Title: Fair Access for Farmers and Ranchers Act of 2018
Policy area: Agriculture and Food

Summary:
Fair Access for Farmers and Ranchers Act of 2018
This bill makes certain farmers operating on land that is heirs' property (e.g., property received from an owner who died without a will) eligible to receive a farm number and participate in Department of Agriculture (USDA) programs. The bill also requires USDA to collect and report on data related to farmland ownership, tenure, transition, and entry of beginning and socially disadvantaged farmers and ranchers.

[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[S. 3117 Introduced in Senate (IS)]

<DOC>






115th CONGRESS
  2d Session
                                S. 3117

   To require the Secretary of Agriculture to grant farm numbers to 
individuals with certain documentation, to amend the Consolidated Farm 
   and Rural Development Act to include qualified intermediaries as 
recipients of farm ownership loans, to provide for a study of farmland 
                    tenure, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             June 21, 2018

 Mr. Jones (for himself and Mr. Scott) introduced the following bill; 
  which was read twice and referred to the Committee on Agriculture, 
                        Nutrition, and Forestry

_______________________________________________________________________

                                 A BILL


 
   To require the Secretary of Agriculture to grant farm numbers to 
individuals with certain documentation, to amend the Consolidated Farm 
   and Rural Development Act to include qualified intermediaries as 
recipients of farm ownership loans, to provide for a study of farmland 
                    tenure, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Fair Access for Farmers and Ranchers 
Act of 2018''.

SEC. 2. DEFINITION OF SECRETARY.

    In this Act, the term ``Secretary'' means the Secretary of 
Agriculture.

SEC. 3. ELIGIBILITY FOR OPERATORS ON HEIRS PROPERTY LAND TO OBTAIN A 
              FARM NUMBER.

    (a) Definitions.--In this section:
            (1) Eligible documentation.--The term ``eligible 
        documentation'', with respect to land for which a farm operator 
        seeks assignment of a farm number under subsection (b)(1), 
        includes--
                    (A) in States that have adopted a statute 
                consisting of an enactment or adoption of the Uniform 
                Partition of Heirs Property Act, as approved and 
                recommended for enactment in all States by the National 
                Conference of Commissioners on Uniform State Laws in 
                2010--
                            (i) a court order verifying the land meets 
                        the definition of heirs property (as defined in 
                        that Act); or
                            (ii) a certification from the local 
                        recorder of deeds that the recorded owner of 
                        the land is deceased and not less than 1 heir 
                        of the recorded owner of the land has initiated 
                        a procedure to retitle the land in the name of 
                        the rightful heir;
                    (B) a fully executed, unrecorded tenancy-in-common 
                agreement that sets out ownership rights and 
                responsibilities among all of the owners of the land 
                that--
                            (i) has been approved by a majority of the 
                        ownership interests in that property;
                            (ii) has given a particular owner the right 
                        to manage and control any portion or all of the 
                        land for purposes of operating a farm or ranch; 
                        and
                            (iii) was validly entered into under the 
                        authority of the jurisdiction in which the land 
                        is located;
                    (C) the tax return of a farm operator farming a 
                property with undivided interests for each of the 5 
                years preceding the date on which the farm operator 
                submits the tax returns as eligible documentation under 
                subsection (b);
                    (D) self-certification that the farm operator has 
                control of the land for purposes of operating a farm or 
                ranch; and
                    (E) any other documentation identified by the 
                Secretary under subsection (c).
            (2) Farm number.--The term ``farm number'' has the meaning 
        given the term in section 718.2 of title 7, Code of Federal 
        Regulations (as in effect on the date of enactment of this 
        Act).
    (b) Farm Number.--
            (1) In general.--The Secretary shall provide for the 
        assignment of a farm number to any farm operator who provides 
        any form of eligible documentation for purposes of 
        demonstrating that the farm operator has control of the land 
        for purposes of defining that land as a farm.
            (2) Eligibility.--Any farm number provided under paragraph 
        (1) shall be sufficient to satisfy any requirement of the 
        Secretary to have a farm number to participate in a program of 
        the Secretary.
    (c) Eligible Documentation.--The Secretary shall identify 
alternative forms of eligible documentation that a farm operator may 
provide in seeking the assignment of a farm number under subsection 
(b)(1).

SEC. 4. LOANS TO PURCHASERS OF LAND WITH UNDIVIDED INTEREST AND NO 
              ADMINISTRATIVE AUTHORITY.

    (a) Reauthorization of Beginning Farmer and Rancher Individual 
Development Accounts Pilot Program.--Section 333B(h) of the 
Consolidated Farm and Rural Development Act (7 U.S.C. 1983b(h)) is 
amended by striking ``2018'' and inserting ``2024''.
    (b) Pilot Program.--Subtitle D of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1981 et seq.) is amended by inserting after 
section 333D the following:

``SEC. 333E. FARMER LOAN PILOT PROJECTS.

    ``(a) In General.--The Secretary may conduct pilot projects of 
limited scope and duration that are consistent with subtitles A, B, C, 
and this subtitle to evaluate processes and techniques that may improve 
the efficiency and effectiveness of the programs carried out under 
subtitle A, B, C, and this subtitle.
    ``(b) Notification.--The Secretary shall--
            ``(1) not less than 60 days before the date on which the 
        Secretary initiates a pilot project under subsection (a), 
        submit notice of the proposed pilot project to the Committee on 
        Agriculture of the House of Representatives and the Committee 
        on Agriculture, Nutrition, and Forestry of the Senate; and
            ``(2) consider any recommendations or feedback provided to 
        the Secretary in response to the notice provided under 
        paragraph (1).''.
    (c) Relending Program.--Subtitle A of title III of the Consolidated 
Farm and Rural Development Act (7 U.S.C. 1922 et seq.) is amended by 
adding at the end the following:

``SEC. 310I. RELENDING PROGRAM TO RESOLVE OWNERSHIP AND SUCCESSION ON 
              FARMLAND.

    ``(a) In General.--The Secretary may make or guarantee loans to 
eligible entities described in subsection (b) using amounts made 
available for farm ownership loans under this subtitle so that the 
eligible entities may relend the funds to individuals and entities for 
the purposes described in subsection (c).
    ``(b) Eligible Entities.--Entities eligible for loans and loan 
guarantees described in subsection (a) are cooperatives, credit unions, 
and nonprofit organizations with--
            ``(1) certification under section 1805.201 of title 12, 
        Code of Federal Regulations (or successor regulations) to 
        operate as a lender;
            ``(2) experience assisting socially disadvantaged farmers 
        and ranchers (as defined in section 2501(e) of the Food, 
        Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 
        2279(e))) or limited resource or new and beginning farmers and 
        ranchers, rural businesses, cooperatives, or credit unions, 
        including experience in making and servicing agricultural and 
        commercial loans; and
            ``(3) the ability to provide adequate assurance of the 
        repayment of a loan.
    ``(c) Eligible Purposes.--The proceeds from loans made or 
guaranteed by the Secretary pursuant to subsection (a) shall be relent 
by eligible entities for projects that assist heirs with undivided 
ownership interests to resolve ownership and succession on farmland 
that has multiple owners.
    ``(d) Preference.--In making loans under subsection (a), the 
Secretary shall give preference to eligible entities--
            ``(1) with not less than 10 years of experience serving 
        socially disadvantaged farmers and ranchers; and
            ``(2) in States that have adopted a statute consisting of 
        an enactment or adoption of the Uniform Partition of Heirs 
        Property Act, as approved and recommended for enactment in all 
        States by the National Conference of Commissioners on Uniform 
        State Laws in 2010, that relend to owners of heirs property (as 
        defined in that Act).
    ``(e) Loan Terms and Conditions.--The following terms and 
conditions shall apply to loans made or guaranteed under this section:
            ``(1) The interest rate at which intermediaries may borrow 
        funds under this section shall be equal to the rate at which 
        farm ownership loans under this subtitle are made.
            ``(2) The rates, terms, and payment structure for borrowers 
        to which intermediaries lend shall be--
                    ``(A) determined by the intermediary in an amount 
                sufficient to cover the cost of operating and 
                sustaining the revolving loan fund; and
                    ``(B) clearly and publicly disclosed to qualified 
                ultimate borrowers.
            ``(3) Borrowers to which intermediaries lend shall be--
                    ``(A) required to complete a succession plan as a 
                condition of the loan; and
                    ``(B) be offered the opportunity to borrow 
                sufficient funds to cover costs associated with the 
                succession plan under subparagraph (A) and other 
                associated legal and closing costs.
    ``(f) Report.--Not later than 1 year after the date of enactment of 
this section, 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 describing 
the operation and outcomes of the program under this section, with 
recommendations on how to strengthen the program.
    ``(g) Funding.--The Secretary shall carry out this section using 
funds otherwise made available to the Secretary.''.

SEC. 5. FARMLAND OWNERSHIP DATA COLLECTION.

    (a) In General.--The Secretary shall collect and, not less 
frequently than once every 5 years report, data and analysis on 
farmland ownership, tenure, transition, and entry of beginning farmers 
and ranchers (as defined in section 343(a) of the Consolidated Farm and 
Rural Development Act (7 U.S.C. 1991(a))) and socially disadvantaged 
farmers and ranchers (as defined in section 2501(e) of the Food, 
Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 2279(e))).
    (b) Requirements.--In carrying out subsection (a), the Secretary 
shall, at a minimum--
            (1) collect and distribute comprehensive reporting of 
        trends in farmland ownership, tenure, transition, barriers to 
        entry, profitability, and viability of beginning farmers and 
        ranchers and socially disadvantaged farmers and ranchers;
            (2) develop surveys and report statistical and economic 
        analysis on farmland ownership, tenure, transition, barriers to 
        entry, profitability, and viability of beginning farmers and 
        ranchers, including a regular follow-on survey to each Census 
        of Agriculture with results of the follow-on survey made public 
        not later than 3 years after the previous Census of 
        Agriculture; and
            (3) require the National Agricultural Statistics Service--
                    (A) to include in the Tenure, Ownership, and 
                Transition of Agricultural Land survey questions 
                relating to--
                            (i) the extent to which non-farming 
                        landowners are purchasing and holding onto 
                        farmland for the sole purpose of real estate 
                        investment;
                            (ii) the impact of these farmland ownership 
                        trends on the successful entry and viability of 
                        beginning farmers and ranchers and socially 
                        disadvantaged farmers and ranchers;
                            (iii) the extent to which farm and ranch 
                        land with undivided interests and no 
                        administrative authority identified have farms 
                        or ranches operating on that land; and
                            (iv) the impact of land tenure patterns, 
                        categorized by--
                                    (I) race, gender, and ethnicity; 
                                and
                                    (II) region; and
                    (B) to include in the report of each Tenure, 
                Ownership, and Transition of Agricultural Land survey 
                the results of the questions under subparagraph (A).
                                 <all>