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‘‘(B) SUBMISSION OF APPLICATION.—The 
Board shall receive and consider applications 
for FCIC Reimbursement Grants at least once 
annually. An application to receive an FCIC 
Reimbursement Grant from the Corporation 
shall consist of such materials as the Board 
may require, including— 
‘‘(i) a concept paper that describes the 
proposal in sufficient detail for the Board 
to determine whether it satisfies the re-
quirements of subparagraph (C); 
‘‘(ii) a summary of — 
‘‘(I) the need for the product, in-
cluding an assessment of market-
ability and expected demand among 
affected producers; 
‘‘(II) support from producers, 
producer organizations, lenders, or 
other interested parties; 
‘‘(III) the impact the product 
would have on producers and on the 
crop insurance delivery system; and 
‘‘(IV) that no products are of-
fered by the private sector providing 
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the same benefits and risk manage-
ment services as the proposal. 
‘‘(iii) a summary of data sources 
available demonstrating that the product 
can reasonably be developed and properly 
rated; and 
‘‘(iv) identification of the risks the 
proposed product will cover and that the 
risks are insurable under the Act. 
‘‘(C) APPROVAL CONDITIONS.—Approval of 
an application for a FCIC Reimbursement 
Grant shall be by majority vote of the Board. 
The Board shall approve the application only if 
the Board finds that— 
‘‘(i) the proposal contained in the ap-
plication— 
‘‘(I) provides coverage to a crop 
or region not traditionally served by 
the Federal crop insurance program; 
‘‘(II) provides crop insurance 
coverage in a significantly improved 
form; 
‘‘(III) addresses a recognized 
flaw or problem in the program; 
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‘‘(IV) introduces a significant 
new concept or innovation to the pro-
gram; or 
‘‘(V) provides coverage, benefits, 
or risk management services not avail-
able from the private sector; 
‘‘(ii) the applicant demonstrates the 
necessary qualifications to complete the 
project successfully in a timely manner 
with high quality; 
‘‘(iii) the proposal is in the interests 
of producers and can reasonably be ex-
pected to be actuarially appropriate; 
‘‘(iv) the Board determines that the 
Corporation has sufficient available fund-
ing to award the FCIC Reimbursement 
Grant; and 
‘‘(v) the proposed budget and time-
table are reasonable. 
‘‘(D) PARTICIPATION.—In reviewing pro-
posals under this paragraph, the Board may 
use the services of persons it deems appropriate 
for expert review. All proposals submitted under 
this paragraph will be treated as confidential in 
accordance with section 508(h)(4). 
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‘‘(E) ENTERING INTO AGREEMENT.—Upon 
approval of the application, the Board shall 
enter into an agreement with the person for the 
development of a formal submission meeting the 
requirements for a complete submission estab-
lished by the Board under section 508(h). 
‘‘(F) FEASIBILITY
STUDIES.—In appro-
priate cases, the Corporation may structure the 
FCIC Reimbursement Grant to require, as an 
initial step within the overall process, the sub-
mitter to complete a feasibility study and report 
the results of such study to the Corporation 
prior to proceeding with further development. 
The Corporation may require such other reports 
as necessary to monitor the development ef-
forts. 
‘‘(G) RATES.—Payment for work per-
formed under this paragraph shall be based on 
rates determined by the Corporation for prod-
ucts submitted under section 508(h) of the Act 
or for those contracted by the Corporation 
under section 522(c) of the Act. 
‘‘(H) TERMINATION.—The Corporation or 
the submitter may terminate any FCIC Reim-
bursement Grant to reimburse expenses at any 
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time for just cause. If the Corporation or the 
submitter terminates the FCIC Reimbursement 
Grant before final approval of the product cov-
ered thereby, the submitter shall be entitled to 
reimbursement of all costs incurred to that 
point, or, in the case of a fixed rate agreement, 
to payment of an appropriate percentage. If the 
submitter terminates development without just 
cause, the Corporation may deny reimburse-
ment. 
‘‘(I) CONSIDERATION OF PRODUCTS.—The 
Board shall consider any product submitted to 
it developed under this paragraph under the 
rules it has established for products submitted 
under section 508(h) of this Act.’’. 
SEC. 11005. RESEARCH AND DEVELOPMENT CONTRACTS 
FOR ORGANIC PRODUCTION COVERAGE IM-
PROVEMENTS. 
Section 522(c) of the Federal Crop Insurance Act (7 
U.S.C. 1522(c)) is amended— 
(1) by redesignating paragraph (10) as para-
graph (11); and 
(2) by inserting after paragraph (9) the fol-
lowing new paragraph: 
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‘‘(10) CONTRACTS FOR ORGANIC PRODUCTION 
COVERAGE IMPROVEMENTS.— 
‘‘(A) CONTRACT
REQUIRED.—Not later 
than 180 days after the date of the enactment 
of the Farm, Nutrition, and Bioenergy Act of 
2007, the Corporation shall enter into one or 
more contracts for the development of improve-
ments in Federal crop insurance policies cov-
ering crops produced in compliance with stand-
ards issued by the Department of Agriculture 
under the National Organic Program. 
‘‘(B) REVIEW
OF
UNDERWRITING, RISK, 
AND LOSS EXPERIENCE.— 
‘‘(i) REVIEW REQUIRED.—A contract 
under subparagraph (A) shall include a re-
view of the underwriting, risk, and loss ex-
perience of organic crops covered by the 
Corporation, as compared with the same 
crops produced in the same counties and 
during the same time periods using non-or-
ganic methods. The review should be de-
signed to allow the Corporation to deter-
mine whether significant, consistent, or 
systemic variations in loss history exist be-
tween organic and non-organic production, 
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and shall include the widest available range 
of data, including loss history under exist-
ing crop insurance policies, collected by the 
National Agricultural Statistics Service, 
and other sources of information. 
‘‘(ii) EFFECT
ON
PREMIUM
SUR-
CHARGE.—Unless the review under this 
subparagraph documents the existence of 
such significant, consistent, and systemic 
variations in loss history between organic 
and non-organic crops, either collectively or 
on an individual basis, the Corporation 
shall eliminate or reduce the premium sur-
charge that the Corporation charges for 
coverage for organic crops. 
‘‘(C) ADDITIONAL
PRICE
ELECTION.—A 
contract under subparagraph (A) shall include 
the development of a procedure, including any 
associated changes in policy terms or materials 
required for implementation of the procedure, 
to offer producers of organic crops an addi-
tional price election that would reflect the ac-
tual retail or wholesale prices, as appropriate, 
received by organic producers for their crops, as 
established using data collected and maintained 
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by the Agricultural Marketing Service or other 
sources. The development of the procedure shall 
be completed in a timely manner to allow the 
Corporation to begin offering the additional 
price election for organic crops with sufficient 
data for the 2009 crop year, and expand it 
thereafter as the Agricultural Marketing Service 
expands its data collection and availability for 
prices of organic crops. 
‘‘(D) REPORTING
REQUIREMENTS.—The 
Corporation shall submit to the Committee on 
Agriculture of the House of Representatives 
and the Committee on Agriculture, Nutrition, 
and Forestry of the Senate an annual report on 
the progress made in developing and improving 
Federal crop insurance for organic crops, in-
cluding the numbers and varieties of organic 
crops insured, the development of new insur-
ance approaches, and the progress of the initia-
tives mandated under this paragraph. The re-
port shall also include such recommendations as 
the Corporation considers appropriate regarding 
additional opportunities to improve Federal 
crop insurance coverage for such crops.’’. 
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SEC. 11006. TARGETING RISK MANAGEMENT EDUCATION 
FOR BEGINNING FARMERS AND RANCHERS 
AND CERTAIN OTHER FARMERS AND RANCH-
ERS. 
Section 524(a) of the Federal Crop Insurance Act (7 
U.S.C. 1524(a)) is amended— 
(1) by redesignating paragraph (4) as para-
graph (5); and 
(2) by inserting after paragraph (3) the fol-
lowing new paragraph: 
‘‘(4) TARGETING
RISK
MANAGEMENT
EDU-
CATION FOR CERTAIN FARMERS AND RANCHERS.— 
‘‘(A) IN GENERAL.—In carrying out the 
education and information program established 
under paragraph (2) and the partnerships for 
risk management education program under 
paragraph (3), the Secretary shall include a 
special emphasis on risk management strategies 
and education and outreach specifically targeted 
at farmers and ranchers described in subpara-
graph (B). 
‘‘(B) COVERED
FARMERS
AND
RANCH-
ERS.—Subparagraph (A) applies with respect to 
the following: 
‘‘(i) Beginning farmers and ranchers. 
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‘‘(ii) Immigrant farmers and ranchers 
who are attempting to become established 
producers in the United States. 
‘‘(iii) Socially disadvantaged farmers 
and ranchers. 
‘‘(iv) Farmers and ranchers who are 
preparing to retire and are using transition 
strategies to help new farmers and ranch-
ers get started. 
‘‘(v) Farmers and ranchers who are 
converting their current production and 
marketing systems to pursue new mar-
kets.’’. 
SEC. 11007. CROP INSURANCE INELIGIBILITY RELATED TO 
CROP PRODUCTION ON NONCROPLAND. 
Section 502 of the Federal Crop Insurance Act (7 
U.S.C. 1502) is amended by adding at the end the fol-
lowing new subsection: 
‘‘(e) CROP INSURANCE INELIGIBILITY RELATED TO 
CROP PRODUCTION ON NONCROPLAND.— 
‘‘(1) NONCROPLAND
DEFINED.—In this sub-
section, the term ‘noncropland’ means native grass-
land and pasture the Secretary determines has never 
been used for crop production. 
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‘‘(2) INELIGIBILITY.—Noncropland acreage on 
which an agricultural commodity for which a policy 
or plan of insurance is available under this title is 
planted shall be ineligible for crop insurance under 
this title for the first 4 years of planting, as deter-
mined by the Secretary. 
‘‘(3) YIELD DETERMINATION BASED ON COUN-
TY ACTUAL PRODUCTION HISTORY.—If an agricul-
tural commodity ineligible for insurance as described 
in paragraph (2) is planted for 4 years, beginning 
with the fifth year in which the commodity is plant-
ed, the producer of the commodity may procure crop 
insurance for the commodity under this title. The 
yield for such crop insurance shall be determined 
only— 
‘‘(A) by using the actual production history 
for the farm; and 
‘‘(B) for each year in which the farm does 
not have an actual production history, by using 
the average actual production history for the 
commodity in the county in which the farm is 
located. 
‘‘(4) EFFECTIVE DATE.—This subsection shall 
apply to crop years following the 2007 crop year.’’. 
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SEC. 11008. FUNDS FOR DATA MINING. 
Section 515(k) of the Federal Crop Insurance Act (7 
U.S.C. 1515(k)) is amended by striking paragraph (1) and 
inserting the following new paragraph: 
‘‘(1) AVAILABLE
FUNDS.—To carry out this 
section, the Corporation may use, from amounts 
made available from the insurance fund established 
under section 516(c)— 
‘‘(A) not more than $11,000,000 during 
fiscal year 2008; and 
‘‘(B) not more than $7,000,000 during fis-
cal year 2009 and each subsequent year there-
after.’’. 
SEC. 11009. NONINSURED CROP ASSISTANCE PROGRAM. 
Section 196(k)(1) of the Agricultural Market Transi-
tion Act (7 U.S.C. 7333(k)(1)) is amended by striking 
subparagraphs (A) and (B) and inserting the following 
new subparagraphs: 
‘‘(A) $200 per crop per county; or 
‘‘(B) $600 per producer per county, but 
not to exceed a total of $1,800 per producer.’’. 
SEC. 11010. CHANGE IN DUE DATE FOR CORPORATION PAY-
MENTS FOR UNDERWRITING GAINS. 
Effective beginning with the 2011 reinsurance year, 
the Federal Crop Insurance Corporation shall make pay-
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ments for underwriting gains under the Federal Crop In-
surance Act (7 U.S.C. 1501 et seq.)— 
(1) for the 2011 reinsurance year on October 1, 
2012; and 
(2) for each reinsurance year thereafter on the 
October 1 of the next calendar year. 
SEC. 11011. SESAME INSURANCE PILOT PROGRAM. 
(a) PILOT PROGRAM REQUIRED.—The Secretary of 
Agriculture shall establish and carry out a pilot program 
under which a producer of non-dehiscent sesame under 
contract may elect to obtain multi-peril crop insurance, as 
determined by the Secretary. 
(b) TERMS AND CONDITIONS.—The multi-peril crop 
insurance offered under the sesame insurance pilot pro-
gram shall— 
(1) be offered through reinsurance arrange-
ments with private insurance companies; 
(2) be actuarially sound; and 
(3) require the payment of premiums and ad-
ministrative fees by a producer obtaining the insur-
ance. 
(c) LOCATION.—The sesame insurance pilot program 
shall be carried out only in the State of Texas. 
(d) RELATION TO PROHIBITION ON RESEARCH AND 
DEVELOPMENT BY CORPORATION.—Section 522(e)(4) of 
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the Federal Crop Insurance Act (7 U.S.C. 1522(e)(4)) 
shall apply with respect to the sesame insurance pilot pro-
gram. 
(e) DURATION.—The Secretary shall commence the 
sesame insurance pilot program as soon as practicable 
after the date of the enactment of this Act and continue 
the program through the 2012 crop year. 
SEC. 11012. NATIONAL DROUGHT COUNCIL AND DROUGHT 
PREPAREDNESS PLANS. 
(a) DEFINITIONS.—In this section: 
(1) COUNCIL.—The term ‘‘Council’’ means the 
National Drought Council established by this sec-
tion. 
(2) CRITICAL SERVICE PROVIDER.—The term 
‘‘critical service provider’’ means an entity that pro-
vides power, water (including water provided by an 
irrigation organization or facility), sewer services, or 
wastewater treatment. 
(3) DROUGHT.—The term ‘‘drought’’ means a 
natural disaster that is caused by a deficiency in 
precipitation— 
(A) that may lead to a deficiency in sur-
face and subsurface water supplies (including 
rivers, streams, wetlands, ground water, soil 
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moisture, reservoir supplies, lake levels, and 
snow pack); and 
(B) that causes or may cause— 
(i) substantial economic or social im-
pacts; or 
(ii) physical damage or injury to indi-
viduals, property, or the environment. 
(4) FUND.—The term ‘‘Fund’’ means the 
Drought Assistance Fund established by this section. 
(5) INDIAN TRIBE.—The term ‘‘Indian tribe’’ 
has the meaning given the term in section 4 of the 
Indian Self-Determination and Education Assistance 
Act (25 U.S.C. 450b). 
(6) 
INTERSTATE
WATERSHED.—The 
term 
‘‘interstate watershed’’ means a watershed that tran-
scends State or Tribal boundaries, or both. 
(7) MEMBER.—The term ‘‘member’’, with re-
spect to the National Drought Council, means a 
member of the Council specified or appointed under 
this section or, in the absence of the member, the 
member’s designee. 
(8) 
MITIGATION.—The 
term 
‘‘mitigation’’ 
means a short- or long-term action, program, or pol-
icy that is implemented in advance of or during a 
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drought to minimize any risks and impacts of 
drought. 
(9) 
NEIGHBORING
COUNTRY.—The 
term 
‘‘neighboring country’’ means Canada and Mexico. 
(10) OFFICE.—The term ‘‘Office’’ means the 
National Office of Drought Preparedness established 
under this section. 
(11) 
SECRETARY.—The 
term 
‘‘Secretary’’ 
means the Secretary of Agriculture. 
(12) STATE.—The term ‘‘State’’ means the sev-
eral States, the District of Columbia, American 
Samoa, Guam, the Commonwealth of the Northern 
Mariana Islands, the Commonwealth of Puerto Rico, 
and the United States Virgin Islands. 
(13) TRIGGER.—The term ‘‘trigger’’ means the 
thresholds or criteria that must be satisfied before 
mitigation or emergency assistance may be provided 
to an area— 
(A) in which drought is emerging; or 
(B) that is experiencing a drought. 
(14) UNDER
SECRETARY.—The term ‘‘Under 
Secretary’’ means the Under Secretary of Agri-
culture for Natural Resources and Environment. 
(15) WATERSHED.—The term ‘‘watershed’’ 
means a region or area with common hydrology, an 
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area drained by a waterway that drains into a lake 
or reservoir, the total area above a given point on 
a stream that contributes water to the flow at that 
point, or the topographic dividing line from which 
surface streams flow in two different directions. In 
no case shall a watershed be larger than a river 
basin. 
(16) WATERSHED GROUP.—The term ‘‘water-
shed group’’ means a group of individuals, formally 
recognized by the appropriate State or States, who 
represent the broad scope of relevant interests with-
in a watershed and who work together in a collabo-
rative manner to jointly plan the management of the 
natural resources contained within the watershed. 
(b) EFFECT OF SECTION.—This section does not af-
fect— 
(1) the authority of a State to allocate quan-
tities of water under the jurisdiction of the State; or 
(2) any State water rights established as of the 
date of enactment of this Act. 
(c) NATIONAL DROUGHT COUNCIL.— 
(1) ESTABLISHMENT.—There is established in 
the Office of the Secretary of Agriculture a council 
to be known as the ‘‘National Drought Council’’. 
(2) MEMBERSHIP.— 
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(A) COMPOSITION.—The Council shall be 
composed of— 
(i) the Secretary (or the designee of 
the Secretary); 
(ii) the Secretary of Commerce (or the 
designee of the Secretary of Commerce); 
(iii) the Secretary of the Army (or the 
designee of the Secretary of the Army); 
(iv) the Secretary of the Interior (or 
the designee of the Secretary of the Inte-
rior); 
(v) the Director of the Federal Emer-
gency Management Agency (or the des-
ignee of the Director); 
(vi) the Administrator of the Environ-
mental Protection Agency (or the designee 
of the Administrator); 
(vii) 4 members appointed by the Sec-
retary, in coordination with the National 
Governors Association, each of whom shall 
be the Governor of a State (or the designee 
of the Governor) and who collectively shall 
represent the geographic diversity of the 
Nation; 
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(viii) 1 member appointed by the Sec-
retary, in coordination with the National 
Association of Counties; 
(ix) 1 member appointed by the Sec-
retary, in coordination with the United 
States Conference of Mayors; 
(x) 1 member appointed by the Sec-
retary of the Interior, in coordination with 
Indian tribes, to represent the interests of 
tribal governments; and 
(xi) 1 member appointed by the Sec-
retary, in coordination with the National 
Association of Conservation Districts, to 
represent local soil and water conservation 
districts. 
(B) DATE
OF
APPOINTMENT.—The ap-
pointment of each member of the Council shall 
be made not later than 120 days after the date 
of enactment of this Act. 
(3) TERM; VACANCIES.— 
(A) TERM.—A non-Federal member of the 
Council appointed under paragraph (2) shall be 
appointed for a term of two years. 
(B) VACANCIES.—A vacancy on the Coun-
cil— 
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(i) shall not affect the powers of the 
Council; and 
(ii) shall be filled in the same manner 
as the original appointment was made. 
(C) TERMS OF MEMBERS FILLING VACAN-
CIES.—Any member appointed to fill a vacancy 
occurring before the expiration of the term for 
which the member’s predecessor was appointed 
shall be appointed only for the remainder of 
that term. 
(4) MEETINGS.— 
(A) IN GENERAL.—The Council shall meet 
at the call of the co-chairs. 
(B) FREQUENCY.—The Council shall meet 
at least semiannually. 
(5) QUORUM.—A majority of the members of 
the Council shall constitute a quorum, but a lesser 
number may hold hearings or conduct other busi-
ness. 
(6) COUNCIL LEADERSHIP.— 
(A) IN GENERAL.—There shall be a Fed-
eral co-chair and non-Federal co-chair of the 
Council. 
(B) APPOINTMENT.— 
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(i) FEDERAL
CO-CHAIR.—The Sec-
retary shall be Federal co-chair. 
(ii) NON-FEDERAL
CO-CHAIR.—The 
non-Federal members of the Council shall 
select, on a biannual basis, a non-Federal 
co-chair of the Council from among the 
members appointed under paragraph (2). 
(7) DIRECTOR OF THE OFFICE.— 
(A) IN GENERAL.—The Director of the Of-
fice shall serve as Secretary of the Council. 
(B) DUTIES.—The Director of the Office 
shall serve the interests of all members of the 
Council. 
(d) DUTIES OF THE COUNCIL.— 
(1) IN GENERAL.—The Council shall— 
(A) not later than one year after the date 
of the first meeting of the Council, develop a 
comprehensive National Drought Policy Action 
Plan that— 
(i)(I) delineates and integrates re-
sponsibilities for activities relating to 
drought (including drought preparedness, 
mitigation, research, risk management, 
training, and emergency relief) among 
Federal agencies; and 
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(II) ensures that those activities are 
coordinated with the activities of the 
States, local governments, Indian tribes, 
and neighboring countries; 
(ii) is consistent with— 
(I) this Act and other applicable 
Federal laws; and 
(II) the laws and policies of the 
States for water management; 
(iii) is integrated with drought man-
agement programs of the States, Indian 
tribes, 
local 
governments, 
watershed 
groups, and private entities; and 
(iv) avoids duplicating Federal, State, 
tribal, 
local, 
watershed, 
and 
private 
drought preparedness and monitoring pro-
grams in existence on the date of enact-
ment of this Act; 
(B) evaluate Federal drought-related pro-
grams in existence on the date of enactment of 
this Act and make recommendations to Con-
gress and the President on means of elimi-
nating— 
(i) discrepancies between the goals of 
the programs and actual service delivery; 
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(ii) duplication among programs; and 
(iii) any other circumstances that 
interfere with the effective operation of the 
programs; 
(C) make recommendations to the Presi-
dent, Congress, and appropriate Federal Agen-
cies on— 
(i) the establishment of common inter-
agency triggers for authorizing Federal 
drought mitigation programs; and 
(ii) improving the consistency and 
fairness of assistance among Federal 
drought relief programs; 
(D) encourage and facilitate the develop-
ment of drought preparedness plans under sub-
title C, including establishing the guidelines 
under this section; 
(E) based on a review of drought prepared-
ness plans, develop and make available to the 
public drought planning models to reduce water 
resource conflicts relating to water conservation 
and droughts; 
(F) develop and coordinate public aware-
ness activities to provide the public with access 
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to understandable, and informative materials on 
drought, including— 
(i) explanations of the causes of 
drought, the impacts of drought, and the 
damages from drought; 
(ii) descriptions of the value and bene-
fits of land stewardship to reduce the im-
pacts of drought and to protect the envi-
ronment; 
(iii) clear instructions for appropriate 
responses to drought, including water con-
servation, water reuse, and detection and 
elimination of water leaks; 
(iv) information on State and local 
laws applicable to drought; and 
(v) opportunities for assistance to re-
source-dependent businesses and industries 
in times of drought; and 
(G) establish operating procedures for the 
Council. 
(2) CONSULTATION.—In carrying out this sub-
section, the Council shall consult with groups af-
fected by drought emergencies. 
(3) REPORTS TO CONGRESS.— 
(A) ANNUAL REPORT.— 
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(i) IN GENERAL.—Not later than one 
year after the date of the first meeting of 
the Council, and annually thereafter, the 
Council shall submit to Congress a report 
on the activities carried out under this sec-
tion. 
(ii) INCLUSIONS.— 
(I) IN
GENERAL.—The annual 
report shall include a summary of 
drought preparedness plans. 
(II) INITIAL REPORT.—The ini-
tial report submitted under subpara-
graph (A) shall include any rec-
ommendations of the Council. 
(B) FINAL REPORT.—Not later than seven 
years after the date of enactment of this Act, 
the Council shall submit to Congress a report 
that recommends— 
(i) amendments to this section; and 
(ii) whether the Council should con-
tinue. 
(e) POWERS OF THE COUNCIL.— 
(1) HEARINGS.—The Council may hold hear-
ings, meet and act at any time and place, take any 
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testimony and receive any evidence that the Council 
considers advisable to carry out this section. 
(2) INFORMATION FROM FEDERAL AGENCIES.— 
(A) IN GENERAL.—The Council may ob-
tain directly from any Federal agency any in-
formation that the Council considers necessary 
to carry out this section. 
(B) PROVISION OF INFORMATION.— 
(i) IN GENERAL.—Except as provided 
in clause (ii), on request of the Secretary 
or the non-Federal co-chair of the Council, 
the head of a Federal agency may provide 
information to the Council. 
(ii) LIMITATION.—The head of a Fed-
eral agency shall not provide any informa-
tion to the Council that the Federal agency 
head determines the disclosure of which 
may cause harm to national security inter-
ests. 
(3) POSTAL SERVICES.—The Council may use 
the United States mail in the same manner and 
under the same conditions as other agencies of the 
Federal Government. 
(4) GIFTS.—The Council may accept, use, and 
dispose of gifts or donations of services or property. 
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(f) COUNCIL PERSONNEL MATTERS.— 
(1) COMPENSATION OF MEMBERS.— 
(A) NON-FEDERAL EMPLOYEES.—A mem-
ber of the Council who is not an officer or em-
ployee of the Federal Government shall serve 
without compensation. 
(B) FEDERAL EMPLOYEES.—A member of 
the Council who is an officer or employee of the 
United States shall serve without compensation 
in addition to the compensation received for 
services of the member as an officer or em-
ployee of the Federal Government. 
(2) TRAVEL
EXPENSES.—A member of the 
Council shall be allowed travel expenses at rates au-
thorized for an employee of an agency under sub-
chapter I of chapter 57 of title 5, United States 
Code, while away from the home or regular place of 
business of the member in the performance of the 
duties of the Council. 
(g) TERMINATION OF COUNCIL.—The Council shall 
terminate at the end of the eighth fiscal year beginning 
on or after the date of the enactment of this Act. 
(h) NATIONAL OFFICE
OF DROUGHT PREPARED-
NESS.— 
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(1) ESTABLISHMENT.—The Secretary shall es-
tablish an office to be known as the ‘‘National Office 
of Drought Preparedness’’ to provide assistance to 
the Council. 
(2) DIRECTOR OF THE OFFICE.— 
(A) APPOINTMENT.— 
(i) IN
GENERAL.—The Under Sec-
retary shall appoint a Director of the Of-
fice under sections 3371 through 3375 of 
title 5, United States Code. 
(ii) QUALIFICATIONS.—The Director 
of the Office shall be a person who has ex-
perience in— 
(I) public administration; and 
(II) 
drought 
mitigation 
or 
drought management. 
(B) POWERS.—The Director of the Office 
may hire such other additional personnel or 
contract for services with other entities as nec-
essary to carry out the duties of the Office. 
(3) DETAIL OF GOVERNMENT EMPLOYEES.— 
(A) IN GENERAL.—Except for the require-
ments of section 204, an employee of the Fed-
eral Government may be detailed to the Office 
without reimbursement, unless the Secretary, 
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on the recommendation of the Director of the 
Office, determines that reimbursement is appro-
priate. 
(B) CIVIL SERVICE STATUS.—The detail of 
an employee shall be without interruption or 
loss of civil service status or privilege. 
(i) DROUGHT ASSISTANCE FUND.— 
(1) ESTABLISHMENT.—There is established 
within the Department of Agriculture a fund to be 
known as the ‘‘Drought Assistance Fund’’. 
(2) PURPOSE.—The Fund shall be used to pay 
the costs of— 
(A) providing technical and financial as-
sistance (including grants and cooperative as-
sistance) to States, Indian tribes, local govern-
ments, watershed groups, and critical service 
providers for the development and implementa-
tion of drought preparedness plans; 
(B) providing to States, Indian tribes, local 
governments, watershed groups, and critical 
service providers the Federal share, as deter-
mined by the Secretary, in consultation with the 
other members of the Council, of the cost of 
mitigating the overall risk and impacts of 
droughts; 
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(C) assisting States, Indian tribes, local 
governments, watershed groups, and critical 
service providers in the development of mitiga-
tion measures to address environmental, eco-
nomic, and human health and safety issues re-
lating to drought; and 
(D) expanding the technology transfer of 
drought and water conservation strategies and 
innovative water supply techniques. 
(3) GUIDELINES.— 
(A) IN GENERAL.—The Secretary, in con-
sultation with the non-Federal co-chair of the 
Council and with the concurrence of the Coun-
cil, shall develop and promulgate guidelines to 
implement this subsection. 
(B) REQUIREMENTS.—The guidelines shall 
address the following: 
(i) Ensure the distribution of amounts 
from the Fund within a reasonable period 
of time. 
(ii) Take into consideration regional 
differences. 
(iii) Take into consideration all im-
pacts of drought in a balanced manner. 
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(iv) Prohibit the use of amounts from 
the Fund for Federal salaries that are not 
directly related to the provision of drought 
assistance. 
(v) 
Require 
that 
distribution 
of 
amounts from the Fund granted to States, 
local governments, watershed groups, and 
critical service providers to meet the re-
quirements of this subsection be coordi-
nated with and managed by the State in 
which such local government or critical 
service provider is located, consistent with 
the drought preparedness priorities and 
relevant water management plans within 
the State. 
(vi) Require that distribution of 
amounts from the Fund granted to Indian 
tribes to meet the requirements of this 
subsection be used to implement plans that 
are, to the extent practicable, in coordina-
tion with each State in which lands of the 
Indian tribe are located and consistent 
with existing drought preparedness and 
water management plans of such States. 
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