anced Budget and Emergency Deficit Control Act of 1985
(2 U.S.C. 900 et seq.). The entire amount of the funds
is designated by Congress as an emergency requirement
under section 251(b)(2)(A) of the Balanced Budget and
Emergency Deficit Control Act of 1985 (2 U.S.C.
901(b)(2)(A)).
SEC. 3. UNCAPPING LOAN RATES FOR MARKETING ASSIST-
ANCE LOANS FOR CERTAIN CROPS.
(a) WHEAT.—Subsection (a)(1) of section 132 of the
Agricultural Market Transition Act (7 U.S.C. 7232) is
amended—
(1) in subparagraph (A), by striking ‘‘5 crops’’
and inserting ‘‘7 crops’’; and
(2) in subparagraph (B), by striking ‘‘not more
than’’ and inserting ‘‘not less than’’.
(b) FEED GRAINS.—Subsection (b)(1) of such section
is amended—
(1) in subparagraph (A), by striking ‘‘5 crops’’
and inserting ‘‘7 crops’’; and
(2) in subparagraph (B), by striking ‘‘not more
than’’ and inserting ‘‘not less than’’; in subpara-
graph (A), by striking ‘‘5 crops’’ and inserting ‘‘7
crops’’; and
(2) in subparagraph (B), by striking ‘‘not more
than’’ and inserting ‘‘not less than’’.
(c) UPLAND COTTON.—Subsection (c) of such section
is amended—
(1) in paragraph (1)—
(A) in the matter before the subpara-
graphs, by striking ‘‘the smaller of’’ and insert-
ing ‘‘the greater of’’; and
(B) in subparagraph (A), by striking ‘‘dur-
ing 3 years of the 5-year period’’ and inserting
‘‘during 5 years of the 7-year period’’; and
(2) in paragraph (2), by striking ‘‘or more than
$0.5192 per pound’’.
(d) EXTRA LONG STAPLE COTTON.—Subsection (d)
of such section is amended—
(1) in paragraph (1), by striking ‘‘during 3
years of the 5-year period’’ and inserting ‘‘during 5
years of the 7-year period’’; and
(2) in paragraph (2), by striking ‘‘not more
than’’ and inserting ‘‘not less than’’.
(e) RICE.—Subsection (e) of such section is amended
by inserting ‘‘not less than’’ after ‘‘shall be’’.
(f) OILSEEDS.—Subsection (f) of such section is
amended—
(1) in paragraph (1)(A), by striking ‘‘5 crops’’
and inserting ‘‘7 crops’’;
(2) in paragraph (1)(B), by striking ‘‘or more
than $5.26’’; and
(3) in paragraph (2)(B), by striking ‘‘or more
than $0.093’’.
SEC. 4. EXTENSION OF MARKETING ASSISTANCE LOANS.
Section 133 of the Agricultural Market Transition
Act (7 U.S.C. 7233) is amended by striking subsection
(c) and inserting the following:
‘‘(c) EXTENSION.—The Secretary may extend the
term of marketing assistance loans made to producers
under this subtitle for any loan commodity for a 6-month
period if the Secretary determines that the extension will
promote the orderly delivery of the loan commodity, mate-
rially reduce program costs to the Government, or result
in a significant improvement in income for producers.’’.
SEC. 5. REINSTATEMENT OF FARMER-OWNED RESERVE
PROGRAM.
Section 171(b)(1) of the Agricultural Market Transi-
tion Act (7 U.S.C. 7301(b)(1)) is amended by striking
subparagraph (E).
SEC. 6. STRATEGIC FOOD RESERVE OF LOAN COMMOD-
ITIES.
Subtitle C of the Agricultural Market Transition Act
(7 U.S.C. 7231 et seq.) is amended by adding at the end
the following new section:
‘‘SEC. 138. STRATEGIC FOOD RESERVE.
‘‘(a) RESERVE
REQUIRED.—The Secretary shall
build a reserve stock of a loan commodity whenever prices
for that commodity fall below 75 percent of the loan rate
for marketing assistance loans for that commodity.
‘‘(b) METHODS OF ACQUISITION.—Loan commodities
for inclusion in the reserve may be acquired—
‘‘(1) through purchases—
‘‘(A) from producers; or
‘‘(B) in the market, if the Secretary deter-
mines that the purchases will not unduly dis-
rupt the market; or
‘‘(2) by designation by the Secretary of stocks
of loan commodities of the Commodity Credit Cor-
poration.
‘‘(c) RELEASE
OF ELIGIBLE COMMODITIES.—The
Secretary may release stocks of a loan commodity in the
reserve only when there is such a domestic shortage of
the loan commodity that—
(1) widespread concern exists about the supply
of affordable food for residents of the United States;
and
(2) prices for the commodity exceed 200 per-
cent of the loan rate for marketing assistance loans
for the commodity.
‘‘(d) ADMINISTRATION.—To the maximum extent
practicable consistent with the fulfillment of the purposes
of this section and the effective and efficient administra-
tion of this section, the Secretary shall use the usual and
customary channels, facilities, arrangements, and prac-
tices of trade and commerce to release stocks of a loan
commodity maintained in the reserve. The Secretary shall
administer the release of stocks from the reserve so as to
ensure that the prices received by agricultural producers
of that commodity are not depressed as a result of the
release.
‘‘(e) LIMITATION ON TOTAL QUANTITY ACQUIRED.—
The Secretary may not acquire for inclusion in the reserve
more than 25 percent of the average annual production
of a loan commodity.
‘‘(f) MANAGEMENT
OF COMMODITIES.—The Sec-
retary shall provide—
‘‘(1) for the management of loan commodities
in the reserve, including the selection of storage lo-
cations; and
‘‘(2) for the periodic rotation or replacement of
stocks of loan commodities in the reserve to avoid
spoilage and deterioration of the commodities.
‘‘(g) USE OF COMMODITY CREDIT CORPORATION.—
The funds, facilities, and authorities of the Commodity
fices of the Farm Service Agency will be sufficient to meet
the expected needs of agricultural producers for services.
SEC. 8. TEMPORARY CONSERVATION RESERVE TO RE-
SPOND TO DISEASE INFESTATIONS.
Subtitle D of title XII of the Food Security Act of
1985 (16 U.S.C. 3801 et seq.) is amended by inserting
after section 1256 the following new section:
‘‘SEC. 1257. THREE-YEAR CONSERVATION RESERVE FOR
DISEASED CROPLANDS.
‘‘(a) RESERVE REQUIRED.—Using the authority pro-
vided in subchapter B, the Secretary shall formulate and
carry out the enrollment of lands described in subsection
(b) in a conservation reserve program through the use of
contracts to assist owners and operators of such lands to
combat plant diseases that have devastated the lands.
‘‘(b) ELIGIBLE LANDS.—The Secretary shall include
in the program only those croplands that have been dev-
astated by a plant disease for which effective responses
are reasonably anticipated within four years, but are oth-
erwise suitable for the production of crops or livestock.
‘‘(c) TERM OF CONTRACT.—A contract under this
section shall have a term of three years.’’.
SEC. 9. SPECIAL CROP INSURANCE RULES FOR COUNTIES
SUBJECT TO DISASTER DECLARATION.
(a) MULTI-PERIL CROP INSURANCE.—For purposes
of administering the Federal Crop Insurance Act (7
U.S.C. 1501 et seq.) for producers operating in a county
described in subsection (c), the Secretary of Agriculture
may not—
(1) include the producer in any nonstandard
classification list on account of the inclusion of the
county in a designated disaster area; or
(2) determine, without the consent of the pro-
ducer, the actual production history of the producer
using production records of any crop year during
which the county was included in a designated disas-
ter area.
(b) EXCEPTION.—Subsection (a) shall not apply to
a disaster that the Secretary of Agriculture determines is
a reoccurring, frequent, and well-known risk of farming
in the locale, and the risks cannot reasonably be expected
to be controlled or eliminated by crop protection efforts
within a 7-year period.
(c) COVERED COUNTIES.—This section applies with
respect to a county that is included in whole or in part
in a designated disaster area.
(d) DESIGNATED DISASTER AREA DEFINED.—In
this section, the term ‘‘designated disaster area’’ means
an area—
(1) covered by a Presidential declaration of
major disaster issued under section 401 of the Rob-
ert T. Stafford Disaster Relief and Emergency As-
sistance Act (42 U.S.C. 5170) on account of damag-
ing weather or a related condition in the area; or
(2) determined to be a disaster area by the Sec-
retary of Agriculture under subpart A of part 1945
of title 7, Code of Federal Regulations, on account
of damaging weather or a related condition in the
area.
(e) EFFECTIVE DATE.—This section shall apply be-
ginning with the 1999 crop year for each commodity that
is grown in a covered county and for which multi-peril
crop insurance is generally available in the United States.
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