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‘‘(2) permit a producer to seek relief in a small 
claims court in lieu of arbitration for disputes or 
claims within the jurisdiction of a small claims 
court, despite the existence of an arbitration agree-
ment; and 
‘‘(3) require any person appointed or to be ap-
pointed as an arbitrator to disclose any circumstance 
likely to raise doubt as to the arbitrator’s impar-
tiality.’’. 
SEC. 11103. STATE-INSPECTED MEAT AND POULTRY. 
(a) REVIEW OF STATE MEAT AND POULTRY INSPEC-
TION PROGRAMS.— 
(1) REPORT.—Not later than 30 days after the 
date of the enactment of this Act, the Secretary of 
Agriculture shall submit to Congress a report con-
taining the results of a review by the Secretary of 
each State meat and poultry inspection program. 
Such report shall include— 
(A) a determination of the effectiveness of 
each State meat and poultry inspection pro-
gram; and 
(B) an identification of changes that are 
necessary to enable future transition to a State 
program of enforcing Federal inspection re-
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quirements as described in the amendments 
made by subsections (b) and (c). 
(2) AUTHORIZATION OF APPROPRIATIONS.— 
(A) IN GENERAL.—There are authorized to 
be appropriated such sums as are necessary to 
carry out this section. 
(B) AVAILABLE FUNDS.—Notwithstanding 
any other provision of law, only funds specifi-
cally appropriated under subparagraph (A) may 
be used to carry out this subsection. 
(b) STATE MEAT INSPECTION PROGRAMS.— 
(1) IN
GENERAL.—Title III of the Federal 
Meat Inspection Act (21 U.S.C. 661 et seq.) is 
amended to read as follows: 
‘‘TITLE III—STATE MEAT 
INSPECTION PROGRAMS 
‘‘SEC. 301. POLICY AND FINDINGS. 
‘‘(a) POLICY.—It is the policy of Congress to protect 
the public from meat and meat food products that are 
adulterated or misbranded and to assist in efforts by State 
and other government agencies to accomplish that policy. 
‘‘(b) FINDINGS.—Congress finds that— 
‘‘(1) the goal of a safe and wholesome supply 
of meat and meat food products throughout the 
United States would be better served if a consistent
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set of requirements, established by the Federal Gov-
ernment, were applied to all meat and meat food 
products, whether produced under State inspection 
or Federal inspection; 
‘‘(2) under such a system, State and Federal 
meat inspection programs would function together to 
create a seamless inspection system to ensure food 
safety and inspire consumer confidence in the food 
supply in interstate commerce; and 
‘‘(3) such a system would ensure the viability of 
State meat inspection programs, which should help 
to foster the viability of small establishments. 
‘‘SEC. 302. APPROVAL OF STATE MEAT INSPECTION PRO-
GRAMS. 
‘‘(a) IN GENERAL.—Notwithstanding any other pro-
vision of this Act, the Secretary may approve a State meat 
inspection program and allow the shipment in commerce 
of carcasses, parts of carcasses, meat, and meat food prod-
ucts inspected under the State meat inspection program 
in accordance with this title. 
‘‘(b) ELIGIBILITY.— 
‘‘(1) IN GENERAL.—To receive or maintain ap-
proval from the Secretary for a State meat inspec-
tion program in accordance with subsection (a), a 
State shall—
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‘‘(A) implement a State meat inspection 
program that enforces the mandatory ante-
mortem and postmortem inspection, reinspec-
tion, sanitation, and related Federal require-
ments of titles I, II, and IV (including the regu-
lations, directives, notices, policy memoranda, 
and other regulatory requirements issued under 
those titles); and 
‘‘(B) enter into a cooperative agreement 
with the Secretary in accordance with sub-
section (c). 
‘‘(2) ADDITIONAL REQUIREMENTS.— 
‘‘(A) IN GENERAL.—In addition to the re-
quirements described in paragraph (1), a State 
meat inspection program reviewed in accord-
ance with section 11103(a) of the Farm, Nutri-
tion, and Bioenergy Act of 2007 shall imple-
ment, not later than 180 days after the date on 
which the report is submitted under subsection 
(b) of such section, all recommendations from 
the review, in a manner approved by the Sec-
retary. 
‘‘(B) REVIEW OF NEW STATE MEAT IN-
SPECTION PROGRAMS.—
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‘‘(i) 
REVIEW
REQUIREMENT.—Not 
later than one year after the date on which 
the Secretary approves a new State meat 
inspection program, the Secretary shall 
conduct a review of the new State meat in-
spection program, which shall include— 
‘‘(I) a determination of the effec-
tiveness of the new State meat inspec-
tion program; and 
‘‘(II) identification of changes 
necessary to ensure enforcement of 
Federal inspection requirements. 
‘‘(ii) 
IMPLEMENTATION
REQUIRE-
MENTS.—In addition to the requirements 
described in paragraph (1), to continue to 
be an approved State meat inspection pro-
gram, a new State meat inspection pro-
gram shall implement all recommendations 
from the review conducted in accordance 
with this subparagraph, in a manner ap-
proved by the Secretary. 
‘‘(iii) DEFINITION
OF
NEW
STATE 
MEAT INSPECTION PROGRAM.—In this sub-
paragraph, the term ‘new State meat in-
spection program’ means a State meat in-
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spection program that is not approved in 
accordance with subsection (a) between the 
effective date of the Farm, Nutrition, and 
Bioenergy Act of 2007 and the date that 
is one year after the effective date of such 
Act. 
‘‘(c) COOPERATIVE AGREEMENT.—Notwithstanding 
chapter 63 of title 31, United States Code, the Secretary 
may enter into a cooperative agreement with a State 
that— 
‘‘(1) establishes the terms governing the rela-
tionship between the Secretary and the State meat 
inspection program; 
‘‘(2) provides that the State will adopt (includ-
ing adoption by reference) provisions identical to ti-
tles I, II, and IV (including the regulations, direc-
tives, notices, policy memoranda, and other regu-
latory requirements issued under those titles); 
‘‘(3) provides that State-inspected and passed 
meat and meat food products shall be marked with 
a mark of State inspection, which shall be deemed 
to be an official mark, in accordance with require-
ments issued by the Secretary; 
‘‘(4) provides that the State will comply with all 
labeling requirements issued by the Secretary gov-
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erning meat and meat food products inspected under 
the State meat inspection program; 
‘‘(5) provides that the Secretary shall have au-
thority— 
‘‘(A) to detain and seize livestock, car-
casses, parts of carcasses, meat, and meat food 
products under the State meat inspection pro-
gram; 
‘‘(B) to obtain access to facilities, records, 
livestock, carcasses, parts of carcasses, meat, 
and meat food products of any person, firm, or 
corporation that slaughters, processes, handles, 
stores, transports, or sells meat or meat food 
products inspected under the State meat inspec-
tion program to determine compliance with this 
Act (including the regulations issued under this 
Act); and 
‘‘(C) to direct the State to conduct any ac-
tivity authorized to be conducted by the Sec-
retary under this Act (including the regulations 
issued under this Act); and 
‘‘(6) includes such other terms as the Secretary 
determines to be necessary to ensure that the ac-
tions of the State and the State meat inspection pro-
gram are consistent with this Act (including the reg-
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ulations, directives, notices, policy memoranda, and 
other regulatory requirements issued under this 
Act). 
‘‘(d) RESTRICTION ON ESTABLISHMENT SIZE.—After 
the date that is 90 days after the effective date of the 
Farm, Nutrition, and Bioenergy Act of 2007, establish-
ments with more than 50 employees may not be accepted 
into a State meat inspection program. Any establishment 
that is subject to state inspection on such date, may re-
main subject to State inspection. 
‘‘(e) REIMBURSEMENT OF STATE COSTS.—The Sec-
retary may reimburse a State for not more than 50 per-
cent of the State’s costs of meeting the Federal require-
ments for the State meat inspection program. 
‘‘(f) SAMPLING.—A duly authorized representative of 
the Secretary shall be afforded access to State inspected 
establishments to take reasonable samples of the inventory 
of such establishments upon payment of the fair market 
value therefor. 
‘‘(g) NONCOMPLIANCE.—If the Secretary determines 
that a State meat inspection program does not comply 
with this title or the cooperative agreement under sub-
section (c), the Secretary shall take such action as the Sec-
retary determines to be necessary to ensure that the car-
casses, parts of carcasses, meat, and meat food products
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in the State are inspected in a manner that effectuates 
this Act (including the regulations, directives, notices, pol-
icy memoranda, and other regulatory requirements issued 
under this Act). 
‘‘SEC. 303. AUTHORITY TO TAKE OVER STATE MEAT INSPEC-
TION PROGRAMS. 
‘‘(a) NOTIFICATION.—If the Secretary has reason to 
believe that a State is not in compliance with this Act (in-
cluding the regulations, directives, notices, policy memo-
randa, and other regulatory requirements issued under 
this Act) or the cooperative agreement under section 
302(c) and is considering the revocation or temporary sus-
pension of the approval of the State meat inspection pro-
gram, the Secretary shall promptly notify and consult with 
the Governor of the State. 
‘‘(b) SUSPENSION AND REVOCATION.— 
‘‘(1) IN GENERAL.—The Secretary may revoke 
or temporarily suspend the approval of a State meat 
inspection program and take over a State meat in-
spection program if the Secretary determines that 
the State meat inspection program is not in compli-
ance with this Act (including the regulations, direc-
tives, notices, policy memoranda, and other regu-
latory requirements issued under this Act) or the co-
operative agreement under section 302(c).
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‘‘(2) PROCEDURES
FOR
REINSTATEMENT.—A 
State meat inspection program that has been the 
subject of a revocation may be reinstated as an ap-
proved State meat inspection program under this 
Act only in accordance with the procedures under 
section 302(b)(2)(B). 
‘‘(c) PUBLICATION.—If the Secretary revokes or tem-
porarily suspends the approval of a State meat inspection 
program in accordance with subsection (b), the Secretary 
shall publish notice of the revocation or temporary suspen-
sion under that subsection in the Federal Register. 
‘‘(d) INSPECTION OF ESTABLISHMENTS.—Not later 
than 30 days after the date of publication of a determina-
tion under subsection (c), an establishment subject to a 
State meat inspection program with respect to which the 
Secretary makes a determination under subsection (b) 
shall be inspected by the Secretary. 
‘‘SEC. 304. EXPEDITED AUTHORITY TO TAKE OVER INSPEC-
TION 
OF 
STATE-INSPECTED 
ESTABLISH-
MENTS. 
‘‘Notwithstanding any other provision of this title, if 
the Secretary determines that an establishment operating 
under a State meat inspection program is not operating 
in accordance with this Act (including the regulations, di-
rectives, notices, policy memoranda, and other regulatory
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•HR 2419 EH1S 
requirements issued under this Act) or the cooperative 
agreement under section 302(c), and the State, after noti-
fication by the Secretary to the Governor, has not taken 
appropriate action within a reasonable time as determined 
by the Secretary, the Secretary may immediately deter-
mine that the establishment is an establishment that shall 
be inspected by the Secretary, until such time as the Sec-
retary determines that the State will meet the require-
ments of this Act (including the regulations, directives, no-
tices, policy memoranda, and other regulatory require-
ments) and the cooperative agreement with respect to the 
establishment. 
‘‘SEC. 305. ANNUAL REVIEW. 
‘‘(a) IN GENERAL.—The Secretary shall develop and 
implement a process to annually review each State meat 
inspection program approved under this title and to certify 
the State meat inspection programs that comply with the 
cooperative agreement entered into with the State under 
section 302(c). 
‘‘(b) COMMENT FROM INTERESTED PARTIES.—In 
developing the review process described in subsection (a), 
the Secretary shall solicit comment from interested par-
ties.
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‘‘SEC. 306. FEDERAL INSPECTION OPTION. 
‘‘(a) IN GENERAL.—An establishment that operates 
in a State with an approved State meat inspection pro-
gram may apply for inspection under the State meat in-
spection program or for Federal inspection. 
‘‘(b) LIMITATION.—An establishment shall not make 
an application under subsection (a) more than once every 
four years.’’. 
(2) RESTAURANTS AND RETAIL STORES.—Title 
IV of the Federal Meat Inspection Act is amended— 
(A) by redesignating section 411 (21 
U.S.C. 681) as section 414; and 
(B) by inserting after section 410 (21 
U.S.C. 680) the following: 
‘‘SEC. 411. RESTAURANTS AND RETAIL STORES. 
‘‘(a) LIMITATION ON APPLICABILITY OF INSPECTION 
REQUIREMENTS.—The provisions of this Act requiring in-
spection of the slaughter of animals and the preparation 
of carcasses, parts of carcasses, meat, and meat food prod-
ucts shall not apply to operations of types traditionally 
and usually conducted at retail stores and restaurants, as 
determined by the Secretary, if the operations are con-
ducted at a retail store, restaurant, or similar retail estab-
lishment for sale of such prepared articles in normal retail 
quantities or for service of the articles to consumers at 
such an establishment.