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[Congressional Bills 103th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2950 Introduced in House (IH)]

103d CONGRESS
  1st Session
                                H. R. 2950

     To establish a National Appeals Division of the Department of 
   Agriculture to hear appeals of adverse decisions made by certain 
          agencies of the Department, and for other purposes.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                             August 6, 1993

Mr. Johnson of South Dakota (for himself, Mr. Glickman, Mr. Peterson of 
  Minnesota, Mr. Minge, Mr. Sarpalius, and Mr. Penny) introduced the 
   following bill; which was referred to the Committee on Agriculture

_______________________________________________________________________

                                 A BILL

 
     To establish a National Appeals Division of the Department of 
   Agriculture to hear appeals of adverse decisions made by certain 
          agencies of the Department, 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) Short Title.--This Act may be cited as the ``USDA National 
Appeals Division Act of 1993''.
    (b) Table of Contents.--The table of contents of this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Definitions.
Sec. 3. National Appeals Division.
Sec. 4. Notice and opportunity for hearing.
Sec. 5. Informal hearings and meetings; appealable decisions.
Sec. 6. Access to materials.
Sec. 7. Hearings.
Sec. 8. Administrative appeal review.
Sec. 9. Judicial review.
Sec. 10. Implementation of final determinations of Division.
Sec. 11. Evaluation of employees.
Sec. 12. Prohibition on adverse action while appeal pending.
Sec. 13. Registry of advocates.
Sec. 14. Relationship to other laws.
Sec. 15. Transfer of functions.
Sec. 16. Authorization of appropriations.
Sec. 17. State mediation programs.
Sec. 18. Conforming amendments.
Sec. 19. Effective date.

SEC. 2. DEFINITIONS.

    As used in this Act (unless the context clearly requires 
otherwise):
            (1) Adverse decision.--
                    (A) In general.--The term ``adverse decision'' 
                means an administrative decision made by a 
                decisionmaker that is adverse to an appellant, 
                including a denial of equitable relief, except that the 
                term shall not include a decision made by the Board of 
                Contract Appeals with respect to a contract appeal.
                    (B) Failure to issue decision.--The failure of an 
                agency to issue a decision on the request or right of 
                an appellant to participate in, or receive payments, 
                loans, or other benefits in accordance with, any of the 
                programs administered by an agency--
                            (i) shall be considered an adverse decision 
                        if the decision is not issued within a period 
                        prescribed by statute or regulation; or
                            (ii) may be considered an adverse decision 
                        if--
                                    (I) a period is not prescribed by 
                                statute or regulation; or
                                    (II) the decision is not issued 
                                within a reasonable period of time.
            (2) Agency.--The term ``agency'' means--
                    (A) the Agricultural Stabilization and Conservation 
                Service;
                    (B) the Commodity Credit Corporation;
                    (C) the Farmers Home Administration;
                    (D) the Federal Crop Insurance Corporation;
                    (E) the Rural Development Administration;
                    (F) the Soil Conservation Service;
                    (G) a State or county committee established under 
                section 8(b) of the Soil Conservation and Domestic 
                Allotment Act (16 U.S.C. 590h(b)); or
                    (H) a successor to an agency referred to in 
                subparagraphs (A) through (G).
            (3) Appellant.--The term ``appellant'' means any person or 
        entity--
                    (A) whose request or right to participate in, or 
                receive payments, loans, or other benefits in 
                accordance with, any of the programs administered by an 
                agency is affected by an adverse decision made by a 
                decisionmaker; and
                    (B) who appeals the adverse decision in accordance 
                with this Act.
            (4) Case record.--The term ``case record'' means all the 
        materials maintained by the Secretary that concern the 
        appellant, including materials so maintained that are used to 
        make the adverse decision.
            (5) Decisionmaker.--The term ``decisionmaker'' means--
                    (A) an officer or employee of an agency; or
                    (B) in the case of a State or county committee 
                referred to in paragraph (2)(G), the State or county 
                committee,
        who makes an adverse decision that is appealed by an appellant.
            (6) Department.--The term ``Department'' means the United 
        States Department of Agriculture.
            (7) Director.--The term ``Director'' means the Director of 
        the Division.
            (8) Division.--The term ``Division'' means the National 
        Appeals Division established by this Act.
            (9) Employee.--The term ``employee'' means an individual 
        employed by an agency, including an individual who enters into 
        a contract with an agency to perform services for the agency.
            (10) Ex parte communication.--The term ``ex parte 
        communication'' means an oral or written communication not on 
        the public record with respect to which reasonable prior notice 
        to all parties is not given, except that the term shall not 
        include a request for a status report on any matter or 
        proceeding.
            (11) Final determination.--The term ``final determination'' 
        means a determination of an appeal by the Division that is 
        administratively final, conclusive, and binding.
            (12) Final determination notice.--The term ``final 
        determination notice'' means a written determination on an 
        appeal sent to an appellant under paragraph (8) of section 7(b) 
        or subsection (d) or (e)(4) of section 8.
            (13) Function.--The term ``function'' means any duty, 
        obligation, power, authority, responsibility, right, privilege, 
        activity, or program.
            (14) Hearing officer.--The term ``hearing officer'' means 
        an individual employed by the Division who hears and determines 
        appeals.
            (15) Hearing record.--The term ``hearing record'' means the 
        transcript of a hearing, any audio tape or similar recording of 
        a hearing, any information from the case record that a hearing 
        officer considers relevant or that is raised by the appellant 
        or agency, and all documents and other evidence presented to a 
        hearing officer.
            (16) Implement.--The term ``implement'' means to effectuate 
        fully and promptly a final determination of the Division not 
        later than 30 calendar days after the effective date of the 
        final determination specified in section 7(h)(2).
            (17) Participant.--The term ``participant'' means any 
        person whose application for or right to participate in, or 
        receive payments, loans, or other benefits in accordance with, 
        any of the programs administered by an agency is affected by an 
        adverse decision made by a decisionmaker.
            (18) Secretary.--The term ``Secretary'' means the Secretary 
        of Agriculture.
            (19) State director.--The term ``State director'' means the 
        individual who is primarily responsible for carrying out the 
        program of an agency within a State.

SEC. 3. NATIONAL APPEALS DIVISION.

    (a) Establishment.--The Secretary shall establish and maintain a 
National Appeals Division, within the Office of the Secretary, to carry 
out this Act.
    (b) Director.--
            (1) In general.--
                    (A) Appointment.--The Division shall be headed by a 
                Director, appointed by the Secretary from among 
                individuals (including individuals who are attorneys 
                and individuals who are not attorneys) with substantial 
                experience in practicing administrative law. The 
                position of the Director shall be a Senior Executive 
                Service position (as defined in section 3132(a)(2) of 
                title 5, United States Code) that shall be filled by a 
                career appointee (as defined in section 3132(a)(4) of 
                such title) or noncareer appointee (as defined in 
                section 3132(a)(7) of such title).
                    (B) Removal.--The Secretary may only remove the 
                Director for maladministration, malfeasance, neglect of 
                duty, or otherwise in accordance with statutes and 
                regulations governing Federal employee personnel.
            (2) Powers.--
                    (A) In general.--To carry out this Act, the 
                Secretary shall promulgate procedural regulations and 
                policies governing the conduct of the business of the 
                Division consistent with this Act and chapters 5 and 6 
                of title 5, United States Code, including--
                            (i) the conduct of appeals;
                            (ii) the standard of review;
                            (iii) guidelines for the type of evidence 
                        that is necessary to justify an adverse 
                        decision by an agency;
                            (iv) the conduct of reviews of appeals;
                            (v) the appeals process; and
                            (vi) other actions affecting the procedural 
                        rights of appellants.
                    (B) Regulations.--In promulgating regulations under 
                subparagraph (A), the Secretary shall ensure and 
                enhance the independence, integrity, and efficiency of 
                the Division, the Director, hearing officers, and other 
                employees of the Division.
                    (C) Delegation.--The Secretary may delegate the 
                authority of the Secretary to promulgate the 
                regulations to the Director.
                    (D) Appealable decisions.--If a decisionmaker 
                determines that an adverse decision is not appealable 
                and the participant appeals the determination to the 
                Director, the Director shall determine whether the 
                decision is appealable.
            (3) Direction, control, and support.--The Director shall be 
        free from the direction and control of any person other than 
        the Secretary, and shall not receive administrative support 
        (except on a reimbursable basis) from any person other than the 
        Office of the Secretary.
            (4) Level v of executive schedule.--Section 5316 of title 
        5, United States Code, is amended by adding at the end the 
        following:
            ``Director, National Appeals Division, Department of 
        Agriculture.''.
    (c) Legal Counsel.--
            (1) In general.--The Director shall employ legal counsel to 
        advise the Director and hearing officers of the Division with 
        respect to such legal questions as the Director considers 
        appropriate for the Division. A legal counsel shall not serve 
        as a counsel to any other division or agency of the Department.
            (2) Construction.--Paragraph (1) is not intended to affect 
        the role of the Office of General Counsel in representing the 
        Department in civil or criminal actions or as a liaison between 
        the Department and the Department of Justice.
    (d) Director, Hearing Officers, and Other Employees.--
            (1) In general.--The Director shall appoint such hearing 
        officers and other employees as are necessary for the 
        administration of the Division.
            (2) Powers of the director and hearing officers.--To carry 
        out this Act, the Director and hearing officers--
                    (A) shall have access to all records, reports, 
                audits, reviews, documents, papers, recommendations, or 
                other material available that relate to programs and 
                operations with respect to which an appeal has been 
                taken;
                    (B) may request such information or assistance as 
                may be necessary for carrying out the duties and 
                responsibilities established under this Act from any 
                Federal, State, or local governmental agency or unit of 
                the agency;
                    (C) may, or shall at the request of an appellant 
                with good cause shown, require the attendance of 
                witnesses, the production of all information, 
                documents, reports, answers, records, accounts, papers, 
                and other data and documentary evidence necessary to 
                the proper resolution of appeals;
                    (D) may permit testimony to be taken by deposition, 
                if it is inconvenient for a witness to attend a 
                hearing;
                    (E) may, if appropriate, require the attendance of 
                witnesses and production of documentary evidence by 
                subpoena, which subpoena, in the case of contumacy or 
                refusal to obey, shall be enforceable by order of any 
                appropriate United States district court;
                    (F) may administer oaths and affirmations, whenever 
                necessary in the process of hearing appeals; and
                    (G) in the case of the Director, may enter into 
                contracts and other arrangements for reporting and 
                other services and make such payments as may be 
                necessary to carry out this Act.
            (3) Exclusive employment.--An employee of the Division 
        shall have no duties other than those that are necessary to 
        carry out this Act.
            (4) Direction and control.--
                    (A) Hearing officers.--Hearing officers--
                            (i) shall be generally supervised by the 
                        Director; and
                            (ii) shall not receive administrative 
                        support (except on a reimbursable basis) from 
                        offices other than the Division.
                    (B) Other employees.--All other employees of the 
                Division--
                            (i) shall report to the Director; and
                            (ii) shall not be under the direction or 
                        control of, or receive administrative support 
                        (except on a reimbursable basis) from, offices 
                        other than the Division.
            (5) Ex parte communications.--
                    (A) In general.--While a proceeding is in 
                adjudicative status within the Division, except to the 
                extent required for the disposition of ex parte matters 
                as authorized by law--
                            (i) no person not employed by the Division, 
                        and no employee or agent of the Division who 
                        performs investigative or prosecuting functions 
                        in adjudicative proceedings shall make or 
                        knowingly cause to be made to any member of the 
                        Division or to any other employee who is or who 
                        reasonably may be expected to be involved in 
                        the decisional process in the proceeding, an ex 
                        parte communication relevant to the merits of 
                        the proceeding or a factually related 
                        proceeding; and
                            (ii) no member of the Division or any other 
                        employee who is or who reasonably may be 
                        expected to be involved in the decisional 
                        process in the proceeding shall make or 
                        knowingly cause to be made to any person not 
                        employed by the Division, or to any employee or 
                        agent of the Division who performs 
                        investigative or prosecuting functions in 
                        adjudicative proceedings, an ex parte 
                        communication relevant to the merits of the 
                        proceeding or a factually related proceeding.
                    (B) Procedures.--
                            (i) In general.--The Director or any other 
                        employee who is or who may reasonably be 
                        expected to be involved in the decisional 
                        process who receives or who makes or knowingly 
                        causes to be made, a communication prohibited 
                        by subparagraph (A) shall promptly provide to 
                        the Director--
                                    (I) all such written 
                                communications;
                                    (II) memoranda stating the 
                                substance of and circumstances of all 
                                such oral communications; and
                                    (III) all written responses, and 
                                memoranda stating the substance of all 
                                oral responses, to the materials 
                                described in subclauses (I) and (II).
                            (ii) Hearing record.--The Director shall 
                        make relevant portions of any such materials 
                        part of the hearing record, except that the 
                        materials shall not be considered by the 
                        Division as part of the hearing record for 
                        purposes of decision unless introduced into 
                        evidence in the proceeding.
                            (iii) Parties.--The Director shall also 
                        send copies of the materials to or otherwise 
                        notify all parties to the proceeding.
                    (C) Division employees.--The prohibitions of 
                subparagraph (A) shall not apply to a communication 
                between--
                            (i) any member of the Division or any other 
                        employee who is or who reasonably may be 
                        expected to be involved in the decisional 
                        process; and
                            (ii) any employee who has been directed by 
                        the Division or requested by the Division to 
                        assist in the decision of the adjudicative 
                        proceeding, other than an employee who performs 
                        an investigative or prosecuting function in the 
                        proceeding or a factually related proceeding.
    (e) Resources and Personnel.--The Secretary shall ensure that--
            (1) the Division has resources and personnel that are 
        adequate to hear and determine all initial appeals in the State 
        of residence of an appellant on a timely basis and to otherwise 
        carry out this Act; and
            (2) hearing officers, and employees who assist the Director 
        in reviewing appeals and determinations, receive training and 
        retraining adequate for the duties on initial employment and at 
        regular intervals after initial employment.
    (f) Delegation and Review.--The Secretary may not delegate to any 
other person (other than the Director) the authority of the Secretary 
with respect to the Division.
    (g) Reports and Studies.--
            (1) In general.--The Director shall issue such reports, and 
        conduct and provide such studies, to the Secretary and the head 
        of an agency as the Director determines are necessary to 
        identify and resolve problems of the agency with respect to 
        implementation of--
                    (A) statutes, policies, procedures, and regulations 
                of the agency, based on final determinations of the 
                Division; and
                    (B) final determinations of the Division.
            (2) Submission of reports to congress.--Not later than 30 
        days after receipt of the reports, the Secretary shall transmit 
        the reports unaltered to the Committee on Agriculture of the 
        House of Representatives and the Committee on Agriculture, 
        Nutrition, and Forestry of the Senate, together with any report 
        by the Secretary or the relevant agency head containing any 
        comments the Secretary or relevant agency head considers 
        appropriate.
            (3) Availability to public.--The reports and studies 
        referred to in paragraph (1) shall be made available to the 
        public.
    (h) Index of Determinations.--
            (1) In general.--The Director shall develop a subject-
        matter index of all significant final determinations of the 
        Division that are considered by the Director to--
                    (A) be precedential; or
                    (B) otherwise establish a principle that--
                            (i) governs recurring cases with similar 
                        facts;
                            (ii) develops Division policy and 
                        exceptions to the policy in areas in which the 
                        law is unsettled;
                            (iii) deals with important emerging trends; 
                        or
                            (iv) provides examples of the appropriate 
                        resolution of major types of cases not 
                        otherwise indexed.
            (2) Availability to public.--The Director shall publicize 
        the index and make the index and the final determinations so 
        indexed available to the public.
            (3) Public information.--A final determination of the 
        Division shall be subject to the requirements of section 552 of 
        title 5, United States Code.

SEC. 4. NOTICE AND OPPORTUNITY FOR HEARING.

    (a) In General.--Not later than 10 working days after an adverse 
decision affecting a participant, the Secretary shall provide the 
participant with written notice of--
            (1) the decision, including all of the reasons, facts, and 
        conclusions underlying the adverse decision;
            (2) the right of the participant to have an informal 
        hearing or meeting with the decisionmaker on the adverse 
        decision;
            (3) the availability of any State mediation program under 
        section 501 of the Agricultural Credit Act of 1987 (7 U.S.C. 
        5101) to assist the participant in resolving a dispute with the 
        agency that issued the adverse decision;
            (4) the availability of any formal administrative appeals 
        within an agency and any requirement to exhaust the 
        administrative appeals;
            (5) the right of the participant to have a hearing by the 
        Division on the adverse decision not later than 45 calendar 
        days after receipt of the request of the participant for a 
        hearing, except that the Director may establish an earlier 
        deadline for a hearing on an appeal relating to a time 
        sensitive decision, such as a decision relating to a release of 
        normal income security or an operating loan;
            (6) if the decisionmaker asserts that the adverse decision 
        is nonappealable, an opportunity to request a determination by 
        the Director concerning whether an adverse decision is 
        appealable; and
            (7) a description of the procedure to--
                    (A) exhaust all formal administrative appeals 
                within the agency;
                    (B) appeal the adverse decision to the Division 
                (including any deadlines for filing an appeal); and
                    (C) if the decisionmaker asserts that the adverse 
                decision is not appealable, request a determination by 
                the Director of whether the decision is appealable.
    (b) Records.--The Secretary shall maintain all of the materials on 
which an adverse decision is based with respect to a participant at 
least until the expiration of the period during which the participant 
may seek administrative or judicial review of the decision.
    (c) Joinder.--
            (1) In general.--A borrower or applicant who applies for a 
        loan on which a guarantee is requested, or who has received a 
        guaranteed loan, under the Consolidated Farm and Rural 
        Development Act (7 U.S.C. 1921 et seq.) and who is directly and 
        adversely affected by a decision of the Secretary, may appeal 
        the decision under this Act without the lender joining in the 
        appeal.
            (2) Rental housing.--A tenant in rental housing of an 
        agency who is individually, directly and adversely affected by 
        a decision of the Secretary, may appeal the decision under this 
        Act without the landlord joining in the appeal.
            (3) Third parties.--
                    (A) In general.--If appropriate to protect the 
                rights of a participant (other than the appellant) that 
                may be directly, substantially, and adversely affected 
                by a decision of the Division, a hearing officer may 
                invite the participant to participate in a hearing if 
                the final determination resulting from the hearing 
                would, as a practical matter, foreclose the participant 
                from protecting the rights of the participant that may 
                be adversely affected by the final determination.
                    (B) Procedural rights for participants.--If the 
                participant elects to participate in the hearing, the 
                participant shall have the same procedural rights as 
                the appellant with regard to the hearing and other 
                procedures described in this Act.
                    (C) No appeal rights for nonparticipants.--If the 
                participant is invited to participate in a hearing by 
                the hearing officer and the participant elects not to 
                participate in the hearing, the participant may not 
                institute an appeal with respect to the implementation 
                of any final determination resulting from the hearing.
                    (D) Basis for inviting participants.--The decision 
                to invite a participant under subparagraph (A) shall be 
                made at the discretion of the hearing officer taking 
                into account--
                            (i) any request to participate made by the 
                        participant;
                            (ii) any request by the appellant to 
                        include or exclude the participant;
                            (iii) any request by the decisionmaker to 
                        include or exclude the participant;
                            (iv) the opportunity the participant would 
                        have to appeal the decision in a separate 
                        proceeding and whether the appeal would be 
                        adequate to protect the rights of the 
                        participant; and
                            (v) such other factors as may be specified 
                        in regulations issued by the Director.
    (d) Basis for Decisions.--A decisionmaker--
            (1) shall base an adverse decision on the information that 
        is available to the decisionmaker at the time the initial 
        adverse decision is made; and
            (2) may not base any subsequent adverse decision on 
        information that was previously available to the decisionmaker 
        if that information could have been used to support the initial 
        adverse decision.

SEC. 5. INFORMAL HEARINGS AND MEETINGS; APPEALABLE DECISIONS.

    (a) Informal Hearings.--If an officer or employee of the 
Agricultural Stabilization and Conservation Service, Commodity Credit 
Corporation, or Soil Conservation Service makes an adverse decision, 
the appropriate State or county committee established under section 
8(b) of the Soil Conservation and Domestic Allotment Act (16 U.S.C. 
590h(b)), or (if applicable) an officer or employee of the Agricultural 
Stabilization and Conservation Service or the Soil Conservation 
Service, may, at the request of the participant, hold an informal 
hearing on the decision.
    (b) Informal Meetings.--If the Farmers Home Administration or the 
Rural Development Administration makes an adverse decision, the 
decisionmaker may, at the request of the appellant, hold an informal 
meeting with the appellant after the appellant has requested a hearing, 
and before any hearing on the decision of the decisionmaker by the 
Division. At a reasonable time prior to the informal meeting, the 
decisionmaker shall provide to the appellant, and any representative of 
the appellant, access to materials in accordance with section 6(a).
    (c) Appealable Decisions.--In a case described in paragraph (5) or 
(6) of section 4(a), the determination of the Director as to whether an 
adverse decision is appealable shall be administratively final, 
conclusive, and binding.

SEC. 6. ACCESS TO MATERIALS.

    (a) In General.--An appellant shall have the right to have--
            (1) access to all of the materials in the case record, 
        including a reasonable opportunity to inspect and reproduce the 
        record at an office of the agency located in the area of the 
        appellant;
            (2) representation by an attorney or a person who is not an 
        attorney during the inspection and reproduction of records 
        under paragraph (1) and at any informal meeting or hearing or 
        Division hearing; and
            (3) witnesses present at the hearing.
    (b) Charges.--The Secretary may charge an appellant for any 
reasonable costs incurred in the reproduction of records under 
subsection (a)(1).

SEC. 7. HEARINGS.

    (a) Conduct of Hearing.--At a minimum, at a hearing conducted under 
this Act, the appellant shall be given a full opportunity to present 
argument, oral and written evidence, facts, and information relevant to 
the matter at issue.
    (b) Hearings.--
            (1) Timing.--An appellant shall have the right to have a 
        hearing by the Division on an adverse decision not later than 
        45 calendar days after receipt of the request of the 
        participant for a hearing, except that the Director may 
        establish an earlier deadline for a hearing on an appeal 
        relating to a time sensitive decision, such as a decision 
        relating to a release of normal income security or an operating 
        loan.
            (2) De novo hearing.--A hearing before a hearing officer 
        shall be de novo. An appellant shall have a full opportunity to 
        present information relevant to the appeal.
            (3) Hearing officers.--A hearing officer within the 
        Division in a State shall hear and determine a formal appeal of 
        an adverse decision, that is subject to this Act and is made by 
        a county supervisor, county committee, State committee, 
        district director, State director, or other officer or employee 
        of an agency, in a fair and impartial manner and free of undue 
        influence. The determination shall be based on information from 
        the hearing record and the applicable statutes and regulations 
        described in subsection (g).
            (4) Location of hearings.--A hearing shall be held in the 
        State of residence of the appellant or at a location that is 
        otherwise convenient to the appellant and the Division.
            (5) Telephone.--At the request of an appellant, a hearing 
        may be conducted over the telephone.
            (6) Waiver of hearing.--An appellant may waive the right to 
        a hearing on an adverse decision. If an appellant waives the 
        right to a hearing, the hearing officer shall issue a 
        determination based on a review of the case record of the 
        appellant and on information submitted by the appellant or the 
        agency to the hearing officer.
            (7) Burden of proof.--An agency shall bear the burden of 
        justifying an adverse decision of the agency at a hearing, 
        including the burden of proving the justifying evidence and the 
        basis for the decision in statutes and regulations.
            (8) Determination notice.--The hearing officer shall issue 
        a determination notice on the appeal of the adverse decision 
        not later than 30 calendar days after a hearing or after 
        receipt of the request of the appellant to waive a hearing, 
        except that the Director may establish an earlier deadline for 
        a determination notice relating to a time sensitive decision, 
        such as a decision relating to a release of normal income 
        security or an operating loan.
            (9) Review by director.--
                    (A) Referral.--A determination of a hearing officer 
                shall, on request and election of the appellant, be 
                referred to the Director for review.
                    (B) Actions.--Not later than 30 calendar days after 
                the referral to the Director, the Director shall--
                            (i) review the hearing record and the 
                        determination;
                            (ii) uphold the determination, issue a new 
                        determination, require that a new hearing be 
                        held on one or more of the issues considered at 
                        the original hearing, or take any combination 
                        of the actions described in this clause; and
                            (iii) issue a determination notice.
    (c) Production of Record.--
            (1) Verbatim recording.--Each hearing before a hearing 
        officer in the Division shall be recorded verbatim by voice 
        recorder, stenographer, or other method.
            (2) Personal record.--An appellant or agency representative 
        may record a hearing with a voice recorder or stenographer for 
        personal use. A record made under this paragraph shall be 
        excluded from consideration during any review of the 
        determination of the hearing officer.
            (3) Availability to appellant.--A transcript of the 
        hearing, together with a copy of any audio recording of the 
        hearing under paragraph (1) and copies of all documents and 
        evidence submitted, shall be made available to the appellant, 
        on request, if the decision of the hearing officer is appealed.
    (d) Use of Record.--If the decision of a hearing officer is 
appealed, the hearing officer shall certify the hearing record and 
otherwise provide the certified hearing record to the Director. The 
hearing record, and any additional information from any further appeal 
proceedings, shall be retained by the Division at least until the 
expiration of the period during which the appellant may seek judicial 
review of the adverse decision or final determination notice.
    (e) New Information.--
            (1) Hearing.--A hearing officer shall consider information 
        presented at the hearing without regard to whether the evidence 
        was known to the decisionmaker at the time the adverse decision 
        was made. The hearing officer shall leave the record open for a 
        reasonable period of time and allow the submission of 
        information after the hearing to the extent necessary to 
        prevent the appellant or the decisionmaker from being 
        prejudiced by new facts, information, arguments, or evidence 
        presented or raised by the decisionmaker or appellant.
            (2) Review.--The Director may, under extraordinary 
        circumstances, consider new information in reviewing a 
        determination under this section or section 8. An appellant and 
        the decisionmaker shall receive and have the opportunity to 
        comment on the new information. If a determination of a hearing 
        officer is reviewed by the Director, and new information is 
        considered, the hearing officer shall have the opportunity to 
        comment on the new information.
    (f) Findings of Fact.--The Director shall not reverse the 
determination of a hearing officer or the Director under this section 
or section 8 as to a finding of fact that is based on oral testimony or 
inspection of evidence unless--
            (1) the finding of fact is clearly erroneous; or
            (2) the Director is considering new information under 
        subsection (e)(2) with respect to the finding of fact.
    (g) Consideration of Statutes and Regulations.--In considering the 
merits of an appeal, a hearing officer and the Director shall base a 
determination on and consider applicable statutes, and regulations 
published in the Code of Federal Regulations, in effect and available 
to the public on the date the decision appealed from was made. The 
Director shall have the same authority as the Secretary to grant 
equitable relief.
    (h) Finality.--
            (1) In general.--Except as provided in subsection (b) of 
        section 7 and in section 8, the determination of a hearing 
        officer or the Director shall be administratively final, 
        conclusive, and binding on the relevant agency.
            (2) Effective date of final determinations.--A final 
        determination made by the Division under this Act shall be 
        effective as of--
                    (A) in the case of the Agricultural Stabilization 
                Service, the Commodity Credit Corporation, the Federal 
                Crop Insurance Corporation, or the Soil Conservation 
                Service, the date of filing an application or the date 
                of the transaction or event in question, whichever is 
                applicable; and
                    (B) in the case of the Farmers Home Administration, 
                and the Rural Development Administration the date of 
                the original adverse decision.

SEC. 8. ADMINISTRATIVE APPEAL REVIEW.

    (a) Review of Decision of Hearing Officer or Director.--In 
extraordinary circumstances, if an agency head believes that the 
decision of a hearing officer or the Director is contrary to a statute 
or regulation of the agency, the agency head may request (in writing) 
that the Director review the decision of the hearing officer or the 
Director.
    (b) Requests for Review.--
            (1) Timing.--A request for review under subsection (a) 
        shall be made within 10 working days after receipt by the 
        decisionmaker of the decision of the hearing officer or 
        Director. If the relevant agency head fails to make a request 
        for review in accordance with this section, the decision of the 
        hearing officer or the Director shall be administratively final 
        and shall be promptly implemented.
            (2) Contents.--A request for review shall include a full 
        description of--
                    (A) the extraordinary circumstances justifying the 
                request for review; and
                    (B) the reasons that the relevant agency head 
                claims the decision is contrary to applicable statutes 
                or regulations of the relevant agency and the citations 
                for the statutes or regulations.
            (3) Copy to appellant and hearing officer.--A copy of the 
        request shall be provided to the appellant and the hearing 
        officer at the same time the request is provided to the 
        Director. The hearing officer shall immediately forward the 
        case record to the Director on receipt of a copy of the 
        request.
    (c) Timing of Determinations by Director.--On receiving a request 
for review and the case record, the Director shall determine within 5 
working days after receipt whether the request has merit.
    (d) Requests Without Merit.--If the Director determines that the 
request does not have merit, the Director shall notify the relevant 
agency head, the appellant, and the hearing officer, in writing, that 
the determination of the hearing officer or Director is a final 
determination.
    (e) Requests With Merit.--
            (1) In general.--If the Director determines that a request 
        by the relevant agency head has merit, within 10 working days 
        after the receipt of the request for review and receipt of the 
        case record (subject to paragraph (4)), the Director shall--
                    (A)(i) conduct a review of the decision (based on 
                the hearing record), the assertions raised by the 
                relevant agency head in the letter of the relevant 
                agency head requesting an administrative appeal review, 
                any additional argument submitted by the appellant or 
                the hearing officer pursuant to paragraph (2), and (in 
                extraordinary circumstances) any new information 
                submitted by the relevant agency head or the appellant; 
                and
                    (ii) issue a final decision on the appeal; or
                    (B) if the Director determines the hearing record 
                is inadequate, remand the decision for further 
                proceedings to complete the hearing record or, at the 
                option of the Director, to hold a new hearing.
            (2) Opportunity for comment.--In a review conducted under 
        paragraph (1)(A), an appellant and the hearing officer (if the 
        decision being reviewed was made by a hearing officer) shall 
        have the opportunity to--
                    (A) provide written rebuttal to a claim of the 
                relevant agency head, and in extraordinary 
                circumstances provide new information with regard to 
                the review of the Director; and
                    (B) comment in writing with regard to the review.
            (3) New hearing.--If the Director remands a decision to a 
        hearing officer and directs the hearing officer to conduct a 
        new hearing on the decision under paragraph (1)(B), the hearing 
        officer shall make a new determination with respect to the 
        decision based on the case record and the hearing record (as 
        modified on remand).
            (4) Notice of final determination.--The Director shall 
        notify the hearing officer, any relevant agency head, and the 
        appellant, in writing, of the final determination or other 
        disposition of the request for review.
            (5) Extension of deadline.--The period of time for a review 
        may be extended by the Director to the extent that an appellant 
        or hearing officer has requested and received additional time 
        during which to submit arguments, rebuttal, or new information.
            (6) Finality.--Subject to section 9, the determination of 
        the Director shall be administratively final and shall be 
        promptly implemented. The relevant agency may not request a 
        second review as to the determination of the hearing officer or 
        the Director on the same issues.
    (f) Recommendations.--The Director or a hearing officer may include 
recommendations in a final determination notice.

SEC. 9. JUDICIAL REVIEW.

    A final determination of the Division under the process provided 
for in this Act shall be reviewable and enforceable by a United States 
district court of competent jurisdiction in accordance with chapter 7 
of title 5, United States Code.

SEC. 10. IMPLEMENTATION OF FINAL DETERMINATIONS OF DIVISION.

    (a) In General.--Except as provided in sections 7(c) and 8, on the 
return of a case to a State pursuant to the final determination of a 
hearing officer or the Director, the State committee, county committee, 
or employee of the relevant agency shall implement the final 
determination.
    (b) Actions by Relevant Agency Head.--The relevant agency head 
shall correct implementation problems, and shall make available to the 
public a report on the status of implementation of final determinations 
of the relevant agency head that reversed or modified an adverse 
decision of the agency.
    (c) Implementation.--
            (1) State director.--A State director shall be--
                    (A) responsible for reviewing all appeal requests 
                of adverse decisions of the State director or 
                subordinates, prior to hearings, to determine whether 
                the adverse decisions should be modified or withdrawn 
                by the decisionmaker, rather than proceed with the 
                appeals;
                    (B) required to implement final determinations of a 
                hearing officer or the Director that affect appellants 
                in the State; and
                    (C) responsible for monitoring and ensuring the 
                implementation of final determinations that reverse and 
                modify adverse decisions.
            (2) Agency heads.--Relevant agency heads shall be 
        responsible for--
                    (A) the performance of State directors under 
                paragraph (1); and
                    (B) the implementation of all final determinations 
                of the Division that reverse or modify adverse 
                decisions of the agency.
    (d) Protection of Appellants' Rights.--
            (1) In general.--No officer or employee of the Federal 
        Government shall make or engage in threats or intimidation, or 
        solicit action, to prevent any potential appellant from 
        exercising the rights of the appellant under this Act or make, 
        solicit, or engage in retaliation or retribution for the 
        exercise of a right of an appellant under this Act.
            (2) Corrective action.--If an officer or employee of the 
        Federal Government violates paragraph (1), the Secretary shall 
        take corrective action (including the imposition of sanctions, 
        when necessary).
    (e) Implementation Problems.--
            (1) In general.--The Secretary shall assign employees 
        within the Office of the Secretary whom appellants may contact 
        concerning problems with the implementation of final 
        determinations of the Division. The employees shall investigate 
        and, to the extent practicable, resolve the implementation 
        problems.
            (2) Identity of employees.--The Secretary shall notify the 
        Director of the name, business address, and telephone numbers 
        of employees assigned under paragraph (1). The Director shall 
        include this information in the final determination notice of 
        the Director to an appellant.
            (3) Letter to appellant.--Not later than 30 calendar days 
        following the issuance of a final determination, the 
        appropriate assigned employee shall mail a letter to the 
        appellant soliciting confirmation from the appellant that the 
        final determination has been implemented or, if the appellant 
        believes that the decision has not been implemented, a 
        description of the failure to implement the decision.
            (4) Decision not implemented.--If the appellant indicates 
        that the decision has not been implemented, the assigned 
        employee shall immediately undertake to ensure that the final 
        determination is implemented in accordance with this Act.
            (5) Description of implementing steps.--On determining that 
        the final determination has been implemented, the relevant 
        agency head shall provide the appellant and the assigned 
        employee with a description of the steps taken by the relevant 
        agency to implement the final determination.

SEC. 11. EVALUATION OF EMPLOYEES.

    (a) In General.--The Secretary shall promulgate regulations that 
include in an annual review the evaluation of the performance of 
employees and officials of each agency in accordance with subsection 
(b).
    (b) Performance.--As part of the review and evaluation, a 
decisionmaker, a State director, or the relevant agency head shall be 
considered to have performed poorly if the decisionmaker, State 
director, or relevant agency head--
            (1) takes action that leads to numerous appeals that result 
        in--
                    (A) adverse decisions that are reversed or 
                modified; or
                    (B) administrative appeal reviews that are 
                determined to not have merit by the Division;
            (2) fails to properly implement decisions;
            (3) fails to satisfactorily perform the reviewing and 
        monitoring responsibilities required under section 10(c); or
            (4) threatens or intimidates, or engages in retaliation or 
        retribution against, an appellant in violation of section 
        10(d).
    (c) Sanctions.--If a decisionmaker, State director, or relevant 
agency head has performed poorly (as described in subsection (b) or 
paragraph (2) or (4) of subsection (d)), the Secretary shall issue 
sanctions against the decisionmaker, State director, or relevant agency 
head, respectively, which may include a formal reprimand or dismissal.
    (d) Evaluations.--
            (1) In general.--The Director shall establish policies 
        that, with regard to the hearing and determinations of appeals, 
        provide for the evaluation of hearing officers, the Director, 
        and other employees involved in the review of appeals and 
        determinations or supervision of employees of the Division, or 
        both, by parties outside the Department, which may include 
        peers. The policies shall be made available to the public.
            (2) Process.--The evaluation process shall ensure and 
        enhance the independence, integrity, and efficiency of the 
        employees and the Director.
            (3) Consultation.--The policies shall be developed in 
        consultation with the Administrative Conference of the United 
        States, appropriate organizations of administrative law judges, 
        the Director of the Office of Personnel Management, the 
        Judicial College located at the University of Nevada at Reno, 
        and hearing officers.
    (e) Basis for Reversals.--In conducting the evaluation of the 
number of appeals decided against the decisionmaker, the Secretary 
should consider mitigating circumstances, such as whether the reversal 
was based solely on--
            (1) new information not previously available to the 
        decisionmaker;
            (2) erroneous advice from a superior to the decisionmaker;
            (3) published agency interpretations or procedures that 
        were determined to be invalid by the Division; or
            (4) the failure of a superior to provide clear instructions 
        to the decisionmaker.

SEC. 12. PROHIBITION ON ADVERSE ACTION WHILE APPEAL PENDING.

    (a) In General.--The Secretary may not take an adverse action 
against an appellant relating to an appeal while any proceeding 
authorized or required under this Act is pending. In particular, the 
Secretary may not take any action that would prevent the implementation 
of a final determination in favor of the appellant.
    (b) Withholding.--This section shall not preclude the Secretary 
from withholding a payment if the eligibility for, or amount of, the 
payment is an issue on appeal, except that ongoing assistance to 
existing borrowers and grantees shall not be discontinued pending the 
outcome of an appeal.

SEC. 13. REGISTRY OF ADVOCATES.

    (a) In General.--The Director shall establish a registry consisting 
of individuals (including individuals who are attorneys and individuals 
who are not attorneys) who are available to represent appellants during 
the appeals process and who apply to the Director to be included in the 
registry.
    (b) Use of Registry.--The Director shall provide information 
contained in the registry to an appellant upon request. The Director 
may not recommend individuals included in the registry.

SEC. 14. RELATIONSHIP TO OTHER LAWS.

    (a) Other Rights.--This Act is not intended to supersede or deprive 
a recipient of assistance from the relevant agency of any rights that 
the recipient may have under any other law, including section 510(g) of 
the Housing Act of 1949 (42 U.S.C. 1480(g)).
    (b) Equitable Relief.--This Act is not intended to affect the 
authority of an agency head to grant equitable relief.

SEC. 15. TRANSFER OF FUNCTIONS.

    (a) In General.--There are transferred to the Division established 
by this Act all functions exercised before the effective date of this 
Act (including all related functions of any officer or employee) of or 
relating to--
            (1) the National Appeals Division established by section 
        426(c) of the Agricultural Act of 1949 (7 U.S.C. 1433e(c)) (in 
        effect before the amendment made by section 18(a)(3));
            (2) the National Appeals Division established by 
        subsections (d) through (g) of section 333B of the Consolidated 
        Farm and Rural Development Act (7 U.S.C. 1983b) (in effect 
        before the amendment made by section 18(b)(1));
            (3) appeals of decisions made by the Federal Crop Insurance 
        Corporation; and
            (4) appeals of decisions made by the Soil Conservation 
        Service.
    (b) Construction.--
            (1) In general.--If other provisions of this Act or law 
        conflict with this section, the other provisions of this Act or 
        law shall apply.
            (2) Transfer of functions only.--This section applies only 
        to and during the transfer of functions in accordance with 
        subsection (a).
    (c) Determinations of Certain Functions.--If necessary, the 
Secretary shall make any determination of the functions that are 
transferred under this section.
    (d) Personnel Provisions.--
            (1) Appointments.--
                    (A) In general.--Except as provided in section 3, 
                the Secretary may appoint and fix the compensation of 
                such officers and employees (including investigators 
                and attorneys) as may be necessary to carry out the 
                respective functions transferred under this section.
                    (B) Civil service.--Except as otherwise provided by 
                law, the officers and employees shall be appointed in 
                accordance with the civil service laws and the 
                compensation of the officers and employees fixed in 
                accordance with title 5, United States Code.
            (2) Experts and consultants.--
                    (A) In general.--To carry out this section, the 
                Secretary may obtain the services of experts and 
                consultants in accordance with section 3109 of title 5, 
                United States Code, and compensate the experts and 
                consultants for each day (including travel time) at 
                rates not in excess of the rate of pay for level IV of 
                the Executive Schedule under section 5315 of such 
                title.
                    (B) Travel expenses.--To carry out this section, 
                the Secretary may pay experts and consultants who are 
                serving away from their homes or regular places of 
                business travel expenses and per diem in lieu of 
                subsistence at rates authorized by sections 5702 and 
                5703 of such title for persons in Government service 
                employed intermittently.
    (e) Delegation and Assignment.--
            (1) In general.--Except if otherwise expressly prohibited 
        by law or otherwise provided by this Act, the Secretary may 
        delegate any of the functions transferred by this section and 
        any function transferred or granted after the effective date of 
        this Act to such officers and employees of the Department as 
        the Secretary may designate, and may authorize successive 
        redelegations of the functions as may be necessary or 
        appropriate.
            (2) Continuing responsibility.--No delegation of functions 
        by the Secretary under this section or under any other 
        provision of this section is intended to relieve the Secretary 
        of responsibility for the administration of the functions.
    (f) Rules.--The Secretary is authorized to prescribe, in accordance 
with chapters 5 and 6 of title 5, United States Code, such rules and 
regulations as the Secretary determines necessary or appropriate to 
administer and manage the functions of the Department.
    (g) Transfer and Allocations of Appropriations and Personnel.--
            (1) In general.--Except as otherwise provided in this 
        subsection, employee positions, assets, liabilities, contracts, 
        property, records, unexpended balances of appropriations, 
        authorizations, allocations, and other funds employed, used, 
        held, arising from, available to, or to be made available in 
        connection with functions transferred by this section, subject 
        to section 1531 of title 31, United States Code, shall be 
        transferred in accordance with this section.
            (2) Use of funds.--Unexpended funds transferred pursuant to 
        this section shall be used only for the purposes for which the 
        funds were originally authorized and appropriated.
    (h) Incidental Transfers.--
            (1) In general.--The Secretary, at such time as the 
        Secretary shall provide, is authorized to make such 
        determinations as may be necessary with regard to the functions 
        transferred by this section, and to make such additional 
        incidental dispositions of personnel, assets, liabilities, 
        grants, contracts, property, records, and unexpended balances 
        of appropriations, authorizations, allocations, and other funds 
        held, used, arising from, available to, or to be made available 
        in connection with the functions, as may be necessary to carry 
        out this section.
            (2) Termination of affairs.--The Secretary shall provide 
        for the termination of the affairs of all entities terminated 
        by this section and for such further measures and dispositions 
        as may be necessary to effectuate the purposes of this section.
    (i) Savings Provisions.--
            (1) Continuing effect of legal documents.--An order, 
        determination, rule, regulation, permit, agreement, grant, 
        contract, certificate, license, registration, privilege, or 
        other administrative action--
                    (A) that has been issued, made, granted, or allowed 
                to become effective by the President, any Federal 
                agency or official of a Federal agency, or by a court 
                of competent jurisdiction, in the performance of 
                functions that are transferred under this section; and
                    (B) that is in effect at the time this section 
                takes effect, or was final before the effective date of 
                this section and is to become effective on or after the 
                effective date of this section,
        shall continue in effect according to the terms of the action 
        until modified, terminated, superseded, set aside, or revoked 
        in accordance with law by the President, the Secretary or other 
        authorized official, a court of competent jurisdiction, or by 
        operation of law.
            (2) Proceedings not affected.--Nothing in this subsection 
        is intended to prohibit the discontinuance or modification of a 
        proceeding under the same terms and conditions and to the same 
        extent that the proceeding could have been discontinued or 
        modified if this section had not been enacted.
            (3) Suits not affected.--This section is not intended to 
        affect a suit commenced before the effective date of this 
        section. In the suit, a proceeding shall be had, an appeal 
        taken, and a judgment rendered in the same manner and with the 
        same effect as if this section had not been enacted.
            (4) Nonabatement of actions.--No suit, action, or other 
        proceeding commenced by or against a transferred office, or by 
        or against any individual in the official capacity of the 
        individual as an officer of a transferred office, shall abate 
        by reason of the enactment of this section.
    (j) Separability.--If a provision of this section or the 
application of this section to any person or circumstance is held 
invalid, neither the remainder of this section nor the application of 
the provision to other persons or circumstances shall be affected.
    (k) Transition.--The Secretary is authorized to utilize--
            (1) the services of the officers, employees, and other 
        personnel of a transferred office with respect to functions 
        transferred by this section; and
            (2) funds appropriated to the functions for such period of 
        time as may reasonably be needed to facilitate the orderly 
        implementation of this section.
    (l) References.--Each reference in any other Federal law, Executive 
order, rule, regulation, or delegation of authority, or any document of 
or relating to--
            (1) the head of a transferred office with regard to 
        functions transferred under this section shall be deemed to 
        refer to the head of the office to which the functions are 
        transferred; and
            (2) a transferred office with regard to functions 
        transferred under this section shall be deemed to refer to the 
        office to which the functions are transferred.
    (m) Additional Conforming Amendments.--Not later than 180 days 
after the effective date of this section, if the Secretary determines 
(after consultation with the appropriate committees of Congress and the 
Director of the Office of Management and Budget) that additional 
technical and conforming amendments to Federal statutes are necessary 
to carry out the changes made by this section, the Secretary shall 
prepare and submit to Congress recommended legislation containing the 
amendments.

SEC. 16. AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated such sums as are necessary 
to carry out this Act for fiscal year 1993, and each subsequent fiscal 
year.

SEC. 17. STATE MEDIATION PROGRAMS.

    (a) Qualifying States.--Section 501 of the Agricultural Credit Act 
of 1987 (7 U.S.C. 5101) is amended--
            (1) by striking ``agricultural loan'' each place it 
        appears; and
            (2) in subsection (c)--
                    (A) in paragraph (1)--
                            (i) by striking ``and their creditors,'' 
                        and inserting ``their creditors, and (with 
                        respect to other than agricultural loan 
                        matters) the Department of Agriculture,''; and
                            (ii) by striking ``an agricultural'' and 
                        inserting ``the agricultural''; and
                    (B) in paragraph (5), by inserting before 
                ``receive'' the following: ``, and all persons directly 
                affected by actions of the Department of Agriculture 
                involving wetlands determinations, farm program 
                compliance, disputes between farmers and their 
                creditors, rural water loan programs, grazing on 
                national forest lands, and pesticides,''.
    (b) Participation of Federal Agencies.--Section 503 of such Act (7 
U.S.C. 5103) is amended--
            (1) by striking ``agricultural loan'' each place the term 
        appears; and
            (2) in subsection (a)(1)--
                    (A) in the matter preceding subparagraph (A), by 
                striking ``that makes, guarantees, or insures 
                agricultural loans'';
                    (B) in each of subparagraphs (A) and (B), by 
                inserting ``, in any matter involving agricultural 
                loans'' before the semicolon; and
                    (C) in subparagraph (B), by striking ``, on the 
                date of the enactment of this Act,''.
    (c) Report.--Subtitle A of title V of such Act (7 U.S.C. 5101 et 
seq.) is amended by adding at the end the following new section:

``SEC. 507. REPORT ON EXPANDED STATE MEDIATION PROGRAMS.

    ``Not later than 2 years after the date of the enactment of this 
section, the Secretary of Agriculture shall report to the Congress on 
the matters described in section 505 with respect to all State 
mediation programs receiving matching grants under this subtitle.''.
    (d) Conforming Amendments.--
            (1) Waiver of farm credit mediation rights by borrowers.--
        Section 4.14E of the Farm Credit Act of 1971 (12 U.S.C. 2202e) 
        is amended by striking ``agricultural loan''.
            (2) Waiver of fmha mediation rights by borrowers.--Section 
        358 of the Consolidated Farm and Rural Development Act (7 
        U.S.C. 2006) is amended by striking ``agricultural loan''.

SEC. 18. CONFORMING AMENDMENTS.

    (a) ASCS.--
            (1) Finality of farmers payments and loans.--Section 385 of 
        the Agricultural Act of 1938 (7 U.S.C. 1385) is amended--
                    (A) by striking the first sentence; and
                    (B) by striking ``such payment'' the first place it 
                appears and inserting ``payment under the Soil 
                Conservation Act (16 U.S.C. 590a et seq.), payment 
                under the wheat, feed grain, upland cotton, extra long 
                staple cotton, and rice programs authorized by the 
                Agricultural Act of 1949 (7 U.S.C. 1421 et seq.) and 
                this Act, loan, or price support operation, or the 
                amount thereof,''.
            (2) Determinations by secretary.--Section 412 of the 
        Agricultural Act of 1949 (7 U.S.C. 1429) is repealed.
            (3) Appeals.--Section 426 of the Agricultural Act of 1949 
        (7 U.S.C. 1433e) is amended to read as follows:

``SEC. 426. APPEALS.

    ``(a) Definitions.--As used in this section:
            ``(1) ASCS.--The term `ASCS' means the Agricultural 
        Stabilization and Conservation Service, or any successor agency 
        in the United States Department of Agriculture.
            ``(2) County committee.--The term `county committee' means 
        a county committee established under section 8(b) of the Soil 
        Conservation and Domestic Allotment Act (16 U.S.C. 590h(b)).
            ``(3) National appeals division.--The term `National 
        Appeals Division' means the National Appeals Division 
        established in accordance with section 3 of the USDA National 
        Appeals Division Act of 1993.
            ``(4) State committee.--The term `State committee' means a 
        State committee established under section 8(b) of the Soil 
        Conservation and Domestic Allotment Act (16 U.S.C. 590h(b)).
    ``(b) Right To Appeal.--Any participant in any of the programs 
under this Act or any other Act administered by ASCS shall have the 
right to appeal to the National Appeals Division any adverse 
determination made by any State committee or county committee, by 
employees or agents of the committees, by other personnel of the ASCS, 
or by agents of the Commodity Credit Corporation, under this Act or 
under any other Act administered by the ASCS.
    ``(c) Appeal Procedure.--
            ``(1) In general.--The appeal shall be made in accordance 
        with the USDA National Appeals Division Act of 1993 (including 
        section 5 of such Act) and this section.
            ``(2) Conditions of appeal.--Any participant who believes 
        that a proper determination has not been made with respect to 
        the implementation of any program administered by the ASCS 
        concerning the participant may appeal the determination as 
        follows:
                    ``(A) If the determination was rendered by a county 
                committee, the participant may appeal the determination 
                to the applicable State committee.
                    ``(B) If the determination was rendered by a State 
                committee, the participant may appeal the determination 
                to the National Appeals Division.
                    ``(C) If the determination was rendered by any 
                other employee or agent of the ASCS or the Commodity 
                Credit Corporation, the participant may appeal the 
                determination to the National Appeals Division.
                    ``(D) ASCS may reverse or modify a decision made by 
                a State committee or county committee at any time prior 
                to commencement of the appeal of an appellant to the 
                National Appeals Division, except that nothing in this 
                subparagraph is intended to affect a procedure of a 
                State committee or county committee.
    ``(d) Court Review.--A final decision of the Department of 
Agriculture under the process provided for in this section shall be 
reviewable by a United States district court of competent jurisdiction.
    ``(e) Participant.--For the purposes of this section, the term 
`participant' means any person whose right to participate in, or 
receive payments or other benefits in accordance with, any of the 
programs under this Act or any other Act administered by the ASCS is 
adversely affected by a determination of any State committee or county 
committee, by employees or agents of the committees, by other personnel 
of the ASCS, or by agents of the Commodity Credit Corporation under 
this Act or under any other Act administered by the ASCS.
    ``(f) Decisions of State and County Committees.--
            ``(1) Finality.--All decisions of a State or county 
        committee, or employee of the committee, made in good faith in 
        the absence of misrepresentation, false statement, fraud, or 
        willful misconduct shall be final, unless such decisions are 
        (not later than 90 days after the date of issuance of the 
        decision) appealed under this section or modified under 
        subsection (c)(2)(D).
            ``(2) Recovery of amounts.--No action shall be taken to 
        recover amounts found to have been disbursed thereon in error 
        unless the participant had reason to believe that the decision 
        was erroneous.
    ``(g) Regulations.--The Secretary shall issue such regulations as 
are determined necessary to implement this section, including 
regulations governing the conduct of appeals made before State 
committees and county committees.''.
    (b) FmHA.--
            (1) National appeals division.--Section 333B of the 
        Consolidated Farm and Rural Development Act (7 U.S.C. 1983b) is 
        amended by striking subsections (d) through (g).
            (2) Lease or purchase agreements.--Section 335(e)(9) of 
        such Act (7 U.S.C. 1985(e)(9)) is amended by inserting after 
        ``appealable under'' the following: ``the USDA National Appeals 
        Division Act of 1993 (including section 5 of such Act) and''.
            (3) Homestead property.--The second sentence of section 
        352(c)(3) of such Act (7 U.S.C. 2000(c)(3)) is amended by 
        inserting after ``described in'' the following: ``the USDA 
        National Appeals Division Act of 1993 (including section 5 of 
        such Act) or''.
            (4) Debt restructuring and loan servicing.--Section 353 of 
        such Act (7 U.S.C. 2001) is amended--
                    (A) in subsection (h), by inserting after ``filed 
                under'' the following: ``the USDA National Appeals 
                Division Act of 1993 and''; and
                    (B) in the first sentence of subsection (j), by 
                inserting after ``under'' the following: ``the USDA 
                National Appeals Division Act of 1993 and''.
    (c) FCIC.--
            (1) Claims for losses.--The last sentence of section 508(f) 
        of the Federal Crop Insurance Act (7 U.S.C. 1508(f)) is amended 
        by inserting before the period at the end the following: ``or 
        within 1 year after the claimant receives a final determination 
        notice from an administrative appeal made in accordance with 
        the USDA National Appeals Division Act of 1993, whichever is 
        later''.
            (2) Appeals.--Section 508 of such Act is amended by adding 
        at the end the following new subsection:
    ``(n) Appeals.--Any participant (as defined in section 2(16) of the 
USDA National Appeal Division Act of 1993) under this Act shall have 
the right to appeal to the National Appeals Division established in 
accordance with section 3 of the USDA National Appeals Division Act of 
1993 any adverse determination made by the Corporation. The appeal 
shall be made in accordance with such Act.''.

SEC. 19. EFFECTIVE DATE.

    (a) In General.--Except as provided in subsections (b) and (c), 
this Act and the amendments made by this Act shall become effective on 
the earlier of--
            (1) the date that is 180 days after the date of enactment 
        of this Act; or
            (2) the date the Director issues final regulations pursuant 
        to subsection (b).
    (b) Regulations.--The Director shall--
            (1) not later than 90 days after the date of enactment of 
        this Act, promulgate proposed regulations to implement this Act 
        and the amendments made by this Act, in a manner consistent 
        with provisions of section 553 of title 5, United States Code, 
        permitting public comment;
            (2) issue final regulations to implement this Act and the 
        amendments made by this Act, not later than October 1, 1993, or 
        180 days after the date of enactment of this Act, whichever is 
        later; and
            (3) issue final regulations--
                    (A) providing for the transfer of all pending 
                appeals within the jurisdiction of agencies referred to 
                in section 2(2) to the Division on the effective date 
                prescribed in subsection (a);
                    (B) providing for the transfer of case records with 
                respect to the appeals; and
                    (C) otherwise providing for the orderly transfer of 
                all pending appeals and reviews from the agencies to 
                the Division.
    (c) Implementation; Protection of Appellants' Rights.--Subsections 
(c) and (d) of section 10 shall become effective on the date of 
enactment of this Act.

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