                            (i) subject to paragraph (4), the yield per 
                        planted acre for the covered commodity on those 
                        farms, as determined by the Secretary; and
                            (ii) subject to paragraph (5), the national 
                        average market price received by producers 
                        during the 12-month marketing year.
                    (B) For each covered commodity, the average of the 
                revenues determined under subparagraph (A) for the most 
                recent 5 crop years, excluding each of the crop years 
                with the highest and lowest revenues.
                    (C) For each of the 2019 through 2024 crop years, 
                the sum of the amounts determined under subparagraph 
                (B) for all covered commodities on those farms, but 
                adjusted to reflect the proportion that--
                            (i) the total number of acres planted on 
                        those farms to a covered commodity; bears to
                            (ii) the total number of acres of all 
                        covered commodities planted on those farms.
            (4) Yield conditions.--If the yield per planted acre for 
        the covered commodity or historical county yield per planted 
        acre for the covered commodity for any of the 5 most recent 
        crop years, as determined by the Secretary, is less than 70 
        percent of the transitional yield, as determined by the 
        Secretary, the amounts used for any of those years in paragraph 
        (2)(A) or (3)(A)(i) shall be 70 percent of the transitional 
        yield.
            (5) Reference price.--If the national average market price 
        received by producers during the 12-month marketing year for 
        any of the 5 most recent crop years is lower than the reference 
        price for the covered commodity, the Secretary shall use the 
        reference price for any of those years for the amounts in 
        paragraph (2)(B) or (3)(A)(ii).
    (d) Payment Rate.--The payment rate for a covered commodity, in the 
case of county coverage, or a farm, in the case of individual coverage, 
shall be equal to the lesser of--
            (1) the amount that--
                    (A) the agriculture risk coverage guarantee for the 
                crop year applicable under subsection (c); exceeds
                    (B) the actual crop revenue for the crop year 
                applicable under subsection (b); or
            (2) 10 percent of the benchmark revenue for the crop year 
        applicable under subsection (c).
    (e) Payment Amount.--If agriculture risk coverage payments are 
required to be paid for any of the 2019 through 2024 crop years, the 
amount of the agriculture risk coverage payment for the crop year shall 
be determined by multiplying--
            (1) the payment rate determined under subsection (d); and
            (2) the payment acres.
    (f) Time for Payments.--If the Secretary determines that 
agriculture risk coverage payments are required to be provided for the 
covered commodity, payments shall be made beginning October 1, or as 
soon as practicable thereafter, after the end of the applicable 
marketing year for the covered commodity.
    (g) Additional Duties of the Secretary.--In providing agriculture 
risk coverage, the Secretary shall--
            (1) to the maximum extent practicable, use all available 
        information and analysis, including data mining, to check for 
        anomalies in the determination of agriculture risk coverage 
        payments;
            (2) to the maximum extent practicable, calculate a separate 
        actual crop revenue and agriculture risk coverage guarantee for 
        irrigated and nonirrigated covered commodities;
            (3) in the case of individual coverage, assign an average 
        yield for a farm on the basis of the yield history of 
        representative farms in the State, region, or crop reporting 
        district, as determined by the Secretary, if the Secretary 
        determines that the farm has planted acreage in a quantity that 
        is insufficient to calculate a representative average yield for 
        the farm; and
            (4) in the case of county coverage, assign an actual or 
        benchmark county yield for each planted acre for the crop year 
        for the covered commodity on the basis of the yield history of 
        representative farms in the State, region, or crop reporting 
        district, as determined by the Secretary, if--
                    (A) the Secretary cannot establish the actual or 
                benchmark county yield for each planted acre for a crop 
                year for a covered commodity in the county in 
                accordance with subsection (b)(1) or (c)(2); or
                    (B) the yield determined under subsection (b)(1) or 
                (c)(2) is an unrepresentative average yield for the 
                county, as determined by the Secretary.

SEC. 107. PRODUCER AGREEMENTS.

    (a) Compliance With Certain Requirements.--
            (1) Requirements.--Before the producers on a farm may 
        receive payments under this title with respect to the farm, the 
        producers shall agree, during the crop year for which the 
        payments are made and in exchange for the payments--
                    (A) to comply with applicable conservation 
                requirements under subtitle B of title XII of the Food 
                Security Act of 1985 (16 U.S.C. 3811 et seq.);
                    (B) to comply with applicable wetland protection 
                requirements under subtitle C of title XII of that Act 
                (16 U.S.C. 3821 et seq.);
                    (C) to effectively control noxious weeds and 
                otherwise maintain the land in accordance with sound 
                agricultural practices, as determined by the Secretary; 
                and
                    (D) to use the land on the farm, in a quantity 
                equal to the attributable updated base acres for the 
                farm and any updated base acres for an agricultural or 
                conserving use, and not for a nonagricultural 
                commercial, industrial, or residential use, as 
                determined by the Secretary.
            (2) Compliance.--The Secretary may issue such rules as the 
        Secretary considers necessary to ensure producer compliance 
        with paragraph (1).
            (3) Modification.--At the request of the transferee or 
        owner, the Secretary may modify the requirements of this 
        subsection if the modifications are consistent with the 
        objectives of this subsection, as determined by the Secretary.
    (b) Transfer or Change of Interest in Farm.--
            (1) Termination.--
                    (A) In general.--Except as provided in paragraph 
                (2), a transfer of (or change in) the interest of the 
                producers on a farm for which payments under this title 
                are provided shall result in the termination of the 
                payments, unless the transferee or owner of the acreage 
                agrees to assume all obligations under subsection (a).
                    (B) Effective date.--The termination shall take 
                effect on the date determined by the Secretary.
            (2) Exception.--If a producer entitled to a payment under 
        this title dies, becomes incompetent, or is otherwise unable to 
        receive the payment, the Secretary shall make the payment in 
        accordance with rules issued by the Secretary.
    (c) Acreage Reports.--As a condition on the receipt of any benefits 
under this Act, the Secretary shall require producers on a farm to 
submit to the Secretary annual acreage reports with respect to all 
cropland on the farm.
    (d) Production Reports.--As an additional condition on receiving 
agriculture risk coverage payments for individual coverage, the 
Secretary shall require a producer on a farm to submit to the Secretary 
annual production reports with respect to all covered commodities 
produced on all farms in the same State--
            (1) in which the producer has an interest; and
            (2) for which individual coverage has been selected.
    (e) Effect of Inaccurate Reports.--No penalty with respect to 
benefits under this Act shall be assessed against a producer on a farm 
for an inaccurate acreage or production report unless the Secretary 
determines that the producer on the farm knowingly and willfully 
falsified the acreage or production report.
    (f) Tenants and Sharecroppers.--In carrying out this title, the 
Secretary shall provide adequate safeguards to protect the interests of 
tenants and sharecroppers.
    (g) Sharing of Payments.--The Secretary shall provide for the 
sharing of payments made under this title among the producers on a farm 
on a fair and equitable basis.

                       TITLE II--MARKETING LOANS

SEC. 201. AVAILABILITY OF NONRECOURSE MARKETING ASSISTANCE LOANS FOR 
              LOAN COMMODITIES.

    (a) Definition of Loan Commodity.--In this title, the term ``loan 
commodity'' means wheat, corn, grain sorghum, barley, oats, upland 
cotton, extra long staple cotton, long grain rice, medium grain rice, 
peanuts, soybeans, other oilseeds, graded wool, nongraded wool, mohair, 
honey, dry peas, lentils, small chickpeas, and large chickpeas.
    (b) Nonrecourse Loans Available.--
            (1) In general.--For each of the 2019 through 2024 crops of 
        each loan commodity, the Secretary shall make available to 
        producers on a farm nonrecourse marketing assistance loans for 
        loan commodities produced on the farm.
            (2) Terms and conditions.--The marketing assistance loans 
        shall be made under terms and conditions that are prescribed by 
        the Secretary and at the loan rate established under section 
        202 for the loan commodity.
    (c) Eligible Production.--The producers on a farm shall be eligible 
for a marketing assistance loan under subsection (b) for any quantity 
of a loan commodity produced on the farm.
    (d) Compliance With Conservation and Wetlands Requirements.--As a 
condition of the receipt of a marketing assistance loan under 
subsection (b), the producer shall comply with applicable conservation 
requirements under subtitle B of title XII of the Food Security Act of 
1985 (16 U.S.C. 3811 et seq.) and applicable wetland protection 
requirements under subtitle C of title XII of that Act (16 U.S.C. 3821 
et seq.) during the term of the loan.
    (e) Special Rules for Peanuts.--
            (1) In general.--This subsection shall apply only to 
        producers of peanuts.
            (2) Options for obtaining loan.--A marketing assistance 
        loan under this section, and loan deficiency payments under 
        section 205, may be obtained at the option of the producers on 
        a farm through--
                    (A) a designated marketing association or marketing 
                cooperative of producers that is approved by the 
                Secretary; or
                    (B) the Farm Service Agency.
            (3) Storage of loan peanuts.--As a condition on the 
        approval by the Secretary of an individual or entity to provide 
        storage for peanuts for which a marketing assistance loan is 
        made under this section, the individual or entity shall agree--
                    (A) to provide the storage on a nondiscriminatory 
                basis; and
                    (B) to comply with such additional requirements as 
                the Secretary considers appropriate to accomplish the 
                purposes of this section and promote fairness in the 
                administration of the benefits of this section.
            (4) Storage, handling, and associated costs.--
                    (A) In general.--To ensure proper storage of 
                peanuts for which a loan is made under this section, 
                the Secretary shall pay handling and other associated 
                costs (other than storage costs) incurred at the time 
                at which the peanuts are placed under loan, as 
                determined by the Secretary.
                    (B) Redemption and forfeiture.--The Secretary 
                shall--
                            (i) require the repayment of handling and 
                        other associated costs paid under subparagraph 
                        (A) for all peanuts pledged as collateral for a 
                        loan that is redeemed under this section; and
                            (ii) pay storage, handling, and other 
                        associated costs for all peanuts pledged as 
                        collateral that are forfeited under this 
                        section.
            (5) Marketing.--A marketing association or cooperative may 
        market peanuts for which a loan is made under this section in 
        any manner that conforms to consumer needs, including the 
        separation of peanuts by type and quality.
            (6) Reimbursable agreements and payment of administrative 
        expenses.--The Secretary may implement any reimbursable 
        agreements or provide for the payment of administrative 
        expenses under this subsection only in a manner that is 
        consistent with those activities in regard to other loan 
        commodities.

SEC. 202. LOAN RATES FOR NONRECOURSE MARKETING ASSISTANCE LOANS.

    (a) In General.--For purposes of each of the 2019 through 2024 crop 
years, the loan rate for a marketing assistance loan under section 201 
for a loan commodity shall be equal to the following:
            (1) In the case of wheat, $2.94 per bushel.
            (2) In the case of corn, $1.95 per bushel.
            (3) In the case of grain sorghum, $1.95 per bushel.
            (4) In the case of barley, $1.95 per bushel.
            (5) In the case of oats, $1.39 per bushel.
            (6) In the case of base quality of upland cotton, for each 
        of the 2019 through 2024 crop years, the simple average of the 
        adjusted prevailing world price for the 2 immediately preceding 
        marketing years, as determined by the Secretary and announced 
        October 1 preceding the next domestic plantings, but in no case 
        less than $0.45 per pound or more than $0.52 per pound.
            (7) In the case of extra long staple cotton, $0.7977 per 
        pound.
            (8) In the case of long grain rice, $6.50 per 
        hundredweight.
            (9) In the case of medium grain rice, $6.50 per 
        hundredweight.
            (10) In the case of soybeans, $5.00 per bushel.
            (11) In the case of other oilseeds, $10.09 per 
        hundredweight for each of the following kinds of oilseeds:
                    (A) Sunflower seed.
                    (B) Rapeseed.
                    (C) Canola.
                    (D) Safflower.
                    (E) Flaxseed.
                    (F) Mustard seed.
                    (G) Crambe.
                    (H) Sesame seed.
                    (I) Other oilseeds designated by the Secretary.
            (12) In the case of dry peas, $5.40 per hundredweight.
            (13) In the case of lentils, $11.28 per hundredweight.
            (14) In the case of small chickpeas, $7.43 per 
        hundredweight.
            (15) In the case of large chickpeas, $11.28 per 
        hundredweight.
            (16) In the case of graded wool, $1.15 per pound.
            (17) In the case of nongraded wool, $0.40 per pound.
            (18) In the case of mohair, $4.20 per pound.
            (19) In the case of honey, $0.69 per pound.
            (20) In the case of peanuts, $355 per ton.
    (b) Single County Loan Rate for Other Oilseeds.--The Secretary 
shall establish a single loan rate in each county for each kind of 
other oilseeds described in subsection (a)(11).

SEC. 203. TERM OF LOANS.

    (a) Term of Loan.--In the case of each loan commodity, a marketing 
assistance loan under section 201 shall have a term of 9 months 
beginning on the first day of the first month after the month in which 
the loan is made.
    (b) Extensions Prohibited.--The Secretary may not extend the term 
of a marketing assistance loan for any loan commodity.

SEC. 204. REPAYMENT OF LOANS.

    (a) General Rule.--The Secretary shall permit the producers on a 
farm to repay a marketing assistance loan under section 201 for a loan 
commodity (other than upland cotton, long grain rice, medium grain 
rice, extra long staple cotton, peanuts and confectionery and each 
other kind of sunflower seed (other than oil sunflower seed)) at a rate 
that is the lesser of--
            (1) the loan rate established for the commodity under 
        section 202, plus interest (determined in accordance with 
        section 163 of the Federal Agriculture Improvement and Reform 
        Act of 1996 (7 U.S.C. 7283));
            (2) a rate (as determined by the Secretary) that--
                    (A) is calculated based on average market prices 
                for the loan commodity during the preceding 30-day 
                period; and
                    (B) will minimize discrepancies in marketing loan 
                benefits across State boundaries and across county 
                boundaries; or
            (3) a rate that the Secretary may develop using alternative 
        methods for calculating a repayment rate for a loan commodity 
        that the Secretary determines will--
                    (A) minimize potential loan forfeitures;
                    (B) minimize the accumulation of stocks of the 
                commodity by the Federal Government;
                    (C) minimize the cost incurred by the Federal 
                Government in storing the commodity;
                    (D) allow the commodity produced in the United 
                States to be marketed freely and competitively, both 
                domestically and internationally; and
                    (E) minimize discrepancies in marketing loan 
                benefits across State boundaries and across county 
                boundaries.
    (b) Repayment Rates for Upland Cotton, Long Grain Rice, and Medium 
Grain Rice.--The Secretary shall permit producers to repay a marketing 
assistance loan under section 201 for upland cotton, long grain rice, 
and medium grain rice at a rate that is the lesser of--
            (1) the loan rate established for the commodity under 
        section 202, plus interest (determined in accordance with 
        section 163 of the Federal Agriculture Improvement and Reform 
        Act of 1996 (7 U.S.C. 7283)); or
            (2) the prevailing world market price for the commodity, as 
        determined and adjusted by the Secretary in accordance with 
        this section.
    (c) Repayment Rates for Extra Long Staple Cotton.--Repayment of a 
marketing assistance loan for extra long staple cotton shall be at the 
loan rate established for the commodity under section 202, plus 
interest (determined in accordance with section 163 of the Federal 
Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7283)).
    (d) Prevailing World Market Price.--For purposes of this section 
and section 207, the Secretary shall prescribe by regulation--
            (1) a formula to determine the prevailing world market 
        price for each of upland cotton, long grain rice, and medium 
        grain rice; and
            (2) a mechanism by which the Secretary shall announce 
        periodically those prevailing world market prices.
    (e) Adjustment of Prevailing World Market Price for Upland Cotton, 
Long Grain Rice, and Medium Grain Rice.--
            (1) Rice.--The prevailing world market price for long grain 
        rice and medium grain rice determined under subsection (d) 
        shall be adjusted to United States quality and location.
            (2) Cotton.--The prevailing world market price for upland 
        cotton determined under subsection (d)--
                    (A) shall be adjusted to United States quality and 
                location, with the adjustment to include--
                            (i) a reduction equal to any United States 
                        Premium Factor for upland cotton of a quality 
                        higher than Middling (M) 1\3/32\-inch; and
                            (ii) the average costs to market the 
                        commodity, including average transportation 
                        costs, as determined by the Secretary; and
                    (B) may be further adjusted, during the period 
                beginning on the date of enactment of this Act and 
                ending on July 31, 2025, if the Secretary determines 
                the adjustment is necessary--
                            (i) to minimize potential loan forfeitures;
                            (ii) to minimize the accumulation of stocks 
                        of upland cotton by the Federal Government;
                            (iii) to ensure that upland cotton produced 
                        in the United States can be marketed freely and 
                        competitively, both domestically and 
                        internationally; and
                            (iv) to ensure an appropriate transition 
                        between current-crop and forward-crop price 
                        quotations, except that the Secretary may use 
                        forward-crop price quotations prior to July 31 
                        of a marketing year only if--
                                    (I) there are insufficient current-
                                crop price quotations; and
                                    (II) the forward-crop price 
                                quotation is the lowest such quotation 
                                available.
            (3) Guidelines for additional adjustments.--In making 
        adjustments under this subsection, the Secretary shall 
        establish a mechanism for determining and announcing the 
        adjustments in order to avoid undue disruption in the United 
        States market.
    (f) Repayment Rates for Confectionery and Other Kinds of Sunflower 
Seeds.--The Secretary shall permit the producers on a farm to repay a 
marketing assistance loan under section 201 for confectionery and each 
other kind of sunflower seed (other than oil sunflower seed) at a rate 
that is the lesser of--
            (1) the loan rate established for the commodity under 
        section 202, plus interest (determined in accordance with 
        section 163 of the Federal Agriculture Improvement and Reform 
        Act of 1996 (7 U.S.C. 7283)); or
            (2) the repayment rate established for oil sunflower seed.
    (g) Payment of Cotton Storage Costs.--Effective for each of the 
2019 through 2024 crop years, the Secretary shall make cotton storage 
payments available in the same manner, and at the same rates as the 
Secretary provided storage payments for the 2006 crop of cotton, except 
that the rates shall be reduced by 10 percent.
    (h) Repayment Rate for Peanuts.--The Secretary shall permit 
producers on a farm to repay a marketing assistance loan for peanuts 
under section 201 at a rate that is the lesser of--
            (1) the loan rate established for peanuts under section 
        202(a)(20), plus interest (determined in accordance with 
        section 163 of the Federal Agriculture Improvement and Reform 
        Act of 1996 (7 U.S.C. 7283)); or
            (2) a rate that the Secretary determines will--
                    (A) minimize potential loan forfeitures;
                    (B) minimize the accumulation of stocks of peanuts 
                by the Federal Government;
                    (C) minimize the cost incurred by the Federal 
                Government in storing peanuts; and
                    (D) allow peanuts produced in the United States to 
                be marketed freely and competitively, both domestically 
                and internationally.
    (i) Authority To Temporarily Adjust Repayment Rates.--
            (1) Adjustment authority.--In the event of a severe 
        disruption to marketing, transportation, or related 
        infrastructure, the Secretary may modify the repayment rate 
        otherwise applicable under this section for marketing 
        assistance loans under section 201 for a loan commodity.
            (2) Duration.--Any adjustment made under paragraph (1) in 
        the repayment rate for marketing assistance loans for a loan 
        commodity shall be in effect on a short-term and temporary 
        basis, as determined by the Secretary.

SEC. 205. LOAN DEFICIENCY PAYMENTS.

    (a) Availability of Loan Deficiency Payments.--
            (1) In general.--Except as provided in subsection (d), the 
        Secretary may make loan deficiency payments available to 
        producers on a farm that, although eligible to obtain a 
        marketing assistance loan under section 201 with respect to a 
        loan commodity, agree to forgo obtaining the loan for the 
        commodity in return for loan deficiency payments under this 
        section.
            (2) Unshorn pelts, hay, and silage.--
                    (A) Marketing assistance loans.--Subject to 
                subparagraph (B), nongraded wool in the form of unshorn 
                pelts and hay and silage derived from a loan commodity 
                are not eligible for a marketing assistance loan under 
                section 201.
                    (B) Loan deficiency payment.--Effective for each of 
                the 2019 through 2024 crop years, the Secretary may 
                make loan deficiency payments available under this 
                section to producers on a farm that produce unshorn 
                pelts or hay and silage derived from a loan commodity.
    (b) Computation.--A loan deficiency payment for a loan commodity or 
commodity referred to in subsection (a)(2) shall be equal to the 
product obtained by multiplying--
            (1) the payment rate determined under subsection (c) for 
        the commodity; and
            (2) the quantity of the commodity produced by the eligible 
        producers, excluding any quantity for which the producers 
        obtain a marketing assistance loan under section 201.
    (c) Payment Rate.--
            (1) In general.--In the case of a loan commodity, the 
        payment rate shall be the amount by which--
                    (A) the loan rate established under section 202 for 
                the loan commodity; exceeds
                    (B) the rate at which a marketing assistance loan 
                for the loan commodity may be repaid under section 204.
            (2) Unshorn pelts.--In the case of unshorn pelts, the 
        payment rate shall be the amount by which--
                    (A) the loan rate established under section 202 for 
                ungraded wool; exceeds
                    (B) the rate at which a marketing assistance loan 
                for ungraded wool may be repaid under section 204.
            (3) Hay and silage.--In the case of hay or silage derived 
        from a loan commodity, the payment rate shall be the amount by 
        which--
                    (A) the loan rate established under section 202 for 
                the loan commodity from which the hay or silage is 
                derived; exceeds
                    (B) the rate at which a marketing assistance loan 
                for the loan commodity may be repaid under section 204.
    (d) Exception for Extra Long Staple Cotton.--This section shall not 
apply with respect to extra long staple cotton.
    (e) Effective Date for Payment Rate Determination.--The Secretary 
shall determine the amount of the loan deficiency payment to be made 
under this section to the producers on a farm with respect to a 
quantity of a loan commodity or commodity referred to in subsection 
(a)(2) using the payment rate in effect under subsection (c) as of the 
date the producers request the payment.

SEC. 206. PAYMENTS IN LIEU OF LOAN DEFICIENCY PAYMENTS FOR GRAZED 
              ACREAGE.

    (a) Eligible Producers.--
            (1) In general.--Effective for each of the 2019 through 
        2024 crop years, in the case of a producer that would be 
        eligible for a loan deficiency payment under section 205 for 
        wheat, barley, or oats, but that elects to use acreage planted 
        to the wheat, barley, or oats for the grazing of livestock, the 
        Secretary shall make a payment to the producer under this 
        section if the producer enters into an agreement with the 
        Secretary to forgo any other harvesting of the wheat, barley, 
        or oats on that acreage.
            (2) Grazing of triticale acreage.--Effective for each of 
        the 2019 through 2024 crop years, with respect to a producer on 
        a farm that uses acreage planted to triticale for the grazing 
        of livestock, the Secretary shall make a payment to the 
        producer under this section if the producer enters into an 
        agreement with the Secretary to forgo any other harvesting of 
        triticale on that acreage.
    (b) Payment Amount.--
            (1) In general.--The amount of a payment made under this 
        section to a producer on a farm described in subsection (a)(1) 
        shall be equal to the amount determined by multiplying--
                    (A) the loan deficiency payment rate determined 
                under section 205(c) in effect, as of the date of the 
                agreement, for the county in which the farm is located; 
                and
                    (B) the payment quantity determined by 
                multiplying--
                            (i) the quantity of the grazed acreage on 
                        the farm with respect to which the producer 
                        elects to forgo harvesting of wheat, barley, or 
                        oats; and
                            (ii)(I) the payment yield in effect for the 
                        calculation of price loss coverage with respect 
                        to that loan commodity on the farm;
                            (II) in the case of a farm for which 
                        agriculture risk coverage is elected under 
                        section 106(a), the payment yield that would 
                        otherwise be in effect with respect to that 
                        loan commodity on the farm in the absence of 
                        that election; or
                            (III) in the case of a farm for which no 
                        payment yield is otherwise established for that 
                        loan commodity on the farm, an appropriate 
                        yield established by the Secretary in a manner 
                        consistent with section 102(a).
            (2) Grazing of triticale acreage.--The amount of a payment 
        made under this section to a producer on a farm described in 
        subsection (a)(2) shall be equal to the amount determined by 
        multiplying--
                    (A) the loan deficiency payment rate determined 
                under section 205(c) in effect for wheat, as of the 
                date of the agreement, for the county in which the farm 
                is located; and
                    (B) the payment quantity determined by 
                multiplying--
                            (i) the quantity of the grazed acreage on 
                        the farm with respect to which the producer 
                        elects to forgo harvesting of triticale; and
                            (ii)(I) the payment yield in effect for the 
                        calculation of price loss coverage with respect 
                        to wheat on the farm;
                            (II) in the case of a farm for which 
                        agriculture risk coverage is elected under 
                        section 106(a), the payment yield that would 
                        otherwise be in effect for wheat on the farm in 
                        the absence of that election; or
                            (III) in the case of a farm for which no 
                        payment yield is otherwise established for 
                        wheat on the farm, an appropriate yield 
                        established by the Secretary in a manner 
                        consistent with section 102(a).
    (c) Time, Manner, and Availability of Payment.--
            (1) Time and manner.--A payment under this section shall be 
        made at the same time and in the same manner as loan deficiency 
        payments are made under section 205.
            (2) Availability.--
                    (A) In general.--The Secretary shall establish an 
                availability period for the payments authorized by this 
                section.
                    (B) Certain commodities.--In the case of wheat, 
                barley, and oats, the availability period shall be 
                consistent with the availability period for the 
                commodity established by the Secretary for marketing 
                assistance loans under this title.
    (d) Prohibition on Crop Insurance Indemnity or Noninsured Crop 
Assistance.--A 2019 through 2024 crop of wheat, barley, oats, or 
triticale planted on acreage that a producer elects, in the agreement 
required by subsection (a), to use for the grazing of livestock in lieu 
of any other harvesting of the crop shall not be eligible for an 
indemnity under a policy or plan of insurance authorized under the 
Federal Crop Insurance Act (7 U.S.C. 1501 et seq.) or noninsured crop 
assistance under section 196 of the Federal Agriculture Improvement and 
Reform Act of 1996 (7 U.S.C. 7333).

SEC. 207. SPECIAL MARKETING LOAN PROVISIONS FOR UPLAND COTTON.

    (a) Special Import Quota.--
            (1) Definition of special import quota.--In this 
        subsection, the term ``special import quota'' means a quantity 
        of imports that is not subject to the overquota tariff rate of 
        a tariff rate quota.
            (2) Establishment.--
                    (A) In general.--The President shall carry out an 
                import quota program, as provided in this subsection.
                    (B) Program requirements.--Whenever the Secretary 
                determines and announces that for any consecutive 4-
                week period, the Friday through Thursday average price 
                quotation for the lowest-priced United States growth, 
                as quoted for Middling (M) 1\3/32\-inch cotton, 
                delivered to a definable and significant international 
                market, as determined by the Secretary, exceeds the 
                prevailing world market price, there shall immediately 
                be in effect a special import quota.
            (3) Quantity.--The quota shall be equal to the consumption 
        during a 1-week period of cotton by domestic mills at the 
        seasonally adjusted average rate of the most recent 3 months 
        for which official data of the Department of Agriculture are 
        available or, in the absence of sufficient data, as estimated 
        by the Secretary.
            (4) Application.--The quota shall apply to upland cotton--
                    (A) purchased not later than 90 days after the date 
                of the announcement of the Secretary under paragraph 
                (2); and
                    (B) entered into the United States not later than 
                180 days after that date.
            (5) Overlap.--A special quota period may be established 
        that overlaps any existing quota period if required by 
        paragraph (2), except that a special quota period may not be 
        established under this subsection if a quota period has been 
        established under subsection (b).
            (6) Preferential tariff treatment.--The quantity under a 
        special import quota shall be considered to be an in-quota 
        quantity for purposes of--
                    (A) section 213(d) of the Caribbean Basin Economic 
                Recovery Act (19 U.S.C. 2703(d));
                    (B) section 204 of the Andean Trade Preference Act 
                (19 U.S.C. 3203);
                    (C) section 503(d) of the Trade Act of 1974 (19 
                U.S.C. 2463(d)); and
                    (D) General Note 3(a)(iv) to the Harmonized Tariff 
                Schedule.
            (7) Limitation.--The quantity of cotton entered into the 
        United States during any marketing year under the special 
        import quota established under this subsection may not exceed 
        the equivalent of 10 weeks of consumption of upland cotton by 
        domestic mills at the seasonally adjusted average rate of the 3 
        months immediately preceding the first special import quota 
        established in any marketing year.
    (b) Limited Global Import Quota for Upland Cotton.--
            (1) Definitions.--In this subsection:
                    (A) Demand.--The term ``demand'' means--
                            (i) the average seasonally adjusted annual 
                        rate of domestic mill consumption of cotton 
                        during the most recent 3 months for which 
                        official data of the Department of Agriculture 
                        are available or, in the absence of sufficient 
                        data, as estimated by the Secretary; and
                            (ii) the larger of--
                                    (I) average exports of upland 
                                cotton during the preceding 6 marketing 
                                years; or
                                    (II) cumulative exports of upland 
                                cotton plus outstanding export sales 
                                for the marketing year in which the 
                                quota is established.
                    (B) Limited global import quota.--The term 
                ``limited global import quota'' means a quantity of 
                imports that is not subject to the overquota tariff 
                rate of a tariff rate quota.
                    (C) Supply.--The term ``supply'' means, using the 
                latest official data of the Department of Agriculture--
                            (i) the carryover of upland cotton at the 
                        beginning of the marketing year (adjusted to 
                        480-pound bales) in which the quota is 
                        established;
                            (ii) production of the current crop; and
                            (iii) imports to the latest date available 
                        during the marketing year.
            (2) Program.--The President shall carry out an import quota 
        program that provides that whenever the Secretary determines 
        and announces that the average price of the base quality of 
        upland cotton, as determined by the Secretary, in the 
        designated spot markets for a month exceeded 130 percent of the 
        average price of the quality of cotton in the markets for the 
        preceding 36 months, notwithstanding any other provision of 
        law, there shall immediately be in effect a limited global 
        import quota subject to the following conditions:
                    (A) Quantity.--The quantity of the quota shall be 
                equal to 21 days of domestic mill consumption of upland 
                cotton at the seasonally adjusted average rate of the 
                most recent 3 months for which official data of the 
                Department of Agriculture are available or, in the 
                absence of sufficient data, as estimated by the 
                Secretary.
                    (B) Quantity if prior quota.--If a quota has been 
                established under this subsection during the preceding 
                12 months, the quantity of the quota next established 
                under this subsection shall be the smaller of 21 days 
                of domestic mill consumption calculated under 
                subparagraph (A) or the quantity required to increase 
                the supply to 130 percent of the demand.
                    (C) Preferential tariff treatment.--The quantity 
                under a limited global import quota shall be considered 
                to be an in-quota quantity for purposes of--
                            (i) section 213(d) of the Caribbean Basin 
                        Economic Recovery Act (19 U.S.C. 2703(d));
                            (ii) section 204 of the Andean Trade 
                        Preference Act (19 U.S.C. 3203);
                            (iii) section 503(d) of the Trade Act of 
                        1974 (19 U.S.C. 2463(d)); and
                            (iv) General Note 3(a)(iv) to the 
                        Harmonized Tariff Schedule.
                    (D) Quota entry period.--When a quota is 
                established under this subsection, cotton may be 
                entered under the quota during the 90-day period 
                beginning on the date the quota is established by the 
                Secretary.
            (3) No overlap.--Notwithstanding paragraph (2), a quota 
        period may not be established that overlaps an existing quota 
        period or a special quota period established under subsection 
        (a).
    (c) Economic Adjustment Assistance to Users of Upland Cotton.--
            (1) In general.--Subject to paragraph (2), the Secretary 
        shall, on a monthly basis, make economic adjustment assistance 
        available to domestic users of upland cotton in the form of 
        payments for all documented use of that upland cotton during 
        the previous monthly period regardless of the origin of the 
        upland cotton.
            (2) Value of assistance.--The value of the assistance 
        provided under paragraph (1) shall be 3 cents per pound.
            (3) Allowable purposes.--Economic adjustment assistance 
        under this subsection shall be made available only to domestic 
        users of upland cotton that certify that the assistance shall 
        be used only to acquire, construct, install, modernize, 
        develop, convert, or expand land, plant, buildings, equipment, 
        facilities, or machinery.
            (4) Review or audit.--The Secretary may conduct such review 
        or audit of the records of a domestic user under this 
        subsection as the Secretary determines necessary to carry out 
        this subsection.
            (5) Improper use of assistance.--If the Secretary 
        determines, after a review or audit of the records of the 
        domestic user, that economic adjustment assistance under this 
        subsection was not used for the purposes specified in paragraph 
        (3), the domestic user shall be--
                    (A) liable for the repayment of the assistance to 
                the Secretary, plus interest, as determined by the 
                Secretary; and
                    (B) ineligible to receive assistance under this 
                subsection for a period of 1 year following the 
                determination of the Secretary.

SEC. 208. SPECIAL COMPETITIVE PROVISIONS FOR EXTRA LONG STAPLE COTTON.

    (a) Competitiveness Program.--Notwithstanding any other provision 
of law, during the period beginning on the date of enactment of this 
Act and ending on July 31, 2025, the Secretary shall carry out a 
program--
            (1) to maintain and expand the domestic use of extra long 
        staple cotton produced in the United States;
            (2) to increase exports of extra long staple cotton 
        produced in the United States; and
            (3) to ensure that extra long staple cotton produced in the 
        United States remains competitive in world markets.
    (b) Payments Under Program; Trigger.--Under the program, the 
Secretary shall make payments available under this section whenever--
            (1) for a consecutive 4-week period, the world market price 
        for the lowest priced competing growth of extra long staple 
        cotton (adjusted to United States quality and location and for 
        other factors affecting the competitiveness of that cotton), as 
        determined by the Secretary, is below the prevailing United 
        States price for a competing growth of extra long staple 
        cotton; and
            (2) the lowest priced competing growth of extra long staple 
        cotton (adjusted to United States quality and location and for 
        other factors affecting the competitiveness of that cotton), as 
        determined by the Secretary, is less than 134 percent of the 
        loan rate for extra long staple cotton.
    (c) Eligible Recipients.--The Secretary shall make payments 
available under this section to domestic users of extra long staple 
cotton produced in the United States and exporters of extra long staple 
cotton produced in the United States that enter into an agreement with 
the Commodity Credit Corporation to participate in the program under 
this section.
    (d) Payment Amount.--Payments under this section shall be based on 
the product obtained by multiplying--
            (1) the difference in the prices referred to in subsection 
        (b)(1) during the fourth week of the consecutive 4-week period; 
        and
            (2) the amount of documented purchases by domestic users 
        and sales for export by exporters made in the week following 
        that consecutive 4-week period.

SEC. 209. AVAILABILITY OF RECOURSE LOANS FOR HIGH MOISTURE FEED GRAINS 
              AND SEED COTTON.

    (a) High Moisture Feed Grains.--
            (1) Definition of high moisture state.--In this subsection, 
        the term ``high moisture state'' means corn or grain sorghum 
        having a moisture content in excess of Commodity Credit 
        Corporation standards for marketing assistance loans made by 
        the Secretary under section 201.
            (2) Recourse loans available.--For each of the 2019 through 
        2024 crops of corn and grain sorghum, the Secretary shall make 
        available recourse loans, as determined by the Secretary, to 
        producers on a farm that--
                    (A) normally harvest all or a portion of their crop 
                of corn or grain sorghum in a high moisture state;
                    (B) present--
                            (i) certified scale tickets from an 
                        inspected, certified commercial scale, 
                        including a licensed warehouse, feedlot, feed 
                        mill, distillery, or other similar entity 
                        approved by the Secretary, pursuant to 
                        regulations issued by the Secretary; or
                            (ii) field or other physical measurements 
                        of the standing or stored crop in regions of 
                        the United States, as determined by the 
                        Secretary, that do not have certified 
                        commercial scales from which certified scale 
                        tickets may be obtained within reasonable 
                        proximity of harvest operation;
                    (C) certify that the producers on the farm were the 
                owners of the feed grain at the time of delivery to, 
                and that the quantity to be placed under loan under 
                this subsection was in fact harvested on the farm and 
                delivered to, a feedlot, feed mill, or commercial or 
                on-farm high-moisture storage facility, or to a 
                facility maintained by the users of corn and grain 
                sorghum in a high moisture state; and
                    (D) comply with deadlines established by the 
                Secretary for harvesting the corn or grain sorghum and 
                submit applications for loans under this subsection 
                within deadlines established by the Secretary.
            (3) Eligibility of acquired feed grains.--A loan under this 
        subsection shall be made on a quantity of corn or grain sorghum 
        of the same crop acquired by the producer in a quantity equal 
        to the product obtained by multiplying--
                    (A) the acreage of the corn or grain sorghum in a 
                high moisture state harvested on the farm of the 
                producer; and
                    (B) the lower of--
                            (i) the payment yield in effect for the 
                        calculation of price loss coverage, or the 
                        payment yield deemed to be in effect or 
                        established under subclause (II) or (III) of 
                        section 206(b)(1)(B)(ii), with respect to corn 
                        or grain sorghum on a field that is similar to 
                        the field from which the corn or grain sorghum 
                        referred to in subparagraph (A) was obtained; 
                        or
                            (ii) the actual yield of corn or grain 
                        sorghum on a field, as determined by the 
                        Secretary, that is similar to the field from 
                        which the corn or grain sorghum referred to in 
                        subparagraph (A) was obtained.
    (b) Recourse Loans Available for Seed Cotton.--For each of the 2019 
through 2024 crops of upland cotton and extra long staple cotton, the 
Secretary shall make available recourse seed cotton loans, as 
determined by the Secretary, on any production.
    (c) Repayment Rates.--Repayment of a recourse loan made under this 
section shall be at the loan rate established for the commodity by the 
Secretary, plus interest (determined in accordance with section 163 of 
the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 
7283)).

SEC. 210. ADJUSTMENTS OF LOANS.

    (a) Adjustment Authority.--Subject to subsection (e), the Secretary 
may make appropriate adjustments in the loan rates for any loan 
commodity (other than cotton) for differences in grade, type, quality, 
location, and other factors.
    (b) Manner of Adjustment.--The adjustments under subsection (a) 
shall, to the maximum extent practicable, be made in such a manner that 
the average loan level for the commodity will, on the basis of the 
anticipated incidence of the factors, be equal to the level of support 
determined in accordance with this title.
    (c) Adjustment on County Basis.--
            (1) In general.--The Secretary may establish loan rates for 
        a crop for producers in individual counties in a manner that 
        results in the lowest loan rate being 95 percent of the 
        national average loan rate, if those loan rates do not result 
        in an increase in outlays.
            (2) Prohibition.--Adjustments under this subsection shall 
        not result in an increase in the national average loan rate for 
        any year.
    (d) Adjustment in Loan Rate for Cotton.--
            (1) In general.--The Secretary may make appropriate 
        adjustments in the loan rate for cotton for differences in 
        quality factors.
            (2) Types of adjustments.--Loan rate adjustments under 
        paragraph (1) may include--
                    (A) the use of non-spot market price data, in 
                addition to spot market price data, that would enhance 
                the accuracy of the price information used in 
                determining quality adjustments under this subsection;
                    (B) adjustments in the premiums or discounts 
                associated with upland cotton with a staple length of 
                33 or above due to micronaire with the goal of 
                eliminating any unnecessary artificial splits in the 
                calculations of the premiums or discounts; and
                    (C) such other adjustments as the Secretary 
                determines appropriate, after consultations conducted 
                in accordance with paragraph (3).
            (3) Consultation with private sector.--
                    (A) Prior to revision.--In making adjustments to 
                the loan rate for cotton (including any review of the 
                adjustments) as provided in this subsection, the 
                Secretary shall consult with representatives of the 
                United States cotton industry.
                    (B) Inapplicability of federal advisory committee 
                act.--The Federal Advisory Committee Act (5 U.S.C. 
                App.) shall not apply to consultations under this 
                subsection.
            (4) Review of adjustments.--The Secretary may review the 
        operation of the upland cotton quality adjustments implemented 
        pursuant to this subsection and may make further adjustments to 
        the administration of the loan program for upland cotton, by 
        revoking or revising any adjustment taken under paragraph (2).
    (e) Rice.--The Secretary shall not make adjustments in the loan 
rates for long grain rice and medium grain rice, except for differences 
in grade and quality (including milling yields).

                       TITLE III--ADMINISTRATION

SEC. 301. ADMINISTRATION GENERALLY.

    (a) Use of Commodity Credit Corporation.--The Secretary shall use 
the funds, facilities, and authorities of the Commodity Credit 
Corporation to carry out this Act.
    (b) Determinations by Secretary.--A determination made by the 
Secretary under this Act shall be final and conclusive.
    (c) Regulations.--
            (1) In general.--Except as otherwise provided in this 
        subsection, not later than 90 days after the date of enactment 
        of this Act, the Secretary and the Commodity Credit 
        Corporation, as appropriate, shall promulgate such regulations 
        as are necessary to implement this Act and the amendments made 
        by this Act.
            (2) Procedure.--The promulgation of the regulations and 
        administration of this Act and the amendments made by this Act 
        shall be made without regard to--
                    (A) the notice and comment provisions of section 
                553 of title 5, United States Code;
                    (B) chapter 35 of title 44, United States Code 
                (commonly known as the ``Paperwork Reduction Act''); 
                and
                    (C) the Statement of Policy of the Secretary of 
                Agriculture effective July 24, 1971 (36 Fed. Reg. 
                13804), relating to notices of proposed rulemaking and 
                public participation in rulemaking.
            (3) Congressional review of agency rulemaking.--In carrying 
        out this subsection, the Secretary shall use the authority 
        provided under section 808 of title 5, United States Code.
    (d) Adjustment Authority Related to Trade Agreements Compliance.--
            (1) Required determination; adjustment.--If the Secretary 
        determines that expenditures under this Act that are subject to 
        the total allowable domestic support levels under the Uruguay 
        Round Agreements (as defined in section 2 of the Uruguay Round 
        Agreements Act (19 U.S.C. 3501)) will exceed those allowable 
        levels for any applicable reporting period, the Secretary 
        shall, to the maximum extent practicable, make adjustments in 
        the amount of those expenditures during that period to ensure 
        that those expenditures do not exceed the allowable levels.
            (2) Congressional notification.--Before making any 
        adjustment under paragraph (1), the Secretary shall submit to 
        the Committee on Agriculture of the House of Representatives 
        and the Committee on Agriculture, Nutrition, and Forestry of 
        the Senate a report describing the determination made under 
        that paragraph and the extent of the adjustment to be made.

SEC. 302. SUSPENSION OF PERMANENT PRICE SUPPORT AUTHORITY.

    (a) Agricultural Adjustment Act of 1938.--The following provisions 
of the Agricultural Adjustment Act of 1938 shall not be applicable to 
the 2019 through 2024 crops of covered commodities and cotton:
            (1) Parts II through V of subtitle B of title III (7 U.S.C. 
        1326 et seq.).
            (2) In the case of upland cotton, section 377 (7 U.S.C. 
        1377).
            (3) Subtitle D of title III (7 U.S.C. 1379a et seq.).
            (4) Title IV (7 U.S.C. 1401 et seq.).
    (b) Agricultural Act of 1949.--The following provisions of the 
Agricultural Act of 1949 shall not be applicable to the 2019 through 
2024 crops of covered commodities and cotton:
            (1) Section 101 (7 U.S.C. 1441).
            (2) Section 103(a) (7 U.S.C. 1444(a)).
            (3) Section 105 (7 U.S.C. 1444b).
            (4) Section 107 (7 U.S.C. 1445a).
            (5) Section 110 (7 U.S.C. 1445e).
            (6) Section 112 (7 U.S.C. 1445g).
            (7) Section 115 (7 U.S.C. 1445k).
            (8) Section 201 (7 U.S.C. 1446).
            (9) Title III (7 U.S.C. 1447 et seq.).
            (10) Title IV (7 U.S.C. 1421 et seq.), other than sections 
        404, 412, and 416 (7 U.S.C. 1424, 1429, and 1431).
            (11) Title V (7 U.S.C. 1461 et seq.).
            (12) Title VI (7 U.S.C. 1471 et seq.).
    (c) Suspension of Certain Quota Provisions.--The joint resolution 
entitled ``A joint resolution relating to corn and wheat marketing 
quotas under the Agricultural Adjustment Act of 1938, as amended'', 
approved May 26, 1941 (7 U.S.C. 1330 and 1340), shall not be applicable 
to the crops of wheat planted for harvest in the calendar years 2019 
through 2024.

SEC. 303. CONFORMING AMENDMENTS.

    Sections 1207 and 1208 of the Agricultural Act of 2014 (7 U.S.C. 
9037, 9038) are repealed.
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