II

106TH CONGRESS

1ST SESSION S. 839

To restore and improve the farmer owned reserve program.

IN THE SENATE OF THE UNITED STATES

APRIL 20, 1999

Mr. KERREY (for himself, Mr. HARKIN, Mr. DASCHLE, Mr. CONRAD, and Mr.

JOHNSON) introduced the following bill; which was read twice and referred to the Committee on Agriculture, Nutrition, and Forestry

A BILL

To restore and improve the farmer owned reserve program.

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

3 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘Farmer Owned Re5 serve Restoration Act of 1999’’.

6 SEC. 2. RESTORATION OF FARMER OWNER RESERVE PRO7 GRAM.

8 (a) IN GENERAL.—Section 171(b)(1) of the Agricul9 tural Market Transition Act (7 U.S.C. 7301(b)(1)) is

10 amended—

11 (1) by striking subparagraph (E); and
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1 (2) by redesignating subparagraphs (F)

2 through (L) as subparagraphs (E) through (K),

3 respectively.

4 (b) CONFORMING AMENDMENTS.—Section 110 of the

5 Agricultural Act of 1949 (7 U.S.C. 1445e) is amended—

6 (1) in subsection (b), by striking ‘‘this title’’

7 each place it appears in paragraphs (1) and (2) and

8 inserting ‘‘subtitle C of the Agricultural Market

9 Transition Act (7 U.S.C. 7231 et seq.)’’; and

10 (2) in subsections (n) and (p), by striking

11 ‘‘1990’’ each place it appears and inserting ‘‘1999’’.

12 SEC. 3. INTEREST CHARGES.

13 Section 110(c) of the Agricultural Act of 1949 (7

14 U.S.C. 1445e(c)) is amended—

15 (1) in paragraph (1), by striking ‘‘105 percent

16 of the then current established price for the com17 modity’’ and inserting ‘‘150 percent of the loan rate

18 for the commodity under this section’’; and

19 (2) in paragraph (2), by striking ‘‘105 percent

20 of the established price for the commodities’’ and in21 serting ‘‘150 percent of the loan rate for the com22 modity under this section’’.
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1 SEC. 4. STORAGE PAYMENTS.

2 Section 110(d) of the Agricultural Act of 1949 (7

3 U.S.C. 1445e(d)) is amended by striking paragraphs (2)

4 and (3) and inserting the following:

5 ‘‘(2) TIMING.—The Secretary shall make stor6 age payments available to participants in this

7 program—

8 ‘‘(A) at the end of each quarter; or

9 ‘‘(B) at the option of the Secretary, not

10 more than 1 year in advance of the date the

11 payments would otherwise be payable under

12 subparagraph (A).

13 ‘‘(3) DURATION.—The Secretary shall cease

14 making storage payments whenever the price of

15 wheat or feed grains is equal to or exceeds 140 per16 cent of loan rate for the commodities under this sec17 tion, and for any 90-day period immediately fol18 lowing the last day on which the price of wheat or

19 feed grains was equal to or in excess of 140 percent

20 of the loan rate for the commodities under this sec21 tion.’’.

22 SEC. 5. QUANTITY OF COMMODITIES IN PROGRAM.

23 Section 110(f) of the Agricultural Act of 1949 (7

24 U.S.C. 1445e(f)) is amended—
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1 (1) in paragraph (1), by striking ‘‘less than 300

2 million bushels, nor more than 450 million bushels’’

3 and inserting ‘‘more than 300,000,000 bushels’’; and

4 (2) in paragraph (2), by striking ‘‘less than 600

5 million bushels, nor more than 900 million bushels’’

6 and inserting ‘‘more than 1,000,000,000 bushels’’.

7 SEC. 6. WITHDRAWAL OF WHEAT AND FEED GRAINS.

8 Section 110 of the Agricultural Act of 1949 (7 U.S.C.

9 1445e) is amended by striking subsection (h) and insert10 ing the following:

11 ‘‘(h) WITHDRAWAL OF WHEAT AND FEED GRAINS.—

12 In the case of a producer that has wheat or feed grains

13 stored under this section, if the price of wheat or feed

14 grains is—

15 ‘‘(1) less than 130 percent of the loan rate for

16 wheat or feed grains, respectively, under this section,

17 the producer may not withdraw the wheat or feed

18 grains from storage;

19 ‘‘(2) at least 130 percent, but less than 140

20 percent, of the loan rate for wheat or feed grains,

21 respectively, under this section, the producer may—

22 ‘‘(A) withdraw the wheat or feed grains

23 from storage and repay any loan made for

24 wheat or feed grains under this section; or
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1 ‘‘(B) continue to store the wheat or feed

2 grains under this section and receive storage

3 payments for the wheat or feed grains under

4 subsection (d);

5 ‘‘(3) at least 140 percent, but less than 150

6 percent, of the loan rate for wheat or feed grains,

7 respectively, under this section, the producer may

8 continue to store the wheat or feed grains under this

9 section, but shall not be eligible for storage pay10 ments for the wheat or feed grains under subsection

11 (d); or

12 ‘‘(4) 150 percent or more of the loan rate for

13 wheat or feed grains, respectively, under this section,

14 the producer shall withdraw the wheat or feed grains

15 from storage under this section and repay any loan

16 made for wheat or feed grains under this section.’’.

Æ