and producers of mohair, for the 2002 marketing year
that received a payment under that section.
(b) PAYMENT RATE.—The Secretary shall adjust the
payment rate specified in that section to reflect the
amount made available for payments under this section.
SEC. 106. COTTONSEED.
The Secretary shall use $100,000,000 of funds of the
Commodity Credit Corporation to provide assistance to
producers and first-handlers of the 2002 crop of cotton-
seed.
SEC. 107. SPECIALTY CROPS.
(a) DEFINITION OF SPECIALTY CROP.—In this sec-
tion, the term ‘‘specialty crop’’ means any agricultural
commodity, other than wheat, feed grains, oilseeds, cotton,
rice, peanuts, or tobacco.
(b) GRANTS.—The Secretary shall use $150,000,000
of funds of the Commodity Credit Corporation to make
a grant to each State in an amount that represents the
proportion that—
(1) the value of specialty crop production in the
State; bears to
(2) the value of specialty crop production in all
States.
(c) USE.—As a condition of the receipt of a grant
under this section, a State shall agree to use the grant
to support specialty crops.
(d) PURCHASES
FOR
SCHOOL
NUTRITION
PRO-
GRAMS.—The 
Secretary 
shall 
use 
not 
less 
than
$55,000,000 of the funds made available under subsection
(a) to purchase agricultural commodities of the type dis-
tributed under section 6(a) of the Richard B. Russell Na-
tional School Lunch Act (42 U.S.C. 1755(a)) for distribu-
tion to schools and service institutions in accordance with
section 6(a) of that Act.
SEC. 108. LOAN DEFICIENCY PAYMENTS.
Section 135 of the Federal Agriculture Improvement
and Reform Act of 1996 (7 U.S.C. 7235) is amended—
(1) in subsection (a)(2), by striking ‘‘the 2000
crop year’’ and inserting ‘‘each of the 2000 through
2002 crop years’’; and
(2) by striking subsections (e) and (f) and in-
serting the following:
‘‘(e) BENEFICIAL INTEREST.—
‘‘(1) IN GENERAL.—A producer shall be eligible
for a payment for a loan commodity under this sec-
tion only if the producer has a beneficial interest in
the loan commodity, as determined by the Secretary.
‘‘(2) APPLICATION.—The Secretary shall make
a payment under this section to the producers on a
farm with respect to a quantity of a loan commodity
as of the earlier of—
‘‘(A) the date on which the producers on
the farm marketed or otherwise lost beneficial
interest in the loan commodity, as determined
by the Secretary; or
‘‘(B) the date the producers on the farm
request the payment.’’.
SEC. 109. PAYMENTS IN LIEU OF LOAN DEFICIENCY PAY-
MENTS FOR GRAZED ACREAGE.
(a) IN GENERAL.—Subtitle C of title I of the Federal
Agriculture Improvement and Reform Act of 1996 (7
U.S.C. 7231 et seq.) is amended by adding at the end
the following:
‘‘SEC. 138. PAYMENTS IN LIEU OF LOAN DEFICIENCY PAY-
MENTS FOR GRAZED ACREAGE.
‘‘(a) IN GENERAL.—For the 2002 crop of wheat,
grain sorghum, barley, and oats, in the case of the pro-
ducers on a farm that would be eligible for a loan defi-
ciency payment under section 135 for wheat, grain sor-
ghum, barley, or oats, but that elects to use acreage plant-
ed to the wheat, grain sorghum, barley, or oats for the
grazing of livestock, the Secretary shall make a payment
to the producers on the farm under this section if the pro-
ducers on the farm enter into an agreement with the Sec-
retary to forgo any other harvesting of the wheat, grain
sorghum, barley, or oats on the acreage.
‘‘(b) PAYMENT AMOUNT.—The amount of a payment
made to the producers on a farm under this section shall
be equal to the amount obtained by multiplying—
‘‘(1) the loan deficiency payment rate deter-
mined under section 135(c) in effect, as of the date
of the agreement, for the county in which the farm
is located; by
‘‘(2) 
the 
payment 
quantity 
obtained 
by
multiplying—
‘‘(A) the quantity of the grazed acreage on
the farm with respect to which the producers on
the farm elect to forgo harvesting of wheat,
grain sorghum, barley, or oats; and
‘‘(B) the payment yield for that contract
commodity on the farm.
‘‘(c) TIME, MANNER, AND AVAILABILITY OF PAY-
MENT.—
‘‘(1) TIME AND MANNER.—A payment under
this section shall be made at the same time and in
the same manner as loan deficiency payments are
made under section 135.
‘‘(2) AVAILABILITY.—The Secretary shall estab-
lish an availability period for the payment author-
ized by this section that is consistent with the avail-
ability period for wheat, grain sorghum, barley, and
oats established by the Secretary for marketing as-
sistance loans authorized by this subtitle.
‘‘(d) PROHIBITION ON CROP INSURANCE OR NON-
INSURED CROP ASSISTANCE.—The producers on a farm
shall not be eligible for insurance under the Federal Crop
Insurance Act (7 U.S.C. 1501 et seq.) or noninsured crop
assistance under section 196 with respect to a crop of
wheat, grain sorghum, barley, or oats planted on acreage
that the producers on the farm elect, in the agreement
required by subsection (a), to use for the grazing of live-
stock in lieu of any other harvesting of the crop.’’.
SEC. 110. MILK.
Section 141 of the Agricultural Market Transition
Act (7 U.S.C. 7251) is amended by striking ‘‘May 31,
2002’’ each place it appears and inserting ‘‘December 31,
2002’’.
SEC. 111. PULSE CROPS.
(a) 
IN
GENERAL.—The 
Secretary 
shall 
use
$20,000,000 of funds of the Commodity Credit Corpora-
tion to provide assistance in the form of a market loss
assistance payment to owners and producers on a farm
that grow a 2002 crop of dry peas, lentils, or chickpeas
(collectively referred to in this section as a ‘‘pulse crop’’).
(b) COMPUTATION.—A payment to owners and pro-
ducers on a farm under this section for a pulse crop shall
be equal to the product obtained by multiplying—
(1) a payment rate determined by the Sec-
retary; by
(2) the acreage of the producers on the farm
for the pulse crop determined under subsection (c).
(c) ACREAGE.—
(1) IN
GENERAL.—The acreage of the pro-
ducers on the farm for a pulse crop under subsection
(b)(2) shall be equal to the number of acres planted
to the pulse crop by the owners and producers on
the farm during the 1999, 2000, or 2001 crop year,
whichever is greatest.
(2) BASIS.—For the purpose of paragraph (1),
the number of acres planted to a pulse crop by the
owners and producers on the farm for a crop year
shall be based on (as determined by the Sec-
retary)—
(A) the number of acres planted to the
pulse crop for the crop year by the owners and
producers on the farm, including any acreage
that is included in reports that are filed late; or
(B) the number of acres planted to the
pulse crop for the crop year for the purpose of
the Federal crop insurance program established
under the Federal Crop Insurance Act (7
U.S.C. 1501 et seq.).
SEC. 112. TOBACCO.
(a) 
PAYMENTS.—The 
Secretary 
shall 
use
$100,000,000 of funds of the Commodity Credit Corpora-
tion to provide supplemental payments to owners, control-
lers, and growers of tobacco for which a basic quota or
allotment is established for the 2002 crop year under part
I of subtitle B of title III of the Agricultural Adjustment
Act of 1938 (7 U.S.C. 1311 et seq.), as determined by
the Secretary.
(b) LOAN FORFEITURES.—Notwithstanding sections
106 through 106B of the Agricultural Act of 1949 (7
U.S.C. 1445 through 1445–2)—
(1) a producer-owned cooperative marketing as-
sociation may fully settle (without further cost to the
Association) a loan made for each of the 2000 and
2001 crops of types 21, 22, 23, 35, 36, and 37 of
an agricultural commodity under sections 106
through 106B of that Act by forfeiting to the Com-
modity Credit Corporation the agricultural com-
modity covered by the loan regardless of the condi-
tion of the commodity;
(2) any losses to the Commodity Credit Cor-
poration as a result of paragraph (1)—
(A) shall not be charged to the Account (as
defined in section 106B(a) of that Act); and
(B) shall not affect the amount of any as-
sessment imposed against the commodity under
sections 106 through 106B of that Act; and
(3) the commodity forfeited pursuant to this
subsection—
(A) shall not be counted for the purposes
of any determination for any year pursuant to
section 319 of the Agricultural Adjustment Act
of 1938 (7 U.S.C. 1314e); and
(B) may be disposed of in a manner deter-
mined by the Secretary of Agriculture, except
that the commodity may not be sold for use in
the United States for human consumption.
SEC. 113. LIVESTOCK FEED ASSISTANCE PROGRAM.
The Secretary shall use $500,000,000 of funds of the
Commodity Credit Corporation to provide livestock feed
assistance to livestock producers affected by disasters dur-
ing calendar year 2001 or 2002.
SEC. 114. INCREASE IN PAYMENT LIMITATIONS REGARDING
LOAN DEFICIENCY PAYMENTS AND MAR-
KETING LOAN GAINS.
Notwithstanding section 1001(2) of the Food Secu-
rity Act of 1985 (7 U.S.C. 1308(1)), the total amount of
the payments specified in section 1001(3) of that Act that
a person shall be entitled to receive for one or more con-
tract commodities and oilseeds under the Agricultural
Market Transition Act (7 U.S.C. 7201 et seq.) during the
2002 crop year may not exceed $150,000.
TITLE II—ADMINISTRATION
SEC. 201. OBLIGATION PERIOD.
The Secretary and the Commodity Credit Corpora-
tion shall obligate funds only during fiscal year 2002 to
carry out this Act and the amendments made by this Act
(other than sections 106, 107, and 110).
SEC. 202. COMMODITY CREDIT CORPORATION.
Except as otherwise provided in this Act, the Sec-
retary shall use the funds, facilities, and authorities of the
Commodity Credit Corporation to carry out this Act.
SEC. 203. REGULATIONS.
(a) IN GENERAL.—The Secretary may promulgate
such regulations as are necessary to implement this Act
and the amendments made by this Act.
(b) PROCEDURE.—The promulgation of the regula-
tions and administration of the amendments made by this
Act shall be made without regard to—
(1) the notice and comment provisions of sec-
tion 553 of title 5, United States Code;
(2) the Statement of Policy of the Secretary of
Agriculture effective July 24, 1971 (36 Fed. Reg.
13804), relating to notices of proposed rulemaking
and public participation in rulemaking; and
(3) chapter 35 of title 44, United States Code
(commonly known as the ‘‘Paperwork Reduction
Act’’).
(c) CONGRESSIONAL REVIEW
OF AGENCY RULE-
MAKING.—In carrying out this section, the Secretary shall
use the authority provided under section 808 of title 5,
United States Code.
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