I
103D CONGRESS
1ST SESSION
H. R. 659
To provide assistance to certain producers of high-moisture feed grains
through a recourse loan program; establishing a period to allow for
the orderly repayment of such loans; and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
JANUARY 27, 1993
Mr. CAMP (for himself, Mr. ALLARD, Mr. BARRETT of Nebraska, Mr. EMER-
SON, Mr. BARCIA, Mr. GUNDERSON, and Mr. KILDEE) introduced the fol-
lowing bill; which was referred to the Committee on Agriculture
A BILL
To provide assistance to certain producers of high-moisture
feed grains through a recourse loan program; establish-
ing a period to allow for the orderly repayment of such
loans; and for other purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
That section 404 of the Food, Agriculture, Conservation,
and Trade Act of 1990 (Public Law 101–624; 7 U.S.C.
1444f(q)) is amended by adding at the end thereof the
following new paragraph:
‘‘(3) REDUCED
QUALITY
OF
HIGH
MOISTURE
RECOURSE LOAN.—(A) Notwithstanding any other
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provision of law, effective for the 1992 through 1995
crops of feed grains, the Secretary shall make avail-
able recourse loans to producers on a farm who do
not normally harvest their crop of feed grains in a
high moisture state (or on that portion of the crop
which is not normally harvested in a high moisture
state). Such recourse loans shall be made available
whenever the crop (or the portion of the crop not
normally harvested in a high moisture state) is har-
vested with a moisture content in excess of Commod-
ity Credit Corporation standards for loans made
under paragraphs (1) and (6) of subsection (a) of
this section, or whenever the crop has a test weight
below the minimum weight required for Commodity
Credit Corporation nonrecourse loans made under
such paragraphs.
‘‘(B) Recourse loans under this paragraph shall
be made to producers on a farm who—
‘‘(i) present certified scale tickets from an
inspected, certified commercial scale, including
licensed warehouses, feedlots, feed mills, distill-
eries, or other similar entities approved by the
Secretary; or
‘‘(ii) present field or other physical meas-
urements of the standing or stored feed grain
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crop in regions of the country that do not have
certified commercial scales from which certified
scale tickets may be obtained within reasonable
proximity of harvest operation; and
‘‘(iii) certify that the quantity of feed grain
to be placed under loan was in fact harvested
on the farm; and
‘‘(iv) participate in an acreage limitation
program for the crop of feed grains established
by the Secretary.
‘‘(C) A producer shall not be eligible for a loan
under this paragraph unless any prior loans made
under the authority of this paragraph have been
fully repaid.
‘‘(D) Loans made under this paragraph shall
bear interest at a rate determined by the Secretary,
but in no event shall the rate exceed the rate of in-
terest charged for loans made under paragraphs (1)
and (6) of subsection (a) of this section.
‘‘(E) Loans under this paragraph shall be made
in an amount as determined by the Secretary equal
to at least eighty percent, but not greater than nine-
ty 
percent, 
of 
the 
lowest 
county 
adjusted
nondiscounted loan rate for the appropriate crop
year for loans made to producers of feed grains
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‘‘(G) The Secretary may permit a producer who
has obtained a loan under this paragraph to repay
a part or all of any annual installment required
under subparagraph (F) by tendering to the Com-
modity Credit Corporation a quantity of feed grain
which is of acceptable quality to meet the standards
for a nonrecourse loan under paragraphs (1) and (6)
of subsection (a) of this section. Such tender shall
be made by the producer at any facility approved for
storage of commodities owned by the Corporation
which facility is situated in the same county (or a
county adjacent to the county) in which the produc-
er’s farm is located, and the producer’s loan install-
ment payment shall be credited with an amount
equal to the per bushel county adjusted loan rate for
the grade and quality of grain tendered times the
total number of bushels tendered in payment by the
producer as approved by the Secretary.
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