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and made available to all persons contracting with or re-
insured by the Corporation under the terms and condi-
tions of the contract between the Corporation and the
person originally submitting the policy or other material.
‘‘(6) PILOT COST OF PRODUCTION RISK PROTEC-
TION PLAN.—
‘‘(A) IN
GENERAL.—The Corporation shall
offer, to the extent practicable, a cost of production
risk protection plan of insurance that indemnifies
producers (including new producers) for insurable
losses as provided in this paragraph.
‘‘(B) PILOT
BASIS.—The cost of production
risk protection plan shall—
‘‘(i) be established as a pilot project for
each of the 1996 and 1997 crop years; and
‘‘(ii) be carried out in a number of coun-
ties that is determined by the Corporation to
be adequate to provide a comprehensive evalua-
tion of the feasibility, effectiveness, and de-
mand among producers for the plan.
‘‘(C) INSURABLE
LOSS.—An insurable loss
shall be incurred by a producer if the gross income
of the producer (as determined by the Corporation)
is less than an amount determined by the Corpora-
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tion, as a result of a reduction in yield or price re-
sulting from an insured cause.
‘‘(D) DEFINITION
OF
NEW
PRODUCER.—As
used in this paragraph, the term ‘new producer’
means a person that has not been actively engaged
in farming for a share of the production of the in-
sured crop for more than 2 crop years, as deter-
mined by the Secretary.
‘‘(7) ADDITIONAL
PREVENTED
PLANTING
POLICY
COVERAGE.—
‘‘(A) IN GENERAL.—Beginning with the 1995
crop year, the Corporation shall offer to producers
additional prevented planting coverage that insures
producers against losses in accordance with this
paragraph.
‘‘(B) APPROVED INSURANCE PROVIDERS.—Ad-
ditional prevented planting coverage shall be offered
by the Corporation through approved insurance pro-
viders.
‘‘(C) TIMING OF LOSS.—A crop loss shall be
covered by the additional prevented planting cov-
erage if—
‘‘(i) crop insurance policies were obtained
for—
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‘‘(I) the crop year the loss was expe-
rienced; and
‘‘(II) the crop year immediately pre-
ceding the year of the prevented planting
loss; and
‘‘(ii) the cause of the loss occurred—
‘‘(I) after the sales closing date for
the crop in the crop year immediately pre-
ceding the loss; and
‘‘(II) before the sales closing date for
the crop in the year in which the loss is
experienced.
‘‘(8) PILOT PROGRAM OF ASSIGNED YIELDS FOR
NEW PRODUCERS.—
‘‘(A) PROGRAM REQUIRED.—For each of the
1995 and 1996 crop years, the Corporation shall
carry out a pilot program to assign to eligible new
producers higher assigned yields than would other-
wise be assigned to the producers under subsection
(g). The Corporation shall include in the pilot pro-
gram 30 counties that are determined by the Cor-
poration to be adequate to provide a comprehensive
evaluation of the feasibility, effectiveness, and de-
mand among new producers for increased assigned
yields.
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‘‘(B) INCREASED
ASSIGNED
YIELDS.—In the
case of an eligible new producer participating in the
pilot program, the Corporation shall assign to the
new producer a yield that is equal to not less than
110 percent of the transitional yield otherwise es-
tablished by the Corporation.
‘‘(C) ELIGIBLE
NEW
PRODUCER.—The Sec-
retary shall establish a definition of new producer
for purposes of determining eligibility to participate
in the pilot program.
‘‘(i) ADOPTION OF RATES AND COVERAGES.—The Cor-
poration shall adopt, as soon as practicable, rates and cov-
erages that will improve the actuarial soundness of the insur-
ance operations of the Corporation for those crops that are
determined to be insured at rates that are not actuarially
sound, except that no rate may be increased by an amount
of more than 20 percent over the comparable rate of the pre-
ceding crop year.
‘‘(j) CLAIMS FOR LOSSES.—
‘‘(1) IN GENERAL.—Under rules prescribed by the
Corporation, the Corporation may provide for adjust-
ment and payment of claims for losses. The rules pre-
scribed by the Corporation shall establish standards to
ensure that all claims for losses are adjusted, to the ex-
tent practicable, in a uniform and timely manner.
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‘‘(2) DENIAL OF CLAIMS.—
‘‘(A) IN GENERAL.—Subject to subparagraph
(B), if a claim for indemnity is denied by the Cor-
poration or an approved provider, an action on the
claim may be brought against the Corporation or
Secretary only in the United States district court
for the district in which the insured farm is located.
‘‘(B) STATUTE OF LIMITATIONS.—A suit on
the claim may be brought not later than 1 year
after the date on which final notice of denial of the
claim is provided to the claimant.
‘‘(3) INDEMNIFICATION.—The Corporation shall
provide approved insurance providers with indemnifica-
tion, including costs and reasonable attorney fees in-
curred by the approved insurance provider, due to errors
or omissions on the part of the Corporation.
‘‘(k) REINSURANCE.—
‘‘(1) IN GENERAL.—Notwithstanding any other pro-
vision of this title, the Corporation shall, to the maxi-
mum extent practicable, provide reinsurance to insurers
approved by the Corporation that insure producers of
any agricultural commodity under 1 or more plans ac-
ceptable to the Corporation.
‘‘(2) TERMS
AND
CONDITIONS.—The reinsurance
shall be provided on such terms and conditions as the
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Board may determine to be consistent with subsections
(b) and (c) and sound reinsurance principles.
‘‘(3) SHARE OF RISK.—The reinsurance agreements
of the Corporation with the reinsured companies shall
require the reinsured companies to bear a sufficient
share of any potential loss under the agreement so as to
ensure that the reinsured company will sell and service
policies of insurance in a sound and prudent manner,
taking into consideration the financial condition of the
reinsured companies and the availability of private rein-
surance.
‘‘(4) RATE.—The rate established by the Board to
reimburse approved insurance providers and agents for
the administrative and operating costs of the providers
and agents shall not exceed—
‘‘(A) for the 1997 reinsurance year, 29 percent
of the premium used to define loss ratio;
‘‘(B) for the 1998 reinsurance year, 28 percent
of the premium used to define loss ratio; and
‘‘(C) for the 1999 reinsurance year, 27.5 per-
cent of the premium used to define loss ratio.
‘‘(5) COST
AND
REGULATORY
REDUCTION.—Con-
sistent with section 118 of the Federal Crop Insurance
Reform Act of 1994, and consistent with maintenance of
program integrity, prevention of fraud and abuse, the
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need for program expansion, and improvement of quality
of service to customers, the Board shall alter program
procedures and administrative requirements in order to
reduce the administrative and operating costs of ap-
proved insurance providers and agents in an amount
that corresponds to any reduction in the reimbursement
rate required under paragraph (4) during the 5-year pe-
riod beginning on the date of enactment of this para-
graph.
‘‘(6) AGENCY DISCRETION.—The determination of
whether the Corporation is achieving, or has achieved,
corresponding administrative cost savings shall not be
subject to administrative review, and is wholly commit-
ted to agency discretion within the meaning of section
701(a)(2) of title 5, United States Code.
‘‘(7) PLAN.—The Corporation shall submit to Con-
gress a plan outlining the measures that will be used to
achieve the reduction required under paragraph (5). If
the Corporation can identify additional cost reduction
measures, the Corporation shall describe the measures in
the plan.
‘‘(l) OPTIONAL COVERAGES.—The Corporation may offer
specific risk protection programs, including protection against
prevented planting, wildlife depredation, tree damage and dis-
ease, and insect infestation, under such terms and conditions
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as the Board may determine, except that no program may be
undertaken if insurance for the specific risk involved is gen-
erally available from private companies.
‘‘(m) RESEARCH.—
‘‘(1) IN GENERAL.—Except as provided in para-
graph (2), the Corporation may conduct research, sur-
veys, pilot programs, and investigations relating to crop
insurance and agriculture-related risks and losses includ-
ing insurance on losses involving reduced forage on
rangeland caused by drought and by insect infestation,
livestock poisoning and disease, destruction of bees due
to the use of pesticides, and other unique special risks
related to fruits, nuts, vegetables, aquacultural species,
forest industry needs (including appreciation), and other
agricultural products as determined by the Board.
‘‘(2) EXCEPTION.—No action may be undertaken
with respect to a risk under paragraph (1) if insurance
protection against the risk is generally available from
private companies.
‘‘(3) EVALUATION.—After the completion of any
pilot program under this subsection, the Corporation
shall evaluate the pilot program and submit to the Com-
mittee on Agriculture of the House of Representatives
and the Committee on Agriculture, Nutrition, and For-
estry of the Senate, a report of the operations of the
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pilot program, including the evaluation by the Corpora-
tion of the pilot program and the recommendations of
the Corporation with respect to implementing the pro-
gram on a national basis.’’.
SEC. 107. CROP INSURANCE YIELD COVERAGE.
Section 508A (7 U.S.C. 1508a) is repealed.
SEC. 108. PREEMPTION.
Section 511 (7 U.S.C. 1511) is amended by adding at
the end the following sentence: ‘‘A contract of insurance of
the Corporation, and a contract of insurance reinsured by the
Corporation, shall be exempt from taxation imposed by any
State, municipality, or local taxing authority.’’.
SEC. 109. ADVISORY COMMITTEE.
The Act is amended by inserting after section 514 (7
U.S.C. 1514) the following new section:
‘‘SEC. 515. ADVISORY COMMITTEE FOR FEDERAL CROP INSUR-
ANCE.
‘‘(a) ESTABLISHMENT.—The Secretary may establish
within the Department an advisory committee to be known as
the ‘Advisory Committee for Federal Crop Insurance’.
‘‘(b) PRIMARY RESPONSIBILITY.—The primary respon-
sibility of the Advisory Committee shall be to advise the Sec-
retary on the implementation of this title and on other issues
related to crop insurance, as determined by the Manager of
the Corporation.
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‘‘(c) MEMBERSHIP.—The Advisory Committee shall be
composed of the Manager of the Corporation, the Secretary
(or a designee of the Secretary), and not fewer than 12 mem-
bers representing organizations and agencies involved in the
provision of crop insurance under this title. Not fewer than
3 of the members of the Advisory Committee shall be rep-
resentatives of the specialty crops industry. The organizations
or agencies represented by members on the Advisory Commit-
tee may include insurance companies, insurance agents, farm
producer organizations, experts on agronomic practices, and
banking and lending institutions.
‘‘(d) ADMINISTRATIVE PROVISIONS.—
‘‘(1) TERMS.—Members of the Advisory Committee
(other than the Manager of the Corporation and the Sec-
retary) shall be appointed by the Secretary for a term
of up to 2 years from nominations made by the organi-
zations and agencies specified in subsection (c). The
terms of the members (other than the Manager of the
Corporation and the Secretary) shall be staggered.
‘‘(2) 
CHAIRPERSON.—The 
Advisory 
Committee
shall be chaired by the Manager of the Corporation.
‘‘(3) MEETINGS.—The Advisory Committee shall
meet at least annually. The meetings of the Advisory
Committee shall be publicly announced in advance and
shall be open to the public. Appropriate records of the
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activities of the Advisory Committee shall be kept and
made available to the public on request.
‘‘(e) REPORTS.—Not later than June 30 of each year,
the Advisory Committee shall submit to the Secretary a re-
port specifying the conclusions and recommendations of the
Advisory Committee regarding—
‘‘(1) the progress toward implementation of this
title;
‘‘(2) the actuarial soundness of the Federal crop in-
surance program;
‘‘(3) the rate of producer participation in both cata-
strophic risk protection under section 508(b) and addi-
tional coverage under section 508(c); and
‘‘(4) the progress toward improved crop insurance
coverage for new and specialty crops.
‘‘(f) TERMINATION OF AUTHORITY.—The authority pro-
vided by this section shall terminate on September 30,
1998.’’.
SEC. 110. FUNDING.
Section 516 (7 U.S.C. 1516) is amended to read as fol-
lows:
‘‘SEC. 516. FUNDING.
‘‘(a) AUTHORIZATION OF APPROPRIATIONS.—
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‘‘(1) DISCRETIONARY
EXPENSES.—There are au-
thorized to be appropriated for each of fiscal years 1995
through 2001 such sums as are necessary to cover—
‘‘(A) the salaries and expenses of the Corpora-
tion; and
‘‘(B) the administrative and operating expenses
of the Corporation for the sales commissions of
agents.
‘‘(2) MANDATORY EXPENSES.—There are author-
ized to be appropriated such sums as are necessary to
cover—
‘‘(A) in the case of each of the 1995 through
1997 reinsurance years, the administrative and op-
erating expenses of the Corporation for the sales
commissions of agents, consistent with subsection
(b)(1);
‘‘(B) premium subsidies, including the adminis-
trative and operating expenses of an approved in-
surance provider for the delivery of policies with ad-
ditional coverage; and
‘‘(C) payments for noninsured assistance losses
under section 519.
‘‘(b) PAYMENT OF EXPENSES.—
‘‘(1) 
ADMINISTRATIVE
AND
OPERATING
EX-
PENSES.—
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‘‘(A) IN GENERAL.—Except as provided in sub-
paragraph (B), in the case of each of the 1995
through 1997 reinsurance years, the Corporation is
authorized to pay from the insurance fund estab-
lished under subsection (c), the administrative and
operating expenses of an approved insurance pro-
vider, including expenses covered by subsection
(a)(1)(B).
‘‘(B) SALES COMMISSIONS FOR 1997 REINSUR-
ANCE YEAR.—In the case of the 1997 reinsurance
year, the amount of the payments from the insur-
ance fund established under subsection (c) for the
expenses of the Corporation for the sales commis-
sions of agents may not exceed 8.5 percent of the
total amount of premiums paid for additional cov-
erage for the 1997 reinsurance year.
‘‘(2) OTHER EXPENSES.—The Corporation is au-
thorized to pay from the insurance fund established
under subsection (c)—
‘‘(A) all other expenses of the Corporation
(other than expenses covered by subsection (a)(1)),
including all premium subsidies, noninsured assist-
ance benefits, and indemnities;
‘‘(B) subject to paragraph (1)(B), in the case
of each of the 1995 through 1997 reinsurance
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years, all administrative and expense reimburse-
ments due under a reinsurance agreement with an
approved insurance provider; and
‘‘(C) to the extent necessary, expenses incurred
by the Corporation to carry out research and devel-
opment.
‘‘(c) INSURANCE FUND.—
‘‘(1) IN GENERAL.—There is established an insur-
ance fund, for the deposit of premium income and
amounts made available under subsection (a)(2), to be
available without fiscal year limitation.
‘‘(2) COMMODITY CREDIT CORPORATION FUNDS.—If
at any time the amounts in the insurance fund are insuf-
ficient to enable the Corporation to carry out subsection
(b), to the extent the funds of the Commodity Credit
Corporation are available—
‘‘(A) the Corporation may request the Sec-
retary to use the funds of the Commodity Credit
Corporation to carry out subsection (b); and
‘‘(B) the Secretary may use the funds of the
Commodity Credit Corporation to carry out sub-
section (b).’’.
SEC. 111. NONINSURED CROP DISASTER ASSISTANCE.
Section 519 (7 U.S.C. 1519) is amended to read as fol-
lows:
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‘‘SEC. 519. NONINSURED CROP DISASTER ASSISTANCE PRO-
GRAM.
‘‘(a) ESTABLISHMENT OF PROGRAM.—
‘‘(1) ESTABLISHMENT.—In the case of an eligible
crop described in paragraph (2), the Corporation shall
establish a noninsured crop disaster assistance program
to provide coverage equivalent to the catastrophic risk
protection otherwise available under section 508(b).
‘‘(2) ELIGIBLE CROPS.—
‘‘(A) IN GENERAL.—As used in this section,
the term ‘eligible crop’ means each commercial crop
or other agricultural commodity (except livestock)—
‘‘(i) for which catastrophic risk protection
under section 508(b) is not available; and
‘‘(ii) that is produced for food or fiber.
‘‘(B) CROPS
SPECIFICALLY
INCLUDED.—The
term ‘eligible crop’ shall include floricultural, orna-
mental nursery, and Christmas tree crops, turfgrass
sod, and industrial crops.
‘‘(3) CAUSE OF LOSS.—To qualify for assistance
under this section, the losses of the noninsured commod-
ity shall be due to drought, flood, or other natural disas-
ter, as determined by the Secretary.
‘‘(b) APPLICATION FOR NONINSURED CROP DISASTER
ASSISTANCE.—
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‘‘(1) TIMELY APPLICATION.—To be eligible for as-
sistance under this section, a producer shall submit an
application for noninsured crop disaster assistance at a
local office of the Department. The application shall be
in such form, contain such information, and be submit-
ted at such time as the Corporation may require.
‘‘(2) RECORDS.—A producer shall annually provide
records, as required by the Corporation, of previous crop
acreage, acreage yields, and production, or the producer
shall accept a yield under subsection (e)(3) determined
by the Corporation.
‘‘(3) ACREAGE REPORTS.—A producer shall provide
reports on acreage planted or prevented from being
planted, as required by the Corporation, by the des-
ignated acreage reporting date for the crop and location
as established by the Corporation.
‘‘(c) LOSS REQUIREMENTS.—
‘‘(1) REQUIRED AREA LOSS.—A producer of an eli-
gible crop shall not receive noninsured crop disaster as-
sistance unless the average yield for that crop, or an
equivalent measure in the event yield data are not avail-
able, in an area falls below 65 percent of the expected
area yield, as established by the Corporation.
‘‘(2) PREVENTED PLANTING.—Subject to paragraph
(1), the Corporation shall make a prevented planting
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noninsured crop disaster assistance payment if the pro-
ducer is prevented from planting more than 35 percent
of the acreage intended for the eligible crop because of
drought, flood, or other natural disaster, as determined
by the Secretary.
‘‘(3) REDUCED YIELDS.—Subject to paragraph (1),
the Corporation shall make a reduced yield noninsured
crop disaster assistance payment to a producer if the
total quantity of the eligible crop that the producer is
able to harvest on any farm is, because of drought, flood,
or other natural disaster as determined by the Secretary,
less than 50 percent of the expected individual yield for
the crop, as determined by the Corporation, factored for
the interest of the producer for the crop.
‘‘(d) PAYMENT.—The Corporation shall make available
to a producer eligible for noninsured assistance under this
section a payment computed by multiplying—
‘‘(1) the quantity that is less than 50 percent of the
established yield for the crop; by
‘‘(2)(A) in the case of each of the 1995 through
1998 crop years, 60 percent of the average market price
for the crop (or any comparable coverage determined by
the Corporation); or
‘‘(B) in the case of each of the 1999 and subse-
quent crop years, 55 percent of the average market price
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for the crop (or any comparable coverage determined by
the Corporation); by
‘‘(3) a payment rate for the type of crop (as deter-
mined by the Corporation) that—
‘‘(A) in the case of a crop that is produced
with a significant and variable harvesting expense,
reflects the decreasing cost incurred in the produc-
tion cycle for the crop that is—
‘‘(i) harvested;
‘‘(ii) planted but not harvested; and
‘‘(iii) prevented from being planted be-
cause of drought, flood, or other natural disas-
ter (as determined by the Secretary); and
‘‘(B) in the case of a crop that is not produced
with a significant and variable harvesting expense,
is determined by the Corporation.
‘‘(e) YIELD DETERMINATIONS.—
‘‘(1) ESTABLISHMENT.—The Corporation shall es-
tablish farm yields for purposes of providing noninsured
crop disaster assistance under this section.
‘‘(2) ACTUAL
PRODUCTION
HISTORY.—The Cor-
poration shall determine yield coverage using the actual
production history of the producer over a period of not
less than the 4 previous consecutive crop years and not
more than 10 consecutive crop years. Subject to para-
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graph (3), the yield for the year in which noninsured
crop disaster assistance is sought shall be equal to the
average of the actual production history of the producer
during the period considered.
‘‘(3) ASSIGNMENT OF YIELD.—If a producer does
not submit adequate documentation of production his-
tory to determine a crop yield under paragraph (2), the
Corporation shall assign to the producer a yield equal to
not less than 65 percent of the transitional yield of the
producer (adjusted to reflect actual production reflected
in the records acceptable to the Corporation for continu-
ous years), as specified in regulations issued by the Cor-
poration based on production history requirements.
‘‘(4) PROHIBITION ON ASSIGNED YIELDS IN CER-
TAIN COUNTIES.—
‘‘(A) IN GENERAL.—
‘‘(i) DOCUMENTATION.—If sufficient data
are available to demonstrate that the acreage
of a crop in a county for the crop year has in-
creased by more than 100 percent over any
year in the preceding 7 crop years or, if data
are not available, if the acreage of the crop in
the county has increased significantly from the
previous crop years, a producer must provide
such detailed documentation of production
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costs, acres planted, and yield for the crop year
for which benefits are being claimed as is re-
quired by the Corporation. If the Corporation
determines that the documentation provided is
not sufficient, the Corporation may require
documenting proof that the crop, had the crop
been harvested, could have been marketed at a
reasonable price.
‘‘(ii) PROHIBITION.—Except as provided
in subparagraph (B), a producer who produces
a crop on a farm located in a county described
in clause (i) may not obtain an assigned yield.
‘‘(B) EXCEPTION.—A crop or a producer shall
not be subject to this subsection if—
‘‘(i) the planted acreage of the producer
for the crop has been inspected by a third
party acceptable to the Secretary; or
‘‘(ii)(I) the County Executive Director and
the State Executive Director recommend an ex-
emption from the requirement to the Deputy
Administrator for State and County Operations
of the Agricultural Stabilization and Conserva-
tion Service; and
‘‘(II) the Deputy Administrator approves
the recommendation.
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‘‘(5) LIMITATION ON RECEIPT OF SUBSEQUENT AS-
SIGNED YIELD.—A producer who receives an assigned
yield for the current year of a natural disaster because
required production records were not submitted to the
local office of the Department shall not be eligible for an
assigned yield for the year of the next natural disaster
unless the required production records of the previous 1
or more years (as applicable) are provided to the local
office.
‘‘(6) YIELD VARIATIONS DUE TO DIFFERENT FARM-
ING
PRACTICES.—The Corporation shall ensure that
noninsured crop disaster assistance accurately reflects
significant yield variations due to different farming prac-
tices, such as between irrigated and nonirrigated acre-
age.
‘‘(f) CONTRACT PAYMENTS.—A producer who has re-
ceived a guaranteed payment for production, as opposed to
delivery, of a crop pursuant to a contract shall have the pro-
duction of the producer adjusted upward by the amount of
the production equal to the amount of the contract payment
received.
‘‘(g) PAYMENT OF LOSSES.—Payments for noninsured
crop disaster assistance losses under this section shall be
made from the insurance fund established under section 516.
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The losses shall not be included in calculating the premiums
charged to producers for insurance under section 508.
‘‘(h) EXCLUSIONS.—Noninsured crop disaster assistance
under this section shall not cover losses due to—
‘‘(A) the neglect or malfeasance of the producer;
‘‘(B) the failure of the producer to reseed to the
same crop in those areas and under such circumstances
where it is customary to reseed; or
‘‘(C) the failure of the producer to follow good
farming practices, as determined by the Corporation.’’.
SEC. 112. PAYMENT AND INCOME LIMITATIONS.
Section 519 (7 U.S.C. 1519) (as amended by section
111) is further amended by adding at the end the following
new subsection:
‘‘(h) PAYMENT AND INCOME LIMITATIONS.—
‘‘(1) DEFINITIONS.—As used in this subsection:
‘‘(A) PERSON.—The term ‘person’ has the
meaning provided the term in regulations issued by
the Secretary. The regulations shall conform, to the
extent practicable, to the regulations defining the
term ‘person’ issued under section 1001 of the Food
Security Act of 1985 (7 U.S.C. 1308).
‘‘(B) QUALIFYING
GROSS
REVENUES.—The
term ‘qualifying gross revenues’ means—
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‘‘(i) if a majority of the gross revenue of
the person is received from farming, ranching,
and forestry operations, the gross revenue from
the farming, ranching, and forestry operations
of the person; and
‘‘(ii) if less than a majority of the gross
revenue of the person is received from farming,
ranching, and forestry operations, the gross
revenue of the person from all sources.
‘‘(2) PAYMENT LIMITATION.—The total amount of
payments that a person shall be entitled to receive annu-
ally under this title may not exceed $100,000.
‘‘(3) LIMITATION
ON
MULTIPLE
BENEFITS
FOR
SAME LOSS.—If a producer who is eligible to receive ben-
efits under catastrophic risk protection under section
508(b) or noninsured crop disaster assistance under this
section is also eligible to receive assistance for the same
loss under any other program administered by the Sec-
retary, the producer shall be required to elect whether to
receive benefits under this title or under the other pro-
gram, but not both. A producer who purchases addi-
tional coverage under section 508(c) may also receive as-
sistance for the same loss under other programs admin-
istered by the Secretary, except that the amount received
for the loss under the additional coverage together with
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the amount received under the other programs may not
exceed the amount of the actual loss of the producer.
‘‘(4) INCOME
LIMITATION.—A person who has
qualifying gross revenues in excess of the amount speci-
fied in section 2266(a) of the Food, Agriculture, Con-
servation, and Trade Act of 1990 (7 U.S.C. 1421 note)
(as in effect on November 28, 1990) during the taxable
year (as determined by the Secretary) shall not be eligi-
ble to receive any noninsured assistance payment under
this section.
‘‘(5) REGULATIONS.—The Secretary shall issue reg-
ulations prescribing such rules as the Secretary deter-
mines necessary to ensure a fair and equitable applica-
tion of section 1001 of the Food Security Act of 1985
(7 U.S.C. 1308), the general payment limitation regula-
tions of the Secretary, and the limitations established
under this subsection.’’.
SEC. 113. PRODUCER ELIGIBILITY.
Section 520 (7 U.S.C. 1520) is amended to read as fol-
lows:
‘‘SEC. 520. PRODUCER ELIGIBILITY.
‘‘Except as otherwise provided in this title, a producer
shall not be denied insurance under this title if—
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‘‘(1) for purposes of catastrophic risk protection
coverage, the producer is a ‘person’ (as defined by the
Secretary); and
‘‘(2) for purposes of any other plan of insurance,
the producer is 18 years of age and has a bona fide in-
surable interest in a crop as an owner-operator, landlord,
tenant, or sharecropper.’’.
SEC. 
114. 
INELIGIBILITY 
FOR 
CATASTROPHIC 
RISK 
AND
NONINSURED ASSISTANCE PAYMENTS.
The Act (7 U.S.C. 1501 et seq.) is amended by adding
at the end the following new section:
‘‘SEC. 521. INELIGIBILITY FOR CATASTROPHIC RISK AND
NONINSURED ASSISTANCE PAYMENTS.
‘‘If the Secretary determines that a person has know-
ingly adopted a material scheme or device to obtain cata-
strophic risk, additional coverage, or noninsured assistance
benefits under this title to which the person is not entitled,
has evaded this title, or has acted with the purposes of evad-
ing this title, the person shall be ineligible to receive all bene-
fits applicable to the crop year for which the scheme or device
was adopted. The authority provided by this section shall be
in addition to, and shall not supplant, the authority provided
by section 506(n).’’.
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SEC. 115. ELIMINATION OF GENDER REFERENCES.
(a) MANAGEMENT OF CORPORATION.—Section 505 (7
U.S.C. 1505) is amended—
(1) in subsection (a), by striking the third sentence
and inserting ‘‘The Board shall be appointed by, and
hold office at the pleasure of, the Secretary. The Sec-
retary shall not be a member of the Board.’’; and
(2) in subsection (d)—
(A) by striking ‘‘upon him’’; and
(B) by striking ‘‘He shall be appointed by,’’
and inserting ‘‘The manager shall be appointed
by,’’.
(b) PERSONNEL.—Section 507 (7 U.S.C. 1507) is
amended—
(1) in subsection (a), by striking ‘‘as he may deter-
mine: Provided, That’’ and inserting ‘‘as the Secretary
may determine appropriate. However,’’; and
(2) in subsection (d), by striking ‘‘as he may re-
quest’’ and inserting ‘‘that the Secretary requests’’.
(c) INDEMNITIES EXEMPT FROM LEVY.—Section 509 (7
U.S.C. 1509) is amended by striking ‘‘or his estate’’ and in-
serting ‘‘or the estate of the insured’’.
SEC. 116. PREVENTED PLANTING.
(a) IN GENERAL.—Effective for the 1994 crop year, a
producer described in subsection (b) shall receive compensa-
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tion under the prevented planting coverage policy provision
described in subsection (b)(1) by—
(1) obtaining from the Secretary of Agriculture the
applicable amount that is payable under the conserving
use program described in subsection (b)(4); and
(2) obtaining from the Federal Crop Insurance Cor-
poration the amount that is equal to the difference be-
tween—
(A) the amount that is payable under the con-
serving use program; and
(B) the amount that is payable under the pre-
vented planting coverage policy.
(b) ELIGIBLE PRODUCERS.—Subsection (a) shall apply
to a producer who—
(1) purchased a prevented planting policy for the
1994 crop year from the Federal Crop Insurance Cor-
poration prior to the spring sales closing date for the
1994 crop year;
(2) is unable to plant a crop due to major, wide-
spread flooding in the Midwest, or excessive ground
moisture, that occurred prior to the spring sales closing
date for the 1994 crop year;
(3) had a reasonable expectation of planting a crop
on the prevented planting acreage for the 1994 crop
year; and
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(4) participates in a conserving use program estab-
lished for the 1994 crop of wheat, feed grains, upland
cotton, or rice established under section 107B(c)(1)(E),
105B(c)(1)(E), 103B(c)(1)(D), or 101B(c)(1)(D), re-
spectively, of the Agricultural Act of 1949 (7 U.S.C.
1445b–3a(c)(1)(E), 1444f(c)(1)(E), 1444–2(c)(1)(D), or
1441–2(c)(1)(D)).
(c) OILSEED PREVENTED PLANTING PAYMENTS.—
(1) IN GENERAL.—Effective for the 1994 crop year,
a producer of a crop of oilseeds (as defined in section
205(a) of the Agricultural Act of 1949 (7 U.S.C.
1446f(a))) shall receive a prevented planting payment
for the crop if the requirements of paragraphs (1), (2),
and (3) of subsection (b) are satisfied.
(2) SOURCE OF PAYMENT.—The total amount of
payments required under this subsection shall be made
by the Federal Crop Insurance Corporation.
(d) PAYMENT.—A payment under this section may not
be made before October 1, 1994.
SEC. 117. REPORT ON IMPROVING DISSEMINATION OF CROP IN-
SURANCE INFORMATION.
Not later than 180 days after the date of enactment of
this Act and at the end of each of the 2 1-year periods there-
after, the Federal Crop Insurance Corporation shall submit
a report to Congress containing a plan to implement a sound
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program for producer education regarding the crop insurance
program and for the dissemination of crop insurance informa-
tion to producers, as required by section 508(a)(5) of the
Federal Crop Insurance Act (as amended by section 106).
SEC. 118. CROP INSURANCE PROVIDER EVALUATION.
(a) IN GENERAL.—The Comptroller General of the Unit-
ed States and the Federal Crop Insurance Corporation (re-
ferred to in this section as the ‘‘Corporation’’) shall jointly
evaluate the financial arrangement between the Corporation
and approved insurance providers to determine the quality,
costs, and efficiencies of providing the benefits of multiple
peril crop insurance to producers of agricultural commodities
covered under the Federal Crop Insurance Act (7 U.S.C.
1501 et seq.).
(b) COLLECTION OF INFORMATION AND PROPOSALS.—
The Corporation shall require private insurance providers and
agents to supply, and the private insurance providers and
agents shall supply, records and information necessary to
make the determinations and evaluations required under this
section. The Corporation shall solicit from the approved in-
surance providers and agents proposals for modifying or al-
tering the requirements, regulations, procedures, and proc-
esses related to implementing the Federal Crop Insurance
Act to reduce the operating and administrative costs of the
providers and agents.
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(c) INITIAL REPORT.—Not later than 180 days after re-
ceipt of information and cost-reduction proposals under sub-
section (b), the Corporation shall evaluate the information
and proposals obtained and report the results of the evalua-
tion to the Committee on Agriculture of the House of Rep-
resentatives and the Committee on Agriculture, Nutrition,
and Forestry of the Senate.
(d) FINAL REPORT.—Not later than 2 years after the
date of enactment of this Act, the Comptroller General and
the Corporation shall submit a final report that provides the
evaluation required under subsection (a) to the Committee on
Agriculture of the House of Representatives and the Commit-
tee on Agriculture, Nutrition, and Forestry of the Senate. In
making the evaluation, the Comptroller General and the Cor-
poration shall—
(1) consider the changes made by the Corporation
in response to increased program participation resulting
from the enactment of this Act;
(2) include an evaluation and opinion of the accu-
racy and reasonableness of—
(A) the average actual costs for approved in-
surance providers to deliver multiple peril crop in-
surance;
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(C) identify areas for improved operating effi-
ciencies, if any, in the requirements made by the Cor-
poration for compliance and program integrity;
(5) assess the potential for alternative forms of re-
insurance arrangements for providers of different firm
sizes, taking into consideration—
(A) the need to achieve a reasonable return on
the capital of the provider compared to other lines
of insurance;
(B) the relative risk borne by the provider for
the different lines of insurance;
(C) the availability and price of commercial re-
insurance; and
(D) any additional costs that may be incurred
by the Federal Government in carrying out the Fed-
eral Crop Insurance Act; and
(6) include an analysis of the effect of the current
or proposed reinsurance arrangements on providers hav-
ing different business levels.
(e) INFORMATION.—
(1) PRIVACY.—In conducting the evaluation re-
quired by this section, the Comptroller General and the
Corporation shall maintain the privacy of proprietary in-
formation.
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(2) SUBPOENAS.—The Comptroller General shall
have the power to subpoena information relevant to the
evaluation required by this section from any private in-
surance provider. The Comptroller General shall allow
the Corporation access to the information subpoenaed
taking into consideration the necessity of preserving the
privacy of proprietary information.
SEC. 119. CONFORMING AMENDMENTS.
(a) PRICE SUPPORT PROGRAMS.—
(1) IN GENERAL.—Title IV of the Agricultural Act
of 1949 (7 U.S.C. 1421 et seq.) is amended by adding
at the end the following new section:
‘‘SEC. 427. CROP INSURANCE REQUIREMENT.
‘‘As a condition of receiving any benefit (including pay-
ments) under title I or II for each of the 1995 and subse-
quent crops of tobacco, rice, extra long staple cotton, upland
cotton, feed grains, wheat, peanuts, oilseeds, and sugar, a
producer must obtain at least catastrophic risk protection in-
surance coverage under section 508 of the Federal Crop In-
surance Act (7 U.S.C. 1508) for the crop and crop year for
which the benefit is sought, if the coverage is offered by the
Corporation.’’.
(2) RICE.—Section 101B(c) of such Act (7 U.S.C.
1441–2(c)) is amended—
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(A) in paragraph (1), by striking subparagraph
(F); and
(B) by striking paragraph (2) and inserting
the following new paragraph:
‘‘(2) CROP INSURANCE REQUIREMENT.—A producer
shall obtain catastrophic risk protection insurance cov-
erage in accordance with section 427.’’.
(3) UPLAND COTTON.—Section 103B(c) of such Act
(7 U.S.C. 1444–2(c)) is amended—
(A) in paragraph (1), by striking subparagraph
(F); and
(B) by striking paragraph (2) and inserting
the following new paragraph:
‘‘(2) CROP INSURANCE REQUIREMENT.—A producer
shall obtain catastrophic risk protection insurance cov-
erage in accordance with section 427.’’.
(4) FEED GRAINS.—Section 105B(c) of such Act (7
U.S.C. 1444f(c)) is amended—
(A) in paragraph (1), by striking subparagraph
(G); and
(B) by striking paragraph (2) and inserting
the following new paragraph:
‘‘(2) CROP INSURANCE REQUIREMENT.—A producer
shall obtain catastrophic risk protection insurance cov-
erage in accordance with section 427.’’.
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(5) WHEAT.—Section 107B(c) of such Act (7
U.S.C. 1445b–3a(c)) is amended—
(A) in paragraph (1), by striking subparagraph
(G); and
(B) by striking paragraph (2) and inserting
the following new paragraph:
‘‘(2) CROP INSURANCE REQUIREMENT.—A producer
shall obtain catastrophic risk protection insurance cov-
erage in accordance with section 427.’’.
(6) DISASTER PAYMENTS.—Section 208 of such Act
(7 U.S.C. 1446i) is repealed.
(b) FARMERS HOME ADMINISTRATION PROGRAMS.—The
Consolidated Farm and Rural Development Act (7 U.S.C.
1921 et seq.) is amended by adding at the end the following
new section:
‘‘SEC. 371. CROP INSURANCE REQUIREMENT.
‘‘(a) IN GENERAL.—As a condition of obtaining any ben-
efit (including a direct loan, loan guarantee, or payment) de-
scribed in subsection (b), a borrower must obtain at least cat-
astrophic risk protection insurance coverage under section
508 of the Federal Crop Insurance Act (7 U.S.C. 1508) for
the crop and crop year for which the benefit is sought, if the
coverage is offered by the Corporation.
‘‘(b) APPLICABLE
BENEFITS.—Subsection (a) shall
apply to—
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‘‘(1) a farm ownership loan (FO) under section
303;
‘‘(2) an operating loan (OL) under section 312; and
‘‘(3) an emergency loan (EM) under section 321.’’.
(c) DISASTER ASSISTANCE.—Subtitle B of title XXII of
the Food, Agriculture, Conservation, and Trade Act of 1990
(7 U.S.C. 1421 note) is amended by striking chapter 3.
(d) EMERGENCY APPROPRIATIONS.—
(1) IN GENERAL.—Effective January 1, 1995, sec-
tion 251(b)(2)(D)(i) of the Balanced Budget and Emer-
gency 
Deficit 
Control 
Act 
of 
1985 
(2 
U.S.C.
901(b)(2)(D)(i)) is amended by adding at the end the
following new sentence: ‘‘This subparagraph shall not
apply to appropriations to cover agricultural crop disas-
ter assistance.’’.
(2) EMERGENCY LEGISLATION.—Effective January
1, 1995, section 252(e) of such Act (2 U.S.C. 902(e))
is amended by adding at the end the following new sen-
tence: ‘‘This subsection shall not apply to direct spend-
ing provisions to cover agricultural crop disaster assist-
ance.’’.
(e) FALSE STATEMENTS.—Section 1014 of title 18,
United States Code, is amended by inserting ‘‘or a company
the Corporation reinsures’’ after ‘‘Federal Crop Insurance
Corporation’’.
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(f) TECHNICAL AMENDMENTS.—
(1) The first sentence of section 506(d) (7 U.S.C.
1506(d)) is amended by striking ‘‘508(f)’’ and inserting
‘‘508(j)’’.
(2) The last sentence of section 507(c) (7 U.S.C.
1507(c)) is amended by striking ‘‘508(b)’’ and inserting
‘‘508(h)’’.
(3) Section 518 (7 U.S.C. 1518) is amended by
striking ‘‘(k)’’ and inserting ‘‘(m)’’.
SEC. 120. EFFECTIVE DATE.
Except as otherwise provided in this title, this title and
the amendments made by this title shall become effective on
the date of enactment of this Act and shall apply to the pro-
vision of crop insurance under the Federal Crop Insurance
Act (7 U.S.C. 1501 et seq.) beginning with the 1995 crop
year. With respect to the 1994 crop year, the Federal Crop
Insurance Act (as in effect on the day before the date of en-
actment of this Act) shall continue to apply.
TITLE II—DEPARTMENT OF
AGRICULTURE REORGANIZATION
SEC. 201. SHORT TITLE.
(a) SHORT TITLE.—This title may be cited as the ‘‘De-
partment of Agriculture Reorganization Act of 1994’’.
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SEC. 202. PURPOSE.
The purpose of this title is to provide the Secretary of
Agriculture with the necessary authority to streamline and
reorganize the Department of Agriculture to achieve greater
efficiency, effectiveness, and economies in the organization
and management of the programs and activities carried out
by the Department.
SEC. 203. DEFINITIONS.
Except where the context requires otherwise, for pur-
poses of this title:
(1) DEPARTMENT.—The term ‘‘Department’’ means
the Department of Agriculture.
(2) NATIONAL APPEALS DIVISION.—The term ‘‘Na-
tional Appeals Division’’ means the National Appeals Di-
vision of the Department established under section 272.
(3) SECRETARY.—The term ‘‘Secretary’’ means the
Secretary of Agriculture.
(4) FUNCTION.—The term ‘‘function’’ means an ad-
ministrative, financial, or regulatory activity of an agen-
cy, office, officer, or employee of the Department.
Subtitle A—General Reorganization
Authorities
SEC. 211. TRANSFER OF DEPARTMENT FUNCTIONS TO SEC-
RETARY OF AGRICULTURE.
(a) TRANSFER OF FUNCTIONS.—Except as provided in
subsection (b), there are transferred to the Secretary of Agri-
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culture all functions of all agencies, offices, officers, and em-
ployees of the Department that are not already vested in the
Secretary on the date of the enactment of this Act.
(b) EXCEPTIONS.—Subsection (a) shall not apply to the
following functions:
(1) Functions vested by subchapter II of chapter 5
of title 5, United States Code, in administrative law
judges employed by the Department.
(2) Functions vested by the Inspector General Act
of 1978 (5 U.S.C. App.) in the Inspector General of the
Department.
(3) Functions vested by chapter 9 of title 31, Unit-
ed States Code, in the Chief Financial Officer of the De-
partment.
(4) Functions vested in the corporations of the De-
partment or the boards of directors and officers of such
corporations.
(5) Functions vested in the Alternative Agricultural
Research and Commercialization Board by the Alter-
native Agricultural Research and Commercialization Act
of 1990 (7 U.S.C. 5901 et seq.).
SEC. 212. AUTHORITY OF SECRETARY TO DELEGATE TRANS-
FERRED FUNCTIONS.
(a) DELEGATION OF AUTHORITY.—
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(1) DELEGATION AUTHORIZED.—Subject to para-
graph (2), the Secretary may delegate to any agency, of-
fice, officer, or employee of the Department the author-
ity to perform any function transferred to the Secretary
under section 211(a) or any other function vested in the
Secretary as of the date of the enactment of this Act.
The authority provided in the preceding sentence in-
cludes the authority to establish, consolidate, alter, or
discontinue any agency, office, or other administrative
unit of the Department.
(2) CONDITION
ON
AUTHORITY.—The delegation
authority provided by paragraph (1) shall be subject
to—
(A) sections 232, 251(d), 273, and 304 and
subsections (a) and (b)(1) of section 261;
(B) sections 502 and 503 of the Agricultural
Trade Act of 1978 (7 U.S.C. 5692 and 5693); and
(C) section 8(b)(5) of the Soil Conservation
and 
Domestic 
Allotment 
Act 
(16 
U.S.C.
590h(b)(5)).
(b) COST-BENEFIT ANALYSIS REQUIRED
FOR NAME
CHANGE.—
(1) ANALYSIS REQUIRED.—Except as provided in
paragraph (2), the Secretary shall conduct a cost-benefit
analysis before changing the name of any agency, office,
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division, or other unit of the Department to ensure that
the benefits to be derived from changing the name of the
agency, office, division, or other unit outweigh the ex-
pense of executing the name change.
(2) EXCEPTION.—Paragraph (1) shall not apply
with respect to any name change required or authorized
by this title.
(c) PUBLIC COMMENT
ON PROPOSED REORGANIZA-
TION.—To the extent that the implementation of the author-
ity provided to the Secretary by this title to reorganize the
Department involves the creation of new agencies or offices
within the Department or the delegation of major functions
or major groups of functions to any agency or office of the
Department (or the officers or employees of such agency or
office), the Secretary shall, to the extent considered prac-
ticable by the Secretary—
(1) give appropriate advance public notice of the
proposed reorganization action or delegation; and
(2) afford appropriate opportunity for interested
parties to comment on the proposed reorganization ac-
tion or delegation.
(d) INTERAGENCY TRANSFER OF RECORDS, PROPERTY,
PERSONNEL, AND FUNDS.—
(1) RELATED TRANSFERS.—Subject to paragraph
(2), as part of the transfer or delegation of a function
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of the Department made or authorized by this title, the
Secretary may transfer within the Department—
(A) any of the records, property, or personnel
affected by the transfer or delegation of the func-
tion; and
(B) unexpended balances (available or to be
made available for use in connection with the trans-
ferred or delegated function) of appropriations, allo-
cations, or other funds of the Department.
(2) APPLICABLE LAW RELATING TO FUNDS TRANS-
FER.—Section 1531 of title 31, United States Code,
shall apply to any transfer of funds under paragraph
(1).
(e) EXHAUSTION OF ADMINISTRATIVE APPEALS.—Not-
withstanding any other provision of law, a person shall ex-
haust all administrative appeal procedures established by the
Secretary or required by law before the person may bring an
action in a court of competent jurisdiction against—
(1) the Secretary;
(2) the Department; or
(3) an agency, office, officer, or employee of the De-
partment.
SEC. 213. REDUCTIONS IN NUMBER OF DEPARTMENT PERSON-
NEL.
(a) DEFINITIONS.—For purposes of this section:
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(1) HEADQUARTERS
OFFICES.—The term ‘‘head-
quarters offices’’, with respect to agencies, offices, or
other administrative units of the Department, means the
offices, functions, and employee positions that are lo-
cated or performed—
(A) in Washington, District of Columbia; or
(B) in such other locations as are identified by
the Secretary for purposes of this section.
(2) FIELD
STRUCTURE.—The term ‘‘field struc-
ture’’ means the offices, functions, and employee posi-
tions of all agencies, offices, or other administrative
units of the Department, other than the headquarters of-
fices, except that the term does not include State, coun-
ty, or area committees established under section 8(b)(5)
of the Soil Conservation and Domestic Allotment Act
(16 U.S.C. 590h(b)(5)). The term includes the physical
and geographic locations of such agencies, offices, or
other administrative units.
(b) NUMBER
OF REDUCTIONS REQUIRED.—The Sec-
retary shall achieve Federal employee reductions of at least
7,500 staff years within the Department by the end of fiscal
year 1999. Reductions in the number of full-time equivalent
positions within the Department achieved under section 5 of
the Federal Workforce Restructuring Act of 1994 (Public
Law 103–226; 108 Stat. 115; 5 U.S.C. 3101 note) shall be
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counted toward the employee reductions required under this
section.
(c) EMPHASIS
ON HEADQUARTERS OFFICES REDUC-
TIONS.—In achieving the employee reductions required by
subsection (b), the Secretary shall pursue a goal so that the
percentage of the total number of employee staff years re-
duced in headquarters offices is at least twice the percentage
of the total number of employee staff years reduced in the
field structure.
(d) SCHEDULE.—The personnel reductions in head-
quarters offices and in the field structure should be accom-
plished concurrently in a manner determined by the Sec-
retary.
SEC. 214. CONSOLIDATION OF HEADQUARTERS OFFICES.
Subject to the availability of appropriated funds for this
purpose, the Secretary shall develop and carry out a plan to
consolidate offices located in Washington, District of Colum-
bia, of agencies, offices, and other administrative units of the
Department.
SEC. 215. COMBINATION OF FIELD OFFICES.
(a) COMBINATION
OF
OFFICES
REQUIRED.—Where
practicable and to the extent consistent with efficient, effec-
tive, and improved service, the Secretary shall combine field
offices of agencies within the Department to reduce personnel
and duplicative overhead expenses.
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(b) JOINT USE
OF RESOURCES
AND OFFICES RE-
QUIRED.—When two or more agencies of the Department
share a common field office, the Secretary shall require the
agencies to jointly use office space, equipment, office supplies,
administrative personnel, and clerical personnel associated
with that field office.
SEC. 216. IMPROVEMENT OF INFORMATION SHARING.
Whenever the Secretary procures or uses computer sys-
tems, as may be provided for in advance in appropriations
Acts, the Secretary shall do so in a manner that enhances ef-
ficiency, productivity, and client services and is consistent
with the goal of promoting computer information sharing
among agencies of the Department.
SEC. 217. REPORTS BY THE SECRETARY.
(a) IN GENERAL.—Subject to subsection (b), notwith-
standing any other provision of law, the Secretary may, but
shall not be required to, prepare and submit any report solely
to the Committee on Agriculture of the House of Representa-
tives and the Committee on Agriculture, Nutrition, and For-
estry of the Senate.
(b) LIMITATION.—For each fiscal year, the Secretary
may not prepare and submit more than 30 reports referred
to in subsection (a).
(c) SELECTION OF REPORTS.—In consultation with the
Committee on Agriculture of the House of Representatives
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and the Committee on Agriculture, Nutrition, and Forestry
of the Senate, the Secretary shall determine which reports, if
any, the Secretary will prepare and submit in accordance
with subsection (b).
SEC. 218. ASSISTANT SECRETARIES OF AGRICULTURE.
(a) AUTHORIZATION.—The Secretary is authorized to es-
tablish in the Department the positions of—
(1) Assistant Secretary of Agriculture for Congres-
sional Relations;
(2) Assistant Secretary of Agriculture for Adminis-
tration; and
(3) Assistant Secretary of Agriculture for Market-
ing and Regulatory Programs.
(b) CONFIRMATION REQUIRED.—If the Secretary estab-
lishes any position of Assistant Secretary authorized under
subsection (a), the Assistant Secretary shall be appointed by
the President, by and with the advice and consent of the Sen-
ate.
(c) SUCCESSION.—Any official who is serving as Assist-
ant Secretary of Agriculture for Administration or Assistant
Secretary of Agriculture for Congressional Relations on the
date of the enactment of this Act and who was appointed as
such Assistant Secretary by the President, by and with the
advice and consent of the Senate, shall not be required to be
reappointed under subsection (b) to the successor position au-
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thorized under subsection (a) if the Secretary establishes the
position, and the official occupies the new position, within
180 days after the date of the enactment of this Act (or such
later date set by the Secretary if litigation delays rapid suc-
cession).
(d) EXECUTIVE SCHEDULE.—Section 5315 of title 5,
United States Code, is amended by striking ‘‘Assistant Sec-
retaries of Agriculture (7).’’ and inserting ‘‘Assistant Sec-
retaries of Agriculture (3).’’.
(e) REPEAL OF SUPERSEDED PROVISIONS REGARDING
ASSISTANT SECRETARIES.—The following provisions of law
are repealed:
(1) Section 2 of Reorganization Plan No. 2 of 1953
(5 U.S.C. App; 7 U.S.C. 2201 note).
(2) Section 2 of the Act entitled ‘‘An Act to enlarge
the powers and duties of the Department of Agriculture
and to create an Executive Department to be known as
the Department of Agriculture.’’, approved February 9,
1889 (7 U.S.C. 2212).
(3) The first paragraph designated ‘‘OFFICE
OF
THE SECRETARY:’’ under the heading ‘‘DEPARTMENT
OF AGRICULTURE’’ of the Act entitled ‘‘An Act mak-
ing appropriations for the Department of Agriculture for
the fiscal year ending June thirtieth, nineteen hundred
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and seven.’’, approved June 30, 1906 (34 Stat. 670; 7
U.S.C. 2212).
(4) Section 604(a) of the Rural Development Act of
1972 (7 U.S.C. 2212a).
(5) Section 2 of Public Law 94–561 (7 U.S.C.
2212b).
(6) Section 8(a) of Public Law 97–325 (7 U.S.C.
2212c).
(7) Section 1413(d) of the National Agricultural
Research, Extension, and Teaching Policy Act of 1977
(7 U.S.C. 3128(d)).
SEC. 219. PAY INCREASES PROHIBITED.
The compensation of any officer or employee of the De-
partment on the date of the enactment of this Act shall not
be increased as a result of the enactment of this title.
Subtitle B—Farm and Foreign
Agricultural Services
SEC. 225. UNDER SECRETARY OF AGRICULTURE FOR FARM AND
FOREIGN AGRICULTURAL SERVICES.
(a) AUTHORIZATION.—The Secretary is authorized to es-
tablish in the Department the position of Under Secretary of
Agriculture for Farm and Foreign Agricultural Services.
(b) CONFIRMATION REQUIRED.—If the Secretary estab-
lishes the position of Under Secretary of Agriculture for
Farm and Foreign Agricultural Services authorized under
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subsection (a), the Under Secretary shall be appointed by the
President, by and with the advice and consent of the Senate.
(c) FUNCTIONS OF UNDER SECRETARY.—
(1) PRINCIPAL
FUNCTIONS.—Upon establishment,
the Secretary shall delegate to the Under Secretary of
Agriculture for Farm and Foreign Agricultural Services
those functions under the jurisdiction of the Department
that are related to farm and foreign agricultural serv-
ices.
(2) ADDITIONAL
FUNCTIONS.—The Under Sec-
retary of Agriculture for Farm and Foreign Agricultural
Services shall perform such other functions as may be
required by law or prescribed by the Secretary.
(d) SUCCESSION.—Any official who is serving as Under
Secretary of Agriculture for International Affairs and Com-
modity Programs on the date of the enactment of this Act
and who was appointed by the President, by and with the ad-
vice and consent of the Senate, shall not be required to be
reappointed under subsection (b) to the successor position au-
thorized under subsection (a) if the Secretary establishes the
position, and the official occupies the new position, within
180 days after the date of the enactment of this Act (or such
later date set by the Secretary if litigation delays rapid suc-
cession).
(e) CONFORMING AMENDMENTS.—
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(1) EXISTING POSITION.—Section 501 of the Agri-
cultural Trade Act of 1978 (7 U.S.C. 5691), relating to
the Under Secretary of Agriculture for International Af-
fairs and Commodity Programs, is repealed.
(2) EXECUTIVE SCHEDULE.—Section 5314 of title
5, United States Code, is amended by striking ‘‘Under
Secretary of Agriculture for International Affairs and
Commodity Programs.’’ and inserting ‘‘Under Secretary
of Agriculture for Farm and Foreign Agricultural Serv-
ices.’’.
SEC. 226. CONSOLIDATED FARM SERVICE AGENCY.
(a) ESTABLISHMENT.—The Secretary is authorized to
establish and maintain in the Department a Consolidated
Farm Service Agency.
(b) FUNCTIONS
OF
CONSOLIDATED
FARM
SERVICE
AGENCY.—If the Secretary establishes the Consolidated
Farm Service Agency under subsection (a), the Secretary is
authorized to assign to the Agency jurisdiction over the fol-
lowing functions:
(1) Agricultural price and income support pro-
grams, production adjustment programs, and related
programs.
(2) General supervision of the Federal Crop Insur-
ance Corporation.
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(3) Agricultural credit programs assigned before the
date of the enactment of this Act by law to the Farmers
Home Administration (including farm ownership and op-
erating, emergency, and disaster loan programs) and
other lending programs for agricultural producers and
others engaged in the production of agricultural com-
modities.
(4) Subchapter B of chapter 1 of subtitle D of title
XII of the Food Security Act of 1985 (16 U.S.C. 3831–
3836) and the agricultural conservation program under
the Soil Conservation and Domestic Allotment Act (16
U.S.C. 590g et seq.).
(5) Such other functions as the Secretary considers
appropriate, except for those programs assigned by the
Secretary to the Natural Resources Conservation Service
or another agency of the Department under section
246(b).
(c) SPECIAL CONCURRENCE REQUIREMENTS FOR CER-
TAIN FUNCTIONS.—In carrying out the programs specified in
subsection (b)(4), the Secretary shall—
(1) acting on the recommendations of the Consoli-
dated Farm Service Agency, with the concurrence of the
Natural Resources Conservation Service, issue regula-
tions to carry out such programs;
•HRES 559 EH
(2) ensure that the Consolidated Farm Service
Agency, in establishing policies, priorities, and guidelines
for such programs, does so with the concurrence of the
Natural Resources Conservation Service at national,
State, and local levels;
(3) ensure that, in reaching such concurrence at the
local level, the Natural Resources Conservation Service
works in cooperation with Soil and Water Conservation
Districts or similar organizations established under State
law;
(4) ensure that officials of county and area commit-
tees established under section 8(b)(5) of the Soil Con-
servation and Domestic Allotment Act (16 U.S.C.
590h(b)(5)) meet annually with officials of such Dis-
tricts or similar organizations to consider local conserva-
tion priorities and guidelines; and
(5) take steps to ensure that the concurrence proc-
ess does not interfere with the effective delivery of such
programs.
(d) JURISDICTION OVER CONSERVATION PROGRAM AP-
PEALS.—
(1) IN GENERAL.—Until such time as an adverse
decision described in this paragraph is referred to the
National Appeals Division for consideration, the Consoli-
dated Farm Service Agency shall have initial jurisdiction
•HRES 559 EH
over any administrative appeal resulting from an adverse
decision made under title XII of the Food Security Act
of 1985 (16 U.S.C. 3801 et seq.), including an adverse
decision involving technical determinations made by the
Natural Resources Conservation Service.
(2) TREATMENT OF TECHNICAL DETERMINATION.—
With respect to administrative appeals involving a tech-
nical determination made by the Natural Resources Con-
servation Service, the Consolidated Farm Service Agen-
cy, by rule with the concurrence of the Natural Re-
sources Conservation Service, shall establish procedures
for obtaining review by the Natural Resources Conserva-
tion Service of the technical determinations involved.
Such rules shall ensure that technical criteria established
by the Natural Resources Conservation Service shall be
used by the Consolidated Farm Service Agency as the
basis for any decisions regarding technical determina-
tions. If no review is requested, the technical determina-
tion of the Natural Resources Conservation Service shall
be the technical basis for any decision rendered by a
county or area committee established under section
8(b)(5) of the Soil Conservation and Domestic Allotment
Act (16 U.S.C. 590h(b)(5)). If the committee requests
a review by the Natural Resources Conservation Service
of a wetlands determination of the Service, the Consoli-
•HRES 559 EH
dated Farm Service Agency shall consult with other Fed-
eral agencies whenever required by law or under a
memorandum of agreement in existence on the date of
the enactment of this Act.
(3) REINSTATEMENT
OF
PROGRAM
BENEFITS.—
Rules issued to carry out this subsection shall provide
for the prompt reinstatement of benefits to a producer
who is determined in an administrative appeal to meet
the requirements of title XII of the Food Security Act
of 1985 applicable to the producer.
(e) USE
OF FEDERAL
AND NON-FEDERAL EMPLOY-
EES.—
(1) USE AUTHORIZED.—In the implementation of
programs and activities assigned to the Consolidated
Farm Service Agency, the Secretary may use inter-
changeably in local offices of the Agency both Federal
employees of the Department and non-Federal employees
of county and area committees established under section
8(b)(5) of the Soil Conservation and Domestic Allotment
Act (16 U.S.C. 590h(b)(5)).
(2) EXCEPTION.—Notwithstanding paragraph (1),
no personnel action (as defined in section 2302(a)(2)(A)
of title 5, United States Code) may be taken with re-
spect to a Federal employee unless such action is taken
by another Federal employee.
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(f) COLLOCATION.—To the maximum extent practicable,
the Secretary shall collocate county offices of the Consoli-
dated Farm Service Agency with county offices of the Natu-
ral Resources Conservation Service in order to—
(1) maximize savings from shared equipment, office
space, and administrative support;
(2) simplify paperwork and regulatory require-
ments;
(3) provide improved services to agricultural pro-
ducers and landowners affected by programs adminis-
tered by the Agency and the Service; and
(4) achieve computer compatibility between the
Agency and the Service to maximize efficiency and sav-
ings.
(g) SAVINGS PROVISION.—For purposes of subsections
(c) through (f) of this section:
(1) A reference to the ‘‘Consolidated Farm Service
Agency’’ includes any other office, agency, or adminis-
trative unit of the Department assigned the functions
authorized for the Consolidated Farm Service Agency
under this section.
(2) A reference to the ‘‘Natural Resources Con-
servation Service’’ includes any other office, agency, or
administrative unit of the Department assigned the func-
•HRES 559 EH
tions authorized for the Natural Resources Conservation
Service under section 246(b).
(h) CONFORMING AMENDMENT.—Section 331(a) of the
Consolidated Farm and Rural Development Act (7 U.S.C.
1981(a)) is amended by striking ‘‘assets to the Farmers
Home Administration’’ and all that follows through the pe-
riod at the end of the subsection and inserting ‘‘assets to
such officers or agencies of the Department of Agriculture as
the Secretary considers appropriate.’’.
SEC. 227. STATE, COUNTY, AND AREA COMMITTEES.
(a) COMMITTEES UNDER THE SOIL CONSERVATION AND
DOMESTIC ALLOTMENT ACT.—Section 8(b) of the Soil Con-
servation and Domestic Allotment Act (16 U.S.C. 590h(b)) is
amended—
(1) by inserting ‘‘(1)’’ after ‘‘(b)’’;
(2) by designating the second through eighth undes-
ignated paragraphs as paragraphs (2) through (8), re-
spectively; and
(3) by striking paragraph (5) (as so designated)
and inserting the following new paragraph:
‘‘(5) STATE, COUNTY, AND AREA COMMITTEES.—
‘‘(A) APPOINTMENT OF STATE COMMITTEES.—The
Secretary shall appoint in each State a State committee
composed of not fewer than 3 nor more than 5 members
who are fairly representative of the farmers in the State.
•HRES 559 EH
The members of a State committee shall serve at the
pleasure of the Secretary for such term as the Secretary
may establish.
‘‘(B) ESTABLISHMENT
OF
COUNTY, 
AREA, 
OR
LOCAL
COMMITTEES.—(i) In each county or area in
which activities are carried out under this section, the
Secretary shall establish a county or area committee.
‘‘(ii) Any such committee shall consist of not fewer
than 3 nor more than 5 members who are fairly rep-
resentative of the agricultural producers in the county or
area and who shall be elected by the agricultural produc-
ers in such county or area under such procedures as the
Secretary may prescribe.
‘‘(iii) The Secretary may designate local administra-
tive areas within the county or larger area covered by a
committee established under clause (i). Only agricultural
producers within a local administrative area who partici-
pate or cooperate in programs administered within their
area shall be eligible for nomination and election to the
local committee for that area, under such regulations as
the Secretary may prescribe.
‘‘(iv) The Secretary shall solicit and accept nomina-
tions from organizations representing the interests of so-
cially disadvantaged groups (as defined in section
•HRES 559 EH
355(e)(1) of the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 2003(e)(1)).
‘‘(v) Members of each county, area, or local commit-
tee shall serve for terms not to exceed 3 years.
‘‘(C) TERMINATION OR COMBINATION OF COMMIT-
TEES.—The Secretary may not terminate a county or
area committee or combine or consolidate two or more
county or area committees unless—
‘‘(i) the Secretary first notifies the committee
or committees involved of the proposed action; and
‘‘(ii) the State committee of the State in which
the affected counties are located approves of such
action in a vote taken after the end of the 60-day
period beginning on the date the notification is re-
ceived.
‘‘(D) USE OF COMMITTEES.—The Secretary shall
use the services of such committees in carrying out pro-
grams under this section and the agricultural credit pro-
grams under the Consolidated Farm and Rural Develop-
ment Act (7 U.S.C. 1921 et seq.) and in considering ad-
ministrative appeals as provided by section 226(d) of the
Department of Agriculture Reorganization Act of 1994.
The Secretary may use the services of such committees
in carrying out programs under other authorities admin-
istered by the Secretary .
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‘‘(E) REGULATIONS.—The Secretary shall issue
such regulations as the Secretary considers necessary re-
lating to the selection and exercise of the functions of
the respective committees, and to the administration
through such committees of the programs described in
subparagraph (D). Pursuant to such regulations, each
county and area committee shall select an executive di-
rector for the area or county. Such selection shall be
made in the same manner as provided for the selection
of the county executive director under section 7.21(b)(2)
of title 7, Code of Federal Regulations, as in effect on
January 1, 1994. Regulations governing payments or
grants under this subsection shall be as simple and di-
rect as possible, and, whenever practicable, they shall be
classified on the following two bases:
‘‘(i) Soil-depleting practices.
‘‘(ii) Soil-building practices.
‘‘(F) MANDATORY DUTIES OF SECRETARY.—In car-
rying out this section, the Secretary shall—
‘‘(i) insofar as practicable, protect the interests
of tenants and sharecroppers;
‘‘(ii) accord such encouragement to producer-
owned and producer-controlled cooperative associa-
tions as will be in harmony with the policy toward
cooperative associations set forth in Federal laws
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and as will tend to promote efficient methods of
marketing and distribution;
‘‘(iii) in every practicable manner, protect the
interests of small producers; and
‘‘(iv) in every practical way, encourage and
provide for soil-conserving and soil-rebuilding prac-
tices.
‘‘(G) 
DISCRETIONARY
AUTHORITIES
OF
SEC-
RETARY.—In carrying out this section, the Secretary
may use other approved agencies.
‘‘(H) LIMITATIONS.—In carrying out this section,
the Secretary shall not have the authority to acquire any
land or any right or interest in land.’’.
(b) ELIMINATION OF FMHA COUNTY COMMITTEES.—
The Consolidated Farm and Rural Development Act (7
U.S.C. 1921 et seq.) is amended—
(1) by striking section 332 (7 U.S.C. 1982); and
(2) in section 333 (7 U.S.C. 1983)—
(A) by striking paragraph (2); and
(B) redesignating paragraphs (3), (4), and (5)
as paragraphs (2), (3), and (4), respectively.
101
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Subtitle C—Rural Economic and
Community Development
SEC. 231. UNDER SECRETARY OF AGRICULTURE FOR RURAL
ECONOMIC AND COMMUNITY DEVELOPMENT.
(a) AUTHORIZATION.—The Secretary is authorized to es-
tablish in the Department the position of Under Secretary of
Agriculture for Rural Economic and Community Develop-
ment.
(b) CONFIRMATION REQUIRED.—If the Secretary estab-
lishes the position of Under Secretary of Agriculture for
Rural Economic and Community Development authorized
under subsection (a), the Under Secretary shall be appointed
by the President, by and with the advice and consent of the
Senate.
(c) FUNCTIONS OF UNDER SECRETARY.—
(1) PRINCIPAL
FUNCTIONS.—Upon establishment,
the Secretary shall delegate to the Under Secretary of
Agriculture for Rural Economic and Community Devel-
opment those functions under the jurisdiction of the De-
partment that are related to rural economic and commu-
nity development.
(2) ADDITIONAL
FUNCTIONS.—The Under Sec-
retary of Agriculture for Rural Economic and Commu-
nity Development shall perform such other functions as
may be required by law or prescribed by the Secretary.
102
•HRES 559 EH
(d) SUCCESSION.—Any official who is serving as Under
Secretary of Agriculture for Small Community and Rural De-
velopment on the date of the enactment of this Act and who
was appointed by the President, by and with the advice and
consent of the Senate, shall not be required to be reappointed
under subsection (b) to the successor position authorized
under subsection (a) if the Secretary establishes the position,
and the official occupies the new position, within 180 days
after the date of the enactment of this Act (or such later date
set by the Secretary if litigation delays rapid succession).
(e) LOAN APPROVAL AUTHORITY.—Approval authority
for loans and loan guarantees in connection with the electric
and telephone loan and loan guarantee programs authorized
by the Rural Electrification Act of 1936 (7 U.S.C. 901 et
seq.) shall not be transferred to, or conditioned on review of,
a State director or other employee whose primary duty is not
the review and approval of such loans or the provision of as-
sistance to such borrowers.
(f) CONFORMING AMENDMENTS.—
(1) EXISTING POSITION.—Section 3 of the Rural
Development Policy Act of 1980 (7 U.S.C. 2211b) is
amended by striking subsection (a).
(2) EXECUTIVE SCHEDULE.—Section 5314 of title
5, United States Code, is amended by striking ‘‘Under
Secretary of Agriculture for Small Community and
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Rural Development.’’ and inserting ‘‘Under Secretary of
Agriculture for Rural Economic and Community Devel-
opment.’’.
(3) REPEAL OF RURAL DEVELOPMENT ADMINISTRA-
TION.—Section 364 of the Consolidated Farm and Rural
Development Act (7 U.S.C. 2006f) is repealed.
SEC. 232. RURAL UTILITIES SERVICE.
(a) ESTABLISHMENT REQUIRED.—The Secretary shall
establish and maintain within the Department the Rural Util-
ities Service and assign to the Service such functions as the
Secretary considers appropriate.
(b) ADMINISTRATOR.—
(1) APPOINTMENT.—The Rural Utilities Service
shall be headed by an Administrator who shall be ap-
pointed by the President, by and with the advice and
consent of the Senate.
(2) SUCCESSION.—Any official who is serving as
Administrator of the Rural Electrification Administra-
tion on the date of the enactment of this Act and who
was appointed by the President, by and with the advice
and consent of the Senate—
(A) may be considered to be serving in the suc-
cessor position established under paragraph (1);
and
104
•HRES 559 EH
(B) shall not be required to be reappointed to
that position by reason of the enactment of this
Act.
(3) EXECUTIVE SCHEDULE.—Section 5315 of title
5, United States Code, is amended by adding at the end
the following:
‘‘Administrator, Rural Utilities Service, Department
of Agriculture.’’.
(c) FUNCTIONS.—The Secretary shall carry out through
the Rural Utilities Service the following functions that are
under the jurisdiction of the Department:
(1) Electric and telephone loan programs and water
and waste facility activities authorized by law, includ-
ing—
(A) the Rural Electrification Act of 1936 (7
U.S.C. 901 et seq.); and
(B) section 2322 of the Food, Agriculture,
Conservation, and Trade Act of 1990 (7 U.S.C.
1926–1); and
(2) Water and waste facility programs and activities
authorized by law, including—
(A) sections 306, 306A, 306B, and 306C, the
provisions of sections 309 and 309A relating to as-
sets, terms, and conditions of water and sewer pro-
grams, section 310B(b)(2), and the amendment
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•HRES 559 EH
made by section 342 of the Consolidated Farm and
Rural Development Act (7 U.S.C. 1926, 1926a,
1926b, 1926c, 1929, 1929a, 1932(b)(2), and
1013a); and
(B) section 2324 of the Food, Agriculture,
Conservation, and Trade Act of 1990 (7 U.S.C.
1926 note).
SEC. 233. RURAL HOUSING AND COMMUNITY DEVELOPMENT
SERVICE.
(a) ESTABLISHMENT
AUTHORIZED.—Notwithstanding
any other provision of law, the Secretary is authorized to es-
tablish and maintain within the Department the Rural Hous-
ing and Community Development Service and to assign to the
Service such functions as the Secretary considers appropriate.
(b) FUNCTIONS.—If the Secretary establishes the Rural
Housing and Community Development Service under sub-
section (a), the Secretary is authorized to assign to the Serv-
ice jurisdiction over the following:
(1) Programs and activities under title V of the
Housing Act of 1949 (42 U.S.C. 1471 et seq.).
(2) Programs and activities authorized under sec-
tion 310B(i) of the Consolidated Farm and Rural Devel-
opment Act (7 U.S.C. 1932(i)) and related provisions of
law.
106
•HRES 559 EH
(3) Programs and activities that relate to rural
community lending programs, including programs au-
thorized by sections 365 through 369 of the Consoli-
dated Farm and Rural Development Act (7 U.S.C.
2008–2008d).
SEC. 234. RURAL BUSINESS AND COOPERATIVE DEVELOPMENT
SERVICE.
(a) ESTABLISHMENT
AUTHORIZED.—Notwithstanding
any other provision of law, the Secretary is authorized to es-
tablish and maintain within the Department the Rural Busi-
ness and Cooperative Development Service and to assign to
the Service such functions as the Secretary considers appro-
priate.
(b) FUNCTIONS.—If the Secretary establishes the Rural
Business and Cooperative Development Service under sub-
section (a), the Secretary is authorized to assign to the Serv-
ice jurisdiction over the following:
(1) Section 313 and title V of the Rural Electrifica-
tion Act of 1936 (7 U.S.C. 940c and 950aa et seq.).
(2) subtitle G of title XVI of the Food, Agriculture,
Conservation, and Trade Act of 1990 (7 U.S.C. 5901 et
seq.).
(3) Sections 306(a)(1) and 310B of the Consoli-
dated Farm and Rural Development Act (7 U.S.C.
1926(a)(1) and 1932).
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(4) Section 1323 of the Food Security Act of 1985
(Public Law 99–198; 7 U.S.C. 1932 note).
(5) The Act of July 2, 1926 (44 Stat. 802, chapter
725; 7 U.S.C. 451 et seq.).
SEC. 235. CONFORMING AMENDMENTS REGARDING RURAL
ELECTRIFICATION ADMINISTRATION.
(a) AMENDMENTS TO RURAL ELECTRIFICATION ACT OF
1936.—The Rural Electrification Act of 1936 (7 U.S.C. 901
et seq.) is amended—
(1) by striking the first section (7 U.S.C. 901) and
inserting the following:
‘‘SECTION 1. SHORT TITLE.
‘‘This Act may be cited as the ‘Rural Electrification Act
of 1936’.’’;
(2) in section 2(a) (7 U.S.C. 902(a)), by striking
‘‘Administrator’’ and inserting ‘‘Secretary of Agri-
culture’’;
(3) in section 3(a) (7 U.S.C. 903(a))—
(A) by striking ‘‘Administrator, upon the re-
quest and approval of the Secretary of Agriculture,’’
and inserting ‘‘Secretary’’; and
(B) by striking ‘‘Administrator appointed pur-
suant to the provisions of this Act or from the Ad-
ministrator of the Rural Electrification Administra-
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tion established by Executive Order Numbered
7037’’ and inserting ‘‘Secretary’’;
(4) in section 8 (7 U.S.C. 908)—
(A) by striking ‘‘Administrator authorized to
be appointed by this Act’’ and inserting ‘‘Sec-
retary’’; and
(B) by striking ‘‘Rural Electrification Adminis-
tration created by this Act’’ and inserting ‘‘Sec-
retary’’;
(5) by striking section 11A (7 U.S.C. 911a);
(6) in section 13 (7 U.S.C. 913), by inserting before
the period at the end the following: ‘‘; and the term ‘Sec-
retary’ shall be deemed to mean the Secretary of Agri-
culture’’;
(7) in sections 206(b)(2), 306A(b), 311, and
405(b)(1)(A) (7 U.S.C. 927(b)(2), 936a(b), 940a, and
945(b)(1)(A)), by striking ‘‘Rural Electrification Admin-
istration’’ each place it appears and inserting ‘‘Sec-
retary’’;
(8) in sections 305(c)(2)(C)(ii)(II) and 306E(d) (7
U.S.C. 935(c)(2)(C)(ii)(II) and 936e(d)), by striking
‘‘ADMINISTRATOR’’ and inserting ‘‘SECRETARY’’;
(9) in section 403(b) (7 U.S.C. 943(b)), by striking
‘‘Rural Electrification Administration or of any other
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agency of the Department of Agriculture,’’ and inserting
‘‘Secretary,’’;
(10) in section 404 (7 U.S.C. 944), by striking ‘‘the
Administrator of the Rural Electrification Administra-
tion’’ and inserting ‘‘the Secretary shall designate an of-
ficial of the Department of Agriculture who’’;
(11) in sections 406(c) and 410 (7 U.S.C. 946(c)
and 950), by striking ‘‘Administrator of the Rural Elec-
trification Administration’’ each place it appears and in-
serting ‘‘Secretary’’;
(12) in the heading of section 501 (7 U.S.C.
950aa), by striking ‘‘OF REA ADMINISTRATOR’’; and
(13) except as otherwise provided in this subsection,
by striking ‘‘Administrator’’ each place it appears in
such Act and inserting ‘‘Secretary’’.
(b) MISCELLANEOUS AMENDMENTS.—(1) Section 236(a)
of the Disaster Relief Act of 1970 (7 U.S.C. 912a) is amend-
ed by striking ‘‘Rural Electrification Administration’’ and in-
serting ‘‘Secretary under the Rural Electrification Act of
1936 (7 U.S.C. 901 et seq.)’’.
(2) Section 505 of the Department of Agriculture Or-
ganic Act of 1944 (7 U.S.C. 915) is amended—
(A) by striking ‘‘Rural Electrification Adminis-
tration’’ and inserting ‘‘Secretary of Agriculture’’;
and
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(B) by striking ‘‘its’’ and inserting ‘‘the Sec-
retary’s’’.
(3) Section 401 of the Rural Electrification Act of 1938
(7 U.S.C. 903 note) is amended in the second paragraph by
striking ‘‘Administrator of the Rural Electrification Adminis-
tration’’ and inserting ‘‘Secretary of Agriculture’’.
(4) Chapter 1 of subtitle D of title XXIII of the Food,
Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C.
950aaa et seq.), relating to Distance Learning and Medical
Link Programs, is amended—
(A) in section 2333—
(i) by striking paragraph (1); and
(ii) by redesignating paragraphs (2) through
(11) as paragraphs (1) through (10), respectively;
(B) in section 2334(h)(2), by striking ‘‘section
2333(3)(F)’’ and inserting ‘‘section 2333(2)(F)’’; and
(C) by striking ‘‘Administrator’’ each place it ap-
pears and inserting ‘‘Secretary’’.
(5) Section 306(a)(15) of the Consolidated Farm and
Rural Development Act (7 U.S.C. 1926(a)(15)) is amended—
(A) by striking subparagraph (C); and
(B) by redesignating subparagraph (D) as subpara-
graph (C).
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(6) Section 2322(d) of the Food, Agriculture, Conserva-
tion, and Trade Act of 1990 (7 U.S.C. 1926–1(d)) is
amended—
(A) by striking paragraph (2); and
(B) by redesignating paragraph (3) as paragraph
(2).
Subtitle D—Food, Nutrition, and
Consumer Services
SEC. 241. UNDER SECRETARY OF AGRICULTURE FOR FOOD, NU-
TRITION, AND CONSUMER SERVICES.
(a) AUTHORIZATION.—The Secretary is authorized to es-
tablish in the Department the position of Under Secretary of
Agriculture for Food, Nutrition, and Consumer Services.
(b) CONFIRMATION REQUIRED.—If the Secretary estab-
lishes the position of Under Secretary of Agriculture for
Food, Nutrition, and Consumer Services authorized under
subsection (a), the Under Secretary shall be appointed by the
President, by and with the advice and consent of the Senate.
(c) FUNCTIONS OF UNDER SECRETARY.—
(1) PRINCIPAL
FUNCTIONS.—Upon establishment,
the Secretary shall delegate to the Under Secretary of
Agriculture for Food, Nutrition, and Consumer Services
those functions under the jurisdiction of the Department
that are related to food, nutrition, and consumer services
(except as provided in section 261(b)(1)).
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(2) ADDITIONAL
FUNCTIONS.—The Under Sec-
retary of Agriculture for Food, Nutrition, and Consumer
Services shall perform such other functions as may be
required by law or prescribed by the Secretary.
(d) SUCCESSION.—Any official who is serving as Assist-
ant Secretary of Agriculture for Food and Consumer Services
on the date of the enactment of this Act and who was ap-
pointed by the President, by and with the advice and consent
of the Senate, shall not be required to be reappointed under
subsection (b) to the successor position authorized under sub-
section (a) if the Secretary establishes the position, and the
official occupies the new position, within 180 days after the
date of the enactment of this Act (or such later date set by
the Secretary if litigation delays rapid succession).
(e) EXECUTIVE SCHEDULE.—Section 5314 of title 5,
United States Code, is amended by inserting after the item
relating to the Under Secretary of Agriculture for Farm and
Foreign Agricultural Services (as added by section 225(e)(2))
the following:
‘‘Under Secretary of Agriculture for Food, Nutri-
tion, and Consumer Services.’’.
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Subtitle E—Natural Resources and
Environment
SEC. 245. UNDER SECRETARY OF AGRICULTURE FOR NATURAL
RESOURCES AND ENVIRONMENT.
(a) AUTHORIZATION.—The Secretary is authorized to es-
tablish in the Department the position of Under Secretary of
Agriculture for Natural Resources and Environment.
(b) CONFIRMATION REQUIRED.—If the Secretary estab-
lishes the position of Under Secretary of Agriculture for Nat-
ural Resources and Environment authorized under subsection
(a), the Under Secretary shall be appointed by the President,
by and with the advice and consent of the Senate.
(c) FUNCTIONS OF UNDER SECRETARY.—
(1) PRINCIPAL
FUNCTIONS.—Upon establishment,
the Secretary shall delegate to the Under Secretary of
Agriculture for Natural Resources and Environment
those functions under the jurisdiction of the Department
that are related to natural resources and environment
(except to the extent those functions are delegated under
section 226).
(2) ADDITIONAL
FUNCTIONS.—The Under Sec-
retary of Agriculture for Natural Resources and Envi-
ronment shall perform such other functions and duties
as may be required by law or prescribed by the Sec-
retary.
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(d) SUCCESSION.—Any official who is serving as Assist-
ant Secretary of Agriculture for Natural Resources and Envi-
ronment on the date of the enactment of this Act and who
was appointed by the President, by and with the advice and
consent of the Senate, shall not be required to be reappointed
under subsection (b) to the successor position authorized
under subsection (a) if the Secretary establishes the position,
and the official occupies the new position, within 180 days
after the date of the enactment of this Act (or such later date
set by the Secretary if litigation delays rapid succession).
(e) EXECUTIVE SCHEDULE.—Section 5314 of title 5,
United States Code, is amended by inserting after the item
relating to the Under Secretary of Agriculture for Food, Nu-
trition, and Consumer Services (as added by section 241(e))
the following:
‘‘Under Secretary of Agriculture for Natural Re-
sources and Environment.’’.
SEC. 246. NATURAL RESOURCES CONSERVATION SERVICE.
(a) ESTABLISHMENT.—The Secretary is authorized to
establish and maintain within the Department a Natural Re-
sources Conservation Service.
(b) FUNCTIONS.—If the Secretary establishes the Natu-
ral Resources Conservation Service under subsection (a), the
Secretary is authorized to assign to the Service jurisdiction
over the following:
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(1) The rural environmental conservation program
under title X of the Agricultural Act of 1970 (16 U.S.C.
1501 et seq.).
(2) The Great Plains Conservation Program under
section 16(b) of the Soil Conservation and Domestic Al-
lotment Act (16 U.S.C. 590p(b)).
(3) The Water Bank Act (16 U.S.C. 1301 et seq.);
(4) The forestry incentive program under section 4
of the Cooperative Forestry Assistance Act of 1978 (16
U.S.C. 2103).
(5) Title XII of the Food Security Act of 1985 (16
U.S.C. 3801 et seq.), except subchapter B of chapter 1
of subtitle D of such title.
(6) Salinity control program under section 202(c) of
the Colorado River Basin Salinity Control Act (43
U.S.C. 1592(c)).
(7) The Farms for the Future Act of 1990 (7
U.S.C. 4201 note).
(8) Such other functions as the Secretary considers
appropriate, except functions under subchapter B of
chapter 1 of subtitle D of title XII of the Food Security
Act of 1985 (16 U.S.C. 3831–3836) and the agricultural
conservation program under the Soil Conservation and
Domestic Allotment Act (16 U.S.C. 590g et seq.).
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(c) SPECIAL CONCURRENCE REQUIREMENTS FOR CER-
TAIN FUNCTIONS.—In carrying out the programs specified in
paragraphs (2), (3), (4), and (6) of subsection (b) and the
program under subchapter C of chapter 1 of subtitle D of
title XII of the Food Security Act of 1985 (16 U.S.C. 3837–
3837f), the Secretary shall—
(1) acting on the recommendations of the Natural
Resources Conservation Service, with the concurrence of
the Consolidated Farm Service Agency, issue regulations
to carry out such programs;
(2) ensure that the Natural Resources Conservation
Service, in establishing policies, priorities, and guidelines
for each such program, does so with the concurrence of
the Consolidated Farm Service Agency at national,
State, and local levels;
(3) ensure that, in reaching such concurrence at the
local level, the Natural Resources Conservation Service
works in cooperation with Soil and Water Conservation
Districts or similar organizations established under State
law;
(4) ensure that officials of county and area commit-
tees established under section 8(b)(5) of the Soil Con-
servation and Domestic Allotment Act (16 U.S.C.
590h(b)(5)) meet annually with officials of such Dis-
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tricts or similar organizations to consider local conserva-
tion priorities and guidelines; and
(5) take steps to ensure that the concurrence proc-
ess does not interfere with the effective delivery of such
programs.
(d) 
USE
OF
FEDERAL
AND
NON-FEDERAL
EMPLOYEES.—
(1) USE AUTHORIZED.—In the implementation of
functions assigned to the Natural Resources Conserva-
tion Service, the Secretary may use interchangeably in
local offices of the Service both Federal employees of the
Department and non-Federal employees of county and
area committees established under section 8(b)(5) of the
Soil Conservation and Domestic Allotment Act (16
U.S.C. 590h(b)(5)).
(2) EXCEPTION.—Notwithstanding paragraph (1),
no personnel action (as defined in section 2302(a)(2)(A)
of title 5, United States Code) may be taken with re-
spect to a Federal employee unless such action is taken
by another Federal employee.
(e) SAVINGS PROVISION.—For purposes of subsections
(c) and (d) of this section:
(1) A reference to the ‘‘Natural Resources Con-
servation Service’’ includes any other office, agency, or
administrative unit of the Department assigned the func-
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tions authorized for the Natural Resources Conservation
Service under this section.
(2) A reference to the ‘‘Consolidated Farm Service
Agency’’ includes any other office, agency, or adminis-
trative unit of the Department assigned the functions
authorized for the Consolidated Farm Service Agency
under section 226.
(f) CONFORMING AMENDMENTS.—
(1) SOIL
CONSERVATION
SERVICE.—Section 5 of
the Soil Conservation and Domestic Allotment Act (16
U.S.C. 590e) is repealed.
(2) SOIL
AND
WATER
RESOURCES
CONSERVA-
TION.—The Soil and Water Resources Conservation Act
of 1977 (16 U.S.C. 2001) is amended—
(A) in section 2(2) (16 U.S.C. 2001(2))—
(i) by striking ‘‘created the Soil Conserva-
tion Service’’; and
(ii) by striking ‘‘Department of Agri-
culture which’’ and inserting ‘‘, has ensured
that the Department of Agriculture’’;
(B) in section 3(2) (16 U.S.C. 2002(2)), by
striking ‘‘through the Soil Conservation Service’’;
and
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(C) in section 6(a) (16 U.S.C. 2005(a)), by
striking ‘‘Soil Conservation Service’’ and inserting
‘‘Secretary’’.
(3) STATE TECHNICAL COMMITTEES.—Section 1262
of the Food Security Act of 1985 (16 U.S.C. 3862) is
amended by adding at the end the following new sub-
section:
‘‘(e) FACA REQUIREMENTS.—The committees estab-
lished under section 1261 shall be exempt from the Federal
Advisory Committee Act (5 U.S.C. App.).’’.
SEC. 247. REORGANIZATION OF FOREST SERVICE.
(a) REQUIRED ELEMENTS OF REORGANIZATION PRO-
POSALS.—Reorganization proposals that are developed by the
Secretary to carry out the designation by the President of the
Forest Service as a Reinvention Lab pursuant to the Na-
tional Performance Review, dated September 1993, shall in-
clude proposals for—
(1) reorganizing the Service in a manner that is
consistent with the principles of interdisciplinary plan-
ning;
(2) redefining and consolidating the mission and
roles of, and research conducted by, employees of the
Service in connection with the National Forest System
and State and private forestry to facilitate interdiscipli-
nary planning and to eliminate functionalism;
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(3) reforming the budget structure of the Service to
support interdisciplinary planning, including reducing
the number of budget line items;
(4) defining new measures of accountability so that
Congress may meet the constitutional obligation of Con-
gress to oversee the Service;
(5) achieving structural and organizational consoli-
dations;
(6) to the extent practicable, sharing office space,
equipment, vehicles, and electronic systems with other
administrative units of the Department and other Fed-
eral field offices, including proposals for using an on-line
system by all administrative units of the Department to
maximize administrative efficiency; and
(7) reorganizing the Service in a manner that will
result in a larger percentage of employees of the Service
being retained at organizational levels below regional of-
fices, research stations, and the area office of the Serv-
ice.
(b) REPORT.—Not later than March 31, 1995, the Sec-
retary shall submit a report to the Committee on Agriculture
of the House of Representatives and the Committee on Agri-
culture, Nutrition, and Forestry of the Senate that describes
actions taken to carry out subsection (a), identifies any dis-
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parities in regional funding patterns, and contains the ration-
ale behind the disparities.
Subtitle F—Research, Education, and
Economics
SEC. 251. UNDER SECRETARY OF AGRICULTURE FOR RE-
SEARCH, EDUCATION, AND ECONOMICS.
(a) AUTHORIZATION.—The Secretary is authorized to es-
tablish in the Department the position of Under Secretary of
Agriculture for Research, Education, and Economics.
(b) CONFIRMATION REQUIRED.—If the Secretary estab-
lishes the position of Under Secretary of Agriculture for Re-
search, Education, and Economics authorized under sub-
section (a), the Under Secretary shall be appointed by the
President, by and with the advice and consent of the Senate.
(c) FUNCTIONS OF UNDER SECRETARY.—
(1) PRINCIPAL
FUNCTIONS.—Upon establishment,
the Secretary shall delegate to the Under Secretary of
Agriculture for Research, Education, and Economics
those functions and duties under the jurisdiction of the
Department that are related to research, education, and
economics.
(2) ADDITIONAL
FUNCTIONS.—The Under Sec-
retary of Agriculture for Research, Education, and Eco-
nomics shall perform such other functions and duties as
may be required by law or prescribed by the Secretary.
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(d) COOPERATIVE STATE RESEARCH, EDUCATION, AND
EXTENSION SERVICE.—
(1) ESTABLISHMENT.—There is established in the
Department a Cooperative State Research, Education,
and Extension Service.
(2) FUNCTIONS.—The Secretary shall delegate to
the Cooperative State Research, Education, and Exten-
sion Service functions related to cooperative State re-
search programs and cooperative extension and edu-
cation programs that are under the jurisdiction of the
Department.
(3) OFFICER-IN-CHARGE.—If the Secretary estab-
lishes the position of Under Secretary of Agriculture for
Research, Education, and Economics, the officer in
charge of the Cooperative State Research, Education,
and Extension Service shall report directly to the Under
Secretary.
(e) EXECUTIVE SCHEDULE.—Section 5314 of title 5,
United States Code, is amended by inserting after the item
relating to the Under Secretary of Agriculture for Natural
Resources and Environment (as added by section 245(e)) the
following:
‘‘Under Secretary of Agriculture for Research, Edu-
cation, and Economics.’’.
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SEC. 252. PROGRAM STAFF.
In making the personnel reductions required under sec-
tion 213, the Secretary shall reduce the number of Federal
research and education personnel of the Department by a
percentage equal to at least the percentage of overall Depart-
ment personnel reductions. The Secretary shall achieve such
reduction in research and education personnel in a manner
that minimizes duplication and maximizes coordination be-
tween Federal and State research and extension activities.
Subtitle G—Food Safety
SEC. 261. UNDER SECRETARY OF AGRICULTURE FOR FOOD
SAFETY.
(a) ESTABLISHMENT.—There is established in the De-
partment of Agriculture the position of Under Secretary of
Agriculture for Food Safety. The Under Secretary shall be
appointed by the President, by and with the advice and con-
sent of the Senate, from among individuals with specialized
training or significant experience in food safety or public
health programs.
(b) FUNCTIONS OF UNDER SECRETARY.—
(1) PRINCIPAL
FUNCTIONS.—The Secretary shall
delegate to the Under Secretary of Agriculture for Food
Safety those functions and duties under the jurisdiction
of the Department that are primarily related to food
safety.
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(2) ADDITIONAL
FUNCTIONS.—The Under Sec-
retary of Agriculture for Food Safety shall perform such
other functions and duties as may be required by law or
prescribed by the Secretary.
(c) EXECUTIVE SCHEDULE.—Section 5314 of title 5,
United States Code, is amended by inserting after the item
relating to the Under Secretary of Agriculture for Research,
Education, and Economics (as added by section 251(e)) the
following:
‘‘Under Secretary of Agriculture for Food Safety.’’.
(d) TECHNICAL
AND SCIENTIFIC REVIEW GROUPS.—
The Secretary, acting through the Under Secretary for Re-
search, Education, and Economics, may, without regard to
the provisions of title 5, United States Code, governing ap-
pointment in the competitive service, and without regard to
the provisions of chapter 51 and subchapter III of chapter 53
of title 5, United States Code, relating to classification and
General Schedule pay rates—
(1) establish such technical and scientific review
groups as are needed to carry out the functions of the
Department; and
(2) appoint and pay the members of the groups, ex-
cept that officers and employees of the United States
shall not receive additional compensation for service as
a member of a group.
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SEC. 262. CONDITIONS FOR IMPLEMENTATION OF ALTER-
ATIONS IN THE LEVEL OF ADDITIVES ALLOWED IN
ANIMAL DIETS.
(a) CONDITIONS.—The Food and Drug Administration
shall not implement or enforce the final rule described in sub-
section (b) to alter the level of selenium allowed to be used
as a supplement in animal diets unless the Commissioner of
the Food and Drug Administration makes a determination
that—
(1) selenium additives are not essential, at levels
authorized in the absence of such final rule, to maintain
animal nutrition and protect animal health;
(2) selenium at such levels is not safe to the ani-
mals consuming the additive;
(3) selenium at such levels is not safe to individuals
consuming edible portions of animals that receive the ad-
ditive;
(4) selenium at such levels does not achieve its in-
tended effect of promoting normal growth and reproduc-
tion of livestock and poultry; and
(5) the manufacture and use of selenium at such
levels cannot reasonably be controlled by adherence to
current good manufacturing practice requirements.
(b) FINAL RULE DESCRIBED.—The final rule referred
to in subsection (a) is the final rule issued by the Food and
Drug Administration and published in the Federal Register
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on September 13, 1993 (58 Fed. Reg. 47962), in which the
Administration stayed 1987 amendments to the selenium
food additive regulations, and any modification of such rule
issued after the date of the enactment of this Act.
Subtitle H—National Appeals
Division
SEC. 271. DEFINITIONS.
For purposes of this subtitle:
(1) ADVERSE DECISION.—The term ‘‘adverse deci-
sion’’ means an administrative decision made by an offi-
cer, employee, or committee of an agency that is adverse
to a participant. The term includes a denial of equitable
relief by an agency or the failure of an agency to issue
a decision or otherwise act on the request or right of the
participant. The term does not include a decision over
which the Board of Contract Appeals has jurisdiction.
(2) AGENCY.—The term ‘‘agency’’ means any agen-
cy of the Department designated by the Secretary or a
successor agency of the Department, except that the
term shall include the following (and any successor to
the following):
(A) The Consolidated Farm Service Agency (or
other office, agency, or administrative unit of the
Department assigned the functions authorized for
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the Consolidated Farm Service Agency under sec-
tion 226).
(B) The Commodity Credit Corporation, with
respect to domestic programs.
(C) The Farmers Home Administration.
(D) The Federal Crop Insurance Corporation.
(E) The Rural Development Administration.
(F) The Natural Resources Conservation Serv-
ice (or other office, agency, or administrative unit
of the Department assigned the functions author-
ized for the Natural Resources Conservation Service
under section 246(b)).
(G) A State, county, or area committee estab-
lished under section 8(b)(5) of the Soil Conserva-
tion and Domestic Allotment Act (16 U.S.C.
590h(b)(5)).
(3) APPELLANT.—The term ‘‘appellant’’ means a
participant who appeals an adverse decision in accord-
ance with this subtitle.
(4) CASE RECORD.—The term ‘‘case record’’ means
all the materials maintained by the Secretary related to
an adverse decision.
(5) DIRECTOR.—The term ‘‘Director’’ means the
Director of the Division.
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(6) DIVISION.—The term ‘‘Division’’ means the Na-
tional Appeals Division established by this title.
(7) HEARING OFFICER.—The term ‘‘hearing offi-
cer’’ means an individual employed by the Division who
hears and determines appeals of adverse decisions by
any agency.
(8) IMPLEMENT.—The term ‘‘implement’’ refers to
those actions necessary to effectuate fully and promptly
a final determination of the Division not later than 30
calendar days after the effective date of the final deter-
mination.
(9) PARTICIPANT.—The term ‘‘participant’’ shall
have the meaning given that term by the Secretary by
regulation.
SEC. 272. NATIONAL APPEALS DIVISION AND DIRECTOR.
(a) ESTABLISHMENT OF DIVISION.—The Secretary shall
establish and maintain an independent National Appeals Di-
vision within the Department to carry out this subtitle.
(b) DIRECTOR.—
(1) APPOINTMENT.—The Division shall be headed
by a Director, appointed by the Secretary from among
persons who have substantial experience in practicing
administrative law. In considering applicants for the po-
sition of Director, the Secretary shall consider persons
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currently employed outside Government as well as Gov-
ernment employees.
(2) TERM AND REMOVAL.—The Director shall serve
for a 6-year term of office, and shall be eligible for re-
appointment. The Director shall not be subject to re-
moval during the term of office, except for cause estab-
lished in accordance with law.
(3) POSITION CLASSIFICATION.—The position of the
Director may not be a position in the excepted service
or filled by a noncareer appointee.
(c) DIRECTION, CONTROL, AND SUPPORT.—The Direc-
tor shall be free from the direction and control of any person
other than the Secretary. The Division shall not receive ad-
ministrative support (except on a reimbursable basis) from
any agency other than the Office of the Secretary. The Sec-
retary may not delegate to any other officer or employee of
the Department, other than the Director, the authority of the
Secretary with respect to the Division.
(d) DETERMINATION
OF APPEALABILITY
OF AGENCY
DECISIONS.—If an officer, employee, or committee of an
agency determines that a decision is not appealable and a
participant appeals the decision to the Director, the Director
shall determine whether the decision is adverse to the individ-
ual participant and thus appealable or is a matter of general
applicability and thus not subject to appeal. The determina-
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tion of the Director as to whether a decision is appealable
shall be administratively final.
(e) DIVISION PERSONNEL.—The Director shall appoint
such hearing officers and other employees as are necessary
for the administration of the Division. A hearing officer or
other employee of the Division shall have no duties other than
those that are necessary to carry out this subtitle.
SEC. 273. TRANSFER OF FUNCTIONS.
There are transferred to the Division all functions exer-
cised and all administrative appeals pending before the effec-
tive date of this subtitle (including all related functions of
any officer or employee) of or relating to—
(1) the National Appeals Division established by
section 426(c) of the Agricultural Act of 1949 (7 U.S.C.
1433e(c)) (as in effect on the day before the date of the
enactment of this Act);
(2) the National Appeals Division established by
subsections (d) through (g) of section 333B of the Con-
solidated Farm and Rural Development Act (7 U.S.C.
1983b) (as in effect on the day before the date of the
enactment of this Act);
(3) appeals of decisions made by the Federal Crop
Insurance Corporation; and
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(4) appeals of decisions made by the Soil Conserva-
tion Service (as in effect on the day before the date of
the enactment of this Act).
SEC. 274. NOTICE AND OPPORTUNITY FOR HEARING.
Not later than 10 working days after an adverse decision
is made that affects the participant, the Secretary shall pro-
vide the participant with written notice of such adverse deci-
sion and the rights available to the participant under this
subtitle or other law for the review of such adverse decision.
SEC. 275. INFORMAL HEARINGS.
If an officer, employee, or committee of an agency makes
an adverse decision, the agency shall hold, at the request of
the participant, an informal hearing on the decision. With re-
spect to programs carried out through the Consolidated Farm
Service Agency (or other office, agency, or administrative
unit of the Department assigned to carry out the programs
authorized for the Consolidated Farm Service Agency under
section 226), the Secretary shall maintain the informal ap-
peals process applicable to such programs, as in effect on the
date of the enactment of the subtitle. If a mediation program
is available under title V of the Agricultural Credit Act of
1987 (7 U.S.C. 5101 et seq.) as a part of the informal hear-
ing process, the participant shall be offered the right to
choose such mediation.