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SEC. 1856. EXPEDITED MARKETING ORDER FOR HASS AVO-
CADOS FOR GRADES AND STANDARDS AND
OTHER PURPOSES.
(a) IN GENERAL.—The Secretary shall initiate proce-
dures under the Agricultural Adjustment Act (7 U.S.C. 601
et seq.), reenacted with amendments by the Agricultural
Marketing Agreement Act of 1937, to determine whether it
would be appropriate to establish a Federal marketing order
for Hass avocados relating to grades and standards and for
other purposes under that Act.
(b) EXPEDITED PROCEDURES.—
(1) PROPOSAL FOR AN ORDER.—An organization
of domestic avocado producers in existence on the date
of enactment of this Act may request the issuance of,
and submit to the Secretary a proposal for, an order
described in subsection (a).
(2) PUBLICATION OF PROPOSAL.—Not later than
60 days after the date on which the Secretary receives
a proposed order under paragraph (1), the Secretary
shall initiate procedures described in subsection (a) to
determine whether the proposed order should proceed.
(c) EFFECTIVE DATE.—Any order issued under this
section shall become effective not later than 15 months after
the date on which the Secretary initiates procedures under
the Agricultural Adjustment Act (7 U.S.C. 601 et seq.), re-
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enacted with amendments by the Agricultural Marketing
Agreement Act of 1937.
Subtitle G—Risk Management
SEC. 1901. DEFINITION OF ORGANIC CROP.
Section 502(b) of the Federal Crop Insurance Act (7
U.S.C. 1502(b)) is amended—
(1) by redesignating paragraphs (7) and (8) as
paragraphs (8) and (9), respectively; and
(2) by inserting after paragraph (6) the fol-
lowing:
‘‘(7) ORGANIC CROP.—The term ‘organic crop’
means an agricultural commodity that is organically
produced consistent with section 2103 of the Organic
Foods Production Act of 1990 (7 U.S.C. 6502).’’.
SEC. 1902. GENERAL POWERS.
(a) IN GENERAL.—Section 506 of the Federal Crop In-
surance Act (7 U.S.C. 1506) is amended—
(1) in the first sentence of subsection (d), by
striking ‘‘The Corporation’’ and inserting ‘‘Subject to
section 508(j)(2)(A), the Corporation’’; and
(2) by striking subsection (n).
(b) CONFORMING AMENDMENTS.—
(1) Section 506 of the Federal Crop Insurance
Act (7 U.S.C. 1506) is amended by redesignating sub-
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sections (o), (p), and (q) as subsections (n), (o), and
(p), respectively.
(2) Section 521 of the Federal Crop Insurance
Act (7 U.S.C. 1521) is amended by striking the last
sentence.
SEC. 1903. REDUCTION IN LOSS RATIO.
(a) PROJECTED LOSS RATIO.—Subsection (n)(2) of
section 506 of the Federal Crop Insurance Act (7 U.S.C.
1506) (as redesignated by section 1902(b)(1)) is amended—
(1) in the paragraph heading, by striking ‘‘AS
OF OCTOBER 1, 1998’’;
(2) by striking ‘‘, on and after October 1, 1998,’’;
and
(3) by striking ‘‘1.075’’ and inserting ‘‘1.0’’.
(b) PREMIUMS REQUIRED.—Section 508(d)(1) of the
Federal Crop Insurance Act (7 U.S.C. 1508(d)(1)) is
amended by striking ‘‘not greater than’’ and all that follows
and inserting ‘‘not greater than—
‘‘(A) 1.1 through September 30, 1998;
‘‘(B) 1.075 for the period beginning October
1, 1998, and ending on the date of enactment of
the Food and Energy Security Act of 2007; and
‘‘(C) 1.0 on and after the date of enactment
of that Act.’’.
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SEC. 1904. CONTROLLED BUSINESS INSURANCE.
Section 508(a) of the Federal Crop Insurance Act (7
U.S.C. 1508(a) is amended by adding at the end the fol-
lowing:
‘‘(9) COMMISSIONS.—
‘‘(A) DEFINITION OF IMMEDIATE FAMILY.—
In this paragraph, the term ‘immediate family’
means a person’s father, mother, stepfather, step-
mother, brother, sister, stepbrother, stepsister,
son, daughter, stepson, stepdaughter, grand-
parent, grandson, granddaughter, father-in-law,
mother-in-law, brother-in-law, sister-in-law, son-
in-law, daughter-in-law, the spouse of the fore-
going, and the person’s spouse.
‘‘(B) PROHIBITION.—No person may receive
a commission or share of a commission for any
policy or plan of insurance offered under this
Act in which the person has a substantial bene-
ficial interest or in which a member of the per-
son’s immediate family has a substantial bene-
ficial interest if, in a calendar year, the aggre-
gate of the commissions exceeds 30 percent of the
aggregate of all commissions received by the per-
son for any policy or plan of insurance offered
under this Act.
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‘‘(C) REPORTING.—On the completion of the
reinsurance year, any person that received a
commission or share of a commission for any
policy or plan of insurance offered under this
Act in the prior calendar year shall certify to
applicable approved insurance providers that the
person received the commissions in compliance
with this paragraph.
‘‘(D) SANCTIONS.—The requirements and
sanctions prescribed in section 515(h) shall
apply to the prosecution of a violation of this
paragraph.
‘‘(E) APPLICABILITY.—
‘‘(i) IN GENERAL.—Sanctions for vio-
lations under this paragraph shall only
apply to the person directly responsible for
the certification required under subpara-
graph (C) or the failure to comply with the
requirements of this paragraph.
‘‘(ii) 
PROHIBITION.—No 
sanctions
shall apply with respect to the policy or
plans of insurance upon which commissions
are received, including the reinsurance for
those policies or plans.’’.