part of the eligible farmland subject to a market
transition contract, in accordance with regulations
issued by the Secretary.’’.
(b) CONFORMING AMENDMENTS.—
(1) 
WHEAT
0/85
PROGRAM.—Section
107B(c)(1)(E) of the Agricultural Act of 1949 (7
U.S.C. 1445b–3a(c)(1)(E)) is amended by striking
‘‘through 1997’’ in clauses (i) and (vii) each place
it appears and inserting ‘‘and 1995’’.
(2) FEED
GRAINS
0/85
PROGRAM.—Section
105B(c)(1)(E) 
of 
such 
Act 
(7 
U.S.C.
1444f(c)(1)(E)) is amended by striking ‘‘through
1997’’ in clauses (i) and (vii) each place it appears
and inserting ‘‘and 1995’’.
(3) COTTON PROGRAM.—Section 103B of such
Act (7 U.S.C. 1444–2) is amended—
(A) in the section heading, by striking
‘‘1997’’ and inserting ‘‘1995’’;
(B) in subsections (a)(1), (b)(1), (c)(1)(A),
(c)(1)(B)(ii), and (o), by striking ‘‘1997’’ each
place it appears and inserting ‘‘1995’’;
(C) 
in 
subsections 
(c)(1)(D)(i) 
and
(c)(1)(D)(v)(II) by striking ‘‘through 1997’’
each place it appears and inserting ‘‘and 1995’’;
(D) 
in 
the 
heading 
of 
subsection
(c)(1)(D)(v)(II), by striking ‘‘THROUGH
1997
CROPS’’ and inserting ‘‘AND 1995 CROPS’’;
(E) in subsection (e)(1)(D), by striking
‘‘291⁄2 percent for each of the 1995 and 1996
crops, and 29 percent for the 1997 crop’’ and
inserting ‘‘and 291⁄2
percent for the 1995
crop’’; and
(F) in subparagraphs (B)(i), (D)(i), (E)(i),
and (F)(i) of subsection (a)(5), by striking
‘‘1998’’ each place it appears and inserting
‘‘1996’’.
(4) RICE
50/85
PROGRAM.—Section 101B of
such Act (7 U.S.C. 1441–2) is amended—
(A) 
in 
subsections 
(c)(1)(D)(i) 
and
(c)(1)(D)(v)(II), by striking ‘‘through 1997’’
each place it appears and inserting ‘‘and 1995’’;
and
(B) 
in 
the 
heading 
of 
subsection
(c)(1)(D)(v)(II), by striking ‘‘THROUGH
1997
CROPS’’ and inserting ‘‘AND 1995 CROPS’’.
(5) CROP ACREAGE BASE.—Section 509 of such
Act (7 U.S.C. 1469) is amended by striking ‘‘effec-
tive only for the 1991 through 1997 program crops’’
and inserting ‘‘effective only until January 1, 1996’’.
SEC. 202. AVAILABILITY OF NONRECOURSE MARKETING AS-
SISTANCE LOANS FOR WHEAT, FEED GRAINS,
COTTON, RICE, AND OILSEEDS.
(a) NONRECOURSE LOANS AVAILABLE.—The Agri-
cultural Act of 1949 is amended by inserting after section
102A, as added by section 201 of this Act, the following
new section:
‘‘SEC. 
102B. 
NONRECOURSE 
MARKETING 
ASSISTANCE
LOANS FOR CERTAIN CROPS.
‘‘(a) NONRECOURSE LOANS AVAILABLE.—For each
of the 1996 through 2002 crops of wheat, feed grains, up-
land cotton, extra long staple cotton, rice, and oilseeds,
the Secretary shall make available to eligible producers on
a farm nonrecourse marketing assistance loans under
terms and conditions that are prescribed by the Secretary
and at a loan rate calculated under subsection (b). A mar-
keting assistance loan shall have a term of nine months
beginning on the first day of the first month after the
month in which the loan is made. The Secretary may not
extend the term of a marketing assistance loan.
‘‘(b) ANNOUNCEMENT OF LOAN RATE.—The Sec-
retary shall announce the loan rate for each commodity
specified in subsection (a) not later than the start of the
marketing year of the commodity for which the loan rate
is to be in effect.
‘‘(c) CALCULATION OF LOAN RATE.—
‘‘(1) CALCULATION.—Subject to adjustment
under paragraph (2), the loan rate for marketing as-
sistance loans under subsection (a) for a particular
commodity specified in such subsection shall be
equal to 70 percent of the simple average price re-
ceived by producers of that commodity during the
marketing years for the immediately preceding five
crops of that commodity.
‘‘(2) REQUIRED BUDGETARY ADJUSTMENTS.—
If the Secretary estimates for one of the marketing
years for the 1996 through 2002 crops of a particu-
lar commodity specified in subsection (a) that the
average price to be received by producers of that
commodity is likely to be less that the loan rate cal-
culated under paragraph (1) for that marketing
year, the Secretary shall reduce the loan rate for
that commodity for that marketing year by an
amount sufficient to enable the Secretary to provide
marketing assistance loans at no net cost to the
Federal Government by preventing the accumulation
of that commodity by the Commodity Credit Cor-
poration through loan forfeitures.
‘‘(3) SIMPLE AVERAGE PRICE.—The Secretary
shall be responsible for determining the simple aver-
age price received by producers of a commodity spec-
ified in subsection (a). In determining the simple av-
erage price a commodity for a five-year period, the
Secretary shall exclude the year in which the average
price was the highest and the year in which the av-
erage price was the lowest during the period.
‘‘(d) ADJUSTMENTS FOR GRADE, TYPE, QUALITY,
LOCATION, AND OTHER FACTORS.—The Secretary may
make such adjustments in the announced loan rate for a
commodity specified in subsection (a) as the Secretary
considers appropriate to reflect differences in grade, type,
quality, location, and other factors.
‘‘(e) PRODUCERS ELIGIBLE FOR LOANS.—Only the
following producers shall be eligible for a marketing assist-
ance loan under this section:
‘‘(1) In the case of a marketing assistance loan
for a crop of wheat, feed grains (other than rye), up-
land cotton, extra long staple cotton, or rice, a pro-
ducer whose land on which the crop is raised is sub-
ject to a market transition contract under section
102A.
‘‘(2) In the case of a marketing assistance loan
for a crop of rye or oilseeds, any producer.
‘‘(f) DEFINITIONS.—For purposes of this section:
‘‘(1) The term ‘feed grains’ means corn, grain
sorghums, barley, oats, and rye.
‘‘(2) The term ‘oilseeds’ means soybeans, sun-
flower seed, rapeseed, canola, safflower, flaxseed,
mustard seed, and, if designated by the Secretary,
other oilseeds.’’.
(b) REPEAL OF FARMER OWNED RESERVE PRO-
GRAM.—Section 110 of the Agricultural Act of 1949 (7
U.S.C. 1445e) is repealed. The repeal of such section shall
not affect the validity or terms and conditions of any ex-
tended price support loan provided under such section be-
fore the date of the enactment of this Act.
(c) REPEAL OF CURRENT ADJUSTMENT AUTHOR-
ITY.—Section 403 of the Agricultural Act of 1949 (7
U.S.C. 1423) is repealed.
SEC. 203. REFORM OF PAYMENT LIMITATION PROVISIONS
OF FOOD SECURITY ACT OF 1985.
(a) ATTRIBUTION OF PAYMENTS MADE TO CORPORA-
TIONS AND OTHER ENTITIES.—Section 1001(5)(C) of the
Food Security Act of 1985 (7 U.S.C. 1308(5)(C)) is
amended to read as follows:
‘‘(C)(i) In the case of payments to corporations and
other entities described in subparagraph (B)(i)(II), the
Secretary shall attribute payments to individuals in pro-
portion to their ownership interests in the corporation or
entity receiving the payment or in any other corporation
or entity that has a substantial beneficial interest in the
corporation or entity actually receiving the payment. This
subparagraph shall apply to individuals who hold or ac-
quire, directly or through another corporation or entity,
a substantial beneficial interest in the corporation or en-
tity actually receiving the payment.’’.
‘‘(ii) In the case of payments to corporations and
other entities described in subparagraph (B)(i)(II), the
Secretary shall also attribute payments to any State (or
political subdivision or agency thereof) or other corpora-
tion or entity that has a substantial beneficial interest in
the corporation or entity actually receiving the payment
in proportion to their ownership interests in the corpora-
tion or entity receiving the payment. This subparagraph
shall apply even if the payments are also attributable to
individuals under clause (i).
‘‘(iii) For purposes of this subparagraph, the term
‘substantial beneficial interest’ means not less than five
percent of all beneficial interests in the corporation or en-
tity actually receiving the payment, except that the Sec-
retary may set a lower percentage in order to ensure that
the provisions of this section and the scheme or device pro-
visions in section 1001B are not circumvented.’’.
(b) TRACKING PAYMENTS USING SOCIAL SECURITY
AND
EMPLOYER
IDENTIFICATION
NUMBERS.—Section
1001(5)(A) of the Food Security Act of 1985 (7 U.S.C.
1308(5)(A)) is amended—
(1) by striking ‘‘and’’ at the end of subpara-
graph (i);
(2) by redesignating subparagraph (ii) as sub-
paragraph (iv); and
(3) by inserting after subparagraph (i) the fol-
lowing new subparagraphs:
‘‘(ii) providing for the tracking of payments
made or attributed to an individual on the basis of
the social security account number of the individual;
‘‘(iii) providing for the tracking of payments
made or attributed to a corporation or other entity
described in subclause (II) or (III) of subparagraph
(B)(i) on the basis of the employer identification
number of the corporation or other entity; and’’.
TITLE III—COMMISSION ON 21ST
CENTURY PRODUCTION AGRI-
CULTURE
SEC. 301. ESTABLISHMENT.
There is hereby established a commission to be known
as the ‘‘Commission on 21st Century Production Agri-
culture’’ (hereinafter in this title referred to as the ‘‘Com-
mission’’).
SEC. 302. COMPOSITION.
(a) APPOINTMENT.—The Commission shall be com-
posed of 11 members, appointed as follows:
(1) Three members shall be appointed by the
President.
(2) Four members shall be appointed by the
Chairman of the Committee on Agriculture of the
House of Representatives in consultation with the
ranking minority member of the Committee.
(3) Four members shall be appointed by the
Chairman of the Committee on Agriculture, Nutri-
tion, and Forestry of the Senate in consultation with
the ranking minority member of the Committee.
(b) QUALIFICATIONS.—The members of the Commis-
sion shall be appointed from among persons having knowl-
edge and experience in agricultural production, marketing,
finance, or trade.
(c) TERM OF MEMBERS; VACANCIES.—Members of
the Commission shall be appointed for the life of the Com-
mission. A vacancy on the Commission shall not affect its
powers, but shall be filled in the same manner as the origi-
nal appointment was made.
(d) TIME FOR APPOINTMENT; FIRST MEETING.—
The members of the Commission shall be appointed not
later than October 1, 1997. The Commission shall convene
its first meeting to carry out its duties under this title
30 days after six members of the Commission have been
appointed.
(e) CHAIRMAN.—The chairman of the Commission
shall be designated jointly by the Chairman of the Com-
mittee on Agriculture of the House of Representatives and
the Chairman of the Committee on Agriculture, Nutrition,
and Forestry of the Senate from among the members of
the Commission.
SEC. 303. COMPREHENSIVE REVIEW OF PAST AND FUTURE
OF PRODUCTION AGRICULTURE.
(a) INITIAL REVIEW.—The Commission shall conduct
a comprehensive review of changes in the condition of pro-
duction agriculture in the United States since the date of
the enactment of this Act and the extent to which such
changes are the result of the amendments made by this
Act. The review shall include the following:
(1) An assessment of the initial success of mar-
ket transition contracts under section 102A of the
Agricultural Act of 1949 in supporting the economic
viability of farming in the United States.
(2) An assessment of the food security situation
in the United States in the areas of trade, consumer
prices, international competitiveness of United
States production agriculture, food supplies, and hu-
manitarian relief.
(3) An assessment of the changes in farm land
values and agricultural producer incomes since the
date of the enactment of this Act.
(4) An assessment of the extent to which regu-
latory relief for agricultural producers has been en-
acted and implemented, including the application of
cost/benefit principles in the issuance of agricultural
regulations.
(5) An assessment of the extent to which tax
relief for agricultural producers has been enacted in
the form of capital gains tax reductions, estate tax
exemptions, and mechanisms to average tax loads
over high and low income years.
(6) An assessment of the effect of any Govern-
ment interference in agricultural export markets,
such as the imposition of trade embargoes, and the
degree of implementation and success of inter-
national trade agreements.
(b) SUBSEQUENT REVIEW.—The Commission shall
conduct a comprehensive review of the future of produc-
tion agriculture in the United States and the appropriate
role of the Federal Government in support of production
agriculture. The review shall include the following:
(1) An assessment of changes in the condition
of production agriculture in the United States since
the initial review conducted under subsection (a).
(2) Identification of the appropriate future rela-
tionship of the Federal Government with production
agriculture after 2002.
(3) An assessment of the manpower and infra-
structure requirements of the Department of Agri-
culture necessary to support the future relationship
of the Federal Government with production agri-
culture.
(c) RECOMMENDATIONS.—In carrying out the subse-
quent review under subsection (b), the Commission shall
develop specific recommendations for legislation to achieve
the appropriate future relationship of the Federal Govern-
ment with production agriculture identified under sub-
section (a)(2).
SEC. 304. REPORTS.
(a) REPORT ON INITIAL REVIEW.—Not later than
January 1, 1999, the Commission shall submit to the
President, the Committee on Agriculture of the House of
Representatives, and the Committee on Agriculture, Nu-
trition, and Forestry of the Senate a report containing the
results of the initial review conducted under section
303(a).
(a) REPORT ON SUBSEQUENT REVIEW.—Not later
than January 1, 2001, the Commission shall submit to
the President and the congressional committees specified
in subsection (a) a report containing the results of the
subsequent review conducted under section 303(b).
SEC. 305. POWERS.
(a) HEARINGS.—The Commission may, for the pur-
pose of carrying out this title, conduct such hearings, sit
and act at such times, take such testimony, and receive
such evidence, as the Commission considers appropriate.
(b) ASSISTANCE
FROM
OTHER
AGENCIES.—The
Commission may secure directly from any department or
agency of the Federal Government such information, rel-
evant to its duties under this title, as may be necessary
to carry out such duties. Upon request of the chairman
of the Commission, the head of the department or agency
shall, to the extent permitted by law, furnish such infor-
mation to the Commission.
(c) MAIL.—The Commission may use the United
States mails in the same manner and under the same con-
ditions as the departments and agencies of the Federal
Government.
(d) ASSISTANCE FROM SECRETARY.—The Secretary
of Agriculture shall provide to the Commission appropriate
office space and such reasonable administrative and sup-
port services as the Commission may request.
SEC. 306. COMMISSION PROCEDURES.
(a) MEETINGS.—The Commission shall meet on a
regular basis (as determined by the chairman) and at the
call of the chairman or a majority of its members.
(b) QUORUM.—A majority of the members of the
Commission shall constitute a quorum for the transaction
of business.
SEC. 307. PERSONNEL MATTERS.
(a) COMPENSATION.—Each member of the Commis-
sion shall serve without compensation, but shall be allowed
travel expenses including per diem in lieu of subsistence,
as authorized by section 5703 of title 5, United States
Code, when engaged in the performance of Commission
duties.
(b) STAFF.—The Commission shall appoint a staff
director, who shall be paid at a rate not to exceed the
maximum rate of basic pay under section 5376 of title
5, United States Code, and such professional and clerical
personnel as may be reasonable and necessary to enable
the Commission to carry out its duties under this title
without regard to the provisions of title 5, United States
Code, governing appointments in the competitive service,
and without regard to the provisions of chapter 51 and
subchapter III of chapter 53 of such title, or any other
provision of law, relating to the number, classification, and
General Schedule rates. No employee appointed under this
subsection (other than the staff director) may be com-
pensated at a rate to exceed the maximum rate applicable
to level 15 of the General Schedule.
(c) DETAILED PERSONNEL.—Upon request of the
chairman of the Commission, the head of any department
or agency of the Federal Government is authorized to de-
tail, without reimbursement, any personnel of such depart-
ment or agency to the Commission to assist the Commis-
sion in carrying out its duties under this section. The de-
tail of any such personnel may not result in the interrup-
tion or loss of civil service status or privilege of such per-
sonnel.
SEC. 308. TERMINATION OF COMMISSION.
The Commission shall terminate upon submission of
the final report required by section 304.
TITLE IV—SUSPENSION OF CER-
TAIN PROVISIONS REGARD-
ING PROGRAM CROPS
SEC. 401. WHEAT.
(a) NONAPPLICABILITY OF CERTIFICATE REQUIRE-
MENTS.—Sections 379d through 379j of the Agricultural
Adjustment Act of 1938 (7 U.S.C. 1379d–1379j) (relating
to marketing certificate requirements for processors and
exporters) shall not be applicable to wheat processors or
exporters during the period June 1, 1996, through May
31, 2003.
(b) SUSPENSION OF LAND USE, WHEAT MARKETING
ALLOCATION, 
AND
PRODUCER
CERTIFICATE
PROVI-
SIONS.—Sections 331 through 339, 379b, and 379c of the
Agricultural Adjustment Act of 1938 (7 U.S.C. 1331
through 1339, 1379b, and 1379c) shall not be applicable
to the 1996 through 2002 crops of wheat.
(c) SUSPENSION OF CERTAIN QUOTA PROVISIONS.—
The joint resolution entitled ‘‘A joint resolution relating
to corn and wheat marketing quotas under the Agricul-
tural Adjustment Act of 1938, as amended’’, approved
May 26, 1941 (7 U.S.C. 1330 and 1340) shall not be ap-
plicable to the crops of wheat planted for harvest in the
calendar years 1996 through 2002.
(d) NONAPPLICABILITY
OF
SECTION
107 PRO-
GRAM.—Section 107 of the Agricultural Act of 1949 (7
U.S.C. 1445a) shall not be applicable to the 1996 through
2002 crops of wheat.
SEC. 402. FEED GRAINS.
Section 105 of the Agricultural Act of 1949 (7 U.S.C.
1444b) shall not be applicable to the 1996 through 2002
crops of feed grains.
SEC. 403. COTTON.
(a) SUSPENSION OF BASE ACREAGE ALLOTMENTS,
MARKETING QUOTAS, AND RELATED PROVISIONS.—Sec-
tions 342, 343, 344, 345, 346, and 377 of the Agricultural
Adjustment Act of 1938 (7 U.S.C. 1342–1346 and 1377)
shall not be applicable to any of the 1996 through 2002
crops of upland cotton.
(b) NONAPPLICABILITY
OF
SECTION
103 PRO-
GRAM.—Section 103(a) of the Agricultural Act of 1949
(7 U.S.C. 1444(a)) shall not be applicable to the 1996
through 2002 crops of upland cotton.
Æ
HR 2195 IH——2
HR 2195 IH——3