In this task, you are given text for US Congressional and California state bills, your task is to generate a summary for this bill.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Adults Achieving the American Dream 
Act of 2007''.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) According to the National Assessment of Adult Literacy, 
        93 million adults in the United States have limited reading, 
        writing, and mathematics skills, and 14 percent of adults in 
        the United States have below basic proficiency in prose 
        literacy.
            (2) According to the United States Census, nearly 16 
        percent of adults over the age of 25 have not attained a high 
        school diploma or its equivalent.
            (3) According to the United States Census, over 23 million 
        individuals speak do not speak English well.
            (4) An estimated 8 million aliens admitted for lawful 
        permanent residency are eligible to apply for United States 
        citizenship.
            (5) Recent reports indicate that a majority of Adult 
        English as a Second Language programs have waiting lists, and 
        some such programs have dropped waiting lists because of the 
        extreme demand for English as a second language services.
            (6) Only three percent of the 93 million adults who could 
        benefit from adult education services, English literacy, and 
        civics education programs actually participate in such services 
        and programs.
            (7) There is a growing and urgent need for additional adult 
        education, English literacy, and civics education programs for 
        adults in the United States.

SEC. 3. AMENDMENTS TO THE ADULT EDUCATION AND FAMILY LITERACY ACT.

    (a) Integrated English Literacy and Civics Education Program.--
Section 203 of the Adult Education and Family Literacy Act (20 U.S.C. 
9202) is amended by adding at the end the following new paragraph:
            ``(19) Integrated english literacy and civics education 
        programs.--The term `integrated English literacy and civics 
        education programs' means programs of instruction designed to 
        help an individual of limited English proficiency achieve 
        competence in English through contextualized instruction on the 
        rights and responsibilities of citizenship, naturalization 
        procedures, civic participation, and United States history and 
        government to help such an individual acquire the skills and 
        knowledge to become an active and informed parent, worker, and 
        community member.''.
    (b) Authorization of Appropriations.--Section 205 of such Act (20 
U.S.C. 9204) is amended by inserting before the period at the end the 
following: ``, $650,000,000 for fiscal year 2008, $750,000,000 for 
fiscal year 2009, $850,000,000 for fiscal year 2010, $950,000,000 for 
fiscal year 2011, $1,100,000,000 for fiscal year 2012, and 
$1,200,000,000 for fiscal year 2013''.
    (c) Reservation of Funds.--Section 211(a) of such Act (20 U.S.C. 
9211(a)) is amended--
            (1) in paragraph (1), by striking ``$8,000,000'' and 
        inserting ``$15,000,000'';
            (2) in paragraph (2)--
                    (A) by striking ``1.5 percent'' and inserting 
                ``1.25 percent'';
                    (B) by striking ``$8,000,000'' and inserting 
                ``$12,000,000''; and
                    (C) by striking ``and'' at the end;
            (3) in paragraph (3), by striking the period at the end and 
        inserting ``; and''; and
            (4) by adding at the end the following new paragraph:
            ``(4) shall reserve 12 percent of the amount that remains 
        after reserving and making available funds under paragraphs 
        (1), (2), and (3) to carry out section 244.''.
    (d) National Institute for Literacy.--Section 242(c)(1) of such Act 
(20 U.S.C. 9252(c)(1)) is amended--
            (1) in subparagraph (A)--
                    (A) by redesignating clauses (ii), (iii), and (iv) 
                as clauses (iii), (iv), and (v), respectively; and
                    (B) by inserting after clause (i) the following new 
                clause:
                            ``(ii) effective practices in the provision 
                        of integrated English literacy and civics 
                        education programs;'';
            (2) by redesignating subparagraphs (G), (H), and (I) as 
        subparagraphs (H), (I), and (J), respectively; and
            (3) by inserting after subparagraph (F) the following new 
        subparagraph:
                    ``(G) to coordinate and share information with 
                national organizations and associations that are 
                interested in integrated English literacy and civics 
                education programs;''.
    (e) National Leadership Activities.--Section 243 of such Act (20 
U.S.C. 9253) is amended--
            (1) in paragraph (1)--
                    (A) in subparagraph (A), by inserting ``, and 
                integrated English literacy and civics education 
                programs'' before the semicolon at the end; and
                    (B) in subparagraph (B), by inserting ``and 
                integrated English literacy and civics education 
                programs'' before ``based on scientific evidence'';
            (2) in paragraph (2)--
                    (A) in subparagraph (B), by inserting ``, and 
                integrated English literacy and civics education 
                programs'' before the semicolon at the end;
                    (B) in subparagraph (D)(ii), insert ``integrated 
                English literacy and civics education programs,'' 
                before ``and workplace literacy programs'';
                    (C) in subparagraph (E)--
                            (i) in clause (i), insert ``, and 
                        integrated English literacy and civics 
                        education programs'' before the semicolon at 
                        the end;
                            (ii) in clause (iii), by striking ``and'' 
                        at the end;
                            (iii) in clause (iv)--
                                    (I) by inserting ``and section 
                                244'' after ``section 231''; and
                                    (II) by striking the period at the 
                                end and inserting ``; and''; and
                            (iv) by adding at the end the following new 
                        clause:
                            ``(v) the extent to which integrated 
                        English literacy and civics education programs 
                        carried out under section 244 lead participants 
                        in such programs to increase their civic 
                        participation and, if applicable, lead such 
                        participants to become United States 
                        citizens.''.
    (f) Integrated English Literacy and Civics Education.--Chapter 4 of 
subtitle A of such Act (20 U.S.C. 9251 et seq.) is amended by adding at 
the end the following new section:

``SEC. 244. INTEGRATED ENGLISH LITERACY AND CIVICS EDUCATION PROGRAMS.

    ``(a) In General.--From funds reserved under section 211(a)(4) for 
each fiscal year, the Secretary shall award grants to States, from 
allocations under subsection (b), for integrated English literacy and 
civics education programs.
    ``(b) Allocations.--
            ``(1) In general.--Subject to paragraph (2) and with 
        respect to funds described in subsection (a), the Secretary 
        shall allocate--
                    ``(A) 65 percent to States on the basis of a 
                State's need for integrated English and civics 
                education programs, as determined by calculating each 
                State's share of a ten-year average of the data 
                compiled by the Office of Immigration Statistics of the 
                Department of Homeland Security, for immigrants 
                admitted for lawful permanent residence for the ten 
                most recent years; and
                    ``(B) 35 percent to the States on the basis of 
                whether the State experienced growth, as measured by 
                the average of the three most recent years for which 
                data compiled by the Office of Immigration Statistics 
                of the Department of Homeland Security are available, 
                for immigrants admitted for lawful permanent residence.
            ``(2) Minimum.--No State shall receive an allocation under 
        paragraph (1) in an amount that is less than $60,000.''.

SEC. 4. EXPANDING EVEN START FAMILY LITERACY PROGRAMS.

    Section 1002(b)(3) of the Elementary and Secondary Education Act of 
1965 is amended to read as follows:
            ``(3) Even start.--For the purpose of carrying out subpart 
        3 of part B, there are authorized to be appropriated 
        $500,000,000 for fiscal year 2008 and such sums as may be 
        necessary for each of the 5 succeeding fiscal years.''.

SEC. 5. RESEARCH IN ADULT EDUCATION.

    (a) In General.--Section 133(c)(A) of the Education Sciences Reform 
Act of 2002 (20 U.S.C. 9533(c)(A)) is amended by inserting ``education 
and'' before ``literacy''.
    (b) National Research and Development Center.--
            (1) In general.--The Secretary of Education shall direct 
        the Commissioner for Education Research of the National Center 
        for Education Research established pursuant to section 131 of 
        the Education Sciences Reform Act of 2002 (20 U.S.C. 9531) to 
        establish a national research and development center for adult 
        education and literacy as described in section 133(c)(A) of 
        such Act (22 U.S.C. 9533(c)(A)) (as amended by subsection (a)).
            (2) Provision for expansion of research.--If, as of the 
        date of the enactment of this Act, the Commissioner has 
        established a center for adult literacy in accordance with 
        section 133(c)(A) of the Education Sciences Reform Act of 2002, 
        the Commissioner shall expand the topic of research of such 
        center to include adult education, in accordance with the 
        amendment made by subsection (a).

SEC. 6. IMMIGRANTS TO NEW AMERICANS.

    The Secretary of Homeland Security shall transfer to the Secretary 
of Education to carry out integrated English literacy and civics 
education programs under section 244 of the Adult Education and Family 
Literacy Act (as added by section 3(f) of this Act) two percent of all 
fees collected under section 218(a)(2) of the Immigration and 
Nationality Act (8 U.S.C. 1188(a)(2)) and two percent of all civil 
penalties collected under section 274A(e)(4) of such Act (8 U.S.C. 
1324a(e)(4)).

SEC. 7. CREDIT FOR EMPLOYER PROVIDED ADULT ENGLISH LITERACY AND BASIC 
              EDUCATION PROGRAMS.

    (a) In General.--Subpart D of part IV of subchapter A of chapter 1 
of the Internal Revenue Code of 1986 (relating to business related 
credits) is amended by adding at the end the following:

``SEC. 45O. EMPLOYER-PROVIDED ADULT ENGLISH LITERACY AND BASIC 
              EDUCATION PROGRAMS.

    ``(a) In General.--For purposes of section 38, the credit 
determined under this section with respect to any employer for the 
taxable year is an amount equal to 20 percent of qualified education 
program expenses for the taxable year.
    ``(b) Limitation.--The amount of the credit determined under 
subsection (a) shall not exceed an amount equal to the product of 
$1,000 multiplied by the average number of full-time employees of the 
employer for the taxable year.
    ``(c) Qualified Education Program Expenses.--For purposes of this 
section--
            ``(1) In general.--The term `qualified education program 
        expenses' means expenses paid or incurred by an employer to 
        make available qualified education to employees of the 
        employer, who are individuals of limited English proficiency or 
        have not received a secondary school diploma, or its recognized 
        equivalent, or who lack sufficient mastery of basic educational 
        skills to enable the individuals to function effectively in 
        society.
            ``(2) Qualified education.--The term `qualified education' 
        means adult education and literacy activities provided--
                    ``(A) by an eligible provider which for the fiscal 
                year ending during the employer's taxable year receives 
                Federal funds under section 231 of the Adult Education 
                and Family Literacy Act for adult education and 
                literacy activities, or
                    ``(B) in curriculum approved by an eligible agency.
            ``(3) Other terms defined.--The terms `individuals of 
        limited English proficiency', `eligible provider', `adult 
        education and literacy activities', and `eligible agency' shall 
        have the respective meanings given to such terms in the Adult 
        Education and Family Literacy Act.
    ``(d) Special Rules.--For purposes of this section--
            ``(1) Full-time employment.--An employee shall be 
        considered full-time if such employee is employed at least 30 
        hours per week for 25 or more calendar weeks in the taxable 
        year.
            ``(2) Aggregation rule.--All persons treated as a single 
        employer under subsection (a) or (b) or section 52, or 
        subsection (m) or (o) of section 414, shall be treated as one 
        person.
    ``(e) Denial of Double Benefit.--No deduction or credit shall be 
allowed under any other provision of this chapter for any amount taken 
into account in determining the credit under this section.
    ``(f) Election To Have Credit Not Apply.--A taxpayer may elect (at 
such time and in such manner as the Secretary may by regulations 
prescribe) to have this section not apply for any taxable year.''.
    (b) Credit To Be Part of General Business Credit.--Subsection (b) 
of section 38 of such Code (relating to current year business credit) 
is amended by striking ``plus'' at the end of paragraph (30), by 
striking the period at the end of paragraph (31) and inserting ``, 
plus'', and by adding at the end the following new paragraph:
            ``(32) the adult English literacy and basic education 
        programs credit determined under section 45O.''.
    (c) Clerical Amendment.--The table of sections for subpart D of 
part IV of subchapter A of chapter 1 of the such Code is amended by 
adding at the end the following new item:

``45O. Employer-provided adult English literacy and basic education 
                            programs.''.
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2007.
Adults Achieving the American Dream Act of 2007 - Amends the Adult Education and Family Literacy Act to reauthorize appropriations through FY2013 for adult education and literacy services, including integrated English literacy and civics education programs. Increases the maximum amounts that can be reserved from such funds for: (1) the National Institute for Literacy; and (2) national leadership activities. Reserves an amount for integrated English literacy and civics education programs.

Directs the Secretary of Education to award grants to states for integrated English literacy and civics education programs for immigrants admitted for lawful residence in the United States.

Amends the Elementary and Secondary Education Act of 1965 to reauthorize appropriations for Even Start Family Literacy Programs for FY2008 and each of the five succeeding fiscal years.

Amends the Education Sciences Reform Act of 2002 to require the establishment of a national research and development center that includes research in adult education.

Amends the Internal Revenue Code to allow a tax credit for employer-provided adult education and literacy programs.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Big Cat Public Safety Act''.

SEC. 2. DEFINITIONS.

    (a) In General.--Section 2 of the Lacey Act Amendments of 1981 (16 
U.S.C. 3371) is amended--
            (1) by redesignating subsections (a) through (k) as 
        subsections (b) through (l), respectively; and
            (2) by inserting before subsection (b) (as so redesignated) 
        the following:
    ``(a) Breed.--The term `breed' means to facilitate propagation or 
reproduction (whether intentionally or negligently), or to fail to 
prevent propagation or reproduction.''.
    (b) Conforming Amendments.--
            (1) Consolidated farm and rural development act.--Section 
        349(a)(3) of the Consolidated Farm and Rural Development Act (7 
        U.S.C. 1997(a)(3)) is amended by striking ``section 2(a)'' and 
        inserting ``section 2(b)''.
            (2) Lacey act amendments of 1981.--
                    (A) Section 3(e)(2)(C) of the Lacey Act Amendments 
                of 1981 (16 U.S.C. 3372(e)(2)(C)) is amended--
                            (i) in clause (ii), by striking ``section 
                        2(g)'' and inserting ``section 2(h)''; and
                            (ii) in clause (iii), by striking ``section 
                        2(g)'' and inserting ``section 2(h)''.
                    (B) Section 7(c) of the Lacey Act Amendments of 
                1981 (16 U.S.C. 3376(c)) is amended by striking 
                ``section 2(f)(2)(A)'' and inserting ``section 
                2(g)(2)(A)''.

SEC. 3. PROHIBITIONS.

    Section 3 of the Lacey Act Amendments of 1981 (16 U.S.C. 3372) is 
amended--
            (1) in subsection (a)--
                    (A) in paragraph (2)--
                            (i) in subparagraph (A), by striking the 
                        semicolon at the end and inserting ``; or'';
                            (ii) in subparagraph (B)(iii), by striking 
                        ``; or'' and inserting a semicolon; and
                            (iii) by striking subparagraph (C); and
                    (B) in paragraph (4), by striking ``(1) through 
                (3)'' and inserting ``(1) through (3) or subsection 
                (e)''; and
            (2) by amending subsection (e) to read as follows:
    ``(e) Captive Wildlife Offense.--
            ``(1) In general.--It is unlawful for any person to import, 
        export, transport, sell, receive, acquire, or purchase in 
        interstate or foreign commerce, or in a manner substantially 
        affecting interstate or foreign commerce, or to breed or 
        possess, any prohibited wildlife species.
            ``(2) Limitation on application.--Paragraph (1) does not 
        apply to--
                    ``(A) an entity exhibiting animals to the public 
                under a Class C license from the Department of 
                Agriculture and that holds such license in good 
                standing, if the entity--
                            ``(i) has not been, and does not employ any 
                        person engaged in animal care who has been, 
                        convicted of or fined for an offense involving 
                        the abuse or neglect of any animal pursuant to 
                        any State, local, or Federal law;
                            ``(ii) has not had, and does not employ any 
                        person who has had, a license or permit 
                        regarding the care, possession, exhibition, 
                        breeding, or sale of animals revoked or 
                        suspended by any State, local, or Federal 
                        agency, including the Department of 
                        Agriculture, within the preceding 3-year 
                        period;
                            ``(iii) has not been cited by the 
                        Department of Agriculture under the Animal 
                        Welfare Act (7 U.S.C. 2131 et seq.) within the 
                        preceding 12-month period for any repeat 
                        violation for--
                                    ``(I) inadequate veterinary care;
                                    ``(II) handling that causes stress 
                                or trauma or a threat to public safety;
                                    ``(III) insufficient provisions of 
                                food or water; or
                                    ``(IV) failure to allow facility 
                                inspection;
                            ``(iv) does not allow any individual other 
                        than a trained professional employee or 
                        contractor of the licensee (or an accompanying 
                        employee receiving professional training) or a 
                        licensed veterinarian (or an accompanying 
                        veterinary student) to come into direct 
                        physical contact with a prohibited wildlife 
                        species;
                            ``(v) ensures that during public exhibition 
                        of a lion (Panthera leo), tiger (Panthera 
                        tigris), leopard (Panthera pardus), snow 
                        leopard (Uncia uncia), jaguar (Panthera onca), 
                        cougar (Puma concolor), or any hybrid thereof, 
                        the animal is at least 15 feet from members of 
                        the public unless there is a permanent barrier 
                        that prevents public contact or risk of 
                        contact;
                            ``(vi) does not breed any prohibited 
                        wildlife species unless the breeding is 
                        conducted pursuant to a species-specific, 
                        publicly available, peer-reviewed population 
                        management plan developed according to 
                        established conservation science principles;
                            ``(vii) maintains liability insurance in an 
                        amount of not less than $250,000 for each 
                        occurrence of property damage, bodily injury, 
                        or death caused by any prohibited wildlife 
                        species possessed by the person; and
                            ``(viii) has a written plan that is made 
                        available to local law enforcement, State 
                        agencies and Federal agencies on request, for 
                        the quick and safe recapture or destruction of 
                        prohibited wildlife species in the event a 
                        prohibited wildlife species escapes, including, 
                        but not limited to, written protocols for 
                        training staff on methods of safe recapture of 
                        the escaped prohibited wildlife species;
                    ``(B) a State college, university, or agency, or 
                State-licensed veterinarian;
                    ``(C) a wildlife sanctuary that cares for 
                prohibited wildlife species, and--
                            ``(i) is a corporation that is exempt from 
                        taxation under section 501(a) of the Internal 
                        Revenue Code of 1986 and described in sections 
                        501(c)(3) and 170(b)(1)(A)(vi) of such Code;
                            ``(ii) does not commercially trade in 
                        prohibited wildlife species, including 
                        offspring, parts, and byproducts of such 
                        animals;
                            ``(iii) does not breed the prohibited 
                        wildlife species;
                            ``(iv) does not allow direct contact 
                        between the public and prohibited wildlife 
                        species; and
                            ``(v) does not allow the transportation and 
                        display of prohibited wildlife species off-
                        site;
                    ``(D) has custody of the prohibited wildlife 
                species solely for the purpose of expeditiously 
                transporting the prohibited wildlife species to a 
                person described in this paragraph with respect to the 
                species; or
                    ``(E) an entity or individual that is in possession 
                of a prohibited wildlife species that was born before 
                the date of the enactment of the Big Cat Public Safety 
                Act, and--
                            ``(i) not later than 180 days after the 
                        date of the enactment of the Big Cat Public 
                        Safety Act, the entity or individual registers 
                        each individual animal of each prohibited 
                        wildlife species with the United States Fish 
                        and Wildlife Service;
                            ``(ii) does not breed, acquire, or sell any 
                        prohibited wildlife species after the date of 
                        the enactment of such Act; and
                            ``(iii) does not allow direct contact 
                        between the public and prohibited wildlife 
                        species.''.

SEC. 4. PENALTIES.

    (a) Civil Penalties.--Section 4(a)(1) of the Lacey Act Amendments 
of 1981 (16 U.S.C. 3373(a)(1)) is amended--
            (1) by inserting ``(e),'' after ``(d),''; and
            (2) by inserting ``, (e),'' after ``subsection (d)''.
    (b) Criminal Penalties.--Section 4(d) of the Lacey Act Amendments 
of 1981 (16 U.S.C. 3373(d)) is amended--
            (1) in paragraph (1)(A), by inserting ``(e),'' after 
        ``(d),'';
            (2) in paragraph (1)(B), by inserting ``(e),'' after 
        ``(d),'';
            (3) in paragraph (2), by inserting ``(e),'' after ``(d),''; 
        and
            (4) by adding at the end the following:
            ``(4) Any person who knowingly violates subsection (e) of 
        section 3 shall be fined not more than $20,000, or imprisoned 
        for not more than five years, or both. Each violation shall be 
        a separate offense and the offense shall be deemed to have been 
        committed not only in the district where the violation first 
        occurred, but also in any district in which the defendant may 
        have taken or been in possession of the prohibited wildlife 
        species.''.

SEC. 5. FORFEITURE OF PROHIBITED WILDLIFE SPECIES.

    Section 5(a)(1) of the Lacey Act Amendments of 1981 (16 U.S.C. 
3374(a)(1)) is amended by inserting ``bred, possessed,'' before 
``imported, exported,''.

SEC. 6. ADMINISTRATION.

    Section 7(a) of the Lacey Act Amendments of 1981 (16 U.S.C. 
3376(a)) is amended by adding at the end the following:
            ``(3) The Secretary shall, in consultation with other 
        relevant Federal and State agencies, promulgate any regulations 
        necessary to implement section 3(e).''.
Big Cat Public Safety Act This bill amends the Lacey Act Amendments of 1981 to prohibit any person from breeding or possessing prohibited wildlife species (i.e., any live species of lion, tiger, leopard, cheetah, jaguar, or cougar or any hybrid of such species). Breeding means facilitating propagation or reproduction (whether intentionally or negligently), or failing to prevent propagation or reproduction.  The bill revises the list of entities that are exempt from Lacey Act prohibitions regarding those wildlife species to include: (1) certain entities that hold Class C licenses in good standing under the Animal Welfare Act, and (2) current owners of animals that were born before this bill's enactment if the animals are registered with the U.S. Fish and Wildlife Service. Those entities and owners may not allow direct contact between the public and the prohibited wildlife species. A person who knowingly violates the prohibition must be fined not more than $20,000, or imprisoned for not more than five years, or both. The bill considers each violation to be a separate offense. The offense must be deemed to have been committed not only in the district where the violation first occurred, but also in any district in which the defendant may have taken or been in possession of the prohibited wildlife species. The bill extends forfeiture provisions to fish, wildlife, or plants that are bred or possessed. 

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Farm Credit System Agricultural 
Export and Risk Management Act''.

SEC. 2. PARTICIPATION DEFINED.

    Section 3.1(11)(B) of the Farm Credit Act of 1971 (12 U.S.C. 
2122(11)(B)) is amended by adding at the end the following new clause:
    ``(iv) As used in this subparagraph, the term `participate' or 
`participation' refers to multilender transactions, including 
syndications, assignments, loan participations, subparticipations, or 
other forms of the purchase, sale, or transfer of interests in loans, 
other extensions of credit, or other technical and financial 
assistance.''.

SEC. 3. AGRICULTURAL EXPORT FINANCING.

    Section 3.7(b) of the Farm Credit Act of 1971 (12 U.S.C. 2128(b)) 
is amended--
        (A) in paragraph (1)--
            (i) by striking ``assistance to (A)'' and inserting 
        ``assistance to'';
            (ii) by striking ``the export or'' and inserting ``the''; 
        and
            (iii) by striking ``and (B)'' and all that follows through 
        ``subparagraph (A): Provided, That a'' and inserting ``if 
        the''; and
        (B) by striking paragraph (2) and inserting the following new 
    paragraph:
    ``(2)(A) A bank for cooperatives may make or participate in loans 
and commitments to, and extend other technical and financial assistance 
to--
        ``(i) any domestic or foreign party for the export, including 
    (where applicable) the cost of freight, of agricultural commodities 
    or products thereof, farm supplies, or aquatic products from the 
    United States under policies and procedures established by the bank 
    to ensure that the commodities, products, or supplies are 
    originally sourced, where reasonably available, from one or more 
    eligible cooperative associations described in section 3.8(a) on a 
    priority basis, except that if the total amount of the balances 
    outstanding on loans made by a bank under this clause that--
            ``(I) are made to finance the export of commodities, 
        products, or supplies that are not originally sourced from a 
        cooperative, and
            ``(II) are not guaranteed or insured, in an amount equal to 
        at least 95 percent of the amount loaned, by a department, 
        agency, bureau, board, commission, or establishment of the 
        United States or a corporation wholly-owned directly or 
        indirectly by the United States,
    exceeds an amount that is equal to 50 percent of the bank's 
    capital, then a sufficient interest in the loans shall be sold by 
    the bank for cooperatives to commercial banks and other non-System 
    lenders to reduce the total amount of such outstanding balances to 
    an amount not greater than an amount equal to 50 percent of the 
    bank's capital; and
        ``(ii) except as provided in subparagraph (B), any domestic or 
    foreign party in which an eligible cooperative association 
    described in section 3.8(a) (including, for the purpose of 
    facilitating its domestic business operations only, a cooperative 
    or other entity described in section 3.8(b)(1)(A)) has an ownership 
    interest, for the purpose of facilitating the domestic or foreign 
    business operations of the association, except that if the 
    ownership interest by an eligible cooperative association, or 
    associations, is less than 50 percent, the financing shall be 
    limited to the percentage held in the party by the association or 
    associations.
    ``(B) A bank for cooperatives shall not use the authority provided 
in subparagraph (A)(ii) to provide financial assistance to a party for 
the purpose of financing the relocation of a plant or facility from the 
United States to another country.''.

SEC. 4. CONFORMING AMENDMENT.

    Section 3.8(b)(1) of the Farm Credit Act of 1971 (12 U.S.C. 
2129(b)(1)) is amended--
        (A) by striking subparagraph (B);
        (B) by redesignating subparagraphs (C), (D), and (E) as 
    subparagraphs (B), (C), and (D), respectively; and
        (C) by aligning the margin of subparagraph (D) (as so 
    redesignated) so as to align with the margin of subparagraph (C) 
    (as so redesignated).
SEC. 5. LOAN PARTICIPATION AUTHORITY FOR FARM CREDIT BANKS AND DIRECT 
LENDER ASSOCIATIONS.
    In General.--Title IV of the Farm Credit Act of 1971 (12 U.S.C. 
2151 et seq.) is amended by inserting after section 4.18 (12 U.S.C. 
2206) the following new section:

``SEC. 4.18A. AUTHORITY OF FARM CREDIT BANKS AND DIRECT LENDER 
              ASSOCIATIONS TO PARTICIPATE IN LOANS TO SIMILAR ENTITIES 
              FOR RISK MANAGEMENT PURPOSES.

    ``(a) Definitions.--As used in this section:
        ``(1) Participate and participation.--The terms `participate' 
    and `participation' shall have the meaning provided in section 
    3.1(11)(B)(iv).
        ``(2) Similar entity.--The term `similar entity' means a person 
    that--
            ``(A) is not eligible for a loan from the Farm Credit Bank 
        or association; and
            ``(B) has operations that are functionally similar to a 
        person that is eligible for a loan from the Farm Credit Bank or 
        association in that the person derives a majority of the income 
        of the person from, or has a majority of the assets of the 
        person invested in, the conduct of activities that are 
        functionally similar to the activities that are conducted by an 
        eligible person.
    ``(b) Loan Participation Authority--Notwithstanding any other 
provision of this Act, any Farm Credit Bank or direct lender 
association chartered under this Act may participate in any loan of a 
type otherwise authorized under title I or II made to a similar entity 
by any person in the business of extending credit, except that a Farm 
Credit Bank or direct lender association may not participate in a loan 
under this section if--
        ``(1) the participation would cause the total amount of all 
    participations by the Farm Credit Bank or association under this 
    section involving a single credit risk to exceed 10 percent (or the 
    applicable higher lending limit authorized under regulations issued 
    by the Farm Credit Administration if the stockholders of the 
    respective Farm Credit Bank or association so approve) of the total 
    capital of the Farm Credit Bank or association;
        ``(2) the participation by the Farm Credit Bank or association 
    would equal or exceed 50 percent of the principal of the loan or, 
    when taken together with participations in the loan by other Farm 
    Credit System institutions, would cause the cumulative amount of 
    the participations by all Farm Credit System institutions in the 
    loan to equal or exceed 50 percent of the principal of the loan;
        ``(3) the participation would cause the cumulative amount of 
    participations that the Farm Credit Bank or association has 
    outstanding under this section to exceed 15 percent of the total 
    assets of the Farm Credit Bank or association; or
        ``(4) the loan is of the type authorized under section 1.11(b) 
    or 2.4(a)(2).
    ``(c) Prior Approval Required.--
        ``(1) In general.--With respect to a similar entity that is 
    eligible to borrow from a bank for cooperatives under title III, 
    the authority of a Farm Credit Bank or association to participate 
    in a loan to the entity under this section shall be subject to the 
    prior approval of the bank for cooperatives having, at the time the 
    loan is made, the greatest loan volume in the State in which the 
    headquarters office of the similar entity is located.
        ``(2) Terms and conditions.--Approval under paragraph (1) may 
    be granted on an annual basis and under such terms and conditions 
    as may be agreed on between the Farm Credit Bank or association, as 
    the case may be, and the bank for cooperatives granting the 
    approval.
        ``(3) Approval by supervising farm credit bank.--An association 
    may not participate in a loan to a similar entity under this 
    section without the approval of the supervising Farm Credit Bank of 
    the association.''.

SEC. 6. CONFORMING AMENDMENTS.

    Section 3.1(11)(B)(i)(I)(bb) of the Farm Credit Act of 1971 (12 
U.S.C. 2122(11)(B)(i)(I)(bb)) is amended--
        (A) by striking ``the other banks for cooperatives under this 
    subparagraph'' and inserting ``other Farm Credit System 
    institutions''; and
        (B) by striking ``all banks for cooperatives'' and inserting 
    ``all Farm Credit System institutions''.







                               Speaker of the House of Representatives.







                            Vice President of the United States and    
                                               President of the Senate.

Farm Credit System Agricultural Export and Risk Management Act - Amends the Farm Credit Act of 1971 to permit banks for cooperatives to participate in agricultural export financing arrangements with domestic or foreign businesses. 
Prohibits the financing of a U.S. facility's foreign relocation. 
Authorizes a Farm Credit Bank or direct lender association to participate in loans to similar but non-Farm Credit System entities for risk management purposes.  Requires supervising Farm Credit Bank approval.