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under section 156 of the Federal Agriculture 
Improvement and Reform Act of 1996 (7 
U.S.C. 7272). 
‘‘(2) ON OR AFTER APRIL 1.—On or after April 
1 of each fiscal year— 
‘‘(A) the Secretary may take action to in-
crease the supply of sugar in accordance with 
sections 359c(b)(2) and 359e(b), including an 
increase in the tariff-rate quota for raw cane 
sugar to accommodate the reassignment to im-
ports; and 
‘‘(B) if there is still a shortage of sugar in 
the United States market, and marketing of do-
mestic sugar has been maximized, the Secretary 
may increase the tariff-rate quota for raw cane 
sugar if the further increase will not threaten to 
result in the forfeiture of sugar pledged as col-
lateral for a loan under section 156 of the Fed-
eral Agriculture Improvement and Reform Act 
of 1996 (7 U.S.C. 7272).’’. 
(k) PERIOD OF EFFECTIVENESS.—Part VII of sub-
title B of title III of the Agricultural Adjustment Act of 
1938 (7 U.S.C. 1359aa) (as amended by subsection (j)) 
is amended by adding at the end the following: 
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‘‘SEC. 359l. PERIOD OF EFFECTIVENESS. 
‘‘(a) IN GENERAL.—This part shall be effective only 
for the 2008 through 2012 crop years for sugar. 
‘‘(b) TRANSITION.—The Secretary shall administer 
flexible marketing allotments for sugar for the 2007 crop 
year for sugar on the terms and conditions provided in 
this part as in effect on the day before the date of enact-
ment of this section.’’. 
SEC. 1404. STORAGE FACILITY LOANS. 
Section 1402(c) of the Farm Security and Rural In-
vestment Act of 2002 (7 U.S.C. 7971(c)) is amended— 
(1) in paragraph (1), by striking ‘‘and’’ at the 
end; 
(2) by redesignating paragraph (2) as para-
graph (3); 
(3) by inserting after paragraph (1) the fol-
lowing: 
‘‘(2) not include any penalty for prepayment; 
and’’; and 
(4) in paragraph (3) (as redesignated by para-
graph (2)), by inserting ‘‘other’’ after ‘‘on such’’. 
SEC. 1405. COMMODITY CREDIT CORPORATION STORAGE 
PAYMENTS. 
Subtitle E of the Federal Agriculture Improvement 
and Reform Act of 1996 (7 U.S.C. 7281 et seq.) is amend-
ed by adding at the end the following: 
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‘‘SEC. 167. COMMODITY CREDIT CORPORATION STORAGE 
PAYMENTS. 
‘‘(a) INITIAL CROP YEARS.—Notwithstanding any 
other provision of law, for each of the 2008 through 2011 
crop years, the Commodity Credit Corporation shall estab-
lish rates for the storage of forfeited sugar in an amount 
that is not less than— 
‘‘(1) in the case of refined sugar, 15 cents per 
hundredweight of refined sugar per month; and 
‘‘(2) in the case of raw cane sugar, 10 cents per 
hundredweight of raw cane sugar per month. 
‘‘(b) SUBSEQUENT CROP YEARS.—For each of the 
2012 and subsequent crop years, the Commodity Credit 
Corporation shall establish rates for the storage of for-
feited sugar in the same manner as was used on the day 
before the date of enactment of this section.’’. 
Subtitle E—Dairy 
SEC. 1501. DAIRY PRODUCT PRICE SUPPORT PROGRAM. 
(a) DEFINITION OF NET REMOVALS.—In this sec-
tion, the term ‘‘net removals’’ means— 
(1) the sum of— 
(A) the quantity of a product described in 
subsection (b) purchased by the Commodity 
Credit Corporation under this section; and 
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(B) the quantity of the product exported 
under section 153 of the Food Security Act of 
1985 (15 U.S.C. 713a–14); less 
(2) the quantity of the product sold for unre-
stricted use by the Commodity Credit Corporation. 
(b) SUPPORT ACTIVITIES.—During the period begin-
ning on January 1, 2008, and ending December 31, 2012, 
the Secretary shall support the price of cheddar cheese, 
butter, and nonfat dry milk through the purchase of such 
products made from milk produced in the United States. 
(c) PURCHASE PRICE.—To carry out subsection (b) 
during the period specified in that subsection, the Sec-
retary shall purchase— 
(1) cheddar cheese in blocks at not less than 
$1.13 per pound; 
(2) cheddar cheese in barrels at not less than 
$1.10 per pound; 
(3) butter at not less than $1.05 per pound; 
and 
(4) nonfat dry milk at not less than $0.80 per 
pound. 
(d) TEMPORARY PRICE ADJUSTMENT TO AVOID EX-
CESS INVENTORIES.— 
(1) ADJUSTMENTS
AUTHORIZED.—The Sec-
retary may adjust the minimum purchase prices es-
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tablished under subsection (c) only as permitted 
under this subsection. 
(2) CHEESE
INVENTORIES
IN
EXCESS
OF 
200,000,000 POUNDS.—If net removals for a period of 
12 consecutive months exceed 200,000,000 pounds 
of cheese, but do not exceed 400,000,000 pounds, 
the Secretary may reduce the purchase prices under 
paragraphs (1) and (2) of subsection (c) during the 
immediately following month by not more than 10 
cents per pound. 
(3) CHEESE
INVENTORIES
IN
EXCESS
OF 
400,000,000 POUNDS.—If net removals for a period of 
12 consecutive months exceed 400,000,000 pounds 
of cheese, the Secretary may reduce the purchase 
prices under paragraphs (1) and (2) of subsection 
(c) during the immediately following month by not 
more than 20 cents per pound. 
(4) BUTTER
INVENTORIES
IN
EXCESS
OF 
450,000,000 POUNDS.—If net removals for a period of 
12 consecutive months exceed 450,000,000 pounds 
of butter, but do not exceed 650,000,000 pounds, 
the Secretary may reduce the purchase price under 
subsection (c)(3) during the immediately following 
month by not more than 10 cents per pound. 
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respectively, under subsection (b) shall be uniform for all 
regions of the United States. 
(f) SALES FROM INVENTORIES.—In the case of each 
commodity specified in subsection (c) that is available for 
unrestricted use in the inventory of the Commodity Credit 
Corporation, the Secretary may sell the commodity at the 
market prices prevailing for that commodity at the time 
of sale, except that the sale price may not be less than 
110 percent of the minimum purchase price specified in 
subsection (c) for that commodity. 
SEC. 1502. DAIRY FORWARD PRICING PROGRAM. 
(a) PROGRAM REQUIRED.—The Secretary shall es-
tablish a program under which milk producers and cooper-
ative associations of producers are authorized to volun-
tarily enter into forward price contracts with milk han-
dlers. 
(b) MINIMUM MILK PRICE REQUIREMENTS.—Pay-
ments made by milk handlers to milk producers and coop-
erative associations of producers, and prices received by 
milk producers and cooperative associations, in accordance 
with the terms of a forward price contract authorized by 
subsection (a), shall be treated as satisfying— 
(1) all uniform and minimum milk price re-
quirements of subparagraphs (B) and (F) of para-
graph (5) of section 8c of the Agricultural Adjust-
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ment Act (7 U.S.C. 608c), reenacted with amend-
ments by the Agricultural Marketing Agreement Act 
of 1937; and 
(2) the total payment requirement of subpara-
graph (C) of that paragraph. 
(c) MILK COVERED BY PROGRAM.— 
(1) COVERED MILK.—The program shall apply 
only with respect to the marketing of federally regu-
lated milk that— 
(A) is not classified as Class I milk or oth-
erwise intended for fluid use; and 
(B) is in the current of interstate or for-
eign commerce or directly burdens, obstructs, or 
affects interstate or foreign commerce in feder-
ally regulated milk. 
(2) RELATION
TO
CLASS
I
MILK.—To assist 
milk handlers in complying with paragraph (1)(A) 
without having to segregate or otherwise individually 
track the source and disposition of milk, a milk han-
dler may allocate milk receipts from producers, co-
operatives, and other sources that are not subject to 
a forward contract to satisfy the obligations of the 
handler with regard to Class I milk usage. 
(d) VOLUNTARY PROGRAM.— 
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(1) IN GENERAL.—A milk handler may not re-
quire participation in a forward pricing contract as 
a condition of the handler receiving milk from a pro-
ducer or cooperative association of producers. 
(2) PRICING.—A producer or cooperative asso-
ciation described in paragraph (1) may continue to 
have their milk priced in accordance with the min-
imum payment provisions of the Federal milk mar-
keting order. 
(3) COMPLAINTS.— 
(A) IN GENERAL.—The Secretary shall in-
vestigate complaints made by producers or co-
operative associations of coercion by handlers to 
enter into forward contracts. 
(B) ACTION.—If the Secretary finds evi-
dence of coercion, the Secretary shall take ap-
propriate action. 
(e) DURATION.— 
(1) NEW CONTRACTS.—No forward price con-
tract may be entered into under the program estab-
lished under this section after September 30, 2012. 
(2) APPLICATION.—No forward contract en-
tered into under the program may extend beyond 
September 30, 2015. 
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SEC. 1503. DAIRY EXPORT INCENTIVE PROGRAM. 
(a) EXTENSION.—Section 153(a) of the Food Secu-
rity Act of 1985 (15 U.S.C. 713a–14(a)) is amended by 
striking ‘‘2007’’ and inserting ‘‘2012’’. 
(b) COMPLIANCE WITH TRADE AGREEMENTS.—Sec-
tion 153 of the Food Security Act of 1985 (15 U.S.C. 
713a–14) is amended— 
(1) in subsection (c), by striking paragraph (3) 
and inserting the following: 
‘‘(3) the maximum volume of dairy product ex-
ports allowable consistent with the obligations of the 
United States under the Uruguay Round Agree-
ments approved under section 101 of the Uruguay 
Round Agreements Act (19 U.S.C. 3511) is exported 
under the program each year (minus the volume sold 
under section 1163 of this Act during that year), ex-
cept to the extent that the export of such a volume 
under the program would, in the judgment of the 
Secretary, exceed the limitations on the value per-
mitted under subsection (f); and’’; and. 
(2) in subsection (f), by striking paragraph (1) 
and inserting the following: 
‘‘(1) FUNDS
AND
COMMODITIES.—Except as 
provided in paragraph (2), the Commodity Credit 
Corporation shall in each year use money and com-
modities for the program under this section in the 
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maximum amount consistent with the obligations of 
the United States under the Uruguay Round Agree-
ments approved under section 101 of the Uruguay 
Round Agreements Act (19 U.S.C. 3511), minus the 
amount expended under section 1163 of this Act 
during that year.’’. 
SEC. 1504. REVISION OF FEDERAL MARKETING ORDER 
AMENDMENT PROCEDURES. 
Section 8c of the Agricultural Adjustment Act (7 
U.S.C. 608c), reenacted with amendments by the Agricul-
tural Marketing Agreement Act of 1937, is amended by 
striking subsection (17) and inserting the following: 
‘‘(17) PROVISIONS
APPLICABLE
TO
AMEND-
MENTS.— 
‘‘(A) APPLICABILITY TO AMENDMENTS.— 
The provisions of this section and section 8d 
applicable to orders shall be applicable to 
amendments to orders. 
‘‘(B) SUPPLEMENTAL
RULES
OF
PRAC-
TICE.— 
‘‘(i) IN GENERAL.—Not later than 60 
days after the date of enactment of this 
subparagraph, the Secretary shall issue, 
using informal rulemaking, supplemental 
rules of practice to define guidelines and 
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timeframes for the rulemaking process re-
lating to amendments to orders. 
‘‘(ii) ISSUES.—At a minimum, the 
supplemental rules of practice shall estab-
lish— 
‘‘(I) proposal submission require-
ments; 
‘‘(II) 
pre-hearing 
information 
session specifications; 
‘‘(III) written testimony and data 
request requirements; 
‘‘(IV) public participation time-
frames; and 
‘‘(V) electronic document submis-
sion standards. 
‘‘(iii) EFFECTIVE DATE.—The supple-
mental rules of practice shall take effect 
not later than 120 days after the date of 
enactment of this subparagraph, as deter-
mined by the Secretary. 
‘‘(C) HEARING TIMEFRAMES.— 
‘‘(i) IN GENERAL.—Not more than 30 
days after the receipt of a proposal for an 
amendment hearing regarding a milk mar-
keting order, the Secretary shall— 
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‘‘(I) issue a notice providing an 
action plan and expected timeframes 
for completion of the hearing not 
more than 120 days after the date of 
the issuance of the notice; 
‘‘(II)(aa) issue a request for ad-
ditional information to be used by the 
Secretary in making a determination 
regarding the proposal; and 
‘‘(bb) if the additional informa-
tion is not provided to the Secretary 
within the timeframe requested by the 
Secretary, issue a denial of the re-
quest; or 
‘‘(III) issue a denial of the re-
quest. 
‘‘(ii) REQUIREMENT.—A post-hearing 
brief may be filed under this paragraph 
not later than 60 days after the date of an 
amendment hearing regarding a milk mar-
keting order. 
‘‘(iii) RECOMMENDED DECISIONS.—A 
recommended decision on a proposed 
amendment to an order shall be issued not 
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later than 90 days after the deadline for 
the submission of post-hearing briefs. 
‘‘(iv) FINAL DECISIONS.—A final deci-
sion on a proposed amendment to an order 
shall be issued not later than 60 days after 
the deadline for submission of comments 
and exceptions to the recommended deci-
sion issued under clause (iii). 
‘‘(D) INDUSTRY
ASSESSMENTS.—If the 
Secretary determines it is necessary to improve 
or expedite rulemaking under this subsection, 
the Secretary may impose an assessment on the 
affected industry to supplement appropriated 
funds for the procurement of service providers, 
such as court reporters. 
‘‘(E) USE OF INFORMAL RULEMAKING.— 
The Secretary may use rulemaking under sec-
tion 553 of title 5, United States Code, to 
amend orders, other than provisions of orders 
that directly affect milk prices. 
‘‘(F) AVOIDING DUPLICATION.—The Sec-
retary shall not be required to hold a hearing 
on any amendment proposed to be made to a 
milk marketing order in response to an applica-
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tion for a hearing on the proposed amendment 
if— 
‘‘(i) the application requesting the 
hearing is received by the Secretary not 
later than 90 days after the date on which 
the Secretary has announced the decision 
on a previously proposed amendment to 
that order; and 
‘‘(ii) the 2 proposed amendments are 
essentially the same, as determined by the 
Secretary. 
‘‘(G) MONTHLY
FEED
AND
FUEL
COSTS 
FOR MAKE ALLOWANCES.—As part of any hear-
ing to adjust make allowances under marketing 
orders commencing prior to September 30, 
2012, the Secretary shall— 
‘‘(i) determine the average monthly 
prices of feed and fuel incurred by dairy 
producers in the relevant marketing area; 
‘‘(ii) consider the most recent monthly 
feed and fuel price data available; and 
‘‘(iii) consider those prices in deter-
mining whether or not to adjust make al-
lowances.’’. 
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HR 6124 PCS
SEC. 1505. DAIRY INDEMNITY PROGRAM. 
Section 3 of Public Law 90–484 (7 U.S.C. 450l) is 
amended by striking ‘‘2007’’ and inserting ‘‘2012’’. 
SEC. 1506. MILK INCOME LOSS CONTRACT PROGRAM. 
(a) DEFINITIONS.—In this section: 
(1) CLASS I MILK.—The term ‘‘Class I milk’’ 
means milk (including milk components) classified 
as Class I milk under a Federal milk marketing 
order. 
(2) ELIGIBLE PRODUCTION.—The term ‘‘eligi-
ble production’’ means milk produced by a producer 
in a participating State. 
(3) FEDERAL MILK MARKETING ORDER.—The 
term ‘‘Federal milk marketing order’’ means an 
order issued under section 8c of the Agricultural Ad-
justment Act (7 U.S.C. 608c), reenacted with 
amendments by the Agricultural Marketing Agree-
ment Act of 1937. 
(4) PARTICIPATING STATE.—The term ‘‘partici-
pating State’’ means each State. 
(5) PRODUCER.—The term ‘‘producer’’ means 
an individual or entity that directly or indirectly (as 
determined by the Secretary)— 
(A) shares in the risk of producing milk; 
and 
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(B) makes contributions (including land, 
labor, management, equipment, or capital) to 
the dairy farming operation of the individual or 
entity that are at least commensurate with the 
share of the individual or entity of the proceeds 
of the operation. 
(b) PAYMENTS.—The Secretary shall offer to enter 
into contracts with producers on a dairy farm located in 
a participating State under which the producers receive 
payments on eligible production. 
(c) AMOUNT.—Payments to a producer under this 
section shall be calculated by multiplying (as determined 
by the Secretary)— 
(1) the payment quantity for the producer dur-
ing the applicable month established under sub-
section (e); 
(2) the amount equal to— 
(A) $16.94 per hundredweight, as adjusted 
under subsection (d); less 
(B) the Class I milk price per hundred-
weight in Boston under the applicable Federal 
milk marketing order; by 
(3)(A) for the period beginning October 1, 
2007, and ending September 30, 2008, 34 percent; 
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(B) for the period beginning October 1, 2008, 
and ending August 31, 2012, 45 percent; and 
(C) for the period beginning September 1, 
2012, and thereafter, 34 percent. 
(d) PAYMENT
RATE
ADJUSTMENT
FOR
FEED 
PRICES.— 
(1) INITIAL ADJUSTMENT AUTHORITY.—During 
the period beginning on January 1, 2008, and end-
ing on August 31, 2012, if the National Average 
Dairy Feed Ration Cost for a month during that pe-
riod is greater than $7.35 per hundredweight, the 
amount specified in subsection (c)(2)(A) used to de-
termine the payment rate for that month shall be in-
creased by 45 percent of the percentage by which 
the National Average Dairy Feed Ration Cost ex-
ceeds $7.35 per hundredweight. 
(2) SUBSEQUENT ADJUSTMENT AUTHORITY.— 
For any month beginning on or after September 1, 
2012, if the National Average Dairy Feed Ration 
Cost for the month is greater than $9.50 per hun-
dredweight, the amount specified in subsection 
(c)(2)(A) used to determine the payment rate for 
that month shall be increased by 45 percent of the 
percentage by which the National Average Dairy 
Feed Ration Cost exceeds $9.50 per hundredweight. 
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(3) NATIONAL AVERAGE DAIRY FEED RATION 
COST.—For each month, the Secretary shall cal-
culate a National Average Dairy Feed Ration Cost 
per hundredweight using the same procedures (ad-
justed to a hundredweight basis) used to calculate 
the feed components of the estimated price of 16% 
Mixed Dairy Feed per pound noted on page 33 of 
the USDA March 2008 Agricultural Prices publica-
tion (including the data and factors noted in foot-
note 4). 
(e) PAYMENT QUANTITY.— 
(1) IN GENERAL.—Subject to paragraph (2), 
the payment quantity for a producer during the ap-
plicable month under this section shall be equal to 
the quantity of eligible production marketed by the 
producer during the month. 
(2) LIMITATION.— 
(A) IN GENERAL.—The payment quantity 
for all producers on a single dairy operation for 
which the producers receive payments under 
subsection (b) shall not exceed— 
(i) for the period beginning October 1, 
2007, and ending September 30, 2008, 
2,400,000 pounds; 
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(ii) for the period beginning October 
1, 2008, and ending August 31, 2012, 
2,985,000 pounds for each fiscal year; and 
(iii) effective beginning September 1, 
2012, 2,400,000 pounds per fiscal year. 
(B) STANDARDS.—For purposes of deter-
mining whether producers are producers on sep-
arate dairy operations or a single dairy oper-
ation, the Secretary shall apply the same stand-
ards as were applied in implementing the dairy 
program under section 805 of the Agriculture, 
Rural Development, Food and Drug Adminis-
tration, and Related Agencies Appropriations 
Act, 2001 (as enacted into law by Public Law 
106–387; 114 Stat. 1549A–50). 
(3) RECONSTITUTION.—The Secretary shall en-
sure that a producer does not reconstitute a dairy 
operation for the sole purpose of receiving additional 
payments under this section. 
(f) PAYMENTS.—A payment under a contract under 
this section shall be made on a monthly basis not later 
than 60 days after the last day of the month for which 
the payment is made. 
(g) SIGNUP.—The Secretary shall offer to enter into 
contracts under this section during the period beginning 
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on the date that is 90 days after the date of enactment 
of this Act and ending on September 30, 2012. 
(h) DURATION OF CONTRACT.— 
(1) IN GENERAL.—Except as provided in para-
graph (2), any contract entered into by producers on 
a dairy farm under this section shall cover eligible 
production marketed by the producers on the dairy 
farm during the period starting with the first day of 
month the producers on the dairy farm enter into 
the contract and ending on September 30, 2012. 
(2) VIOLATIONS.—If a producer violates the 
contract, the Secretary may— 
(A) terminate the contract and allow the 
producer to retain any payments received under 
the contract; or 
(B) allow the contract to remain in effect 
and require the producer to repay a portion of 
the payments received under the contract based 
on the severity of the violation. 
SEC. 1507. DAIRY PROMOTION AND RESEARCH PROGRAM. 
(a) EXTENSION
OF DAIRY PROMOTION
AND RE-
SEARCH AUTHORITY.—Section 113(e)(2) of the Dairy 
Production 
Stabilization 
Act 
of 
1983 
(7 
U.S.C. 
4504(e)(2)) is amended by striking ‘‘2007’’ and inserting 
‘‘2012’’. 
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(b) DEFINITION
OF UNITED STATES
FOR PRO-
MOTION PROGRAM.—Section 111 of the Dairy Production 
Stabilization Act of 1983 (7 U.S.C. 4502) is amended— 
(1) by striking subsection (l) and inserting the 
following: 
‘‘(l) the term ‘United States’, when used in a geo-
graphical sense, means all of the States, the District of 
Columbia, and the Commonwealth of Puerto Rico;’’; and 
(2) in subsection (m), by striking ‘‘(as defined 
in subsection (l))’’. 
(c) DEFINITION OF UNITED STATES FOR RESEARCH 
PROGRAM.—Section 130 of the Dairy Production Sta-
bilization Act of 1983 (7 U.S.C. 4531)) is amended by 
striking paragraph (12) and inserting the following: 
‘‘(12) the term ‘United States’, when used in a 
geographical sense, means all of the States, the Dis-
trict of Columbia, and the Commonwealth of Puerto 
Rico.’’. 
(d) ASSESSMENT RATE FOR IMPORTED DAIRY PROD-
UCTS.—Section 113(g) of the Dairy Production Stabiliza-
tion Act of 1983 (7 U.S.C. 4504(g)) is amended by strik-
ing paragraph (3) and inserting the following: 
‘‘(3) RATE.— 
‘‘(A) IN
GENERAL.—The rate of assess-
ment for milk produced in the United States 
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prescribed by the order shall be 15 cents per 
hundredweight of milk for commercial use or 
the equivalent thereof, as determined by the 
Secretary. 
‘‘(B) IMPORTED
DAIRY
PRODUCTS.—The 
rate of assessment for imported dairy products 
prescribed by the order shall be 7.5 cents per 
hundredweight of milk for commercial use or 
the equivalent thereof, as determined by the 
Secretary.’’. 
(e) TIME AND METHOD OF IMPORTER PAYMENTS.— 
Section 113(g)(6) of the Dairy Production Stabilization 
Act of 1983 (7 U.S.C. 4504(g)(6)) is amended— 
(1) by striking subparagraph (B); and 
(2) by redesignating subparagraph (C) as sub-
paragraph (B). 
(f) REFUND
OF ASSESSMENTS
ON CERTAIN IM-
PORTED DAIRY PRODUCTS.—Section 113(g) of the Dairy 
Production Stabilization Act of 1983 (7 U.S.C. 4504(g)) 
is amended by adding at the end the following: 
‘‘(7) REFUND OF ASSESSMENTS ON CERTAIN 
IMPORTED PRODUCTS.— 
‘‘(A) IN GENERAL.—An importer shall be 
entitled to a refund of any assessment paid 
under this subsection on imported dairy prod-
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ucts imported under a contract entered into 
prior to the date of enactment of the Food, 
Conservation, and Energy Act of 2008. 
‘‘(B) EXPIRATION.—Refunds under sub-
paragraph (A) shall expire 1 year after the date 
of enactment of the Food, Conservation, and 
Energy Act of 2008.’’. 
SEC. 1508. REPORT ON DEPARTMENT OF AGRICULTURE RE-
PORTING PROCEDURES FOR NONFAT DRY 
MILK. 
Not later than 90 days after the date of enactment 
of this Act, the Secretary shall submit to the Committee 
on Agriculture of the House of Representatives and the 
Committee on Agriculture, Nutrition, and Forestry of the 
Senate a report regarding Department of Agriculture re-
porting procedures for nonfat dry milk and the impact of 
the procedures on Federal milk marketing order minimum 
prices during the period beginning on July 1, 2006, and 
ending on the date of enactment of this Act. 
SEC. 1509. FEDERAL MILK MARKETING ORDER REVIEW 
COMMISSION. 
(a) ESTABLISHMENT.—Subject to the availability of 
appropriations to carry out this section, the Secretary 
shall establish a commission to be known as the ‘‘Federal 
Milk Marketing Order Review Commission’’ (referred to 
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(7) evaluating the nutritional composition of 
milk, including the potential benefits and costs of 
adjusting the milk content standards. 
(c) MEMBERSHIP.— 
(1) COMPOSITION.—The commission shall con-
sist of 14 members. 
(2) MEMBERS.—As soon as practicable after 
the date on which funds are first made available to 
carry out this section, the Secretary shall appoint 
members to the commission according to the fol-
lowing requirements: 
(A) At least 1 member shall represent a 
national consumer organization. 
(B) At least 4 members shall represent 
land-grant universities or NLGCA Institutions 
(as defined in section 1404 of the National Ag-
ricultural Research, Extension, and Teaching 
Policy Act of 1977 (7 U.S.C. 3103)) with ac-
credited dairy economic programs, with at least 
2 of those members being experts in the field 
of economics. 
(C) At least 1 member shall represent the 
food and beverage retail sector. 
(D) 4 dairy producers and 4 dairy proc-
essors, appointed so as to balance geographical 
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distribution of milk production and dairy proc-
essing, reflect all segments of dairy processing, 
and represent all regions of the United States 
equitably, including States that operate outside 
of a Federal milk marketing order. 
(3) CHAIR.—The commission shall elect 1 of 
the appointed members of the commission to serve 
as chairperson for the duration of the proceedings of 
the commission. 
(4) VACANCY.—Any vacancy occurring before 
the termination of the commission shall be filled in 
the same manner as the original appointment. 
(5) COMPENSATION.—Members of the commis-
sion shall serve without compensation, but shall be 
reimbursed by the Secretary from existing budget 
authority for necessary and reasonable expenses in-
curred in the performance of the duties of the com-
mission. 
(d) REPORT.— 
(1) IN GENERAL.—Not later than 2 years after 
the date of the first meeting of the commission, the 
commission shall submit to Congress and the Sec-
retary a report describing the results of the review 
and evaluation conducted under this section, includ-
ing such recommendations regarding the legislative 
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and regulatory options considered under subsection 
(b) as the commission considers to be appropriate. 
(2) OPINIONS.—The report findings shall re-
flect, to the maximum extent practicable, a con-
sensus opinion of the commission members, but the 
report may include majority and minority findings 
regarding those matters for which consensus was not 
reached. 
(e) ADVISORY NATURE.—The commission is wholly 
advisory in nature, and the recommendations of the com-
mission are nonbinding. 
(f) NO EFFECT ON EXISTING PROGRAMS.—The Sec-
retary shall not allow the existence of the commission to 
impede, delay, or otherwise affect any decisionmaking 
process of the Department of Agriculture, including any 
rulemaking procedures planned, proposed, or near comple-
tion. 
(g) ADMINISTRATIVE ASSISTANCE.—The Secretary 
shall provide administrative support to the commission, 
and expend to carry out this section such funds as nec-
essary from budget authority available to the Secretary. 
(h) AUTHORIZATION
OF APPROPRIATIONS.—There 
are authorized to be appropriated such sums as are nec-
essary to carry out this section. 
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(i) TERMINATION.—The commission shall terminate 
effective on the date of the submission of the report under 
subsection (d). 
SEC. 1510. MANDATORY REPORTING OF DAIRY COMMOD-
ITIES. 
(a) ELECTRONIC REPORTING.—Section 273 of the 
Agricultural Marketing Act of 1946 (7 U.S.C. 1637b) is 
amended— 
(1) by redesignating subsection (d) as sub-
section (e); and 
(2) by inserting after subsection (c) the fol-
lowing: 
‘‘(d) ELECTRONIC REPORTING.— 
‘‘(1) IN GENERAL.—Subject to the availability 
of funds under paragraph (3), the Secretary shall es-
tablish an electronic reporting system to carry out 
this section. 
‘‘(2) FREQUENCY OF REPORTS.—After the es-
tablishment of the electronic reporting system in ac-
cordance with paragraph (1), the Secretary shall in-
crease the frequency of the reports required under 
this section. 
‘‘(3) AUTHORIZATION
OF
APPROPRIATIONS.— 
There are authorized to be appropriated such sums 
as are necessary to carry out this subsection.’’. 
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(b) QUARTERLY AUDITS.—Section 273(c) of the Ag-
ricultural Marketing Act of 1946 (7 U.S.C. 1637b(c)) is 
amended by striking paragraph (3) and inserting the fol-
lowing: 
‘‘(3) VERIFICATION.— 
‘‘(A) IN
GENERAL.—The Secretary shall 
take such actions as the Secretary considers 
necessary to verify the accuracy of the informa-
tion submitted or reported under this subtitle. 
‘‘(B) QUARTERLY AUDITS.—The Secretary 
shall quarterly conduct an audit of information 
submitted or reported under this subtitle and 
compare such information with other related 
dairy market statistics.’’. 
Subtitle F—Administration 
SEC. 1601. ADMINISTRATION GENERALLY. 
(a) USE OF COMMODITY CREDIT CORPORATION.— 
Except as otherwise provided in this title, the Secretary 
shall use the funds, facilities, and authorities of the Com-
modity Credit Corporation to carry out this title. 
(b) DETERMINATIONS
BY SECRETARY.—A deter-
mination made by the Secretary under this title shall be 
final and conclusive. 
(c) REGULATIONS.— 
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(1) IN
GENERAL.—Except as otherwise pro-
vided in this subsection, not later than 90 days after 
the date of enactment of this Act, the Secretary and 
the Commodity Credit Corporation, as appropriate, 
shall promulgate such regulations as are necessary 
to implement this title and the amendments made by 
this title. 
(2) PROCEDURE.—The promulgation of the reg-
ulations and administration of this title and the 
amendments made by this title shall be made with-
out regard to— 
(A) chapter 35 of title 44, United States 
Code (commonly known as the ‘‘Paperwork Re-
duction Act’’); 
(B) the Statement of Policy of the Sec-
retary of Agriculture effective July 24, 1971 
(36 Fed. Reg. 13804), relating to notices of 
proposed rulemaking and public participation in 
rulemaking; and 
(C) the notice and comment provisions of 
section 553 of title 5, United States Code. 
(3) CONGRESSIONAL REVIEW OF AGENCY RULE-
MAKING.—In carrying out this subsection, the Sec-
retary shall use the authority provided under section 
808 of title 5, United States Code. 
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(4) INTERIM
REGULATIONS.—Notwithstanding 
paragraphs (1) and (2), the Secretary shall imple-
ment the amendments made by sections 1603 and 
1604 for the 2009 crop, fiscal, or program year, as 
appropriate, through the promulgation of an interim 
rule. 
(d) ADJUSTMENT AUTHORITY RELATED TO TRADE 
AGREEMENTS COMPLIANCE.— 
(1) 
REQUIRED
DETERMINATION; 
ADJUST-
MENT.—If the Secretary determines that expendi-
tures under this title that are subject to the total al-
lowable domestic support levels under the Uruguay 
Round Agreements (as defined in section 2 of the 
Uruguay Round Agreements Act (19 U.S.C. 3501)) 
will exceed such allowable levels for any applicable 
reporting period, the Secretary shall, to the max-
imum extent practicable, make adjustments in the 
amount of such expenditures during that period to 
ensure that such expenditures do not exceed such al-
lowable levels. 
(2) CONGRESSIONAL
NOTIFICATION.—Before 
making any adjustment under paragraph (1), the 
Secretary shall submit to the Committee on Agri-
culture of the House of Representatives or the Com-
mittee on Agriculture, Nutrition, and Forestry of 
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the Senate a report describing the determination 
made under that paragraph and the extent of the 
adjustment to be made. 
(e) TREATMENT OF ADVANCE PAYMENT OPTION.— 
Section 1601(d) of the Farm Security and Rural Invest-
ment Act of 2002 (7 U.S.C. 7991(d)) is amended— 
(1) in paragraph (1), by striking ‘‘and’’ at the 
end; 
(2) in paragraph (2), by striking the period at 
the end and inserting ‘‘; and’’; and 
(3) by adding at the end the following: 
‘‘(3) the advance payment of direct payments 
and counter-cyclical payments under title I of the 
Food, Conservation, and Energy Act of 2008.’’. 
SEC. 1602. SUSPENSION OF PERMANENT PRICE SUPPORT 
AUTHORITY. 
(a) AGRICULTURAL ADJUSTMENT ACT OF 1938.— 
The following provisions of the Agricultural Adjustment 
Act of 1938 shall not be applicable to the 2008 through 
2012 crops of covered commodities, peanuts, and sugar 
and shall not be applicable to milk during the period be-
ginning on the date of enactment of this Act through De-
cember 31, 2012: 
(1) Parts II through V of subtitle B of title III 
(7 U.S.C. 1326 et seq.). 
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(2) In the case of upland cotton, section 377 (7 
U.S.C. 1377). 
(3) Subtitle D of title III (7 U.S.C. 1379a et 
seq.). 
(4) Title IV (7 U.S.C. 1401 et seq.). 
(b) AGRICULTURAL ACT OF 1949.—The following 
provisions of the Agricultural Act of 1949 shall not be ap-
plicable to the 2008 through 2012 crops of covered com-
modities, peanuts, and sugar and shall not be applicable 
to milk during the period beginning on the date of enact-
ment of this Act and through December 31, 2012: 
(1) Section 101 (7 U.S.C. 1441). 
(2) Section 103(a) (7 U.S.C. 1444(a)). 
(3) Section 105 (7 U.S.C. 1444b). 
(4) Section 107 (7 U.S.C. 1445a). 
(5) Section 110 (7 U.S.C. 1445e). 
(6) Section 112 (7 U.S.C. 1445g). 
(7) Section 115 (7 U.S.C. 1445k). 
(8) Section 201 (7 U.S.C. 1446). 
(9) Title III (7 U.S.C. 1447 et seq.). 
(10) Title IV (7 U.S.C. 1421 et seq.), other 
than sections 404, 412, and 416 (7 U.S.C. 1424, 
1429, and 1431). 
(11) Title V (7 U.S.C. 1461 et seq.). 
(12) Title VI (7 U.S.C. 1471 et seq.). 
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(c) SUSPENSION OF CERTAIN QUOTA PROVISIONS.— 
The joint resolution entitled ‘‘A joint resolution relating 
to corn and wheat marketing quotas under the Agricul-
tural Adjustment Act of 1938, as amended’’, approved 
May 26, 1941 (7 U.S.C. 1330 and 1340), shall not be 
applicable to the crops of wheat planted for harvest in the 
calendar years 2008 through 2012. 
SEC. 1603. PAYMENT LIMITATIONS. 
(a) EXTENSION
OF LIMITATIONS.—Sections 1001 
and 1001C(a) of the Food Security Act of 1985 (7 U.S.C. 
1308, 1308–3(a)) are amended by striking ‘‘Farm Secu-
rity and Rural Investment Act of 2002’’ each place it ap-
pears and inserting ‘‘Food, Conservation, and Energy Act 
of 2008’’. 
(b) REVISION OF LIMITATIONS.— 
(1) DEFINITIONS.—Section 1001(a) of the 
Food Security Act of 1985 (7 U.S.C. 1308(a)) is 
amended— 
(A) in the matter preceding paragraph (1), 
by inserting ‘‘through section 1001F’’after 
‘‘section’’; 
(B) by striking paragraph (2) and redesig-
nating paragraph (3) as paragraph (5); and 
(C) by inserting after paragraph (1) the 
following: 
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‘‘(2) FAMILY
MEMBER.—The term ‘family 
member’ means a person to whom a member in the 
farming operation is related as lineal ancestor, lineal 
descendant, sibling, spouse, or otherwise by mar-
riage. 
‘‘(3) LEGAL ENTITY.—The term ‘legal entity’ 
means an entity that is created under Federal or 
State law and that— 
‘‘(A) owns land or an agricultural com-
modity; or 
‘‘(B) produces an agricultural commodity. 
‘‘(4) PERSON.—The term ‘person’ means a nat-
ural person, and does not include a legal entity.’’. 
(2) LIMITATION
ON
DIRECT
PAYMENTS
AND 
COUNTER-CYCLICAL
PAYMENTS.—Section 1001 of 
the Food Security Act of 1985 (7 U.S.C. 1308) is 
amended by striking subsections (b), (c), and (d) 
and inserting the following: 
‘‘(b) LIMITATION ON DIRECT PAYMENTS, COUNTER- 
CYCLICAL PAYMENTS, AND ACRE PAYMENTS FOR COV-
ERED COMMODITIES (OTHER THAN PEANUTS).— 
‘‘(1) DIRECT PAYMENTS.—The total amount of 
direct payments received, directly or indirectly, by a 
person or legal entity (except a joint venture or a 
general partnership) for any crop year under subtitle 
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A of title I of the Food, Conservation, and Energy 
Act of 2008 for 1 or more covered commodities (ex-
cept for peanuts) may not exceed— 
‘‘(A) in the case of a person or legal entity 
that does not participate in the average crop 
revenue election program under section 1105 of 
that Act, $40,000; or 
‘‘(B) in the case of a person or legal entity 
that participates in the average crop revenue 
election program under section 1105 of that 
Act, an amount equal to— 
‘‘(i) the payment limit specified in 
subparagraph (A); less 
‘‘(ii) the amount of the reduction in 
direct payments under section 1105(a)(1) 
of that Act. 
‘‘(2) COUNTER-CYCLICAL
PAYMENTS.—In the 
case of a person or legal entity (except a joint ven-
ture or a general partnership) that does not partici-
pate in the average crop revenue election program 
under section 1105 of the Food, Conservation, and 
Energy Act of 2008, the total amount of counter-cy-
clical payments received, directly or indirectly, by 
the person or legal entity for any crop year under 
subtitle A of title I of that Act for 1 or more covered 
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‘‘(3) ACRE 
AND
COUNTER-CYCLICAL
PAY-
MENTS.—In the case of a person or legal entity (ex-
cept a joint venture or a general partnership) that 
participates in the average crop revenue election pro-
gram under section 1105 of the Food, Conservation, 
and Energy Act of 2008, the total amount of aver-
age crop revenue election payments received, directly 
or indirectly, by the person or legal entity for any 
crop year for peanuts may not exceed the sum of— 
‘‘(A) $65,000; and 
‘‘(B) the amount by which the direct pay-
ment limitation is reduced under paragraph 
(1)(B). 
‘‘(d) LIMITATION ON APPLICABILITY.—Nothing in 
this section authorizes any limitation on any benefit asso-
ciated with the marketing assistance loan program or the 
loan deficiency payment program under title I of the Food, 
Conservation, and Energy Act of 2008.’’. 
(3) DIRECT
ATTRIBUTION.—Section 1001 of 
the Food Security Act of 1985 (7 U.S.C. 1308) is 
amended— 
(A) by striking subsections (e) and (f) and 
redesignating subsection (g) as subsection (h); 
and 
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(B) by inserting after subsection (d) the 
following: 
‘‘(e) ATTRIBUTION OF PAYMENTS.— 
‘‘(1) IN
GENERAL.—In implementing sub-
sections (b) and (c) and a program described in 
paragraphs (1)(C) and (2)(B) of section 1001D(b), 
the Secretary shall issue such regulations as are nec-
essary to ensure that the total amount of payments 
are attributed to a person by taking into account the 
direct and indirect ownership interests of the person 
in a legal entity that is eligible to receive the pay-
ments. 
‘‘(2) PAYMENTS TO A PERSON.—Each payment 
made directly to a person shall be combined with the 
pro rata interest of the person in payments received 
by a legal entity in which the person has a direct or 
indirect ownership interest unless the payments of 
the legal entity have been reduced by the pro rata 
share of the person. 
‘‘(3) PAYMENTS TO A LEGAL ENTITY.— 
‘‘(A) IN GENERAL.—Each payment made 
to a legal entity shall be attributed to those per-
sons who have a direct or indirect ownership in-
terest in the legal entity unless the payment to 
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the legal entity has been reduced by the pro 
rata share of the person. 
‘‘(B) ATTRIBUTION OF PAYMENTS.— 
‘‘(i) PAYMENT
LIMITS.—Except as 
provided in clause (ii), payments made to 
a legal entity shall not exceed the amounts 
specified in subsections (b) and (c). 
‘‘(ii) EXCEPTION
FOR
JOINT
VEN-
TURES
AND
GENERAL
PARTNERSHIPS.— 
Payments made to a joint venture or a 
general partnership shall not exceed, for 
each payment specified in subsections (b) 
and (c), the amount determined by multi-
plying the maximum payment amount 
specified in subsections (b) and (c) by the 
number of persons and legal entities (other 
than joint ventures and general partner-
ships) that comprise the ownership of the 
joint venture or general partnership. 
‘‘(iii) REDUCTION.—Payments made 
to a legal entity shall be reduced propor-
tionately by an amount that represents the 
direct or indirect ownership in the legal en-
tity by any person or legal entity that has 
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otherwise exceeded the applicable max-
imum payment limitation. 
‘‘(4) 4 LEVELS OF ATTRIBUTION FOR EMBED-
DED LEGAL ENTITIES.— 
‘‘(A) IN
GENERAL.—Attribution of pay-
ments made to legal entities shall be traced 
through 4 levels of ownership in legal entities. 
‘‘(B) FIRST LEVEL.—Any payments made 
to a legal entity (a first-tier legal entity) that 
is owned in whole or in part by a person shall 
be attributed to the person in an amount that 
represents the direct ownership in the first-tier 
legal entity by the person. 
‘‘(C) SECOND LEVEL.— 
‘‘(i) IN
GENERAL.—Any payments 
made to a first-tier legal entity that is 
owned (in whole or in part) by another 
legal entity (a second-tier legal entity) 
shall be attributed to the second-tier legal 
entity in proportion to the ownership of the 
second-tier legal entity in the first-tier 
legal entity. 
‘‘(ii) OWNERSHIP BY A PERSON.—If 
the second-tier legal entity is owned (in 
whole or in part) by a person, the amount 
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of the payment made to the first-tier legal 
entity shall be attributed to the person in 
the amount that represents the indirect 
ownership in the first-tier legal entity by 
the person. 
‘‘(D) THIRD AND FOURTH LEVELS.— 
‘‘(i) IN
GENERAL.—Except as pro-
vided in clause (ii), the Secretary shall at-
tribute payments at the third and fourth 
tiers of ownership in the same manner as 
specified in subparagraph (C). 
‘‘(ii) FOURTH-TIER
OWNERSHIP.—If 
the fourth-tier of ownership is that of a 
fourth-tier legal entity and not that of a 
person, the Secretary shall reduce the 
amount of the payment to be made to the 
first-tier legal entity in the amount that 
represents the indirect ownership in the 
first-tier legal entity by the fourth-tier 
legal entity. 
‘‘(f) SPECIAL RULES.— 
‘‘(1) MINOR CHILDREN.— 
‘‘(A) IN GENERAL.—Except as provided in 
subparagraph (B), payments received by a child 
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under the age of 18 shall be attributed to the 
parents of the child. 
‘‘(B) REGULATIONS.—The Secretary shall 
issue regulations specifying the conditions 
under which payments received by a child under 
the age of 18 will not be attributed to the par-
ents of the child. 
‘‘(2) MARKETING COOPERATIVES.—Subsections 
(b) and (c) shall not apply to a cooperative associa-
tion of producers with respect to commodities pro-
duced by the members of the association that are 
marketed by the association on behalf of the mem-
bers of the association but shall apply to the pro-
ducers as persons. 
‘‘(3) TRUSTS AND ESTATES.— 
‘‘(A) IN GENERAL.—With respect to irrev-
ocable trusts and estates, the Secretary shall 
administer this section through section 1001F 
in such manner as the Secretary determines will 
ensure the fair and equitable treatment of the 
beneficiaries of the trusts and estates. 
‘‘(B) IRREVOCABLE TRUST.— 
‘‘(i) IN
GENERAL.—In order for a 
trust to be considered an irrevocable trust, 
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the terms of the trust agreement shall 
not— 
‘‘(I) allow for modification or ter-
mination of the trust by the grantor; 
‘‘(II) allow for the grantor to 
have any future, contingent, or re-
mainder interest in the corpus of the 
trust; or 
‘‘(III) except as provided in 
clause (ii), provide for the transfer of 
the corpus of the trust to the remain-
der beneficiary in less than 20 years 
beginning on the date the trust is es-
tablished. 
‘‘(ii) 
EXCEPTION.—Clause 
(i)(III) 
shall not apply in a case in which the 
transfer is— 
‘‘(I) contingent on the remainder 
beneficiary achieving at least the age 
of majority; or 
‘‘(II) contingent on the death of 
the grantor or income beneficiary. 
‘‘(C) REVOCABLE
TRUST.—For the pur-
poses of this section through section 1001F, a 
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revocable trust shall be considered to be the 
same person as the grantor of the trust. 
‘‘(4) CASH RENT TENANTS.— 
‘‘(A) DEFINITION.—In this paragraph, the 
term ‘cash rent tenant’ means a person or legal 
entity that rents land— 
‘‘(i) for cash; or 
‘‘(ii) for a crop share guaranteed as to 
the amount of the commodity to be paid in 
rent. 
‘‘(B) RESTRICTION.—A cash rent tenant 
who makes a significant contribution of active 
personal management, but not of personal 
labor, with respect to a farming operation shall 
be eligible to receive a payment described in 
subsection (b) or (c) only if the tenant makes 
a significant contribution of equipment to the 
farming operation. 
‘‘(5) FEDERAL AGENCIES.— 
‘‘(A) IN GENERAL.—Notwithstanding sub-
section (d), a Federal agency shall not be eligi-
ble to receive any payment, benefit, or loan 
under title I of the Food, Conservation, and 
Energy Act of 2008 or title XII of this Act. 
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‘‘(B) LAND
RENTAL.—A lessee of land 
owned by a Federal agency may receive a pay-
ment described in subsection (b), (c), or (d) if 
the lessee otherwise meets all applicable cri-
teria. 
‘‘(6) STATE AND LOCAL GOVERNMENTS.— 
‘‘(A) IN GENERAL.—Notwithstanding sub-
section (d), except as provided in subsection 
(g), a State or local government, or political 
subdivision or agency of the government, shall 
not be eligible to receive any payment, benefit, 
or loan under title I of the Food, Conservation, 
and Energy Act of 2008 or title XII of this Act. 
‘‘(B) TENANTS.—A lessee of land owned 
by a State or local government, or political sub-
division or agency of the government, may re-
ceive payments described in subsections (b), (c), 
and (d) if the lessee otherwise meets all applica-
ble criteria. 
‘‘(7) CHANGES IN FARMING OPERATIONS.— 
‘‘(A) IN GENERAL.—In the administration 
of this section through section 1001F, the Sec-
retary may not approve any change in a farm-
ing operation that otherwise will increase the 
number of persons to which the limitations 
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under this section are applied unless the Sec-
retary determines that the change is bona fide 
and substantive. 
‘‘(B) FAMILY MEMBERS.—The addition of 
a family member to a farming operation under 
the criteria set out in section 1001A shall be 
considered a bona fide and substantive change 
in the farming operation. 
‘‘(8) DEATH OF OWNER.— 
‘‘(A) IN GENERAL.—If any ownership in-
terest in land or a commodity is transferred as 
the result of the death of a program partici-
pant, the new owner of the land or commodity 
may, if the person is otherwise eligible to par-
ticipate in the applicable program, succeed to 
the contract of the prior owner and receive pay-
ments subject to this section without regard to 
the amount of payments received by the new 
owner. 
‘‘(B) LIMITATIONS
ON
PRIOR
OWNER.— 
Payments made under this paragraph shall not 
exceed the amount to which the previous owner 
was entitled to receive under the terms of the 
contract at the time of the death of the prior 
owner. 
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‘‘(g) PUBLIC SCHOOLS.— 
‘‘(1) IN GENERAL.—Notwithstanding subsection 
(f)(6)(A), a State or local government, or political 
subdivision or agency of the government, shall be eli-
gible, subject to the limitation in paragraph (2), to 
receive a payment described in subsection (b) or (c) 
for land owned by the State or local government, or 
political subdivision or agency of the government, 
that is used to maintain a public school. 
‘‘(2) LIMITATION.— 
‘‘(A) IN GENERAL.—For each State, the 
total amount of payments described in sub-
sections (b) and (c) that are received collectively 
by the State and local government and all polit-
ical subdivisions or agencies of those govern-
ments shall not exceed $500,000. 
‘‘(B) EXCEPTION.—The limitation in sub-
paragraph (A) shall not apply to States with a 
population of less than 1,500,000.’’. 
(c) REPEAL OF 3-ENTITY RULE.—Section 1001A of 
the Food Security Act of 1985 (7 U.S.C. 1308–1) is 
amended— 
(1) in the section heading, by striking ‘‘PRE-
VENTION OF CREATION OF ENTITIES TO QUAL-
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IFY AS SEPARATE PERSONS’’ and inserting ‘‘NO-
TIFICATION OF INTERESTS’’; and 
(2) by striking subsection (a) and inserting the 
following: 
‘‘(a) NOTIFICATION
OF INTERESTS.—To facilitate 
administration of section 1001 and this section, each per-
son or legal entity receiving payments described in sub-
sections (b) and (c) of section 1001 as a separate person 
or legal entity shall separately provide to the Secretary, 
at such times and in such manner as prescribed by the 
Secretary— 
‘‘(1) the name and social security number of 
each person, or the name and taxpayer identification 
number of each legal entity, that holds or acquires 
an ownership interest in the separate person or legal 
entity; and 
‘‘(2) the name and taxpayer identification num-
ber of each legal entity in which the person or legal 
entity holds an ownership interest.’’. 
(d) 
AMENDMENT
FOR
CONSISTENCY.—Section 
1001A of the Food Security Act of 1985 (7 U.S.C. 1308– 
1) is amended by striking subsection (b) and inserting the 
following: 
‘‘(b) ACTIVELY ENGAGED.— 
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‘‘(1) IN GENERAL.—To be eligible to receive a 
payment described in subsection (b) or (c) of section 
1001, a person or legal entity shall be actively en-
gaged in farming with respect to a farming oper-
ation as provided in this subsection or subsection 
(c). 
‘‘(2) CLASSES ACTIVELY ENGAGED.—Except as 
provided in subsections (c) and (d)— 
‘‘(A) a person (including a person partici-
pating in a farming operation as a partner in 
a general partnership, a participant in a joint 
venture, a grantor of a revocable trust, or a 
participant in a similar entity, as determined by 
the Secretary) shall be considered to be actively 
engaged in farming with respect to a farming 
operation if— 
‘‘(i) the person makes a significant 
contribution (based on the total value of 
the farming operation) to the farming op-
eration of— 
‘‘(I) capital, equipment, or land; 
and 
‘‘(II) personal labor or active per-
sonal management; 
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‘‘(ii) the person’s share of the profits 
or losses from the farming operation is 
commensurate with the contributions of 
the person to the farming operation; and 
‘‘(iii) the contributions of the person 
are at risk; 
‘‘(B) a legal entity that is a corporation, 
joint stock company, association, limited part-
nership, charitable organization, or other simi-
lar entity determined by the Secretary (includ-
ing any such legal entity participating in the 
farming operation as a partner in a general 
partnership, a participant in a joint venture, a 
grantor of a revocable trust, or as a participant 
in a similar legal entity as determined by the 
Secretary) shall be considered as actively en-
gaged in farming with respect to a farming op-
eration if— 
‘‘(i) the legal entity separately makes 
a significant contribution (based on the 
total value of the farming operation) of 
capital, equipment, or land; 
‘‘(ii) the stockholders or members col-
lectively make a significant contribution of 
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‘‘(B) PROHIBITION.—No other rules with 
respect to custom farming shall apply. 
‘‘(6) SPOUSE.—If 1 spouse (or estate of a de-
ceased spouse) is determined to be actively engaged, 
the other spouse shall be determined to have met the 
requirements of subsection (b)(2)(A)(i)(II). 
‘‘(d) CLASSES NOT ACTIVELY ENGAGED.— 
‘‘(1) CASH RENT LANDLORD.—A landlord con-
tributing land to a farming operation shall not be 
considered to be actively engaged in farming with re-
spect to the farming operation if the landlord re-
ceives cash rent, or a crop share guaranteed as to 
the amount of the commodity to be paid in rent, for 
the use of the land. 
‘‘(2) OTHER PERSONS AND LEGAL ENTITIES.— 
Any other person or legal entity that the Secretary 
determines does not meet the standards described in 
subsections (b)(2) and (c) shall not be considered to 
be actively engaged in farming with respect to a 
farming operation.’’. 
(e) DENIAL
OF
PROGRAM
BENEFITS.—Section 
1001B of the Food Security Act of 1985 (7 U.S.C. 1308– 
2) is amended to read as follows: 
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‘‘SEC. 1001B. DENIAL OF PROGRAM BENEFITS. 
‘‘(a) 2-YEAR DENIAL OF PROGRAM BENEFITS.—A 
person or legal entity shall be ineligible to receive pay-
ments specified in subsections (b) and (c) of section 1001 
for the crop year, and the succeeding crop year, in which 
the Secretary determines that the person or legal entity— 
‘‘(1) failed to comply with section 1001A(b) and 
adopted or participated in adopting a scheme or de-
vice to evade the application of section 1001, 1001A, 
or 1001C; or 
‘‘(2) intentionally concealed the interest of the 
person or legal entity in any farm or legal entity en-
gaged in farming. 
‘‘(b) EXTENDED INELIGIBILITY.—If the Secretary 
determines that a person or legal entity, for the benefit 
of the person or legal entity or the benefit of any other 
person or legal entity, has knowingly engaged in, or aided 
in the creation of a fraudulent document, failed to disclose 
material information relevant to the administration of sec-
tions 1001 through 1001F, or committed other equally se-
rious actions (as identified in regulations issued by the 
Secretary), the Secretary may for a period not to exceed 
5 crop years deny the issuance of payments to the person 
or legal entity. 
‘‘(c) PRO RATA DENIAL.— 
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‘‘(1) IN GENERAL.—Payments otherwise owed 
to a person or legal entity described in subsections 
(a) or (b) shall be denied in a pro rata manner 
based on the ownership interest of the person or 
legal entity in a farm. 
‘‘(2) CASH
RENT
TENANT.—Payments other-
wise payable to a person or legal entity shall be de-
nied in a pro rata manner if the person or legal enti-
ty is a cash rent tenant on a farm owned or under 
the control of a person or legal entity with respect 
to which a determination has been made under sub-
section (a) or (b). 
‘‘(d) JOINT AND SEVERAL LIABILITY.—Any legal en-
tity (including partnerships and joint ventures) and any 
member of any legal entity determined to have knowingly 
participated in a scheme or device to evade, or that has 
the purpose of evading, sections 1001, 1001A, or 1001C 
shall be jointly and severally liable for any amounts that 
are payable to the Secretary as the result of the scheme 
or device (including amounts necessary to recover those 
amounts). 
‘‘(e) RELEASE.—The Secretary may partially or fully 
release from liability any person or legal entity who co-
operates with the Secretary in enforcing sections 1001, 
1001A, and 1001C, and this section.’’. 
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(f) CONFORMING AMENDMENT TO APPLY DIRECT 
ATTRIBUTION TO NAP.— 
(1) IN GENERAL.—Section 196(i) of the Fed-
eral Agriculture Improvement and Reform Act of 
1996 (7 U.S.C. 7333(i)) is amended— 
(A) by striking paragraphs (1) and (2) and 
inserting the following: 
‘‘(1) DEFINITIONS.—In this subsection, the 
terms ‘legal entity’ and ‘person’ have the meanings 
given those terms in section 1001(a) of the Food Se-
curity Act of 1985 (7 U.S.C. 1308(a)). 
‘‘(2) PAYMENT LIMITATION.—The total amount 
of payments received, directly or indirectly, by a per-
son or legal entity (excluding a joint venture or gen-
eral partnership) for any crop year may not exceed 
$100,000.’’; 
(B) by striking paragraph (4) and insert-
ing the following: 
‘‘(4) ADJUSTED GROSS INCOME LIMITATION.— 
A person or legal entity that has an average ad-
justed gross income in excess of the average ad-
justed gross income limitation applicable under sec-
tion 1001D(b)(1)(A) of the Food Security Act of 
1985 (7 U.S.C. 1308–3a(b)(1)(A)), or a successor 
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provision, shall not be eligible to receive noninsured 
crop disaster assistance under this section.’’; and 
(C) in paragraph (5)— 
(i) by striking ‘‘necessary to ensure’’ 
and inserting ‘‘necessary— 
‘‘(A) to ensure’’; and 
(ii) by striking ‘‘this subsection.’’ and 
inserting the following: ‘‘this subsection; 
and 
‘‘(B) to ensure that payments under this 
section are attributed to a person or legal entity 
(excluding a joint venture or general partner-
ship) in accordance with the terms and condi-
tions of sections 1001 through 1001D of the 
Food Security Act of 1985 (7 U.S.C. 1308 et 
seq.), as determined by the Secretary.’’. 
(2) TRANSITION.—Section 196(i) of the Federal 
Agriculture Improvement and Reform Act of 1996 
(7 U.S.C. 7333(i)), as in effect on September 30, 
2007, shall apply with respect to the 2007 and 2008 
crops of any eligible crop. 
(g) CONFORMING AMENDMENTS.— 
(1) Section 1009(e) of the Food Security Act of 
1985 (7 U.S.C. 1308a(e)) is amended in the second 
sentence by striking ‘‘of $50,000’’. 
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(2) Section 609(b)(1) of the Emergency Live-
stock Feed Assistance Act of 1988 (7 U.S.C. 
1471g(b)(1)) is amended by inserting ‘‘(before the 
amendment made by section 1703(a) of the Food, 
Conservation, and Energy Act of 2008)’’ after 
‘‘1985’’. 
(3) Section 524(b)(3) of the Federal Crop In-
surance Act (7 U.S.C. 1524(b)(3)) is amended by 
inserting ‘‘(before the amendment made by section 
1703(a) of the Food, Conservation, and Energy Act 
of 2008)’’ after ‘‘1308(5)))’’. 
(4) Section 10204(c)(1) of the Farm Security 
and Rural Investment Act of 2002 (7 U.S.C. 
8204(c)(1)) is amended by inserting ‘‘(before the 
amendment made by section 1703(a) of the Food, 
Conservation, and Energy Act of 2008)’’ after 
‘‘1308)’’. 
(5) Section 1271(c)(3)(A) of the Food, Agri-
culture, Conservation, and Trade Act of 1990 (16 
U.S.C. 2106a(c)(3)(A)) is amended by inserting 
‘‘(before the amendment made by section 1703(a) of 
the Food, Conservation, and Energy Act of 2008)’’ 
after ‘‘1308)’’. 
(6) Section 291(2) of the Trade Act of 1974 
(19 U.S.C. 2401(2)) is amended by inserting ‘‘(be-
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fore the amendment made by section 1703(a) of the 
Food, Conservation, and Energy Act of 2008)’’ be-
fore the period at the end. 
(h) TRANSITION.—Section 1001, 1001A, and 1001B 
of the Food Security Act of 1985 (7 U.S.C. 1308, 1308– 
1, 1308–2), as in effect on September 30, 2007, shall con-
tinue to apply with respect to the 2007 and 2008 crops 
of any covered commodity or peanuts. 
SEC. 1604. ADJUSTED GROSS INCOME LIMITATION. 
(a) IN GENERAL.—Section 1001D of the Food Secu-
rity Act of 1985 (7 U.S.C. 1308–3a(e)) is amended to 
read as follows: 
‘‘SEC. 1001D. ADJUSTED GROSS INCOME LIMITATION. 
‘‘(a) DEFINITIONS.— 
‘‘(1) IN GENERAL.—In this section: 
‘‘(A) AVERAGE
ADJUSTED
GROSS
IN-
COME.—The term ‘average adjusted gross in-
come’, with respect to a person or legal entity, 
means the average of the adjusted gross income 
or comparable measure of the person or legal 
entity over the 3 taxable years preceding the 
most immediately preceding complete taxable 
year, as determined by the Secretary. 
‘‘(B) AVERAGE ADJUSTED GROSS FARM IN-
COME.—The term ‘average adjusted gross farm 
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income’, with respect to a person or legal entity, 
means the average of the portion of adjusted 
gross income of the person or legal entity that 
is attributable to activities related to farming, 
ranching, or forestry for the 3 taxable years de-
scribed in subparagraph (A), as determined by 
the Secretary in accordance with subsection (c). 
‘‘(C) AVERAGE
ADJUSTED
GROSS
NON-
FARM
INCOME.—The term ‘average adjusted 
gross nonfarm income’, with respect to a person 
or legal entity, means the difference between— 
‘‘(i) the average adjusted gross income 
of the person or legal entity; and 
‘‘(ii) the average adjusted gross farm 
income of the person or legal entity. 
‘‘(2) SPECIAL RULES FOR CERTAIN PERSONS 
AND LEGAL ENTITIES.—In the case of a legal entity 
that is not required to file a Federal income tax re-
turn or a person or legal entity that did not have 
taxable income in 1 or more of the taxable years 
used to determine the average under subparagraph 
(A) or (B) of paragraph (1), the Secretary shall pro-
vide, by regulation, a method for determining the av-
erage adjusted gross income, the average adjusted 
gross farm income, and the average adjusted gross 
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nonfarm income of the person or legal entity for 
purposes of this section. 
‘‘(3) ALLOCATION OF INCOME.—On the request 
of any person filing a joint tax return, the Secretary 
shall provide for the allocation of average adjusted 
gross income, average adjusted gross farm income, 
and average adjusted gross nonfarm income among 
the persons filing the return if— 
‘‘(A) the person provides a certified state-
ment by a certified public accountant or attor-
ney that specifies the method by which the av-
erage adjusted gross income, average adjusted 
gross farm income, and average adjusted gross 
nonfarm income would have been declared and 
reported had the persons filed 2 separate re-
turns; and 
‘‘(B) the Secretary determines that the 
method described in the statement is consistent 
with the information supporting the filed joint 
tax return. 
‘‘(b) LIMITATIONS.— 
‘‘(1) COMMODITY PROGRAMS.— 
‘‘(A) 
NONFARM
LIMITATION.—Notwith-
standing any other provision of law, a person or 
legal entity shall not be eligible to receive any 
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benefit described in subparagraph (C) during a 
crop, fiscal, or program year, as appropriate, if 
the average adjusted gross nonfarm income of 
the person or legal entity exceeds $500,000. 
‘‘(B) FARM LIMITATION.—Notwithstanding 
any other provision of law, a person or legal en-
tity shall not be eligible to receive a direct pay-
ment under subtitle A or C of title I of the 
Food, Conservation, and Energy Act of 2008 
during a crop year, if the average adjusted 
gross farm income of the person or legal entity 
exceeds $750,000. 
‘‘(C) COVERED BENEFITS.—Subparagraph 
(A) applies with respect to the following: 
‘‘(i) A direct payment or counter-cycli-
cal payment under subtitle A or C of title 
I of the Food, Conservation, and Energy 
Act of 2008 or an average crop revenue 
election payment under subtitle A of title 
I of that Act. 
‘‘(ii) A marketing loan gain or loan 
deficiency payment under subtitle B or C 
of title I of the Food, Conservation, and 
Energy Act of 2008. 
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‘‘(iii) A payment or benefit under sec-
tion 196 of the Federal Agriculture Im-
provement and Reform Act of 1996 (7 
U.S.C. 7333). 
‘‘(iv) A payment or benefit under sec-
tion 1506 of the Food, Conservation, and 
Energy Act of 2008. 
‘‘(v) A payment or benefit under title 
IX of the Trade Act of 1974 or subtitle B 
of the Federal Crop Insurance Act. 
‘‘(2) CONSERVATION PROGRAMS.— 
‘‘(A) LIMITS.— 
‘‘(i) IN
GENERAL.—Notwithstanding 
any other provision of law, except as pro-
vided in clause (ii), a person or legal entity 
shall not be eligible to receive any benefit 
described in subparagraph (B) during a 
crop, fiscal, or program year, as appro-
priate, if the average adjusted gross non-
farm income of the person or legal entity 
exceeds $1,000,000, unless not less than 
66.66 percent of the average adjusted 
gross income of the person or legal entity 
is average adjusted gross farm income. 
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‘‘(ii) 
EXCEPTION.—The 
Secretary 
may waive the limitation established under 
clause (i) on a case-by-case basis if the 
Secretary determines that environmentally 
sensitive land of special significance would 
be protected. 
‘‘(B) COVERED BENEFITS.—Subparagraph 
(A) applies with respect to the following: 
‘‘(i) A payment or benefit under title 
XII of this Act. 
‘‘(ii) A payment or benefit under title 
II of the Farm Security and Rural Invest-
ment Act of 2002 (Public Law 107–171; 
116 Stat. 223) or title II of the Food, 
Conservation, and Energy Act of 2008. 
‘‘(iii) A payment or benefit under sec-
tion 524(b) of the Federal Crop Insurance 
Act (7 U.S.C. 1524(b)). 
‘‘(c) INCOME DETERMINATION.— 
‘‘(1) IN GENERAL.—In determining the average 
adjusted gross farm income of a person or legal enti-
ty, the Secretary shall include income or benefits de-
rived from or related to— 
‘‘(A) the production of crops, including 
specialty crops (as defined in section 3 of the 
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Specialty Crops Competitiveness Act of 2004 (7 
U.S.C. 1621 note; Public Law 108–465)) and 
unfinished raw forestry products; 
‘‘(B) the production of livestock (including 
cattle, elk, reindeer, bison, horses, deer, sheep, 
goats, 
swine, 
poultry, 
fish, 
and 
other 
aquacultural products used for food, honeybees, 
and other animals designated by the Secretary) 
and products produced by, or derived from, live-
stock; 
‘‘(C) the production of farm-based renew-
able energy (as defined in section 9001 of the 
Farm Security and Rural Investment Act of 
2002 (7 U.S.C. 8101)); 
‘‘(D) the sale, including the sale of ease-
ments and development rights, of farm, ranch, 
or forestry land, water or hunting rights, or en-
vironmental benefits; 
‘‘(E) the rental or lease of land or equip-
ment used for farming, ranching, or forestry 
operations, including water or hunting rights; 
‘‘(F) the processing (including packing), 
storing (including shedding), and transporting 
of farm, ranch, and forestry commodities, in-
cluding renewable energy; 
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‘‘(G) the feeding, rearing, or finishing of 
livestock; 
‘‘(H) the sale of land that has been used 
for agriculture; 
‘‘(I) payments or other benefits received 
under any program authorized under title I of 
the Farm Security and Rural Investment Act of 
2002 (7 U.S.C. 7901 et seq.) or title I of the 
Food, Conservation, and Energy Act of 2008; 
‘‘(J) payments or other benefits received 
under any program authorized under title XII 
of this Act, title II of the Farm Security and 
Rural Investment Act of 2002 (Public Law 
107–171; 116 Stat. 223), or title II of the 
Food, Conservation, and Energy Act of 2008; 
‘‘(K) payments or other benefits received 
under section 196 of the Federal Agriculture 
Improvement and Reform Act of 1996 (7 
U.S.C. 7333); 
‘‘(L) payments or other benefits received 
under title IX of the Trade Act of 1974 or sub-
title B of the Federal Crop Insurance Act; 
‘‘(M) risk management practices, including 
benefits received under a program authorized 
under the Federal Crop Insurance Act (7 
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U.S.C. 1501 et seq.) (including a catastrophic 
risk protection plan offered under section 
508(b) of that Act (7 U.S.C. 1508(b))); and 
‘‘(N) any other activity related to farming, 
ranching, or forestry, as determined by the Sec-
retary. 
‘‘(2) INCOME DERIVED FROM FARMING, RANCH-
ING, OR FORESTRY.—In determining the average ad-
justed gross farm income of a person or legal entity, 
in addition to the inclusions described in paragraph 
(1), the Secretary shall include any income reported 
on the Schedule F or other schedule used by the per-
son or legal entity to report income from farming, 
ranching, or forestry operations to the Internal Rev-
enue Service, to the extent such income is not al-
ready included under paragraph (1). 
‘‘(3) SPECIAL RULE.—If not less than 66.66 
percent of the average adjusted gross income of a 
person or legal entity is derived from farming, 
ranching, or forestry operations described in para-
graphs (1) and (2), in determining the average ad-
justed gross farm income of the person or legal enti-
ty, the Secretary shall also include— 
‘‘(A) the sale of equipment to conduct 
farm, ranch, or forestry operations; and 
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‘‘(B) the provision of production inputs 
and services to farmers, ranchers, foresters, and 
farm operations. 
‘‘(d) ENFORCEMENT.— 
‘‘(1) IN GENERAL.—To comply with subsection 
(b), at least once every 3 years a person or legal en-
tity shall provide to the Secretary— 
‘‘(A) a certification by a certified public ac-
countant or another third party that is accept-
able to the Secretary that the average adjusted 
gross income, average adjusted gross farm in-
come, and average adjusted gross nonfarm in-
come of the person or legal entity does not ex-
ceed the applicable limitation specified in that 
subsection; or 
‘‘(B) information and documentation re-
garding the average adjusted gross income, av-
erage adjusted gross farm income, and average 
adjusted gross nonfarm income of the person or 
legal entity through other procedures estab-
lished by the Secretary. 
‘‘(2) DENIAL OF PROGRAM BENEFITS.—If the 
Secretary determines that a person or legal entity 
has failed to comply with this section, the Secretary 
shall deny the issuance of applicable payments and 
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benefits specified in paragraphs (1)(C) and (2)(B) of 
subsection (b) to the person or legal entity, under 
similar terms and conditions as described in section 
1001B. 
‘‘(3) AUDIT.—The Secretary shall establish sta-
tistically valid procedures under which the Secretary 
shall conduct targeted audits of such persons or 
legal entities as the Secretary determines are most 
likely to exceed the limitations under subsection (b). 
‘‘(e) COMMENSURATE REDUCTION.—In the case of a 
payment or benefit described in paragraphs (1)(C) and 
(2)(B) of subsection (b) made in a crop, program, or fiscal 
year, as appropriate, to an entity, general partnership, or 
joint venture, the amount of the payment or benefit shall 
be reduced by an amount that is commensurate with the 
direct and indirect ownership interest in the entity, gen-
eral partnership, or joint venture of each person who has 
an average adjusted gross income, average adjusted gross 
farm income, or average adjusted gross nonfarm income 
in excess of the applicable limitation specified in sub-
section (b). 
‘‘(f) EFFECTIVE PERIOD.—This section shall apply 
only during the 2009 through 2012 crop, program, or fis-
cal years, as appropriate.’’. 
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(b) TRANSITION.—Section 1001D of the Food Secu-
rity Act of 1985 (7 U.S.C. 1308–3a), as in effect on Sep-
tember 30, 2007, shall apply with respect to the 2007 and 
2008 crop, fiscal, or program year, as appropriate, for 
each program described in paragraphs (1)(C) and (2)(B) 
of subsection (b) of that section (as amended by sub-
section (a)). 
SEC. 1605. AVAILABILITY OF QUALITY INCENTIVE PAY-
MENTS FOR COVERED OILSEED PRODUCERS. 
(a) INCENTIVE PAYMENTS REQUIRED.—Subject to 
subsection (b) and the availability of appropriations under 
subsection (h), the Secretary shall use funds made avail-
able under subsection (h) to provide quality incentive pay-
ments for the production of oilseeds with specialized traits 
that enhance human health, as determined by the Sec-
retary. 
(b) COVERED OILSEEDS.—The Secretary shall make 
payments under this section only for the production of an 
oilseed variety that has, as determined by the Secretary— 
(1) been demonstrated to improve the health 
profile of the oilseed for use in human consumption 
by— 
(A) reducing or eliminating the need to 
partially hydrogenate the oil derived from the 
oilseed for use in human consumption; or 
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(B) adopting new technology traits; and 
(2) 1 or more impediments to commercializa-
tion. 
(c) REQUEST FOR PROPOSALS.— 
(1) ISSUANCE.—If funds are made available to 
carry out this section for a crop year, the Secretary 
shall issue a request for proposals for payments 
under this section. 
(2) MULTIYEAR PROPOSALS.—A proponent may 
submit a multiyear proposal for payments under this 
section. 
(3) CONTENT OF PROPOSALS.—A proposal for 
payments under this section shall include a descrip-
tion of— 
(A) how use of the oilseed enhances human 
health; 
(B) the impediments to commercial use of 
the oilseed; 
(C) each oilseed variety described in sub-
section (b) and the value of the oilseed variety 
as a matter of public policy; 
(D) a range for the base price and pre-
miums per bushel or hundredweight to be paid 
to producers; 
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(E) a per bushel or hundredweight amount 
of incentive payments requested for each year 
under this section that does not exceed 1⁄3 of 
the total premium offered for any year; 
(F) the period of time, not to exceed 4 
years, during which incentive payments are to 
be provided to producers; and 
(G) the targeted total quantity of produc-
tion and estimated acres needed to produce the 
targeted quantity for each year under this sec-
tion. 
(d) CONTRACTS FOR PRODUCTION.— 
(1) IN GENERAL.—The Secretary shall approve 
successful proposals submitted under subsection (c) 
on a timely basis. 
(2) TIMING
OF
PAYMENTS.—The Secretary 
shall make payments to producers under this section 
after the Secretary receives documentation that the 
premium required under a contract has been paid to 
covered producers. 
(e) ADMINISTRATION.— 
(1) IN GENERAL.—If funding provided for a 
crop year is not fully allocated under the initial re-
quest for proposals under subsection (c), the Sec-
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retary shall issue additional requests for proposals 
for subsequent crop years under this section. 
(2) PRORATED
PAYMENTS.—If funding pro-
vided for a crop year is less than the amount other-
wise approved by the Secretary or for which ap-
proval is sought, the Secretary shall prorate the pay-
ments or approvals in a manner determined by the 
Secretary so that the total payments do not exceed 
the funding level. 
(f) PROPRIETARY
INFORMATION.—The Secretary 
shall protect proprietary information provided to the Sec-
retary for the purpose of administering this section. 
(g) PROGRAM COMPLIANCE AND PENALTIES.— 
(1) GUARANTEE.—The proponent, if approved, 
shall be required to guarantee that the oilseed on 
which a payment is made by the Secretary under 
this section is used for human consumption as de-
scribed in the proposal, as approved by the Sec-
retary. 
(2) NONCOMPLIANCE.—If oilseeds on which a 
payment is made by the Secretary under this section 
are not actually used for the purpose the payment 
is made, the proponent shall be required to pay to 
the Secretary an amount equal to, as determined by 
the Secretary— 
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(A) in the case of an inadvertent failure, 
twice the amount of the payment made by the 
Secretary under this section to the producer of 
the oilseeds; and 
(B) in any other case, up to twice the full 
value of the oilseeds involved. 
(3) DOCUMENTATION.—The Secretary may re-
quire such assurances and documentation as may be 
needed to enforce the guarantee. 
(4) ADDITIONAL PENALTIES.— 
(A) IN
GENERAL.—In addition to pay-
ments required under paragraph (2), the Sec-
retary may impose penalties on additional per-
sons that use oilseeds the use of which is re-
stricted under this section for a purpose other 
than the intended use. 
(B) AMOUNT.—The amount of a penalty 
under this paragraph shall— 
(i) be in an amount determined appro-
priated by the Secretary; but 
(ii) not to exceed twice the full value 
of the oilseeds. 
(h) AUTHORIZATION
OF APPROPRIATIONS.—There 
are authorized to be appropriated such sums as are nec-
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essary to carry out this section for each of fiscal years 
2009 through 2012. 
SEC. 1606. PERSONAL LIABILITY OF PRODUCERS FOR DEFI-
CIENCIES. 
Section 164 of the Federal Agriculture Improvement 
and Reform Act of 1996 (7 U.S.C. 7284) is amended by 
striking ‘‘and title I of the Farm Security and Rural In-
vestment Act of 2002’’ each place it appears and inserting 
‘‘title I of the Farm Security and Rural Investment Act 
of 2002, and title I of the Food, Conservation, and Energy 
Act of 2008’’. 
SEC. 1607. EXTENSION OF EXISTING ADMINISTRATIVE AU-
THORITY REGARDING LOANS. 
Section 166 of the Federal Agriculture Improvement 
and Reform Act of 1996 (7 U.S.C. 7286) is amended— 
(1) by striking ‘‘and subtitle B and C of title 
I of the Farm Security and Rural Investment Act of 
2002’’ each place it appears and inserting ‘‘, title I 
of the Farm Security and Rural Investment Act of 
2002, and title I of the Food, Conservation, and En-
ergy Act of 2008’’; and 
(2) in subsection (c), by adding at the end the 
following: 
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‘‘(3) TERMINATION OF AUTHORITY.—The au-
thority to carry out paragraph (1) terminates effec-
tive ending with the 2009 crop year.’’. 
SEC. 1608. ASSIGNMENT OF PAYMENTS. 
(a) IN GENERAL.—The provisions of section 8(g) of 
the Soil Conservation and Domestic Allotment Act (16 
U.S.C. 590h(g)), relating to assignment of payments, shall 
apply to payments made under this title. 
(b) NOTICE.—The producer making the assignment, 
or the assignee, shall provide the Secretary with notice, 
in such manner as the Secretary may require, of any as-
signment made under this section. 
SEC. 1609. TRACKING OF BENEFITS. 
As soon as practicable after the date of enactment 
of this Act, the Secretary may track the benefits provided, 
directly or indirectly, to individuals and entities under ti-
tles I and II and the amendments made by those titles. 
SEC. 1610. GOVERNMENT PUBLICATION OF COTTON PRICE 
FORECASTS. 
Section 15 of the Agricultural Marketing Act (12 
U.S.C. 1141j) is amended— 
(1) by striking subsection (d); and 
(2) by redesignating subsections (e) through (g) 
as subsections (d) through (f), respectively. 
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SEC. 1611. PREVENTION OF DECEASED INDIVIDUALS RE-
CEIVING 
PAYMENTS 
UNDER 
FARM 
COM-
MODITY PROGRAMS. 
(a) REGULATIONS.—Not later than 180 days after 
the date of enactment of this Act, the Secretary shall pro-
mulgate regulations that— 
(1) describe the circumstances under which, in 
order to allow for the settlement of estates and for 
related purposes, payments may be issued in the 
name of a deceased individual; and 
(2) preclude the issuance of payments to, and 
on behalf of, deceased individuals that were not eligi-
ble for the payments. 
(b) COORDINATION.—At least twice each year, the 
Secretary shall reconcile the social security numbers of all 
individuals who receive payments under this title, whether 
directly or indirectly, with the Social Security Administra-
tion to determine if the individuals are alive. 
SEC. 1612. HARD WHITE WHEAT DEVELOPMENT PROGRAM. 
(a) DEFINITIONS.—In this section: 
(1) ELIGIBLE HARD WHITE WHEAT SEED.—The 
term ‘‘eligible hard white wheat seed’’ means hard 
white wheat seed that, as determined by the Sec-
retary, is— 
(A) certified; 
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least 240,000,000 bushels of hard white wheat by 
2012. 
(2) PAYMENTS.— 
(A) IN
GENERAL.—Subject to subpara-
graphs (B) and (C) and subsection (c), if funds 
are made available for any of the 2009 through 
2012 crops of hard white wheat, the Secretary 
shall make available incentive payments to pro-
ducers of those crops. 
(B) ACREAGE LIMITATION.—The Secretary 
shall carry out subparagraph (A) subject to a 
regional limitation determined by the Secretary 
on the number of acres for which payments 
may be received that takes into account plant-
ing history and potential planting, but does not 
exceed a total of 2,900,000 acres or the equiva-
lent volume of production based on a yield of 50 
bushels per acre. 
(C) PAYMENT LIMITATIONS.—Payments to 
producers on a farm described in subparagraph 
(A) shall be— 
(i) in an amount that is not less than 
$0.20 per bushel; and 
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(ii) in an amount that is not less than 
$2.00 per acre for planting eligible hard 
white wheat seed. 
(c) AUTHORIZATION
OF APPROPRIATIONS.—There 
are authorized to be appropriated to carry out this section 
$35,000,000 for the period of fiscal years 2009 through 
2012. 
SEC. 1613. DURUM WHEAT QUALITY PROGRAM. 
(a) IN GENERAL.—Subject to the availability of 
funds under subsection (c), the Secretary shall provide 
compensation to producers of durum wheat in an amount 
not to exceed 50 percent of the actual cost of fungicides 
applied to a crop of durum wheat of the producers to con-
trol Fusarium head blight (wheat scab) on acres certified 
to have been planted to Durum wheat in a crop year. 
(b) INSUFFICIENT FUNDS.—If the total amount of 
funds appropriated for a fiscal year under subsection (c) 
are insufficient to fulfill all eligible requests for compensa-
tion under this section, the Secretary shall prorate the 
compensation payments in a manner determined by the 
Secretary to be equitable. 
(c) AUTHORIZATION OF APPROPRIATIONS.—There is 
authorized to be appropriated to carry out this section 
$10,000,000 for each of fiscal years 2009 through 2012. 
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SEC. 1614. STORAGE FACILITY LOANS. 
(a) IN GENERAL.—As soon as practicable after the 
date of enactment of this Act, the Secretary shall establish 
a storage facility loan program to provide funds for pro-
ducers of grains, oilseeds, pulse crops, hay, renewable bio-
mass, and other storable commodities (other than sugar), 
as determined by the Secretary, to construct or upgrade 
storage and handling facilities for the commodities. 
(b) ELIGIBLE PRODUCERS.—A storage facility loan 
under this section shall be made available to any producer 
described in subsection (a) that, as determined by the Sec-
retary— 
(1) has a satisfactory credit history; 
(2) has a need for increased storage capacity; 
and 
(3) demonstrates an ability to repay the loan. 
(c) TERM OF LOANS.—A storage facility loan under 
this section shall have a maximum term of 12 years. 
(d) 
LOAN
AMOUNT.—The 
maximum 
principal 
amount of a storage facility loan under this section shall 
be $500,000. 
(e) LOAN DISBURSEMENTS.—The Secretary shall 
provide for 1 partial disbursement of loan principal and 
1 final disbursement of loan principal, as determined to 
be appropriate and subject to acceptable documentation, 
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to facilitate the purchase and construction of eligible facili-
ties. 
(f) LOAN SECURITY.—Approval of a storage facility 
loan under this section shall— 
(1) require the borrower to provide loan secu-
rity to the Secretary, in the form of— 
(A) a lien on the real estate parcel on 
which the storage facility is located; or 
(B) such other security as is acceptable to 
the Secretary; 
(2) under such rules and regulations as the 
Secretary may prescribe, not require a severance 
agreement from the holder of any prior lien on the 
real estate parcel on which the storage facility is lo-
cated, if the borrower— 
(A) agrees to increase the down payment 
on the storage facility by an amount determined 
appropriate by the Secretary; or 
(B) provides other security acceptable to 
the Secretary; and 
(3) allow a borrower, upon the approval of the 
Secretary, to define a subparcel of real estate as se-
curity for the storage facility loan if the subparcel 
is— 
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(A) of adequate size and value to ade-
quately secure the loan; and 
(B) not subject to any other liens or mort-
gages that are superior to the lien interest of 
the Commodity Credit Corporation. 
SEC. 1615. STATE, COUNTY, AND AREA COMMITTEES. 
Section 8(b)(5)(B)(ii) of the Soil Conservation and 
Domestic Allotment Act (16 U.S.C. 590h(b)(5)(B)(ii)) is 
amended— 
(1) by redesignating subclauses (I) and (II) as 
items (aa) and (bb), respectively, and indenting ap-
propriately; 
(2) in the matter preceding item (aa) (as redes-
ignated by paragraph (1)), by striking ‘‘A committee 
established’’ and inserting the following: 
‘‘(I) IN
GENERAL.—Except as 
provided in subclause (II), a com-
mittee established’’; and 
(3) by adding at the end the following: 
‘‘(II) COMBINATION OR CONSOLI-
DATION OF AREAS.—A committee es-
tablished by combining or consoli-
dating 2 or more county or area com-
mittees shall consist of not fewer than 
3 nor more than 11 members that— 
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‘‘(aa) are fairly representa-
tive of the agricultural producers 
within the area covered by the 
county, area, or local committee; 
and 
‘‘(bb) are elected by the ag-
ricultural producers that partici-
pate or cooperate in programs 
administered within the area 
under the jurisdiction of the 
county, area, or local committee. 
‘‘(III) REPRESENTATION OF SO-
CIALLY
DISADVANTAGED
FARMERS 
AND RANCHERS.—The Secretary shall 
develop procedures to maintain rep-
resentation of socially disadvantaged 
farmers and ranchers on combined or 
consolidated committees. 
‘‘(IV) ELIGIBILITY FOR MEMBER-
SHIP.—Notwithstanding 
any 
other 
producer eligibility requirements for 
service on county or area committees, 
if a county or area is consolidated or 
combined, a producer shall be eligible 
to serve only as a member of the 
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county or area committee that the 
producer elects to administer the farm 
records of the producer.’’. 
SEC. 1616. PROHIBITION ON CHARGING CERTAIN FEES. 
Public Law 108–470 (7 U.S.C. 7416a) is amended— 
(1) in subsection (a), by striking ‘‘may’’ and in-
serting ‘‘shall’’; and 
(2) by adding at the end the following: 
‘‘(c) PROHIBITION ON CHARGING CERTAIN FEES.— 
The Secretary may not charge any fees or related costs 
for the collection of commodity assessments pursuant to 
this Act.’’. 
SEC. 1617. SIGNATURE AUTHORITY. 
(a) IN GENERAL.—In carrying out this title and title 
II and amendments made by those titles, if the Secretary 
approves a document, the Secretary shall not subsequently 
determine the document is inadequate or invalid because 
of the lack of authority of any person signing the docu-
ment on behalf of the applicant or any other individual, 
entity, general partnership, or joint venture, or the docu-
ments relied upon were determined inadequate or invalid, 
unless the person signing the program document know-
ingly and willfully falsified the evidence of signature au-
thority or a signature. 
(b) AFFIRMATION.— 
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(1) IN GENERAL.—Nothing in this section pro-
hibits the Secretary from asking a proper party to 
affirm any document that otherwise would be consid-
ered approved under subsection (a). 
(2) NO
RETROACTIVE
EFFECT.—A denial of 
benefits based on a lack of affirmation under para-
graph (1) shall not be retroactive with respect to 
third-party producers who were not the subject of 
the erroneous representation of authority, if the 
third-party producers— 
(A) relied on the prior approval by the Sec-
retary of the documents in good faith; and 
(B) substantively complied with all pro-
gram requirements 
SEC. 1618. MODERNIZATION OF FARM SERVICE AGENCY. 
Not later than 180 days after the date of enactment 
of this Act, the Secretary shall transmit to the Committee 
on Agriculture and the Committee on Appropriations of 
the House of Representatives and the Committee on Agri-
culture, Nutrition, and Forestry and the Committee on 
Appropriations of the Senate a report prepared by a third 
party that describes— 
(1) the data processing and information tech-
nology challenges experienced in local offices of the 
Farm Service Agency; 
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(2) the impact of those challenges on service to 
producers, on efficiency of personnel, and on imple-
mentation of this Act; 
(3) the need for information technology system 
upgrades of the Farm Service Agency relative to 
other agencies of the Department of Agriculture; 
(4) the detailed plan needed to fulfill the needs 
of the Department that are identified in paragraph 
(3), including hardware, software, and infrastructure 
requirements; 
(5) the estimated cost and timeframe for long- 
term modernization and stabilization of Farm Serv-
ice Agency information technology systems; 
(6) the benefits associated with such moderniza-
tion and stabilization; and 
(7) an evaluation of the existence of appropriate 
oversight within the Department to ensure that 
funds needed for systems upgrades can be appro-
priately managed. 
SEC. 1619. INFORMATION GATHERING. 
(a) GEOSPATIAL SYSTEMS.—The Secretary shall en-
sure that all the geospatial data of the agencies of the 
Department of Agriculture are portable and standardized. 
(b) LIMITATION ON DISCLOSURES.— 
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(1) DEFINITION
OF
AGRICULTURAL
OPER-
ATION.—In this subsection, the term ‘‘agricultural 
operation’’ includes the production and marketing of 
agricultural commodities and livestock. 
(2) PROHIBITION.—Except as provided in para-
graphs (3) and (4), the Secretary, any officer or em-
ployee of the Department of Agriculture, or any con-
tractor or cooperator of the Department, shall not 
disclose— 
(A) information provided by an agricul-
tural producer or owner of agricultural land 
concerning the agricultural operation, farming 
or conservation practices, or the land itself, in 
order to participate in programs of the Depart-
ment; or 
(B) geospatial information otherwise main-
tained by the Secretary about agricultural land 
or operations for which information described in 
subparagraph (A) is provided. 
(3) AUTHORIZED DISCLOSURES.— 
(A) LIMITED
RELEASE
OF
INFORMA-
TION.—If the Secretary determines that the in-
formation described in paragraph (2) will not 
be subsequently disclosed except in accordance 
with paragraph (4), the Secretary may release 
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or disclose the information to a person or Fed-
eral, State, local, or tribal agency working in 
cooperation with the Secretary in any Depart-
ment program— 
(i) when providing technical or finan-
cial assistance with respect to the agricul-
tural operation, agricultural land, or farm-
ing or conservation practices; or 
(ii) when responding to a disease or 
pest threat to agricultural operations, if 
the Secretary determines that a threat to 
agricultural operations exists and the dis-
closure of information to a person or co-
operating government entity is necessary 
to assist the Secretary in responding to the 
disease or pest threat as authorized by law. 
(4) EXCEPTIONS.—Nothing in this subsection 
affects— 
(A) the disclosure of payment information 
(including payment information and the names 
and addresses of recipients of payments) under 
any Department program that is otherwise au-
thorized by law; 
(B) the disclosure of information described 
in paragraph (2) if the information has been 
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transformed into a statistical or aggregate form 
without naming any— 
(i) individual owner, operator, or pro-
ducer; or 
(ii) specific data gathering site; or 
(C) the disclosure of information described 
in paragraph (2) pursuant to the consent of the 
agricultural producer or owner of agricultural 
land. 
(5) CONDITION
OF
OTHER
PROGRAMS.—The 
participation of the agricultural producer or owner 
of agricultural land in, or receipt of any benefit 
under, any program administered by the Secretary 
may not be conditioned on the consent of the agri-
cultural producer or owner of agricultural land 
under paragraph (4)(C). 
(6) WAIVER OF PRIVILEGE OR PROTECTION.— 
The disclosure of information under paragraph (2) 
shall not constitute a waiver of any applicable privi-
lege or protection under Federal law, including trade 
secret protection. 
SEC. 1620. LEASING OF OFFICE SPACE. 
Not later than 1 year after the date of enactment 
of this Act, the Secretary shall submit to the Committee 
on Agriculture and the Committee on Appropriations of 
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the House of Representatives and the Committee on Agri-
culture, Nutrition, and Forestry and the Committee on 
Appropriations of the Senate a report that describes— 
(1) the costs and time associated with com-
plying with leasing procedures of the General Serv-
ices Administration relative to the previous inde-
pendent leasing procedures of the Department of 
Agriculture; 
(2) the additional staffing needs associated with 
complying with those procedures; and 
(3) the value added to the leasing process and 
the ability of the Department to secure best-value 
leases by complying with the General Services Ad-
ministration leasing procedures. 
SEC. 1621. GEOGRAPHICALLY DISADVANTAGED FARMERS 
AND RANCHERS. 
(a) DEFINITIONS.—In this section: 
(1) AGRICULTURAL
COMMODITY.—The term 
‘‘agricultural commodity’’ has the meaning given the 
term in section 102 of the Agricultural Trade Act of 
1978 (7 U.S.C. 5602). 
(2) GEOGRAPHICALLY DISADVANTAGED FARM-
ER
OR
RANCHER.—The term ‘‘geographically dis-
advantaged farmer or rancher’’ has the meaning 
given the term in section 10906(a) of the Farm Se-
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curity and Rural Investment Act of 2002 (7 U.S.C. 
2204 note; Public Law 107–171). 
(b) AUTHORIZATION.—Subject to the availability of 
funds under subsection (d), the Secretary may provide 
geographically disadvantaged farmers or ranchers direct 
reimbursement payments for activities described in sub-
section (c). 
(c) TRANSPORTATION.— 
(1) IN GENERAL.—Subject to paragraphs (2) 
and (3), the Secretary may provide direct reimburse-
ment payments to a geographically disadvantaged 
farmer or rancher to transport an agricultural com-
modity, or inputs used to produce an agricultural 
commodity, during a fiscal year. 
(2) PROOF OF ELIGIBILITY.—To be eligible to 
receive assistance under paragraph (1), a geographi-
cally disadvantaged farmer or rancher shall dem-
onstrate to the Secretary that transportation of the 
agricultural commodity or inputs occurred over a 
distance of more than 30 miles, as determined by 
the Secretary. 
(3) AMOUNT.— 
(A) IN GENERAL.—Subject to paragraph 
(2), the amount of direct reimbursement pay-
ments made to a geographically disadvantaged 
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farmer or rancher under this section for a fiscal 
year shall equal the product obtained by multi-
plying— 
(i) the amount of costs incurred by 
the geographically disadvantaged farmer or 
rancher for transportation of the agricul-
tural commodity or inputs during the fiscal 
year; and 
(ii)(I) the percentage of the allowance 
for that fiscal year under section 5941 of 
title 5, United States Code, for Federal 
employees stationed in Alaska and Hawaii; 
or 
(II) in the case of an insular area (as 
defined in section 1404 of the National 
Agricultural 
Research, 
Extension, 
and 
Teaching Policy Act of 1977 (7 U.S.C. 
3103)), a comparable percentage of the al-
lowance for the fiscal year, as determined 
by the Secretary. 
(B) LIMITATION.—The total amount of di-
rect reimbursement payments provided by the 
Secretary under this section shall not exceed 
$15,000,000 for a fiscal year. 
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(d) AUTHORIZATION
OF APPROPRIATIONS.—There 
are authorized to be appropriated such sums as are nec-
essary to carry out this section for each of fiscal years 
2009 through 2012. 
SEC. 1622. IMPLEMENTATION. 
The Secretary shall make available to the Farm Serv-
ice Agency to carry out this title $50,000,000. 
SEC. 1623. REPEALS. 
(a) COMMISSION ON APPLICATION OF PAYMENT LIM-
ITATIONS.—Section 1605 of the Farm Security and Rural 
Investment Act of 2002 (7 U.S.C. 7993) is repealed. 
(b) RENEWED AVAILABILITY OF MARKET LOSS AS-
SISTANCE
AND CERTAIN EMERGENCY ASSISTANCE
TO 
PERSONS
THAT
FAILED
TO
RECEIVE
ASSISTANCE 
UNDER EARLIER AUTHORITIES.—Section 1617 of the 
Farm Security and Rural Investment Act of 2002 (7 
U.S.C. 8000) is repealed. 
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TITLE II—CONSERVATION 
Subtitle A—Definitions and Highly 
Erodible 
Land 
and 
Wetland 
Conservation 
SEC. 2001. DEFINITIONS RELATING TO CONSERVATION 
TITLE OF FOOD SECURITY ACT OF 1985. 
(a) BEGINNING FARMER
OR RANCHER.—Section 
1201(a) of the Food Security Act of 1985 (16 U.S.C. 
3801(a)) is amended— 
(1) by redesignating paragraphs (2) through 
(6), (7) through (11), (12), (13) through (15), (16), 
(17), and (18) as paragraphs (3) through (7), (9) 
through (13), (15), (20) through (22), (24), (26), 
and (27), respectively; and 
(2) by inserting after paragraph (1) the fol-
lowing new paragraph: 
‘‘(2) BEGINNING FARMER OR RANCHER.—The 
term ‘beginning farmer or rancher’ has the meaning 
given the term in section 343(a)(8) of the Consoli-
dated Farm and Rural Development Act (7 U.S.C. 
1991(a)(8)).’’. 
(b) FARM.—Section 1201(a) of the Food Security 
Act of 1985 (16 U.S.C. 3801(a)) is amended by inserting 
after paragraph (7), as redesignated by subsection (a)(1), 
the following new paragraph: 
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‘‘(c) PROGRAM LIMITATIONS.— 
‘‘(1) ACREAGE
LIMITATION.—The Secretary 
may enroll in the conservation reserve, pursuant to 
the program established under this section, not more 
than— 
‘‘(A) 100,000 acres in any State; and 
‘‘(B) a total of 1,000,000 acres. 
‘‘(2) RELATIONSHIP
TO
MAXIMUM
ENROLL-
MENT.—Subject to paragraph (3), any acreage en-
rolled in the conservation reserve under this section 
shall be considered acres maintained in the conserva-
tion reserve. 
‘‘(3) RELATIONSHIP
TO
OTHER
ENROLLED 
ACREAGE.—Acreage enrolled in the conservation re-
serve under this section shall not affect for any fis-
cal year the quantity of— 
‘‘(A) acreage enrolled to establish con-
servation buffers as part of the program an-
nounced on March 24, 1998 (63 Fed. Reg. 
14109); or 
‘‘(B) acreage enrolled into the conservation 
reserve enhancement program announced on 
May 27, 1998 (63 Fed. Reg. 28965). 
‘‘(4) REVIEW; POTENTIAL
INCREASE
IN
EN-
ROLLMENT ACREAGE.—The Secretary shall conduct 
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‘‘(b) PURPOSE.—The purpose of the program is to 
protect the agricultural use and related conservation val-
ues of eligible land by limiting nonagricultural uses of that 
land. 
‘‘(c) COST-SHARE ASSISTANCE.— 
‘‘(1) PROVISION
OF
ASSISTANCE.—The Sec-
retary shall provide cost-share assistance to eligible 
entities for purchasing a conservation easement or 
other interest in eligible land. 
‘‘(2) FEDERAL SHARE.—The share of the cost 
provided by the Secretary for purchasing a conserva-
tion easement or other interest in eligible land shall 
not exceed 50 percent of the appraised fair market 
value of the conservation easement or other interest 
in eligible land. 
‘‘(3) NON-FEDERAL SHARE.— 
‘‘(A) SHARE PROVIDED BY ELIGIBLE ENTI-
TY.—The eligible entity shall provide a share of 
the cost of purchasing a conservation easement 
or other interest in eligible land in an amount 
that is not less than 25 percent of the acquisi-
tion purchase price. 
‘‘(B) 
LANDOWNER
CONTRIBUTION.—As 
part of the non-Federal share of the cost of 
purchasing a conservation easement or other in-
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